Islami Bank Customers Protest in Motijheel Demanding Board Resignation and Former MD's Return

For the second consecutive day, members of the 'Islami Bank Conscious Customers Forum' protested outside the bank's head office in Motijheel on Tuesday (June 2), demanding the immediate resignation of the current board of directors and newly appointed Chairman Md. Khurshid Alam.

The demonstration, which began around 9:30 am, drew hundreds of customers. Protesters are calling for the board's removal, the reinstatement of recently ousted Managing Director Muhammad Omar Faruk Khan, and greater transparency in the bank's management. In response to the unrest, law enforcement remains on high alert, deploying additional police personnel, water cannons, and armored vehicles to maintain order.

Protesters expressed deep concern over the bank’s future, alleging the new leadership is tied to past mismanagement. Customer Abdul Hannan Khandaker noted that after the political shift in August 2024, public confidence in the institution had slowly recovered, leading to increased deposits and remittances.

"Just as the bank was turning around, an opportunistic group is pushing it back to the brink by making Khurshid Alam chairman," Khandaker said. He accused the previous government of handing the bank over to the S Alam Group in 2017, which allegedly resulted in massive capital flight. "Depositors will not leave this bank in the hands of looters again."

Another protester, Abul Khair Azad, strongly condemned Monday's police action against demonstrators. He alleged that Khurshid Alam—a former Bangladesh Bank deputy governor—was complicit in financial irregularities during the S Alam Group's control of the bank. Azad also criticized the sudden removal of Managing Director Omar Faruk Khan during a virtual board meeting, vowing that the movement will continue until Khan is reinstated.

The crisis escalated on May 24 when Prof. Dr. M. Zubaidur Rahman resigned as chairman, and Bangladesh Bank quickly appointed Md. Khurshid Alam as his successor. The appointment triggered intense dissatisfaction among a large faction of customers, officials, and shareholders.

On Monday morning, police used batons, tear gas, water cannons, and sound grenades to disperse a similar demonstration outside the Motijheel headquarters, leaving several injured. Despite the ongoing street protests, Bangladesh Bank has stated it will not reverse its decision regarding the new chairman's appointment.