Dhaka taking steps to bring back siphoned off money from abroad

FE Team | Published: November 16, 2007 00:00:00 | Updated: February 01, 2018 00:00:00

FE Report
Bangladesh has taken preparation to apply for membership of the Egmont Group, which will facilitate exchange of information with central banks of other countries on bringing back money siphoned off by "corrupt" persons in the past few years.
The Bangladesh Bank (BB) will sign memorandum of understanding (MoU) with central banks of three countries - Malaysia, Singapore and the Philippines - initially to exchange information relating to illegal transfer of money.
Besides, the authorities concerned have decided to strengthen their internal cooperation to speed up the efforts for bringing back money siphoned off by alleged corrupt persons.
The decision was taken Thursday at the first meeting of the high-powered taskforce on repatriation of siphoned off money, held at the conference hall of the central bank with its Chairman and BB Governor Salehuddin Ahmed in the chair.
The government earlier formed a 10-member taskforce, headed by the BB governor, to coordinate efforts of different agencies to bring back such money.
"We have discussed modalities to bring back the money siphoned off by the corrupt individuals," the BB chief told reporters after the meeting, adding that the taskforce would collect specific information from different level, and then the home ministry would pursue it with the foreign ministry for taking necessary measures.
"We will sign the MoUs with some particular countries for exchanging such information through financial intelligent units (FIUs)," the central bank governor said, adding "It is a time consuming matter, but it will work as a vision in the future."
The caretaker government has already brought back Tk 8.50 billion worth of foreign exchange that has been siphoned off, the BB governor noted.
Sources, however, said the meeting also decided to collect information form 'My Second Home Programme in Malaysia' to know how many Bangladeshi nationals are registered under the programme.
Among others, Foreign Secretary Touhid Hossein and Chairman of the National Board of Revenue (NBR) Muhammad Abdul Mazid, Additional Home Secretary Sheikh Abdur Rashid, Additional Finance Secretary ATM Fazlul Karim, Director General of the Chief Adviser's Office M H Farhad Khan, Deputy Inspector General of Police (CID) Saiful Alam and Deputy Attorney General Rahid Mahatab attended the meeting.
Bangladesh has already started preparation to apply for membership of the Egmont Group to operate its financial intelligent unit (FIU) in line with international standard.
Three member countries of the group -- Malaysia, Thailand and Mauritius -- have already confirmed their support in favour of Bangladesh. But the country must apply to the international organisation for membership.
"We have already obtained the sponsorships from the countries that will certainly help us get our membership," a BB official told the FE after the meeting.
Toronto-based Egmont Group, formed in 1995, is the coordinating body for the international group of FIUs. It has now 206 members across the world to promote and enhance international cooperation in anti-money laundering and counter-terrorist financing.
Bangladesh is now serving as a member of the Asia Pacific Group on Money Laundering (APG), a regional anti-money laundering body, which is a part of global network.
The World Bank has showed interest to provide assistance if the government takes legal measures for getting back such money.
"The Swiss government has also expressed its interest to help Bangladesh bring back such money," the central bank governor added.
The meeting also recommended a thorough revision of the existing Anti-Money Laundering Act to strengthen efforts for bringing back the money siphoned off, according to the sources.
The Ministry of Law is now vetting the draft of Anti-Money Laundering Prevention Ordinance 2007 to curb money laundering and prevent financing of terrorism.