Meghna Group opens Tk 410cr LC to import its own ship

Meghna Group of Industries allegedly opened a letter of credit (LC) worth Tk 410 crore ($32.6 million) to import a ship that was already under its ownership, according to an observation report by the Bangladesh Financial Intelligence Unit (BFIU).The LC was opened at Meghna Bank's principal branch in favour of Singapore-based Meghna Trade and Commerce Pte Ltd for importing the bulk carrier MV Meghna Pearl.The BFIU suspects the LC may have been opened through collusion between officials of Meghna Group and Meghna Bank to transfer $32.6 million to Singapore.The ship was already owned by MeghnaThe LC was approved on March 29, 2026, with LC number 325226010220.According to Lloyd's information, the vessel was previously registered in Panama as CMB Bruegel and renamed Meghna Pearl on February 21.However, Meghna Group's Unique Cement Industries had reportedly been the vessel's commercial operator and registered owner since October 2019.Lloyd's and other vessel-tracking reports cited by the BFIU indicate that Meghna Group had ownership of the vessel before the LC was opened.More significantly, the group acknowledged in an April 8 email to Meghna Bank that the vessel had been purchased through its Singapore-based company from Panama-based Blue Cypress Line SA. Payment was made on December 8, 2025—more than three months before the LC was opened.Meghna's explanationMeghna Group Chairman and Managing Director Mostafa Kamal said the group had planned to buy the vessel in 2019 but did not do so at the time.He claimed Bangladesh Bank's information was incorrect and that the records were later updated after communication with the central bank.Asked why an LC was opened in March 2026 to import a vessel already owned by the group, Kamal said it was a "very long history" and suggested obtaining details from the company's office.BFIU flags Tk 410cr marginThe BFIU alleges that Meghna Bank had information about the group's ownership of the vessel but opened the LC without proper due diligence.It suspects the transaction may have been designed to transfer $32.6 million to Singapore under the guise of importing the vessel.The LC had a 100 percent margin, equivalent to around Tk 410 crore.According to the BFIU, the margin was deposited into an account of Tasnim Chemical Complex Ltd, another Meghna Group company, rather than from the account of the actual importer, Unique Cement Industries.The funds were reportedly brought through clearing cheques from accounts of other Meghna Group companies maintained with different scheduled banks and then lien-marked against the LC. The BFIU described the arrangement as unusual and contrary to banking rules.Meghna Bank Managing Director Syed Mizanur Rahman denied any wrongdoing, saying the LC was opened after necessary due diligence.He said no bank could open an LC of such a large amount without Bangladesh Bank's prior approval.Regarding the Tk 410 crore margin and the vessel's ownership, he said correspondence with Bangladesh Bank was ongoing and that it was too early to make a final comment.Singapore company operated without approvalMeghna Trade and Commerce Pte Ltd was incorporated in Singapore on June 18, 2018, with authorised capital of S$100,000.The BFIU report says the company was operated without prior approval from Bangladesh Bank, despite the Foreign Exchange Regulation Act requiring such approval for establishing businesses or making investments abroad.A subsequent application for post-facto approval was rejected by Bangladesh Bank.The central bank also asked the group to submit audited financial statements and business progress reports. According to information updated until April 16, these had not been submitted.Other overseas companies under scrutinyThe BFIU also identified two other companies linked to Meghna Group.Asian Grain and Commodity Pte Ltd maintains an account with DBS Bank in Singapore, while Global Trade and Commerce Ltd is registered in the Marshall Islands.The latter has accounts with OCBC Bank and Standard Chartered Bank Singapore. Meghna Group's chairman and family members are directors or authorised signatories of the companies.The BFIU found that $33 million was deposited through six inward remittances into Global Trade and Commerce's Standard Chartered account between May 2019 and May 2020. It suspects the funds originated from various Bangladesh-based Meghna Group companies.Experts call for probeFormer Bangladesh Bank chief economist Dr Mustafa K Mujeri said establishing a company abroad without central bank approval would be illegal and questioned the source of funds used to establish the Singapore company.He called for a proper investigation and said those responsible should face legal action if illegal transactions or money laundering are proven.TIB Executive Director Dr Iftekharuzzaman urged the government to investigate the allegations, recover any laundered funds and bring those responsible to justice.He said that if the allegations are proven under the Money Laundering Prevention Act, those responsible could face four to 12 years in prison, along with confiscation of assets and fines of up to twice the amount involved.Meghna GroupFounded by entrepreneur Mostafa Kamal, Meghna Group began its industrial operations in 1989.The group currently has more than 57 industrial units and employs over 65,000 people. Its businesses span power generation, shipping, shipbuilding, insurance, securities, media and aviation.Its major brands include Fresh, No. 1, Pure, Actifit and Meghnasim Deluxe.The group does not publish audited financial statements as a private company, but its corporate information puts annual turnover at around $3 billion.Meghna Group says it has communicated with Bangladesh Bank regarding the vessel's ownership and related information. Meghna Bank maintains that the LC was opened after necessary due diligence and that discussions with Bangladesh Bank are ongoing.Key figuresTk 410 crore — LC value $32.6m — LC value $237.2m — Meghna Trade and Commerce's reported transactions in 2022 $178.2m — reported transactions in 2023 $33m — six inward remittances identified between 2019 and 2020 57+ — Meghna Group's industrial units 65,000+ — employees $3bn — reported annual turnover