Rangunia Upazila of Chattogram is rich in natural beauty, with the Karnaphuli and Ichamati rivers and the Shilok and Jhankar canals flowing through it. Around these waterways, at least 10 Balumahals or sand quarries have developed over the years. Every year, large volumes of sand are extracted from these sites. At one point, these sand quarries were under the tight grip of former local MP Hasan Mahmud’s family. Using their political influence, they managed to lease the quarries year after year at nominal prices—then extracted far more sand than the permits allowed.
Even though the former ruling Awami League’s influential minister Hasan Mahmud has gone into hiding following the fall of the government on August 5, the sand business remains under the control of his family.
According to local administration sources, Rangunia borders the hilly districts of Rangamati and Bandarban. Sand from those hills naturally flows down through the rivers and canals, making it especially valuable. Because this region’s sand is used in construction across the country, it sells at a premium.
Locals allege that Hasan Mahmud’s brother Ershad Mahmud was the de facto owner of these sand quarries. Using various front companies, he and other family members acquired sand at low cost and built up significant wealth.
In March, the Chattogram district administration invited tenders for seven sand quarries in Rangunia. The tender was floated to extract 1.83 million cubic feet of sand for one year. The government set the expected rate at about BDT 4.87 per cubic foot. But for nearly 15 years, Hasan Mahmud’s family had been paying the government just BDT 0.30 per cubic foot. They also extracted several times more than the permitted amount, causing serious environmental damage to the Karnaphuli River and nearby canals. Unregulated sand mining led to erosion, forcing the Bangladesh Water Development Board (BWDB) to launch a nearly BDT 4 billion project to fix the damage.
According to officials from the BWDB, uncontrolled sand extraction made rivers like the Karnaphuli highly erosion-prone. In 2018, to protect communities in Rangunia and Boalkhali in Chattogram and Kaptai in Rangamati, the government launched a project titled “River Bank Protection Work along the both Bank of Karnafuli & Ichamati River and Shilok Khal at Different Locations in Rangunia and Boalkhali Upazila of Chittagong District and Kaptai Upazila of Rangamati Hill District.” Under the BDT 3.98 billion project, work is underway to remove sediment from rivers and canals through dredging and to install concrete blocks to protect the riverbanks. According to engineers from the Water Development Board, uncontrolled sand extraction has caused severe erosion along the banks. As a result, homes and farmland in several unions of Rangunia and areas along the Karnaphuli River have been badly affected.
Despite the fall of the Awami League government, illegal sand mining in Rangunia continues—now reportedly with support from some local BNP leaders. Although in hiding, Hasan Mahmud’s family has kept the business running by signing contracts with new companies. His brother Ershad Mahmud used to run the operation through his brother-in-law, Mohammad Faisal Chowdhury. After the regime change, Faisal transferred business rights to another company via formal agreement. On September 1 of 2024, citing health issues, Faisal handed over operations to the legal advisor and business partner of Faisal Brothers.
Locals claim that even while in hiding, Ershad Mahmud and his brother-in-law are still pulling the strings of the sand trade in Rangunia.
Attempts to reach Ershad Mahmud and Mohammad Faisal Chowdhury for comment by phone were unsuccessful.
A local administration official, speaking on condition of anonymity, told Bonik Barta, “The main source of wealth for Hasan Mahmud’s family was the sand trade. Even after going into hiding following August 5, they’ve kept the business going under different names and companies. They’ve cleverly partnered with other firms to maintain control over this highly lucrative trade.”
Locals have accused the authorities of inaction, even though unregulated sand lifting has put the Godown and Bogabili bridges at risk. Moreover, while the lease conditions allow a fixed amount of sand to be extracted over the course of the entire Bangla year—from the 1st of Baishakh to the 30th of Chaitra—lessee companies in Rangunia have reportedly been extracting that full amount every single month.
Records show that on April 30 of 2024, after the BWDB’s dredging project used a portion of the extracted sand for public works, the remaining 13.05 million cubic feet was handed over to Messrs. Faisal Brothers and Noimiya Enterprise at just BDT 0.30 per cubic foot. Both companies are owned by Hasan Mahmud’s brother-in-law, Muhammad Faisal Chowdhury. No public tender was floated for this transaction. Instead, the “Rangunia Dredging and Dredged Material Management Committee” approved the deal unanimously in a meeting.
This has been the pattern for over 15 years. Hasan Mahmud’s family and relatives have earned huge profits by selling sand from rivers and canals across Rangunia and nearby areas. Locals say the family is still active in the sand business, now leveraging local BNP leaders for protection and support.
According to the Chattogram District Administration, the government’s estimated price per cubic foot of sand has now been set at BDT 3.20 for Ichamati-2, BDT 2.42 for Ichamati-3, BDT 2.05 for Ichamati-4, BDT 5.34 for Shilak Canal, BDT 3.23 for Jhankar Canal, BDT 47.37 for Narishcha, and BDT 9.96 for Fakiraghat. With tenders open for the upcoming Bengali year 1432, officials expect prices to rise even further for what they call some of the country’s best-quality sand quarries.
When asked for comments, Kamrul Hasan, who took over as Rangunia’s Upazila Nirbahi Officer (UNO) on April 9, declined to speak. His predecessor, Mahmudul Hasan, who was recently transferred to Barisal, told Bonik Barta, “There were all kinds of issues around Rangunia’s sand quarries—political interference, ongoing tensions. Violations of tender conditions had become almost normal. After I took office in August 2024, I managed to sell off about BDT 27.5 million worth of unmanaged sand through open tenders.” He believes that proper leasing and oversight, along with tighter monitoring, could not only boost government revenue but also help control illegal sand extraction.