Five landowners have been accused of taking control of Mirpur City Center in the name of an Awami League office and continuing to exercise control over the property even after the fall of the Awami League government on August 5, 2024. Meanwhile, AG Properties Developments Limited, the developer that financed the construction of the 17-storey commercial building through bank loans, has been seeking administrative intervention to regain control of the property. The company says it is facing a severe financial crisis due to approximately Tk 1.5 billion in loans taken from two banks against the project.
Located on Mirpur-1's main commercial stretch in the capital, Mirpur City Center stands on 30 kathas of land and comprises 17 floors, including three basement levels. AG Properties entered into a development agreement with four landowners, including Haider Ali Khan Bahalul. After obtaining approval from the Rajdhani Unnayan Kartripakkha (RAJUK), the capital's development authority, the company began construction in 2013.
However, after construction began, AG Properties discovered that the landowners had also entered into an agreement with another company, Australian Asset Development. The developer alleges that this information was concealed when its own agreement was signed. An investigation has also revealed information about agreements involving three separate parties. Multiple lawsuits over the land, along with court injunctions, delayed construction and caused substantial financial losses for the developer.
Despite the COVID-19 pandemic, AG Properties continued construction in 2020 and 2021. To advance and complete the project, the company borrowed approximately Tk 1.5 billion from two banks. By 2021, when nearly 95 per cent of the construction had been completed, the dispute over control of the building intensified.
According to AG Properties, five landowners, including Haider Ali Khan Bahalul and Shawkat Ali Khan Bipul, entered the building with an armed group affiliated with the Awami League. The company alleges that its officers, employees and engineers were assaulted and forced out of the premises. The group subsequently took control of the building and established an Awami League office there, according to the developer.
Kamrul Hasan, executive engineer at AG Properties, has described the alleged takeover and the difficulties the company has faced since then.
An investigation has identified Haider Ali Khan's father-in-law, Monir Chowdhury, as a possible source of his political influence. Monir Chowdhury is a former senior vice-president of the Awami League's Madaripur district unit, which is currently banned from political activities, and a former chairman of the Madaripur District Council.
Monir Chowdhury is a paternal cousin of Nur-e-Alam Liton Chowdhury, a former chief whip of the Awami League. Allegations suggest that Nur-e-Alam Liton Chowdhury used political influence to facilitate the cancellation of AG Properties' power of attorney. Nurul Amin, the then sub-registrar at the Mirpur Sub-Registry Office, is also alleged to have assisted in the process.
Habibul Hasan, deputy general manager of AG Properties, alleges that the company was asked to pay Tk 50 million in extortion money in addition to facing the cancellation of its power of attorney. He further claims that the company was forced to pay Tk 12.4 million under pressure. Despite the cancellation of the power of attorney, the landowners have allegedly continued to disregard the existing development agreement and retain control of the building.
AG Properties has yet to regain control of the property, even more than two years after the fall of the Awami League government on August 5, 2024. The company alleges that the five landowners continue to exert influence over the building.
During a site visit, attempts were reportedly observed to collect rent coercively from tenants occupying shops and commercial spaces allocated to the developer. The alleged actions have also created difficulties for tenants and businesses operating in the building.
Abdur Razzaq, senior vice-president of the Real Estate and Housing Association of Bangladesh (REHAB), said agreements must be respected and enforced according to their terms. He noted that even an influential person cannot evict another party in violation of a contractual agreement. He also said REHAB would look into the Mirpur City Center dispute.
Senior Supreme Court lawyer SM Shahjahan described such actions as unlawful. He said landownership alone does not give a landowner the right to disregard an agreement and remove a developer at will. Developers, he added, conduct business on the basis of contractual arrangements.
Attempts to contact those accused of taking control of the building, demanding extortion money, exerting political influence and facilitating the cancellation of the power of attorney were unsuccessful. Their comments could not be obtained.
Meanwhile, AG Properties says it is facing mounting financial pressure and uncertainty over its investment because it has been unable to regain control of the building while remaining liable for its bank loans. Buyers who purchased shops or commercial spaces in the property are also concerned about the security of their investments.
Affected buyers and company officials have called on the Prime Minister and the relevant administrative authorities to intervene to help restore control of the building, protect investments and resolve the ongoing dispute.