Staff Reporter: Bank Asia has stopped credit, debit and pre-paid card transactions with 10 e-commerce companies including Evali and Alesha Mart, which have attracted customers with various offers in the country.
Earlier, BRAC Bank also stopped transactions with these 10 companies. The ban was imposed by the two banks following negative media coverage of the online marketplace.
Other companies on the ban list are E-Orange, Dhamaka Shopping, Sirajganj Shopping, Aladdin’s Lamp, Boom Boom, Cucom, Adian Mart and Needs.com BD.
The bank has informed its customers that transactions with these e-commerce companies have been temporarily suspended due to ‘technical reasons’. A message sent to Bank Asia’s own customers on Wednesday (June 23rd) said, “Some local e-commerce transactions on the Bank Asia card have been temporarily suspended due to technical reasons.”
It has been asked to know the details by calling ‘16205’. A person named Arman confirmed the matter to the media when he called the call center of Bank Asia. He said 10 e-commerce transactions will not be possible from June 23.
United Commercial Bank Limited (UCB) and Citibank have also warned their customers of possible fraud. UCB said in a message to its customers on Wednesday that UCB would not be liable for disputes over transactions with online merchants in e-commerce transactions with UCB cards.
Earlier, on Tuesday (June 22), BRAC Bank suspended transactions with 10 e-commerce companies, including Evali and Alesha Mart.
There have been many questions about several e-commerce companies in the country, including Evali. These companies are enticing the general buyers by offering to sell their products at a much lower price than the market price. They are supplying the product after a few months with advance money from them. As a result, they have a huge amount of money. In this case, if the company sits down or the authorities embezzle the money and flee, those buyers will have to lose all the money.
According to a recent visit by Bangladesh Bank, Evalley’s current assets amount to Tk 65.17 crore. On the other hand, the debt of the company stands at Tk 403.70 crore. The company does not have the capacity to repay these debts more than 6 times its assets.
The picture is more or less the same for other e-commerce companies that follow Evali’s strategy. They also owe much more than their own capital or assets. So it is almost impossible for organizations to survive in the long run. When the institutions close, it will be impossible to get back the money of the customers deposited there. Besides, the companies that are supplying the rest of the products to these e-commerce sites will not get the product price.
Source: Daily StockBangladesh by www.dailystockbangladesh.com.
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