AB Bank controversies
Controversies tied to this brand in public sources. A listing is not a finding of fault.
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2022
High Court criticism over arrests in embezzlement case
On 14 June 2022, the High Court Division criticized the Anti-Corruption Commission and Bangladesh Police over their failure to arrest 15 accused individuals in a 1.76 billion taka embezzlement case.
2019
AB Bank files suit over alleged $20 million laundering
Lawsuit filed
AB Bank filed a case against 15 people in a Dhaka court seeking to recover $20 million, alleging that the defendants conspired to defraud the bank and that bank officials failed to follow proper procedures and keep proper records.
Stated objective. To realise the amount.
Source excerpt
“It has been alleged that the defendants of this case were parties to a conspiracy to defraud AB Bank of $20 million and for which the bank officials did not comply with proper internal procedures and failed to keep proper records,” it said.
AB Bank has filed a case against 15 persons, including a former chairman and two managing directors, over their alleged involvement in laundering $20 million abroad.
The private commercial bank filed the suit on November 20 with the 1st Joint District Judge’s Court in Dhaka to realise the amount
2016
Embezzlement convictions involving former vice president
A former AB Bank vice president and his wife were sentenced to life imprisonment for embezzling 67.4 million taka from the bank.
2008
Securities-law enforcement over excessive margin loans
AB Bank was fined 100 million taka in February 2008 for securities-law violations involving excessive margin loans. The cited account states that many loans from the merchant-banking wing went to bank employees and their relatives.
Alleged embezzlement and laundering cases
A former deputy managing director was charged with allegedly embezzling 3.25 billion taka. Bangladesh Bank also investigated alleged laundering of 1.65 billion taka to the United Arab Emirates, naming Cheng Bao General Trading LLC and Pinnacle Global Fund Pte Limited in the investigation. The Anti-Corruption Commission also alleged that M. Morshed Khan, identified as the bank's founder, had improperly favored loans to Citycell, a company also owned by him.