Four independent directors of Al-Arafah Islami Bank have resigned following instructions from Bangladesh Bank.

The resigning directors were members of the five-member independent board of directors formed by the central bank after dissolving the previous board following the fall of the Awami League regime in August 2024.

The four directors are former Executive Director of Bangladesh Bank Md. Shaheen Ul Islam, former Deputy Managing Director (DMD) of NRB Bank Md. Abdul Wadud, Chartered Accountant Mohammad Ashraful Hasan (FCA), and Dhaka University Professor M Abu Eusuf.

Of the five independent directors on the previous board, only Khwaja Shahriar, former Managing Director (MD) of LankaBangla Finance, currently remains in his post. Bangladesh Bank formed the bank's board on October 3, 2024, appointing Khwaja Shahriar as chairman alongside these five independent directors.

Resignations Follow Return of Old Owners:

According to a Bangladesh Bank source, the central bank itself had appointed those independent directors. Later, after control of the bank was handed back to the original owners, the former independent directors were asked to resign.

A central bank official said that the context for the independent directors appointed by the central bank to perform their duties has changed. The decision for their resignation came after control of the bank was returned to the old owners.

Sources revealed that after individuals associated with the original ownership returned to the board of Al-Arafah Islami Bank on July 15, the independent directors felt a sense of discomfort regarding various matters, leading to their resignations.

Members of the New Board

In the new board formed on July 15, Badiur Rahman was made Chairman of Al-Arafah Islami Bank, while Liakat Ali Chowdhury became Vice Chairman.

The directors include KDS Group Chairman Khalilur Rahman, his son Salim Rahman, KDS Garments representative director Mahbub Ahmed, Mohammad Abdus Salam, Nasmul Ahsan Khaled, Md. Enayet Ullah, Ahamedul Hoque, Mohammad Imadur Rahman, Md. Rafiqul Islam, Anwar Hossain, and Mesbah Uddin Ahmed.

The resignation of the four independent directors marks a major shift in the structure of Al-Arafah Islami Bank's independent board of directors formed under the initiative of the central bank in October 2024. Now, out of the previous five independent directors, only Khwaja Shahriar remains in office.