(Assignment 1) Corruption in Bangladesh - Isha Bhallamudi

In 2016, Bangladesh was ranked as the 13^th most corrupt country in the world. This is not new or surprising, as Bangladesh has been racked by severe scandals and allegations of corruption ever since it gained independence (consistently ranking among the top 20 most corrupt countries globally). Three prominent cases that reflect the severity of corruption in Bangladesh are:

1.     Rana Plaza Case, 2013: A commercial building collapsed killing 1,130 and injuring 2,500 people- the deadliest structural failure in modern human history. This happened due to building without authorization, illegal conversion to industrial use, addition of 4 floors above the permit and use of substandard construction material.

2.     Padma Bridge Case, 2012: Corruption allegations involving high-level Bangladeshi officials surfaced in the Padma Multipurpose Bridge Project, which aimed to build the longest bridge in the world. The World Bank and Asian Development Bank cancelled $1.2 billion worth of credit for the project due to credible evidence of corruption.

3.     Market Scam Case, 2010: A major share market scam surfaced with the market going up 62%, then 83% and then down 40%. The crash was deemed a scam and a probe identified various irregularities performed by over 60 influential individuals, including pro-government business tycoons. The same year the PM’s son was formally charged with laundering nearly $2 million in kickbacks.

Two things are common across each of these cases: multiple levels of bribery and undue influence of powerful individuals. To add to this: It is very telling that that 77% of Bangladeshis surveyed said they were forced to pay bribes.

Even a preliminary analysis of these cases reflects a pervasive culture of corruption across social, cultural, political and economic structures and processes in Bangladesh. For example, in the building collapse case, not only did the owners ignore warnings to not use the building, but the government refused UN help to reach out to the victims in the immediate aftermath of the crash for fear of hurting Bangladesh’s national image, costing hundreds of lives. Moreover, controversies about remuneration for the victims’ families continue to this day. In all three cases, government inaction was a prominent feature.

Unlike most developed countries, in Bangladesh corruption is not restricted to an exclusive elite network but extends across the interactions of state, market and civil society. Studies recognize many types of corruption, including bureaucratic, public administrative, service delivery (education, health, water and electricity sectors), police and judiciary. Access to justice is extremely difficult due to weak enforcement of laws, and there are regular allegations of abuse, including extra-judicial killings by the state apparatus. Civil society, including media, is very weak and self-censorship is common. Therefore, corruption in Bangladesh is literally a way of life.

However, it is the poorest in Bangladesh that are most affected by corruption, and the efforts of the Bangladesh government to set up an Anti-Corruption Commission are largely tokenistic. If there is to be effective change, there must first be committed political leadership in all institutional structures.

 

References:

1.     The World Bank. “World Bank Statement on Padma Bridge.” Worldbank.org. 29 June 2012. http://www.worldbank.org/en/news/press-release/2012/06/29/world-bank-statement-padma-bridge (accessed March 1, 2016).

2.     Bergman, David. “Bangladesh: Rana Plaza architect says building was never meant for factories.” The Telegraph. 3 May 2013. http://www.telegraph.co.uk/news/worldnews/asia/bangladesh/10036546/Bangladesh-Rana-Plaza-architect-says-building-was-never-meant-for-factories.html (accessed March 1, 2016).

3.     D.B. “Fresh innocents to the slaughter.” The Economist. 18 January 2011. http://www.economist.com/blogs/banyan/2011/01/stockmarket_riots_bangladesh (accessed March 1, 2016).

4.     Knox, C. “Dealing with sectoral corruption in Bangladesh: Developing citizen involvement.” Public Admin. Dev, 2009: 117-132.

5.     Montero, David. “Bangladesh: Following the Siemens Bribery Trail.” Frontline World. 1 April 2009. http://www.pbs.org/frontlineworld/stories/bribe/2009/04/bangladesh-following-the-siemens-bribery-trail.html (accessed March 1, 2016).

6.     PTI. “Probe panel finds massive manipulation at Bangla stock market.” The Economic Times. 7 April 2011. http://articles.economictimes.indiatimes.com/2011-04-07/news/29392594_1_debacle-manipulation-probe-committee (accessed March 1, 2016).

7.     Wickberg, S. Overview of corruption and anti-corruption in Bangladesh. No. 353, U4, 2012.

8.     Yardley, Jim. “After Bangladesh Factory Collapse, Bleak Struggle for Survivors.” New York Times. 8 December 2013. http://www.nytimes.com/2013/12/19/world/asia/after-collapse-bleak-struggle.html?pagewanted=all (accessed March 1, 2016).