Back 60's and 70's Pakistani banks were quite , interested in investment in R&D
However western governments did not appreciate the growth of Pakistani Banks in their turf , so they were forcefully closed down due to
"Allegations alone" by large accounting firms, collaboration with Newspapers and investigative report
Long story short !!! They could not figure out , the management structure of bank / regulatory control so they decided to close it down and confiscated $$$$$$$$$$
They alleged that the Bank was running off "Deposits" which was all Oil money ? lol I mean so what ? It was owned by UAE rich princes and kings
It was alleged the bank is not running of money made from investment ? OK why would anyone invest if they moeny from Oil owners is enough ???
Example: of Pressured closure of Pakistani Banks
>Largest Bank by todays standards it would have had 80 billion in reserves by now 2015
Bank of Credit and Commerce International - Wikipedia, the free encyclopedia
The
Bank of Credit and Commerce International (
BCCI) was an international
bank founded in 1972 by
Agha Hasan Abedi, a Pakistani
financier. The Bank was registered in
Luxembourg with head offices in
Karachi and
London. A decade after opening,
BCCI had over 400 branches in 78 countries, and assets in excess of US$20 billion, making it the 7th largest private bank in the world
(Many Gulf prince/ leaders held ownership of the bank)
Lets read the passage from wiki
In 1982, 15 Middle Eastern investors bought Financial General Bankshares, a large bank holding company headquartered in
Washington, D.C. All the investors were BCCI clients, but the Fed received assurances that BCCI would be in no way involved in the management of the company, which was renamed First American Bankshares. To alleviate regulators' concerns,
Clark Clifford, an adviser to five presidents, was named First American's chairman. Clifford headed a board composed of himself and several other distinguished American citizens, including former
United States Senator Stuart Symington. In truth, BCCI had been involved in the purchase of FGB/First American from the beginning.
Abedi had been approached about buying it as early as 1977, but by this time BCCI's reputation in the United States was so poor that it could not hope to buy an American bank on its own (as mentioned above, the OCC was adamantly opposed to BCCI being allowed to buy its way into the American banking industry). Rather, it used the First American investors as nominees. Moreover, Clifford's law firm was retained as general counsel, and also handled most of BCCI's American legal work. BCCI was also heavily involved in First American personnel matters. The relationship between the two was so close that rumors spread BCCI was the real owner of First American.
The real problem was Bank from Pakistan/and Arab investors was trying to break into US market hmmmmmmmm
Regulators did not wanted Arabs/Pakistanis to own banks via BCCI in USA
Today!!! ... 2015 major US corporations routinely open / register their main office on tiny island nations to avoid paying corporate taxes (All legal) however if a Pakistani Owned bank/ Arabs created a bank which was spread in multiple nations it was a problem to them which is why they were closed down (BY force)
Owner of Pakistani Bank - > Agha Hasan Abedi
Early banking career
Agha Hasan Abedi was born in a well off
Shia Muslim family in Lucknow,
British India and migrated to Pakistan after formation of Pakistan in 1947. Beginning his career with
Habib Bank before independence, he brought about significant changes in Pakistan's banking culture when he founded the
United Bank Ltd (UBL) in 1959 in
Chittagong. Starting as its first general manager, he quickly rose to the position of president and chairman of the board of directors. Under his stewardship, UBL became the second largest bank in Pakistan. Mr Abedi introduced a host of professional innovations, including the concept of
personalised service and banking support to trade and industry, paying particular attention to the bank's overseas operations. One of the first to comprehend the opportunities offered by the oil boom in the
Persian Gulf, Mr Abedi pioneered close economic collaboration in the private sector between Pakistan and the
United Arab Emirates (UAE). The UAE President,
Sheikh Zayed bin Sultan Al Nahyan, extended his patronage to UBL operations both in Pakistan and abroad.
BCCI years
When
banking was nationalised in Pakistan in 1972, Mr Abedi founded the Bank of Credit and Commerce International with the
Bank of America NT & SA as a major
shareholder. Registered in
Luxembourg, the BCCI began its operations from a two-room head office in London.
Over the years, it developed into a worldwide banking operation with branches in 72 countries and 16,000 employees on its payroll. Mr Abedi was personally responsible for inducting a large number of Pakistanis into the field of international banking and almost 80 per cent of the BCCI's top executive positions at the head office and in branches in various countries were held by Pakistanis. Mr Abedi severed his connection with BCCI in 1990 after suffering a heart attack and led a retired life in Karachi until his death of
heart failure at Karachi's
Aga Khan hospital in 1995.
Now Habib bank is a story where government nationalized the asset in 70's
Example 2: Habib Bank
> Bank was nationalized and original owners were not allowed to have stake in it ? lol in 70's probbaly Bhutto
Pakistani government did not do enough to protect closure of Bank of Credit and Commerce International (BCCI) , and also did not help with interfering with Habib bank's operations
Do you think western governments would not sanction Pakistani Banks the moment they started to finance purchase of Aircraft carriers or Stealth jet program in Pakistan ?
Pakistanis can't even send more then 300-3000 , per month any where , do you they will agree to Pakistani Banks , supporting Pakistani Banks , financing the nuclear reactor in Pakistan ? Or that SAM missile purchase ?
Mysteriously the firm (Delloite) , who took part in closing Pakistani owned bank , also sued a Bank in UK Bank of England, but later "retreated" the Lawsuit of 850 million pounds because it was against "NATIONAL INTEREST", and instead that company paid the bank 73 million in legal fee charges
So a bank Owned by UK bodies was spared while FBI , UK, hong kong all collaborated to close down BCCI