Photo : Collected
The investigation report of the auditor company 'Huda Vasi Chowdhury and Company' has mentioned that the former chairman of the company, Mustafa Golam Quddus, and his family members and directors embezzled the company's money through financial irregularities and corruption. The report was submitted to the Insurance Development and Regulatory Authority (IDRA) on Thursday (April 4).
According to the report, Mustafa Ghulam Quddas, Mrs. Noor A Hafza, his son director Mustafa Kamrus Sobhan and daughter Fauzia Kamrun Tania, Mrs. Fauzia Kamrun Tania, Rupali Insurance Co, Shafia Sobhan Chowdhury and Sheikh Mohammad Daniel, Maya Rani Roy, Ahmed Rajeev Samdani and Mrs. Huda Ali Selim illegally withdrew 87,84,15,966 taka from the company funds through several types of irregularities.
Out of this, the company embezzled tk 9,16,50,000 through issue of shares for directors. A total of 141,56,90,500 taka was illegally given to the company owned by Ghulam Quddus by showing the advance for the purchase of land and buildings.
Expenses of Tk 785,68,817 were shown to the own organisation for the purchase of sweaters, entertainment, ERP maintenance, Tk 2,24,00,000 for monthly salary of directors of own family, illegal purchase of luxury Audi car worth tk 1,70,00,000, and tk 1,60,10,750 to the directors of own family for paying additional dividend.
About Tk 1,54,90,800 is in the name of treatment, education and travel abroad. Illegal commission charge for (Mr. Daniel) from the group insurance policy is Tk 9,00,00. A total of Tk 8,26,67,859 is in the name of debt consolidation, grant, purchase of AC, purchase of animal for Qurbani, foreign travel, policy renewal gifts, and IPO expenses.
About Tk 11,94,20,017 is paid to Dragon IT in the name of rent. About Tk 1,72,42,223 is for payment of utility bills of the entire Imperial Bhavan and tk 13,75,000 is embezzled in the name of tax payment of Dragon Sweater and Spinning Ltd.
According to the investigation report, the company's incomplete information storage or information concealment, non-transparent accounting system and absence of an internal control system have created favorable conditions for embezzlement of the company's money. An average of 22 crores a year or about 2 crores a month is spent as petty cash and many one-time transactions of large sums are done in cash cheques which are completely illegal and used as a means of money laundering. Almost all the bank signatories, including the chief executive officer, are members of the same family, resulting in most of the illegal transactions through cheques signed by them.
Overall review presents that Sonali Life Insurance Company Limited is being run by some directors of its board without regard to law and financial regulations resulting in a huge amount of money being embezzled and loss to insurers and insurance customers.
Messenger/Fameema
