Outsiders not allowed in bank’s board meeting

The Banking Regulation and Policy Department of the Bangladesh Bank issued a circular on Thursday saying that outsiders should be barred from attending bank board meetings.

According to the circular, the Central Bank has received evidence of the presence of outsiders, bank officials and shareholders at the meeting of the Board of Directors or Board Support Committee.

Bank depositors are incurring losses as multiple confidential matters discussed during the board meeting were leaked by others in attendance.

So, with the exception of the directors, managing director and company secretary of the bank, no other external individual may be present at the board meeting.

The Bangladesh Bank has directed the managing directors to convey these instructions during the next board meeting.

In a circular issued on 26 December 2013, the Bangladesh Bank complained that although clear directives had been provided with regards to the attendees allowed during these meetings, these instructions were not being followed.

As per that circular, any officer of the bank may be present during the board meeting during a specific presentation, but he/she may not stay on during the entirety of the meeting.

According to the revised guidelines, concerned officers may be able to attend the meeting when summoned by the board.