Yunus removed as Bangladesh Grameen Bank MD

Nobel laureate Muhammad Yunus, who founded and managed Bangladesh's Grameen Bank, has been removed from his position as managing director, following allegations of irregularities at the microlender.

Bangladesh Bank, the country's central bank, issued the letter relieving Muhammad Yunus as managing director of Grameen Bank (GB), stating his appointment was not done with its approval.

Reports quoting GB's government-appointed chairman also said, "Recruitment of managing director is done by the board of directors. But Bangladesh Bank's approval is necessary in this regard. The directives were not followed during the last recruitment."

Sources at Bangladesh's central bank said the action followed a letter from the Bangladesh finance ministry demanding immediate retirement of Yunus as he had been in his post at Grameen for nearly a decade longer than the law allowed.

The official retirement age of managing directors at commercial banks is 60.

Yunus is reported to have said that the bank's board, consisting of borrowers, wanted him to stay on as long as he is able to perform his duties.