Cook of S Alam's PS has huge pre-poll bank account transactions

The face behind the bank account that experienced abnormally massive transactions before the last national election has eventually been identified. He is Mostak Miya, a cook of Akij Uddin, who is the personal secretary to S Alam Group chairman Saiful Alam.

The account was opened in the Union Bank around a year before the election. Apart from cash deposits, the bank also issued substantial loans against it.

A total of Tk 720 million was withdrawn from the account immediately before the 12th parliamentary elections. With no further transactions, the account was closed on 20 August this year, following the shift in power.

Mostak Traders opened the account in the Banani branch of the Union Bank on 15 November, 2022. But the business entity could not be reached following the address mentioned in the account documents.

However, the national identity card which was used to open the account belongs to the cook of Akij Uddin, personal secretary of S Alam Group owner Saiful Alam and also former deputy managing director of Islami Bank.

Chef Mostak Miya is from Patiya in Chattogram.

According to the Union Bank officials, many individuals, who were candidates or loyalists of candidates in the elections, were seen withdrawing money from the account in January. Among the individuals were cricketers, film stars, and politicians from different levels.

They believe the previous government tasked S Alam with the disbursement of funds to the candidates, to bear electoral expenses. Therefore, anonymous loans were given from the Union Bank, in addition to some other banks held by S Alam. 

Ever since it was founded in 2013, Union Bank has been controlled by the S Alam Group, which is known for its bank grabbing. Following the political change, Bangladesh Bank dissolved the board of directors of Union Bank, along with some other banks controlled by S Alam. 

The bank’s managing director, ABM Mokammel Haque Chowdhury, and some other officials have been in hiding since the allegations of various financial frauds. 

Mohammad Mostak Miya is from Hajirpara village in Chattogram’s Patiya upazila. As per his national identity card, his educational qualification is secondary school level. 

A Prothom Alo correspondent met him at his village residence on 15 October. When asked about his business and bank account, he hesitated and tried to leave. At one point of conversation, he admitted the issue and claimed he knew nothing during the loan disbursement against his account. Also, he has no idea how the loans will be repaid. 

According to locals, Mostak Miya is the son of Sultan Ahmed of Hajirpara village, but was raised by his uncle. He works as a chef at the village residence of Akij Uddin. The residence of Akij Uddin is about one kilometer away from Mostak Miya’s home. 

S Alam Group chairman Saiful Alam is also from Patiya in Chattogram. Locals said NID cards of many villagers were used to take loans from different banks. In exchange, they receive monthly allowances. 

In a further conversation over the phone, Mostak Miya told Prothom Alo that the bank account was opened in his name for a grocery business, but that did not happen. He also disclosed that he lost communication with Akij Uddin following the downfall of Awami League government. 

The address of "Mostak Traders" mentioned in the bank records is House No. 96, Aga Sadek Road, Bangshal, Old Dhaka. While visiting the spot, it was seen that the ground floor of the building houses several shops, including Ma Traders, Medina Traders, and Alik department store. Owners of these shops said no businesses named "Mostak Traders" had operated there in the past 25 years.

On 28 August, Prothom Alo published a report on whopping deposits in S Alam’s PS’ account. The report mentioned that the Bangladesh Financial Intelligence Unit (BFIU) had blocked Tk 150 million of Mostak Traders, which is linked to Akij Uddin.  

Later, a rejoinder was sent to Prothom Alo by post under the name of Mohammad Mostak Miya, claiming that Mostak Traders had no ties to the S Alam Group or Akij Uddin. The letter did not contain any contact number, but provided the address at 16, Aga Sadek Road, Bangshal. 

During a spot visit, the address led to a dilapidated house on a narrow lane where only one person could pass at a time. There was no business entity called Mostak Traders.

The name on the letter was written as "Mostak Miya," and the address was Charirapara, Choumuhani, Agrabad, Chattogram. 

The account was opened on 15 November 2022, at the Banani branch of Union Bank. On the same day, Tk 255.7 million was deposited through 17 transactions. Among these transactions, Tk 20 million was deposited four times, and Tk 15 million was deposited five times.

The remaining funds were deposited in various amounts. The following day, 16 November, Tk 100 million was deposited in seven transactions.

An official associated with the opening of this account told Prothom Alo that it was created at the direction of S Alam's personal secretary, Akiz Uddin, and the bank's MD, ABM Mokammel Haque Chowdhury, without verifying the identity of the account holder. This account was later used for financial transactions during the elections.

On 17 November 2022, the customer submitted a demand letter requesting two cheque books. Additionally, Tk 100 million was deposited six times. On 20 November, Tk 200 million was deposited, followed by another Tk 200 million on 21 November. On 8 December, Tk 15 million was deposited six times. After that, there were no transactions for a year.

Cash withdrawals from this account began on 10 December 2023, and continued until 9 January, 2024. On 10 December, Tk 25.1 million was withdrawn in a single check from the Banani branch, and Tk 10 million was withdrawn from the Gulshan branch on 14 December.

Subsequently, all withdrawals were made from the Gulshan branch, including Tk 410 million withdrawn on Thursday, 28 December. This amount comprised a withdrawal of Tk 100 million, Tk 60 million in individual checks, and Tk 50 million across five checks, totaling Tk 250 million.

On 3 January 2024, Tk 17.5 million was withdrawn. The twelfth national parliament election took place on 7 January, and on 9 January, the entire remaining amount of Tk 250 million was withdrawn from the account through five checks.

Following the last transaction, there were no activities with the account. On 15 August, Tk 432,000 was withdrawn via pay order, and the account was officially closed on 20 August. 

Subsequently, all account information was deleted from the bank's database. Reports indicate that the information technology department removed this data at the directive of the bank's MD. Notably, despite established rules for cash withdrawals, there was no requirement to submit a copy of the national identity card at the Gulshan branch.

In September 2021, central bank officials discovered a discrepancy during an inspection of the vault at Union Bank's Gulshan branch, finding approximately Tk 190 million less than what was documented. However, Bangladesh Bank did not take any action regarding this shortfall.

According to the rules set by Bangladesh Bank’s Financial Intelligence Unit (BFIU), banks are required to submit a Cash Transaction Report (CTR) for any account holder making transactions exceeding Tk 1 million and a Suspicious Transaction Report (STR) for any sudden or unusual activity. However, it has been reported that Union Bank failed to comply with these regulations concerning the Mostak Traders account.

Modasser Hossain, the current manager of the Banani branch, informed Prothom Alo that he is new to the position and that there is no account in the name of Mostak Traders at his branch.

Meanwhile, a loan of Tk 550 million was withdrawn from Union Bank's Dilkusha branch in the name of Mostak Traders in December 2022 and March of the following year, all of which have since defaulted.