Corruption in RHD projects devours up to Tk 50,835cr in 15 years: TIB

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About Taka 29,230 to Taka 50,835 crore was

plundered from the projects of Roads and Highways Division (RHD) in the last

15 years, says a new study of Transparency International Bangladesh (TIB).

Through the tripartite collusion of politicians, contractors, and high-level

officials, 23 to 40 percent of the total value of road and bridge-related

construction works between the fiscal years 2009-10 and 2023-24 was

attributed to corruption, the study shows.

The research report titled “Good Governance Challenges in the Implementation

of Roads and Highways’ Development Projects.” study was revealed at a press

conference at TIB office in the capital.

In light of the research findings, the TIB proposed 16 recommendations to

address the challenges of good governance in development projects implemented

under the Roads and Highways Department.

The study reveals that the development policy framework, government

procurement system, and project implementation processes in the road and

highway sector have bee
n manipulated through the coordinated exertions of

politicians, bureaucrats, and contractors.

This has led to violations of laws, irregularities, and corruption driven by

conflicts of interest and political misconduct at various stages of project

formulation and execution under the Roads and Highways Department.

Serious deficiencies in all aspects of good governance were identified.

Corruption has become institutionalised in the implementation of road and

highway development projects due to this tripartite collusion. Between 23 and

40 percent of the total value of construction works related to roads and

bridges is lost to corruption involving bribes, tender manipulation, work

order sales, political extortion, and other forms of illicit dealings, the

study says.

The research indicates that bribery accounts for 11 to 14 percent in

obtaining construction work orders and contractors’ bills. Additionally,

corruption through the tripartite collusion of politicians, contractors, and

high-level officia
ls ranges from 10 to 20 percent in construction work,

including tender license rentals, sale of work orders, compromises, and

local-level political extortion, which has been observed at rates of 2 to 6

percent.

The study also shows that through collusion among contractors, the top 15

contracting firms have dominated procurement system of the Roads and Highways

Department over the past decade. From fiscal 2013-14 to fiscal 2023-24, these

firms secured road and bridge construction work orders worth approximately

Taka 57,000 crore through the e-GP (Electronic Government Procurement)

process alone. This represents about 72 percent of the total value of

construction work orders awarded through the e-GP system during this period.

Speaking at the press conference, TIB Executive Director Dr. Iftekharuzzaman

said development projects have turned into a way for certain groups to amass

cash as a result of the cooperation of dishonest contractors, bureaucrats,

and politicians.

“Our research indicates that
corruption in road and highway development

projects ranges from 23 to 40 percent, with project costs being 2 to 9 times

higher than those in South Asia and neighboring countries. It is essential to

dismantle this tripartite nexus and ensure accountability for those involved.

It is essential to establish an environment in which legal violations are

effectively managed, particularly through the proper execution of procurement

policies,” he said.

Dr. Iftekharuzzaman said no matter how extensively corruption is debated, it

will remain unaddressed unless “we tackle the systematic practice of awarding

contracts to selected contractors through political and bureaucratic

coordination, taking advantage of privileges and legal gaps”.

He stressed the need for bringing all those involved in irregularities and

corruption in this sector to justice and ensuring exemplary punishment for

them.

Emphasising on the formulation and importance of the ‘conflict of interest’

law, the TIB chief said, “If the tripartite
tyranny of politics, bureaucracy,

and business is not dismantled, we risk reverting to an authoritarian system

that shields corruption. However, a shift in political and bureaucratic

culture, coupled with the reform of long-standing institutional norms, has

the potential to break the cycle of anomalies and corruption.”

In light of the research findings, TIB’s 16-point recommendations include

formulating a ‘Conflict of Interest Law’ to prevent personal gain, nepotism,

and irregularities in all government activities; ensuring that this law is

reflected in the rules and regulations governing the implementation of road

and highway development projects; enforcing relevant laws, regulations, and

guidelines at every stage of project implementation; streamlining the

decision-making process for road and highway development; identifying and

holding accountable politicians, officials, and contractors involved in

irregularities and corruption at various stages of project execution;

formulating development p
roject proposals based on priority to ensure

effective evaluation and proper management while incorporating the opinions

of relevant stakeholders; reforming the guidelines for project formulation,

processing, approval, and amendments in accordance with applicable laws and

regulations; completing all project-related procurement activities through

the e-GP process; and mandating feasibility studies conducted by qualified,

experienced professionals in the formulation of all development projects.

TIB Adviser- Executive Management Prof. Dr. Sumaiya Khair, TIB Director

Muhammand Badiuzzaman, Senior Research Fellow Md. Julkarnayeen and Research

Associate Md. Mostafa Kamal attended the press conference moderated by TIB

Director Mohammad Tauhidul Islam.

Source: Bangladesh Sangbad Sangstha