Bangladesh Industrial Finance Company (BIFC), a non-bank financial institution (NBFI) saddled with massive defaulted loans and losses, is going to hold its annual general meeting (AGM) after four years.
The NBFI, which has around 97% of its loans defaulted due to irregularities in its disbursement process, could not hold any AGM since 2018.
The pending AGMs of 2018 and 2019 will be held on 29 November as it has received an order from the High Court in this regard.
According to the company data, it has incurred massive losses in the years when AGMs were not held.
In 2018, the financial institution incurred a loss of Tk131 crore. In the previous year, it experienced the highest loss of around Tk700 crore.
In 2017, BIFC had to maintain a provision of Tk608.85 crore after it declared all of its disbursed investments defaulted, resulting in massive losses.
Upon a High Court order, the company had earlier set 17 May of this year to hold the pending AGM of 2018, but seven days before the meeting, it said in stock exchange filings that the schedule has been postponed due to unavoidable circumstances.
As per its 2018 financials, the company was in profit till 2014 but faced a liquidity crisis for years since 2016.
Incorporated in 1996, BIFC plunged into a crisis mainly for investing in loss-making companies and due to its failure to ensure scrutiny before disbursing loans.
According to its officials, the company invested in Bangla Lion, and GMG Airlines from which it did…
