Tuesday, December 5, 2023

Tk 1,450cr anomalies detected

Destiny Cooperatives Society
Tk 1,450cr anomalies detected
The Department of Cooperatives (DoC) has detected financial irregularities of around Tk 1,450 crore in the operations of Destiny Multipurpose Cooperative Society Ltd (DMCSL), cash-cow of the controversial Destiny Group. The DoC unearthed the irregularities — misuse of funds, unauthorised expenditures and investments, recruitment of members, commission and overvaluation of assets — through an investigation that took about four months.
The report has been submitted to the Ministry of Local Government, Rural Development and Cooperatives on Sunday, confirmed Amiya Kumer Chattapadhay, additional registrar and head of the probe committee.
DMCSL’s major financial irregularity that the probe has detected is: unauthorised spending of over Tk 740 crore for the distributors of Destiny-2000 Ltd as commission to collect new members.
The DMCSL management also lent Tk 270.52 crore to non-members and invested Tk 120.63 crore in other entities, all of which are non-profitable organisations. The cooperative wing of the Destiny Group also caused a loss of Tk 74.81 crore in buying floor and space in Diamond Diplomatic Tower at Kakrail.
Other financial irregularities by DMCSL include Tk 11.39 crore additional spending for making certificates from abroad ignoring those in the domestic market and nearly Tk 4 crore spending for Destiny Group, which is a separate entity.
Besides, Irfan Ahmed Sunny, former treasurer of DMCSL, illegally took more than Tk 21 lakh as honorarium.
The non-financial irregularities found by the DoC are: enrolment of fake members and concealment of information about investments in other entities.
According to the probe report, DMCSL enrolled at least 30 percent members in the shareholders’ list without any proper address, which the DoC believes had been done to show a massive growth rate to its existing and would-be members.
The DMCSL had only 167 members in 2006-07, but it rose to 6.40 lakh in 2010-11 and nearly 8.5 lakh in 2011-12.
“Out of 8.5 lakh DMCSL members, 30 percent have no real addresses,” said the report.
DoC documents show that the DMCSL had applied to the cooperatives authority in the fiscal year 2011-12 for permission to invest more than Tk 394 crore in 34 entities. The proposals included purchase of Best Aviation and Alpana Chhayachitra for Tk 132 crore.
But the DoC found that it (DMCSL) had already invested Tk 251 crore in 27 entities out of 34 in 2010-11. But Destiny sought permission a year after making the investments, which was a gross violation of the law, mentioned the probe report.
According to the law, a cooperative society must take prior approval from the DoC for an investment exceeding Tk 5 lakh.
DoC investigation also found that most of the entities where DMCSL invested exist only in paper.
Destiny had overvalued its assets to stimulate its books of account. An asset, which had been bought with Tk 55 crore, was shown worth Tk 77 crore after a year.
The top management of Destiny also cheated people with its tree plantation programme. The DoC report found that a package for tree plantation programme had been offered at Tk 10,000 in condition that half the amount would be paid by customers while the rest by DMCSL.
“But in reality DMCSL paid nothing,” according to the report.
Over the past few months, Destiny Group came under the spotlight following a Bangladesh Bank enquiry that found proof of illegal banking by DMCSL.
It was creating disorder in the country’s financial sector, said the BB probe report, which prompted different government agencies, including the DoC, to carry out the investigation against Destiny Group.
After a two-month investigation, the Anti Corruption Commission had sued 22 top officials of Destiny Group, including its chairman Rafiqul Amin and director Lt Gen (rtd) M Harunur Rashid for money laundering.
Obtaining registration from DoC in 2005, the controversial cooperative firm had seen an astronomical rise in its capital, shareholders, profit and investment since 2009.
The company’s paid-up capital increased to nearly Tk 300 crore in 2009-10 from Tk 5.53 crore a year ago. The figure jumped to nearly Tk 1,200 crore in 2010-11. DMCSL’s paid up capital was Tk 1.62 crore in 2006-07.
Loans and investments grew to Tk 569 crore in 2010-11 from less than Tk 23 crore in 2008-09; they rose by over 213 percent between 2009-10 and 2010-11.
Rafiqul Amin, chairman of DMCSL, could not be reached for comments.

-With The Daily Star input

Related News

LGED engineer dead, UNO among 3 injured in Panchagarh car crash

News Desk : dhakamirror.com An engineer of the Local Government Engineering Department (LGED) was killed and three other government officials were injured when the vehicle of a UNO hit a roadside tree in Panchagarh Sadar upazila early today. The deceased was identified as Abu Sayed, 33, upazila engineer of LGED from Pirganj upazila of Thakurgaon. ... Read more

UNHCR calls for rescue of Rohingyas stranded in Andaman Sea

News Desk : dhakamirror.com The United Nations (UN) Refugee Agency, UNHCR, has made an urgent appeal to all countries in the region, particularly those in the area surrounding the Andaman Sea, to swiftly deploy their full search and rescue capacities in response to reported vessels in distress with hundreds of Rohingya at risk of perishing. ... Read more

Over 200 RMG workers injured in Comilla while evacuating factory during earthquake

News Desk : dhakamirror.com Over two hundred garment workers in Cumilla’s Chauddagram have been injured while trying to evacuate the factory building of Amir Shirt Garment Limited during today’s earthquake. A 5.5 magnitude earthquake at a depth of 10km jolted Dhaka, and parts of the country at 9:35am today (2 December). The epicentre of the ... Read more

Daughter hacked father to death in Chattogram

News Desk : dhakamirror.com A father was hacked to death by his own daughter during an altercation over a trivial matter at Lohagara upazila in Chattogram on Friday (1 December). The deceased was identified as Abdur Rahman, 50, of Putibila Sarai village under the upazila. Police have detained the daughter, Humaira Begum, 23, soon after ... Read more

HSC results: Dhaka has most GPA-5 achievers, while Barishal has highest pass rate

News Desk : dhakamirror.com Dhaka had the highest number of GPA-5 recipients in the HSC exams, while Barishal Education Board had the highest pass rate among nine educational boards. Education Minister Dipu Moni announced today that the overall pass rate in the nine general boards is 75.90 percent. In terms of pass rates, Barishal ranked ... Read more

PSC postpones 45th BCS written tests

News Desk : dhakamirror.com The Bangladesh Public Service Commission (PSC) has decided to postpone the written tests for the 45th Bangladesh Civil Service examination, which was scheduled to be held on 27 November. The announcement came through a notification signed by Ananda Kumar Biswas, the exam controller of PSC, issued on Friday. PSC held a ... Read more

After stabbing younger sister to death woman ‘kills herself’ in Hazaribagh

News Desk : dhakamirror.com A woman reportedly killed herself after stabbing her younger sister to death in the capital’s Hazaribagh area today. Police said the incident took place in the Kalunagar area at around 12am on Monday (13 November). The deceased have been identified as Jasmine Akhtar, 44, and her younger sister Nasreen Akhtar, 30. ... Read more

Oman stops issuing new visas to citizens of Bangladesh

News Desk : dhakamirror.com The Sultanate of Oman has suspended the issuance of visas across all categories for Bangladeshi nationals, the Royal Oman Police (ROP) said on Tuesday. The decision was effective from Tuesday, reported Oman-based English newspaper the Times of Oman referring to the Royal Oman Police. The report said that the ROP confirmed ... Read more

Dhaka girl Nupur takes over as chairman of Unilever for a day

News Desk : dhakamirror.com Seventeen-year-old Nupur from Dhaka, had the opportunity to take over Unilever’s chairman position for one day on Thursday. There, she symbolically carried out the roles and responsibilities of Zaved Akhtar, the chairman and managing director of Unilever Bangladesh, said a press release. Nupur being an active youth club member, works for ... Read more

Hospitals must follow guidelines, orders HC

News Desk : dhakamirror.com The High Court on Thursday asked the government to take steps to make it compulsory to follow the relevant guidelines for the prevention of performing unnecessary caesarean section surgery at government and private hospitals and clinics. The court has also directed the government to widely circulate the guidelines within six months. ... Read more

Woman delivers birth to five babies at DMCH

News Desk : dhakamirror.com A woman has given birth to five premature babies. The quintuplets were born at the Dhaka Medical College Hospital (DMCH) at 10am on Thursday to Mansura Begum, 22, the wife of CNG driver Md Mamun from Bandardia village in Shibpur upazila of Narsingdi district. One of the newborns, however, died shortly ... Read more

Tk8.44 cr fine imposed to Kazi Farms, 3.44 crore to Suguna Food

News Desk : dhakamirror.com The Bangladesh Competition Commission has fined Kazi Farms Group and Saguna Food and Feeds on charges of market manipulation causing abnormal rise in broiler chicken prices. BCC officials said that the companies must deposit the fine amount to the BCC within 10 working days. If they fail to deposit the fine ... Read more

Heritage volunteers visit national museum

News Desk : dhakamirror.com The heritage volunteers participating in UNESCO World Heritage Volunteers Programme 2023 visited national museum in Dhaka on Sunday. The ten-day workshop programme organised by Nagar Upakhyan-Perceive started on October 1, said a press release. The Heritage volunteers’ team visited national museum which is on the UNESCO World Heritage tentative list on ... Read more

Fare for Bangladesh-India trains to increase from November 10

News Desk : dhakamirror.com Ticket prices of three inter-country trains on Bangladesh-India routes are going to be hiked from November 10. The fares are going to increase due to high exchange rate of US dollar and rising travel tax, according to the Bangladesh Railway officials. The trains are – Maitree Express on Dhaka-Kolkata, Bandhan Express ... Read more

Man, nephew killed by lightning

News Desk : dhakamirror.com A man and his nephew were struck by lightning in Satarbari village of Longair union under Gafargaon upazila of Mymensingh yesterday. The deceased were identified as Sohel Mondol, 40, a trader of pharmaceutical drugs, and his nephew Razib Mondol, 35 a rice trader in the village. Quoting locals, Raju Ahmed, officer-in-charge ... Read more

TV sales decline despite World Cup: Is streaming to blame?

News Desk : dhakamirror.com The ICC Cricket World Cup 2023 captures the attention of sports enthusiasts across the world and an intriguing trend is emerging in Bangladesh’s television market. While events of this magnitude have traditionally led to an increase in TV sales, recent figures from September show a 30% decline compared to the same ... Read more

Heritage volunteers visit Paharpur archaeological museum

News Desk : dhakamirror.com The heritage volunteers participating in UNESCO World Heritage Volunteers Programme 2023 visited Paharpur archaeological museum in Naogaon on Friday. The ten-day workshop programme organised by Nagar Upakhyan-Perceive started on October 1, said a press release. The Heritage volunteers’ team visited Paharpur archaeological museum which is on the UNESCO World Heritage tentative ... Read more

Child among three dead as mud walls collapsed in rain in Gazipur

News Desk : dhakamirror.com Three people including an eight-year-old child died in separate incidents of mud walls collapsing during heavy rain in Sadar and Kaliakoir upazilas of Gazipur. The deceased are Faridul Islam, 8, son of Matiur Rahmon of Konabari Baimile under Sadar upazila, and Imarat Hossain, 65, and his wife Achia Begum, 56, of ... Read more

Sultana Kamal new chairperson of TIB trustee board

News Desk : dhakamirror.com Eminent human rights activist Advocate Sultana Kamal has been elected as the chairperson of the Board of Trustees of Transparency International Bangladesh (TIB). She takes over the position from Prof Perween Hasan, the Bangladesh chapter of Berlin-based global anti-graft watchdog said in a press release on Wednesday (4 October). The decision ... Read more

Hanging body of SUST student recovered from room

News Desk : dhakamirror.com The hanging body of a student of Shahjalal University of Science and Technology was recovered from his room of a student dormitory adjacent to the main entrance of the university at Akhalia in Sylhet city. The deceased is Arif Mia, a second-year social science student of the university and also a ... Read more