BB reserve heist: Liability of 12 central bank officials identified

The Criminal Investigation Department (CID) has identified negligence and carelessness of 12 high officials including the then governor in connection with the reserve heist of Bangladesh Bank.

The investigation in the case filed over the incident has not yet been completed. The CID, however, said the investigation is at the final stage.

The hackers stole USD 81 million dollars from Bangladesh Bank reserve eight years ago.

Investigation sources said the hackers were able to steal money from the reserve due to negligence and carelessness in securing the security of the Society for Worldwide Interbank Financial Telecommunication (SWIFT) system.

The officials, who are liable for the heist, are an executive director (currently retired), a general manager (currently deputy governor), four joint directors (two of them currently deputy general managers, a joint director and another on retirement), three deputy general managers (two of them now general managers) and two deputy directors.

Except for the governor and executive director at the time, the remaining officials were at the forex reserve and treasury management department, accounts and budgeting, IT operation and communication department, payment system department and the back office of the dealings room. They provided the hackers an opportunity by leaving the server room open with the internet connection and remaining absent.

Bangladesh Bank's forex reserve SWIFT server is a sensitive system. Despite that, then governor Atiur Rahman approved the connection of Real Time Grace Settlement (RTGS) through the SWIFT and ensured its implementation. The investigators identified this as a criminal move. RTGS is a specialised fund transfer system, through which funds can be transferred from one bank to another instantly.

They provided the hackers an opportunity leaving the server room open with internet connection and remaining absent

The investigation also said the then deputy governor-4 Abdul Kashem was against providing RTGS service through SWIFT. As a result, Atiur Rahman himself signed the file for providing RTGS service.

Besides, the CID has identified some aspects as criminal purpose including keeping the incident of reserve heist secret for 40 days, destroying the evidence at the crime scene by a foreign firm and maintaining the SWIFT server control system by a criminally included official.

Several attempts were made on Saturday to take the comment of former governor Atiur Rahman regarding the matter. But he couldn't be contacted as his cell phone was found switched off.

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However, such information about Atiur Rahman came in the CID investigation much earlier. Over the matter, this correspondent talked to Atiur Rahman on 3 February 2022. At the time, he said, "A governor alone does not take any decision, a system works there. Bangladesh Bank was victim in connection with the reserve heist. The incident took place at the Federal Reserve Bank of US. The government has filed a case in this regard."

Sources said then executive director Shuvongkor Saha had a role in the decision making in linking RTGS with the SWIFT server. The security of the SWIFT server was disrupted due to the connection of RTGS.

The investigators think USD 101 million dollars were stolen from Bangladesh Bank reserve through this.

Shuvongkor Shah, who is now on retirement, could not be contacted for his comment as his mobile phone was found switched off.

The investigation is at the final stage. WE have got information of the involvement of citizens of Malaysia, Egypt, Japan, Philippines and Hong Kong. But the information from India, China and Sri Lanka is yet to be received
CID chief and additional inspector general of police Mohammad Helal

When asked about what steps have been taken against the officials whose involvement has been found in the CID investigation, Bangladesh Bank spokesperson and executive director Mezbaul Haque said steps can be taken after the police submits the report.

CID sources said names of 12 officials have been identified and of them, Mezbaul Haque is also there.

Investigation has found then deputy general manager Mezbaul Haque brought two foreign technology firms after the reserve heist of Bangladesh Bank on 17 February without informing any investigation agencies in the country. He ordered them to collect information and data from the crime scene, which is totally illegal. As a result, adequate information and evidence is destroyed.

However, when asked about the matter, Mezbaul Haque declined to make any comment.

On 4 February 2016, USD 81 million dollars were stolen from the Bangladesh Bank reserve. Adopting a strategy of deception in the SWIFT payment system, the miscreants transferred that huge amount of money from the Bangladesh Bank's reserve kept at the Federal Reserve Bank of New York in the US. This money was deposited in four accounts at a branch of Rizal Bank in Makati town in Philippines and money was withdrawn quickly there.

Later, USD 15 million dollars were returned at different times. USD 66 million dollars still remain at large. After 39 days of the incident, Bangladesh Bank filed a case with Motijheel police station in connection with the reserve heist. Later, the responsibility of investigation was given to CID.

Sources said the central banks of different countries use SWIFT for transactions among themselves. Eight officials at Bangladesh Bank have power to transfer money through SWIFT messages. This message is exchanged at a room (back office) under the accounts and budgeting department (ABD).

Investigation sources said names of 76 persons of eight countries--US, India, China, Malaysia, Philippines, Japan, Sri Lanka and Hong Kong are found involved in the reserve heist.

Forensic report at Bangladesh Bank

CID submitted the forensic report and interim report to the Bangladesh Bank last year. Negligence and carelessness of Bangladesh Bank officials have reportedly been found. There was criticism for submitting the forensic report to the Bangladesh Bank first instead of to the court.

The investigation officer CID additional police super Abdullah Yeasin said he is the second investigation officer in the case. Earlier, the official in charge of investigation filed an appeal seeking permission of the court. When the court gave permission, a forensic and updated report was submitted to the Bangladesh Bank. This information was given in an interest of the case proceeding at the US court. Those are supposed to be given to the law firms engaged by the Bangladesh Bank.

Forensic report at Bangladesh Bank

CID submitted the forensic report and interim report to the Bangladesh Bank last year. Negligence and carelessness of Bangladesh Bank officials have reportedly been found. There was criticism for submitting the forensic report to the Bangladesh Bank first instead of to the court.
About the matter the investigation officer CID additional police super Abdullah Yeasin said he is the second investigation officer in the case.

Earlier, the official in charge of investigation filed an appeal seeking permission of the court. When the court gave permission, a forensic and updated report was submitted to the Bangladesh Bank. This information was given in an interest of the case proceeding at the US court. Those are supposed to be given to the law firms engaged by the Bangladesh Bank.

Deadline for submission of report was extended for 76 times
The incident of reserve heist at Bangladesh Bank is about eight years Today, Sunday. The CID could not submit the charge sheet in connection with the case. The investigation agency is not saying anything as to when the charge sheet will be given.

The CID, however, has sought the extension of the deadline 76 times for the submission of the report to the court. 31 December was the last date for the submission of the report. Following an application of the investigation officer, Dhaka Chief Metropolitan Magistrate fixed 25 February for the submission of the report.

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CID chief and additional inspector general of police Mohammad Helal is investigating the case.

Speaking to Prothom Alo, he said the investigation is at the final stage. They have got information of the involvement of citizens of Malaysia, Egypt, Japan, Philippines and Hong Kong. But the information from India, China and Sri Lanka is yet to be received. They have sent letters to these countries and contacted the embassies. They have taken one month. The charge sheet will be submitted to the court soon if that information is received.

*This report, originally published in print and online editions at Prothom Alo, has been rewritten in English by Rabiul Islam