The interim government is going to issue a new ordinance by amending the law to dismiss the government's unit from Grameen Bank. The meeting of the Advisory Council on Thursday, chaired by chief adviser Muhammad Yunus, is expected to be raised for approval of the Grameen Bank (Amendment) Ordinance.
If the new ordinance is issued, the government will be able to appoint only two directors in the bank. Out of this, all powers will be vested in the hands of the board. In addition, the ownership of the government will increase the ownership of the borrowers in the ownership of Grameen Bank.
Grameen Bank owns 20 percent of the ownership of the government; The remaining 5 percent of the borrowers. In the revised draft, the bank has proposed to reduce the ownership of the government by 5 and the remaining 5 percent to the borrowers. The bank borrowers can gradually increase the proportion of 5 percent by increasing the paid up capital. Although the government has the power to increase the paid -up share capital of the present Grameen Bank, it has been proposed to give it to Bangladesh Bank.
According to the existing law, the board was formed with three appointed government -appointed directors and three Share Holders elected directors. Instead of this provision, it has been proposed to form the board with two government appointed and 5 shareholders appointed directors.
One of the directors was appointed as the chairman of the Board of Grameen Bank. Now the jurisdiction to appoint the board chairman is being given to the board. At present, the position of the chairman may be empty or in his absence, any director other than the managing director may be given the power to fulfill the responsibility of the chairman. The draft of the ordinance was changed by changing this rule that the power of the chairman of the board could be given the power to fulfill the responsibility of the board chairman, except the managing director in his absence.
Under the current law, elected directors have been assumed for three years. Although the elected directors' term is kept for three years, the rules of retaining the post of director are being added until the next elected director is taken over.
According to the existing law, a selection committee was formed in consultation with the chairman for the appointment of the managing director of the bank. The board is being given the jurisdiction to form a selection committee.
According to the law, the managing director can stay in the service for up to 5 years. In the revised draft, there is a condition that the same rule is said that the board managing managing director will be able to increase the age of 5 years in the interest of conducting the activities of the bank.
If the post of managing director is vacant or in his absence or unable to perform his duties, the new managing director may be given the responsibility of the Managing Director with the approval of the Bangladesh Bank until the new managing director is taken over the vacant post. If the managing director does not take charge for a maximum of three months instead of this rule, the board is being added to fill the post of managing director in their single decision.
According to the present law, the chairman or director appointed by the government may resign to the government. And the managing director or elected director resigned to the chairman. However, no resignation is effective until the government or the chairman is accepted by the chairman. If the new law is implemented, the chairman or managing director or elected directors can resign to the board. However, the resignation will not be effective until the board accepts the resignation. The nominated directors of the government have to resign to the government. The government then approved it and sent it to the board and it would be considered to be adopted to the board.
Currently the quorum is in the presence of the chairman and three directors. It will change the quorum in the presence of the chairman and four directors. The current law states that if the post of the elected director is vacant, the presence of the chairman and the two directors appointed will be in the presence of two directors until the director is elected in the prescribed manner. This subsection is being abolished.
If for some reason the chairman cannot attend the board meeting, the directors present can be elected chairman to preside over the directors appointed from the government. The new draft of the existing law has changed the new draft, if for some reason the chairman cannot attend the board meeting, the directors present will be able to elect any director other than the managing director.
According to the Bangladesh Chartered Accounts Order, 1, the bank account is currently conducted by two chartered accountant firm. In order to change this rule, the amended law draft that the Grameen Bank Financial Reporting Act, 20, will be considered as a public interest organization defined under section 2 (1) of the Act. As a result, whatever the law is, the responsibility of Grameen Bank as a public interest organization will be to audit the bank's account with the listed auditor of the Financial Council under that Act.
Grameen Bank was the managing director of Grameen Bank for a long time since its inception, Professor Muhammad Yunus, who is now the head of the interim government of Bangladesh. Grameen Bank and Muhammad Yunus were given the Nobel Prize in peace in recognition of the poverty alleviation of poverty through micro -credit.
