money laundering
Bangladesh, US discuss collaboration to tackle money laundering, recover stolen assets
Bangladesh and the United States have discussed ways for strengthening collaboration to counter corruption, tackle money laundering and recover stolen assets.
The issues were discussed during a meeting between Foreign Secretary Md Jashim Uddin and acting Coordinator for Global Anti-Corruption Shelby Smith-Wilson in Washington, said the Ministry of Foreign Affairs on Sunday.
Talks also covered technical support for reforms, MLA (Mutual Legal Assistance (MLA) treaty and enhancing experience and expertise sharing in procurement systems, law enforcement, judiciary and media.
US values Bangladesh as a partner in Indo-Pacific region: Uzra Zeya
Meanwhile, US Under Secretary of State for Civilian Security, Democracy, and Human Rights Uzra Zeya said the United States values Bangladesh as a “partner” in the Indo-Pacific region and their “strong collaboration” as their leading partner on Rohingya response and number one source of Foreign Direct Investment (FDI).
She shared a brief message on X, formerly known as Twitter on Saturday as she had a meeting with the Foreign Secretary in Washington on October 11.
"Vital discussion with Foreign Secretary Jashim Uddin on US-Bangladesh humanitarian cooperation, accountability and democratic institutions and support for labour rights," she said.
The Foreign Secretary and Under-Secretary Uzra Zeya had “fruitful discussions" on the reforms of the democratic institutions and upholding of democratic values, accountability of human rights violations, humanitarian response and sustainable solutions of the Rohingya crisis and labour rights issues, according to the ministry.
He also had a "productive meeting" with US Deputy Secretary of State Richard Verma at the State Department, affirming renewal of commitment to deepen and expand bilateral ties, strengthen collaboration on areas of mutual interest.
The Foreign Secretary had a separate meeting with acting US Under Secretary for Political Affairs John Bass and discussed ways to deepen bilateral collaboration building on the momentum in the Bangladesh-US relationship and to advance impactful cooperation in priority areas.
He also had discussions on diverse issues at a meeting with US Special Assistant to the President and Senior Director for South Asia Lindsey W Ford at the White House.
They covered the interim government's reform agenda, democratic transition, economic and security issues, regional stability, Rohingya crisis and labour law.
Foreign Secretary also Jashim met Brendan Lynch, Assistant USTR for South and Central Asia and discussed mutual cooperation to diversify export, DFQF access of RMGs produced from cotton imported from US, simplification of registration and reduction of registration fees for pharmaceutical products, labour law reforms, and access to US International Development Finance Cooperation (DFC).
A lunch meeting between the Foreign Secretary and key officials focused on a wide range of issues of mutual interests.
The US officials included Assistant Secretary Ambassador Donald Lu, Acting Assistant Secretary Marta C Youth, Deputy Assistant Secretary Nicole Chulick, Deputy Assistant Secretary Monica Ager Jacobsen, as well as Director Alla P Kamins.
The Foreign Secretary visited New York before his tour to Washington and is scheduled to leave Washington on October 14.
1 week ago
BFIU seeks bank account info of Tawfiq-e-Elahi, Bahauddin Nasim
Bangladesh Financial Intelligence Unit (BFIU) has instructed banks and financial institutions to provide the account details of former Energy and Mineral Resources Adviser Tawfiq-e-Elahi Chowdhury, Bir Bikram, and Awami League Joint Secretary AFM Bahauddin Nasim.
The BFIU's request, issued on Tuesday, also seeks the financial information of Nasim's wife, Sultana Shamima Chowdhury, and their son and daughter, ABM Siddique and Nuzhat Tabassum.
BFIU asks to freeze bank accounts of former DSCC mayor Taposh, wife, and son
In a letter to the financial institutions, the BFIU noted that the provisions of the Prevention of Money Laundering Act would apply to these accounts. The institutions have been directed to submit documents such as account opening forms, Know Your Customer (KYC) details, and transaction statements within two working days of the letter's issuance.
This request comes as part of an ongoing investigation. Tawfiq-e-Elahi Chowdhury was arrested last month and remains in custody.
1 week ago
Estimates suggest over Tk 1 lakh crore in embezzled funds: Govt launches major banking reforms
Bangladesh Bank and the interim government are undertaking significant efforts to restructure the country’s banking sector, focusing on recovering both local and foreign assets embezzled by corrupt individuals. Officials have confirmed that these assets, laundered abroad, are being targeted for repatriation as part of a broader initiative to bring the financial sector up to international standards.
The government emphasized its commitment to reforming the financial sector, acknowledging that the process is complex and time-consuming. A key element of this strategy will be the establishment of a banking commission tasked with investigating each implicated bank, uncovering the full extent of the corruption, and developing an action plan, according to the Chief Adviser’s press wing. This plan, which can be implemented within six months, aims to overhaul the sector to ensure compliance with global banking norms.
The aim of Bangladesh Bank and the government is to be capable of complying with all international standards and building a strong banking sector. However, international technical assistance and funding will be required from the beginning to the end of the activities to achieve this objective.
Read more: Bangladesh Bank reconstitutes boards of 3 banks, inc. two controlled by S Alam Group
The reforms come in response to revelations that unscrupulous businessmen and influential figures have embezzled vast sums from the banking sector, laundering the funds abroad through fraudulent activities. Preliminary estimates suggest the total embezzled amount could exceed Tk 1 lakh crore, though the exact figure is still being determined.
Significant steps have already been taken, with reforms initiated in several banks linked to the scandal. The boards of Islami Bank, Social Islami Bank, National Bank, United Commercial Bank, Global Islami Bank, and Union Bank have been reconstituted as part of the restructuring efforts. Similar measures will be implemented across other affected banks and financial institutions.
The government has also sought assistance from foreign agencies to track and repatriate the laundered funds. As the new management teams take control, they will be responsible for gathering accurate data on the embezzled amounts and leading the recovery efforts.
Read more: Businesses agree with central bank's steps against bank robbers: DCCI
1 month ago
50 lakh people involved in online gambling: Palak
State Minister for Posts, Telecommunications and Information Technology Zunaid Ahmed Palak on Monday (June 24, 2024) said a drive involving all concerned will be conducted to stop online gambling.
Around 50 lakh people are involved in online gambling, the state minister told reporters after a meeting with French Ambassador to Bangladesh Marie Masdupuy at the secretariat.
Read more: Finance Minister sees online gambling, hundi behind increasing money laundering
When his attention was drawn to the issue of money laundering through online gambling, the state minister said, "We have exchanged views on online gambling. Our children of different ages are at serious risk. Even many elderly retired persons are coming in. Analyzing the data, we have seen how 50 lakh people have become involved in these gambling sites.”
"We are trying to block illegal gambling sites. I'm also trying to create awareness. So that common people are not deceived by any such temptation.”
A total of 2,600 gambling sites have already been blocked and now mobile apps are being blocked, he said adding “It's a continuous process, it will continue.”
He said they sat with the Department of Telecom, National Telecom Monitoring Centre, Computer Council, BTRC and Cyber Security Agency to discuss blocking of these gambling sites.
Read more: Online gambling apps to be stopped: Palak
3 months ago
Sikder Group responds to allegations following ACC case against directors
Sikder Group, a prominent business conglomerate in Bangladesh, has issued a statement in response to various media reports regarding a case filed by the Anti-Corruption Commission (ACC) against its directors, Rick Haque Sikder and Ron Haque Sikder. The group alleges that certain vested interest groups are conspiring to tarnish its reputation by disseminating misleading information.
The statement highlights that the accusations, particularly concerning alleged money laundering involving National Bank's credit card, are unfounded. It clarifies that the Sikder Group directors lawfully utilized $9.83 million abroad through credit cards, subsequently settling the total amount, including $2.04 million in interest and charges, from their foreign earnings in accordance with Bangladesh Bank regulations. This matter was resolved two years prior, and the recent resurgence of these allegations is deemed to be maliciously motivated, the statement says.
Additionally, Sikder Group explains that the credit cards in question were linked to Foreign Currency (DC) accounts, which are exempt from the standard $12,000 travel quota limit.
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The conglomerate emphasizes its longstanding commitment to ethical business practices both domestically and internationally. Sikder Group, founded by Freedom Fighter Zainul Haque Sikder, has made significant contributions to Bangladesh's development sectors, including healthcare, education, and infrastructure, the statement says.
The group suggests that the malicious targeting has intensified following the death of its founder, Zainul Haque Sikder. It asserts that under the leadership of Rick Haque Sikder and Ron Haque Sikder, it has continued to achieve remarkable progress, despite ongoing attempts by detractors to hinder its growth. The statement condemns these actions, especially at a time when Sikder Group is endeavoring to secure foreign investment for key national projects, and calls on the public to disregard the baseless accusations circulated by these conspirators.
6 months ago
Bangladesh Bank closing around 200 MFS accounts a day in Hundi crackdown: Governor Abdur Rouf
Bangladesh Bank (BB) Governor Abdur Rouf Talukder on Monday (March 11, 2024) said that around 200 mobile financial services (MFS) accounts are closing each day due to their Hundi connection.
The central bank is checking rigorously trade transactions through LC and mobile financial services to prevent money laundering activities by any means, he said.
The governor said this in the opening ceremony of the money laundering prevention workshop held at the head office of the Criminal Investigation (CID), Bangladesh Police in the capital on Monday.
Rauf highlighted the steps taken to prevent money laundering since his joining the Central Bank as Governor.
He said, “When I joined Bangladesh Bank in 2022, there was a severe crisis of foreign exchange in the country. At that time took the first step to stop over-invoicing.”
Read more: Inflation, currency prime focus of BB’s next monetary policy
Again, money laundering occurs despite keeping the profit of export products abroad. Initiatives are also taken to prevent that, he mentioned.
The governor expressed the strong stand of the central bank on banning hundi.
He said that expatriates may send Tk500 to their family in the country, then he gives it to someone he knows abroad and asks him to give it to his family in the country.
That money remains abroad. In contrast, a representative in Bangladesh paid the amount. As earlier payment was made through home delivery, now it is done through MFS.
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Around 200 such accounts are being closed every day. Later some accounts were opened again with guarantees, permanent action was taken against some of them, he said.
Highlighting the context of the campaign against money changers, the governor said that USD $45 to $50 million transactions are done through money changers in the country every year. About $270 billion in transitions are made in the banking channel.
But despite a small fraction of transactions, when money changers hiked the dollar rate, many expatriates tried to hold on to remittances. This is how the dollar crisis was created, Rouf pointed out.
“That is why the campaign against money changers is ongoing. Also, avoid dealing in cryptocurrencies. It is completely illegal in our country,” said the BB Governor.
CID Chief and Additional IGP Muhammad Ali Mia in the chair, head of Bangladesh Financial Intelligence Unit (BFIU) Md. Masud Biswas also spoke at the function.
Read more: Bangladesh received $2.16 billion remittances in February, highest in fiscal
7 months ago
PK Halder gets 22 years’ jail for money laundering, amassing wealth
A Dhaka court on Sunday (October 8, 2023) sentenced disgraced director of International Leasing and Finance Service Ltd (ILFSL) Proshanto Kumar Halder, also known as PK Halder to 22 years’ of imprisonment in a case over amassing wealth and money laundering.
Thirteen other accused in the case were sentenced to seven years’ imprisonment each.
Judge of Dhaka Special Judge Court-10 Mohammad Nazrul Islam delivered the judgment.
The 13 convicts included Sukumar Mridha, Anindita Mridha, Avantika Baral, Shankh Bepari, PK Halder's mother Lilavati Halder, Purnima Rani Halder, Uttam Kumar Mistri, Amitabh Adhikari, Pritish Kumar Halder, Rajib Som, Subrata Das, Anang Mohan Roy and Swapan Kumar Mistri.
Read: Court fixes October 8 to deliver verdict in graft case against PK Halder, 13 others
Of them, Sukumar Mridha, Anindita Mridha, Avantika Baral and Shankh Bepari were present on the dock during the delivery of the judgment.
Earlier on October 4, the court set October 8 for delivering verdict upon ending arguments from the both the Anti-Corruption Commission (ACC) and the defendants.
Mamunur Rashid Chowdhury, assistant director of Dhaka Integrated District Office of the ACC, filed the case against PK Haldar for acquiring around Tk 275 crore illegally on January 8, 2020.
According to the case statement, PK Halder acquired wealth worth almost Tk 275 crore beyond known sources of income through illegal activities and kept them in his possession.
Read: India to hand over PK Halder to Bangladesh?
The ACC investigated the case and submitted a charge sheet to the court. In the charge sheet, the anti-graft watchdog accused Halder of laundering CAD 1.17 crore to Canada through illegal means.
A Dhaka court framed charges against the accused on September 8, 2021.
On May 13 this year, India's federal economic offences police arrested PK Halder and his two associates from the eastern state of West Bengal. He is now in an Indian jail.
Read more:Trial of graft case against PK Halder begins
1 year ago
The Daily Star's report on 'S Alam's Aladdin's lamp': HC for probe into allegation
The High Court on Sunday (August 06, 2023) asked the authorities concerned to investigate the allegations brought against S Alam Group over "transferring money abroad and investing in foreign countries without permission from Bangladesh Bank" and submit the report within two months.
The HC bench of Justice Md Nazrul Islam Talukder and Justice Khizir Hayat passed the sue moto rule when Barrister Syed Sayedul Haque Suman, a prominent lawyer of the Supreme Court, drew the attention of the court after attaching a report published by The Daily Star with the headline "S Alam's Aladdin's lamp".
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The HC also asked the Anti-Corruption Commission (ACC) to submit a report to Bangladesh Bank and Bangladesh Financial Intelligence Unit after inquiring into whether there is any money laundering issue or whether S Alam Group took permission from Bangladesh Bank.
It also issued a rule asking the government to explain why the failure of the respondent to prevent the money laundering issue should not be declared illegal.
The HC issued another rule asking the government to explain why directives should not be given to investigate the allegations against S Alam Group and why necessary steps should not be taken against the person and organisation involved in the incident.
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Barrister Syed Sayedul Haque Suman was present, while senior lawyer Khurshid Alam Khan stood for ACC and Deputy Attorney General Saifuddin Khaled represented the state.
Earlier, on August 4, The Daily Star published a report titled "S Alam's Aladdin's lamp".
According to the report, S Alam Group owner Mohammed Saiful Alam has built a business empire in Singapore worth at least about USD 1 billion, although there is no record of him taking permission from Bangladesh Bank to invest or transfer any funds abroad.
The central bank has so far allowed 17 companies to invest outside the country, and the Chattogram-based business giant is not on that list, says the report. Yet in Singapore, Alam bought at least two hotels, two homes, one retail space, and other properties over the last one decade, all the while seeking to remove his name from the paper trails, it adds.
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"As of January 10, 2023, the central bank has cleared roughly about USD 40.15 million to be invested abroad globally, a Bangladesh bank document shows. The figure is 10 times less than what Alam has spent just to buy two hotels and one retail space – worth over USD 411.8 million – in Singapore since 2009," the report says.
"The Bangladesh Bank document also shows that just over USD 107,000 have so far been sent to Singapore legally by a number of companies, and none of them is owned by Alam," The Daily Star report says.
1 year ago
Efforts on to bring home money laundered by BNP leaders: PM Hasina
Prime Minister Sheikh Hasina on Wednesday (July 19, 2023) said the government is trying to bring back the money siphoned off by BNP leaders to different countries.
“The money of many BNP leaders remains frozen (in foreign banks). We’ve been trying to bring these back gradually,” she said.
Hasina, also president of Bangladesh Awami League (AL), was addressing a meeting of the AL-led 14-party alliance held at her official residence Ganabhaban in the evening.
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Criticising the family of BNP leader Khaleda Zia for ‘their corruption’, she said the World Bank stopped financing during the BNP regime due to corruption in the road sector.
The PM said the corruption committed by Khaleda Zia’s two sons Tarique Rahman and Arafat Rahman Koko got revealed even before the foreigners and an FBI agent testified against Tarique in a money laundering case.
She said the government was able to return Tk 40 crore from the amount of money they (Tarique Rahman and Arafat Rahman Koko) laundered to foreign countries. “But the problem is that bringing back the money from the countries where they deposited is a difficult matter. The countries don’t want to release the money,” she added.
Also read: Need to transform education system to build Smart Bangladesh: PM Hasina tells educators
Focusing on her government’s success, the prime minister said Bangladesh has significantly advanced in every sector since 2009 during the regime of her government.
“We can at least claim that Bangladesh has changed a lot in the last 14 and a half years. You can definitely realize it as well,” she said.
Hasina said her government has successfully brought the poverty rate down to 18.6 percent now from 41 percent in 2006, while the extreme poverty rate to 5.7 percent from 25.1 percent.
She said the government has been able to boost the production of foods including crops, fish, meat and vegetable, as well as provided free semi-pucca houses to 600,000 landless families and reached electricity facility to every house by raising power generation capacity significantly.
Also read: Govt is always with you: PM Hasina tells businesspeople
“We’ve achieved the electricity generation capacity to 25,000 megawatts within the 14 and a half years,” she said.
The PM said there is no shortage of rice and other crops in Bangladesh.
Noting that the government is setting up 100 special economic zones to generate employment, the PM said the unemployment rate came down to only 3 percent in the country.
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She said the government continues its steps to create entrepreneurs by providing different stimulus packages and training to the youth to bring down the unemployment rate further.
“We’ve taken and implemented massive works not only for the infrastructural development of Bangladesh but also for its socio-economic upliftment,” she said.
PM Hasina said Bangladesh today is considered as a role model for development throughout the world.
Also read: Staying away from corruption can make possible the impossible: PM Hasina tells govt officials
1 year ago
Money laundering through online gambling platforms: 5 arrested in Khulna
The Rapid Action Battalion (RAB) has arrested five members of an online gambling gang from Khulna for allegedly laundering money through online gambling platforms.
They were arrested in a raid in Khulna’s Rupsa upazila on Thursday night.
The arrestees were identified as Md. Rajib, Md. Enamul Gazi, Md. Mehedi Hasan, Md. Idris Mollah and Md. Mamun.
According to a press release by the RAB, a group of people in Khulna’s Rupsa upazila have been laundering money through online gambling apps like 1XBET and Velki Live. The ring used to illegally transact money from around the country using Bkash, Nagad and other mobile financial services.
Also Read: Money laundering through online gambling platforms: 6 arrested in city
Tipped off, the elite force conducted a raid in Khulna’s Rupsa upazila on Wednesday night and arrested the five ring members, including the mastermind.
During the raid, the RAB recovered and seized at least five Android smartphones used for online betting.
Later, information regarding online gambling, and illegal transactions of both dollars and local currencies through multiple mobile financial services (Bkash, Nogod, Rocket, and Upay) was obtained from various messenger groups found in the recovered mobile phone.
The arrestees were later handed over to the concerned police station.
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1 year ago