Bangladesh Bank has removed the Managing Director (MD) of First Security Islami Bank Syed Wasek Md Ali on charges of multiple irregularities and corruption.
The bank's top executive himself was the mastermind behind long-running financial irregularities. There is no such allegation that has not been raised against him - benami loan distribution, embezzlement of deposits, and even misuse of Zakat funds.
Finally decision was made to remove him through a letter sent to the bank's chairman on Tuesday (July 15). Syed Wasek Md. Ali took charge of the Managing Director of First Security Islami Bank on March 5, 2015 with the approval of Bangladesh Bank.
Later, his contract was extended twice. But over time, his tenure became the main source of the bank's financial disaster.
Charges for loan distribution against fake names, embezzlement of deposits, and even misuse of Zakat funds were raised against him one after another. These allegations were also proven during the investigation.
In such a situation, in June, the bank's internal audit and board of directors wrote to the central bank recommending his removal from the post of MD. Based on their recommendation, Syed Wasek Md. Ali was officially removed from the post on Tuesday.
He gave huge loans and investments in the name of unknown individuals and institutions, against which there were no proper documents, collateral or any verification.
In addition, excessive investment beyond the limit, overvaluation of mortgaged properties, irregular withdrawal of money against fixed deposits and distribution of excess profits - these activities made the bank financially weak, although he had been on compulsory leave since January 5 this year.
The relevant department of Bangladesh Bank has confirmed the removal of the MD. When asked about this, First Security Islami Bank Chairman Mohammad Abdul Mannan said, "We have received the letter from Bangladesh Bank. We will take necessary measures according to their decision.'
After the fall of Awami League government through student-public led uprising on August 5, 2024, major changes were made to the boards of directors of several banks.
One of them was First Security Islami Bank which was controlled by the controversial business organization S Alam Group linked to the previous government. Their major associate was MD Wasek Md. Ali.
After the takeover of the current board of directors information about serious irregularities came to light one after another in the internal audit. A detailed report on these irregularities was presented at the 107th Audit Committee meeting held on June 1, 2025.
The report revealed that MD Wasek Md. Ali was involved in multiple financial irregularities from the top position of the bank. Huge amounts of loans and investments were given in the name of unknown individuals and institutions without proper documents, collateral or any verification.
Wasek Md. Ali also established extreme regional discrimination in appointments and promotions through personal favoritism.
The most shameful and worrying issue was the irregularities in the distribution of Zakat funds without transparency in its management.
