Cause of Downfall
It is still unclear if the situation had been exacerbated as a result of media pressure causing thousands of people to demand immediate refunds effectively causing a cashflow crisis at the company and forcing it to call in liquidators. Investigation is currently ongoing to determine the full extent of the problem and whether the company was involved in fraudulent activities or undertook risky speculative business in the currency market.
In a press statement displayed on the company's website, the directors stated that Bangla TV, a UK-based Bengali language satellite TV channel, had been irresponsible in showing angry public opinion calling for the directors and their families to be "pursued" and not to rest until they were shown "naked in the street". The directors have also stated that Bangla TV had caused panic among the community by falsely stating that the company had gone bankrupt when it hadn't on 25 June 2007. The company, therefore, had no choice but to call in liquidators as the investment and cash-injection it was seeking at the time had fallen through as a direct result of these misrepresentations by Bangla TV.
In an e-mail interview given to the E-Bangladesh news site, the directors re-iterated their views on the cause of the downfall.
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