Grameen Bank responds to allegations of Dr. Yunus

Grameen Bank issued a press release on Thursday (Feb 15) refuting the accusations made by Dr. Muhammad Yunus regarding the Grameen institutions, terming them as misleading, false, illegal and deliberate.

According to the media release, the Grameen Bank Board of Directors recently undertook initiatives to establish the legal rights of its impoverished and landless members.

In the 155th board meeting held last Monday (Feb 12), the chairman and a specified number of directors were nominated to the boards of seven institutions, including Grameen Telecom and Grameen Kalyan.

 

However, Dr. Muhammad Yunus allegedly made several misleading and untrue statements during a press conference, which Grameen Bank believes undermines the rights of its 1.05 million members and their families. Therefore, the bank deemed it necessary to clarify its position and provide accurate information on the matter.

 

According to Grameen Bank authorities, the bank possesses the legal authority to appoint a chairman and a specified number of directors in institutions created with its financial cooperation and benefits. Detailed references supporting this claim are provided in the Articles of Association of Grameen Telecom (Articles 51, 35(iii), 51) and Grameen Kalyan (Article 32(iii)), as well as Article 48 of the Articles of Association.

  

Grameen Bank asserts that Dr. Yunus was nominated as the chairman of Grameen Telecom in 1995 and Grameen Kalyan in 1996 in accordance with the Articles of Association of these institutions. This nomination process continued with the recent nominations made during the 155th board meeting.

 

Contrary to Dr. Yunus's claims during the press conference, Grameen Bank refutes the assertion that its power to nominate directors was abolished by changes to the Articles of Association of Grameen Telecom and Grameen Kalyan in 2009. The bank labels Dr. Yunus's statement as false, fabricated, misleading, and deliberate.

 

Besides, Dr. Yunus's claim of ownership over Grameen Bank and the institutions it created is challenged by Grameen Bank, which states that such assertions conflict with the interests of its 1.05 million borrowers, are unethical and violate the law.

 

The bank says that Grameen Bank is a statutory body established by the Grameen Bank Ordinance 1983, owned by the Government of Bangladesh and its borrower shareholders, a matter that has been affirmed by the Appellate Division of the Supreme Court.

  

Besides, Grameen Bank contests Dr. Yunus' assertion that institutions or banks created by government order cannot legally establish or own private limited companies. The bank argues that the establishment of Grameen Kalyan was proposed by Dr. Yunus himself during the 42nd board meeting held on April 25, 1996, while he served as the managing director of the bank.

 

In line with the legal provisions, representatives from the bank visited six institutions located in the Grameen Telecom Building to implement the decision of the 155th board meeting.

 

Despite Dr. Yunus's allegations of extortion during the press conference, Grameen Bank states that its representatives were welcomed and cooperated with on that day. They handed over the decision letter of the Grameen Bank board meeting to the higher authorities of the institutions in accordance with the rules.

  

The Board of Directors of Grameen Bank expresses hope that the decisions made during the board meeting will contribute to fulfilling the commitment upon which Grameen Bank was established, for the greater welfare of the rural poor and to protect their interests.

 

Earlier, Dr. Yunus, along with Managing Director of Grameen Telecom Nazmul Islam and Managing Director of Grameen Kalyan AKM Moinuddin Chowdhury, held a press conference at Grameen Telecom Bhawan in Mirpur of the capital on Thursday afternoon, where Dr. Yunus claimed that every institution in the building was established with profits from business activities and thus beyond Grameen Bank's jurisdiction.