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Old November 21, 2006, 04:45 AM
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Here is the results of Daily Star's anit-BD propaganda (according to some BC members):

Boat Spare Parts
Navy cancels controversial work orders
Staff Correspondent

Bangladesh Navy yesterday cancelled procurement of Tk 1.5 crore spare parts for its six high-speed boats for an exorbitant price of Tk 6.19 crore, sources said.

The Navy yesterday issued the cancellation of orders to two suppliers stating that the spares would not be necessary at this time.


The cancellation of orders came after a report in The Daily Star highlighting inconsistencies and irregularities in the purchase, which included violation of rules and bypassing of the director general of defence purchase (DGDP).

The sources added that the navy would investigate into how this procurement took place violating different rules and regulations.

On November 5, based on a restricted tender, the Naval Store Sub-Depot (NSSD) issued three separate work orders for spares for these speedboats.

Two of these orders, worth Tk 2.66 crore and 3.42 crore, were issued to one AJA International and the other worth Tk 11 lakh to one Habib Enterprise.

Interestingly this supply will be delivered to the Bangladeshi peacekeeping mission in Sudan and not in Bangladesh where the two-year old boats are currently being used.

Sources said while the price tag of Tk 6.19 crore itself is highly inflated, it includes import duty and taxes to be payable to Bangladesh. But this would not be paid to Bangladesh, as the goods will be delivered in Sudan in November and January.

Naval sources said the real value of the spare parts would be worth Tk 1.5 crore and even with taxes included, the prices would be around Tk 4 crore.

Sources said this whole deal was pushed by a relative of the former prime minister along with a former political appointee of the then prime minister's office (PMO) and his friend in the Navy.

The prices of the parts were highly inflated in the work orders, the sources pointed out. For instance, the manufacturer sells the "socket for cockpit" at Tk 2,288 (Euro 26). But the work order priced it at Tk 26,000 each. A gasket worth Tk 1,760 (Euro 20) has been priced at a staggering Tk 8.32 lakh each. Each of different types of rubber tubes has been priced between Tk 2,000 and Tk 6,760, while these are sold at prices below Tk 1,760 (Euro 20).

The manufacturer sells a ring drive (complete assembly) at Tk 1.76 lakh (Euro 2,000), but the work order priced it at Tk 24.34 lakh.
Source: >>

Last edited by reverse_swing; November 21, 2006 at 04:55 AM.. Reason: mod.edit: Source added.All bold removed.
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