A new report by Transparency International Bangladesh (TIB) claims that in the last 15 years, the Roads and Highways Division (RHD) has seen project pilferage of between Taka 29,230 and Taka 50,835 crore.
According to the report, during the fiscal years 2009–10 and 2023–24, between 23 and 40 percent of the entire value of road and bridge-related construction works was linked to corruption through the tripartite collaboration of politicians, contractors, and high-level officials.
At a press conference held at the TIB office in the capital, the research titled “Good Governance Check: Challenges in the Implementation of Roads and Highways’ Development Projects.” was unveiled.
The TIB put out sixteen proposals to address the problems with good governance in development projects carried out by the Department of Roads and Highways in light of the research findings.
The study shows that contractors, bureaucrats, and politicians have worked together to influence the government procurement system, development strategy framework, and project implementation procedures in the road and highway industry.
At several phases of project formulation and execution under the Roads and Highways Department, this has resulted in legal violations, irregularities, and corruption motivated by conflicts of interest and political malfeasance.
Serious flaws in every facet of sound governance were found.
This tripartite collaboration has led to the institutionalization of corruption in the execution of road and highway development projects. According to the study, corruption involving bribery, tender manipulation, work order sales, political extortion, and other illegal activities costs between 23 and 40 percent of the overall value of building projects linked to roads and bridges.
According to the report, 11–14% of construction work orders and contractor bills are obtained through bribery. Furthermore, between 10 and 20 percent of construction work involves corruption resulting from the tripartite collusion of politicians, contractors, and high-ranking officials. This includes renting tender licenses, selling work orders, making compromises, and, at most, 2 to 6 percent of local political extortion.
The analysis also demonstrates how, during the previous ten years, the top 15 contracting businesses have controlled the Roads and Highways Department’s procurement system through cooperation among themselves. Through the e-GP (Electronic Government Procurement) process alone, these companies were able to obtain work orders for the construction of roads and bridges valued over Taka 57,000 crore between the fiscal years 2013–14 and 2023–24. This amounts to roughly 72% of the total money given in construction work orders via the e-GP system during this time frame.
TIB Executive Director Dr. Iftekharuzzaman remarked during the news conference that dishonest contractors, bureaucrats, and politicians have allowed certain organizations to use development projects as a means of amassing wealth.
According to our research, the percentage of corruption in road and highway development projects varies from 23 to 40%, and the costs of these projects are two to nine times higher than those in South Asia and the surrounding nations. Breaking up this tripartite relationship and holding people accountable are crucial.Establishing a setting where legal infractions are efficiently handled is crucial, he said, especially with regard to the appropriate implementation of procurement policies.
Dr. Iftekharuzzaman stated that until “we tackle the systematic practice of awarding contracts to selected contractors through political and bureaucratic coordination, taking advantage of privileges and legal gaps,” corruption will not be tackled, regardless of how much discussion there is on the subject.
He emphasized the necessity of prosecuting everyone implicated in anomalies and wrongdoing in this industry and making sure they receive model punishment.
“If the tripartite tyranny of politics, bureaucracy, and business is not dismantled, we risk reverting to an authoritarian system that shields corruption,” the TIB chief stated, highlighting the creation and significance of the “conflict of interest” regulation. However, the cycle of anomalies and corruption may be broken by a change in the political and bureaucratic cultures as well as the revision of ingrained institutional norms.”
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 Director Muhammad Tauhidul Islam conducted a press conference that was attended by TIB Adviser-Executive Management Prof. Dr. Sumaiya Khair, TIB Director Muhammad Badiuzzaman, Senior Research Fellow Md. Julkarnayeen, and Research Associate Md. Mostafa Kamal.