Controversy has erupted at Islami Bank Bangladesh after the country’s largest Shariah-based lender placed 4,953 employees as officers on special duty (OSD) and terminated 200 others for skipping a special competency test.
The test, organised to be taken on Saturday through Dhaka University’s Institute of Business Administration (IBA), was meant to be attempted by 5,385 staff members who were recruited between 2017 and August 2024 without job circulars, entry exams or prior experience.
But almost the entire group boycotted the assessment in protest, prompting the bank to strip them of regular duties.
The move triggered demonstrations on Sunday and Monday in Patiya, Chattogram, hometown of S Alam Group chairman Saiful Alam, whose firm controlled Islami Bank during the disputed recruitment spree. Police later dispersed the protests.Islami Bank officials said many of the recruits have questionable academic records. Two private universities — BGC Trust and Port City — have refused to verify certificates, and several employees have already been dismissed for using fake documents.
The legality of the assessment was earlier challenged in the High Court by Senior Principal Officer Md Zia Uddin Noman. Following the petition, Bangladesh Bank told him on 25 September that Islami Bank, as a private profit-making institution, has the authority to hold such evaluations and decide on staff retention under existing laws.
Bangladesh Bank spokesperson Arief Hossain Khan told TIMES of Bangladesh that the central bank issued guidance in line with the court directive.
“If those absent from the exam now face action and move to court again, the bank can argue that it acted according to Bangladesh Bank’s instruction,” he noted.
Defending the decision, Islami Bank’s AMD Kamal Uddin Jasim told TIMES, “Many staff members were hired bypassing recruitment policy. Those who skipped the IBA test have been made OSD, while some were dismissed for violating service rules and making derogatory comments on social media. Academic certificates are also under scrutiny.”
In a press release on 28 September, Islami Bank urged clients not to be misled by what it termed “false propaganda” spread by dismissed and irregularly appointed staff, insisting that the bank operates fully in compliance with state and regulatory rules.
