Bangladesh Industrial Finance Company Limited announcements
298 Dhaka Stock Exchange announcements for Bangladesh Industrial Finance Company Limited (BIFC) since 2007: results, dividends, board meetings, AGMs, record dates and other price-sensitive information. Showing 2017 (16).
- Q3 Financials
(Q3 Un-audited): EPS was Tk. (2.00) for July-September, 2017 as against Tk. (1.51) for July-September, 2016; EPS was Tk. (5.45) for January-September, 2017 as against Tk. (4.90) for January-September, 2016. NOCFPS was Tk. 1.64 for January-September, 2017 as against Tk. 3.45 for January-September, 2016. NAV per share was Tk. (2.30) as on September 30, 2017 and Tk. 5.02 as on September 30, 2016.
- Board Meeting schedule under LR 16(1)
As per Regulation 16(1) of the Dhaka Stock Exchange (Listing) Regulations, 2015, the Company has informed that a meeting of the Board of Directors will be held on October 29, 2017 at 6:00 PM to consider, among others, un-audited financial statements of the Company for the Third Quarter (Q3) period ended on September 30, 2017.
- Venue of the AGM
The Company has further informed that the 21st AGM of the Company will be held on September 20, 2017 at 10:00 AM at Police Convention Hall, Eskaton Garden, Ramna, Dhaka. Other information is as announced earlier.
- Resumption after Record Date
Trading of the shares of the Company will resume on 26.07.2017 after record date.
- Basis for Qualified Opinion and Emphasis of Matter
(Basis for Qualified Opinion and Emphasis of Matter): The auditor of the company has given the following "Basis for Qualified Opinion and Emphasis of Matter" in the audit report of the company for the year ended on 31 December 2016: Basis for Qualified Opinion: 1. Short Provision against Loans and Advances: The company made a provision for Tk. 906,317,931.00 whereas actual provision comes to Tk. 6,855,349,136.00 resulting a short provision of Tk. 5,949,031,205.00 which is required to be provided (cont. 1) (Continuation news of BIFC): capital of the company is Tk. 1,006,799,440.00 indicates doubtful as a going concern entity and there cast a doubt to see company as going concern in the foreseeable future. 2. Out of total outstanding amount of Tk. 8,773,730,633.00 an amount of Tk. 7,533,878,259.00 is classified as bad/loss as on 31 December 2016 which is 85.87% of total outstanding amount. As a result, all the related financial indicators of this company suffered serious setback. (end) (Continuation news of BIFC): Tk. 316,716,841.00 which is 60.75% of total equity. 8. As per Bangladesh Bank DFIM Circular no-13, Dated 26 October 2011; Every Financial Institution has to conduct minimum four (04) audit committee meetings in a financial year. But during the year the company did not follow such instruction of DFIM circular-13 by Bangladesh Bank. Emphasis of Matters: 1. As on 31 December 2016 retained earnings of the company stands at negative Taka 1,258,587,039.00 whereas paid-up (cont. 9) (Continuation news of BIFC): institution. Provided that any financial institution may subject to its application and on consent of Bangladesh Bank, expend or use up to 50% of its paid-up capital and reserves for the acquisition and holding of the above mentioned kind of shares. But the company did not follow any of the above said section of Financial Institution Act-1993. As on 31 December 2016 total investment in quoted shares amount Tk. 192,413,639.00 whereas total equity stands at (cont. 8) (Continuation news of BIFC): in FID circular No-6, dated 06 November 2003 and FID Circular-2, Dated: 10 November 2004 as on 2,3,4,5,7,9,10,11,12,14 November 2016. 7. Violation of Financial Institution Act-1993. As per Financial Institution Act-1993, Section-16; No Financial Institution shall expend or use more than 25% of its paid-up capital and reserves for the acquisition or holding of any kind of shares of financial, commercial, agricultural or industrial institutions or of any similar (cont. 7) (Continuation news of BIFC): basis of their total term deposit for the month of November 2016 (1st two weeks, 2nd two weeks) and December 2016 (1st two weeks, 2nd two weeks) with a provision of minimum 2.0% on daily basis of the same total term deposit as on 24, 27 and 28 September as well as 30 and 31 October. 6. Deficit of Statutory Liquidity Requirement (SLR): The company did not maintain SLR at the rate of 5% of average of total liability as prescribed by Bangladesh Bank circular (cont. 6) (Continuation news of BIFC): securities documents etc. for verification. 4. Taxation: Deferred Tax: The company did not calculate the deferred tax on revaluation reserve as per BAS 12 "Income Tax" Paragraph 15 and 20. Asset revaluation reserve came to Taka 403,425,667.00. As a result, profit and loss account and Net Asset Value (NAV) was not reflected transparently. 5. Deficit of Cash Reserve Requirement (CRR): Required CRR was not maintained at the rate of 2.5% on bi-weekly average (cont. 5) (Continuation news of BIFC): represents 71.04% of total outstanding balance. All of these loans/leases are classified as Bad loss. (B) The company disbursed Loans and Advances Tk. 163,446,424.00 to various concerns of Biswas Group which stood at Taka 208,419,131.00 as on 31 December 2016. This amount represents 2.38% of total outstanding. All of these loans and leases are classified as Bad Loss. The management of BIFC could not provide us original documents i.e. Sanction Letter, Agreement, (cont. 4) (Continuation news of BIFC): having a shortfall of Tk. 271,952,110.00 and a consequent effect in the EPS and NAV. 3. Loans and Advances: (A) The company has allowed loans and advances to various concerns of Sunman group during the year without following the rules and regulations of loan granting policy of the company and Bangladesh Bank Guidelines. As on 31 December 2016 a total outstanding amount against various concerns of Sunman Group was Taka 6,232,952,513.00 which (cont. 3) (Continuation news of BIFC): in financial statements of the company. This less provision has been made defying FID circular No. 06 dated 20 August 2006. The effect of such short provision overstated profit and adverse on EPS. 2. Interest Suspense: According to FID circular No. 06 dated 20 August 2006 Interest Suspense Account at the year end 31 December 2016 is required to be made for Tk. 631,924,656.00 but the company's management has created an amount of Tk. 359,972,546.00 only (cont. 2)
- Suspension for Record Date
Trading of the shares of the Company will remain suspended on record date i.e., 25.07.2017.
- Q2 Financials
(Q2 Un-audited): EPS was Tk. (1.75) for April-June, 2017 as against Tk. (1.53) for April-June, 2016; EPS was Tk. (3.45) for January-June, 2017 as against Tk. (3.39) for January-June, 2016. NOCFPS was Tk. 0.58 for January-June, 2017 as against Tk. 0.80 for January-June, 2016. NAV per share was Tk. (0.30) as of June 30, 2017 and Tk. 6.53 as of June 30, 2016.
- Board Meeting schedule under LR 16(1)
As per Regulation 16(1) of the Dhaka Stock Exchange (Listing) Regulations, 2015, the Company has informed that a meeting of the Board of Directors will be held on July 19, 2017 at 4:00 PM to consider, among others, un-audited financial statements of the Company for the Second Quarter (Q2) period ended on June 30, 2017.
- Spot News
Trading of the shares of the Company will be allowed only in the Spot Market and Block transactions will also be settled as per Spot settlement cycle from 12.07.2017 to 24.07.2017. Trading of the shares of the Company will remain suspended on record date i.e., 25.07.2017.
- Q1 Financials
(Q1 Un-audited): EPS was Tk. (1.70) for January-March, 2017 as against Tk. (1.86) for January-March, 2016; NOCFPS was Tk. 0.56 for January-March, 2017 as against Tk. 3.76 for January-March, 2016. NAV per share was Tk. 1.45 as of March 31, 2017 and Tk. 8.05 as of March 31, 2016.
- Dividend Declaration
The Board of Directors has recommended No dividend for the year ended on December 31, 2016. Date of AGM: 20.09.2017, Time: 10:00 AM, Venue: To be notified later. Record Date: 25.07.2017. The Company has also reported EPS of Tk. (6.77), NAV per share of Tk. 3.15 and NOCFPS of Tk. 6.14 for the year ended on December 31, 2016 as against Tk. (6.22), Tk. 9.91 and Tk. (12.16) respectively for the same period of the previous year.
- Price Limit Open
There will be no price limit on the trading of the shares of the Company today (18.06.2017) following its corporate declaration.
- Board Meeting schedule under LR 16(1)
As per Regulation 16(1) of the Dhaka Stock Exchange (Listing) Regulations, 2015, the Company has informed that a meeting of the Board of Directors will be held on June 20, 2017 at 3:00 PM to consider, among others, un-audited financial statements of the Company for the First Quarter (Q1) period ended on March 31, 2017.
- Board Meeting schedule under LR 19(1)
As per Regulation 19(1) of the Dhaka Stock Exchange (Listing) Regulations, 2015, the Company has informed that a meeting of the Board of Directors will be held on June 17, 2017 at 11:00 AM to consider, among others, audited financial statements of the Company for the year ended on December 31, 2016.
- Credit Rating Result
Alpha Credit Rating Limited (AlphaRating) has rated the Company as "B" in the long term and "ST-5" in the short term along with a stable outlook based on audited financial statements of the Company till December 31, 2015, and other relevant qualitative information till December 31, 2016.
- Basis for Qualified Opinion
The auditor of the company has given the following basis for qualified opinion in the audit report of the company for the year ended 31 December 2015: Basis for Qualified Opinion: 1. Short Provision: Loan & Advance Provision as per BRPD Circular # 14, Dated: 23 September 2012, FID circular No. 05 Dated : 29 May 2013 of Tk. 685,96,80,746 and Interest Suspense as per BRPD Circular # 14, Dated : 23 September 2012 of Tk. 35,03,76,657 in total of Tk. 721,00,57,403. The management has not made necessary provision in the accompanying financial statements as per BRPD Circular # 14 Dated 23 September 2012 under Financial Institution Act 1993 resulting an overstatement of net profit/ (loss) and that would adversely affected the EPS & NAV. 2. Loan & Advance: 2.10. As on 31 December 2015, an amount of Tk. 4,152,025,794 was sanctioned defying the rules and regulation of loan granting policy of the Company and Bangladesh Bank guidelines. They disbursed the loan amount violating the rules and regulation of Bangladesh Bank. It appears from the available record and documents that the parties as mentioned in the list are related to the Ex- Chairman and Directors and their related parties having some unknown accounts holders whose whereabouts could not be evaluated properly. The owning parties also availed of Loan facilities in the name of Banglalion, Dresco Limited, Sunman Spinning , Sunman Pharma, Sunman Industrial Corporation, Towers Builders Chowdhary Apparel, Rahmania Textiles and withdrew the entire loaned amount without complying the existing approval authority of loan and loan sanctioning rules and policy. In the process of withdrawal of the fund, different name and account was engaged.
Source: Dhaka Stock Exchange announcements. Some posts before 2014 have no title, and 2014–2020 coverage is incomplete.