Bonikbarta Exclusive

Alam Ahmed, an advisor to the central committee of the Bangladesh Krishak League, has taken loans amounting to nearly BDT 20 billion from a half-dozen government and private banks. Much of this money was used to build a five-star hotel called "Holiday Inn" in Tejgaon, Dhaka. The owner fled the country after the student movement uprising, putting the hotel on the verge of closure. Additionally, since Alam Ahmed was already in default, the recovery of the bank loans has also become uncertain.

Habib Hotel International Limited has outstanding bank loans amounting to BDT 14 billion. Additionally, Alam Ahmed owns Marium Construction Limited, which has loans of BDT 4.83 billion and personal loans totaling BDT 1.54 billion. He has taken these loans from several banks, including state-owned Janata and Agrani banks and private sector banks like National Bank and First Security Islami. With the leader of the Krishak League fleeing the country, banks are now facing concerns over loan recovery.

Bank officials state that Alam Ahmed exerted political influence to secure loans from the banks. In some cases, there was also collusion with the board of directors and management authorities. He resorted to forgery and deception when obtaining loans from Janata Bank and National Bank. After the loans were released from the banks, not a single installment was repaid.

A "Holiday Inn" visit reveals that the hotel’s management and discipline have collapsed. With no customers, the staff are idly passing their time. When asked about the situation at the hotel, an employee, speaking anonymously, said, "There are virtually no guests in the rooms. The number of customers coming to the restaurant is also deficient. Due to the lack of activity, contract employees have already been sent on leave. Those still working are not receiving their salaries and allowances properly."

Efforts to obtain a statement from Alam Ahmed have been unsuccessful, as he could not be found. His cell phone number is also inactive. When contacted, a person known as Konok, who identifies as his assistant, stated, "I am not a company-appointed official. I used to be with Alam Ahmed as a political big brother. I do not know where he is now."

However, Manfuja Masud Chowdhury, the Marketing Communication Manager of Holiday Inn, told Bonik Barta, "The situation is not good for any five-star hotel in the country right now. Due to the changing circumstances, fewer foreigners are coming, resulting in a decrease in room bookings. However, the restaurant and related services are running well. Our staff is receiving their salaries and allowances regularly."

Alam Ahmed's ancestral home is located in Dokkhingaon, Kapasia, Gazipur. There, he has a luxurious residence known as Marium Village. Alam Ahmed is the chairman and managing director of a business group called "Marium Group." According to the group's website, they have a construction and contracting company named Marium Construction. Additionally, he owns a garment factory in Kapasia called NPM Apparels Limited. Marium Group has referred to Habib Hotel International as part of its service sector.

According to multiple sources, Alam Ahmed has siphoned off a portion of the loans taken from the banks to foreign countries. With the embezzled money, he has acquired properties and vehicles and opened businesses in the United Kingdom and Thailand. Aside from Habib Hotel, he has no active companies in the country. The foreign business addresses of this Krishak League leader are also mentioned on the Marium Group's website. The address for the group's London office is "Marium Bengal, 10, Pretoria Road, London, E-114BD, UK," while the address for the Bangkok office is "Circle Condo-2, 36 Old Phetchaburi Road, Makkasan, Bangkok, Thailand."

All loans granted to Alam Ahmed's companies, including Habib Hotel, have been distributed irregularly and corruptly by the banks. This has raised objections from all relevant institutions, including the Bangladesh Bank, the Anti-Corruption Commission (ACC), and the Office of the Comptroller and Auditor General. Additionally, during the construction of Habib Hotel on the western side of Hatirjheel, Alam Ahmed violated Section 3/12 of the Building Construction Act of 1952 as set forth by the Rajdhani Unnayan Kartripakkha (RAJUK).

On January 11, 2023, Bonik Barta published an investigative report titled "Five-Star Hotel of Krishak League Leader Funded by Janata Bank: BDT 550 Crore Now in Default." Another report was released on January 17 of the same year titled "Bank Loans for Habib Hotel Owner Now BDT 1873 Crore." The report stated that National Bank Limited (NBL) was in trouble over a loan of BDT 1.43 billion given to Habib Hotel International. After Janata Bank acquired the loan, NBL's officials breathed a sigh of relief. However, just a year later, National Bank again granted a loan of BDT 3 billion to Habib Hotel to decorate the five-star hotel known as "Holiday Inn." The loan was released in 11 days, and NBL has not recovered it. Including interest, the amount of that loan has now risen to BDT 4.43 billion.

The Anti-Corruption Commission (ACC) has launched an investigation into the loan due to allegations of irregularities. On December 28, 2022, the commission issued a letter to the managing director of National Bank. The letter stated allegations of embezzlement involving cash withdrawals and transfers to various bank accounts through loan approvals for Marium Construction Limited and Habib Hotel International from the Gulshan branch of National Bank. As part of the investigation, 20 officials from the National Bank have been instructed to appear before the ACC for interviews. This list includes the bank's former Managing Director, Choudhury Moshtaq Ahmed, DMD SSM Bulbul, Abdus Sobhan Khan, Shah Syed Abdul Bari, and Wasif Ali Khan.

When contacted, a responsible officer from National Bank told Bonik Barta on Wednesday (October 2), "The loan balance under the names of Habib Hotel and Marium Construction has now risen to BDT 4.79 billion. The entire loan amount has been defaulted on for a long time. The bank's collateral value against this loan is BDT 2.20 billion. There has been no communication with Alam Ahmed. I have heard that the Krishak League leader fled the country after Sheikh Hasina was ousted."

Between 2015 and 2017, state-owned Janata Bank acquired a loan of BDT 1.43 billion for Habib Hotel International from the Gulshan branch of National Bank. However, the credit committee of Janata Bank had expressed dissent regarding acquiring this loan. There were no recommendations from the relevant branch concerning the loan. Despite this, the loan was acquired in violation of Bangladesh Bank's regulations and policies. After obtaining the loan, Janata Bank provided an additional BDT 1.60 billion in new loans to Habib Hotel. There are allegations that, in this case of loan acquisition, Janata Bank violated its policies as well as the directives of Bangladesh Bank.

In this regard, the audit report from the Office of the Comptroller and Auditor General of Bangladesh states that Janata Bank acquired the loan from the Gulshan branch of the National Bank without any recommendations from the branch. The credit committee of Janata Bank had also made negative comments regarding the loan. However, the loan was acquired in violation of all relevant policies. According to sources within Janata Bank, the current amount of this loan has nearly reached BDT 6 billion. The state-owned bank classified the entire loan as non-performing two years ago.

The loan for Habib Hotel was acquired through the corporate branch of the Janata Bank Building. Several officials from that branch told Bonik Barta that the loan was acquired for political reasons. After the loan acquisition, the customer was also granted new loans. In granting and receiving the loan, senior officials of Janata Bank engaged in corrupt practices. Furthermore, the customer did not utilize the loan money appropriately and spent it elsewhere. This is why it has not been recovered even after the loan was rescheduled.