Nazrul Islam Mazumder, chairman of Bangladesh-based NASSA Group and a former chairman of the Export Import Bank of Bangladesh (EXIM Bank), has been implicated in significant trade-based money laundering (TBML) activities.

Investigations by Bangladesh's Criminal Investigation Department (CID) have revealed that between March 2020 and 2024, Firoza Garments, a subsidiary of NASSA Group, exported goods to the US under 130 letters of credit (L/Cs) issued by National Bank.

London properties

However, approximately US$3 million in export proceeds were not repatriated to Bangladesh within the stipulated time, suggesting the funds were illicitly transferred abroad.

Further allegations indicate that Mazumder purchased luxury properties in London, including residences in areas affordable only to very high net worth individuals, under his daughter Anika Islam's name, using laundered funds.

Additionally, he is accused of evading substantial taxes by importing raw materials duty-free under bond facilities and selling them in the domestic market, violating customs regulations.

Under- and over-invoicing

The CID's investigations also uncovered that Mazumder secured loans totalling approximately 21,000 crore Bangladeshi taka (around US$2.5 billion) for four NASSA group entities.

These funds were allegedly siphoned off to countries including the UAE, UK, Canada, Singapore, and Thailand through practices such as under-invoicing and over-invoicing in import and export activities.

In one alleged case, official records show that a firm called Flamingo Enterprise was owned by Mohammed Mosharraf Hossain, yet its business address corresponded exactly with NASSA group's headquarters, raising concerns about its independence.

Suspicious transactions

One particularly suspicious transaction unearthed by investigators involved the importation of 650,000 kilogrammes (kg) of dates at a declared price of 77 Bangladeshi taka (Tk 77).

This figure was significantly lower than the international market rate of Tk 200 per kg, raising concerns about potential trade mis-invoicing or financial irregularities.

This article represents the views of the author and not necessarily those of the ICC or Coastline Solutions.