July 24, 2023 (MLN): In the wake of the latest news reports claiming, 'Pakistan-based Habib Overseas Bank Ltd is facing winding-up proceedings by the South African Reserve Bank (SRB)', it is confirmed that Habib Overseas Bank is in no way related to any Pakistani bank and has no ties with Pakistan.
The Prudential Authority (PA) of the SA Reserve Bank on Friday launched court proceedings for the liquidation of Habib Overseas Bank, which was placed under curatorship in March. However, Mettis Global's investigation has revealed that there is no connection between Habib Overseas Bank and any Pakistani bank, as claimed in some media reports.
For unversed, Habib was licensed as a bank in 1990. Owing to disagreements within the Habib family, there were divisions that led to two separate banking operations in South Africa owned by the Habib family, namely Habib Overseas Bank Limited and Habib Bank AG Bank Zurich (HBZ). Habib is wholly owned by Finance Société Anonyme (Pitcairns) based in Luxembourg. The holding company was established to hold the equity interest in Habib; it is not involved in any other business activities. Individual members of the Dawood-Habib family (Pakistani nationals) own Pitcairns.
Last year, in November 2022, Habib Bank AG Zurich, which operates internationally and has branches and subsidiaries in various countries, including the UK, Canada, Hong Kong, Pakistan, UAE, South Africa, and Kenya, explicitly stated that it has no legal or beneficial affiliation, direct or indirect, nor any shared ownership in Habib Bank Limited or Habib Overseas Bank Limited.
Habib Bank AG Zurich was founded in Switzerland on August 25, 1967, by the Habib family, renowned for their long-standing presence in the banking industry since 1921. The bank has been operating independently and globally with no branch or subsidiary in the United States of America.
In South Africa, HBZ Bank Limited operates as a subsidiary of Habib Bank AG Zurich, Switzerland. It is essential to note that HBZ Bank Limited is entirely separate from Habib Overseas Bank and is part of the global operations of Habib Bank AG Zurich.
HBL bank, on the other hand, traces its origins back to 1941 when it was established by the Habib Group of companies in the then Bombay. Although the bank later moved its head office to Karachi before the partition of India into the separate state of Pakistan in 1947, it is not affiliated with Habib Overseas Bank, which operates autonomously and has no connection to Pakistan.
It is crucial to refrain from associating Habib Overseas Bank with any Pakistani bank, as it stands as an independent international entity, separate from the mentioned banking institutions.
Copyright Mettis Link News
Posted on: 2023-07-24T08:25:33+05:00
