The Office of the Comptroller and Auditor General (CAG) uncovered fresh evidence of major financial irregularities in the housing project of Rooppur Nuclear Power Plant.
According to the audit report, equipment officially estimated to cost around Tk 27 crore was purchased for approximately Tk 213 crore 88 lakh ($17.2 million), raising allegations of widespread irregularities.
The irregularities were identified in the procurement of electrical substation equipment and generators for 11 buildings in “Green City” residential area of the Rooppur Nuclear Power Plant project in Ishwardi, Pabna.
According to the audit report, the government’s estimated cost of the equipment was approximately Tk 26 crore 99lakh. However, contractors were actually paid Tk 213 crore 88 lakh. As a result, the excess expenditure amounted to approximately Tk 186 crore 89 lakh.
Allegations of Inflated Prices in Tender Process
The report states that although the total tender price was kept close to the official estimate, the prices of several key pieces of equipment were inflated several times over.
At the same time, the prices of some other items were shown as lower to keep the overall tender amount consistent. As a result, while the entire process appeared normal on the surface, allegations of significant price manipulation emerged.
Nearly Tk 18 Crore in Excess Expenditure for a Single Building.
A major discrepancy was identified in the case of Building No. 7. The price of high-voltage control equipment was set at Tk 4 crore 50 lakh, whereas the government’s approved price was only Tk 10 lakh 32 thousand.
Similarly, the price of a distribution transformer was set at Tk 4 crore 40 lakha, while the government-approved price was Tk 40 lakh 40 thousand. Low-voltage equipment and power panels were also priced several times higher than the official estimates.
Altogether, bills totaling approximately Tk 19 crore 60lakh were submitted for five types of equipment for a single building, whereas the government’s estimated value was only Tk 1 crore 84 lakh. In other words, the excess expenditure for a single building amounted to approximately Tk 17 crore 76 lakh.
Excess Payments to Three Contracting Firms
According to the documents, three contracting firms were awarded the project and received substantial payments-
- Majid Sons Construction Limited: Approximately Tk 92 crore for five buildings.
- Sajin Enterprise: Approximately Tk 82 crore 49 lakh for four buildings.
- MSCL-GKBPL Joint Venture: Approximately Tk 39 crore 39 lakh for two buildings.
According to the CAG’s calculations, the total excess expenditure involving the three firms was nearly Tk 187 crore compared to the government’s approved rates.
Allegations of Failure to Follow Rules
The report further states that although government procurement rules require explanations for abnormally high prices, this requirement was not followed. It also found deficiencies in the formation of the evaluation committee, the tender verification process, and the preparation of cost estimates.
The CAG has recommended taking administrative action against the officials concerned and recovering the excess payments to the state treasury.
The report also mentions previous investigations and arrests by the Anti-Corruption Commission (ACC). Transparency International Bangladesh (TIB) described the matter as “mega corruption” and called for exemplary punishment.
According to analysts, such allegations involving the Rooppur Nuclear Power Plant- one of the country’s largest infrastructure projects- have once again raised questions about project management and the transparency of the government’s procurement process.
Bring back Sheikh Hasina for trial
The government is continuing its efforts to bring back former prime minister Sheikh Hasina to face legal proceedings in Bangladesh following her conviction in a crimes against humanity case linked to the July uprising, State Minister for Foreign Affairs Shama Obaed Islam said on Wednesday.
Speaking to reporters at the Ministry of Foreign Affairs, Shama said,”There is no fresh update. The matter is under process. A convicted person who has committed crimes and is staying in another country should be brought back to Bangladesh to face justice. That is what the people of Bangladesh expect, and we are working towards that goal.”
On the issue of recovering laundered money, Shama said the government is working with the relevant countries to repatriate funds allegedly siphoned abroad over the past 17 years.
She said Bangladesh has already sought cooperation from 10 countries to recover the funds. The process, she noted, requires bilateral cooperation and compliance with legal procedures in the countries concerned.
Calling the recovery of illicit assets a time-consuming process, she said ongoing negotiations and agreements with the relevant countries have helped advance the government’s efforts to bring the money back to Bangladesh.
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