Farzanah Chowdhury Makes 40 Foreign Trips in Four Years, Spends Tk 3 Lakh Monthly

Abdur Rahman Abir: In 2016, Farzanah Chowdhury received a monthly salary of Tk 9 lakh. In addition, she took an average of Tk 3 lakh per month from the company for foreign travel. She undertakes these foreign trips to deliver speeches and participate in meetings and seminars.

An investigation by Insurance News BD shows that in 2016 Farzanah Chowdhury travelled to six countries on 10 occasions. Of these, she went abroad seven times to attend meetings and seminars, and the remaining three times on official work. In 2016 she stayed abroad for 45 days and spent Tk 36 lakh 64 thousand 865. She took a daily pocket allowance of Tk 30,000. All these foreign travel expenses were met by the company.

Farzanah Chowdhury’s foreign travel: Activities of IDRA and ACC

A complaint regarding Farzanah Chowdhury’s foreign travel was filed with the Anti-Corruption Commission in 2018. The complaint was lodged in the name of an official of Green Delta Insurance. It alleged that she had travelled abroad without the approval of IDRA and had shown her personal travel as official travel, thereby spending Tk 3 crore 50 lakh.

The ACC sent a letter to the regulatory body IDRA for investigation of this complaint (Memo No. ACC/Admin & Logistics/19/2016 (Part-1)/10039(5) dated 22/3/18). In response, an investigation committee was formed with IDRA’s then Executive Director Khalil Ahmed as its head. In its report the investigation team observed that Farzanah Chowdhury had undertaken 40 foreign trips from 17 September 2014 to 2018. Of these, she had informed the authority on 35 occasions. The authority’s guidelines on foreign travel required only notification, not prior approval. Therefore, the allegation that she had travelled abroad without the authority’s approval was not properly established.

However, the investigation report provided no information on whether personal travel had been shown as official or how much money had been spent on foreign travel.

In a written statement to IDRA’s investigation team led by Khalil Ahmed, Farzanah Chowdhury stated that there was no scope to show personal travel as official. She said she had spent Tk 38 lakh 46 thousand 257 on foreign travel in 2016 and Tk 34 lakh 15 thousand 546 in 2017. She also stated that all information on foreign travel since 2014 had been submitted to the authority.

On 9 November 2020, IDRA formed another investigation committee. This five-member committee was headed by IDRA’s Executive Director (Law) S.M. Shakil Akhtar. The investigation report found no irregularity regarding excess expenditure on Farzanah Chowdhury’s foreign travel. It stated that she had taken daily allowances and airfares. According to the investigation team, these expenses were incurred in accordance with the company’s rules. However, the Insurance Act and the 2012 Regulations on the Appointment and Removal of Chief Executive Officers of Insurance Companies prescribe the salary, allowances and other benefits of the Chief Executive. There is no provision for taking or approving financial benefits beyond this under company rules.

Went to Malaysia for GD Assist work, but Green Delta paid the cost

On 7 November 2016, Farzanah Chowdhury went to Malaysia. The cost of this trip was borne by Green Delta Insurance. However, she went to Malaysia for the work of GD Assist, an associate concern of Green Delta Insurance Company Limited, to hold discussions with providers of health services for Bangladeshi expatriates in Malaysia. On this occasion she stayed in Malaysia for four days.

During these four days she spent a total of Tk 2 lakh 4 thousand 325. Of this, pocket expenses amounted to Tk 98 thousand 340, airfare Tk 39 thousand 687, and hotel rent Tk 66 thousand 298. Questions remain as to why Green Delta Insurance should bear the cost of a trip to Malaysia undertaken for the work of GD Assist. Normally, the cost of foreign travel for the work of an associate concern is borne by the associate concern itself.

Earlier that year, on 27 January, she went to Malaysia on official work and stayed for six days. During these six days she spent a total of Tk 2 lakh 58 thousand 871. Of this, pocket expenses amounted to Tk 1 lakh 45 thousand 620. Other expenses included airfare Tk 20 thousand 665, hotel bill Tk 76 thousand 936, guest entertainment Tk 11 thousand 650, and visa fee Tk 4 thousand. However, the nature of the official work for which she went to Malaysia is not mentioned in the notification letter to IDRA. Consequently, it is not clear whether she went to Malaysia for personal work or for company work.

Farzanah becomes President of Entrepreneurs’ Organization Bangladesh Chapter; Green Delta pays the foreign travel cost

Entrepreneurs’ Organization was established in 1987. It has 59 chapters worldwide and approximately 20,000 members globally. Its headquarters is in Alexandria, United States. The main work of the organisation is to enhance the skills of entrepreneurs.

The Bangladesh Chapter of this international organisation was inaugurated on 15 February 2016 at the five-star Westin Hotel. The chief guest at the inaugural programme was former State Minister for Power and Energy Nasrul Hamid. The first President of the Bangladesh Chapter was Hossain Khaled, Managing Director of Anwar Group.

Two days after the inauguration of the Bangladesh Chapter, on 17 February, Farzanah Chowdhury went to Delhi for one day to meet Bibhas Prasad, President of the Delhi Chapter of Entrepreneurs’ Organization. In the same year she became Membership Chair of the organisation.

Bibhas Prasad is the owner of Leisure Hotel and Himalaya Spirits. There is no information that Bibhas Prasad is involved in the insurance business. Consequently, what connection Farzanah Chowdhury’s meeting with him has with the insurance business or with the official work of Green Delta is not known.

Three months after the meeting with Bibhas in Delhi, Farzanah Chowdhury went to Bangkok on 12 May 2016 to attend the Global Leadership Conference organised by Entrepreneurs’ Organization. Approximately 1,300 entrepreneurs from various parts of the world and students from 50 countries participated in the three-day leadership conference in Bangkok. Farzanah Chowdhury, however, is neither an entrepreneur nor a student.

The main objective of the conference was discussion on leadership development, networking and business strategies. There is no information that any discussion on the insurance business or insurance-related topics was on the conference agenda. Consequently, no connection between this conference and the business development of Green Delta has been established.

Later, around February 2017, Farzanah Chowdhury became “President Elect” of the Bangladesh Chapter. According to the organisation’s rules, one must serve as “President Elect” for one year before assuming the position of President of any chapter. In 2018 Farzanah Chowdhury was elected President of the Entrepreneurs’ Organization Bangladesh Chapter.

Farzanah Chowdhury stayed in Bangkok for six days. The Global Leadership Conference organised by Entrepreneurs’ Organization lasted three days; she remained in Bangkok for the remaining three days.

Farzanah Chowdhury participated as a panel member in a session titled “Accelerating Financial Inclusion in LDCs: The Role of South-South and Triangular Cooperation” organised by the Government of Bangladesh and the UN Capital Development Fund (UNCDF) Asia. However, there is no information in the 2016 annual report of UNCDF of any such joint seminar with the Government of Bangladesh in Bangkok.

On the other hand, while Green Delta Insurance Company Limited’s annual financial report mentions participation in the Global Leadership Conference organised by Entrepreneurs’ Organization, there is no information that Farzanah Chowdhury attended the seminar titled “Accelerating Financial Inclusion in LDCs: The Role of South-South and Triangular Cooperation”.

Green Delta Insurance paid the travel costs of Farzanah Chowdhury’s trips to Delhi and Bangkok. There is no provision in the Insurance Act or the Regulations on the Appointment and Removal of Chief Executive Officers for a company’s Chief Executive to have the company bear the cost of foreign travel undertaken to become President of such an organisation or to attend its conferences.

For the one-day trip to Delhi she spent Tk 1 lakh 27 thousand 513. Of this, airfare amounted to Tk 77 thousand 883, pocket expenses Tk 48 thousand 480, and airport-to-hotel transport Tk 1 thousand 180.

For the six-day tour to Bangkok she spent a total of Tk 3 lakh 50 thousand 627. Of this, she showed pocket expenses of Tk 1 lakh 44 thousand 990 and accommodation and food expenses of Tk 70 thousand 189. In addition, airfare was Tk 50 thousand 911, local transport Tk 9 thousand 240, gifts to dignitaries Tk 65 thousand 592, and entertainment of these dignitaries Tk 9 thousand 715. Green Delta Insurance Company bore all the costs of her participation in this conference.

Speech in Delhi: Green Delta paid both the conference sponsorship and Farzanah’s travel cost

Talentnomics India was established in New Delhi in 2015. This non-profit organisation mainly works on personal skill development and research. Over the past 10 years Talentnomics India has organised more than 10 conferences on topics such as gender equity and AI. Its social media page has only 885 followers.

Farzanah Chowdhury went to Delhi on 13 March 2016 to deliver a speech at the conference titled “Empowering Women for Sustainable Development” organised by Talentnomics India. Green Delta Insurance was a sponsor of this conference. On this occasion she stayed in Delhi for four days and spent Tk 2 lakh 65 thousand 225. Of this, total daily pocket expenses amounted to Tk 97 thousand 560.

Of the remaining amount, airfare was Tk 1 lakh 5 thousand 489, gifts to dignitaries Tk 59 thousand 766, and taxi fare Tk 2 thousand 410. She incurred no accommodation or food expenses for these four days in Delhi; these were borne by the organising body Talentnomics India.

On 4 April she went to Mumbai for two days to meet GIC and other reinsurers. In two days she spent Tk 2 lakh 15 thousand 646. Of this, total daily pocket expenses amounted to Tk 48 thousand 720, accommodation and food for two days Tk 55 thousand 135, and airfare Tk 1 lakh 11 thousand 751.

11-day trip to the United States: Tk 9 lakh 21 thousand

From 22 to 26 June 2016 Farzanah Chowdhury went to the United States for a total of 11 days to participate in three events: the USA Select Investment Summit-2016, the UN Global Compact Leaders Summit-2016, and the Investment Bankers and Insurer Meeting.

Green Delta’s cost for Farzanah Chowdhury’s 11-day United States trip amounted to Tk 9 lakh 20 thousand 795.

While her participation in the UN Global Compact Leaders Summit-2016 could be confirmed, no information confirming that the USA Select Investment Summit-2016 or the Investment Bankers and Insurer Meeting took place, or that Farzanah Chowdhury participated in them, could be obtained.

The main organiser of the UN Global Compact Leaders Summit is the United Nations Global Compact. It is a special initiative of the United Nations that encourages business organisations worldwide to achieve the Sustainable Development Goals (SDGs).

The headquarters of the United Nations Global Compact is located in New York City, United States, with its main office at 685 Third Avenue in Manhattan.

Having joined this world’s largest corporate sustainability network since 2000, Green Delta Insurance has spent 0.2% of its net income on CSR activities.

At the 2016 summit held in New York, Farzanah Chowdhury, MD & CEO of Green Delta Insurance, was recognised as one of the world’s first 10 “Local SDG Pioneers”.

She received this honour primarily for her contribution to ensuring gender equality and economic security in Bangladesh through the specialised insurance product for women, “Nibedita”.

The conference was held on 22–23 June 2016 at the United Nations Headquarters in New York. More than 1,000 business and policy leaders from around the world participated, with the main objective of ensuring the role of the private sector in achieving the Sustainable Development Goals (SDGs).

Through this recognition, Green Delta Insurance gained international recognition as a “sustainable” business model and placed Bangladesh’s insurance sector on the global stage.

To attend the UN Global Compact Leaders Summit she spent Tk 3 lakh 15 thousand 831 on a five-day tour to New York. Of this, airfare amounted to Tk 1 lakh 5 thousand 242, accommodation and food Tk 88 thousand 781, and pocket expenses over five days Tk 1 lakh 21 thousand 808.

For the USA Select Investment Summit-2016 she spent a total of Tk 2 lakh 17 thousand 384 over four days in Washington DC. Of this, accommodation and food amounted to Tk 1 lakh 19 thousand 938 and pocket expenses over four days Tk 97 thousand 446. However, no information confirming that such a summit took place or that Farzanah Chowdhury participated in it could be obtained.

She stayed in New Jersey for two days for the Investment Bankers and Insurer Meeting and spent a total of Tk 48 thousand 723 during this period. She showed the entire amount as pocket expenses. On the 11-day tour, airfare on the Dhaka–Washington–New York–Dhaka route amounted to Tk 3 lakh 38 thousand 857. Of this airfare, Tk 1 lakh 5 thousand 242 was borne by the UN Global Compact.

Farzanah returns to the United States after two and a half months; Green Delta’s cost Tk 7.25 lakh

This high-level dialogue with top CEOs and heads of state is held during the session of the United Nations General Assembly. It emphasises private-sector financing for achieving the Sustainable Development Goals (SDGs).

The UN Private Sector Forum meeting was held on 19 September 2016 in New York City, United States. It was hosted by then UN Secretary-General Ban Ki-moon and organised by the UN Global Compact.

The main theme of the forum was “Business and the 2030 Agenda: Moving Forward on a Sustainable Future”. Approximately 350 CEOs, heads of state and senior UN leaders from around the world participated.

To attend the UN Private Sector Forum-2016 meeting, Farzanah Chowdhury stayed in the United States from 15 to 27 September 2016. Green Delta Insurance’s cost for her 13-day tour amounted to Tk 7 lakh 25 thousand 694.

Of this, her pocket expenses alone were Tk 1 lakh 23 thousand 450. Airfare was Tk 3 lakh 65 thousand 512. Accommodation and food cost Tk 2 lakh 8 thousand 540. Local transport cost Tk 13 thousand 497 and guest entertainment Tk 14 thousand 695.

Farzanah’s four-day tour to Dubai; cost Tk 3 lakh 82 thousand

Farzanah went to Dubai on 26 October 2016 to attend a UN Global Compact Summit. The cost of this four-day tour amounted to Tk 3 lakh 81 thousand 461. She took the entire amount from Green Delta Insurance Company.

Of her expenses, airfare amounted to Tk 2 lakh 7 thousand 672. In addition, pocket expenses were Tk 98 thousand 280, accommodation and food Tk 69 thousand 553, local transport Tk 4 thousand 752, and entertainment of personal guests Tk 1 thousand 204.

Farzanah’s cost for Sri Lanka tour: Tk 2 lakh 14 thousand

The 12th International Microinsurance Conference was held in Colombo, Sri Lanka, on 15–17 November 2016. It was organised by the Insurance Association of Sri Lanka (IASL) in collaboration with the Munich Re Foundation and the Microinsurance Network. Farzanah Chowdhury went to Sri Lanka on 15 November 2016 to participate in this conference.

On the fourth day of the conference a significant parallel session titled “Developing Index Insurance Markets in Asia” was held, organised by the IFC (International Finance Corporation) and their Global Index Insurance Facility (GIIF).

Farzanah Chowdhury, MD and CEO of Green Delta Insurance, participated in this session as a key speaker or panelist. She delivered a PowerPoint presentation on the potential of agricultural and crop insurance in Bangladesh, particularly the distribution channels of weather-index-based crop insurance and Green Delta’s experience.

This conference was highly significant for Green Delta Insurance, as it provided an opportunity to present their “Index Insurance” model at the international level. It was essentially a global platform for the development of insurance products for marginal farmers and the micro-segment.

For this three-day trip Farzanah’s total cost amounted to Tk 2 lakh 14 thousand 708. She took Tk 74 thousand 250 from the company as pocket expenses. In addition, accommodation and food cost Tk 64 thousand 713 and local transport Tk 6 thousand 752. The organising body of the Sri Lanka trip paid Tk 68 thousand 993 towards the airfare.