Staff Corresspondent

The Anti-Corruption Commission has made little headway in its investigations into allegations of Tk 33 billion in losses by the S Alam Group over the past year and a half.

ACC officials say that the loan was taken anonymously from Islami Bank in the name of the S Alam Group, but neither Islami Bank nor Bangladesh Bank have responded to letter after letter from the corruption watchdog seeking information on the matter.

However, ACC officials hope that the investigation may speed up following the change in the government.

ACC Secretary Khorsheda Yasmeen told bdnews24.com, "The ACC is investigating S Alam's loan fraud allegations. The investigating officer is sending letters to various places calling for documents.”

The ACC took up the loan fraud investigation into Islami Bank early last year. ACC Assistant Director Sirajul Hoque was then tasked to investigate the complaint. He sent several letters asking for documents, but there was no progress.

Later he was transferred to Kurigram. It was alleged that he was transferred because of submitting multiple subpoenas to investigate allegations of loan fraud against the S Alam Group. However, Sirajul did not wish to comment on the matter to bdnews24.com.

Later in September last year, a three-member investigation team headed by ACC Deputy Director Yeasir Arafat was tasked with investigating the allegations. ACC Deputy Director Md Mostafizur Rahman and Assistant Director Ranjit Kumar Karmakar were kept as members of that team.

Yeasir issued a letter on Oct 12 of last year, calling for various documents regarding loan approval and disbursement of M/s Murad Enterprises and subsidiary companies, customers of Islami Bank's Chaktai branch in Chattogram.

As part of the ACC investigation, the team issued three more letters of summons. After receiving repeated letters from Islami Bank on Dec 26 last year, they asked for three months' time, saying the delay was due to the busyness of closing.

Later, on Jul 7, the ACC again sent a letter. Commission officials say that on Jul 16, Islami Bank response to that letter was 'cursory'.

Later, on Aug 12, the inquiry officer again wrote to the managing director of Islami Bank asking for documents. They requested the information to be provided within seven working days.

Information has been requested from Islami Bank's Gulshan Corporate Branch, Rajshahi and Pabna Branch on customers Nabil Group Companies Nabil Naba Foods Limited, Nabil Cold Storage, Nabil Feed Mills Limited, Nabil Auto Rice Mill, Nabil Auto Flower Mill, Shimul Enterprises, Naba Agro Trade International, Anwara Trade International, Naba Pharma Limited, Nabil Green Crops Limited and International Product Palace.

The ACC also wants information on Islami Bank's Chattogram Jubilee Road branch customer United Super Traders and affiliates and Khatunganj Corporate Branch customer Century Food Products Limited and affiliates.

According to the commission's letter, the ACC has received complaints that loans were given to these companies without sufficient documentation and collateral. Islami Bank has been accused of embezzling millions through United Super Traders and others.

The ACC also wrote to Bangladesh Bank in November 2023 to inquire about loan fraud. They later issued two rounds of summons.

In January of this year, Bangladesh Bank said that, as the inspection of those institutions is ongoing, the report will be sent after it is complete.

After it failed to get the report, an urgent letter was sent again on Jul 7. When it received no response, another letter was sent on Aug 12.

An ACC official said, "There have been cases of loan fraud from Islami Bank in the names of various companies. None of the companies in whose names the loans were embezzled have direct associations with the S Alam Group in the documentation. But the beneficiaries of these loans are those connected to S Alam.”

Islami Bank Managing Director Mohammed Monirul Moula was called several times to discuss the ACC's complaint of not providing information despite repeated requests, but he did not pick up. A call to Bangladesh Bank spokesperson Md Mezbaul Haque did not get a response either.

Mohammed Saiful Alam, chairman and managing director of S Alam Group, could not be reached for comment on the loan fraud allegations. The company's Executive Director (Finance) Subrata Kumar Bhowmik also did not pick up the phone.