Summit Group has strongly refuted allegations of tax evasion made by the National Board of Revenue (NBR), describing recent media reports on the matter as "completely baseless and irresponsible."
In a statement released on Tuesday, the conglomerate emphasized its adherence to Bangladeshi laws and commitment to transparency in its business operations. Summit Group also pointed out that neither the NBR nor the Central Intelligence Cell (CIC) has officially notified the company of any tax-related investigations or allegations.
The group pointed out that recent media reports, citing an unnamed official, claimed that the CIC had found discriminatory tax exemptions granted to Summit Group. Allegedly, other power generation companies were not afforded similar benefits.
Summit Corporation Limited—based in Bangladesh and controlled by Summit Power International Limited, which is registered in Singapore—has also been accused of failing to deduct tax at source while remitting dividends. Summit clarified that all its power plants and other infrastructure are located in Bangladesh and are owned and operated by Summit Corporation Limited.
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“The accounts of Summit Corporation and Summit Power International are audited by reputable international auditors. Moreover, Summit is paying taxes with guidance from renowned Bangladeshi legal consulting firms such as Moudud Ahmed & Associates and Barrister Rokanuddin & Associates,” the statement said.
Summit dismissed the allegations of tax evasion, asserting that tax exemptions are provided to the power and energy sectors of Bangladesh under the Rapid Increase in Supply of Power and Energy (Special Provisions) Act, 2010. So far, 104 projects have been included under this act, with only three being owned by Summit, the statement said.
“As a responsible organization, Summit Group has a proven track record in power and energy supply in Bangladesh. Summit Group has always operated in Bangladesh (Summit Corporation) and Singapore (Summit Power International), adhering to the laws of both countries,” the statement added.
Summit further expressed its commitment to contributing to the development and prosperity of Bangladesh, stressing that its operations in the country have always been in line with the law. The Group also expressed pride in maintaining the highest standards of integrity and corporate governance.
The statement claimed that Summit Group has attracted significant foreign direct investment into Bangladesh and has made substantial contributions to the development of the country's power and energy infrastructure.
“We urge the media and stakeholders to exercise more responsibility in providing important opinions, so that the law can take its course. Our responsibility will help maintain the confidence of international investors, which is essential for Bangladesh’s long-term development,” Summit said.