ACC launches inquiry against Dr Yunus, board of directors

The Anti-Corruption Commission (ACC) on Thursday started an inquiry against the board of directors of Grameen Telecom, including its Chairman Dr Muhammad Yunus over embezzlement of the welfare funds of the employees and laundering of Tk 3,000 crore.

Yunus, 82, has been feted internationally for his efforts to eradicate poverty but his reputation at home has been tarnished by a labour dispute and a long-running feud with Prime Minister Sheikh Hasina.

The anti-graft body initiated the inquiry following a report submitted by the Department of Inspection for Factories and Establishments of the Ministry of Labour and Employment against the board of directors of the telecom
company.

ACC Secretary Md Mahbub Hossain disclosed the information while speaking to journalists at the ACC’s Segunbagicha headquarters in Dhaka.

“The commission has reviewed the allegation made by the factory inspection department against Grameen Telecom and has decided to investigate,” Mahbub Hossain told reporters.

The company’s board of directors allegedly embezzled Tk 2,977 crore by transferring it to other affiliated companies of Grameen Telecom, he said.

According to the report, there are allegations that the board members embezzled 5 per cent of the money allotted for employees, illegally deducting 6 per cent as advocate fees and other fees from the salary of workers, ultimately embezzling Tk 45.52 crore from welfare funds of workers and employees.

ACC secretary also said they took the decision of conducting the inquiry after analyzing the report sent by the Department of Inspection for Factories and Establishments in this regard.

Answering a query about whether Dr Muhammad Yunus, a Nobel laureate, will be interrogated over the allegation, Mahbub Hossain said, “The commission has just started the inquiry. Once the inquiry officer is appointed, you will know who is involved.”

The inquiry officer will collect information from the members of the board of directors and conduct inquiries as per rules, he also added.

Earlier on September 9, 2021, the Inspection for Factories and Establishments Department (IFED)  filed a case with the Third Labour Court of Dhaka against Grameen Telecom Chairman Dr Yunus and its three other top officials on charges of violating labour laws.

According to the case, on August 16, the same year, the IFED officials inspected the office of Grameen Telecom in the capital’s Mirpur area and found violations of labour laws.

Meanwhile, after a five-year long legal battle, Grameen Telecom’s Chairman Dr Yunus recently agreed to pay the dues of sacked workers and employees of the company in fear of the company’s possible liquidation and loss of around Tk 1,000 crore in yearly dividends from Grameen Phone.

Grameen Telecom and Grameen Phone (GP) are two separate companies, and the former entity owns 34.20 per cent share in GP. The Grameen Telecom received Tk 1,300 crore in dividends in 2019 alone.

But the company never paid 5 per cent of these dividends to the workers’ welfare fund, despite having a legal obligation to share these profits with their employees.

In 2017, the workers filed a total of 110 cases with labour court and High Court seeking their arrears against the Grameen Telecom officials including Dr Yunus.

After Dr Yunus recently agreed to a settlement in fear of his company’s liquidation, workers and employees finally withdrew all 110 cases.