Hallmark Group case

Hallmark Group case

by MD. Mehedi Hasan (192-26-1451) -
Number of replies: 0

Years before the Basic Bank scam came to light, the n Country banking sector saw its single-biggest scam. involving a state owned Bank again. This time it was Sonali Bank.


on october 4, 2018, the Acc filed 11 cases with Romna police station in connection with the Hallmarks Group's scam. Hallmark Group's Managing Dinecton Tanviz Mahmud and 26 others were accused of misappropriating around Th. 4.357 corton from state-owned sonali Bank through Vanious means, including fraud and deception. The loan Scam took place between 2010 to 2012 using allegedly cooked up docoments. The Acc Submitted the change. Sheet in late 2013. Change were fromed against the accused in 2015 and 2016. In the case lodged oven Misappropriation of TK 474.35 cone, 81 out of 130 with new have testitied so far. Trial of the Canes are proceeding very slowly.On 23 June 2016, the High Count onder officials Concerned to dispase of three cases within six months. There has been some progness on only those Cube. Acc lawen Monmod Hassain Jahangin said. Anial of two comes were abast in the last stage. He said a single cound was holding the trial. of all 11 case causing unvoal delay. "The Count is who folding trial of many other case, he added.


case finding:


Strategic default: The scam seem that it was done Purposely, so it is called strategic default loan.


Remon ton the loun default:


1. Incompetence of Bonk personnel: The incompetence of the bank personnel  is reflected in  several way. The collateral are improperly valued. The potential Cash flows from the project for which loon are not accurately assessed.

2. In effective Judicial system.Thowunds and thousand of cases are Struck up in the loan recovery Count Many lange defaulters  manage to got stay orders  from superior  counts. As a result, recovery  actions cannot be effectively implemented in a timely manner.


Way to move forward:

First, the competence of the bank has to be improved. They have to moke Skilled in assessing  viability of the projects for which lome are sought,.valuation of the collectors  monitoring utilization of fonds and maintain dialogue with the borrowers.


Second , sound corporate governance of bank has to be ensured. The function of the bounds and the management  staff have to be clearly specified.