On February 12, 2024, dozens of men marched into an office building in Bangladesh. Later, there were protests. At the center of it all is a bitter legal drama engulfing this man: 84-year-old Muhammad Yunus. Known around the world as the “banker to the poor, Yunus is possibly the most famous person in Bangladesh. He popularized microfinance, won a Nobel Prize, and lifted millions out of poverty. Now, he could face life imprisonment. Technically, I’ve been convicted. I'm accused of money laundering. I’m accused of forgery, stealing money, and all those kinds of things. We never committed these crimes. The prime minister looks at it in a different way. Prime Minister Sheikh Hasina has ruled Bangladesh for decades. She was recently re-elected to a fourth straight term for a total of five, in a vote contested by the US, with much of the opposition in jail or facing lawsuits.

Her critics see Yunus’ case fitting into broader concerns about a slide toward authoritarianism in Bangladesh. His supporters say the charges against him are politically motivated. The case has erupted into a full-blown diplomatic crisis threatening the country’s reputation as a young, rising economy. So did Muhammed Yunus actually break the law? The narrative from his side is that he is being victimized by the government. I would request everyone to look into the facts first and see what is actually happening. Muhammad Yunus rose to fame giving tiny loans to the world’s poorest, especially women. In 1983, he started the Grameen Bank, using a Bangla word that translates to “village.” The aim was to provide low-interest-rate loans to start small businesses and offer a way out of poverty. I think credit should be treated as a human right. So you have to build new institutions, new rules, new procedures.

So that human rights can be established, Grameen grew in popularity, expanded to other developing countries, and lifted millions out of poverty. By the 1990s, its success caught the eyes of the world. Today, Grameen’s footprint is global, and its affiliated companies have diversified into telecommunications and food products. Grameen’s success and Yunus’ global fame haven't exactly endeared him to the prime minister. For over a decade, he’s been under investigation by Hasina’s government. And now, the stakes have never been higher. Everything is affected in my personal life. My wife is a dementia patient. She totally depends on me. In January 2024, Yunus was sentenced to six months in jail, convicted of violating labor laws. He denies the charges. But he still faces around 200 charges, including graft, money laundering, and embezzlement. Bangladesh authorities accused Yunus and others of embezzling millions of dollars.

They also alleged Yunus transferred funds from Grameen's telecom unit 
into his personal accounts. If convicted, he could spend 
the rest of his life in jail. If he’s scared, 
you wouldn’t necessarily know it. He is extremely, 
obsessively optimistic. The world is falling down, he could be going to jail, and he would be like, “Get me a table, 
I’ll do my work in jail.” So, it’s infectious. The prime minister has 
stood behind the charges, insisting there’s nothing political 
or personal about his prosecution. Two sides are believing 
in two different narratives. From the government’s side, we are saying that the law 
is taking its due course. But Mr. Yunus and his supporters are 
saying that the entire trial process is being influenced by the government. For years, Hasina has accused Yunus 
of running sham businesses, evading taxes, and taking advantage of the poor.

with his microfinance bank, Grameen. Sheikh Hasina accused you of treating 
the bank as your own personal property, and of “sucking blood 
from the poor” by overcharging. How did you react to that sort of remark? These are all baseless accusations because Grameen Bank’s interest rate 
has been the lowest in the country. Lowest among all 
the microcredit organizations  around the world. After a government review, Yunus was dismissed from the Grameen Bank in 2011  because he had stayed on past the legal retirement age of 60.  Grameen Bank is not the same 
Grameen Bank that I created. This was taken over 
by the government in 2011. Yunus and his supporters believe Hasina was behind the dismissal 
and other efforts to sideline him.  Everybody tries to find out what is the reason. Why is she against me? One is jealousy. She’s not famous and I’m famous.

that kind of thing. Another is political. She finds me a threat. Yunus briefly dabbled in politics, launching a political party in 2007 called “Citizens Power.” After 10 weeks, I said, “No.” I’m not going to create a party because I’m not meant for political activities. I feel very uncomfortable with politics. According to his supporters, the damage was done, and Hasina saw Yunus as a threat. She’s also gone after Yunus, saying he used his stature to scuttle World Bank funding for this bridge, Bangladesh’s largest. It’s an accusation he denies. Yunus says Hasina hasn’t stopped the harassment. On February 12, 2024, CCTV footage obtained from Yunus shows men representing effectively the government, marching into an office building housing Yunus's nonprofits. 35 people burst into our building, defying all our rules of entry and procedures.

jumped over the reception gates and so on. They’d occupy the building for days, taking over offices and locking out staff. They cursed at everybody, shouted at everybody, and our women employees throughout the building got very scared. Dozens of anti-Yunus protesters later came outside, some affiliated with Bangladesh’s ruling party, the Awami League. Grameen Bank says there was “no incident of forceful occupation.” More than 200 people, including celebrities and Nobel laureates, have urged Hasina to suspend all legal proceedings against Yunus. Vinod Khosla, a Silicon Valley-based venture capitalist who has supported Grameen projects, is one of them. Professor Yunus is being persecuted, and I think it's important that everybody who can have a voice speak up for him. I haven't met too many people with the kind of integrity, and the kind of very broad impact-oriented values he has. Kerry Kennedy

a human rights attorney and activist from the Kennedy political dynasty, has been a supporter for decades. This isn't just about Yunus. This is about saying the government can come after anyone. Members of the press, opposition, political figures, human rights defenders have all faced imprisonment, torture, death. Hasina is a towering political figure in Bangladesh. The daughter of the country’s first president who was assassinated in a coup. She was instrumental in Bangladesh’s dramatic economic rise. Poverty was cut significantly over the course of 12 years. She also improved labor conditions and strengthened women’s rights. But in recent years, critics say her government’s turned hostile to civil liberties, using the courts to jail thousands of political opponents fuelling a climate that activists say is transforming the multi-party democracy into an authoritarian state. Bangladesh's Prime Minister Sheikh Hasina has won a fourth consecutive term in office, but turnout was only around 40%, after a vote marred by violence.

and boycotted by the main opposition. This comes as the country is also facing a sharp drop in foreign direct investment. If a political system is not transparent, if it has vendettas and other agendas, it will reduce foreign direct 
investment very substantially. Across Bangladesh, 40 years of microfinance has tangibly improved the lives of millions of poor people.  Ali Hossain has felt the impact 
of Grameen Bank in his life. Today, Hossain works as a lawyer.  Grameen Bank has loaned nearly $40 billion, and inspired similar projects 
in over 100 countries. We made Grameen Bank what we call
a “social business”. Business to help people rather than 
make money for anybody. The right microcredit, the company makes profit, profit goes back to the borrowers. But to Yunus’ critics,  the $200 billion dollar microfinance industry overstates its role in alleviating poverty 
in Bangladesh and elsewhere.

One thing for sure is that Grameen Bank succeeded in terms of its own growth. It kept on growing. But with that, how many people, the recipients of the loans, the real people, actually grew? That, we don't know. Because we saw many other instances where people actually suffered. Back at home, the Yunus family keeps a bag packed with clothing and medicine in case the house is raided by authorities. They are insisting that I should leave the country. And my argument is, look, I live here. This is where it began. These are all my colleagues who work with me. I can leave. But what happens to my colleagues? And I said, “No, I'm not going to destroy everything that I’ve built.” And we will continue. And I don't see why I cannot do that.

The Controversial Case Against the 'Banker to the Poor'

Bloomberg Originals offers bold takes for curious minds on today’s biggest topics. Hosted by experts covering stories you haven’t seen and viewpoints you haven’t heard, you’ll discover cinematic, data-led shows that investigate the intersection of business and culture. Exploring every angle of climate change, technology, finance, sports and beyond, Bloomberg Originals is business as you’ve never seen it.
