To address financial strains within the Beximco Group, the Government has decided to either sell or lease several of the conglomerate’s companies. This decision comes as Beximco faces challenges in meeting payroll obligations following the arrest of Vice-Chairman Salman F. Rahman, a former advisor to ex-Prime Minister Sheikh Hasina.
Labour and Employment Secretary AHM Shafiquzzaman confirmed the Government’s plans in a report, stating that various authorities, including the Bangladesh Investment Development Authority (BIDA) and the Bangladesh Securities and Exchange Commission (BSEC), are exploring these options.
With over 70,000 employees across its various companies, frequent street protests by Beximco workers demanding unpaid wages have raised concerns about public unrest. Among these employees, more than 40,000 work in the textile and garment sector. The group is currently burdened with significant bank loans, including Taka 23,000 crore owed to Janata Bank, though the exact amount of defaulted loans remains unspecified.
An advisory committee on Beximco plans to convene for its second meeting on 11th December, where Government agencies will provide updates on the situation and potential solutions. The first meeting, held on 11th November and chaired by Labour and Employment Adviser M. Sakhawat Hussain, included several other interim Government advisers.
The Beximco Group consists of 169 companies, with Beximco Pharmaceuticals categorized as a profitable entity. The committee noted that any transfer of shares for this company might be delayed due to potential legal issues. Among the companies, 32 are classified as Category B, primarily in the textile and garment sector, which may be sold to international operators to help pay off loans to Janata Bank and IFIC Bank. Companies in Category C may be shut down after settling employee dues.
Additionally, the committee decided that Janata Bank will provide three months’ salary for employees working at companies located within the Beximco Industrial Park. Earlier, the Government pledged Taka 60 crore from the national budget to assist Beximco in covering October wages, with Taka 10 crore coming from the labour and employment ministry and the remainder from the finance ministry.
