The walls of Motijheel, the heart of the country’s financial district, have recently been covered in posters that contain allegations against S Alam Group regarding control over Islami Bank Bangladesh PLC.
By citing issues such as forced takeovers, money laundering, and the misuse of political influence, the posters call upon the general public to engage in mass resistance, a development that has quickly caught the attention of both the financial sector and national policymakers.
The posters claim that the S Alam Group, allegedly with state assistance, orchestrated the "largest bank heist" in the nation’s history.
The narrative presented suggests that billions of dollars were laundered through a network spanning over a hundred countries, utilizing hundreds of "shadow companies" to siphon funds out of the bank.
Furthermore, the posters allege that the current ownership was established through forced resignations and involuntary transfers of shares, leading to a surge in non-performing loans (NPLs).
There are also claims regarding discriminatory hiring practices, suggesting that a significant portion of new recruits following the takeover hail from a specific geographic region.
A central theme of the poster campaign involves the accumulation of wealth abroad using funds allegedly taken from the bank. It lists destinations such as Singapore, Cyprus, Dubai, Turkey, and the British Virgin Islands as locations where luxury homes and hotels were purportedly purchased.
While these posters do not provide documentary evidence to support these claims, the sheer scale and nature of the accusations have reignited a heated public debate regarding the integrity of the banking system's oversight.
Demands
The campaign outlines five specific demands aimed at restructuring the current management and ensuring accountability.
These include preventing the entry of "mafia groups" into the banking sector, repatriating laundered funds, and establishing special tribunals for speedy trials of financial crimes.
Additionally, the demands seek to return the bank’s ownership to its original shareholders and call for the immediate repeal of controversial legal provisions that facilitate the return of former owners to distressed institutions.
The recent amendments to the Bank Resolution Act, specifically the clause allowing former shareholders to reclaim ownership by depositing approximately 7.5% of government-provided capital, have become a major flashpoint.
There are concerns that the security of the remaining 92.5% of government investment cannot be guaranteed under such leadership, effectively creating a "second chance" for influential groups who presided over the initial financial instability.
As of now, there has been no formal response from the targeted bank, the S Alam Group, or the regulatory authorities regarding the specific allegations made in the posters.
Consequently, the claims remain unverified.
Govt rejects ‘rehabilitation’ rumors
Finance Minister Amir Khasru Mahmud Chowdhury has declared a "zero-compromise" policy against the S Alam Group, revealing that the conglomerate is responsible for a staggering Tk80,000 crore ($6.5 billion) in defaulted loans at Islami Bank alone.
The announcement, made during a heated parliamentary session on Tuesday, outlines the government’s aggressive strategy to dismantle what officials describe as the "largest bank robbery in the nation's history."
The question had been raised by Hasnat Abdullah, chief organizer of the National Citizen Party (NCP).
"Within the political framework of this government, there is no scope for compromise in matters of economic plundering," the minister stated, responding to queries regarding the group’s alleged attempts to regain control of the banking sector through proxy companies.
In parliament, Hasnat Abdullah stated that Islami Bank carries loans amounting to Tk92,115 crore, of which the S Alam Group alone accounts for Tk80,000 crore in defaulted loans.
Allegations were raised during protests by the Islami Bank Customers’ Coordination Council on Monday that amendments to the Bank Resolution Act were intended to rehabilitate the S Alam Group.
Rejecting the claim, the finance minister said the amendments were not introduced to facilitate anyone’s return. He described the changes as creating a “new opportunity” and a “new window”.
