OFFICE MEMO

Date : September 29, 2022

Subject: Misappropriation at Unicap Investment Limited.

Mr. Salamul Latif Chowdhury, CEO of Unicap Investment Limited on 29/09/2022 informed the MD &
CEO (CC) of Union Capital Limited regarding an incident of misappropriation of money committed by
one of their employees namely Mr. Mahadi Hasan, CFO of Unicap Investment Limited.

Immediate after hearing the issue, the Managing Director & CEO (CC) of Union Capital Limited
formed an Advisory Committee consist of the following members:

1. Mr. A.N.M. Golam Shabbir, MD & CEO (CC) Chairman

2. Mr. Fazle Karim Murad, EVP Member
3. Mr. Muhammad Salah Uddin, SVP Member
4. Mr. Mahbub Alam, VP Member
5. Mr. K.M. Forhad Abedin, VP Member
6. Mr. Mohammad Balayet Hossain, VP & CFO Member

The advisory committee asked Mr. Salam to present the detail about the incident and consequently
what measures he was taken. Mr. Salam inform the committee that on 07/09/2022 Mr. Sabuj, Senior
Executive Officer working in the accounts of Unicap Investment Limited noticed that TK. 100,000
debited from Bank Asia Ltd on 25 August 2022. To find out the corresponding entry Mr. Sabuj checks
the bank statement for the previous year initially and found 14 such transactions from 30 January
2022 to 25 August 2022 of total amounting Tk. 13.95 Lac. He asked The Bank Asia and was
informed that these transactions are made through an internet banking facility. Then he informed Mr.
Salam of the issue on 07 September 2022 morning. Immediately after knowing this, the Bank Asia,
Corporate Branch was instructed to close the online transfer application by the Management of
Unicap Investments and involve Mr. Sabuj to find out any other irregularities and embezzlements held
by Mr. Mehedi. Upon initial investigation they found Tk.12,866,500 has been misappropriated by Mr.
Mehedi in different ways. So they issued a show-cause letter favoring Mr. Mehedi upon coming back
from leave on 19/09/2022. In reply of the show-cause letter Mr. Mahadi confessed his misdeed in
written and seek two months time to adjust the said fund along with interest. The advisory committee
asked Mr. Salam being head of the company, why he has taken so long time to inform such
occurrence to the parent company and also the Chairman of the company. Mr. Salam did not give any
positive answer on this. The Committee shows its dissatisfaction at the delay in reporting the incident.
In between, the Committee has a threadbare discussion on the pros and con’s on the matter and
suggest Mr. Salam, CEO of Investment Limited the following actions to take immediately to safeguard
the company’s interest:

a. Withdrawal of all official access (Software, e-mail, etc)

b. Withdrawal of all Bank transaction Signatory authority of the concern person
c. Withdrawal of all Internal Signatory authority of the concern person
d. Constitute a Domestic inquiry committee against the suspect
 e. Arrange a domestic inquiry as per the guidelines of Company’s Service Rules &
Regulations.
f. Involve Unicap Investment Limited’s Internal Audit for more findings, if any
g. Call the Bank Account information of the concern person
i. Collect his updated detail address
ii. Collect his all asset and bank information
iii. Collect his family members asset and bank information
h. The person may be advised not to leave office station as well as ex-Bangladesh
leave until further notice

Mr. A.N.M. Golam Shabbir, MD & CEO (CC) informed the incident to our Chairman and seek his
guidance on this issue. He advised the management to keep the matter secret till completion of
proper investigation and discourage to filled General Diary (GD) at this moment. He also advised to
collect the misappropriated fund from the accused and take control of all necessary sources of fund
from Mr. Mehedi and place an information memo in the next Board meeting.

The Advisory Committee discussed the matter and advised Mr. Salam to conduct further investigation
with the help of parent company. On 30/09/2022 to 01/10/2022 an investigation team conducted an
audit and found some other misappropriation of fund with a tune of Tk…… The Committee feels a
comprehensive investigation/audit of the matter to find out the real picture.

The advisory Committee also proposed to the Unicap Investment CEO regarding the suspension of
the concern person as the matter is related to money embezzlement of the company, which is
tantamount to gross offence. This suspension may continue until the completion of the Investigation
process.

An information memo will be place before the Board in its next meeting as advised by our Chairman of
the Board.

Mohammad Balayet Hossain, VP & CFO K.M. Forhad Abedin, VP

Member, Advisory Committee Member, Advisory Committee

Mahbub Alam, VP Muhammad Salah Uddin, SVP

Member, Advisory Committee Member, Advisory Committee

Fazle Karim Murad, EVP A. N. M. Golam Shabbir, MD & CEO (CC)

Member, Advisory Committee Chairman, Advisory Committee