Allegations Surface Over Undervalued Sale of NASA Group Land Assets, Raising Red Flags for Banking and Corporate Governance
Serious allegations have emerged surrounding an alleged plan to dispose of high-value land owned by NASA Group at nearly half of its estimated market price, sparking concerns about corruption, abuse of power, and potential risks to Bangladesh’s corporate and banking sectors.
According to sources familiar with the matter, several key land assets belonging to NASA Group — currently valued at around Tk 800 crore based on prevailing market rates — are reportedly being prepared for sale for approximately Tk 400 crore. The proposed transaction has alarmed stakeholders, as insiders allege that a network of vested interests is attempting to push through the deal for personal gain rather than for the financial recovery of the company or protection of lenders.
Sources claim that certain senior officials within NASA Group, along with individuals said to be connected to the interim administration, are influencing the process to ensure the land is transferred to preferred buyers at a significantly reduced price. The alleged objective, critics say, is to generate commissions and undisclosed benefits by exploiting the large gap between the market value and the proposed sale price.
Real estate and financial experts warn that such undervaluation creates fertile ground for corruption.
“When a Tk 800-crore asset is sold for Tk 400 crore, the missing value does not vanish. It becomes an opportunity for kickbacks, money laundering, and manipulation,” said a senior financial analyst, speaking on condition of anonymity.
Concerns are further heightened by claims that the sale process is being rushed without independent valuation, transparency, or competitive bidding. Instead of using open tenders or auctions, insiders allegedly aim to finalize transactions privately with selected buyers, effectively excluding the wider market and preventing fair price discovery.
NASA Group reportedly has large outstanding loans with multiple banks, with these lands pledged as collateral. Banking experts say selling the collateral below fair market value directly weakens the recovery position of lenders.
“If the collateral base is diluted intentionally, banks lose their protection. That ultimately hurts depositors and undermines confidence in the financial system,” said a former Bangladesh Bank official. “Collateral exists to ensure recovery. If it is stripped cheaply, the entire credit discipline collapses.”
If the banks are unable to recover sufficient funds from asset sales, NASA Group’s repayment capacity could deteriorate further. Instead of stabilising the company, critics argue, undervalued disposal may deepen its financial distress and expose banks to higher non-performing loan risks.
Beyond NASA Group, analysts say the implications are systemic. Questionable asset sales weaken Bangladesh’s corporate governance framework and signal poor regulatory enforcement.
“When investors see assets being transferred through insider arrangements, they lose faith in market fairness,” said a Dhaka-based economist. “It discourages both domestic and foreign investment because the perception grows that influence matters more than rules.”
Undervalued transactions can also distort the real estate market by setting artificial benchmarks, while simultaneously encouraging asset stripping from financially stressed companies. Observers note that politically connected groups often target distressed firms, extracting value rather than rebuilding them.
The controversy has renewed debate over who should control major asset disposals when companies are indebted to banks. Governance specialists argue that insiders should not be allowed to manage sales of pledged assets because of inherent conflicts of interest.
“Once banks are exposed, they must take the lead role,” said a corporate governance expert. “Certified independent valuers should assess the property, open bidding must be ensured, and regulatory approval should be mandatory. Otherwise, asset stripping becomes inevitable.”
There are also calls for regulatory and anti-corruption agencies to examine whether public officials or politically connected individuals are exerting influence over the process. Stakeholders say any involvement of administrative power in private asset sales could amount to abuse of authority.
Legal analysts stress that transparency is essential to protect depositors, investors, and the broader economy.
“If these allegations are true, the country could lose hundreds of crores in real value,” said a legal expert. “Accountability is not optional. Every step must be documented, independently valued, and publicly defensible.”
Civil society groups and financial observers are demanding that any proposed sale be halted until proper investigation, valuation, and regulatory review are completed. They argue that without intervention, the transaction could set a dangerous precedent for how distressed corporate assets are handled in Bangladesh.
For now, questions remain over the valuation method, the identity of the buyers, and the role of company insiders and external influencers. As scrutiny grows, regulators and banks face mounting pressure to ensure that corporate recovery does not turn into a channel for private enrichment at the cost of the finan
