From a mid-level bank officer to one of the most powerful and controversial figures in Bangladesh’s financial sector, the rise of Chowdhury Nafeez Sarafat epitomises the state-backed corruption that flourished during the Awami League era.
Virtually unknown before 2009, Sarafat amassed a vast empire worth billions of taka in just 15 years through political connections, manipulation, and financial manoeuvring – becoming a symbol of large-scale financial plunder.
Sarafat began his career in 1999 at Standard Chartered Bank. While still employed there, he was unexpectedly appointed as an independent director of IFIC Bank. When questions arose about his ability to serve in both roles simultaneously, he resigned from Standard Chartered.
In 2008, Sarafat moved to ICB Islamic Bank, taking on the role of head of consumer banking. On his business card, he listed himself as the “MD, Consumer Banking, ICB Global Holdings.”
Earlier, Sarafat had obtained a mutual fund licence from the Bangladesh Securities and Exchange Commission (BSEC). Initially applying under his own name, he later formed a company, Bangladesh Race Asset Management, after the BSEC advised him to establish a corporate entity, as individual licences were not issued. Sarafat held a 25% stake in the company, with his partner Hasan Imam owning the rest. Several officials who were at BSEC during that period have since confirmed this information.
After the Awami League regained power in 2009, Sarafat rapidly expanded his influence through political and financial networks. He first forged ties with then home minister Mohiuddin Khan Alamgir, later establishing close relationships with former inspector general of police, Benazir Ahmed.
His proximity to Prime Minister Sheikh Hasina has been widely reported, with Sarafat often referring to her as “aunt.” He also called former finance minister AHM Mustafa Kamal his “uncle” and introduced Benazir Ahmed as his “cousin” to those from his hometown of Gopalganj.
In the banking and capital market circles, Sarafat was well-known for his connections with influential figures such as Salman F Rahman, the former adviser to the ousted prime minister and vice chairman of Beximco; EXIM Bank Chairman Nazrul Islam Mazumder; and former Bangladesh Bank governor Abdur Rouf Talukder.
With state backing, Sarafat built an empire spanning banking, capital markets, power, private universities, and media sectors. He reportedly accumulated thousands of crores of taka through these ventures.
After the fall of the Sheikh Hasina government, the Anti-Corruption Commission (ACC) formed a three-member team to investigate Sarafat’s wealth and business dealings.
Insiders from the capital market say that there was rarely a time when Sarafat’s demands were not met. His company, Race Asset Management, started with the EBL First Mutual Fund, and now manages 13 funds in total. While most of these had a maximum term of 10 years, their duration was repeatedly extended after their terms expired, a result of Sarafat’s relentless lobbying efforts.
At the time, BSEC Chairman M Khairul Hossain remarked, “Initially, I rejected the proposal. Later, the late Finance Minister AMA Muhith wrote a letter stating it should be approved. So, we had to approve it.”
In 2021, Sarafat became a shareholder-director of the National Tea Company, a publicly listed entity. As of 30 June, Race Asset Management’s funds were reported to hold assets worth Tk3,200 crore (purchase value), with a market value of Tk2,350 crore. Since then, the Bangladesh Financial Intelligence Unit (BFIU) has frozen transactions from the company’s bank accounts.
Sarafat also lobbied for the direct listing of Best Holdings on the stock market and pushed for the approval of Coppertech Industries’ IPO. When allegations of financial fraud surfaced regarding Coppertech’s audit report, the Financial Reporting Council (FRC) recommended punitive measures against the auditing firm, Ahmed & Akhtar.
During the previous government’s tenure, Sarafat earned a reputation as a powerful “economic hitman,” with his influence growing following the controversial 2018 general election. Despite criticism from foreign observers who questioned the fairness of the polls, Sarafat was reportedly instrumental in arranging those observers, further enhancing his political clout.
In May 2020, cartoonist Ahmed Kabir Kishore and writer Mushtaq Ahmed were arrested under the Digital Security Act for mocking Sarafat’s alleged takeovers of banks. Kishore was arrested on 2 May, followed by Mushtaq on 4 May. Both men were subjected to severe physical and mental abuse, and their bail petitions were rejected multiple times over a 10-month period. Mushtaq tragically died in prison on 25 February 2021, while Kishore was eventually released on bail.
After his release, Kishore told the media that he had been interrogated over a cartoon that depicted a bank chairman. Sources close to the investigation suggest that Sarafat was directly involved in the torture sessions of both men.
The death of Mushtaq and the torture of Kishore sparked widespread international outrage, with the United States, European Union, United Kingdom, Canada, France, and others condemning the actions. The UN High Commissioner for Human Rights and Human Rights Watch both called for an independent investigation into the abuse.
Following the fall of the Sheikh Hasina government, the ACC has launched a formal investigation into Sarafat’s alleged takeovers of banks and his role in the misappropriation of funds in the capital market.