Bangladesh Bank has decided to terminate its legal services agreement with US-based law firm Cozen O’Connor, which has represented the central bank in its lawsuit in the United States over the 2016 reserve heist.
However, Bangladesh-based Bangladesh Supreme Court & Legal Consultants (BSNK) and UK-based Keystone Law will continue to represent the central bank in the case.
The decision was approved at a Bangladesh Bank board meeting today (30 August) chaired by Governor Mostaqur Rahman. The board also approved payment of Cozen O’Connor’s outstanding bill for its legal services in the case.
“Cozen O’Connor was providing optional legal assistance in our reserve theft case. As their support is no longer necessary, we have terminated the agreement. However, our other firms will continue to handle the case,” a senior Bangladesh Financial Intelligence Unit (BFIU) official told The Business Standard.
The termination will not halt Bangladesh’s legal proceedings in the US as BSNK and Keystone Law will continue handling the case, according to relevant documents. Cozen O’Connor was still identified as a co-lead law firm as recently as April 2026.
Bangladesh seeks full recovery
In February 2016, hackers stole about $101 million from Bangladesh Bank’s account with the Federal Reserve Bank of New York. About $81 million was transferred to accounts in the Philippines, while another $20 million was sent to Sri Lanka. The Sri Lankan transfer was blocked after the hackers misspelt the name of the recipient.
Bangladesh subsequently recovered part of the stolen funds through various initiatives but launched legal action in the US to recover the bulk of the money.
The BFIU official said Bangladesh was confident about its prospects in the case, arguing that there was clear evidence that the money had been stolen.
He said the opposing group had previously sought to negotiate a settlement for half of the stolen funds, but Bangladesh insisted on recovering the full amount along with interest.
Meanwhile, the domestic investigation is also moving forward. In June 2026, the Criminal Investigation Department reportedly prepared a draft charge sheet against 64 individuals and entities and sent it to the Attorney General’s Office for legal opinion.
Thus, while Bangladesh is pursuing the criminal case at home, its legal battle to recover the stolen reserves continues in the US.
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