The Directorate of Environment (DoE) has revoked the environmental clearance for the controversial "Site and Services Residential Plot Development" project in Rangunia upazila of Chittagong.
The clearance was originally granted on February 8, 2023.
The project faced scrutiny after the project director applied for permission to partially cut hills and fill an artificial waterbody at a ratio of 1:30, as per the conditions of the environmental clearance.
On January 22, the Prime Minister's Office (PMO) rejected the proposal for both the hill cutting and the filling of the waterbody.
However, on April 4, the PMO issued instructions to proceed with the project on nine acres of the total 14.196 acres originally proposed.
The DoE requested the submission of a revised layout plan for this adjusted project on April 18 and May 13, but no plan was submitted.
As a result, the DoE decided to revoke the environmental clearance during its 517th meeting of the Environmental Clearance Committee on Monday.
Allegations against Hasan Mahmud
Former foreign minister Hasan Mahmud has been accused of orchestrating the project to misappropriate Tk38 crore by selling a hill included in the National Housing Authority (NHA) project.
The project was reportedly approved under his pressure, despite objections from various organizations and even cancellations from the highest levels of government.
Mahmud, whose constituency included the project area, allegedly exerted influence over the NHA throughout the project's planning and execution phases.
The power of attorney for the hill land was reportedly registered in another individual's name, raising further suspicions.
Sources indicate that the project was initially scrapped due to environmental concerns—70% of the project area consisted of hills and 30% reservoirs. However, under Mahmud's pressure, the project was revived, and preliminary work began.
Previously, Mahmud served as the minister of information and broadcasting, and later as the foreign minister under the Awami League government before it was ousted during the student uprising. Since the government's fall on August 5, Mahmud has been in hiding.
Environmental and administrative objections
The NHA initiated the project under the Ministry of Housing and Public Works following Mahmud's influence.
However, the Urban Development Directorate (UDD) and DoE objected from the start, citing environmental concerns.
According to a UDD letter, the proposed project site was marked as a "Restricted Special" land use area, making it unsuitable for development.
The DoE also noted that 15 acres of the 16.32-acre project area consisted of protected dunes, where cutting or removal is prohibited by the Environment Protection Act.
Despite these objections, a no-objection certificate was issued by the DoE on September 26, 2019, with stringent conditions to protect the surrounding forest, trees, natural environment, and water flow.
Following this, an administrative order on March 23, 2023, allowed the project to proceed under certain conditions, including obtaining further certification from the DoE and UDD.
A subsequent assessment by the Implementation, Monitoring, and Evaluation Department (IMED) of the Ministry of Planning raised concerns that the project would require hill cutting, which would impact 70% of the small hills and 30% of the natural reservoirs in the area.
The Power Grid Company of Bangladesh Limited also opposed the project, noting that soil extraction from the hill could jeopardize their transmission line towers.
When the project was sent to the prime minister for final approval, the directive clearly stated that wetlands must be preserved and no hills could be cut.
This should have ended the project, but under Hasan Mahmud's alleged influence, the project was revived, with fresh opinions sought from various departments.
Allegations of financial misappropriation
The project, approved in March 2020, involved the acquisition of 16.19 acres of land, though implementation was restricted to 14.19 acres.
The total cost of the project was estimated at Tk41.83 crore, with Tk38 crore allocated for land acquisition.
Sources allege that Hasan Mahmud pressured the NHA to take up the project in his constituency, with the intent to embezzle most of the Tk38 crore allocated for land acquisition.
To facilitate this, the power of attorney for the land was given to a local influential figure.
When the district administration began the land acquisition process, preparations were allegedly made to divert the compensation funds to individuals with fraudulent claims of ownership.