Lifetime Ban for Salman F Rahman and Son; Father–Son Duo Fined Tk 1.5 Billion

Salman F Rahman, former adviser to Prime Minister Sheikh Hasina, and his son Ahmed Shayan Fazlur Rahman have been fined Tk 1 billion and Tk 500 million respectively for defrauding investors through the “IFIC Amar Bond” scheme. In the same case, former Bangladesh Securities and Exchange Commission (BSEC) Chairman, Professor Shibli Rubayat-Ul-Islam, has been permanently declared unwelcome in the capital market.

The decision was made during the 965th BSEC Commission Meeting on Tuesday, 29 July, chaired by current Chairman Khondkar Rashid Maksud. A press release on the matter was issued the following day by BSEC Director and Spokesperson Abul Kalam.

Background of the Fraudulent Bond Issue

The case revolves around a bond titled “IFIC Guaranteed Sreepur Township Zero Coupon Bond”, which had a face value of Tk 15 billion and issue value of Tk 10 billion. It was approved during the BSEC’s 871st commission meeting on 4 June 2023, with the consent letter issued on 12 July.

The issuing company, Sreepur Township Limited, was registered on 2 March 2023 — merely a month before applying to issue the bond on 11 April. Key financial figures of the company at the time were:

Despite the bond not being directly issued by IFIC Bank PLC, it was promoted through advertisements under the misleading name “IFIC Amar Bond”, leading many investors to wrongly believe it was a product of the bank — a deceptive and fraudulent claim.

Entities Involved in the Bond

BSEC’s Disciplinary Actions

Based on an investigation and inquiry report, the following penalties and bans were issued:

BSEC also announced it would take necessary regulatory actions against all parties involved in violations and irregularities related to the bond issuance.

This marks one of the most high-profile disciplinary measures by the BSEC, aiming to restore transparency and trust in the capital market.