Allegations of irregularities in RAB armored car purchases

Fast Motion Battalion (RAB) of Bangladesh, a specialised anti-crime and anti-terrorism unit, is presently embroiled in a big controversy concerning the procurement of armored automobiles. Allegations have surfaced pointing to widespread irregularities, together with violations of tender guidelines and substantial overpricing, casting a shadow over the integrity of the buying course of. The allegations middle across the buy of Armored Personnel Carriers (APCs) beneath a venture initiated in 2018, aimed toward growing RAB’s operational capability.

In 2018, the Nationwide Financial Council (ECNEC) authorised a venture titled “Improve in Fight Functionality of RAB Forces,” with a price range of BDT 10,339,840,000 (roughly US$92.4 million). The venture included the acquisition of 1,375 several types of automobiles, amongst which 26 have been to be APCs. 4 of those APCs have already been delivered, and an software has been made to buy an extra 10 APCs. Nevertheless, the acquisition course of has raised critical issues.

The venture initially priced every APC at BDT 20 million (roughly US$179,000). Nevertheless, the automobiles have been bought at BDT 60 million BDT (roughly US$537,000) every, reflecting a 300 p.c markup. This discrepancy means that a minimum of 300 p.c more cash was spent than the market charge, resulting in an over-expenditure of BDT 240 million (roughly US$2.05 million) for the 4 APCs procured up to now. If the remaining 22 APCs are bought at this inflated value, the whole loss to the state may attain practically BDT 1.00 billion.

The pricing committee for the venture was constituted after the venture’s approval to make sure that the automobiles have been bought at truthful market costs. In accordance with the minutes from a gathering held on November 30, 2022, the venture encompassed 1,375 automobiles, together with six watercrafts. The acquisition value for 735 of those automobiles was proposed as per charges set by the Ministry of Finance, whereas the costs for the remaining 624 automobiles have been primarily based on market charges. The APCs have been priced at BDT 60 million every.

RAB initially proposed the procurement of 26 APCs however determined to start out with 4. On December 13, 2022, Syed Mahbub Khan, Further Secretary of the Cupboard Division, confirmed the discharge of funds for the APCs, noting that Intel Age and Company would provide them. The APCs have been delivered to RAB headquarters from Chittagong port on Might 17, 2023, and have been inaugurated the next day.

Investigations revealed that the APCs have been procured via direct procurement (DPM) relatively than the mandated Worldwide Aggressive Tendering (ICT). The availability to present work orders to authorities businesses or skilled entities in direct procurement was additionally not adopted. This procedural violation is a big level of rivalry, because the venture’s DPP explicitly instructed the acquisition of APCs via ICT, making DPM procurement irregular.

The speedy approval and procurement processes have raised suspicions. Usually, changing an ICT course of to DPM requires approvals from a number of ministries, together with the Ministry of Planning, Ministry of Finance, Ministry of Public Administration, and Ministry of House Affairs. This course of normally takes 5 to 6 months. Nevertheless, within the case of the APCs, all approvals have been obtained inside only one month.

This expedited course of was allegedly facilitated by Khaledur Rahman Shakeel, who launched himself because the niece and son-in-law of an influential minister. Shakeel’s involvement has come beneath scrutiny as he was current on the APCs’ inauguration, and his firm, Intel Age and Company, acquired the contract. Shakeel reportedly leveraged his connections with senior officers in numerous ministries to expedite the approval course of.

Intel Age and Company, established in 2022, had a minimal on-line presence and lacked verifiable credentials. Regardless of this, the corporate was awarded the contract to produce the APCs. A direct search and on-line investigation didn’t yield any credible details about Intel Age and Company. Nevertheless, a Fb web page for a equally named Intel Edge, created in March 2022, claimed the corporate was registered as a commissioning agent and provider of defense-related merchandise to the Authorities of Bangladesh. Although the Fb web page supplied a web site handle (www.inteledgeltd.com), it truly is inactive.

Intel Age reportedly bought the APCs from Dubai-based Strait Group, which provides army tools globally. A young submitted by Strait Group to RAB headquarters, now within the media’s arms, confirmed APC costs starting from US$120,000 to US$250,000. On the prevailing trade charge of BDT 110 per, this interprets to BDT 13.2 million to BDT 27.5 million per APC. Regardless of this, RAB paid roughly BDT 60 million (roughly US$537,000) per car.

The overpricing and procedural violations have drawn sharp criticism. Transparency Worldwide Bangladesh (TIB) has referred to as for accountability, emphasizing the necessity for transparency in RAB’s operations. TIB’s Govt Director, Dr. Iftekharuzzaman, highlighted that spending public cash on overpriced tools is a big irregularity and waste of state sources. He burdened that these concerned in these irregularities must be dropped at justice to revive public belief in RAB.

Speaking to media, former RAB DGM Khurshid Hossain defended the procurement, citing fluctuations in greenback charges and extra customizations as causes for the upper costs. Nevertheless, these justifications haven’t alleviated issues in regards to the procedural violations and monetary misconduct.

The allegations of irregularities in RAB’s armored car procurement underscore systemic points in authorities procurement processes. The involvement of newly established and unverified firms, speedy approval processes facilitated by influential connections, and substantial overpricing spotlight the necessity for thorough investigations and reforms. Making certain transparency and accountability is essential to sustaining public belief in regulation enforcement businesses and safeguarding state sources. The RAB armored car procurement controversy serves as a crucial reminder of the significance of adherence to procurement guidelines and the need of vigilance in opposition to corruption.