According to a government-commissioned white paper on the economy and presented to Chief Advisor Professor Muhammad Yunus on Sunday, around $234 billion was siphoned out of Bangladesh between 2009 and 2023 while the Awami League was in power. The report reveals that these laundered funds were mainly routed through or to countries such as the United Arab Emirates, the United Kingdom, Canada, the United States, Hong Kong, Malaysia, Singapore and India, as well as various tax havens. These findings highlight the unprecedented economic damage inflicted on Bangladesh’s economy under the Sheikh Hasina-led government.

The white paper highlights that illicit financial outflows created a complex underground economy that “thrived on criminal activities of various kinds and derived its sustenance from an unholy alliance involving corrupt politicians, businessmen, financial actors , middlemen, government officials, influence peddlers and cogs. dealers.” Through rampant corruption and looting, the deposed Arab League government has severely undermined the country’s institutions, rendering many of them completely dysfunctional. Regulatory bodies often remain silent or complicit in the face of a such corruption.

The report also describes how individuals in this network plundered enormous sums from the public treasury through fraudulent schemes before laundering them abroad, causing immense economic degradation. This massive wealth flight has depleted the country’s capital, hampering efforts to revive the economy and restore vital institutions such as the banking sector. Much of the laundered money was used to purchase real estate abroad or channeled under the guise of commercial transactions. The document identifies 532 individuals of Bangladeshi origin owning real estate worth $375 million in Dubai, including 972 residential properties in the UAE valued at approximately $315 million. In Canada, between 47 and 100 billion dollars were allegedly laundered, and equally large sums were transferred to other countries.

Recently, a joint investigation by the British newspaper The Observer and the Berlin-based anti-corruption organization Transparency International revealed that close associates of Hasina, including former ministers and business owners, own properties worth more than 400 million pounds sterling (approximately Taka 6,000 crore) in the United Kingdom. The allegations suggest that these assets were purchased with laundered funds diverted from Bangladesh.

Further investigations will likely uncover additional cases of corruption and wealth laundering in the LAL. It is therefore imperative that the caretaker government thoroughly investigates these cases and begins recovering stolen wealth as a matter of priority, given that financial crimes of this nature become more difficult to trace and recover over time.

The White Paper committee recommended the creation of an independent prosecution body to pursue follow-up actions and recover these funds. The government must act quickly to implement this recommendation and the other proposals outlined in the report. Our diplomatic channels and international relations should also be leveraged to freeze illicit funds and facilitate their return to Bangladesh. Holding those responsible for the plunder of the nation’s wealth to account is essential to prevent such crimes in the future.

Follow The Daily Star’s review on Facebook for the latest reviews, comments and analysis from experts and professionals. To contribute your article or letter to the Daily Star Opinion, visit our submission guidelines.