[🇧🇩] Corruption Watch

[Saif]

Committee soon to accelerate financial crimes trial

A panel will accelerate trials of financial offenders under provisions of a decree styled Bank Resolution Ordinance the interim cabinet approved Thursday "to protect depositors' interests through better governance". The interim government in its meeting of the council of advisers also appr

thefinancialexpress.com.bd

Interim cabinet endorses several major reforms
Committee soon to accelerate financial crimes trial
Bank Resolution Ordinance approved to cleanse banking sector, protect depositor interests

FE REPORT
Published :
Apr 18, 2025 00:32
Updated :
Apr 18, 2025 00:32

A panel will accelerate trials of financial offenders under provisions of a decree styled Bank Resolution Ordinance the interim cabinet approved Thursday "to protect depositors' interests through better governance".

The interim government in its meeting of the council of advisers also approved another ordinance to bifurcate the National Board of Revenue into two entities, in tune with longstanding recommendations from think-tanks and foreign financiers, including the IMF.

The meeting, with Chief Adviser of the interim government Prof Muhammad Yunus in the chair, also in principle endorsed a proposal amending the Audit Ordinance to ensure international standards in audit, and an amendment to the existing Civil Penal Code (CPC) to expedite delivery of justice.

"We have seen how a single business group has siphoned off a huge amount of money from the country through establishing control over several banks. So, we have approved the Bank Resolution Ordinance to ensure governance in the corporate sector, and accountability in the banking sector so that such things cannot happen in future and the depositors' interests can be protected," said adviser Syeda Rizwana Hasan while briefing the press on the decisions of the council meeting.

Previously the central bank's power was not clearly defined in ensuring depositor interests and in ensuring accountability in the banking sector, she said, adding that a set of rules have been decided in the Ordinance entrusting specific powers to the central bank.

Regarding the Ordinance on revenue policy and management, she said it was done in line with the recommendations of the reform commission on the public administration.

The ordinance proposes dividing the revenue-authority body into two separate authorities - one will be responsible for determining revenue policy and another one for administering revenue collection.

The council of advisers also decided to form a committee to initiate trial for those involved in financial crimes.

This panel will be responsible for investigation and trial process of the pecuniary crimes-as a taskforce has already dug out many cases of offence and frozen bank accounts and assets of suspects.

"We have done the preliminary works and now we are going to form the committee to complete the trial," said Ms Rizwana, in an indication of quick trials of umpteen cases being instituted and arrests of high-profile suspects being made.

The proposed amendment of the Civil Penal Code envisages rules to shorten the trial process so that the public can get justice quickly.

This set of rules includes provisions for sending summons through mobile- phone short message service.

There will also be provisions so that the lawyers of any side cannot drag the trial process through seeking time several times as there will be specific number for time petition.

The advisory council also approved an amendment so that the public auditing can be made more transparent.​

 

[Saif]

ACC prosecutes former land minister Saifuzzaman, wife for embezzlement of Tk 200m

The Anti-Corruption Commission (ACC) has filed a case against former land minister Saifuzzaman Chowdhury, his wife and former United Commercial Bank (UCB) chairperson Rukhmila Zaman, and 21 others for allegedly embezzling Tk 200m using a fake company. ACC Director General Akhtar Hossain confirmed

thefinancialexpress.com.bd

ACC prosecutes former land minister Saifuzzaman, wife for embezzlement of Tk 200m
FE Online Desk
Published :
Apr 17, 2025 21:29
Updated :
Apr 17, 2025 21:29

The Anti-Corruption Commission (ACC) has filed a case against former land minister Saifuzzaman Chowdhury, his wife and former United Commercial Bank (UCB) chairperson Rukhmila Zaman, and 21 others for allegedly embezzling Tk 200m using a fake company.

ACC Director General Akhtar Hossain confirmed the development to journalists on Thursday. The case was filed by ACC Deputy Director Mahfuz Iqbal, reports bdnews24.com.

According to the case statement, a non-existent company named Eminent Traders applied for a Tk 200m time loan from UCB’s Khatunganj branch on Feb 9 2020.

The bank proposed to approve the loan, despite the absence of proper verification, collateral, or insurance. Even though UCB’s Corporate Banking Division identified some irregularities, the bank’s board of directors approved the loan on Feb 16.

On Feb 23, the entire amount was deposited into Eminent Traders’ account. That same day, as well as the next, the money was funneled through 23 pay orders to three fake companies: Imperial Trading, Classic Trading, and Model Trading.

From there, the money ended up in an account of International Leasing and Financial Services Limited (ILFSL).

The loan was ultimately used to pay off installments for another loan taken by Aramit Cement Ltd. The company’s Managing Director Rukhmila Zaman and her husband Saifuzzaman Chowdhury were directly involved with this loan.

According to the ACC, Eminent Traders has no legal existence. It was used as a front for coordinated fraud and money laundering involving fake firms, negligence by bank officials, and abuse of power.

As of Oct 31 2024, the total outstanding amount including interest had reached Tk 326.9m.

Apart from Saifuzzaman and Rukhmila, the accused in this case include high officials of UCB, such as directors and managers, as well as the owners of Classic Trading, Eminent Traders, Imperial Trading, and Model Trading.

Earlier, in response to an ACC petition, a court ordered the seizure of Saifuzzaman’s shares worth Tk 1.02 billion, 128.04 hectares of land, and the freezing of 39 bank accounts.​

 

[Saif]

Wasteful projects in the name of Digital Bangladesh

For each centre, between one and five acres of land were acquired. However, such a large quantity of land was unnecessary.

en.prothomalo.com

Investigation committee report
Wasteful projects in the name of Digital Bangladesh

Arifur RahmanDhaka
Updated: 17 Apr 2025, 19: 31

Construction work for one information technology-related training centre in each of eight districts commenced in 2017. For each centre, between one and five acres of land were acquired. However, such a large quantity of land was unnecessary. This led to excess expenditure of Tk 13 crore (130 million) in land acquisition alone.

Each training centre comprises a six-storey building. These buildings are now awaiting inauguration. However, a two-storey structure would have sufficed. This resulted in an additional cost of Tk 110 crore (1.1 billion).

Now an uncertainty regarding the utilisation of these buildings has appeared due to the absence of trainers and required human resources.

The excessive expenditure in land acquisition and building construction under the project titled “Establishment (2nd Revised) of IT Training and Incubation centre” in eight districts has been reported by the investigation committee formed by the interim government.

These eight training centres, constructed at a cost of approximately Tk 534 crore (5.34 billion) are scheduled to be handed over to the Bangladesh Hi-Tech Park Authority by June.

Project Director (PD) Humayun Kabir informed Prothom Alo on 5 March that he had taken over the responsibility of this project one year ago.

He stated that those previously in charge would be able to explain why such large plots of land were acquired and why six-storey buildings were constructed.

Humayun Kabir, however, acknowledged that the acquisition of surplus land was evident.

Another project concerning information technology training was undertaken in 2020. Under this project, with a budget of Tk 837 crore (8.37 billion), IT training and incubation centres are being established in 14 districts. This project also involves the acquisition of more land than necessary and the construction of buildings with additional storeys.

The investigation committee noted that, thus far, Tk 252 crore (2.52 billion) has been spent. They also added that eliminating unnecessary expenditure could potentially save Tk 74 crore (740 million).

The wasteful spending is not limited to these two projects. The investigation committee has discovered instances of overspending in 19 other ongoing and completed ICT projects implemented during three consecutive terms (2009-2024) of the Awami League government.

In various cases, excessive funds were spent on purchases, website development, establishing academics, land acquisition and construction under the guise of project implementation.

Experts state that although there was substantial investment in the ICT sector during the Awami League’s tenure, the desired outcomes were not realised. In terms of ICT sector advancement, Bangladesh is far behind other nations with comparable economies.

A 12-member committee was formed on 28 August to evaluate ongoing and completed projects under the ICT Division implemented during the three terms of the Awami League government.

The committee is chaired by Mahbubur Rahman, Additional Secretary of the ICT Division, who is currently serving as Secretary of the Ministry of Commerce.

Mahbubur Rahman stated to Prothom Alo that the report has been submitted to the ICT Division. The report outlines various irregularities and inconsistencies observed in the projects.

According to data from the ICT Division, a total of Tk 19,020 crore (190.2 billion) was allocated for the implementation of 21 projects. Of this, just over Tk 5,000 crore (50 billion) has been spent. Between 2009 and 2024, five ministers and state ministers were in charge of the ICT Division. They are - Syed Abul Hossain, Mostafa Faruque Mohammed, Abdul Latif Siddique, Mustafa Jabbar and Zunaid Ahmed Palak.

Upon reviewing the projects, the investigation committee found that some included activities unrelated to their stated objectives. The committee recommended eliminating such unnecessary components from ongoing projects. Moreover, some projects included activities that do not fall under the purview of the ICT Division. The report estimates that removing these unnecessary items could save Tk 6,981 crore (69.81 billion).

On 5 March, ICT Division Secretary Shish Haider Chowdhury stated to Prothom Alo, “Due to irregularities in the projects, we have forwarded the investigation report to the Anti-Corruption Commission (ACC). The ACC is currently investigating the irregularities and corruption. Based on the committee’s recommendations, we have already discontinued several project components.”

Training centres without trainees

In 2022, the Bangladesh Hi-Tech Park Authority initiated a project aimed at fostering entrepreneurship in the ICT sector in 14 districts. The total budget for constructing training centres and incubation centres in these district headquarters was set at Tk 1,115 crore (11.15 billion).

Upon reviewing the investigation committee’s report, it was observed that despite the plan for district-level implementation, five of the centres are being built in upazilas.

These include Madhupur in Tangail, Parshuram in Feni, Kashiani in Gopalganj, Debiganj in Panchagarh and Nawabganj in Dhaka. The remaining nine are being constructed in district headquarters.

The committee argues that establishing training centres at the upazila level lacks justification and is being carried out for unfair political considerations. Moreover, no provision has been made for hiring trainers.

For each centre, one to seven acres of land were acquired, despite one acre being sufficient. Buildings of up to seven storeys are being constructed. According to the investigation committee, two or three-storey buildings would have sufficed. The report states that Tk 437 crore (4.37 billion) could have been saved by avoiding construction of unnecessary floors while Tk 41 crore (410 million) was wasted on excess land acquisition.

Since 5 August, the project has been overseen by Mohammad Saiful Hasan who told Prothom Alo on 11 March that, based on current requirements, buildings with three, four or five storeys will now be constructed instead of seven-storey buildings. Additionally, construction of the training centres in Nilphamari Sadar, Sherpur Sadar, Parshuram and Kashiani has been cancelled. A new design will now be required.

In 2017, a separate project was initiated to establish IT parks in 12 districts with Indian financial assistance. The project was estimated to cost Tk 1,846 crore (18.46 billion). The investigation committee observed that at least four of these parks lacked justification. If unnecessary allocations are removed, Tk 1,340 crore (13.4 billion) could be saved.

Website named “Hasina and Friends”

A project titled Innovation Design and Entrepreneurship Academy (IDEA) was undertaken in 2016 with an allocation of BDT 443 crore. Under this project, a website named Hasina and Friends (www.hasinaandfriends.gov.bd) was developed, with a budgetary provision of approximately BDT 20 crore. Of this, BDT 18 crore was reportedly expended.

The investigation committee has deemed the website to be unnecessary and has recommended its cancellation. As of 10 March, attempts to access the website were unsuccessful. According to the ICT Division, the website has been discontinued.

AKM Fahim Mashroor, Chief Executive Officer of BDJobs told Prothom Alo on 11 March that the website appeared to have been developed merely to appease certain individuals.

He added that such a website would ordinarily cost BDT 1 to 2 crore, indicating that the expenditure incurred was highly irregular.

Under the same project, BDT 65 crore was allocated for a digital transaction gateway titled ‘Binimoy Payment’ of which BDT 44 crore has been spent. The investigation committee has noted that since the gateway is not operational, the remaining BDT 21 crore could be recovered.

The Binimoy platform, launched in 2022, was designed to facilitate inter-transactions among banks, mobile financial services (MFS) PSPs. It was intended to enable seamless transactions from one MFS account e.g., bKash to Rocket, or Rocket to mCash or to bank accounts.

At a programme held on 29 January, Bangladesh Bank Governor Ahsan H. Mansur stated that the Binimoy platform, intended for mobile financial services interoperability, had been operated by a shell company owned by the former Prime Minister’s son, Sajib Wazed Joy.

He added that placing the platform under the purview of the ICT Ministry was a major obstacle to its advancement.

Additionally, the investigation committee has raised concerns regarding an allocation of BDT 19 crore for organising the Bangabandhu Innovation Grant.

Unused 164 mobile game

In 2016, the previous government launched a project titled Skill development for mobile game and application projects with a budget of BDT 330 crore. According to the investigation committee, the project resulted in the development of 164 mobile games and 102 mobile applications. These activities were deemed inappropriate for a government project and most of the developed content is currently not in use. All games and applications were procured from vendors, with none developed under direct project supervision.

The investigation committee has concluded that approximately BDT 146 crore was squandered under this project through the production of 11 animated features, holographic visuals, VR films, mobile games and applications.

In another project approved in 2019 with a budget of BDT 167 crore, the committee identified several unnecessary expenditures, including the purchase of computer software. It has been estimated that BDT 17 crore could be saved from this initiative.

Excessive spending on training

In 2022, the Bangladesh Computer Council (BCC) initiated a project worth BDT 2,541 crore aimed at fostering an enabling environment for digital governance and a digital economy. However, the expenditure allocations under the project have been described by the investigation committee as arbitrary. For instance, BDT 103 crore was allocated for training of 10,000 government employees, and BDT 21 crore for consultancy services. The committee has raised questions regarding the reasonableness of these expenditures. As of now, BDT 376 crore has been spent under the project.

The investigation committee has said that the cancellation of unnecessary allocations could save as much as BDT 1357 crore.

Project without loan agreement

In 2021, the ICT Division launched a project titled Establishing Digital Connectivity with a proposed expenditure of BDT 5,923 crore. Of this, BDT 2,505 crore was to be funded by the Government of Bangladesh, with the remaining amount expected to be financed through a loan from the Government of China. The project aimed to provide 190,244 broadband internet connections to various educational institutions and public and private organisations.

However, the project was initiated without finalising a loan agreement with China. The investigation committee has stated that providing internet connectivity does not fall within the core responsibilities of the ICT Division. Furthermore, since no formal loan agreement was executed, the project may be considered for cancellation. The committee concluded that excluding unnecessary components could potentially save BDT 4,075 crore and that the amount already spent constitutes a waste of public funds.

Frontier Institute in Shibchar

In 2022, a project worth BDT 1,534 crore was undertaken to establish a specialised institute in Shibchar, Madaripur, named the Bangladesh Institute of Frontier Technology, Shibchar, Madaripur. Under this project, 70 acres of land were acquired at a cost of approximately BDT 200 crore.

The investigation committee has noted that such a large area of land was unnecessary and deemed the acquisition an example of misappropriation of public funds. The report further states that establishing such a specialised institution at the upazila level lacks justification.

Additionally, BDT 15 crore has been allocated for the construction of facilities such as a nine-storey building, commercial centres, officers’ quarters, a Bangabandhu Digital Corner and tennis court etc. expenditures which the committee has categorised as wasteful. By eliminating non-essential activities, a saving of BDT 50 crore could be achieved.

Multifaceted looting has occurred

Iftekharuzzaman, Executive Director of Transparency International Bangladesh (TIB) told Prothom Alo that the ICT sector has experienced multifaceted looting over the past 15 and a half years.

He noted that although the former government promoted slogans such as ‘Digital Bangladesh, Smart Bangladesh’, the substantial investments made in the sector have not yielded the expected outcomes.

Expressing the need to take action, Iftekharuzzman said that those involved in formulating and approving such projects must be held responsible.

He added that a strong message must be sent for the future to avoid practices in the ICT sector.​

 

[Saif]

'Tackling corruption in SNP could save half of govt spending'

Tackling corruption and inefficiency in the Social Safety Net Programme (SNP) could save half of the government’s spending in this sector, said Planning Adviser Dr Wahiduddin Mahmud. He stated that, half of the individuals currently receiving benefits of SNP meant for the poor are not actual

thefinancialexpress.com.bd

'Tackling corruption in SNP could save half of govt spending'
FE ONLINE REPORT
Published :
Apr 20, 2025 19:25
Updated :
Apr 20, 2025 19:25


Tackling corruption and inefficiency in the Social Safety Net Programme (SNP) could save half of the government’s spending in this sector, said Planning Adviser Dr Wahiduddin Mahmud.

He stated that, half of the individuals currently receiving benefits of SNP meant for the poor are not actually poor.

“If this issue were addressed, the saved funds could either be redirected or used to double the allowances for the deserving beneficiaries,” the adviser said.

He made these remarks on Sunday responding a question at a press briefing following the meeting of the Executive Committee of the National Economic Council (ECNEC) at the NEC auditorium in the capital.

The meeting presided over by Chief Adviser Dr Muhammad Yunus approved a project titled “Strengthening Social Protection for Improved Resilience, Inclusion and Targeting(SSPIRIT)” with an estimated cost of Tk 9.04 billion.

The World Bank-supported project will allocate Tk 3.15 billion for administrative costs to facilitate a cash transfer program worth Tk 5.89 billion, benefiting 4.5 million recipients.

For every Tk 100 transferred under the project, approximately Tk 54 will be required for operational expenses.

Additionally, the project has proposed over Tk 1.94 billion for consultancy services, with some earning as much as Tk 600,000 per month.

The advisor said that, a significant portion of the funds allocated to the social security sector cannot truly be considered as part of social security.

“The government spends a large sum on various programmes such as allowances for the elderly, freedom fighters and the disabled. If so much money is being spent on administration, what is actually reaching those in need?” he said.

The advisor also acknowledges that, this problem has persisted for years. “In my own research, I have found that at least 50 per cent of the people receiving these allowances should not be beneficiaries.”

The advisor blamed the development partners behind the high consultancy costs and said, “When foreign loans are taken, they often come with consultants, many of whom are not actually qualified for the tasks at hand.”

“I have witnessed this pattern throughout my career and have fought against it. However, this particular project is less problematic, as we are introducing a social registry for the first time,” the advisor concluded.​

 

[Saif]

Saifuzzaman, Nafeez, 70 others own Dubai properties: ACC

The Anti-Corruption Commission has identified 72 individuals, including former land minister Saifuzzaman Chowdhury and former Padma Bank chairman Chowdhury Nafeez Sarafat, in connection with alleged money laundering and offshore property acquisitions in Dubai of the United Arab Emirates...

www.newagebd.net

Saifuzzaman, Nafeez, 70 others own Dubai properties: ACC
Solamain Salman 23 April, 2025, 23:36

The Anti-Corruption Commission has identified 72 individuals, including former land minister Saifuzzaman Chowdhury and former Padma Bank chairman Chowdhury Nafeez Sarafat, in connection with alleged money laundering and offshore property acquisitions in Dubai of the United Arab Emirates.

The commission identified the names of the 72 Bangladeshis who are among the 459 Bangladeshis linked to the purchase of 972 properties in Dubai under ‘Golden Visa’ schemes.

A three-member ACC inquiry team led by its deputy director Ram Prasad Mondol is conducting a probe into allegations of amassing illegal wealth and laundering money to different countries and then purchasing the 972 properties in Dubai.

As part of the inquiry, the ACC identified the 72 individuals and on April 16, the inquiry team sent a letter to the National Board of Revenue to provide detailed tax records, including e-TINs and income tax returns of the 72 people.

The commission requested the NBR to take necessary measures for giving the information to the ACC by April 29.

Although the letter refrains from listing official designations or full identities of the persons, the names include several influential businesses, politicians and former ministers.

The ACC officials said that funds were siphoned off to Dubai through Swiss and other foreign banks, and were used to purchase the high-value properties.

About the letter to NBR seeking information regarding the 72 people, ACC director general (prevention) Md Akhtar Hossain said that the inquiry officer could seek any necessary documents from any government agencies for the sake of a proper probe.

He also said that the commission would take its next course of action based on the inquiry report.

The other names on the list are Ahsanul Karim, Anjuman Ara Shahid, Hefzul Bari Mohammad Iqbal, Humaira Selim, Zuran Chandra Bhowmik, Md Rabbi Khan, Md Golam Mostafa, Mohammad Oliur Rahman, SA Khan Ikhtekharuzzaman, Syed Fahim Ahmed, Syed Hasnain, Syed Mahmudul Haque, Syed Ruhul Haque, Golam Mohammad Bhuiyan, Haji Mostafa Bhuiyan, Manoj Kanti Pal, Md Iftekhar Uddin Chowdhury, Md Mahbubul Haque Sarkar, Md Selim Reza, Mohammad Ilias Bazlur Rahman, SU Ahmed, Shehtaz Munshi Khan, AKM Fazlur Rahman, Abu Yusuf Md Abdullah, Gulzar Alam Chowdhury, Hasan Ashiq Taimur Islam, Hasan Reza Mohidul Islam, Khaled Mahmud, M Sajjad Alam, Mohammad Yasin Ali, Mustafa Amir Faisal, Syed Mizan Md Abu Hanif Siddiqui, Sayeda Durrak Sinda Zara, Ahmed Ifzal Chowdhury, Farhana Monem, Farzana Anjum Khan, KH Mashiur Rahman, MA Salam, Md Ali Hossain, Mohammad Imdadul Haque Bhorsa, Mohammad Imran, Mohammad Rohen Kabir, Manzila Morshed, Mohammad Sanaullah Chowdhury, Mohammad Sarful Islam, Syed Rafiqul Alam, Anisuzzaman Chowdhury, Rifat Ali Bhuiyan, Salimul Haque Isa or Hakim Mohammad Isa, Syed AK Anwaruzzaman or Syed Kamruzzaman, Syed Salman Masud, Syed Saimul Haque, Abdul Hai Sarkar, Ahmed Samir Pasha, Fahmida Shabnam Chaiti, Md Abul Kalam, Fatema Begum Kamal, Mohammad Al Ruman Khan, Maynul Haque Siddiqui, Munia Awan, Sadiq Hossain Md Shakil, Abdullah Mamun Maruf, Mohammad Arman Hossain, Mohammad Shawkat Hossain Siddiqui, Mustafa Jamal Naser, Ahmed Imran Chowdhury, Billal Hossain, MA Hashem, Mohammad Main Uddin Chowdhury, and Natasha Noor Mumu.

Earlier, on April 16, 2023, the ACC had sent letter to the Bangladesh Financial Intelligence Unit of the Bangladesh Bank and the Ministry of Foreign Affairs seeking information over the allegations.

On April 10, 2023, a three-member inquiry team was formed to probe the allegations of laundering money by Bangladeshi people to Dubai.

The probe was prompted by a Supreme Court directive issued on January 16, 2023, ordering an inquiry into overseas property acquisitions by Bangladeshi nationals in Dubai.

The property purchase in the Gulf state — with presumably laundered money — came to the fore after the Centre for Advanced Defence Studies, a Washington DC-based non-profit organisation, published a working paper in May 2022.

A total of 459 Bangladeshis purchased 972 properties in Dubai worth $315 million without disclosing information, the report said.

There are allegations that people from various professions, including politicians, businesspeople, bureaucrats and police officials laundered abroad a huge amount of money during different tenures of the Awami League government between 2009 and 2023.

The money launderers made their fortunes abroad and purchased properties, established business entities, and invested in second homes in different countries.

After the fall of the autocratic AL government amid a student-led mass uprising on August 5, 2024, the ACC took a fresh move to conduct inquiry into allegations of money laundering and bring back the laundered money.​