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PROGRESLIF

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PROGRESLIF 17-Feb-2020

(Continuation news of PROGRESLIF): was Taka 15,000,000 and as on 31-12-2016 was Taka 10,000,000. c) In note 3.13.1(b) of the financial statements which describes, a legal proceeding is running in the Honorable High Court division of Supreme Court of Bangladesh in the name of PLICL's affairs which are yet to be resolved. Due to this reason, PLICL has not filed any return of income for any of the assessment years after the assessment year (AY) 2013-14. But PLICL is in process (cont. 11)

PROGRESLIF 17-Feb-2020

(Continuation news of PROGRESLIF): the Honorable High Court has directed Bangladesh Bank to appoint a liquidator to liquidate the People's Leasing and Financial Service. PLICL has communicated with the liquidator and confirmed that, there is a high possibility to recover the rest of the amount of BDT 10,000,000 from the People's Leasing and Financial Service; Note 19.01 ? Fixed deposits with banks: Balance of Fixed deposits with People's. Leasing and Financial Service as on 31-12-2017 (cont. 10)

PROGRESLIF 17-Feb-2020

(Continuation news of PROGRESLIF): address # Zahura Tower, 1401 Sheikh Muiib Road, Agrabad C/A, Chattogram as on 31-12-2017 was Taka 34,707,416 and as on 31-12-2016 was Taka 34,689,801. b) As disclosed in note 19.01 to the financial statements that, PLICL has an investment amount in BDT 15,000,000 in People?s Leasing and Financial Service as at December 31, 2017. Subsequently, PLICL has collected BDT 5,000,000 on 25 January 2018.It has come to PLICL's knowledge that, (cont. 9)

PROGRESLIF 17-Feb-2020

(Continuation news of PROGRESLIF): a) In Annexure A of note 14 of the financial statements, management has disclosed that, the flat in Chattogram, address # Zahura Tower, 1401 Sheikh Mujib Road, Agrabad C/A, Chattogram purchased at a price of Tk. 34,689,801 for which legal proceeding about ownership is under process in the Joint 2nd District Judge, Chattogram vide case no. 62/12; Annexure A of note 14: Balance of Written Down Value of the flat in Chattogram, (cont. 8)

PROGRESLIF 17-Feb-2020

(Continuation news of PROGRESLIF): But PLICL did not recognize this approved dividend in the financial statements for the year ended December 31, 2017 as per para 14 of IAS 37. Also, as per para 8 of IAS 10, PLICL shall adjust the amounts recognized in the financial statements to reflect adjusting events after the reporting period. Emphasis of Matter: Without further modifying our opinion we draw attention to following notes to the financial statements: (cont. 7)

PROGRESLIF 17-Feb-2020

(Continuation news of PROGRESLIF): the respective agents of closed service cells, which they are trying to recover. According to IAS 37, para 14, no provision has been maintained against BDT 5,959,293 in the audited financial statements; and 5. According to the 153th Board meeting, dated July 25, 2019 and 16th AGM, dated September 12, 2019, PLICL has declared and approved 10% dividend (i.e. 5% stock and 5% cash) for the year 2015 amounting to BDT 12,865,776 to its shareholders. (cont. 6)

PROGRESLIF 17-Feb-2020

(Continuation news of PROGRESLIF): of above mentioned assets and carrying amount of Property, Plant and Equipment as at December 31, 2017 cannot be ascertained; 4. Petty cash balance of BDT 5,959,293 from 25 closed service cells have been shown in the consolidated petty cash balance of BDT 48,408,111. As per management of PLICL, the above mentioned 25 service cells have been closed between 2011 to 2017 and these petty cash balances of BDT 5,959,293 are lying with (cont. 5)

PROGRESLIF 17-Feb-2020

(Continuation news of PROGRESLIF): 3. Proper source documents substantiating the acquisition of certain disposed items of property, plant, and equipment, i.e. Car, Air Condition and Furniture, sold at BDT 2,867,912, BDT 42,000 and BDT 25,000 respectively were not found. No disposal adjustment has been made on the fixed assets schedule (note 20) at the time of de-recognition of such assets. As a result, actual gain/loss arising from the de-recognition (cont. 4)

PROGRESLIF 17-Feb-2020

(Continuation news of PROGRESLIF): Note 14.03 - Investment in equity shares of the companies: Balance of Investment in 51 % of Galaxy Capital Limited as on 31-12-17 was Taka 30,855,000 and as on 31-12-16 was Taka 30,855,000. 2. PLICL has incurred an excess of 41.74% management expenses in the year 2017 from allowable limit mentioned in Section 62 of the Insurance Act, 2010 and Rule 39 of The Insurance Rules, 1958; (cont. 3)

PROGRESLIF 17-Feb-2020

(Continuation news of PROGRESLIF): resulting in violation of that particular IFRS. If Galaxy Capital Ltd. had been consolidated, elements in the accompanying financial statements would have been materially affected. In its Emergency Board Meeting no. 148, dated January 24, 2019, the board of PLICL has decided to withdraw its investment of BDT 30,855,000 from Galaxy Capital Ltd. Subsequently in 2019, PLICL has collected its entire investment of BDT 30,855,000 from Galaxy Capital Ltd.; (cont. 2)

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