Aid operations continue without financial transparency in family-run MASTUL Foundation

Aid organisation MASTUL Foundation has allegedly been operating without financial transparency both at home and abroad while claiming to conduct humanitarian activities in the Gaza Strip of Palestine and war-affected Sudan — countries where Bangladeshi organisations require government approval to send funds.

Apart from raising public donations and Zakat, the organisation has also been running an interest-based microcredit programme and including several members of the same family in its executive committee, raising concerns about compliance with relevant regulations.

Under the Voluntary Social Welfare Agencies (Registration and Control) Ordinance, 1961, registered NGOs are required to submit annual financial and audit reports to the Department of Social Services (DSS).

However, officials from the department said MASTUL Foundation has not submitted such reports, leaving authorities unaware of how the organisation manages or transfers funds for international operations. Despite the absence of financial documentation and apparent rule violations, the organisation has not faced any penalties; instead, it has received official recognition and awards from government bodies.

Overseas aid without approval

Bangladesh Bank has so far not authorised any organisation to transfer funds to Gaza or Sudan through official banking channels. MASTUL Foundation, however, claims it has been carrying out humanitarian assistance in those regions.

According to open-source information and documents obtained by the Daily Sun through applications filed under the Right to Information Act, MASTUL Foundation was established in 2012 by Kazi Reaz Rahman and registered with the Dhaka District Social Services office in 2021. It later expanded its registration nationwide under the Department of Social Services.

Central bank officials said no approval had been granted to the foundation to send money abroad for humanitarian purposes.

In response to the Daily Sun’s RTI applications seeking information about approval of the organisation’s committee and financial reports, both the district office and the DSS confirmed that the foundation had not submitted any financial statements.

“We received your application, but we do not have their financial reports. We have written to the organisation seeking the documents,” said DSS Deputy Director (Registration) Md Kamal Hossain on 26 February.

On 1 March, DSS Director General Dr Mohammad Abu Yusuf said organisations are required to submit financial reports under existing rules.

“Our monitoring has not been adequate. Since the issue has been raised, we will look into it,” he said.

MASTUL Foundation Chief Operating Officer Syeda Farhana Yesmeen said their aid operations are carried out by team members travelling abroad individually.

“Our 15–17 members travel carrying up to $10,000 each, which is the permissible individual cash limit. From Egypt, we conduct humanitarian activities inside Gaza,” she said, adding that their Executive Director Reaz Rahman is currently in Egypt.

Farhana said the organisation has been working in Gaza since 2024 in collaboration with Al-Azhar University and local volunteers, and that funds are also sent through Bangladeshi students studying there.

She also claimed that the organisation sent aid to Turkiye following the earthquake.

When asked whether $10,000 is sufficient for extended stays abroad and for running aid programmes for 250–300 Gazan residents daily, along with medical supplies and other relief materials, Farhana said money is sent frequently through Bangladeshi students studying at Al-Azhar University.

She also claimed that the organisation had applied to the central bank and the Chief Adviser’s Office of the immediate past interim government seeking permission to send funds abroad.

The organisation previously stated in a Facebook post on 6 April 2025 that two of its volunteers were killed in Gaza, although independent verification of the claim remains unavailable.

On 17 April 2025, an online portal reported that two Palestinian volunteers affiliated with MASTUL Foundation were martyred while conducting humanitarian aid operations in the Gaza Strip. However, no independent evidence supporting the claim has been found.

Govt recognition despite questions

On 26 May 2025, the government recognised nine non-profit organisations, including MASTUL Foundation, as public welfare institutions through a gazette notification, allowing individual taxpayers to claim income-tax rebates on donations made to them.

The Department of Social Services also honoured the foundation on National Social Services Day 2026.

Allegations of family dominance

According to information from the Dhaka District Social Services Office, the seven-member executive committee of MASTUL Foundation for the 2020–23 term included Ferdous Wahid as chairman, Kazi Reaz Rahman as general secretary and Saiful Islam as treasurer, all reportedly from Parshuram in Feni district.

The committee also listed Farhat Lamisa Kabir as vice president, while Mahmuda Khanam, Mohsena Akther and Sahana Akther served as executive members.

However, when reporters attempted to contact the committee members using the phone numbers listed with the DSS, several discrepancies were found. When the number listed for executive member Sahana Akther was dialled, the caller identification application Truecaller showed it belonged to Ferdous Wahid. The number listed for vice president Farhat Lamisa Kabir appeared to belong to Kazi Raihan Rahman, while the number listed for treasurer Saiful Islam appeared to belong to Reaz Rahman.

When asked about the discrepancy, Raihan Rahman said he was unaware that his number had been listed for another committee member.

“Really, has this happened? I don’t know if my number has been used as the number of Farhat Lamisa Kabir,” he said.

According to documents submitted to DSS, the 2026–27 executive committee also consists of seven members. In the new committee, Reaz Rahman continues to serve as general secretary, while Ferdous Wahid, who hails from Chithlia village in Parshuram — the same locality as Reaz Rahman — is listed as chairman. Saiful Islam remains treasurer, although the phone number listed for him again appears to belong to Reaz Rahman.

The committee also includes Talat Mahmud Chowdhury, the husband of Kazi Farzana Rahman, the younger sister of Reaz Rahman. Another member, Umme Haney Salma, is reportedly a cousin of Reaz Rahman and the daughter of Kazi Mamunur Rahman.

Information on the organisation’s Facebook page also lists Kazi Mainur Rahman as an adviser to the foundation.

Lack of financial reporting on fundraising

In 2021, MASTUL Foundation posted on Facebook claiming it had helped more than 500 people become self-reliant and planned to support another 1,000 people, while also appealing for Zakat contributions.

The organisation has repeatedly sought public donations through Facebook, including Zakat, Sadaqah and other contributions during floods in Feni in 2024 and earlier disasters in Sunamganj, Sylhet and Netrokona.

It also announced plans to rehabilitate flood victims through house reconstruction, livestock distribution, tube wells, small businesses and livelihood support programmes.

However, DSS officials confirmed that the foundation did not submit records detailing how much money was collected, how funds were spent or how many beneficiaries received assistance.

The foundation’s website lists multiple donation categories — including Gaza aid, Sudan relief, orphan care, mosque construction, education, health support and emergency assistance — but no audited financial statements are publicly available.

MASTUL runs microcredit operation with 13% interest

Investigations have also found that a deposit and microcredit operation under the name “MASTUL Foundation” has been running in Parshuram of Feni, with branches reportedly operating across the district and in Dhaka, raising further questions about compliance with registration rules.

During a recent visit to Parshuram, a correspondent found the organisation’s office in a building beside Parshuram Police Station, where a signboard displayed the name MASTUL Foundation.

Speaking to the Daily Sun, Mohammad Habib, an employee involved in the credit and deposit operation, said the organisation has several branches in Feni district and provides loans to clients.

“We charge around 13 percent as a service charge,” he said.

The correspondent also saw signboards and client loan account books bearing the name MASTUL Foundation, along with a temporary certificate number: 2021001483.

However, Mainur Rahman claimed the microcredit programme is separate from the foundation’s charitable activities.

“We are running the microcredit programme with our own funds. It has no relation with MASTUL Foundation. It is approved by the Microcredit Regulatory Authority (MRA) as an economic development programme,” he said.

Mainur Rahman added that the organisation’s charitable work — including orphan care, a Hefz khana, an old-age home and humanitarian activities in Palestine — is conducted separately and funded through donations.

When asked about the microcredit operation, Raihan Rahman, who works as the foundation’s communications officer, said the organisation does not use MASTUL Foundation funds for the lending programme but did not clarify the source of the capital.

“I am just a staff member of the organisation,” he said.

Later, when contacted again by phone regarding the microcredit activities, he said he was not aware of the operation.

“I cannot tell you about the microcredit programme. I do not know about it,” he added.

Visit to the Kazi family in Parshuram

A correspondent also visited the Kazi family residence in Chithlia village of Parshuram and met Kazi Mamunur Rahman on 4 March.

Local residents said they have limited knowledge about MASTUL Foundation despite its founder being from the same locality.

Mamunur Rahman said he has two brothers — Kazi Obaidur Rahman, a former banker, and Kazi Mainur Rahman, who previously worked in the private sector.

He said Mainur Rahman left the village long ago and currently lives in Dhanmondi in Dhaka, where the family owns an apartment. They also reportedly own another flat in Uttara.

When asked about the source of his brother’s income, Mamunur Rahman said he was not aware of the details.

“I don’t know much about what they are doing. I only know that they collect donations and distribute relief in the country and abroad,” he said.

Regulatory concerns

Experts say questions remain about whether voluntary organisations can solicit Zakat and public donations without transparent financial disclosure and effective regulatory monitoring to ensure accountability.

The absence of audit reports and financial oversight has raised concerns about transparency, governance and compliance with existing NGO regulations.

Former additional secretary and civic rights advocate Firoz Mia told the Daily Sun that the government should not only grant registration to voluntary organisations but also closely monitor their activities and financial reporting.

“If they violate the law, the government should at least have the authority to revoke their registration,” he said.