A businessman who brought Tk 721 crore into Bangladesh under the guise of remittances and claimed a tax exemption is a leader of the Awami League, which ruled the country for 15 years before being ousted last year.

SM Faruqi Hasan claimed he brought the remittances from Chinese companies, including Norinco International Corporation and China Shipbuilding and Offshore International, in phases since the 2012-13 fiscal year.

Of the amount, Tk 500 crore was shown as having been brought from abroad in fiscal 2020-21 and 2021-22.

Hasan sought a tax exemption on the income but did not submit valid proof supporting his claim, tax officials said.

The field office, Tax Zone 5, reopened the case for audit in 2021 on the grounds that Hasan was residing in Bangladesh when he received the money.

However, without providing an explanation for the reopening, tax officials at the time settled the case by accepting just Tk 15,543 as tax, according to findings from the Income Tax Intelligence Unit of the National Board of Revenue (NBR).

"We are working on it," said a tax official, speaking on the condition of anonymity.

Hasan is the founding president of the Ontario unit of the Awami League.

On Monday, NBR Chairman Md Abdur Rahman Khan said at an event that a person brought Tk 730 crore in the guise of remittances, which is under investigation.

Tax officials believe the money was laundered abroad and later brought back as remittances to take advantage of the NBR's tax break.

The government provides a 2.5 percent incentive for remittances sent through formal channels.

Officials said the 67-year-old SM Faruqi Hasan is a director of various businesses, including Hotel Lake Castle, Protik Developers, Protik Ceramics Ltd., and Protik Food & Allied Ltd.

They added that due to his close ties with high-ranking officials of the previous Awami League government, Hasan exploited his influence to secure illegal tax benefits with the assistance of some tax officials.

Hasan could not be immediately reached for comment.