ICB to Take Race to Court Over Tk220cr Mutual Fund Irregularities – Race Denies False Allegations

Race Asset Management has firmly denied allegations made by the Investment Corporation of Bangladesh (ICB) over supposed irregularities in mutual fund management worth Tk220 crore. The firm described ICB’s claims as unfounded, malicious, and aimed at tarnishing its long-standing reputation in Bangladesh’s financial sector.

Race Asset Management has firmly dismissed the accusations made by the Investment Corporation of Bangladesh (ICB) regarding alleged irregularities in the handling of mutual funds worth Tk220 crore. In a strongly worded statement, the company labeled the claims as “utterly unfounded, malicious, and crafted to tarnish the image of an organization that has consistently upheld the trust of investors across the nation.”

According to ICB’s notice, Race purportedly violated investment policies and mismanaged assets under its management. However, Race officials countered that every investment decision, transaction, and allocation had been conducted strictly in accordance with the rules, regulations, and protocols authorized by governing bodies. “Our operations are entirely transparent and verifiable,” the company emphasized, adding that no fund had ever been run outside the regulatory structure. “The accusations are devoid of any factual or legal foundation,” it maintained.

Hasan Imam, the Chief Executive Officer of Race Asset Management, denounced the allegations as “a calculated effort to deceive the public and defame a respected financial institution.” He pointed out that such claims were not new — similar ones had emerged in the past, each of which was thoroughly investigated and found baseless. “Race has faced and overcome such falsehoods before, and we are certain that the truth will once again prevail,” Imam stated.

The company further drew attention to inconsistencies in ICB’s actions, noting that the purported irregularities concerned transactions that had been reviewed and approved years earlier. “If there were legitimate compliance concerns, they should have been addressed during those audits — not resurrected years later,” the statement continued. “This sudden revival of old, settled matters raises serious questions about motives and suggests attempts to divert attention from internal challenges within ICB.”

Race reaffirmed its unwavering adherence to the Bangladesh Securities and Exchange Commission (BSEC) regulations, emphasizing that all its mutual fund activities are periodically reviewed by independent external auditors. “Transparency and accountability are at the heart of our governance,” the company reiterated. “We welcome any fair and lawful scrutiny of our operations, but we will not tolerate defamation or misinformation that threatens our integrity.”

The company also clarified that while certain proceedings have mentioned other individuals, such as Nafeez, those cases are entirely separate from Race’s corporate activities. “Race Asset Management has no connection to those matters, and linking them to us is both unjust and misleading,” it said.

Pledging full cooperation with lawful authorities, Race concluded that it would defend itself through appropriate legal channels. “We are confident that an impartial review will expose the baseless nature of these allegations,” CEO Hasan Imam affirmed. “Race remains steadfast, transparent, and deeply committed to safeguarding the interests of its investors and maintaining the integrity of Bangladesh’s financial ecosystem.”