The Wage Earners Housing Complex project in Gulshan taken by the government is a unique example of wastage of a huge amount of money from the wage earners’ welfare fund.
This project has also set precedence of how a valuable property worth over Tk500 crore can remain useless for about 13 years.
A total of 167.28 katha land of Bhatara mouza under Gulshan police station was bought at a cost of Tk28.28 crore in 2001 to provide expatriate Bangladeshis with housing facility.
The property is located on the east side of Baridhara DOHS main gate.
The fund was mainly set up from welfare fees given by migrant workers before they go abroad, and some other sources. An executive board headed by Expatiates’ Welfare Ministry secretary looks after the fund.
After purchase of the land, different decisions at different times were taken at the board meetings but they had never been implemented.
In February 2001, the board decided to build a specialised kidney hospital. But in May the same year, the board decided to construct an IT training institute instead. Later both the decisions were dropped.
In March 2003, the board again changed its earlier decision and agreed to build a housing project for the expatriate Bangladeshis. Under the project, 500 apartments were planned to be built and distributed among 500 Bangladeshi expatriates.
The board accordingly came to an agreement with Borak Real State and Eastern Housing to implement the project at a cost of Tk145 crore.
Under the project, there will be six apartment buildings. Of them, five will be 15-storey buildings with two basements in each and another nine-storey.
The apartments were supposed to be built in four categories – 1000 square feet, 1200, 1500 and 1800 square feet.
The work order was given in April 2004. The construction was supposed to begin within 30 days of the agreement and end within 36 months.
The contractors, however, could not start the work on time as the board could not provide the design timely.
On the basis of primary design provided by city development regulator Rajuk, the construction started in October 2004. The project was supposed to complete by June 2007.
According to a report of the Expatriates’ Welfare and Overseas Employment Ministry, the board had given Tk28.84 crore as mobilisation money against the bank guarantees of two contractors. Besides, the board also paid a bill of Tk8.96 crore.
Officials at the ministry, however, said all the money had virtually been wasted as the project was cancelled in last year.
Following a recommendation of the Parliamentary Standing Committee on Expatriates’ Welfare Ministry, the board decided to cancel the housing project while the applicants were requested to take back their deposited money.
Of the total 1,350 applicants, around 600 took back their money.
A senior official at the ministry said a large amount of money had been wasted since the decision was not made timely. The money wasted could be spent on the welfare of the migrants.
Due to increase in prices of construction materials, a dispute between the board and the contractors surfaced.
Between 2004 and 2005, both the contractors applied for increasing expenditure.
As the board did not agree, the construction work gradually came to a halt. Since 2006, the construction of the housing project has remained suspended, according to a report of the Expatriates’ Welfare and Overseas Employment Ministry.
As per the contact, both the board and the contractors went to arbitration to settle the dispute.
A senior official at the ministry said the arbitration was underway to settle the dispute. “But it is yet to be settled.”
Talking to this correspondent, Borak Real State Director Gazi Md Sakhawat Hossain said: “If we can reach an agreement, the dispute can be settled.”
SM Solaiman, executive director of Eastern Housing, declined to comment on the present condition of the project.
During a visit on Tuesday, this correspondent found that only three storeys of one building – out of the five with two basements – have been completed by Eastern Housing while one storey of another building with two basements was completed by Borak.
Security guard Mamun said: “I have been staying here for six months. These two buildings have remained incomplete for quite a long time.”
Another guard Borhan was catching fish in the water in front of an under-construction building.
Md Kabir, an employee of Westin Hotel who has been living in a tin-shed house at the project site, said: “My sir Noor Ali is a very good man, and if officials of the board request him he can finish the project.”
Noor Ali is the owner of Borak Real State.
Expatriates’ Welfare and Overseas Employment Secretary Khondakar Showkat Hossain told the Dhaka Tribune on Sunday that the decision to build 500 apartments for 500 expatriates was not proper.
He, however, did not deny the wastage of money from the wage earners’ welfare fund.
“We are considering taking up income-generating projects for greater benefits of the migrant workers,” the secretary said.
He also said a sub-committee of the Parliamentary Standing Committee on the Expatriates’ Welfare Ministry headed by lawmaker Israfil Alam had been formed to make a recommendation for the proper use of the land.
Sources said a five-member committee headed by Additional Secretary of the Expat Ministry Hazrat Ali had been formed to settle the dispute with the contractors.
“We have held a number of meetings and are trying to reach an agreement with the contractors,” Hazrat Ali told the Dhaka Tribune recently.
Just after taking up the project, the board sought applications from expatriate Bangladeshis for distribution of the proposed apartments.
Around 1,350 expatriates submitted applications. Initially, an applicant had to give $1800 for the 1800sq-ft flats, $1500 for 1500sq-ft, $1200 for 1200sq-ft and $1000 for 1000sq-ft flats.
Like other migrants, Sabirul Islam applied for an apartment of 1,500 square feet and deposited $1500 in 2006.
After eight years, Islam took back his money from the welfare fund last month. “I am disappointed; had I deposited the amount in a bank, the money would have doubled,” he said.
“Moreover, I had to communicate constantly for about eight years and I had to spend around Tk30,000,” Sabirul added.
