United Commercial Bank PLC explained

United Commercial Bank PLC
Type:Public limited company, commercial bank
Native Name:ইউনাইটেড কমার্শিয়াল ব্যাংক পিএলসি
Native Name Lang:bn
Former Name:United Commercial Bank (Bangladesh)
Rating:AA
Hq Location:Gulshan
Hq Location City:Dhaka
Hq Location Country:Bangladesh
Area Served:Bangladesh
Num Employees:5060
Num Employees Year:2021
Industry:Banking
Financial services
Assets:$5.8 billion
Assets Year:2022
Equity:$382.9 million
Equity Year:2022
Operating Income:$105.7 million
Income Year:2022
Profit:$37.1 million
Profit Year:2022
Footnotes:[1] [2] [3] [4] [5] [6] [7] [8]

United Commercial Bank PLC (UCB) is a commercial bank in Bangladesh. It was established in 1983.[9] [10]

History

The bank was incorporated on 26 June 1983. Akhtaruzzaman Chowdhury Babu served as the inaugural chairman of the United Commercial Bank PLC. In 2013, the bank underwent leadership changes with Sharif Zahir elected as vice chairman and M. A. Hashem re-elected as chairman.

The government owns shares in the bank. The bank was listed in the Dhaka Stock Exchange (DSE) by 1986 and Chittagong Stock Exchange (CSE) by 1995.[11] [12]

Management

The bank is chaired by Mrs. Rukhmila Zaman,[13] with Mr. Arif Quadri as managing director and CEO[14]

Listing and shareholding

The bank listed in Dhaka Stock Exchange Limited and Chittagong Stock Exchange Limited.[15]

Products and services

The bank provides a number of products and services including wholesale banking, SME Banking, retail banking, treasury, auto loans, personal loans, loans against property, consumer durable loan, lifestyle loan and credit cards.

Operations

With a network of 228 branches and 159 sub-branches, the Bank provided personalized service, innovative practices, dynamic approach and efficient Management. Consumer products like UCB Cards have been showing growth since its inception in 2006 and soon became the leader in local market with around 40,000 card holders.[16]

Controversies

Humayun Zahir, a chairman of the United Commercial Bank, was murdered on April 8, 1993. Reports indicate the killing stemmed from a dispute with other bank directors. Akhtaruzzaman Chowdhury Babu, a UCB director, was suspected of involvement in the crime. On 26 August 1999, Akhtaruzzaman forcefully seized control of UCBL's board of directors during a meeting with his son, Saifuzzaman Chowdhury by gunpoint with 40 armed men.[17] [18] Again another chairman, Zafar Ahmed Chowdhury was forced to resign. Bangladesh Police declined to initiate any action against him citing the close association between Akhtaruzzamanu and Prime Minister Sheikh Hasina. Later, Zafar Ahmed returned to the board of directors with a court verdict in his favor.

In February 2008, Bangladesh Bank appointed an observer to United Commercial Bank due to ownership disputes.[19] In 2010, Akhtaruzzaman became a director. The Anti-Corruption Commission (ACC) sued four officials of UCB and a managing director of a real estate company for embezzling 90 million Bangladeshi taka from the bank.[20] Between 2007 and 2012, four officials of the bank stole 100 million taka from the bank using forged credit cards until they were detected in May 2012.[21] In 2012, the Anti-Corruption Commission sued six for embezzling 129 million BDT from UCB.[22]

In March 2016, a Chittagong Court sentenced an official of UCB to jail for allegedly helping a businessman secure 181.8 million BDT loan against a property, which was already mortgaged to Bangladesh Krishi Bank, through fraud and then laundering the money outside of Bangladesh.[23]

In September 2017, United Commercial Bank provided loan waiver to Russel Vegetable Oils Limited, a company linked to bank director, Sultana Hashem, wife to M. A. Hashem, chairman of Partex Group.[24] The loan waiver violated banking rules of Bangladesh.

In September, Bangladesh Bank asked UCB to provide clarifications regarding their suspected profiting from selling dollars at inflated prices during the foreign exchange market crisis.[25] Later the complaint has been resolved, resulting in the bank being mandated to allocate 50% of its profit from dollar trading to its corporate social responsibility (CSR) funds, while the remaining 50% can be retained as income.[26] In July, MNH Bulu, A Bangladeshi businessman filed a lawsuit against UCB seeking BDT 400 million in damages for alleged defamation caused by false charges.[27] In May 2023, according to a report prepared in accordance with International Accounting Standard (IAS)-34, UCB disclosed a decline in its operating profit along with an increase in operating expenses.[28]

Financial activities

In 2009, United Commercial Bank signed a contract with the Bangladesh Cricket Board to become the official sponsor of the Bangladesh national cricket team.[29] In September 2015, United Commercial Bank launched a new logo, designed by Rafiqun Nabi and Mustafa Manwar.[30]

Mobile financial service (MFS), Ucash, was introduced in 2013.[31] After eight years of services the name has been changed to Upay.[32] [33] In November 2020, United Commercial Bank PLC inaugurated its subsidiary, UCB Investment Ltd.[34]

In 2021, UCB launched the MFS called Upay (উপায়), a digital financial service brand owned by UCB Fintech Company Limited, a United Commercial Bank affiliate.[35] Upay had acquisitions with Grameenphone, Robi, and Banglalink to ensure that their users will not need an active internet connection to use the Upay application.[36]

In 2022, UCB achieved its highest profit, exceeding US$39 million, representing a growth rate of 32% compared to the previous fiscal year. The bank plans to establish a subsidiary at this year in Singapore[37] the United Arab Emirates and Qatar[38] to handle remittances.

In 2024, UCB planned to take over National Bank, UCB indicated interest in purchasing NBL, which was hit hard by high loan default rates in 2022, resulting in Tk 3,285 crore in losses—the most ever recorded by Bangladesh's banking industry.[39]

Subsidiaries

Awards and recognition

Notes and References

  1. Web site: Corporate Information - United Commercial Bank (UCB) . 2023-06-07 . 2023-04-05 . https://web.archive.org/web/20230405114606/https://www.ucb.com.bd/know-ucb/corporate-information/ . live.
  2. News: bn:ইউসিবি'র ইসলামিক ব্যাংকিং সেবা 'ইউসিবি তাকওয়া'র আনুষ্ঠানিক যাত্রা শুরু . https://www.jugantor.com/advertising-message/354267/ইউসিবির-ইসলামিক-ব্যাংকিং-সেবা-ইউসিবি-তাকওয়ার-আনুষ্ঠানিক-যাত্রা-শুরু . 12 October 2020 . . 12 October 2020 . bn . 4 November 2021 . https://web.archive.org/web/20211104214745/https://www.jugantor.com/advertising-message/354267/%E0%A6%87%E0%A6%89%E0%A6%B8%E0%A6%BF%E0%A6%AC%E0%A6%BF%E0%A6%B0-%E0%A6%87%E0%A6%B8%E0%A6%B2%E0%A6%BE%E0%A6%AE%E0%A6%BF%E0%A6%95-%E0%A6%AC%E0%A7%8D%E0%A6%AF%E0%A6%BE%E0%A6%82%E0%A6%95%E0%A6%BF%E0%A6%82-%E0%A6%B8%E0%A7%87%E0%A6%AC%E0%A6%BE-%E0%A6%87%E0%A6%89%E0%A6%B8%E0%A6%BF%E0%A6%AC%E0%A6%BF-%E0%A6%A4%E0%A6%BE%E0%A6%95%E0%A6%93%E0%A6%AF%E0%A6%BC%E0%A6%BE%E0%A6%B0-%E0%A6%86%E0%A6%A8%E0%A7%81%E0%A6%B7%E0%A7%8D%E0%A6%A0%E0%A6%BE%E0%A6%A8%E0%A6%BF%E0%A6%95-%E0%A6%AF%E0%A6%BE%E0%A6%A4%E0%A7%8D%E0%A6%B0%E0%A6%BE-%E0%A6%B6%E0%A7%81%E0%A6%B0%E0%A7%81 . live.
  3. Web site: CSE . 2023-06-07 . 2023-02-02 . https://web.archive.org/web/20230202020933/https://www.cse.com.bd/company/companydetails/UCB#share_show . live.
  4. Web site: Display Company Information | Dhaka Stock Exchange . 2023-06-07 . 2021-11-03 . https://web.archive.org/web/20211103114828/https://www.dsebd.org/displayCompany.php?name=UCB . live.
  5. Web site: ATM Locator - United Commercial Bank (UCB) . 2023-06-07 . 2023-04-05 . https://web.archive.org/web/20230405114607/https://www.ucb.com.bd/atm-locator/ . live.
  6. News: UCB reports record 32pc profit rise . The Financial Express.
  7. Web site: Independent Auditor's Report and Audited Consolidated and Separate Financial Statements for the year ended 31 December 2022 . UCB.
  8. Web site: UCB Profile - United Commercial Bank (UCB).
  9. News: United Commercial Bank signs Microsoft Enterprise Agreement . Dhaka Tribune . 30 October 2016 . 25 September 2016 . 30 August 2017 . https://web.archive.org/web/20170830033410/http://www.dhakatribune.com/feature/2016/09/25/united-commercial-bank-signs-microsoft-enterprise-agreement/ . live.
  10. News: Jayati Chakraborty performance at Uttra Club . Dhaka Tribune . 30 October 2016 . 1 October 2016 . 17 September 2018 . https://web.archive.org/web/20180917181912/https://www.dhakatribune.com/showtime/2016/10/01/jayati-chakraborty-performance-uttra-club/ . live.
  11. Web site: United Commercial Bank Limited . Banglapedia . 30 October 2016 . 31 October 2016 . https://web.archive.org/web/20161031150933/http://en.banglapedia.org/index.php?title=United_Commercial_Bank_Limited . live.
  12. News: DSEX and DS30 indexes reshuffled . Dhaka Tribune . 1 March 2017 . 21 July 2016 . 2 March 2017 . https://web.archive.org/web/20170302193829/http://archive.dhakatribune.com/business/2016/jul/21/dsex-and-ds30-indexes-reshuffled . live.
  13. News: United Commercial Bank holds 40th annual general meeting . 2023-11-07 . The Financial Express . en.
  14. News: 2021-12-22 . Arif Quadri becomes managing director of United Commercial Bank . 2023-11-07 . The Business Standard . en.
  15. Web site: Corporate Information - United Commercial Bank (UCB) . 2023-11-07 . Corporate Information - United Commercial Bank (UCB) . en.
  16. Web site: UCB Profile - United Commercial Bank (UCB) . 2023-11-07 . UCB Profile - United Commercial Bank (UCB) . en.
  17. News: Hossain . Shawkat . Lessons from three black chapters of the banking sector . 2023-03-24 . Prothom Alo . en . 2022-11-01 . https://web.archive.org/web/20221101122255/https://en.prothomalo.com/opinion/op-ed/lessons-from-three-black-chapters-of-the-banking-sector . live.
  18. News: Mahmud . Arshad . 1999-08-28 . Official accused of storming bank in Bangladesh . en-GB . The Guardian . 2023-03-24 . 0261-3077 . 2022-11-01 . https://web.archive.org/web/20221101122258/https://www.theguardian.com/world/1999/aug/28/bangladesh . live.
  19. News: 2008-02-01 . BB appoints observers for 3 pvt banks . 2023-03-24 . The Daily Star . en . 2023-03-24 . https://web.archive.org/web/20230324232314/https://www.thedailystar.net/news-detail-21512 . live.
  20. News: 2017-04-05 . 4 UCBL officials among 5 sued . 2023-03-24 . The Daily Star . en . 2023-03-24 . https://web.archive.org/web/20230324221207/https://www.thedailystar.net/city/4-ucbl-officials-among-5-sued-1386811 . live.
  21. News: Rahman . Sajjadur . Ch . Chaitanya . Halder . ra . 2012-06-05 . Credit card fraud ring busted . 2023-03-24 . The Daily Star . en . 2023-03-24 . https://web.archive.org/web/20230324221208/https://www.thedailystar.net/news-detail-237055 . live.
  22. News: 2012-11-07 . More scam in banks . 2023-03-24 . The Daily Star . en . 2023-01-20 . https://web.archive.org/web/20230120005748/https://www.thedailystar.net/news-detail-256552 . live.
  23. News: 2016-03-07 . UCBL official sent to jail in money laundering case . 2023-03-24 . The Daily Star . en . 2023-03-24 . https://web.archive.org/web/20230324221209/https://www.thedailystar.net/city/ucbl-official-sent-jail-money-laundering-case-787309 . live.
  24. News: Rahman . Sajjadur . 2017-09-09 . Bank bends rules for its directors . 2023-03-24 . The Daily Star . en . 2023-03-24 . https://web.archive.org/web/20230324221219/https://www.thedailystar.net/frontpage/bank-bends-rules-its-directors-1459519 . live.
  25. News: Six more banks asked to explain alleged unusual profit-making . New Age.
  26. News: Dollar crisis: 6 more banks exonerated from charge of making excessive profit . The Business Standard . 29 September 2022.
  27. News: Businessman MNH Bulu seeks Tk 400m in damages from United Commercial Bank over 'false charges' . bdnews24.com.
  28. Web site: Financial Statements - United Commercial Bank (UCB).
  29. News: UCBL made official sponsor of Tigers . The Daily Star . live . 2023-03-24 . https://web.archive.org/web/20230324221218/https://archive.thedailystar.net/newDesign/cache/cached-news-details-89104.html . 2023-03-24.
  30. News: 2015-09-20 . UCB unveils new logo . en . The Daily Star . live . 2023-03-24 . https://web.archive.org/web/20230324221208/https://www.thedailystar.net/business/ucb-unveils-new-logo-145987 . 2023-03-24.
  31. Web site: UCB mobile financial service UCash launched . https://web.archive.org/web/20230522195825/https://bdreports24.com/ucb-mobile-financial-service-ucash-launched/#:~:text=This%20initiative%20of%20mobile%20financial,already%20appointed%20over%2010%2C000%20agents . 2023-05-22 . bdreports24.com. 23 November 2013 .
  32. News: 8 March 2021 . UCB plans to set up separate MFS subsidiary "upay" . The Business Standard . live . 2023-06-07 . https://web.archive.org/web/20230513070421/https://www.tbsnews.net/economy/banking/ucb-plans-set-separate-mfs-subsidiary-upay-213115 . 2023-05-13.
  33. News: 'upay' offers lowest cash-out fees, highest client security . The Financial Express . live . 2023-06-07 . https://web.archive.org/web/20230513070411/https://today.thefinancialexpress.com.bd/trade-market/upay-offers-lowest-cash-out-fees-highest-client-security-1628439154 . 2023-05-13.
  34. News: UCB Investment LTD. Started journey . The Financial Express .
  35. Web site: Who we are . live . https://web.archive.org/web/20211106142049/https://www.upaybd.com/who-we-are . 2021-11-06 . 2021-11-15 . upaybd.com.
  36. News: Robi customers can use upay app without Internet . UNB . live . 2023-06-07 . https://web.archive.org/web/20230501131655/https://www.unb.com.bd/category/tech/robi-customers-can-now-use-upay-app-without-internet-charge/78708 . 2023-05-01.
  37. News: 2022-02-23 . UCB to form a subsidiary in Singapore . en . The Daily Star . live . 2023-03-24 . https://web.archive.org/web/20230324225306/https://www.thedailystar.net/business/economy/banks/news/ucb-form-subsidiary-singapore-2968406 . 2023-03-24.
  38. News: 2022-04-21 . UCB to form subsidiaries in Qatar, UAE . en . The Daily Star . live . 2023-03-24 . https://web.archive.org/web/20230324225306/https://www.thedailystar.net/business/economy/banks/news/ucb-form-subsidiaries-qatar-uae-3009046 . 2023-03-24.
  39. News: 9 Apr 2024 . UCB plans to take over troubled National Bank . 17 Apr 2024 . The Daily Star (Bangladesh).
  40. News: 2022-03-31 . UCB to form subsidiaries in Hong Kong, Malaysia . 2023-11-07 . The Business Standard . en.
  41. News: 2022-11-29 . UCB gets Mastercard excellence award . 2023-11-07 . The Business Standard . en.
  42. News: UCB wins awards at Global SME Finance Award 2022 . 2023-11-07 . New Age . en.
  43. News: 2023-07-31 . United Commercial Bank PLC: Bangladesh's Best Bank for CSR 2023 . 2023-11-07 . The Daily Star . en.

This article is licensed under the GNU Free Documentation License. It uses material from the Wikipedia article "United Commercial Bank PLC".

Except where otherwise indicated, Everything.Explained.Today is © Copyright 2009-2024, A B Cryer, All Rights Reserved. Cookie policy.