'Act against auditors of S Alam's banks'

An audit firm has called for stern action against the auditors who conducted audits of seven privately-owned commercial banks affiliated with the controversial S Alam Group.

In a letter dated September 15, SKZ Islam & Co urged the governor of the Bangladesh Bank to take action those auditors for alleged malpractices.

It accused the auditors of their failure to follow proper auditing practice while reviewing the financial health of the banks.

The audit firm also requested that the responsible auditors be delisted.

A copy of the letter was also submitted to the Financial Reporting Council (FRC), the country's auditing watchdog, urging it to take fitting measures against the auditors involved.

When contacted, an FRC executive confirmed it to the FE that they had received a letter recommending the delisting of certain audit firms linked to the auditing of the banks in question.

The letter alleged that S Alam Group had siphoned off funds amounting to Tk 2.0 trillion through these banks.

The FE also obtained a copy of the complaint letter filed by the audit firm.

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