Mustafa Kamal assures People’s Leasing depositors of payback
Many depositors are unable to pay for their family expenditures, study of their children and treatment of ailing family members
Finance Minister AHM Mustafa Kamal has assured depositors of the People's Leasing and Financial Services Ltd of arranging a faster procedure to return their money.
"We will take an effective step after talking with the Bangladesh Bank to return the Tk700 crore of 6,000 depositors of People's Leasing," the minister told a delegation of the depositors at his Planning Commission office today.
During the meeting, the depositors told the minister that they are living in uncertainty – many not being able to pay for their family expenditures, study of their children and treatment of ailing family members.
They said one of the depositors had died after suffering a heart attack a few days back and another is a cancer patient and cannot afford the treatment.
People's Leasing initiated liquidation on June 26 as per the government's directive, after losing the capacity to pay its depositors.
Of its total outstanding loans amounting to about Tk1,131 crore, more than 66 percent has turned non-performing.
The company could not give any dividend to its shareholders after 2014 as its financial state started to deteriorate.
Almost 68 percent of the total share of People's Leasing lies with the general shareholders, while slightly over 23 percent is with the sponsors and directors, around 9 percent with other institutions and 0.19 percent with foreign investors.
