Published: 12:08 AM, 26 October 2026 Last Update: 12:10 AM, 26 October 2026
BB seeks faster process to retrieve funds laundered by Sikder Group
Seven banks and an international asset recovery consortium lock horns over an agreement in bringing back Sikder Group's stolen assets worth around $1.0 billion.
It is believed that the controversial business group siphoned off assets amounting to around $1.0 billion and the UK-based consortium called R-One has already traced $500 million that was laundered to four destinations Cayman Islands, Thailand, Dubai and the United States.
Based on the previous discussions with the consortium in respect to recover the stolen assets of the banks in recent years, Bangladesh Bank (BB) representatives shared the consortium's information with the local commercial banks through which the funds were allegedly siphoned on Sunday at a meeting at the BB headquarters where its Governor Mostaqur Rahman was in chair.
Confirming the development, BB spokesperson Arif Hossain Khan said the meeting was with eleven banks that are involved in the process of retrieving funds allegedly transferred abroad.
"The recovery process will involve costs. The foreign recovery agent has submitted a roadmap, and the meeting discussed how much of the recovery cost each bank would bear," he said.
He also informed that the banks have been asked to sign agreement with the consortium as quickly as possible to start the recovery process.
Seeking anonymity, chairman of a bank attended the meeting termed the recovery roadmap uneven, saying that the consortium proposed charging $125 million that they have taken starting of the recovery of $500 million.
Chairman and top executive of the banks opposed the proposal with expressing fear that the consortium may not be serious after recovering $125 million, Instead, they proposed that the consortium may get a percentage of the recovered assets, according to the chairman.
Though the BB officials told them that the consortium will give full efforts to recover $500 million in a span of five years, which is not convincing at all, the bank chairman said.
"But, the BB did not say anything to this regard. Rather, it imposed the decision giving a timeframe until December 04 next to sign the agreement before the offer gets expired," according to the chairman.
The banks, however, reportedly agreed to the recovery roadmap but were reluctant to make any advance payment. The governor asked them to consider the proposal and provide their views quickly.
Chairman of Agrani Bank Syed Abu Naser Bukhtear Ahmed said the bank is willing to sign the agreement with the consortium and they will discuss the matter with other board members. "We have no problem to pay the recovery agent if they become successful in bringing back the stolen assets," he said.
On condition not disclosing identity, a BB representative who was present in the meeting said the central bank initiated the stolen asset recovery process last year. Within a year, an internationally-reputed consortium officially started the discussion helping the country to get back assets that were plundered abroad, which is a good sign.
He said the country has no such experience in bringing back stolen bank assets from abroad in the past. As a matter of fact, bank shareholders and executives have little idea about how the global litigation firms work to this effect.
He said the consortium will be engaged in the risky business funding with knowing the assets they have been fighting for may not be recovered. "Then why they will take the risk. Now, it is a matter of the bank boards. Let them decide," he added.
The Sikder Group expanded rapidly from around 2009, with investments in banking, insurance, power, healthcare, education, real estate, construction, hotels, tourism and aviation.
Its investment in the power sector later emerged as one of its largest business areas through PowerPac Holdings. The group's website says it has businesses in Thailand, Singapore, Canada and the United States.
The fall of the group began after Zainul Haque Sikder died on 10 February, 2021, at a hospital in Dubai. He had remained chairman of National Bank until his death. To manage internal disputes, Monowara Sikder was made chairperson, but she also passed away early this year in the United States.
More recently, Ron Haque Sikder also died in the United Arab Emirates.
Following the fall of the Awami League government in August 2024, members of the Sikder family began leaving the country permanently. Since 5 August, 2024, they have not appeared publicly.
Meanwhile, the BB governor sat in another meeting with top executives of several other banks regarding the rescue package for the troubled Citygroup forthwith to avoid their loans getting classified.
In the follow-up meeting, the bankers informed the governor that the banks could not reschedule many of the group's loans within the stipulated timeframe of September last because the conglomerate failed to down payment to get regularised.
Then, the BB governor asked the Citygroup to pay the down payment required to avoid being classified by this month.
Citygroup, one of the country's largest business conglomerates, now struggling with over Tk 266 billion in outstanding loans borrowed from 36 banks.
According to the bankers, the group would require working capital amounting to around Tk 40 billion to import raw materials to continue its productions.
