ACC files case against S Alam, 35 others over Tk2,032cr Janata Bank loan scam
The Anti-Corruption Commission (ACC) has filed a case against industrialist Mohammed Saiful Alam, or popularly known as S Alam, and 35 others on charges of embezzling more than Tk2,032 crore from state-owned Janata Bank Plc through fraudulent loan approvals, collusion and abuse of authority.
The case was lodged with the ACC Chattogram District Integrated Office-1 by ACC Deputy Director Mohammad Sirajul Haque following an investigation into loans disbursed to S Alam Refined Sugar Industries Ltd from Janata Bank's General Insurance Bhaban Corporate Branch in Agrabad, Chattogram. Shobel Ahmed, deputy director of the ACC Chattogram District Integrated Office-1, confirmed the filing of the case.
According to the case statement, Mohammad Saiful Alam, managing director of S Alam Refined Sugar Industries Ltd, and Abdullah Hasan, a director of the company, have been identified as the principal accused. Several other individuals linked to S Alam Group entities have also been named, including Md Rashedul Alam, managing director of Global Trading Corporation Ltd; its Directors Farzana Begum and Mohammad Abdus Sabur; Md Shahidul Alam, proprietor of Sonali Traders; Md Osman Gani, director of S Alam Trading Co Ltd; and Khandaker Jahirul Haque, managing director of Commodity Inspection Services (BD) Ltd.
A large number of former senior officials of Janata Bank have been accused of facilitating the fraud by illegally approving, renewing and enhancing loans. Among them are Md Sirajul Karim Majumder, former deputy general manager; Md Kamrul Ahsan, former general manager; Md Abul Mansur, former deputy general manager and branch head; Md Zakaria, Md Shahidul Haque, Masfiul Bari and Md Kamruzzaman Khan, all former general managers or deputy general managers; AKM Shariat Ullah, former chief financial officer; and former deputy managing directors Md Abdul Jabbar, Md Tajul Islam and Md Ismail Hossain.
The case also implicates former chairmen and directors of Janata Bank who allegedly approved or failed to prevent irregular loan proposals. Former chairmen Dr Jamal Uddin Ahmed and Dr SM Mahfuzur Rahman have been named, along with former directors Khandaker Sabera Islam, Ajit Kumar Pal, KM Samsul Alam, Mohammad Asad Ullah, Dr Sheikh Shamsuddin Ahmed, Md Abdus Salam Azad, Ziauddin Ahmed and Md Abdul Majid.
According to the ACC, between 25 August 2009 and 6 March 2025, the accused acted in concert to sanction, renew and enhance loans in violation of banking laws and regulations. The investigation found that loans were approved without adequate collateral, written repayment undertakings or personal guarantees from company directors, while letters of credit were opened beyond approved limits. Mortgaged properties were overvalued, acceptance commissions were not realised, refinancing was taken without approval from the bank's head office, and loan funds were transferred to related group entities.
The ACC said the total amount misappropriated, including principal and interest across CC (Hypo), LTR, PAD and IFDBC facilities, stood at Tk2,032.30 crore.
The accused have been charged under sections 409, 420 and 109 of the Penal Code, section 5(2) of the Prevention of Corruption Act 1947, and section 4(2) of the Money Laundering Prevention Act 2012. The commission said the investigation will continue and further legal action will be taken if additional individuals are found to be involved.