About Taka 29,230 to Taka 50,835 crore wasplundered from the projects of Roads and Highways Division (RHD) in the last15 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 been 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 officials 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, itwill 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 project 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.
