The High Court sent a notice on Monday to the concerned authorities to close down the unauthorized financial institutions including credit co-operative society or microcredit-financial institutions which do not have licenses to carry out micro-credit businesses.
The Bangladesh Bank also asked to form a special committee for investigating the small loan programs of the unauthorized companies and make a listing
The HC bench of Justice Abu Taher Md Saifur Rahman and Justice Md Zakir Hossain passed the order after hearing a writ petition, according to a press release.
The microcredit regulatory authority has to submit a list of local loan providers within the 45 days.
Secretary to the Finance Ministry, Governor of Bangladesh Bank, Microcredit Regulatory Authority has been made respondents to the rule.
The court also fixed November 30 for the next hearing.
On September 7, Barrister Syed Sayedul Haque, a lawyer of the Supreme Court filed a writ petition seeking to identify those involved in providing loans with high interest across the country.
That unregistered institutions are involved in realizing high interest and they are not registered in the name of any financial institutions, the petition said.