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The securities regulator has formed probe committees to inquire into the utilisation of funds raised by BEXIMCO through bonds in 2021 and 2024.
The company raised Tk 30 billion in 2021, issuing Beximco Green Sukuk bonds. The bond proceeds were meant for solar projects -- Teesta Solar and Korotoa Solar -- to produce electricity from renewable energy and transmit it to the national grid.
In 2024, the conglomerate collected funds worth Tk 15 billion through IFIC Guaranteed Sreepur Township Zero Coupon Bond to invest in real estate.
Md. Abul Kalam, spokesperson of the Bangladesh Securities and Exchange Commission (BSEC), said the securities regulator earlier launched a probe into the approval process of the bonds.
The inquiry committees had not investigated whether the bond funds were utilized properly. "That's why two other committees have been formed to see if funds were misappropriated."
In the order issued on Wednesday, the BSEC said a three-member committee would also look into the role of the issuer company, trustees, and the auditor of Beximco Green Sukuk Bond.
The Investment Corporation of Bangladesh (ICB) was the trustee of the bond while MJ Abedin & Co. Charted Accountants was the auditor of the Sukuk Bond.
On the other hand, Sandhani Life Insurance Company was the trustee of the Sreepur Township Zero Coupon Bond while MJ Abedin & Co. was the auditor. The controversy surrounding the bond arose as BEXIMCO published false information about the instrument.
Although IFIC Bank was not the issuer, BEXIMCO published ads announcing "IFIC Aamar Bond" to attract subscribers. Another BSEC investigation had revealed that a greater portion of the paid-up capital of the Sreepur Township project was taken away just after the fund collection.
Around 70 per cent of Beximco Green Sukuk Bond was subscribed by banks allegedly under duress.
Several asset managers, merchant bankers, and bankers alleged that they had been forced to buy the Shariah-compliant bond.
The Sukuk bond holders have so far continued to receive interests from investments. But concerns over the payment of remaining interest and principal still persist.
The tenure of the Sukuk bond is set to end in December 2026. A move is underway to extend the tenure for another five years over repayment concerns.
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