Last update on: Fri Feb 28, 2025 04:07 AM
The government will provide Tk 525.46 crore from public coffers to clear wages and other service benefits of workers and officials of 14 Beximco textile and garment units that will shutter from today.
The payment will be given to 31,669 workers and 1,565 officials of the mills and factories of the group, said M Sakhawat Hussain, labour and employment adviser, at a press conference held at the shipping ministry yesterday.
Of the total amount, Tk 325.46 crore will be arranged by the finance division’s expenditure department, while Tk 200 crore will come from the labour ministry’s different accounts of the central fund as a loan to Beximco Group.
The government will start providing service benefits to the workers and officers on March 9 and the payment includes the employees’ salary up to February.
The 14 units are Bangladesh Export Import Company Limited (Head Office), International Knitwear and Apparels Limited, Crescent Fashion and Design Limited, Esses Fashions Limited, New Dacca Industries Limited, Escorp Apparels Limited, Bextex Garments Limited, Yellow Apparels Limited, ShinePukur Garments Limited, Beximco Fashions Limited, Prefix Fashions Limited, Crescent Accessories Limited, Urban Fashions Limited and RR Washing Limited.
The four currently active Beximco units are Bangladesh Export Import Company Limited (Factory), Beximco PPE Limited, Escorp Apparels Limited (Yellow Local Brand) and RR Washing (Partially Running), according to data from the Beximco Group.
The adviser also said his government would take action against the responsible persons and officials of the banks and other departments and agencies of the government involved in giving loans to Beximco by violating the rules between 2008 and 2024.
Legal action will be taken through the Anti-Corruption Commission against the responsible persons of the banks including Janata, Beximco board members, the Bangladesh Bank and the Bangladesh Securities and Exchange Commission.
The labour and employment ministry will ask the home affairs ministry to impose a travel ban on the persons and officials of the banks, companies and boards of directors of different companies, he said.
Those who are already abroad will have to return to Bangladesh at some point or they will be declared persona non grata through seizure of their passports.
The government has also formed a high-powered committee headed by Lutfey Siddiqi, the chief adviser’s special envoy for international affairs, to determine the next course of action for the industrial units inside of the Beximco Industrial Park.
Representatives from the BSEC, the BB, a representative from the office of the attorney general of Bangladesh, Beximco Group’s receiver and chairman of the Bangladesh Investment Development Authority are also included in the committee.
A total of 13 banks, including the BB, provided more than Tk 40,000 crore in loans to Beximco Group.
Beximco owes Janata Tk 23,285 crore, Sonali Tk 1,424 crore, Agrani Tk 420 crore, Rupali Tk 987 crore, National Bank Tk 315 crore and United Commercial Tk 333 crore.
It also owes AB Bank Tk 938 crore, Exim Tk 497 crore, Global Islami Tk 61 crore, Dutch Bangla Tk 94 crore, IFIC Tk 78 crore and the Bangladesh Infrastructure Finance Fund about Tk 87 crore.
Firstly, the government will shut the mills and factories and then the committee will take a call on selling the shares of Beximco Group and recovering the loans, he said.
Since the Beximco workers are skilled they will not face trouble in landing another job.