Chittagong, September 01- The Chittagong Port Authority (CPA) has ceased all transactions with nine banks in Bangladesh that are currently facing financial difficulties and are deemed to be in a precarious condition. The CPA has issued instructions to relevant parties not to accept checks or pay orders from these banks due to concerns over their financial stability.

The affected banks include:

1. Global Islami Bank  

2. Union Bank  

3. Bangladesh Commerce Bank  

4. Islami Bank  

5. First Security Islami Bank  

6. Social Islami Bank  

7. Padma Bank  

8. National Bank  

9. ICB Islami Bank  

Notably, seven of these banks are owned by the prominent business conglomerate S Alam Group. The CPA has reported that its transactions with these nine banks have not been proceeding as usual. Additionally, the port has been unable to withdraw various deposits, including those with previous term deposits, from these banks. As a result, the CPA has suspended all types of transactions with these institutions.

Dr. Omar Farooq, the Port Secretary, explained that this decision was taken as a precautionary measure to avoid potential financial complications. "During the tender submission process, pay orders are typically collected from participating entities, and a bank guarantee is required for contracts with contractors. This step has been taken to safeguard the port's financial interests," he stated.

The nine banks in question had previously been flagged as financially unstable by the Bangladesh Bank, the country's central bank. In addition to their overall poor financial health, these banks have significant deficits in their current accounts with Bangladesh Bank, resulting in the suspension of check transactions. The Chittagong Port Authority's decision reflects growing concerns about the stability of these financial institutions and aims to protect its operations from potential risks.