Nagad Navigates Turmoil: Former CEO Cites Illegal Orders, Operational Instability
Shyamal B. Das, former acting CEO of mobile financial service provider Nagad, has stated that he was compelled to carry out several unlawful orders under pressure from former controlling individuals, despite the absence of verifiable digital signatures. This, he acknowledged, contributed significantly to internal instability within the organization. His disclosure came in a formal letter addressed to the Director General of the Bangladesh Post Office.
The issue surfaced during a joint meeting between Nagad Limited and the Bangladesh Post Office after Abu Taleb, Director at the Postal Directorate, was assigned to oversee Nagad's overall management. The meeting, held on May 27, focused on the company's internal instability and its competitive positioning in the market. Given that Nagad serves an estimated 90 million users in Bangladesh with daily financial transactions, participants emphasized the urgent need for shared responsibility and decisive action to stabilize operations.
According to sources at the Ministry of Posts and Telecommunications, Shyamal B. Das submitted a formal request during the meeting to transfer all operational responsibilities, including his own, to the Postal Directorate. His request also included the full handover of Nagad’s ownership structure, management protocols, and shareholding status. The proposal was accepted during the meeting.
Meeting insiders revealed that Md. Muyiuzzaman, Nagad’s Deputy CEO, immediately welcomed the newly appointed CEO Abu Taleb and pledged full cooperation. Under the new leadership, the management pledged compliance with government directives aimed at curbing digital fraud, gambling, money laundering, and other financial crimes facilitated through mobile financial services. They also committed to deactivating accounts used in cyber gambling, canceling accounts lacking proper KYC information, preventing multiple accounts under a single NID, eliminating fake distributors, and cooperating with authorities to eliminate all forms of fraud.
In addition, the new management reassured employees that no one would be terminated and that all salaries and Eid bonuses would be paid before the upcoming holiday.
In his letter to the Director General, Shyamal Das detailed the irregular changes in his position over the past few months. He noted that the authorities who initially appointed him had since become untraceable, particularly after August 5. Despite this, he was compelled to act on email instructions lacking digital authentication. These unauthorized directives, he claimed, led to turmoil within Nagad.
Das further explained that managing the organization became increasingly challenging due to frequent changes in key leadership positions, including three CEOs and multiple Deputy CEOs appointed by Bangladesh Bank, along with staff transfers and terminations.
He emphasized that under the current unstable conditions and without a formal contract or verifiable appointment documentation, he was neither mentally prepared to lead the organization nor willing to jeopardize financial services for millions of users.
“In light of the national interest and to safeguard the country’s mobile financial services sector, urgent intervention in Nagad’s affairs is necessary,” he wrote.
Senior officials from both Nagad and the Postal Directorate attended the meeting.
It is worth noting that following the fall of the Awami League government on August 5, 2024, the interim government appointed an administrator to oversee Nagad. Subsequent audits revealed large-scale financial irregularities, including online gambling, money laundering, illicit fund transfers in favor of former owners, and the creation of unauthorized electronic money. A total of BDT 2,356 crore remains unaccounted for. Irregularities also included unlawful customer onboarding, monopolization of government subsidy disbursements, and unauthorized benefits. During the time of these infractions, several influential individuals and sitting MPs from the former ruling party were reportedly involved in managing Nagad’s operations.
Nagad (operated by Third Wave Technologies Ltd.) functions as a licensed vendor agency under the Bangladesh Post Office.
