Meghna Group of Industries (MGI) Chairman and Managing Director Mostafa Kamal and his family members have laundered a large sum of money. They have invested the laundered money without any hesitation. They have opened businesses, bought ships, and built houses, villas, flats, apartments, and commercial establishments.
Although there is a legal provision to obtain approval from Bangladesh Bank when withdrawing money abroad, they did not comply with it.
The Bangladesh Bank's Financial Intelligence Unit, the Anti-Corruption Commission (ACC), the National Board of Revenue (NBR), and the CID are investigating the Meghna Group's money laundering and illegal investments abroad.
A list is being compiled of how much money has been invested in which country and in which sector with the money laundered. Investigators are also looking into the source of the investment money. In the meantime, multiple written complaint letters have been submitted anonymously against the owner of Meghna Group and his family members. An investigation is being conducted keeping these allegations in mind.
Analyzing the complaint, it was revealed that MGI has multiple institutions in Singapore. Although all those institutions were started since 2018, the Bangladesh government was not informed. Meghna Group has two commercial vessels, 'Meghna Trader' and 'Meghna Pride.' These vessels operate under the Singapore unit. The two vessels have an average annual profit of $237 million. MGI Company Chairman Mostafa Kamal and his three daughters are partners in these assets. Mostafa Kamal, his daughters, and other family members have Singaporean national registration cards. They are also listed in the charge sheet as Singaporean citizens.
The investigation report revealed that 80 percent of the money laundering was done through banking channels using false information. Most of the Meghna Group's money was laundered in countries or cities where the source of the invested money is not questioned and is unconditionally recognized as legitimate. There, without any kind of secrecy, Meghna Group opened a company and obtained recognition that the laundered money was legal (white). Then, by showing profits from the company he opened there, he took the money he had smuggled and made large investments in other countries. The businesses that have been opened through this investment include ships, hotels, villas, houses, flats, plots, commercial establishments, shops, etc. A large amount of assets has also been purchased. The investigation report reveals that the company has not brought any money into the country despite the profits from the business.
Multiple investigative teams of the ACC have been working against the Meghna Group for several days on various corruption charges, including loan fraud, embezzlement, money laundering, and illegal wealth acquisition. One of the charges is the laundering of Tk 80,000 crore. The complaint states that Mostafa Kamal, the head of Meghna Group, imported goods worth Tk 128,131,332,126 from 2000 to 2020. However, at this time, the invoice value shown according to the import letter of credit (LC) is only Tk 48,368 crore 42 lakh 42 thousand 311. As a result, Tk 79,762 crore 90 lakh 78 thousand 815 has been embezzled and laundered secretly by taking additional benefits under the guise of imports.
After taking office, the new government has taken a strong stance against money laundering. Government regulatory agencies have increased surveillance on various institutions involved in import and export, their owners, and family members. Emphasis has been placed on recovering laundered money and money earned from unauthorized foreign business. Various government agencies have also stepped up efforts to bring back the money of those who bought assets abroad with laundered money. In line with this, it is being investigated whether MGI's overseas investment funds are legal or not.
According to the instructions of the Bangladesh Financial Intelligence Unit (BFIU), the financial intelligence unit of Bangladesh Bank, 31 bank accounts and three financial institution accounts of Meghna Group Chairman Mostafa Kamal and her wife and Group Vice Chairman Beauty Akhter and their children were frozen for 30 days on April 10.
Arif Hossain Khan, executive director and spokesperson of Bangladesh Bank, told the Khaborer Kagoj that many people have smuggled money out of the country and taken it to countries or cities where no questions are asked about the source of the money. They are opening companies there, laundering the laundered money, investing it in other countries, and doing business. Many renowned institutions of the country are involved in this. They have not brought a single penny of profit to the country. Many of these organizations have laundered money through banking channels by providing false information. They have been doing business and making wealth by investing abroad without any kind of secrecy.
An analysis of the NBR report on money laundering reveals that the Meghna Group has invested more abroad with laundered money in Singapore, Kenya, Malaysia, Dubai, India, Sri Lanka, Saudi Arabia, the UK, the US, and Hong Kong.
When asked about this, a senior Bangladesh Bank official, speaking on condition of anonymity, told the Khaborer Kagoj that since 2018, Bangladesh Bank has imposed strict restrictions on obtaining approval for foreign investments. There is no information about Meghna Group seeking approval for foreign investments.
Former NBR Chairman Dr. Abdul Majid told the Khabarer Kagoj that the white paper claims that $ 234 billion was illegally laundered from Bangladesh through corruption in 28 ways during the 15 years of the previous government. Various investigations are revealing that almost all the money of those who have invested and built wealth abroad has been smuggled out of the country. With this money, Bangladesh could have implemented many national budgets. The government could have covered the expenses for many years. It is necessary to investigate the issues and punish them. Mostafa Kamal used the opportunity of his closeness with the ousted Awami League government to launder money and obtain various immoral benefits. They have occupied the land of the Meghna River, built industrial establishments, and illegally filled the river, destroying its course. They have taken loans of Tk 8,000 crore anonymously from nine private banks. Those concerned believe that most of it is unlikely to be returned.
In this situation, after the change of government on August 5, 2024, the ACC started receiving one complaint after another regarding various corruption cases involving the Meghna Group.
The ACC also received multiple allegations that Mostafa Kamal and his company imported baby food at high prices, showed a low price during customs clearance, and embezzled the money by evading government duties and taxes. He acted like an activists of the Awami League to escape punishment for this corruption and misdeeds. At that time, he also obstructed the investigation of the Anti-Corruption Commission (ACC) by using his power.
The investigation revealed that the group's tendency to under-invoice has increased since 2013. However, as imports decreased in 2020 due to the impact of Corona, the amount naturally decreased that year. In 2020, the difference between LC and taxable value was Tk 264 crore, whereas in the previous three years, the amount ranged from Tk 1,200 crore to Tk 1,600 crore. Currently, the average duty rate in Bangladesh is 29.5 percent. The importer spends 3 to 5 percent more on paying the duty on hundi. As a result, by evading the 29.5 percent duty, the maximum cost of hundi is 5 percent, but the state is being cheated of a large sum of money.
Although insurance policies are mandatory against 60 to 70 boats and about 1,200 motor vehicles owned by Mostafa Kamal's industrial establishment, he embezzled Tk 3 billion from the policy. Meghna Group embezzled Tk 638.10 crore 32 thousand 630 of bank commission and Tk 255.241 thousand 305 of 4 percent stamp duty against insurance policies. The state is supposed to receive 15 percent of the bank commission as VAT. The group has embezzled at least 957,154,984 taka of VAT. Mostafa Kamal is accused of embezzling Tk 405 crore of the state's VAT and stamp duty.
