Shahid Maitla— Exclusive Story
Islamabad, June 3, 2024: In an unprecedented development in the corporate sector, Ghazanfar Azzam, former CEO Mobilink Microfinance Bank Limited, leveled multiple serious allegations against CEO of Jazz, Aamir Hafeez Ibrahim, in an email he wrote to him asking his resignation for the sake of transparency and reputation of the organizations.
Ghazanfar Azzam, served MMBL for 12 years as CEO, before being recently removed by Aamir Ibrahim and other board members. Ghazanfar Azzam in his email, a copy of which is available to Bloom Pakistan, accused Aamir Ibrahim of manipulating the affairs of MMBL through shareholders to assume the role of chairman of the board, and to stay on the position for a longer time while concurrently serving as CEO of the bank’s super-agent, Jazz. Azzam accuses this dual role as sheer conflict of interest, disdain of the fair corporate practices and violation of state bank’s regulations which weakens the Bank’s governance in monitoring its agent Jazz’s financial activities.
In same correspondence, Ghazanfar Azzam raises questions about an operational incident within the bank, arguing that his removal was unjustified and witch hunt as all top executives were appointed by Aamir Ibrahim, and he quite often bypassed and undermined him as CEO of the bank and even bank’s role as regulator, but none of them was removed following the incident. As insider, he proceeds with the terrible accusation of money laundering against CEO Jazz and Jazz through a fictitious foreign company, Channel Vas, hired for credit scoring of Jazz cash customers, receiving extremely exorbitant share of 35% of total revenue/interest, far exceeding the industry practice of 2-3%. Denouncing it a dubious practice of channeling funds abroad on the name of service charges, he nullifies the recent inquiry on the issue by KPMG as manipulated by Aamir Ibrahim involving non-KPMG counsels.
Ghazanfar Azam calls Aamir Ibrahim’s actions as egregious and debilitating to the bank’s credibility and integrity, warning that further continuation of affairs may irreversibly harm the bank so he should resign immediately.
The reproduced email is as follows:
Dear Mr. Aamir Ibrahim
I am writing to unequivocally express my profound disappointment and indignation regarding your recent conduct as Chair of the Board, particularly in dealing with a significant operational issue faced by the Bank. Your cowardice, selfishness, and utter lack of leadership in this matter are disgraceful.The blatant disrespect you showed me as the founding CEO of MMBL, after 12 years of distinguished service, over an incident I had no connection with, highlights your opportunism and complete lack of courage and leadership.
Given these deplorable actions, I demand answers to the following critical points:
1. Manipulation and Conflict of Interest
You were fully aware of your representation of Mobilink Bank’s super-agent Jazz in branchless banking activities. Despite this, you manipulated shareholders to appoint yourself and several of your team members to the Board, securing a prolonged chairmanship. This egregious conflict of interest compromised the Bank’s governance and its ability to independently supervise the super agent’s activities. Why did you engage in such manipulative practices, and how do you justify this blatant abuse of power?2. Operational Incident Accountability
In the context of the operational incident, you and your fellow Board members shirked responsibility, despite having appointed the CFO, Chief Compliance Officer, Chief Risk Officer , Chief Audit Officer, and Chief Human Resource Officer. These officers, whom you directed and bypassed the CEO quite often, further undermined the Bank’s governance. How do you justify this gross dereliction of duty, and why do you continue to evade accountability?3. Questionable Engagement of Foreign Company
Your decision to engage a foreign company for credit scoring at an exorbitant revenue share of around 35%, far exceeding the reasonable 2-3%, is highly suspicious. This decision calls for an independent forensic inquiry. Considering the recent inquiry. you manipulated through KPMG by involving non-KPMG counsels of your choice in it, you need to resign first. What was your motivation behind this financially irresponsible decision, and how do you defend the integrity of this manipulated inquiry?In light of these grave issues, I demand a formal apology for the appalling mistreatment I endured during my planned transition and abusive treatment of me by bank staff under your instructions.
Furthermore, I insist on your immediate resignation from the Bank’s Board. It is imperative that a truly independent Board, free from the influence of the Bank’s super-agent, take charge to facilitate an unbiased investigation into the Channel VAS case and restore the Bank’s governance and integrity. Your actions have severely undermined the Bank’s credibility, and it is only through your resignation that any semblance of trust can begin to be restored.Regards
Ghazanfar Azzam
Ex CEO MMBL
Ghazanfar Azzam verified the contents of the email upon contact while Aamir Ibrahim didn’t respond to the query. He was attempted again the following day to get the contact details of Mr. Khayyam from Jazz external communication who also didn’t answer to the messages and calls.
Mobilink bank and Jazz, both owned by the Dutch domiciled multinational telecommunication services company VEON Ltd. The MMBL serves as a lender in SMEs, and Jazz as a mobile network and internet services provider. Aamir Ibrahim, over the last 8 years, is known as the influential CEO of Jazz.
According to experts, allegations made by a former top executive in email can be fatal for both Jazz and Mobil ink, potentially resulting in huge financial and reputational losses. They also urge a thorough government inquiry to address the allegations to restore the confidence of the customers on the organization involved.
