Keya Cosmetics at center of Tk 8,500cr export scandal
Graphics: Agamir Somoy
Keya Cosmetics Limited allegedly failed to deposit around Tk 8,500 crore in export earnings into Foreign Currency (FC) accounts, with records of the funds reportedly erased. Forced loans - created without customer consent - were then issued against those same transactions.
To uncover the mystery, Bangladesh Bank (BB), the Anti-Corruption Commission (ACC), the Financial Reporting Council (FRC), and the Bangladesh Securities and Exchange Commission (BSEC) have launched a joint investigation.
Financial experts said the incident has brought four critical pillars into question: export income management, banking accounts, foreign currency control, and the reliability of financial reports.
It is reported that over nearly two decades of transactions, although Tk 8,000 crore ($ 660 million) entered the country against Keya Group’s product exports, four banks did not deposit the funds into FC accounts.
The amounts involve Southeast Bank ($ 394.6 million), Pubali Bank ($ 201.9 million), National Bank ($ 58.5 million), and Standard Bank ($ 6,50,000). While the data exists on the BB dashboard, all four banks also issued Proceeds Realization Certificates (PRC) to the company.
A PRC is a letter provided by a bank certifying that foreign currency against exports has successfully entered the country and been processed.
Moreover, the forced loans issued in the name of Keya Cosmetics against those export transactions were gradually converted into term loans - long-term loans where the principal and interest must be repaid in installments.
The company claimed that due to the banks’ irregularities, they have been shown as loan defaulters for around Tk 2,700 crore, which has halted their import-export activities.
When contacted August 2025, Southeast Bank denied the allegations and said they are awaiting the BSEC audit report. Pubali Bank made no comment, National Bank said “no comments,” and Standard Bank rejected the claim, calling it “misinformation”.
Keya Group Chairman Abdul Khalek Pathan told Agamir Somoy, “My realized exports totaled $ 1,000 million. The bank showed the purchase of $ 400 million in documents (FDBP) and deducted it from the Nostro account in advance.
“My point is, even if $ 400 million is deducted, I should receive the remaining $ 600 million in my FC account. But the bank strangely debited another $ 400 million from that remaining $ 600 million.”
Abdul continued, “Due to this illegal double debiting, my import payments are stuck. Even after the full amount was realized, they are intentionally burdening me with forced loans to increase the debt. Similar incidents occurred with the other three banks.”
He added that while the FRC ordered an investigation into the double debiting, BB and the BSEC-listed audit firm PKF Aziz Halim Khair Choudhury are not acting accordingly, and banks are attempting to impose fake accounts on them.
Abdul noted that the BB’s “Guideline for Foreign Exchange Transaction-2009” was not followed, causing discrepancies between the records of BB, the NBR, and the four banks, which will ultimately negatively impact reserves.
ACC investigation
ACC is seeking answers to three primary questions: 1. Did the export earnings properly enter the country? 2. Why do forced loans persist when the BB dashboard shows the LC as realized? 3. Was there money laundering, banking fraud, or financial irregularity involved in this process?
It first summoned the Keya Cosmetics chairman for questioning on 4 December 2025, followed by a letter to Southeast Bank on 24 June requesting all documents. On 5 July, another letter was issued to the Foreign Exchange Operation Department of BB seeking an official opinion on why forced loan balances remain despite the realized status on the dashboard.
New questions in BB records
Following the FRC decision and the ACC letter, BB recently held multiple meetings with Southeast Bank and Keya Group.
When asked, BB Spokesperson Arif Hossain Khan told Agamir Somoy, “The dollars from Keya Cosmetics’ export earnings did not enter the country. This is a direct violation of the system. Therefore, whoever is at fault - be it the banks or the company - must face punishment under existing banking laws. Even after 20 years, the liability must be settled.”
He added that the investigation into the non-arrival of export earnings is ongoing, and the ACC and the Ministry of Finance have been informed.
FRC investigation
The FRC launched an investigation to find consistency among six types of information: export process, forced loans, Foreign Document Bills Purchase (FDBP), auditor statements, company receivables, and BB’s export realization.
On 26 August 2025, Keya Group and the four banks were summoned. Reviewing the documents, FRC found that while some earnings were shown as realized according to BB, discrepancies remain in the company’s financial statements, bank accounts, and audit reports.
FRC analysis highlighted three conflicting sets of records: the BB monitoring system, the banks’ records of forced loans and debt transactions, and the company’s financial reports.
It has decided that BB’s Financial Integrity and Customer Services Department and the Department of Foreign Exchange Inspection will collect specific data from the four banks for a final decision.
Moreover, the BSEC will consider the special audit report by the firm Aziz Halim.
FRC Chairman Md Sajjad Hossain told Agamir Somoy, “To find a fair solution to this incident, we have held meetings with the banks, BB, and Keya Group. All parties have presented their opinions. Documents have been sent to BB and the BSEC for necessary action after analysis.”
BSEC special audit
Golam Fazlul Kabir, representing the audit firm, told Agamir Somoy, “The investigation between Keya Cosmetics and the banks is ongoing, and significant progress has been made. Multiple meetings have already taken place, and the matter is under review.”
