A Dhaka court has issued a travel ban on Orion Group Chairman Obaidul Karim, his wife Arjuda Karim, son Salman Obaidul Karim, and daughter Zerin Karim amid an ongoing investigation into allegations of corruption and money laundering.
The order was passed on Monday (17 February), by Metropolitan Senior Special Judge Zakir Hossain Galib, following an application from the Anti-Corruption Commission (ACC).
Assistant Director of the ACC, Aminul Islam, confirmed the court directive, stating that the commission is probing various financial irregularities involving Orion Group.
According to the ACC’s petition, preliminary evidence has substantiated claims of illicit financial activities, and there are indications that the accused were attempting to leave the country, necessitating the travel ban.
In September last year, authorities froze the bank accounts of Obaidul Karim and his family following an order from the Bangladesh Financial Intelligence Unit (BFIU).
Prior to this, the National Board of Revenue’s Central Intelligence Cell (CIC) had launched an investigation into allegations of tax evasion and financial misappropriation against the family.
Obaidul Karim made his foray into the business world in 1993 by acquiring Kohinoor Chemical Industries.
In 1994, Orion Infusion Limited was listed on the stock market. The company announced substantial dividends and bonus shares following the 1996 stock market boom, significantly inflating its share price.
However, after the market crash, Orion ceased issuing dividends, prompting the Securities and Exchange Commission to file a case against the company—though the lawsuit later lapsed without resolution.
Despite an initial investigation by the ACC into stock market manipulation, no formal report was ever published.
Over the years, allegations against Obaidul Karim have escalated.
He is accused of fraudulently seizing control of the UAE-based Belhasa Engineering & Construction Company in 2003, siphoning off Tk600 crore from the firm, and subsequently defaulting on Tk166 crore in bank loans.
Legal proceedings were initiated by Belhasa, but the case became entangled in procedural delays.
For decades, Karim reportedly exploited political connections to evade accountability, securing lucrative government contracts through influential ministers, MPs, and bureaucrats.
Despite multiple court rulings and cases spanning over 50 years, he remained untouched.
However, following the fall of the Awami League government on 5 August, his position has become precarious, and he was allegedly seeking an opportunity to flee the country when the travel ban was imposed.
During the previous government’s tenure, Karim reportedly amassed significant wealth through electricity generation contracts, securing seven major projects over the past 15 years without open competition.
Initially sanctioned as short-term rental and quick rental power plants, these contracts were repeatedly extended, allowing Orion Group to reap enormous profits.
In several instances, the same power plants were sold multiple times to the government, with investors contributing only 25–30% of the total project cost while the remainder was covered by bank loans.
The government paid returns on equity investments, and despite fully compensating construction costs, ownership of the plants remained with private entities. This system allegedly facilitated systematic financial exploitation.
Karim’s business dealings also involved prominent figures from the former ruling party.
For example, in 2014, he partnered with then-minister Mirza Azam in Digital Power & Associates Ltd., granting Azam a 40% stake while retaining 60% himself. Similarly, Dutch-Bangla Power & Associates Ltd., established in 2011, saw former MP Alauddin Ahmed Nasim acquiring a 30% stake, while Karim controlled 70%.
Orion Power Sonargaon Ltd. allocated 4% shares to former Narayanganj MP Shamim Osman and 38.4% to Mirza Azam, with Karim holding the majority stake. Orion Power Rupsha Ltd. similarly granted Mirza Azam a 19.4% shareholding.
Accumulation of Wealth in Dubai Karim has reportedly amassed vast assets in Dubai using illicitly acquired funds. Exploiting loopholes, he allegedly defrauded Belhasa, embezzled billions of taka, and laundered money back into the UAE to purchase luxury hotels, apartments, and real estate in prime locations.
Interestingly, none of these assets were acquired using his Bangladeshi passport.
Official records in Dubai indicate that Karim registered a four-star hotel under an Albanian identity.
Moreover, corporate filings in Albania list him as the owner of Agri Products Europe, a firm registered in Tirana in 2013.
He also secured Cypriot citizenship through an investment scheme, funnelling EUR 2 lakh (approximately $250,000) into Cyprus’s land development fund and investing another EUR 2 million (approximately $2.5 million) in real estate.
State agencies, including the ACC, CID, NBR, and BFIU, are now intensifying their investigation into Karim’s extensive financial misdeeds, drawing on evidence compiled from previous media reports and legal proceedings.
