Salman F Rahman, Shibli Banned for Life in Bond Scam

The securities regulator has imposed lifetime bans on Salman F Rahman, former chairman of IFIC Bank PLC and vice-chairman of Beximco Group, his son Ahmed Shayan Fazlur Rahman, former IFIC Bank vice-chairman, and former BSEC chairman Shibli Rubayat-Ul-Islam for their roles in the IFIC Amar Bond scam.

In addition to the bans, financial penalties were issued: Salman was fined Tk100 crore, and Shayan Tk50 crore. The penalties relate to the IFIC Guaranteed Sreepur Township Green Zero Coupon Bond, commonly known as “IFIC Amar Bond.”

Other individuals associated with IFIC Bank, the capital market regulator, and related entities were also penalized.

Shibli Rubayat faced sanctions for procedural violations linked to both the IFIC bond and the BEXIMCO Green Sukuk. Former commissioner Sheikh Shamsuddin Ahmed was banned for five years for similar breaches.

These actions were decided during the 965th meeting of the securities regulator, following internal investigations that revealed serious regulatory violations, misleading promotions, and improper use of institutional branding to attract investors.

Although IFIC Bank was only the guarantor of the Sreepur Township bond, it was heavily marketed under the name “IFIC Amar Bond,” creating the impression that the bank was the actual issuer. The bond was issued by Sreepur Township Ltd, a real estate firm established shortly before the application. Within four days of raising funds, Tk248 crore was withdrawn, raising serious concerns.

Warnings were issued to several former IFIC Bank directors, including ARM Nazmus Sakib, Md Golam Mostofa, Md Zafar Iqbal, Quamrun Naher Ahmed, and Shudhangshu Shekhar Biswas. Enforcement action was also taken against former IFIC Bank managing director Shah Alam Sarwar.

Imran Ahmed, then CEO of IFIC Investments Ltd, received a five-year ban from all capital market-related activities.

Emerging Credit Rating Ltd (ECRL), which rated the bond, was fined Tk10 lakh.

This is not the first time Salman F Rahman has faced scrutiny. Following the 2010 market crash, a government-commissioned probe flagged his role in stock manipulation and warned against the influence of powerful figures in the financial sector.

Salman is currently in custody after being arrested on 13 August last year while attempting to flee by river. He has since been remanded in multiple cases related to financial misconduct. His son Shayan is believed to be abroad.

Shibli Rubayat was arrested earlier this year in a case filed by the Anti-Corruption Commission, which accused him of accepting Tk1.92 crore in bribes through a fake house rental agreement and orchestrating fraudulent exports. Authorities also alleged the illegal repatriation of $361,000 into Bangladesh without proper due diligence, of which Shibli allegedly received Tk1.84 crore personally.

A travel ban was imposed on Shibli, and a court later ordered the seizure of a 10-storey building he owns in Savar.