Between $12 and $15 billion have been siphoned out of the country every year for the past 15 years, said Iftekharuzzaman, executive director of Transparency International Bangladesh.
Iftekharuzzaman also gave a partial breakdown of the money laundered in a year. For example, of the $15 billion that was laundered, $3 billion was sent abroad due to incorrect commercial invoices and foreign citizens working in the country.
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In addition, $2.2 billion was laundered by unscrupulous manpower brokers who sent money abroad to obtain visas and work permits for job seekers abroad.
Apart from these two, $7.5 billion is laundered through mobile financial services every year, he said yesterday during a seminar at the Economic Reporters’ Forum (ERF) office in Dhaka on money laundered and how to get the money back.
Regarding Bangladesh Bank Governor Ahsan H Mansur’s recent comment that tycoons linked to the former Sheikh Hasina government had siphoned off $17 billion from the banking sector during her rule, he said the total laundered amount was much would be higher, as $17 billion was taken away with direct help from the central bank.
The other forms of money laundering were not mentioned, said Iftekharuzzaman, who also heads the Anti-Corruption Reform Commission formed by the interim government last month.
Hundi was also used for money laundering and expatriates from Bangladesh also laundered money to buy assets abroad. People who traveled abroad for healthcare laundered money.
The BB, the Anti-Corruption Commission and the Office of the Attorney General were used to facilitate money laundering.
He also criticized some countries that attract laundered money by introducing golden visas and second homes.
In Bangladesh, if a foreign citizen wants to buy a luxurious house in Gulshan in Dhaka, he or she will not be able to make the purchase.
But in many countries, the authorities will not ask questions if a Bangladeshi wants to buy a luxury apartment there.
“This is how a former Bangladeshi minister bought more than 300 properties abroad and it is the tip of the iceberg. There are many such cases. It proves that in addition to the supply side, there is also a demand side…. Many countries have opportunities for money launderers.”
While it is possible to recover the laundered money, it is extremely difficult and almost impossible, Iftekharuzzaman said.
Until Bangladesh makes law and signs agreements with other countries on returning the money, it will not be possible to retrieve the laundered money.
“France willingly returned the laundered money to some former French colonies in Africa because it believed French-speaking people would face financial problems. All countries will not be as proactive as France in returning the money.”
Singapore alone returned $9.3 million to Bangladesh in the Siemens case between 2007 and 2013 because the Singapore government cooperated.
A coordinated approach is needed between government agencies such as the ACC, the Criminal Investigation Department, the National Board of Revenue, the Attorney General and the Bangladesh Financial Intelligence Unit (BFIU) to recover the laundered money.
The government has started negotiations with a number of countries, such as the US, UK and EU, to bring back the stolen money.
“But it will be a surprise if the interim government can get back even $100 million during its term. Even one cent returned will be a surprise.”
Bangladesh will have to take measures to stop money laundering by implementing institutional reforms.
“It is expected that the next elected government will also follow the amended rules to discourage money laundering.”
The ACC took no action against the high-ranking figures of the previous government, but after August 5, the same people are taking action against more than 200 powerful people, Iftekharuzzaman added.
Mostafa Kamal Majumder, editor of GreenWatch Dhaka, moderated the seminar jointly organized by the ERF and Sombhabonar Bangladesh.
Jasim Uddin Ahmad, former Vice Chancellor of Jahangirnagar University, ERF President Mohammad Refayet Ullah Mirdha and ERF Secretary General Abul Kashem also spoke.