Ctg port’s anomalies cost govt Tk 258 crore

GBNEWS24DESK//

The state coffers were robbed of Tk 258 crore for 26 counts of irregularities by the Chattogram Port Authority between fiscal 2017-18 and 2019-20, found the Comptroller and Auditor General (CAG).

The irregularities include violations of Public Procurement Rules 2008, Income Tax Ordinance 1984, National Board of Revenue’s order and statutory regulatory order, Chittagong Port Ordinance 1976 and Central Public Works codes and breach of contract terms.

For each of the irregularities, the CAG sought explanation from the CPA chairman and the shipping secretary but got no answer, said the report, which was presented at the parliament in June last year.

CPA Chairman Mohammad Shahjahan, however, refuted the allegation.

“We gave answers to each of the enquiries made by the CAG. It is the CAG’s duty to raise objection while our duty is to give explanation to those objections and we did that,” he told The Daily Star.

There was no financial irregularity on their end and everything was done following the rules, he said, while drawing attention to an irregularity mentioned in the CAG report over the procurement of a tug boat.

CPA signed an agreement with New Western Marine Ship Builders for the procurement of a high-power tug boat for Tk 37.75 crore, Tk 3 crore more than the shipping ministry’s estimated cost of Tk 34.72 crore, the CAG said.

The contractor was supposed to deliver the tug boat by June 2017, but as of May 2020, the tug boat remained undelivered, according to the report.

The shipping ministry asked the CPA to take punitive action against the supplier.

But instead of taking any action against the contractor like cancelling the contract or confiscating performance security or blacklisting it, the port authority continued to pay the contractor in violation of the Particular Condition of Contract.