This article provides insufficient context for those unfamiliar with the subject.(January 2017) |
The Hallmark-Sonali Bank loan scam is a massive loan fraud that took place in Bangladesh between 2010 and 2012. State owned Sonali Bank's Ruposhi Bangla Hotel branch lent over 35 billion Bangladeshi taka ($454 million as of 2011) based on falsified documents. Little-known company Hallmark Group received the majority, nearly Tk 27bn ($344M), with the remaining loans spread among five other companies: T and Brothers, Paragon Group, Nakshi Knit, DN Sports, and Khanjahan Ali. An investigation by Bangladesh Bank, the country's central bank, concluded that the borrowers conspired with senior officials at Sonali Bank to embezzle the funds. [1] [2] The Economist described the 2012 scam as Bangladesh's "biggest of many banking scandals since the banks were nationalised 40 years before". [3]
In 1972, after the Bangladesh Liberation War, Sonali Bank was formed by the amalgamation and nationalisation of the National Bank of Pakistan, Bank of Bahawalpur, and Premier Bank branches located in the former East Pakistan. It is the largest state owned commercial bank in Bangladesh. [4]
The perceived level of public sector corruption has consistently placed the country in the worst quartile of Transparency International's Corruption Perceptions Index. One form this rampant corruption takes is senior officials in public sector banks making imprudent loans to well-connected private companies. [5] State-owned banks are a major originator of bad loans to the private sector. [6]
Bangladesh Bank is the central bank of Bangladesh and is a member of the Asian Clearing Union. It is fully owned by the Government of Bangladesh.
National Bank of Pakistan (NBP) is a Pakistani government-owned multinational commercial bank which is a subsidiary of State Bank of Pakistan. It is headquartered in Karachi, Pakistan. As of September 2020, it has 1,511 branches across Pakistan with assets of approximately USD 20.2 billion.
Sonali Bank Limited is the principal state-owned leading public commercial bank in Bangladesh. It is the largest bank of the country.
Uttara Bank Limited is one of the largest and oldest private sector commercial banks in Bangladesh. There are 239 branches at home and 600 affiliates worldwide.
A hallmark is an official stamp of quality on a precious metal.
Agrani Bank Limited (ABL) is a state-owned commercial bank of Bangladesh established in 1972. Its headquarters is situated at Motijheel in Dhaka, the capital city of Bangladesh.
New Kabul Bank is a bank in Afghanistan that has its main branch in the capital city of Kabul. It was established in 2004 as the Kabul Bank, the first private bank in Afghanistan. After corruption and scandals it was re-established in 2011 as the New Kabul Bank.
Following the Iranian Revolution, Iran's banking system was transformed to be run on an Islamic interest-free basis. As of 2010 there were seven large government-run commercial banks. As of March 2014, Iran's banking assets made up over a third of the estimated total of Islamic banking assets globally. They totaled 17,344 trillion rials, or US$523 billion at the free market exchange rate, using central bank data, according to Reuters.
Bangladesh is a developing country with an impoverished banking system, particularly in terms of the services and customer care provided by the government run banks. In recent times, private banks are trying to imitate the banking structure of the more developed countries, but this attempt is often foiled by inexpert or politically motivated government policies executed by the central bank of Bangladesh, Bangladesh Bank. The outcome is a banking system fostering corruption and illegal monetary activities/laundering etc. by the politically powerful and criminals, while at the same time making the attainment of services or the performance of international transactions difficult for the ordinary citizens, students studying abroad or through distance learning, general customers etc.
Corruption in Pakistan is widespread, and extends to every sector from government to judiciary, police, health services and education.
Corruption in Zimbabwe has become endemic within its political, private and civil sectors. Zimbabwe, along with Honduras, Iraq, and Cambodia, ranks 157th out of 180 countries in the 2021 Transparency International Corruption Perceptions Index, where a high ranking corresponds to a perception of high corruption in the public sector. On a scale of 0 to 100, the Corruption Perceptions Index gave Zimbabwe a score of 23. This marks an decrease in corruption since 2012, when the country was given a score of 20.
The Nationalisation process in Pakistan was a policy measure programme in the economic history of Pakistan, first introduced, promulgated and implemented by Prime Minister Zulfikar Ali Bhutto and the Pakistan Peoples Party to lay the foundation of socialist economics reforms to improve the growth of national economy of Pakistan. Since the 1950s, the country had undergone a speedy industrialisation and became an industrial paradise in Asia. But, as time progressed, the labour trade unions and labour-working class had increasingly strained relations with the industrial business oligarch class, having neglected to improve working conditions and failing to provide a healthy and safe environment for the workers in these industrial industries.
The Privatisation process in Pakistan is a continuous policy measure program in the economic period of Pakistan. It was first conceived and implemented by the then-people-elected Prime Minister Nawaz Sharif and the Pakistan Muslim League, in an attempt to enable the nationalised industries towards market economy, immediately after the economic collapse of the Soviet Union in 1989–90. The programme was envisaged and visioned to improve the GDP growth of the national economy of Pakistan, and reversal of the nationalisation programme in 1970s— an inverse of the privatisation programme.
Pakistan began a period of economic liberalisation in the 1990s to promote and accelerate economic independence, development, and GDP growth.
Corruption in Bangladesh has been a continuing problem. According to all major ranking institutions, Bangladesh routinely finds itself among the most corrupt countries in the world.
BASIC Bank Limited is a fully government owned bank in Bangladesh which was founded on 2 August 1988. The bank was founded to finance small enterprises.
Padma Bank Limited, formerly known as The Farmers Bank Limited, is a private commercial bank headquartered in Gulshan-1, Dhaka, Bangladesh. The bank was established in 2013. The fourth generation bank commenced its banking operation on June 3, 2013. By an order On 29 January 2019 Bangladesh Bank has changed the name of The Farmers Bank Limited to Padma Bank Limited after the bank failed to pay its liabilities due numerous bad loans and embezzlements.
The jute industry is a historically and culturally important industry in Bangladesh. Once one of the country's biggest industries and major export items, the jute industry has declined since the 1970s. Exports have fallen as other countries grow jute and other products like plastics and hemp find more widespread use. As of 2018, Bangladesh produces 33 percent of the total worldwide production of jute.