S. Alam Group: Growth Engine, Banking Powerhouse and High-Profile Flashpoint

S. Alam Group has evolved from a modest Chittagong-based trading business into one of Bangladesh’s most closely watched industrial conglomerates. Founded in 1985 by industrialist mohammad saiful alam, the group now spans more than 200 companies across finance, heavy industry, food and allied products, cement, steel, power and energy, shipping, real estate and media.

The group reports total equity of around 140 billion BDT (roughly 1.3 billion USD) and a workforce of more than 20,000 people across Bangladesh. It plays a visible role in the country’s everyday life, from supplying cooking oil and refined sugar to powering homes and factories through a new 1,320 MW coal-fired power plant in Banshkhali that entered commercial operation in 2023.

At the same time, the group’s rapid rise has brought intense scrutiny. Its deep involvement in Islamic banking, allegations of irregular lending, a landmark capital-flight case, a disputed takeover of a major television channel, and worker protests at its power plant have turned S. Alam Group into a focal point for debates about corporate governance, regulatory enforcement and economic power in Bangladesh.

This article explores the group’s core businesses, economic contributions, philanthropic footprint and the major controversies reshaping how regulators, investors and the public view one of Bangladesh’s most influential private-sector players.

From Local Trader to Multibillion-Taka Conglomerate

S. Alam Group traces its origins to 1985, when founder Mohammed Saiful Alam began building a business focused on trading and industrial products in Chittagong (now Chattogram), Bangladesh’s key port city. Over four decades, that foundation expanded into a diversified conglomerate with operations stretching across the country.

Today, the group is broadly organised into three main divisions:

• Finance– stakes in multiple Islamic banks and financial institutions, including Islami Bank Bangladesh Limited and Social Islami Bank Limited.
• Industrial operations and manufacturing– steel, cement, edible oil, sugar, bag manufacturing, and related infrastructure.
• Commercial services and trading– trading houses, logistics and cargo handling, transportation services, properties and media.

From the outset, S. Alam’s growth strategy has been straightforward but aggressive: identify strategic sectors central to Bangladesh’s economic development, acquire or build capacity at scale, and integrate supply chains to gain operational leverage. That has made the group a major supplier of core materials like steel and cement, as well as everyday staples such as vegetable oil and sugar.

Core Business Pillars of S. Alam Group

1. Finance and Islamic Banking

One of S. Alam Group’s most transformative moves has been its expansion into finance, particularly Islamic banking. This segment not only provides a steady earnings base but also positions the group at the heart of Bangladesh’s monetary flows.

Key involvements include:

• Islami Bank Bangladesh Limited (IBBL)– Bangladesh’s largest Islamic bank and one of the world’s leading Shariah-compliant banks by asset base.
• First Security Islami Bank– an Islamic commercial bank where the group’s chairman has also played a leadership role.
• Social Islami Bank Limited (SIBL)– in 2017, S. Alam Group-linked entities acquired about 50% of the bank’s shares through 19 subsidiaries.
• Other financial entities– stakes in Union Bank, Global Islami Bank, Aviva Finance (previously Reliance Finance), and Reliance Brokerage Services, among others.

The group’s banking footprint grew rapidly from 2013 onward, particularly at IBBL. Following international concerns about earlier governance at the bank, Bangladeshi authorities reshaped IBBL’s leadership in 2017, appointing new directors, bringing in a government observer and encouraging a shift away from political or ideological alignment.

Around this time, S. Alam-linked figures became increasingly influential in the bank’s board and management. Under the revamped governance structure, IBBL expanded into a key remittance channel. By 2020, it reportedly handled more than 30% of Bangladesh’s total remittance inflows, making it a critical conduit for foreign exchange and household income for millions of families.

That influence, however, also drew regulatory attention. In 2017, the acquisition of a large stake in Social Islami Bank through multiple subsidiaries was widely discussed, as the Banking Company Act 1991 generally restricts any single individual or company from holding more than 5% of a bank’s shares without central bank approval. Analysts and commentators have argued that the structure used by S. Alam Group highlighted gaps in how shareholding limits are enforced in practice.

2. Industrial Manufacturing: Steel, Cement and More

On the industrial side, S. Alam Group has built substantial capacity in steel and cement, two cornerstones of Bangladesh’s construction and infrastructure boom.

Representative subsidiaries include:

• Steel– S. Alam Steels Ltd., S. Alam Cold Rolled Steels Ltd. (including additional units), and Galco Steels (BD) Ltd.
• Cement– S. Alam Cement Ltd. and Portland Cements Ltd.
• Packaging and manufacturing– S. Alam Bag Manufacturing Mills Ltd. and Silver Food Industries Limited.

These businesses supply core materials for infrastructure, housing and industrial facilities across the country. By integrating upstream and downstream segments, the group is able to coordinate raw material sourcing, transport and distribution, which can reduce per-unit costs and support consistent supply for domestic projects.

3. Food and Allied Products: Feeding Daily Life

Another of S. Alam Group’s most recognisable contributions is in food and allied products, particularly edible oils and refined sugar. In Bangladesh, where food inflation and supply security are recurring concerns, large industrial processors exert significant influence on market stability.

S. Alam’s food-related subsidiaries include:

• S. Alam Soya Seed Extraction Plant Ltd.
• S. Alam Vegetable Oil Limited.
• S. Alam Super Edible Oil Limited.
• S. Alam Refined Sugar Industries Ltd. (including Unit 2).
• S. Alam Tank Terminal Ltd. (supporting storage and logistics).

Through these entities, the group imports raw materials, processes them, and distributes branded and bulk cooking oil and sugar nationwide. This integrated model allows S. Alam to respond quickly to changes in global commodity markets and domestic demand, albeit with the responsibility that comes with holding sizable market power in essential goods.

4. Power and Energy: The 1,320 MW Banshkhali Coal Plant

Power and energy is one of S. Alam Group’s highest-profile and most debated ventures. The flagship project is a large coal-fired power complex at Gondamara in Banshkhali, Chattogram, developed through SS Power 1 and SS Power 2 Ltd.

Key facts about the project include:

• Capacity– 1,320 MW of power generation from two 660 MW units.
• Partner– agreement signed with Chinese engineering firm SEPCO3 in 2013 for construction.
• Commercial operation– the plant began commercial operation in 2023.

From an energy-security perspective, the plant adds a sizable baseload capacity to the national grid, supporting industrial operations and expanding electricity access. For a country where power shortages have historically constrained growth, such projects are often seen as important for maintaining economic momentum.

However, the project has been controversial from the outset, with environmental groups and local residents raising concerns about air quality, land use, and long-term dependence on imported coal. Worker protests at the site – including a fatal clash in 2021, discussed later in this article – have also focused attention on labour rights and community engagement around large infrastructure investments.

5. Shipping, Logistics, Properties and Media

To support its industrial and trading activities, S. Alam Group has built up capabilities in shipping and logistics, real estate and media.

• Shipping and logistics– entities such as Bering Sea Lines, Evergreen Shipping Ltd., Sonali Cargo Logistics (Pvt.) Ltd., and Sonali Traders help move raw materials and finished goods, both domestically and internationally. The group has purchased multiple vessels from local shipyards, including a notable order of 20 ships from Western Marine Shipyard.
• Properties and hospitality– companies like S. Alam Properties Ltd., Ocean Resorts Ltd., Prasad Paradise Ltd., and Modern Properties Ltd. participate in residential, commercial and leisure developments, particularly in and around Chattogram.
• Media– ownership stakes in Ekushey Television (ETV) and the launch of Nexus Television in 2021 have placed the group within Bangladesh’s broadcast media landscape. As discussed later, control over ETV has become one of the most politically charged aspects of the group’s portfolio.
• Insurance and other services– in 2018, S. Alam Group acquired 45% of Padma Islami Life Insurance Company, further broadening its financial-services footprint.

Economic Role and National Footprint

Measured by breadth of sectors and turnover, S. Alam Group is part of a small club of Bangladeshi conglomerates that dominate critical parts of the economy. In 2022, it was among five local groups that each imported more than 1 billion USD worth of raw materials, helping fuel domestic production of steel, cement, energy and consumer goods.

The group’s economic footprint can be summarised along a few key dimensions:

• Employment– over 20,000 direct jobs across factories, offices, banks and service operations, plus many more indirectly through suppliers, agents and contractors.
• Industrial capacity– significant contributions to Bangladesh’s ability to produce construction materials, refine edible oils and sugar, and generate power.
• Financial intermediation– through its associated banks, the group is deeply involved in channeling deposits into loans and investments, as well as handling a large share of expatriate remittances.
• Regional development– with its headquarters in Chattogram and major plants in surrounding districts, S. Alam has helped anchor industrial development outside Dhaka, supporting port-linked value chains.

For policymakers and investors, this breadth is a double-edged sword. On one hand, conglomerates like S. Alam underpin industrialisation, job creation and export capacity. On the other, concentration of economic and financial power raises questions about systemic risk, market dominance and regulatory oversight.

Philanthropy and Social Investments

Alongside its commercial operations, S. Alam Group presents itself as an active supporter of education and healthcare initiatives in Bangladesh.

Education-Focused Contributions

The group has been involved in establishing and supporting various educational institutions, including universities, colleges and schools. Its philanthropic messaging highlights education as a lever for long-term national development and social mobility, particularly in and around Chattogram.

By funding facilities, scholarships and teaching infrastructure, S. Alam positions its philanthropy as a way to upskill the next generation of professionals who may one day work across Bangladesh’s manufacturing, services and financial sectors.

Support During the COVID-19 Pandemic

During the early stages of the COVID-19 crisis in 2020, the group provided medical equipment and supplies to hospitals under Chattogram City Corporation. This included items such as ICU ventilators, high-flow nasal cannulas and personal protective equipment for doctors, nurses and health assistants.

In a health system under severe strain, these contributions were part of broader private-sector efforts to strengthen frontline capacity. For S. Alam, the initiative reinforced its public narrative as a corporate entity willing to deploy resources quickly during national emergencies.

Banking, Regulation and Mounting Scrutiny

As S. Alam Group’s banking interests expanded, so did questions about how those interests were financed and governed. Several strands of scrutiny have converged over the past decade.

Large Loan Exposures and Liquidity Support

Bangladeshi media and policy analysts have pointed to very large loan exposures linked to S. Alam Group and its subsidiaries across multiple banks. Estimates cited in public discussions have run into hundreds of billions of taka. One report from New Age claimed that S. Alam-related entities had taken around 300 billion taka in loans from Islami Bank Bangladesh Limited, a figure the bank publicly denied. Other analysts have suggested even higher aggregate borrowing across different banks.

The scale of these exposures led the then Finance Minister to announce an investigation into the group’s loans, including suggestions that borrowing from one bank might have been used to finance share acquisitions in another. Central bank data and media reports also highlighted emergency liquidity support provided to S. Alam-linked banks, including a significant emergency funding line to Islami Bank in early 2023 and additional injections into several Islamic banks in late 2022.

For critics, these episodes illustrate how concentrated corporate-banking relationships can heighten systemic risk. For supporters, they underscore the reality that large conglomerates play a pivotal role in financing industrial projects and that, in times of stress, central banks often step in to stabilise key institutions regardless of ownership.

Shareholding Structures and the Banking Company Act

The 2017 acquisition of about 50% of Social Islami Bank Limited’s shares through 19 S. Alam-linked entities has become a textbook example in debates over how effectively Bangladesh enforces ownership caps in financial institutions.

Under the Banking Company Act 1991, an individual or company generally may not hold more than 5% of a bank’s shares without approval from Bangladesh Bank. By spreading ownership across numerous subsidiaries, S. Alam Group was able to achieve de facto control. While such structures may not be unique to S. Alam, the case has been widely cited by commentators calling for stricter beneficial-ownership disclosure, related-party lending safeguards and tighter fit-and-proper tests for bank directors.

Major Controversies and Allegations

Beyond technical regulatory debates, S. Alam Group faces a cluster of high-profile controversies that have materially shaped its reputation. These range from labour disputes and market-behaviour findings to major allegations of capital flight and media capture. What follows is a factual overview of the most significant issues reported by Bangladeshi and international outlets.

1. SS Power and the 815.78 Million USD Capital-Flight Allegation

One of the most serious allegations against a concern of S. Alam Group centres on SS Power Ltd., developer of the Banshkhali coal plant. An investigation published in The Daily Star in 2024 alleged that SS Power and related parties had laundered approximately 815.78 million USD (around 10,000 crore taka) out of Bangladesh between 2019 and 2023.

According to that reporting:

• The funds were allegedly transferred via two Letters of Credit (LCs) opened for importing capital machinery for the 1,320 MW power plant, including items such as boiler structures, generators and transformers.
• Despite approvals and payments being processed, Chattogram Customs reportedly found no records of those specific imports, indicating that the machinery in question never entered Bangladesh.
• Investigators found that 184 invoices had been uploaded to the Bangladesh Bank server via Rupali Bank, which managed the LCs. These invoices allegedly included future dates, mismatched or unrelated Import Permissions, and documents that appeared to be tied to exports rather than imports.
• Of these, 88 invoices were linked to 50 companies that, according to the investigation, had no connection to SS Power or its Chinese partner SEPCO.
• Rupali Bank ultimately confirmed that around 815.78 million USD had been transferred abroad under these arrangements, while SS Power’s chief financial officer denied wrongdoing.

The reported findings have raised serious questions about the effectiveness of Bangladesh’s financial-oversight mechanisms, from bank-level compliance to central bank vetting and customs verification. As of the latest public accounts referenced, regulators acknowledged examining the issue but had not yet completed visible, decisive enforcement actions.

For S. Alam Group, the case has become a central fault line in its relationship with regulators and the wider public, feeding into broader investigations and the later international dispute with the interim government.

2. Worker-Safety Protests and the Banshkhali Tragedy

The Banshkhali power plant has also been the site of intense worker unrest and tragedy. On 17 April 2021, a workers’ protest over wage payments and demands for breaks during prayer and iftar in Ramadan escalated into a confrontation with police. Security forces opened fire, and five workers, aged between 18 and 25, were killed. More than 20 others were injured.

The incident drew widespread condemnation from labour-rights advocates and civil-society groups, who argued that the clash highlighted deeper issues in how large infrastructure projects manage worker relations, safety and grievance mechanisms.

Subsequent developments included:

• The Bangladesh High Court ordering S. Alam Group to pay 500,000 taka to the families of each worker killed.
• A Digital Security Act case filed by the company against a local engineer who had commented on the incident, which in turn prompted a contempt-of-court notice against S. Alam Group and the police from the High Court.

For businesses and regulators alike, Banshkhali has become a cautionary tale of how quickly labour issues at mega-projects can escalate into national crises if worker engagement, communication and safety management are not robust, transparent and responsive.

3. Market Conduct in Edible Oil During Shortages

Given its central role in Bangladesh’s edible oil market, S. Alam Group’s behaviour during periods of supply stress is closely watched. In 2022, the Directorate of Consumers’ Rights Protection investigated unusual price spikes and supply shortages in soybean oil.

Inspectors reported that an S. Alam-owned mill had halted production or stopped selling bottled soybean oil during a period of market tightness. The move effectively reduced available supply and, according to the Directorate, contributed to higher retail prices. The episode amplified concerns that large players can, intentionally or not, influence markets for essential goods in ways that hurt low-income consumers.

From a policy perspective, the case has fed into ongoing conversations about competition policy, strategic reserves and the need for clear rules on production or sales restrictions in critical food commodities.

4. The Ekushey Television Takeover and Media Freedom Concerns

S. Alam Group’s entry into broadcast media via Ekushey Television (ETV) has been accompanied by serious allegations of political interference and corporate overreach.

Key milestones include:

• January 2015– ETV broadcast a live speech by Tarique Rahman, a senior leader of the opposition BNP, during a tense political period. Shortly afterward, ETV chairman Abdus Salam was arrested on pornography charges. The Committee to Protect Journalists characterised the charges as a pretext, suggesting the real motive was retaliation for airing the speech. Salam was later also charged with sedition.
• November 2015– S. Alam Group took control of Ekushey Television. Reports and testimonies later described the acquisition as a hostile takeover ordered by then Prime Minister Sheikh Hasina and facilitated by the Directorate General of Forces Intelligence. Awami League politician Abdus Sobhan Golap, a close associate of Hasina, was made ETV’s managing director.
• Aftermath– the takeover was widely criticised by media-freedom advocates as a blow to editorial independence, with ETV’s content and management allegedly brought into closer alignment with ruling-party interests.
• July Revolution and 2024–2025 developments– following the overthrow of Sheikh Hasina’s government in 2024, Abdus Salam returned to ETV premises, reclaimed control and terminated employees appointed under S. Alam Group’s tenure, reinstating earlier staff. Salam publicly alleged that DGFI officials had pressured him to sell his shares in exchange for release and overseas travel, and that after he refused, new shares were illegally issued to make S. Alam the majority shareholder.

These accounts, while still subject to legal and political contestation, have made ETV a powerful symbol in debates over media capture, the intersection of business and politics, and the safeguards needed to protect independent journalism in Bangladesh.

Investigations, Asset Freezes and the International Dispute

The accumulation of financial and governance concerns around S. Alam and other large conglomerates came to a head after the political upheavals of 2024.

Wide-Ranging Investigations into Business Groups

Following the resignation of Prime Minister Sheikh Hasina in August 2024 and the formation of an interim government led by Muhammad Yunus, authorities launched extensive investigations into alleged financial misdeeds by several of Bangladesh’s largest business houses. The list included S. Alam Group, Beximco Group, Nabil Group, Summit Group, Orion Group, Gemcon Group, NASSA Group, Bashundhara Group, Sikder Group and Aramit Group.

Within this push, S. Alam Group and its associated banks were singled out for particular attention:

• The High Court Division ordered probes into alleged loan irregularities at three S. Alam-linked banks: Social Islami Bank Limited, First Security Islami Bank and Islami Bank Bangladesh Limited.
• Bangladesh Bank and other authorities placed restrictions on certain banking activities, injected emergency liquidity into troubled Islamic banks, and scrutinised large loan portfolios and related-party exposures.

These steps signaled a new willingness by regulators and the judiciary to challenge entrenched corporate interests, at least in the short term.

Asset Freezes, Travel Bans and the BIT Dispute

A particularly consequential turn came with measures that, according to S. Alam Group and the Alam family, included freezing bank accounts, imposing travel bans and disrupting corporate operations.

By this time, Mohammed Saiful Alam and his family had acquired Singaporean citizenship, having reportedly renounced Bangladeshi nationality in 2020 and completed the Singaporean process in 2022. That status opened the door to invoking protections under the Bangladesh‑Singapore Bilateral Investment Treaty (BIT) signed in 2004.

On 18 December 2024, Alam sent a formal notice to Bangladesh’s interim government alleging that:

• The freezing of family accounts and travel restrictions were imposed without due process.
• Corporate measures including lending restrictions on S. Alam-owned banks, management overhauls and cancellation of business deals were applied arbitrarily and unlawfully.
• Authorities launched money-laundering investigations without proper notification or procedural safeguards.

Alam’s legal team, led by international law firm Quinn Emanuel Urquhart & Sullivan, argued that these actions had destroyed the value of his and his family’s investments and violated both Bangladeshi law and protections guaranteed under the BIT. The notice gave the government six months to resolve the dispute amicably, after which the family signaled its intention to commence international arbitration.

In parallel, S. Alam Group issued a notice of arbitration seeking damages for losses allegedly incurred due to asset freezes and related measures. For Bangladesh, the case carries high stakes: a major investor-state arbitration could shape how future governments manage domestic corporate investigations when key shareholders are foreign nationals protected by bilateral treaties.

Balancing Contributions and Concerns: What Comes Next?

S. Alam Group encapsulates many of the strengths and tensions in Bangladesh’s development story. On one hand, it is a major private-sector engine: building factories, financing commerce, importing raw materials, providing essential goods and employing tens of thousands. Its banks have helped channel remittances home, its industrial plants have boosted domestic capacity, and its philanthropy has supported education and healthcare infrastructure.

On the other hand, the group’s trajectory illustrates how fast-growing conglomerates can test the limits of regulatory frameworks and governance norms. Alleged irregular lending, the massive capital-flight claim linked to SS Power, the Banshkhali labour tragedy, market-behaviour findings in edible oil, and the disputed Ekushey Television takeover have all heightened concerns about concentration of economic and political power.

Looking ahead, several themes are likely to shape both the group’s future and broader policy reform in Bangladesh:

• Stronger financial regulation– tighter enforcement of ownership caps, related-party lending rules, and LC verification procedures could reduce systemic risk while creating a more level playing field for banks and borrowers.
• Greater transparency and disclosure– clearer reporting on ultimate beneficial owners, cross-holdings and large loan exposures would help rebuild trust among depositors, investors and regulators.
• Labour and community safeguards– robust worker-safety practices, grievance mechanisms and community engagement at power plants and factories can prevent tragedies like Banshkhali and help align industrial growth with social acceptance.
• Responsible market conduct in essential goods– as a major supplier of staple items like edible oil and sugar, S. Alam can play a stabilising role during supply shocks by maintaining production where feasible and working transparently with regulators.
• Media independence and governance– clear separation between political power, corporate ownership and editorial decision-making will be crucial if conglomerates continue to own significant media assets.
• Constructive dispute resolution– how the BIT-based dispute and domestic investigations are resolved will send a powerful signal to both local businesses and foreign investors about the predictability of Bangladesh’s investment climate.

If S. Alam Group can address these concerns proactively – by strengthening compliance, embracing transparency, and aligning its growth strategy with robust governance standards – it has the potential to remain a powerful contributor to Bangladesh’s industrial and financial development. If not, it risks becoming a case study in how unchecked corporate expansion can trigger reputational damage, regulatory backlash and costly international disputes.

For policymakers, investors and citizens, the unfolding story of S. Alam Group is therefore more than a company narrative. It is a live test of how Bangladesh manages the balance between ambitious private enterprise, fair competition, social responsibility and the rule of law in the decades ahead.