Khurshid Alam new chairman of Islami Bank

Bangladesh Bank has appointed Md Khurshid Alam, a former deputy governor, as chairman of Islami Bank PLC, hours after the previous chairman resigned.

Khurshid was one of the top BB officials who were forced to leave the central bank by over a hundred protesting officials of BB on August 6, 2024, a day after the fall of the previous Sheikh Hasina government following the July uprising.

Late yesterday evening, the day before the country entered a nearly week-long Eid holiday, the BB issued a letter to the managing director of Islami Bank appointing Alam as an independent director and chairman of the largest Shariah-based bank.

The appointment of Khurshid has sparked widespread discussion in the banking sector.

Before the appointment, M Zubaidur Rahman, independent director and chairman of Islami Bank, resigned, citing personal reasons.

He submitted his resignation letter to the BB governor, according to Arief Hossain Khan, executive director and spokesperson for the central bank.

However, several officials of both BB and Islami Bank, speaking on condition of anonymity, said that he was forced to resign.

Officials said the board of Islami Bank was scheduled to hold a meeting yesterday. Zubaidur was supposed to attend the meeting.

However, at around 4:00pm, he met the BB governor and resigned, they added.

Insiders said that after the BNP-led government assumed power, differences emerged between top officials of BB and senior executives of Islami Bank over various decisions concerning the bank.

A few days ago, a group of people staged a demonstration demanding the resignation of Zubaidur.

Earlier last month, Islami Bank sent its managing director, Md Omar Faruk Khan, on leave for more than one and a half months.

Md Altaf Hossain, an additional managing director, was made acting managing director during Faruk’s absence.

Faruk came to the bank yesterday, but an organisation with the banner ‘Conscious Consumers Forum’ did not allow him to enter. They said that if he joined the board meeting, he would be forced to resign.

The Daily Star tried to reach Faruk and Zubaidur over the phone, but they did not respond.