New law for speedy loan recovery on the cards

The government has decided to enact a new Money Loan Court Law (Artha Rin Adalat Ain) in order to accelerate recovery of loan money from the borrowers.
"A new Money Loan Court Law will be enacted soon for making the money loan court an effective and independent one," Law, Justice and Parliamentary Affairs Minister Moudud Ahmed said this while reviewing a draft bill on the new law at a meeting yesterday.

In the meeting, it was told that some 40,139 cases involving Tk 9,048 crore were pending and the concerned banks could not play effective role in realising the loan from the borrowers due to weaknesses of the existing Artha Rin Adalat Ain enacted in 1990.

Suggestions on the new bill regarding trial, appeal and other processes of the court have been sought from the officials of Bangladesh Bank and other nationalised banks.

The meeting urged the bank authorities to give suggestions by a week to formulate a strong, up to date and effective law in order to eradicate loan-default culture by reforming the existing law.

Finance Secretary Zakir Ahmed Khan, Internal Resources Division Secretary Dr Soeb Ahmed, Bangladesh Bank Governor Dr Fakhruddin Ahmed and managing directors of Sonali Bank, Agrani Bank, Shilpa Bank, Islami Bank, House Building Finance Corporation, Investment Corporation of Bangladesh and high officials of the Finance Ministry were present in the meeting, said a handout.