Tk 1.13tr Laundering: CID Launches Probe Into S Alam Group

Last updated: August 31, 2024

Dhaka, Bangladesh (BBN) - The Criminal Investigation Department (CID) has launched an investigation into the allegation of laundering of Tk 1.13 trillion abroad by Saiful Alam, the owner of S Alam Group, and his associates.

The Financial Crimes Unit of the CID launched the investigation under the Money Laundering Prevention Act, 2012, according to a press statement, issued by the CID on Saturday.

Since the ouster of the Awami League government, a slew of reports of corruption and money laundering have emerged against the S Alam group in the media.

According to CID, S Alam and his associates are accused of engaging in fraudulent activities, including invoice manipulation, under-invoicing, over-invoicing, and conducting illegal hundi transactions, leading to the illicit transfer of approximately Tk 1,13,245 crore (around US$ 10.7 billion) abroad.

Citing various sources, the CID said the accused are suspected of laundering money from Bangladesh to countries such as Singapore, Malaysia, Cyprus, and various parts of Europe. They are also accused of using these funds to purchase assets and operate businesses in their names and those of their associates.

The investigation further reveals that S Alam established a company named "Canali Logistics Private Ltd." in Singapore, with a paid-up capital of approximately Tk 245.74 crore (around USD 23 million), using laundered money.

Additionally, S Alam allegedly obtained loans totaling Tk 95,000 crore (around US$ 9 billion) from six different banks using forged documents and false information. These loans were purportedly used to finance imports, exports, and investments abroad, the CID added.

S Alam created shell companies overseas and fraudulently transferred around Tk 18,000 crore (around US$ 1.7 billion) through offshore banking, it added.

Preliminary findings suggest that S Alam, his wife Farzana Parvin, his sons Ahsanul Alam and Ashraful Alam, along with other associates, were involved in organised money laundering activities, according to the statement.

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