Green Delta Insurance PLC has reportedly incurred a loss of nearly Tk 100 crore after acquiring a 43.12% stake in Sunlife Insurance Company in 2023, according to documents reviewed in an investigation.

Sunlife had reported assets of Tk 461.01 crore at the time of the acquisition. However, a large portion of those assets was allegedly not readily realizable. The company had total liabilities of Tk 369.99 crore, including Tk 309.37 crore owed to policyholders.

After excluding assets considered difficult or impossible to recover, Sunlife’s realizable assets were estimated at Tk 101.82 crore, leaving a deficit of Tk 258.18 crore against its liabilities.

Green Delta purchased 15.42 million Sunlife shares from the insurer’s sponsors for Tk 77.10 crore, with each share valued at Tk 50. Its subsidiaries acquired another 35.66% stake, taking the combined ownership of Green Delta and its affiliates to 78.78%.

The reported assets included Tk 338.04 crore in outstanding and lapsed premiums. However, the investigation found that recovery of a substantial portion of these premiums was unlikely because the related policies had already lapsed.

Sunlife also reported Tk 13.55 crore for a revalued floor at BTA Tower, although its book value had fallen to zero after depreciation. Other questionable assets included Tk 6.60 crore in advance income tax and Tk 1 crore held with People’s Leasing.

The acquisition agreement reportedly required the current owners to assume liabilities arising from policies issued before the ownership transfer and settle outstanding claims. However, allegations have been raised that effective steps have not been taken to clear policyholders’ dues.

Separately, a review of Green Delta’s financial statements, special audit reports and other documents from 2007 to 2025 reportedly found allegations of accounting manipulation and fund irregularities involving nearly Tk 850 crore.

The allegations include Tk 368.69 crore being withdrawn through accounting adjustments showing higher equity, Tk 146.98 crore in asset revaluation, Tk 54 crore in dividends from revaluation reserves, Tk 225 crore recorded as advances and Tk 171 crore in excess expenditure.

The review also alleges Tk 263 crore in bank borrowing despite reported profits, along with understatement of equity by Tk 54 crore and cash flow by Tk 13.49 crore.