Banking Sector: SBM Suspends 12 Employees

Twelve employees of SBM Bank (Mauritius) Ltd, including at least three managers, have been provisionally suspended. These actions are part of internal investigations into suspicious practices within several key departments.

According to sources close to the matter, those suspended include officers from the Anti-Money Laundering and Compliance departments. The bank's management has not specified whether these suspensions are related to toxic loans, alleged fraud, or governance failures, nor if they are connected to the 2025 arrest of former CEO Premchand Mungur, who is facing allegations related to a controversial loan of Rs 470 million granted to Dhyanavartam Ltd (formerly Mauriplage Beach Resort Ltd, manager of Maradiva Villas Resort & Spa). Premchand Mungur’s contract was terminated on December 2, 2025.

In February, the Head of Internal Audit was already suspended. The Financial Crimes Commission (FCC) has opened several investigations, including into the "Reward Money" cases and Dhyanavartam Ltd, involving certain bank officers, as SBM acknowledged in a statement in February.

When questioned by Le Défi Quotidien, an authorized source at SBM confirmed these suspensions, which took effect on Monday, April 6: "SBM Bank (Mauritius) Ltd has decided to establish disciplinary committees as part of its operational framework following internal investigations. Twelve staff members have been provisionally suspended, pending the conclusions of these disciplinary committees."

The bank has not provided any indication regarding the duration of these suspensions or the measures to be taken following the committees' conclusions. These changes within SBM occur against a backdrop of increased oversight of local financial institutions, particularly following past financial scandals and FCC investigations.