Two banks fined for breaking stock investment rules

The Bangladesh Bank has fined private commercial Exim Bank and Premier Bank Tk 50,000 each for violating the stock investment rules. The banking regulator on Thursday sent letters to the two banks imposing the fine.

The central bank has also issued a warning letter to four more banks for the same violation. The banks are - Global Islami Bank, Eastern Bank, Union Bank and Agrani Bank.

The banks were investing in the stock market from the Tk 200 crore special fund for the market by violating the rules, said a high official of the central bank. 

In February last year, Bangladesh Bank allowed banks to form a Tk 200-crore special fund each with low-interest loans from the central bank to invest in the stock market.

The central bank earlier fined NRB commercial bank and NRB bank for breaking stock investment rules.