FROM PAGE 12

individuals or groups responsible for a bank’s collapse from returning to ownership even if all funds were repaid, TIB Executive Director Iftekharuzzaman said the inclusion of section 18(a) in the “Bank Resolution Act, 2026” guarantees impunity rather than justice.

“Whatever justification the government may offer, this decision -- one that facilitates and shields corruption and plunder -- does not ensure legal accountability for those who looted the banking sector; instead, it effectively rewards them on a massive scale, making it self-defeating.

“The fall of authoritarianism does not necessarily mark an end to the abuse of power and forcible capture in the banking sector... .” “This move by the government exemplifies that trend and is merely a continuation of the highly controversial decision surrounding the appointment of the Bangladesh Bank governor,” Iftekharuzzaman said.

“By what magic have the former owners of crisis-ridden banks, who were the pioneers of plundering this sector, suddenly attained such purity that they will deposit only 7.5 percent while the remaining 92.5 percent will be repaid over two years at only 10 percent interest?” he said.

He further questioned how such owners would inject new capital, cover existing capital shortfalls, repay depositors and creditors, meet tax obligations, compensate affected parties, and rebuild regulatory compliance frameworks.

Iftekharuzzaman also expressed concern over Bangladesh Bank’s ability to enforce post-reacquisition conditions, citing conflicts of interest. He warned that under the guise of meeting conditions, former owners might secure fresh loans on favourable terms and exploit the ongoing normalisation of loan defaults, potentially deepening insolvency in the banking sector.

“The burden of this will ultimately fall on the people,” he said.

TIB urged the government to reconsider the move.