Bangladesh Clears Hong Kong Legal Assistance Deal to Pursue Laundered Assets
The government has approved the final draft of a mutual legal assistance agreement with Hong Kong on criminal matters, aimed at recovering money and assets laundered out of Bangladesh. The agreement, however, awaits signature.
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In a Nutshell
- The Cabinet approved the final draft at a November 2 meeting chaired by Prime Minister Tarique Rahman, following a Home Ministry proposal, that once signed, the agreement would enable Bangladesh and Hong Kong to exchange information.
- Hong Kong sent the initial draft on May 14, 2025. Following discussions and legal vetting, its Department of Justice agreed to the final text on October 17, 2026, according to a ministry press release cited by The Business Standard.
- Bangladesh has similar bilateral agreements with India, signed in 2010, and South Africa, signed in 2019. The proposed Hong Kong agreement would be its third.
- Bangladesh also cooperates with the United Kingdom on asset recovery, but it is not an identical bilateral treaty.
- Hong Kong is among 10 priority destinations identified by Bangladesh for overseas asset recovery.
- Finance Minister Amir Khosru Mahmud Chowdhury told parliament in April that mutual legal assistance requests had been sent to 23 countries, with another 21 being prepared. These requests seek information and help enforcing asset-freezing and seizure orders.
Context
The proposed agreement comes as Bangladesh pursues overseas assets through investigations, court orders and cooperation with foreign authorities. Eleven joint investigation teams, led by the Anti-Corruption Commission and involving other investigative and revenue agencies, are working on priority cases.
Hong Kong is already the subject of an active investigation. On September 9, a Dhaka court ordered the seizure of assets and freezing of bank accounts there belonging to Nassa Group Chairman Nazrul Islam Mazumder and his two children, following an ACC application. The commission alleges that funds fraudulently obtained from Bangladeshi banks were laundered to several jurisdictions. However, the amount allegedly transferred specifically to Hong Kong has not been disclosed, and the allegations have not been established as findings of guilt in the report.
Why It Matters
For Bangladesh, the clearest documented assistance is from the UK. British High Commissioner Sarah Cooke said more than £250 million in assets linked to Bangladeshi individuals had been frozen since June 2025. However, that is not money returned to Bangladesh. She also stressed that returning them requires evidence and due legal process. The reported figure therefore shows assistance, not a completed financial recovery for Bangladesh.
The proposed Hong Kong agreement may add another channel for obtaining evidence and pursuing assets abroad. But the agreements with India and South Africa, signed in 2010 and 2019, do not specify how much money, if any, Bangladesh has recovered under those agreements, which also makes it important to examine outcomes rather than just count partnerships.
What We Think
The Hong Kong agreement is a useful legal step, but Bangladesh’s experience emphasises the need for clearer reporting on the outcomes of international cooperation, including assistance received, cases advanced, and assets returned.
Therefore, it is important to prioritise transparency. A country-by-country account distinguishing requests sent, responses received, assets frozen and money repatriated may help explain both progress and delays.