Govt saves Tk 2,257cr by axing wasteful projects of ex-MPs
The government is set to save Tk 2,257 crore by cancelling projects originally allocated for former Members of Parliament to implement election promises under the "Village Infrastructure Development" initiative.
The project, which was allocated Tk 6,526.55 crore in 2020, has already spent Tk 4,269.18 crore before being halted by the Planning Commission.
Previously, MPs were given Tk 20 crore each to accelerate infrastructural development and economic activities in their constituencies. The funds were primarily used for projects like roads, bridges, culverts, and market infrastructure. However, due to widespread allegations of corruption and mismanagement, the government has decided to scrap the project before fully disbursing the remaining funds.
Allegations against MPs include the misuse of project funds for personal or familial gain, and neglecting the intended objectives.
The government has received numerous complaints against MPs regarding the misuse of funds in ongoing projects. Many MPs allegedly prioritised personal and familial development over the intended public objectives of these initiatives. As a result, the third phase of the MPs' project was cancelled, even though it was 65 per cent complete.
Sources indicate that former Rajshahi-1 MP Omar Faruque Chowdhury was involved in misappropriating resources allocated for rural infrastructure reform. Despite receiving funds for renovation work, no actual work was done, yet the former MP pocketed the money.
Similarly, Fazle Hossain Badsha, another former MP from Rajshahi, faces accusations of significant irregularities and corruption in the allocation of rural infrastructure maintenance projects. Funds were reportedly allocated to non-existent and bogus organizations, with some projects repeatedly assigned to the same entities. Additionally, activists from the Workers' Party allegedly received special allocations by bypassing the rules.
To secure these allocations, unregistered organizations reportedly had to pay MP Badsha's personal assistant. Over the past three fiscal years, Badsha approved 787 projects worth Tk 4.76 crore, with 183 directed towards religious institutions and 126 towards women's organisations. Officials from various departments involved also allegedly received special benefits.
According to the Implementation Monitoring and Evaluation Division (IMED), these issues are the primary reasons for cancelling the project. The IMED is now preparing a list of several other projects that may also be scrapped, with a final list expected soon.
IMED Secretary Abul Kashem Mohiuddin told Jago News that the project allocating Tk 20 crore to MPs is being cancelled. "There are no MPs in the country, so why should there be a project?" he questioned.
The secretary further explained that the project is not being cancelled solely to save money, though he noted that half of the funds could be saved.
According to the Local Government Engineering Department (LGED), the project, approved in July 2020, had a total budget of Tk 6,526.55 crore, all sourced from the government treasury. By July this year, Tk 4,269.18 crore had been spent, leaving Tk 2,257 crore unallocated. Originally, former MPs would have had until June 2026 to utilise the remaining funds. The project, which is 65 per cent complete, was expected to continue, with allocations provided to the current MP in the constituency.
LGED stated that MPs used these funds to develop roads, bridges, culverts, makeshift marketplaces, and other infrastructure in their areas. The money was disbursed in four instalments of Tk 5 crore each year. However, it has been alleged that MPs often withdrew funds for these projects while primarily involving their own associates in the implementation.
After the Awami League government came to power in 2009, each MP received an allocation of Tk 15 crore for infrastructure development in their constituencies, totalling an expenditure of Tk 4,992 crore from March 2010 to June 2016. When the Awami League was re-elected, MPs received an additional Tk 20 crore each, with Tk 6,076 crore allocated for the period from July 2015 to June 2021.
However, LGED Chief Engineer Ali Akhtar Hossain told Jago News that the ongoing project might not be cancelled since work is progressing across the country.
When asked about to whom the funds would be allocated as there is no MP now, he responded, "Perhaps the new project will be cancelled, but the ongoing project has already been tendered."
According to the Ministry of Planning, it is significant to save project funds regardless of the expenditure made so far. If a project shows no tangible results, it should be cancelled, even if it is near completion.
Planning adviser Professor Wahiduddin Mahmud recently noted that the decision to complete a project should not be based solely on the expenses already incurred. The more important consideration is how much more it will cost to finish the project. Completing a project just because some funds have been spent does not align with sound economic principles.
MOS/NMA
