11 of top 20 loan defaulters linked to S Alam Group
The top 20 loan defaulters whose names were disclosed yesterday in parliament owe more than Tk 35,000 crore, with the majority of the companies belonging to the controversial S Alam Group.
Among the top 20 defaulters, 11 defaulting companies directly or indirectly belong to the Chattogram-based business group, and a major portion of the loans was taken from Islami Bank and state-run Janata Bank.
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Founded in 1985 by Mohammed Saiful Alam, a relative of former Awami League politician Akhtaruzzaman Chowdhury Babu and former Land Minister Saifuzzaman Chowdhury, S Alam Group has grown into one of the largest conglomerates in Bangladesh.
The group accounted for 80 percent of Islami Bank’s total loans as it dominated its board from 2017 to August 2024. It also dominated the board of Social Islami Bank.
Finance Minister Amir Khasru Mahmud Chowdhury yesterday provided the list of the top 20 loan defaulters, but he did not mention the loan amounts they took from the banking sector.
Among the companies on the list, S Alam Super Edible Oil has Tk 14,665 crore in outstanding loans with Islami, Janata, Social Islami, EXIM and Southeast banks until May 2025, according to data from the Bangladesh Bank.
Of that amount, Tk 3,260 crore became defaulted, Tk 1,721 crore of which is with Islami Bank.
Defaulted loans of S Alam Vegetable Oil stood at Tk 4,565 crore, while its total loans amounted to Tk12,711 crore with Islami, Janata, EXIM and Social Islami banks.
Bad loans at S Alam Refined Sugar Industries stood at Tk 2,874 crore, while its total outstanding loans reached Tk 11,666 crore with Islami, Janata and Social Islami banks.
S Alam Cold Rolled Steels defaulted on Tk 3,420 crore of loans with Janata, Islami, EXIM and Social Islami banks, while its total outstanding loans stood at Tk 5,713 crore.
Among S Alam Group companies on the top defaulters list, Sonali Traders had Tk 1,042 crore in bad loans; Global Trading Corporation Tk 2,654 crore; S Alam Trading Company Tk 2,160 crore; and Infinite CR Strips Industries Tk 1,406 crore until May last year.
Chemon Ispat, Murad Enterprise and Karnafuly Foods (Pvt) are also linked to the S Alam Group. The three companies’ combined bad loans stood at upwards of Tk1,500 crore.
The 11 companies under the S Alam Group hold at least Tk 22,881 crore as bad loans, which is 65 percent of the total bad loans of the top 20 defaulters.
There are two companies from the Beximco Group in the top defaulters list. Salman F Rahman, private industry and investment affairs adviser to former prime minister Sheikh Hasina, was the vice-chairman of Beximco Group.
The group took out the majority of its loans from state-run Janata Bank.
Bangladesh Export Import Company has Tk 4,340 crore in bad loans with Agrani, Janata, Sonali, Rupali, AB, National, UCB and EXIM banks.
The company’s total loans stood at Tk 5,771 crore until May this year.
Beximco Communications’s bad loans stood at Tk 982 crore with Agrani, Rupali and Sonali banks.
Keya Cosmetics, a company of Keya Group, holds Tk 2,139 crore in bad loans with Sonali, National, Southeast, Social Islami, Standard, Premier banks, GSP Finance and Union Capital until May 2025.
PowerPac Mutiara Keraniganj Power Plant and PowerPac Mutiara Jamalpur Power Plant are companies under Sikder Group and they have bad loans of Tk 1,000 crore and Tk 629 crore respectively with Agrani, AB, Social Islami, Union, Global Islami, EXIM and First Security Islami banks.
Rongdhanu Builders, a company of Rangdhanu Group, holds Tk 961 crore in bad loans with Islami, Social Islami, First Security Islami and Union banks.
CLC Power Company, a concern of Maisha Group, founded by late Awami League lawmaker Aslamul Haque, holds Tk1,640 crore in bad loans in different banks, including National Bank.
Pacific Bangladesh Telecom (Citycell), a company owned by the former BNP minister during the Morshed Khan. Its defaulted loans is more than Tk1,000 crore.
Deshbandhu Sugar Mills, a concern of Deshbandhu Group, has bad loans with Social Islami and First Security Islami banks. The company has Tk 544 crore in loans with Social Islami Bank.
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