Grameen Bank founder Muhammad Yunus

Grameen Bank founder Muhammad Yunus

Grameen Bank founder Muhammad Yunus to face legal action

The government of Prime Minister Sheikh Hasina on Monday decided to take legal action against Grameen Bank founder and Nobel laureate Dr. Muhammad Yunus. 

The allegations against Dr. Yunus, in a political tussle with the government for quite some time, include tax evasion, foreign travel regulations’ violation and misuse of power.

The decision was taken at a regular Cabinet meeting, presided over by Prime Minister Sheikh Hasina, after it received a joint investigation report from National Board of Revenue (NBR) and Internal Resources Division (IRD).

The tax exemption privilege Mr. Yunus received was not in line with the regulation, said the Cabinet Secretary, because the Grameen Bank Ordinance exempts the bank from paying Income Tax, but does not extend to any others institution under it. 

The NBR has raised questions that the Nobel laureate did not take permission from the government before receiving the money as a “public servant” in honorariums, awards and royalties from foreign sources.