Tk32cr embezzlement: Trial begins against S Alam, PK Halder, 11 others

A Dhaka court has ordered the commencement of trial against S Alam Group Chairman Mohammad Saiful Alam and former managing director of former Reliance Finance Limited Prashanta Kumar (PK) Halder, along with 11 others, in a case filed by the Anti-Corruption Commission over the embezzlement of Tk32 crore through fraud and abuse of power.

Judge Md Abdus Salam of Dhaka's Special Judge Court-9 passed the order after a hearing today (19 January) after charges were framed against the accused.

The court also set 8 February for the recording of witness testimonies.

The other accused against whom trial has begun include S Alam Group Vice-Chairman Abdus Samad, directors Mohammad Abdullah Hasan and Shahana Ferdous, former Executive Vice President of Reliance Finance Ltd (now Aviva Finance Ltd) Rashedul Haque, former manager Nahida Runai, former Senior Vice President Kazi Ahmed Jamal, former deputy manager Jumaratul Banna, and former Managing Director of Marine Vegetable Oils Zahir Ahmed, along with directors Tipu Sultan, Md Ishaq and Md Abdullah Al Mamun. Of them, Nahida Runai and Rashedul Haque are currently in jail, while the remaining accused are absconding.

During the charge-framing hearing, accused Nahida Runai and Rashedul Haque pleaded not guilty and sought justice.

ACC lawyer Mohammad Hafizur Rahman confirmed the matter, saying lawyers representing the two accused sought their discharge from the case. After hearing the arguments, the court rejected the discharge petitions and ordered the framing of charges. As the remaining accused are absconding, they were unable to participate in the charge-framing hearing.

During the hearing, Dhaka Bar Association President Advocate Khorshed Mia Alam represented Nahida Runai, while Advocate Md Niaz Morshed appeared on behalf of Rashedul Haque, seeking their discharge.

Arguing for Nahida Runai, Advocate Khorshed Mia Alam told the court that she had no involvement or collusion in the loan transaction. He said her name does not appear in the FIR, charge sheet or other records in connection with the loan. He argued that the loan transaction took place between two institutions and that Nahida Runai, as a manager, had no scope to handle or influence the loan file. He added that she is neither a director nor a shareholder and works in a junior managerial position, and therefore deserves to be discharged in the interest of justice.

Counsel for Rashedul Haque, Advocate Niaz Morshed, told the court that his client was not the sole member of the department concerned and that others were also involved. He said Rashedul Haque is not a shareholder and there is no allegation that he received any benefit beyond his salary, arguing that he should be discharged from the case.

Earlier, on 11 January, the Dhaka Metropolitan Sessions Judge's Court took cognisance of the charge sheet and ordered the transfer of the case to Dhaka Special Judge Court-9 for trial.

According to the case statement, the accused allegedly colluded with one another to approve a term loan of Tk32.50 crore in the name of a shell company, M/s Mostafa & Co, on 12 August 2013, and disbursed the amount on 9 October 2013. The money was later transferred to S Alam Super Edible Oil Limited. A total of 13 people have been accused in the case.

The case was filed on 2 July last year by ACC Assistant Director Mahmudul Hasan. Following an investigation, the same official submitted the charge sheet against the 13 accused on 16 October of the same year on behalf of the ACC's Daily and Contemporary Complaints Cell