Nicosia, Cyprus. A district court in Nicosia has frozen a property in Parekklisia owned by Bangladeshi businessman Mohammed Saiful Alam and his wife after a request from Bangladeshi authorities as part of an ongoing criminal investigation into alleged bank fraud and money laundering.
Freezing order
The order was issued on May 19 following an application by the anti-money laundering unit Mokas. The request was made through mutual legal assistance procedures initiated by authorities in Bangladesh.
Background to the case
Alam is the founder and chairman of the S Alam Group and acquired Cypriot citizenship in 2016 through the Cyprus citizen-by-investment programme, known colloquially as the golden passports scheme. The property subject to the order is a two-storey residence in Parekklisia.
Scope of the investigation
According to documents submitted to Cypriot authorities, Bangladeshi investigators are examining allegations relating to the operation of a network of companies and financial transactions between 2009 and 2024. The investigation involves claims of fraudulent lending, unlawful asset accumulation and money laundering.
Separate court ruling in Bangladesh
A day after the freezing order was issued, a Bangladeshi court sentenced Alam and ten relatives and associates to five months’ imprisonment in connection with a loan equivalent to approximately €6 million granted by Islami Bank to a subsidiary of the S Alam Group. Bangladeshi media reported that the financing was intended for the purchase of 134 buses which were not acquired.
Wider allegations
The Bangladeshi investigation extends beyond that case. According to the request transmitted to Cyprus, authorities are also investigating allegations that companies linked to Alam secured substantial loans from a number of financial institutions, including Islami Bank Bangladesh and First Security Islami Bank.
