Staff Reporter:
The government has decided to appoint a British law firm to defend itself against an international arbitration case filed by S Alam Group Founder Saiful Alam (S Alam) and his family.
The legal fee for the firm has been set at $1,250 per hour.
The decision was approved on Tuesday at a meeting of the Advisory Committee on Government Procurement, chaired by Finance Adviser Salehuddin Ahmed, at the Secretariat.
Sources familiar with the meeting said the Ministry of Law, Justice and Parliamentary Affairs placed a proposal seeking approval to appoint an international law firm and procure legal services to handle ICSID Arbitration Case No-ARB/25/52, filed against the Bangladesh government.
After review, the committee approved the appointment of the British law firm White & Case LLP.
However, details on how the firm’s hiring cost will be calculated were not disclosed.
Speaking to journalists after the meeting, Finance Adviser Salehuddin Ahmed said, “As you know, S Alam has apparently filed a case in London related to money laundering and has challenged the government at the World Bank’s International Centre for Settlement of Investment Disputes (ICSID). To fight this legal battle, we will appoint a lawyer. This involves a lot of money.”
When asked which country and institution has been appointed, he said, “I can’t recall the name at this moment. It’s a British firm.”
Referring to actions being taken against S Alam over money laundering allegations, the finance adviser said that when a government or company is accused of obstructing business, investors can seek arbitration at ICSID.
“We have received the arbitration notice. We must respond, and the matter is very complex,” he added.
In October last year, lawyers representing S Alam and his family formally filed a request for arbitration at ICSID, based in Washington DC.
The claim alleges that asset freezes, confiscations, and other punitive measures taken by the Bangladesh government over alleged illicit money transfers caused losses amounting to hundreds of billions of dollars.
In their application, the S Alam family accused the interim government of deliberately targeting them through the freezing of bank accounts, seizure of assets, what they described as “baseless” investigations into their businesses, and “provocative media campaigns.”
They argue that these actions violate international investment agreements.
The arbitration has been filed under the 2004 Bangladesh–Singapore Bilateral Investment Treaty (BIT). According to documents, the S Alam family renounced Bangladeshi citizenship in 2020 and acquired Singaporean citizenship between 2021 and 2023. They are currently residing in Singapore.
The family claims that as Singaporean citizens, they are entitled to international investment protection. They have also sought protection under Bangladesh’s Foreign Private Investment (Promotion and Protection) Act, 1980.
Following the fall of the Sheikh Hasina government in a mass uprising on 5 August 2024, an interim government led by Prof Muhammad Yunus assumed power.
Since then, the government has launched investigations and asset recovery efforts against several major business groups and influential individuals accused of large-scale money laundering.
A white paper on the economy published by the interim government in December 2024 estimated that the total amount of money laundered abroad stood at approximately $234 billion.
Bangladesh Bank Governor Ahsan H Mansur, who heads the task force on recovering laundered funds, has stated that the S Alam family alone siphoned off nearly $12 billion abroad.
He also alleged that S Alam and his associates took control of multiple banks and transferred money overseas through loan fraud and import-related irregularities.
