Requests sent to countries over S Alam, Beximco's fortunes

Bangladesh has begun legal and diplomatic steps to recover money allegedly laundered abroad by tycoons, the finance minister told parliament Tuesday, vowing that there would be "no compromise" in enforcing financial discipline.
Speaking during a question-and-answer session in the JatiyaSangsad, Amir Khosru Mahmud Chowdhury said the government had already initiated both criminal and civil proceedings to trace and repatriate illicit assets linked to powerful conglomerates.
The remarks came in response to a question from Hasnat Abdullah, who cited large volumes of default loans tied to corporate groups.
He claims Islami Bank Bangladesh Limited alone held Tk921.15 billion in non-performing loans, of which roughly Tk 800 billion was linked to the embroiled S Alam Group. He also points to about Tk 250 billion in defaulted loans associated with Beximco Group at Janata Bank.
In response, the minister strikes a firm note. "There is no scope for compromise in economic management within BNP politics," he says, referring to his party, the Bangladesh Nationalist Party.
He argues that previous BNP administrations had not faced questions over financial discipline, macroeconomic stability or stock-market governance.
Khosru mentions legal cases filed against individuals who had taken money from banks and fled, adding that international professional firms have been engaged to assist in asset recovery.
"The government is working on a government-to-government basis, while recovery firms are also pursuing cases independently. We are hopeful that these funds can be brought back," says the finance and planning minister about a two-pronged crusade against pecuniary offences.
In a written response, the minister outlines that the recovery process hinges on sending Mutual Legal Assistance Requests (MLARs) under the Mutual Legal Assistance in Criminal Matters Act 2012-a key step in cross-border financial investigations.
As part of ongoing efforts, Bangladesh has already sent requests to four jurisdictions-British Virgin Islands, Cyprus, Jersey and Singapore-regarding S Alam Group, and to the United Kingdom and the United Arab Emirates in relation to Beximco Group.
A joint investigation team comprising the Anti-Corruption Commission, Criminal Investigation Department, Central Intelligence Cell, and customs intelligence authorities has filed cases in domestic courts. At the same time, four international law firms have been appointed to trace the ill-gotten overseas assets linked to the groups.
Officials say both criminal and civil legal routes are being pursued simultaneously, reflecting the complexity of recovering funds moved across multiple jurisdictions.
However, the minister cautions that asset recovery is a lengthy and uncertain process. Progress depends on responses from foreign authorities, the identification of illicit assets, and successful prosecution in courts either in Bangladesh or abroad.
"Until legal proceedings are completed, it is not possible to estimate how much money can be recovered in the current or next fiscal year," he tells the House, adding that all available legal avenues would continue to be pursued.
The intervention comes amid growing scrutiny of Bangladesh's banking sector, where large-scale loan defaults and alleged capital flight have raised concerns about governance, accountability and the resilience of financial institutions.
mirmostafiz@yahoo.com