The Appellate Division of the Supreme Court on Tuesday exempted Beximco Pharmaceuticals Limited from appointing a receiver but upheld the High Court鈥檚 previous directive requiring the appointment of a receiver for other companies within the Beximco Group.
A three-justice bench, led by Justice Md Ashfaqul Islam, stayed a part of the High Court鈥檚 September 5 order concerning Beximco Pharmaceuticals Limited.
The apex court, however, maintained the directive that a receiver oversees the operations of the group鈥檚 other entities.
The High Court had initially ordered the Bangladesh Bank governor to appoint a receiver to manage Beximco Group assets, including those associated with its detained vice-chairman Salman F Rahman, who was also the private industries and investment affairs adviser to deposed prime minister Sheikh Hasina.
The High Court directive sought to secure the group鈥檚 properties, repatriate funds allegedly moved abroad, and recover the money Salman had reportedly obtained from different banks.
It ordered the central bank to report on its compliance within four weeks.
The order stemmed from a public interest litigation filed by Supreme Court lawyer Masood R Sobhan in a bid to safeguard the group鈥檚 financial integrity and prevent capital outflows.
The Appellate Division also asked the High Court bench, led by Justice Farah Mahbub, to resolve the pending High Court rule concerning Beximco鈥檚 affairs within two weeks.
Representing Beximco Pharmaceuticals, lawyer Mustafizur Rahman Khan argued that appointing a receiver could destabilise the pharmaceutical sector, jeopardise consumer interests, and adversely impact the company鈥檚 86 per cent public shareholders.
He informed the court that Salman had only a 4 per cent stake in the company.
Mustafiz said that the Appellate Division鈥檚 decision allowed Beximco Pharmaceuticals to continue its operations without disruption, underscoring the court鈥檚 consideration of industry stability and impact on shareholders.
