But serious allegations have now emerged against one of its most influential former advisers, Asif Mahmud Sajib Bhuiyan.
The Anti Corruption Commission (ACC) is reportedly investigating allegations that Tk 11,000 crore, equivalent to around $900 million, was misappropriated from state funds and transferred abroad during his tenure in the interim government.
Asif Mahmud served as adviser to three key ministries during the government’s roughly 18 month tenure. The allegations centre on the Local Government, Rural Development and Cooperatives Ministry, the Youth and Sports Ministry, and the Labour and Employment Ministry.
Preliminary findings cited by investigators allege that a carefully organised network used the political uncertainty and absence of elected representatives to manipulate public spending and divert funds.
The allegations have not been proven in court.
Control over Tk 47,000 crore budget
During his tenure, Asif Mahmud was responsible for ministries that together handled a budget of more than Tk 47,000 crore, according to government figures cited in the investigation.
The Local Government Division had a budget of Tk 42,433 crore for the 2025 to 2026 fiscal year. Including allocations carried over from the previous government, the amount stood at around Tk 44,243 crore.
The Youth and Sports Ministry had a budget of Tk 2,423 crore, while the Labour and Employment Ministry had Tk 438 crore.
Together, the allocations amounted to around Tk 47,104 crore.
Investigators are examining whether part of this large pool of development and operational spending was diverted through irregular projects, procurement and other financial mechanisms.
Some supporters of the former adviser have questioned whether it was possible to misappropriate Tk 11,000 crore from the ministries under his control.
Investigators, however, argue that the scale of the combined budgets and the administrative environment at the time created opportunities for large scale financial irregularities.
Alleged network during political vacuum
Under normal democratic arrangements, development projects under the Local Government Ministry are implemented with oversight from elected representatives at district, upazila and municipal levels.
During the interim government, however, elected representatives were largely absent.
Investigators are examining whether this lack of political oversight created an environment in which public funds could be controlled with limited accountability.
Sources involved in the inquiry allege that some bureaucrats were also under pressure because of the unstable political situation.
According to the allegations, this environment was used to build a network involving selected officials and close associates of the former adviser.
The network allegedly influenced tender processes involving major infrastructure projects, road construction, youth development programmes and labour welfare initiatives.
Investigators are also examining allegations of fictitious projects, manipulated tenders and the use of proxy entities to channel funds.
Alleged use of cryptocurrency
One of the most serious aspects of the investigation involves the alleged transfer of money through digital channels.
According to investigators, the suspected financial network may have used cryptocurrency in addition to traditional channels such as informal money transfer networks.
The inquiry is examining the role of several individuals described as technology specialists who allegedly had influence in financial and technology related activities during the interim government.
Investigators suspect that money allegedly obtained through commissions and irregularities in development projects was moved through different digital platforms before being converted into cryptocurrency.
The funds were then allegedly transferred to password protected digital wallets held outside Bangladesh.
The investigators are examining whether such digital transactions were used to conceal the origin and destination of the funds.
The allegations remain subject to investigation and independent verification.
ACC steps up investigation
The ACC has reportedly begun collecting documents related to major projects, tender processes, electronic government procurement files and special allocations approved during Asif Mahmud’s tenure.
Investigators are also examining financial transactions to identify possible links between government projects, contractors, intermediaries and overseas accounts or digital wallets.
The Bangladesh Financial Intelligence Unit and the Criminal Investigation Department are reportedly involved in tracing suspected digital financial transfers.
Investigators are examining transaction records and digital evidence to establish whether public funds were diverted and, if so, how the money was transferred abroad.
Sources involved in the investigation said a detailed picture of the alleged financial network could emerge once the examination of documents and transaction trails is completed.
Any formal charges would have to be based on evidence established through the legal process.
Questions over accountability
The allegations have sparked renewed debate over the anti corruption commitments made during the mass uprising that brought the interim government to power.
The central question is whether the absence of elected representatives and the concentration of administrative authority created opportunities for large scale financial abuse.
If investigators establish that public money was diverted through coordinated networks, the case could become one of the country’s most significant financial corruption investigations.
At the same time, the allegations against Asif Mahmud and others must be tested through a transparent investigation and due legal process.
The final findings of the ACC and the courts will determine whether the alleged Tk 11,000 crore financial network existed, who benefited from it and whether any public funds were transferred abroad.
