539 4 aa hast ae “ 3 ee — eae TSA ore apre F A oe a foes ee ps a) = I IN THE SUPREME COURT OF BANGLADESH HIGH COURT DIVISION (STATUTORY ORIGINAL JURISDICTION) Financial Institution Matter No. 01 of 2019 IN THE MATTER OF ; An Application for modification of the Orders dated 14.07.2019 and 05.12.2019 S AND ———~ —_ N Bangladesh Bank Petitioner -Versus- People’s Leasing and Financial Services I:td and others +» Respondents. Mr. Tanjib-ul Alam with Mr. Kazi Ershadul Alam, Advocates ++++.«For the Petitioner Mr. Mejbahur Rahman, Advocate «For the PLFSL Mr. Shah Monjurul Hug with Dr. Syeda Nastin, Advocates 5 For the Respondent Nos,3, 45 & 48/Applicants The 12" April, 2022 Present: Justice Muhammad Khurshid Alam Sarkar By filing three separate applications, the respondent No. 3-applicant + (Cpt M. Moazzem Hossain), the respondent No. 45 (Bhsan-E-Moazzam son of Cpt. M. Moazzem Hossain ) and the respondent No. 48 (Farzana Monzzam, wife of Cpt. M. Moszzem Hossain) (hereinafter referred 10 as “the Applicants”) pray to this Court to modify the Orders dated 14.07.2019 and 05.12.2019 The leamed Advocate Mr, Shah Monjurul Hoque along with Dr. Syeda Nasrin appearing on behalf of the respondent né 3-applicant (Cpr.M. Moazzem Hossain) prayed for vacating / modifying the restraint orders dated 14.07.2019 and 05.12.2019, so far as it relates to this respondent no. 3-applicant submitting that by the orders of restrains the applicant has been stopped from using his money in his bank accounts ‘and B.O. account since 14.07.2019, even for bare subsistence, and passing extremely hard days in miseries; he cannot do any of his business which is causing serious loss and creating tremendous financial crisis to his business and all the related stakeholders who are directly and constructively connected with his business concems; that accumulating all the liabilities (approximate) the petitioner (Bangladesh Bank) submitted a supplementary affidavit dated 5.9.2021 containing the entire allegations against the applicant, particularly in the table as mentioned under paragraph No. 9 a detail breakdown has been given, and in response, the applicant earlier submitted affidavits in replies and supplementary on several dates. His further contention is that neither the Bangladesh Bank nor the PLFSL could provide any specific allegation of money siphoning or fund embezzlement against the applicant. By a supplementary he denied stating as follows ~ inaues oF Take Reply Irvegularity ¥ Loan to Zenith (Tk 12,61 Grove) + Zephyr (Tis 1010 Crore) = wR 227i Crowe (Page 3 of alftvitn opposition of petitioner dated 255.2021). 1, Sale of land | Interest to Zenith and | claims of |'8 Tk. 35.00 Crove repaid by selling out 31,58 Katha Land of Zenitn & Zephyr Zephye TK 298,00, | towards settlement of thei lonn (P.6 sbi). Holdings o0,00ci Limied and 44 Th. 53.05 Croce repaid by sling out 35.03 kate towards settlement ofthe loan using ‘the sale ‘af ater borrowers (P.8 ibid). proceeds for 5 twa ease 1 This wis a colletive decison by the hoard of PLFSL. PPL, Zenith & Zephyer Hollings ‘ Lid. absolutely for recovery oF outstanding liabilities of some associates ofthe land ‘winer companies. # All the relovant bonrd resolutions, MOU &¢ TPA dated 27.04.2014, MOU & TPA ated 142.2019 along with ACC flagings, No Liabiliy Certificates ete, were with necessary annexure. # PLESL eould not get reais Submitted to this honersble cour by affidavit on 02.02.2021, 07.06.2021 & 26:09.2021 ed sule deeds ofthe sid land due to lack of permission‘Wow Bangladesh Bank ® Land sold to Lipro Lener 4 The deponent only acted as the power of attorney holder on thal of paramount bropertes and did not take a single amount of money: The depanent should 0. have any personal fsb # Hence, no liability ofthis deponent. 2. Outstanding | Th. foan “of Great | 77,08, 1207 Wall Properties 4 Already adjusted loa and the loan wes a seeuted loan, # The epanent was director. He resigned & Great Walls land properties Lid Limited isrun by others, {7 E-Securiles isa profiable concera. PLFSL vsed E-Seuilies asa securhics| brokerage only. Neither E-Securities nor any of is clients avaled any margin 3g on Joan from PLESL, Limes 823,06,35.8, . 2340 # All share accounts belonged to PLESL sn the cespective account holders joint, PLESL had total Tk. 7,038 772,757.04 in different share accounts and recovered ‘Tk: 8,960,893.045.98- from the account with approximately Tk. 200 Crore prof 4 PLESL withdrew the remaining additions! profs shares worth approximately “TK. 250 Crore / closed all share accounts with E-Secuities liom November, 2015-2017, #PLFSL obtained shares of E-Securties atthe lowes! price all duc diligence were made & executed, #PLESL purchased 1,28,295 shares face value @ Tk. 100 each on 17.12.2014, @ Price of Tk 69978600i-, when E-Seeusities could sale the same shares to any ‘outsiders @ more than Tk 8 Crores and strictly denied 4 Henceforth, question of outstanding lability docs not ae ny such Habits, 4. Shares of Ss. | 1h ° Su and | 8.63,28,125 dividend , 5 Pre-1PO/Private placed offered in 2015. PLFSL invented TH 625.50,000 Tor 62,35.000 shares, # SS Stec alloted 31,25,000 shares in 2018, $ stel file t6 alot rest 31.25,000 shares in favor of PLES. # Ac tha ine, this deponent was not in Boaed of PLSFL. Thus, there arses ‘0 question of talk/advice to SS see on behalf of PLPSL by this daponene Moreover, PLFSL. & SS Stesi Lie. made MOU; Agresment for share transl, signed 117 forms in 1S" November, 2018 8 ftidavi with al relevant documents was fled on 62.02.2021 stung all issues swith $5 Stee. 2 Nis bgoluel the duty ofS Stel to make sure the proper linet of area 35 Pe private placement. S.. Steel Lid. issued the prospectuses lor IPO and same ‘was approved by BSEC. Thus, both PLFSL & 8. Stee! Lid, are liable wo stl ne ase # teid not do so. tt inet iegaity. Moreover, SS Steel Lid. paid rest amount to PLESL before this Hon'ble Cour. # So all ibiities adjusted. No liabitity ata, 5. Outstanding | 790,39,10.3 Joan withowt | 38/- *W There Ir no specific evidence against these eutstanaing” 4 No iabitty was issued by PLASI. in favor ofthis deponent long ater his resignation seeuity # This oustanding amoun: was neither been secured nor geared by him in any way (tal or onsutve. It is also contended that currently ail the personal and business accounts of the applicant and his family members are under freeze and thelrnames are appearing in the CIB due to this case. For that reason, under the given situation no bank would agree to issue bank guarantee in his favor Moreover, thé entire business, financial affairs, share accounts, property transfer ete, all under freeze since’ July 3019 due to this case. The applicant’s market reputation and social position are also under disdain, This stigma has already broken him physically, mentally, socially and financially. Nevertheless, at this stage this Court will not travel into the merit of the counter replies of the applicant. Therefore, leaving the same for further adjudication, this Court considering the hardship of the applicant and also hot to create any embargo on the business has decided to consider his Application for modification of the orders of restrain on certain conditions to be mentioned hereinafter. In the context, the Court asked him to submit a complete list of his properties and, in compliance thereof, he submitted a list of properties by way of supplementary affidavit dated 20.02.2022 (entry No, 1203) In addition, the leamed Advocates also prayed for vacating the orders of restrains for the respondent No. 45 (Ehsan-E-Moazzam, son-of Cpt. M. Moazzem Hossain ) and respondent No. 48 (Farzana Moazzam, wife of Cpt. M. Moazzem Hossain) contending inter alia thit they do not have any shates in the PLFSL and they were merely nominee directors for a limited period of time and they were not involved with misappropriation of dated 20.02.2022 (entry Nos. 1204 money of PLFSL. By separate a & 1208) they also provided list of their properties. It appears. from the record that the applicants by filing these applications endeavoring to pursue this Court to get the relief ie.modification of the aforesaid restraint Orders dated 14.07.2019 and 05.12.2019 for more than’2 (two) years but the petitioner-Bangladesh Bank and the respondent No.1- People’s Leasing and Financial Services Ltd. (hereinafter referred to as the ‘PLFSL”) sought to resist the prayers of these applicants by raising ari allegation that because of the respondent no, 3- applicant (Cpt. M. Moazzem Hossain), an well operated. Financial Institution i.e. the respondent No.l- PLFSL his now tumed into a sick company. However, the PLFSL arid Bangladesh Bank proposed that the Orders of restraint may be modified subject to the-condition that the applicant should furnish a personal undertaking along with Bank Guarantee Covering the amount of losses suffered by the PLFSL tentative amount Which is near about 1920 crore, as per verbal submissions made by the learned Advocates for the Bangladesh Bank and PLESL. To this end, this Court asked the Bangladesh Bank and the PLESL to come up with a specific demand in the form of an affidavit as to the amount .0f money that they ate claiming ftom this applicant. The learned Advocate for the PLFSL though sought adjournments on numerous occasions but till date they have not been able to come up with any ‘specific amount of money that can be demanded from this applicant, c Consequently, this Court asked the Iéared Advocate for this applicants to furnish the list of moveable and immoveable properties owned by the applicants before this Court to consider. their applications and, in compliance thereto, the respondent No. 3-applicant (Cpt. M. Moazzem « Hossain), the respondent No. 45 (Ehsan-E-Moazzam, son of Cpt. M. Moazzem Hossain ) and the respondent No, 48 (Farzana Moazzam, wife of Cpt. M: Moazzem Hossain) have filed three Separate affidavits fromwhereit appears to this Court that the applicants own shares of a number of private and public companies and also they are the owners of a huge landed properties, the value of which tentatively would be around 500 crores, To this end, the Bangladesh Bank and the PLFSL jointly submit before this Court, if the applications are allowed they do not have any objection subject to the condition that the applicants shall not withdraw more’ than: Tk, 50,000/- (fifly thousand) only per month from ‘every individual company in their personal capacity i.e. in the capacity of directors and, further, pray to this Court to attach the properties of the applicants schedule of which given inthe affidavits dated 20.02.2022 (entry Nos. 1203, 1204 & 1205) and also to keep the restriction on free movement of the applicants in abroad. 7 Given that this Court usually ‘allow this type of application(s) upon taking personal undertaking and Bank Guarantee or in the alternative attaching properties and, further, this Court is always in favour of allowing the businessmen to run their respective business, therefore, this Court finds it proper that if the applications are allowed upon attaching the properties which are listed in the supplementary affidavits dated 20.02.2022 (entry nos. 1203, 1204 & 1205), then, jtistice would be done for now and. further Since the learned Advocate: for the petitioner-Bangladesh Bank and PLESL have given consent regarding vacating the interim ‘Orders imposing some certain conditions, so far as it relates to the applicants, this Court is of the orders view that if the applications are. not allowed vacating the int dated 14.07.2019 and 05.12.2019, the applicants shall suffer irreparable losses.Moreover, since the Respondent Nos. 03, 45 & 48 Applicants, by appearing before this Court, have given individual undertaking on oath in the following manner; “I do hereby solemnly affirm and, say as follows; Today, I have appeared in person before this Court for the purpose of furnishing personal undertaking declaring that after carrying out required scrutiny by this Court, if it reveals that I was responsible for the loss and damage of the People’s Leasing and Financial Services Ltd-PLFSI, (In- liquidation) and the amount of security which I have given before this Couirt in the form of affidavit dated 20.02.2022 (entry No.1203) i.e, list of my properties are found to be insufficient to meet up the due claim of depositors and creditors, at the time of dissolution of the company, in that event, I shall be personally liable to pay off my proportionate portion of liability. Further, 1 do hereby solemnly affirm and declare that without-prior permission of this Court, I shall not sell, transfer: or disposed of my aforementioned moveable and immovable properties : including the shares, list of which are given in the aforesaid affidavit dated 20.02.2022 (entry No.1203) and if I would fail to keep my declaration which I am giving before this Court, I have no objection if this modified Order is recalled and vacated and, further, the restriction Orders dated 14.07.2019 and 05.12.2019 are restored and imposed upon me”, Therefore, this Court is inclined to modify its Orders. dated J 07.2019 and 05 12.2019, so far as it relates to the respondent No. 3- applicant (Cpt. M. Moazzem Hossain), the respondent No. 45 (Ehsan-E- Moazzam, son of Cpt, M. Moazzem Hossain ) and the respondent No. 48(Farzana Moazzam, wife of Cpt. M. Moazzem Hossain), all are of House No, 271, Eastern Road, Baridhara DOHS, under Police Station: Gulshan, within District: Dhaka, a former Chairman and Directors respectively of respondent No, 1-Company-People’s Leasing and Financial Services Ltd- PLFSE) with the following Orders and Directions; (i) (ii) (iti) Orders dated {4.07.2019 and 05.12.2019 passed by this Court shall not be applicable for-the respondent No. 3-applicant (Cpt. M, Moazzem Hossain), the respondent No. 45.(Ehsan- E-Moazzam, son of Cpt. M. Moazzem Hossain ) and the respondent No. 48 (Farzana Moazzam, wife of Cpt. M Moazzem Hossain), all are’ of House No. 271, Eastem Road, Baridhara DOHS, under ‘Police Station: Gulshan, within District: Dhaka, “a former Chairman and Directors respectively ‘of respondent No, 1-Company-People's Leasing and Financial Services Ltd- PLFSL). The respondent Nos. 03,45 & 48-applicants shall not withdraw any money in their personal capacity ie. in the capacity of directors trom any of the companies owned by them, except the remuneration as fixed in the AOA or by the resolution of the BoD. However, they shall be at liberty to approach this Court for withdrawing any additional amount of money, if so required, for the purpose, of smooth running ofliv) (vy) (vi) ye the businesses of the companies, subject to the condition that they shall file the statements informing this Court the purpose of the need for the money. The. Secretary, Ministry of Home Affairs (Public Safety Division) is directed to notify all the concerned authorities that the respondent No. 03 (Captain’Moazzam Hossain), the respondent No. 45 (Ehsan:E-Moazzam, son of Cpt: M. Moazzem Hossain ) and the respondent No. 48 (Farzana Moazzam, wife of Cpt, M. Moazzem Hossain) shall not be allowed to travel abroad till disposal of this matter. The moveable and immovable properties including the shares scheduled of which are given in the affidavits dated 20.02.2022 (entry nos. 1203, 1204 & 1205) are hereby attached as security for the payment of any prospective decree to meet up the due claim of depositors and creditors, at the time of dissolution of the company until further order. In the event of satisfying this Court that the applicants are not under Obligation to pay the aforesaid claim of depositors and creditors, or if sufficient and proper security is furnished in favour of the respondent No.1-Compnay-PLFSL against the claim of the Petitioner to the satisfaction of this Court, the aforesaid properties, may be released from the order of attachment. The respondent Nos. 03, 45 & 48-applicants shall not create ‘any encumbrance upon the properties registered in the name of ‘the companies scheduled. of which are given, in the aforesaid affidavits dated 20.02.2022 (entry nos. 1203, 1204 & 1205) or they own in their personal capacity without prior permission of this Court. The Inspector General of Registration. (IGR) is directed to circulate this Order upon all the concerned District Registrars of concerned ‘Districts, namely, Dhuka, Jhalokethi, Barish),Savar, Rupganj, St. Martin, Gazipur, Bhaluke, Munshiganj and Gopalganj giving direction upon them to notify all the concemed Sub-Registrars regarding attachments of‘ the aforesaid properties, list of which are given in the affidavits dated 20.02.2022 (entry nos. 1203, 1204 & 1205 and schedule of the same arc given in the affidavit dated 02.02.2021, under entry No.711, annexed as annexure —X-23), so that they can take note and do the needful accordingly. Let this Order be communicated at once through Special Messenger at the costs of the Applicants to the Governor of the Bangladesh Bank, the Secretary, Ministry of Home ‘Affairs (Public Safety Division) and the Inspector General of Registration ([GR) along’ with copies of list of properties descriptions of which are given in the affidavits dated 20.02.2022 (entry nos. 1203, 1204 .& 1205 and schedule of the same are given in the affidavit dated 02.02.2021, under entry No.7I'l, annexed as annexure ~X-23) Additionally, Dr. Syeda Nasrin, learned Advocate for the Applicants, is directed to take this Order by hand from the Bench Officer of this Court for reference. The applicants have expressed their willingness to spend an amount of Taka 2,00,000/- (two lac) only each i.e. total amount of Taka 6,00,000/- (six lac) only as part of their company’s CSR expenditure, through Pay Orders (which are to be deposited to the concerned company section) out of which (i) BDT. 1,00,000 (One Lae) only to Romanathpur Motlapara Jame i, Khoksha, Kustia, (ii) BDT. 1,00,000/- (One Lac) only to CharigramMaddhyerhati. Baitul Mamur Jame Masjid,, Mithamoin, Kishorgonj, (ii) BDT. 50,000/- (fifty thousand) only io Kathalbari Madina Jame Masjid, Niata, Gopalgoni, (iv) BDT. 50,000 (fifty thousand) only to Dr. Kawsher Uddin Ahamed Foundation, Atigram, Mirpur, Kushtia-7000, (v) BDT. 50,000/- (fifty thousand) only to Hazi Kalu, Mohazon Bari Baitul Aman Jame Masjid, Uzirpur, Barishal, (vi) BDT, 50,000/- (fifty thousthd) only to Ghoga Jame Masjid, Muktagacha, Mymensingh, (vii) BDT. 50,000/- (fifty thousand) only to Eakubdondy Chandmia Munsi Jame Masjid Complex, Eakubdondy, Patia, Chattogram, (viii) BDT. $0,000/. (fifty thusond only ‘0 Mitara Jame Masjid, Mitara, Dighimpar, Tangibari, Munshigonj,. (xi) BDT. 50,000/- (fifty thousand) onty to Jangalia Jame Masjid, Kaborasthan & Eidgah Complex, Noapara, Lowhajang, Munshigonj’ and (x) BDT. 50,000/- (fifty thousand) only to Dakkhin-Purba Kabilpur Nure Gausia Jame Masjid, Senbag, Noakhali. On furnishing receipt of payment, the order may be drawn up, ifso prayed for, Muhammad Khurshid Alam Sarkar ode << G— 02 Memo No. GAPL O.S. Dated- LE q y forwarded for information necessary action as ble Court's arded for info 01 4 r 0"! py forwards Order Dated 12.4.2022 upon the Concern offi Govornor, Bangladesh Bank, Motijheel, Dhaka, He : of Home Affairs (Public Safety Division), Dhaka. tion (GR), Dhal Secretry, Mi 2 Th 3. The Inspector Ger sral of Registra Mies ee Assistant Regt (Civil Original Ju a ; | Superinie upjreme Court-of Banglades ey i f2h Court Division, Dhaka. oy VU Composed by: Saittll [slam Read a 445 aan . am by re oy BU :