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Phytosanitary Capacity boost Project

Packaging house officials embezzle Tk 16 crore


Published : 15 Jul 2024 10:34 PM

Officials of the Central Packaging House in collusion with the contractors have allegedly embezzled about Tk 16 crore allocated by the government for procuring machinery and spare parts under a project.  

The project titled Phytosanitary Capacity Strengthening Project was undertaken in 2021 at an estimated cost of Tk 158 crore. It has been scheduled to be completed by June in 2025.

Allegation was there that funds were disbursed before the completion of the project work. Though piling work of the six-storey building started, the contracting firm, Multibiz International, has already withdrawn Tk 4.75 crore out of Tk 12 crore allocated for civil work.

Additionally, Tk 11 crore was approved for purchasing equipment from abroad, but no equipment has been procured yet. Moreover, equipment worth Tk 30 crore was imported for the laboratory during the fiscal year 2018-19 but remains unboxed. Sources indicate that many of these items are now unusable.

The equipment was purchased under the ‘Bangladesh Phytosanitary Capacity Strengthening Project’ during FY 2018-19. Out of 56 items, 71 pieces of equipment have become unusable. An initiative has been taken to repair them which may cost nearly Tk 3 crore. However, funds for these repairs will be allocated from ‘Upgrading Existing Plant Quarantine Laboratory at Central Packing House to international standards.’

Officials at the Central Packaging House, speaking on condition of anonymity, said that equipment has been lying idle for five to six years, resulting in decreased functionality and significant damage. Software of many pieces of the equipment has expired.

To address the issue of unusable equipment, funds from the new project will be allocated to make them operational again, they added. 

A new tender for purchasing 18 items of machinery under this project was floated and the contract was awarded to Kernel International. Although the equipment has yet to arrive, Tk 11 crore has already been approved on paper, with Tk 7 crore disbursed to the contractor. The remaining funds will be provided upon funds availability, but documents show that goods have been received.

Project Director S.M. Khalid Saifullah and Deputy Director Ananta Sarkar have signed on the receipt of the equipment. However, there is no trace of these items in the laboratory.

Despite frequent efforts over phone, both of them could not be reached for their comments in this regard.  

When this correspondent tried to reach the proprietor of Kernel International Shamsuddoha Russell, his phone was also found switched off. 

Amidst widespread allegations of irregularities and corruption, the Anti-Corruption Commission (ACC) launched an investigation into the Central Packaging House project on Monday. 

The United Nations Food and Agriculture Organization (FAO) and the Ministry of Agriculture’s Planning Wing have also revealed similar findings in their investigations.

Previously, the High Court directed the Agriculture Secretary to keep watch on Project Director Jagat Chand Malakar. A single bench of Justice Nazrul Islam Talukder issued the order on April 6 last year following a writ petition filed by the officials concerned.