By tf-lawyer.com In an exclusive interview, we explore the calls from Members of Parliament (MPs) for British regulators to investigate the connections between London-based real estate agents, legal firms, and a former Bangladeshi government minister now under scrutiny for corruption. Saifuzzaman Chowdhury, who served as Bangladesh’s land minister until earlier this year, has found himself at the center of a political storm since the dramatic ousting of Sheikh Hasina’s government amid violent student protests.
Following the fall of the regime, Chowdhury has had his bank accounts frozen and is currently being investigated by authorities in Dhaka for allegations of corruption involving several former officials. A representative for Chowdhury stated that their client had “nothing to hide” and asserts that he amassed his wealth before entering the political sphere. Chowdhury reportedly holds a real estate portfolio in the UK encompassing over 250 properties valued at approximately £200 million.
An MP from the all-party parliamentary group (APPG) focused on anti-corruption has requested that HM Revenue and Customs (HMRC), the Financial Conduct Authority (FCA), and the Solicitors Regulation Authority (SRA) rigorously examine whether UK companies complied with anti-money laundering regulations in dealings with Chowdhury.
In correspondence reviewed by the Guardian, Labour MP Phil Brickell emphasized the necessity for the three regulatory bodies to confirm that the firms involved conducted thorough vetting of the source of Chowdhury’s wealth. He urged the agencies to ensure compliance with regulatory standards by British estate agents, legal practices, and financial institutions.
“Demonstrating the UK’s commitment to establishing London as the world’s anti-corruption capital requires prompt and thorough investigations whenever such allegations arise,” Brickell stated.
Members of the parliamentary APPG on anti-corruption and responsible taxation convened recently to strategize on how to assist Bangladesh in tracing UK assets tied to individuals being investigated by Dhaka. The group’s chair, MP Joe Powell, has formally approached the National Crime Agency, calling for an exploration of assets in the UK associated with the former Bangladeshi administration, including Chowdhury.
The role of Western businesses collaborating with politically influential international figures has come under intense examination, particularly in the aftermath of Russia’s invasion of Ukraine. Brickell is urging regulators to ascertain whether UK firms have submitted “suspicious activity reports,” which are mandatory if there are concerns regarding potential money laundering. He also questioned if any firms might have committed a criminal offense by failing to file such reports.
In Bangladesh, the central bank has frozen Chowdhury’s accounts, as well as those of his family members, as the country’s Anti-Corruption Commission investigates claims that he illicitly gained hundreds of millions of dollars which were subsequently laundered in the UK. Reports from Dhaka indicate that British government officials have expressed their readiness to assist in locating any UK assets linked to individuals under investigation.
The governor of Bangladesh’s central bank revealed in a recent Financial Times interview that he has sought assistance from the UK in uncovering £13 billion in assets potentially diverted overseas by members of Hasina’s regime. He specifically requested help in tracing the origins of £150 million associated with Chowdhury’s property purchases, which include several opulent mansions in London.
Chowdhury’s legal representative previously described the investigation as a “witch-hunt” orchestrated by the new Bangladeshi government, raising concerns about potential miscarriage of justice. Chowdhury has contended that his overseas assets stem from legitimate international business endeavors, though it’s important to note that Bangladeshi citizens face stringent limitations on transferring assets out of the country, capped at $12,000 (£9,176).
While Chowdhury’s lawyer stated that they are no longer representing him and that Chowdhury did not respond to requests for comment via his personal emails, a spokesperson for the SRA noted, “We take the issue of potential breaches of money-laundering regulations very seriously and will take action if we find firms are not meeting these obligations.” Both the FCA and HMRC declined to comment on this developing situation.
