The Criminal Investigation Department (CID) has initiated an investigation into allegations of money laundering of Tk 1,13,245 crore against Saiful Alam, the owner of S Alam Group, and his associates.
The CID’s Financial Crimes Unit launched the investigation under the Money Laundering Prevention Act, 2012, according to a CID press release issued on Saturday.
This investigation comes in the wake of multiple media reports linking the S Alam Group to corruption and money laundering following the recent ouster of the Awami League government.
According to the CID, S Alam and his network of associates allegedly engaged in a range of fraudulent practices, including invoice manipulation, under-invoicing, over-invoicing, and illegal hundi transactions. These activities are believed to have resulted in the illicit transfer of approximately Tk 1.13 lakh crore out of Bangladesh.
The CID’s findings indicate that the laundered funds were funnelled to countries such as Singapore, Malaysia, Cyprus, and various parts of Europe. The accused allegedly used these funds to acquire assets and establish businesses, both in their own names and under the names of their associates.
Further details from the investigation reveal that S Alam established a company named “Canali Logistics Private Ltd.” in Singapore with a paid-up capital of about Tk 245.74 crore, allegedly using laundered money.
Additionally, the CID alleges that S Alam secured loans amounting to Tk 95,000 crore from six different banks by submitting forged documents and false information. These loans were reportedly used to finance imports, exports, and investments abroad.
The investigation also points to the creation of shell companies overseas by S Alam, through which approximately Tk 18,000 crore was allegedly transferred via offshore banking channels.
Preliminary findings suggest that S Alam, his wife Farzana Parvin, his sons Ahsanul Alam and Ashraful Alam, along with several other associates, were involved in organized money laundering activities, according to the CID release.
