Around Tk 9,070 crore of investors money was swindled out by cooperatives and money-lending organisations over the last one year, says a new study of the Transparency International Bangladesh (TIB).
“According to news reports published in newspapers during March 10, 2013 to March 25, 2014, some 21 multiple cooperatives and lending associations misappropriated about Tk 9,070 crore of its 9 lakh members and investors,” the study says.TIB deputy programme manager (research and policy) Mohammad Hossain and Nihar Ranjan Roy jointly unveiled the findings of the study, ‘Cooperatives Management: Challenges of Good Government and Way Forward’, at a press conference at a city hotel on Tuesday.
The study was carried out at 11 upazilas in eight districts under six divisions and collected data from 37 cooperatives.
TIB trustee board chairperson Advocate Sultana Kamal, TIB executive director Dr Iftekharuzzaman, deputy executive director Dr Sumaiya Khair and director Rafiqul Hasan were present.
The study reveals that there are about 186,199 cooperatives in the country and of them, 47 percent of cooperatives are dysfunctional due to the existing various limitations of regulatory and supervising bodies and internal problems of the cooperatives.
About irregularities in registration of cooperatives, it says additional Tk 8,000-10,000 is realised from every cooperative in giving registration to them as per the instruction of higher authorities and political players. The amount is raised to Tk 35,000-Tk 80,000 varying working areas.
The study suggested updating the existing Cooperatives Rules to make the cooperatives effectively functional and ensure transparency in the cooperatives.
Speaking at the press conference, Sultana Kamal said the country’s constitution attributes that the cooperatives will play a vital role in the economy but the cooperatives have become a less important issue now.
“Now, we’re looking towards the foreign assistance. But it has been declining day by day…the cooperatives should be made effectively functional and free from corruption, aiming to reduce dependency on foreign aid,” she said.
TIB executive director Dr Iftekharuzzaman said the cooperatives are now involved in irregularities like other institutions of the government, but the scenario should be changed to bring transparency in the sector. – UNB
