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ADB's Long Term Strategic Framework Criticized for its Anti-poor Stand and Corporate Bias

By farjana - Posted on 21 June 2008

[VOICE, Dhaka, 19 June 2008]

Speakers in a meeting strongly criticized the Long Term Strategic Framework (LTSF) for 2008-2020 of Asian Development Bank for its anti-poor stand showing blanket biasness toward private sector led development. The meeting was organized by a research organization ‘Voice’ in the Supro conference room on 19 June 2008. Ahmed Swapan Mahmud, executive director of Voice moderated the meeting while it was attended by civil society organizations, trade unionists, farmers’ organizations, NGOs, students, activist groups and civil society actors.

Farjana Akter, programme coordinator of Voice presented the key note speech terming the long term strategy as anti-poor. She said that the ADB is far behind its commitment to reduce poverty, rather its involvement with corporate sector makes the poverty situation worsen in the region.

The speakers said that private sector domination in the development process will concentrate on their own profit leaving the agenda of poverty reduction that ultimately undermines the aspirations of the people and communities to come out from the poverty trap. The Bank also determines that the growth based development facilitates poverty though in most of the countries including Bangladesh ADB’s formula already failed to achieve its objectives. Speakers criticized for its biasness toward market-led economic growth that aggravates poverty situation rather than reducing in many countries of Asia and the Pacific. They rejected LTSF that suggests expanding Bank’s activities and increasing support as of 50 % by 2020 with the private sector which is only 12% at present. They also urged people to take a collective stand against ADB’s role in the country.

Speakers also added that though poverty is the overarching objective of the Bank, and though LTSF recognizes it as a major challenge, Bank’s activities already raised huge criticism for its anti-poor stand and also disregarding its own policies and commitment. Already private sector involvement in environmental projects proved in vain and caused dangerous consequences on environment and communities.

“We can not simply sell everything to the corporations, but ADB is urging corporations to establish its economic and political hegemony over people’s life through its long term strategy 2020” said Ahmed Swapan Mahmud. LTSF is prepared in a non-transparent way without any meaningful participation with the civil society organizations, he added.

Private sector bias will enhance corruption and human rights violations in the country that will hamper the development process and undermine communities’ efforts to fight against poverty and injustice. Strategy 2020 will cause a huge damage and gross human rights degradation to the region benefiting the private sector to control over resources and people’s livelihood.

ADB never understands the root causes of poverty, it only deals how the corporate powers establishing their domination can control market and make own profit. Drawing the examples, the speakers said the Bank always advocates for privatization of basic services while the corporate powers take the control and millions of poor suffer on the other hand.

Speakers urged ADB to play just and democratic role understanding peoples’ needs instead of policy dictations. Among others Sirajuddahar Khan executive director of Interaction, Zakir Hossain, executive director of Nagarik Uddog, Prodip Kumar Roy, chief executive of Supro, trade union leader Subal Sarkar, farmers’ leader Zayeed Iqbal, Unnayan Unneshan’s coordinator AKM Faisal Uddin, CDP’s coordinator Mahbub Hossain, coordinator of APIT Raihan Sharif, director of In Search of Light Sajjad Ansari, ,Pave’s director KGM Faruk also spoke on the occasion.



Dear Sir

From  1972 after independent  ,Bangladeshi Nationals  started to Established Industries   investing family resources ,adopting  innovative technology  as SELF EARNER  & to create  job  for million of  unemployed  & to achieve economic freedom when everything were damaged and leftover .

Government also started   helping  these fast  growing PRIVATE  SECTOR  INDUSTRIES with  fund received from International  Grant / Loan  giving  Agencies and stated to distributed through different Bank. From 1980 period..

But unfortunately Owner of  Industries  becomes victims of deep rooted conspiracy & Anti  Propaganda ..                            The Bank Official refrain themselves from ascertaining  production capacity of imported machineries and to provide  required working capital loan in time extending  total non-cooperation, negligence or  even  were reluctant   to receive back  their loan money if any Industrial Owner decided to pay back the loan for  non-banking  activities These  have been  done  willingly   to  Jeopardize the  Government Decision  of Privatizations as well to occupy the mortgaged properties of the Owner of The  .

Hundreds & Thousand of Industries in Bangladesh have been destroyed by Bank Officials & Policy Maker who are not aware of  First Changing  Technology of the World  even .
Over and above Capitalizing the Illiteracy, Ignorance and Extreme Poverty   of vast majority of commoner, Every things  have been  forced  out over the  Owner of  Industries under private sector .    

Due to Such Conspiracy ,  Negligence’s , Fraudulent Activities including  Non -  Banking Activities of Bank Official & Policy Maker,  Most  of  these Industries have became in-operative  & have lost their Cash Capital, Expatriate Capabilities. And became helpless  victims of oppressive  laws

In 1992 &1996 the Sick Industries Rehabilitation Cell were formed by  GOVERNMENT OF BANGLADESH & have Identified and Registered  these Industries as SICK  INDUSTRIES  declaring not as  defaulter but  victims of Violation of  Contract, Negligence, Fraudulent Activities, Malpractices of Bank Officials including Policy Maker. And  lack of  Accountability at  most of the  organization of Bangladesh  are no more hidden matter .


The  owner of Industries   of Bangladesh are deprived of Legal Right due to enactment ARTHA RIN ACT ACT  ( Money  Landing  Act )  on 1989 which were  amended  several time  till 2007  and Bankruptcy  Act  on 1997    treating the OWNERS  OF  INDUSTRIES   SECTOR  as  like as SLAVE of  Primitive Age.


But these laws are not applicable in Nationalized Sector where Billions of Dollars are invested,  an  unaccounted till today .  

Total outstanding Defaulted Bank Loan are about 60 to 70 % lying with Government Sector / Nationalized  Concern  

And  less then  10 %  Bank loan are  lying with Small & Medium Size Industries of Private Sector & Bank Official can explain well about the balance of the remaining   out standing Loan.




OWNER OF INDUSTRIES  OF  PRIVATE  SECTOR  CAN NOT CLAIM ANY COMPENSATION OR  SET  OFF    on the Suit filed  by  the Bank Official or Loan Giving Agencies FOR VIOLATION  OF CONTRACT, NEGLEGIENCES,  MALPRACTICES,  including  fraudulent activities of  Bank officials  instead of   huge loss and damages  although Bangladesh is  known as  DEMOCRATIC  COUNTRY   and never was a  COMMUNIST  COUNTRY.

CONDITION OF  SICK / DISTRESSED INDUSTRIES  are  deplorable  due to lack of Accountability  of  Bank  Official  / Policy Maker &   total  Indemnity  offered to   Bank Official / Loan Giving Agencies These   have been done to hide out   existing high profile Malpractices, Corruption and Fraudulent  Activities & Negligence as per opinion of   Expert Personals depriving the Owner of Industries  from Justice .

Also Common PEOPLE  WHO ARE  FACING  ANOTHER  TYPE OF  REPRESSIVE  LAW UNDER   CERTIFICATE   CASE   for  realization  of Taxes  , Agricultural   Loan , including  Weaver’s Loan etc.


OWNER OF INDUSTRIES   can only  file a separate suit for compensation in separate CIVIL COURT CREATING  MORE  complicacy  for life long  litigation WITH  OF NO  RESULT due to restriction to obstruct  or resist any  order  / decree  of ARTHA  RIN   ACT / COURT by any other  DECREE OR  ORDER OF  OTHER COURT or even of by HIGHER COURT. THE RIGHT OF EQUITY  OF LAW  HAVE COMPLETELY  BEEN  DENIED TO THE INDUSTRIAL ENTREPRENEUR OF PRIVATE  SECTOR IN BANGLADESH


Sections  12, 12 ( khan )  18 ( 2 ) & (3 )  19,  20, 21, 34,40,  41, 42, 44, 47  and 50  of  ARTHA  RIN  ACT  are  contradictory to  ARTICLE   NO :  8, 15, 26 and 27 of  BANGLADESH  CONSTITUTION and self contradictory to the policy of Government  Industrial Policy adopted time to time..   

Now there are no other alternative way  but to  draw the kind attention of  Concerned Authority Including  International Community / Organizations seeking  help for JUSTICE  and Support to save &  protect the OWNER OF SICK OR  DISTRESSED INDUSTRIES  OF Bangladesh under  Private Sector, including  their properties from such deep rooted conspiracy and oppressive laws as well  to protect  the interest  of  large number of workers, staffs  of  the   Private Sector and also for CHANGE  of such oppressive laws  to restore Accountability  of  Bank Official / Loan Giving Agencies including Policy Maker  to ensure for National  Interest


( A ) - Humble appeal before  the Government of Bangladesh to kindly  allow Industrial Entrepreneur  to claim Set Off or Compensation on suit filed by the Bank or  loan Giving Agencies. or allow to  Run Compensation Suit  Simultaneously  with suits  file by Bank Officials under  ARTHA  RIN  ACT   with equal opportunity and equal right so as to restore  total accountability .


(B)-  Considering the Heavy loss and Damages of Government  Registered and Identified    SICK INDUSTRIES   of 1992 & 1996 of Private  Sector  since  last 25 years  due to Non-Banking  Activities of  Bank Officials and Policy Maker  may  kindly be allowed  100 %  weaver of  all type of Bank loan liabilities to minimize their  heavy loss and damages to certain extent


( C  )-  The system of  keeping mortgage of Land & Properties from the Owner of Industries   by Bank or any Loan Giving Agencies as Securities are  mostly responsible for Malpractices and ever growing Corruption, & Fraudulent Activities in Banking Sector, which are now proven matter  and may kindly be completely  abolished as a part of reform programs at earliest possible time to  ESTABLISH  ACCOUNTABILITY  and Check  Malpractices, Fraudulent Activities  which are now growing by large  in Banking Sector  or in  other Loan Giving Agencies upto  root Levels                                            


( D ) - All suits of  Artha  Rin Court  may kindly be transferred to   Civil Commercial Court  providing  Equal  right  for the  end of Justice  or preferably be stopped  unconditionally  




The above mentioned Sections  12, 12 ( khan )  18 ( 2 ) & (3 )  19,  20, 21, 34,40,  41, 42, 44, 47  and 50  of  ARTHA  RIN  ACT  may kindly be  abolished immediately  to unearth y & check   existing  Negligence ,  Malpractices  &  Fraudulent Activities of  Banking Sector.  


( E ) – And Section  28 ( Ka ) of BANKING COMPANY of 2001  which explain WRITTEN  OFF does not mean Weaver were included just  to  or  misguide  the  International Community &  Bangladesh National so as to serve the interest  of   the Vested Group & to hide out the    above also


( F ) And also take immediate steps to reform or  abolished the  system of  CERTIFICATE  CASE   Which are  nothing but  abuse of  Law   for realizing   Government Taxes , Agricultural Loan etc and  is one of the  worst system of  CLONIAL   RULE    


(  G  ) - It would be an extreme favors   if your good self kindly collect the PRINTED COPIES OF THE ABOVE  MENTION  LAWS for confirmation of  mentioned  facts .& to help  the Suffering Groups  by  circulating  this  appeal  among  Honorable Member of  your Organization and Partner’s Organizations & to  Publish in   WEBSITES or News Bulletin  or News Media, Electronic Media of your territory to  bring  to the knowledge of Concern Authority including  International  COMMUNITY OR  ORGANIZATIONS  working  for  HUMAN RIGHT &  FUNDAMENTAL / Democratic Right of People to prevent legal abuse  for immediate  help and support to protect  the Owner of the Sick  Industries  / Distressed Industries  of Bangladesh  and their properties from such  OPPRESSIVE  LAWS  for  which  they all would be  ever grateful  as well for change  of all types of oppressive laws restoring  accountability at all organization of Bangladesh.  



********* N.B. the Summery of above mentioned Section of Arthatha Rin Act at a Galance:

(A)- In section 18 ( 2 ) & ( 3 ) Defendant or Owner of Industries will not be able to claim any set – off or to make counter claim against the Bank or Bank Official nor will be allowed to claim any Compensation by submitting any Suit against Bank ( Plaintiff ) analogously or simultaneously in Artha Rin Court due to violation of contract, fraudulence activities including negligence, malpractices of Bank officials.
(B)- Section 21: Settlement Conference between Borrower and Bank is a misnomer of Law of Arbitration or just to divert the attention of common people in the name arbitration or to make everybody fool .
(C) -As Per Section 19 (6) of Artha Rin Act of 2003 no suits can be declared to be dismissed or discharged for default or above mentioned fault of Bank Official. As per Section 20 regarding any order or proceedings of Artha Rin Act can not be raised to Higher Court or to any Other Superior Authority without paying 50 % of claimed or Decretal Amount if the order is totally misleading or against any law or illegal one even .
(D) - As per Section 34 Defendant or the Owner of Industries in Artha Rin Adalat Case can be put to the Jail for compelling or forcing him to pay the Bank Money without considering the fault or negligence’s of Bank Official without allowing him to proof the matter of violation of contract, fraudulence activities , negligence, malpractices of Bank officials. V- As per section 41 and 42 -The Owner of Industries are not allowed to file any appeal or revision to High Court or Superior Court against any order of Artha Rin Court without paying 50 % of the claimed amount or Decretal amount in advance , But the Bank Official are not require to pay any amount in advance in the Higher Court, allowing A Great Disparity of Law and Justice.
(E) - Under section 47 and 50 , The learned Court under Artha Rin Act of 2003 have been bared to make any exemption of principal loan amount for Violation of Contract , Negligence’s Malpractices, including fraudulent activities or any fault of the bank official uni laterally

(F)- Section 12 ( Kha ) Imposed a bar for filling write petition to Higher Court which are direct violation of human right and constitutional right of the citizen and reflects the negative attitude of Policy Maker and the Law Maker .

Suffering Groups of Industrial Entrepreneurs of Bangladesh