BASIC BANK SCAM : Bacchu bought 100 fishing boats during chairmanship

Controversial former BASIC Bank chairman Sheikh Abdul Hye Bacchu purchased as many as 100 fishing boats starting in 2009 when he was appointed chairman of the state-owned bank.
The Anti-Corruption Commission last month filed 54 cases against some 80 bankers and 54 business entities but left Hye out after probing embezzlement of Tk 3,500 crore from the BASIC Bank.
Officials, quoting a document of the Bank and Financial Institutions Division, said Hye began investing in fishing boats in 2010.
The buying spree raised eyebrows among many seasoned businessmen in Chittagong as Hye has little background in the fishing business.
ACC chairman M Badiuzzaman said they did not find Hye’s involvement in embezzlement of Tk 3,500 crore from the bank.
Finance minister AMA Muhith told the parliament on June 30 that action against the former BASIC Bank chairman could not be taken because of ruling party politicians.
The government extended Bachchu’s tenure twice before asking him to step down finally in July 2014 after revelations of massive corruption in the bank.
From a profit-making entity BASIC suffered losses for the first time in 2013. At least one in four who borrowed from the bank in the last five years remains traceless as loans were reportedly extended to fictitious borrowers.
Loans totaling Tk 4,236 crore were extended to 335 little-known clients and most of them became defaulters. BASIC Bank’s classified loans stood at over Tk 6,000 crore until September 30, 2014.
According to the document based on information by an intelligence agency Hye was involved in importing automobile and elevator parts before he was appointed as chairman of the BASIC Bank under ‘special consideration’ by the Awami League-led government.
BFIU secretary M Aslam Alam said the document was prepared as the parliament secretariat sought to know the political identity of Hye and his alleged involvement in providing shady loans.
Hailing from Bagerhat Hye joined Jatiya Party in the 1980s and became a member of parliament in 1988.
He served as chairman of the Bagerhat Zilla Parishad between 1988 and 1990 and president of the Bagerhat Jatiya Party. He is one of the closest people to Jatiya Party chairman HM Ershad.
Hye, who has two children, lives at Banani Old DOHS.

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