The New Nation - Internet Edition

Staff Reporter

The ICB Finance Group Holdings AG, Switzerland has proposed Tk 350.67 crore to purchase 50.10 per cent shares of Oriental Bank in their tender quotation. The company was announced the top bidder among the two companies who have qualified in technical tender evaluation earlier.

Another bidder was the Domestic Investors Consortium, who has proposed Tk251 in their tender proposal, said Deputy Governor of Bangladesh Bank and Chairman of the Tender Evaluation Committee Mursheed Kule Khan.

He also informed that the formal announcement of the preferred bidder would be held after further evaluation by the Central Evaluation Committee, as per scheduled.

"Further evaluating the financial biddings of ICB and Domestic Investors Consortium, the central bank will announce final approval on February 11, 2008. The final name of the purchaser of Oriental Bank will be officially announced on February 14, 2008," said the Deputy Governor of Bangladesh Bank.

He was talking to the media after formally unwrapping the tender proposals of the two parties in their presence at the Bangladesh Bank office yesterday.

On February 28, 2008 the formal signing of Sale and Purchasing Agreement will take place, as scheduled.

Bangladesh Bank called for tender to sale 50.10 per cent share of Oriental Bank on August 02, 2007. Face value of the tender was set at Tk 350 crore. Total six companies submitted their primary tender offer on September 23 of the same year but only two companies submitted their final tender to the Bangladesh Bank on December 12, 2007.

Companies, which have withdrawn their participation from the tender of Oriental Bank, are the BRAC Bank Ltd Bangladesh, Summit Industrial and Mercantile Corporation (Pvt) Ltd. Bangladesh, Hatton National Bank Ltd Sri Lanka and East Invest Private Equity Ltd. UK.

Officials present at the tender opening session were, member of selection committee and Joint Secretary of Finance Ministry Amolendu Mukharjee, Joint Secretary of the Ministry of Law Khademul Islam Muhammad Bilal, CEO Bangladesh Bank Yasin Ali, General Manager Nobogopal Bonik, General Manager of Oriental Bank Jahangir Alam, ICB representative Harith Bin Harun and representative of Domestic Investors Consortium Motiul Islam.

Mentionably, the central Bank discovered Tk596 crore capital of the Oriental Bank was mislaid in 2006 by some management members and staff. Then BB took over the control of Oriental Bank on June 19, 2006 to safeguard depositors' interest.

On the same day, managerial body of the bank was dissolved and its MD CM Kayes was suspended. After sufficient investigation, the central bank under the bank company rules, confiscated all the movable and immovable property of its two major share holder Obaidul Karim and Abul Khaleq Litu.

To reorganise the bank, Bangladesh Bank set a roadmap, which received approval on August 3, 2007. The central Bank called for tender on August 6 of the same year as part of their road map.