Bangladesh-Nepal

B’desh:Press Round Up: June 15

Khaleda Seeks More Chinese Coop

Dhaka, June-15-Star Online Report: BNP Chairperson Khaleda Zia on Tuesday urged the visiting Chinese Vice President Xi Jinpeng to continue Beijing’s support to Bangladesh’s infrastructures development, particularly in air-rail-sea communications. The leader of the opposition made the request when she made a courtesy call on Chinese Vice President Xi at Sonargaon Hotel in the morning. During the meeting that lasted for about an hour from 10:00am, the two leaders discussed bilateral relations and matters of mutual interest. Khaleda also requested Vice President Xi for Chinese cooperation in setting up deep seaport at Sonadia in Cox’s Bazar for expanding sea trade globally. The Chinese leader responded positively, BNP Vice Chairman Shamsher Mobin Chowdhury who was present at the meting told reporters. “You are our old and trusted friend,” Chinese Vice President Xi was quoted as saying to BNP chairperson Khaleda Zia. Xi recalled the excellent bilateral and diplomatic relations between Dhaka and Beijing that had started during the late President Ziaur Rahman’s period and strengthened during the periods of Khaleda Zia as the prime minister. He said the government and the people of China remember and respect Khaleda Zia for her special contribution in expanding and strengthening excellent relations between the two friendly countries. The Chinese Vice President specially invited leader of the opposition Khaleda Zia to visit China and she accepted the invitation. The visit will take place at a mutually convenient time for the two sides. BNP Secretary General Khandaker Delwar Hossain, who was present at the meeting, said Begum Zia also emphasized on strengthening relations between BNP and the Communist Party of China. Both Khaleda and Xi agreed to further strengthen the party to party relations. Delwar said the meeting was held in a very cordial atmosphere. Khaleda Zia thanked Vice President Xi for massive contribution of China in different sectors particularly in communication infrastructure including roads and bridges. She also mentioned that Dhaka and Beijing shared common views on different global issues in different international forums. BNP leaders Dr Khandaker Mosharraf Hossain, Lt Gen (retd) Mahbubur Rahman, Reaz Rahman, Sabihuddin Ahmed, Mirza Fakhrul Islam Alamgir and BNP chairperson’s press secretary Maruf Kamal Khan were also present at the meeting.

SC Freezes Amar Desh Publiction
Dhaka, June-15-Independent Online: The Supreme Court’s Appellate Division has stayed for four weeks a previous High Court order that had allowed the temporary publication of the daily newspaper Amar Desh. The Appellate Division’s vacation chamber justice SK Sinha gave the order on Tuesday following a government petition. The High Court on June 10 had stayed for three months a government order that had stopped publication of the Bangla-language daily newspaper Amar Desh. Attorney General Mahbubey Alam and additional attorney general MK Rahman argued for the government. Alam told the court that the newspaper’s publication was stopped as it had no legal publisher as Hashmat Ali Hashu resigned his post on Oct 11 last year. The decision was taken with due legal procedures, he said. Barristers Rafique-ul-Haque and Abdur Razzak argued for Amar Desh. Razzak said the publication was stopped illegally and for an ill motive. The High Court had stayed the government decision taking these issues into account, he said. Razzak pointed out since the newspaper resumed its publication after the High Court order there is no scope to stay the order. The newspaper’s publication started on September 2004 with Hashu, the brother of Khaleda Zia’s former Political Secretary Mossaddek Ali Falu, as the publisher. Former energy advisor to Khaleda, Mahmudur Rahman took over the paper’s management in 2008. The government stopped its publication on June 1 claiming that it had no legal publisher. Mahmudur was arrested from its office in the early hours of June 2 after Hashu filed a fraud case against him the day before.

Jalil Discharged From Tax Dodge Case
Dhaka, June-15-Star Online Report: A Dhaka court on Tuesday discharged former Awami League General Secretary Abdul Jalil from a tax dodge case filed against him by National Board of Revenue in 2009. Judge FM Aminul Islam of the Special Judge Court-1 passed the order after hearing the petition filed by the defense and prosecution. Abdul Jalil was present at the court during the hearing. Earlier on October 15, 2009, a court in Dhaka issued an arrest warrant against him in the case filed by NBR in connection with dodging income tax to the tune of Tk 4 lakh. In his complaint, Deputy Tax Commissioner Bazlur Rahman Khan mentioned that Jalil, chairman of Mercantile Bank Ltd, had evaded income tax worth Tk 4,07,485 out of an income from the bank amounting to Tk 54,60,234 for the fiscal years 2003-2008. He concealed his income of Tk 54 lakh in his tax returns submitted to the NBR. Jalil repeatedly provided false information about his real income and expenditure to Income Tax Department and did not show his tax return, alleged the complainant.

COURT FIXES JUNE 23 TO HEAR MAHMUDUR’S BAIL PLEAS

Dhaka, June-15-Star Online Report: A Dhaka court on Tuesday fixed June 23 to hear the bail petitions filed by Mahmudur Rahman, acting editor of the daily Amar Desh, in connection with four cases filed against him with different police stations at different times. Judge (in charge) Mohammad Ismail Hossain of Dhaka Metropolitan Sessions Judge’s Court fixed the date after the counsels, on behalf of Mahmudur Rahman, filed the bail petitions on Tuesday.  The cases were filed against Mahmudur Rahman with the police stations of Kotwali, Tejgaon, Uttara and Biman Bandar for obstructing police from discharging their duties, his alleged link with the leaders of banned Hizb ut-Tahrir and on sedition charge. Mahmudur was arrested at the daily’s office in the early hours on June 2 following a nightlong standoff between police and his supporters and employees. Detective Branch of police earlier took Mahmudur Rahman on a four-day remand for his alleged link with leaders of banned Hizb ut-Tahrir. He was being interrogated about his involvement in militant activities. He was also accused in four other criminal cases including a sedition case. He was earlier remanded in two other cases filed with Kotwali and Tejgaon police stations for preventing police from discharging their duties.

BDR, BSF Trading Gunfire on Sylhet Borders
Dhaka, June-15-Star Online Report: Indian Border Security Force and Bangladesh Rifles were trading gunfire on Tamabil and Sripur frontiers in Sylhet till Tuesday afternoon. A tense like situation was prevailing on Tamabil and Sripur borders on Monday as few dozens of Indian Khasias, backed by the neighbouring country’s border guards, intruded into the Bangladesh territory and forcibly ploughed three hectares of land. Border sources said BSF troops opened fire without provocation while BDR jawans were trying to convince the intruding group of indigenous to leave Bangladesh territory. On Monday noon, some 30-40 Khasias with bows and arrows and 20 BSF men intruded 200 yards inside the zero line in between Tamabil and Sripur border outposts and started ploughing farmland at Naljuri. BDR men from the two border outposts rushed to the spot on information and asked them to leave the Bangladesh territory. The Indians did not pay heed rather continued ploughing the land in between border pillar no 1279 and 1280. The BDR official said disturbance on the border people by the Khasias with the support of BSF men has become almost a regular affair on Jaintapur, Tamabil, Sripur and Padua borders for months.

INDIAN KHASIAS INTRUDE INTO TAMABIL BORDER

(DAILY STAR-15-06-2010)-Staff Correspondent: A tension prevailed on Tamabil and Sripur borders yesterday as a few dozen Indian Khasia backed by its Border Security Force (BSF) intruded into the Bangladesh territory and forcibly ploughed three hectares of land. Border sources said at about 1:30pm some 30-40 Khasias with bows and arrows and 20 BSF men intruded 200 yards inside the zero line in between Tamabil and Sripur border outposts and started ploughing farmland at Naljuri. On information, BDR men from the two border outposts rushed to the spot and asked them to leave the Bangladesh territory. The Indians denied leaving the place in between border pillar no 1279 and 1280. Despite protests and the raising of red flags by BDR jawans, the intruders did not pay heed rather continued ploughing the land with their tractor till 5:00pm. Major Abdullah Al Mamun, deputy commanding officer of 21 Battalion of BDR, confirmed the incident and said a protest letter in this regard would be sent immediately.
The BDR official said disturbance on the border people by the Khasias with the support of BSF men has become almost a regular affair on Jaintapur, Tamabil, Sripur and Padua borders for months. Both the border guards were on alert, said local sources.

BSF KILLS 1

(DAILY STAR-15-06-2010)-Staff Correspondent: Indian Border security force (BSF) shot dead a Bangladeshi cattle trader early yesterday along Fatehpur borders in Shibganj upazila of Chapainawabganj. The victim was identified as Shafiqul Islam, 30, son of Belal Uddin of Shyampur village in the upazila.
Maj Nazrul Islam, operation officer of 39 Rifle Battalion, said around 2:00am BSF of Subghati camp, West Bengal opened fire on a group of cattle traders when they were retuning from India with cattle. Shafiqul died on the spot, he said.
Soon after the incident the Indian border guards took the body to their territory. Bangladesh Rifles strongly protested the killing and urged BSF to return the body immediately

BSF HABILDER KILLED IN MISTAKEN FIRE

(INDEPENDENT-15-06-2010)-Staff Correspondent: A BSF habilder was killed in a mistaken gunfire by BSF troops at Hatkhola village along Panchbibi frontier of Jaipurhat district tonight. The dead was identified as Joypal Singh alias JP Sing.
According to sources, a BSF patrol team opened three rounds of fire at Joypal Singh of Sidhai camp in India, tonight around 1:130 am, thinking him as a smuggler, while he was frolicking along 21 and 22 sub-pillars of 279 borderline, killing him on the spot. Later, BSF members took away the dead body of to Sidhai camp in India. Meanwhile, BDR were kept alert at the frontier following the incident, Joypurhat-3 Rifles battalion officer Syed Selim Ershad informed.

NDIANS ENTER INTO BANGLADESH, RETURN LATER

(INDEPENDENT-15-06-2010)-Staff Correspondent: A tense situation is prevailing at Naljuri border of Jointapur upazila in Sylhet while over 50 Indian civilians backed by Indian Border Security Forces (BSF) illegally trespassed 300 yards into Bangladesh territory through border Pillars No. 1279 at noon on Monday. Lieutenant Colonel Zahirul Alam, commanding officer of 21 Rifles Battalion, Sylhet told The Independent that, 50/60 Indian civilians backed by the BSF along with heavy arms stepped into about 300 yards inside Bangladesh from the border line. They engaged themselves in farming inside Bangladesh territory with power tiller from 1 pm to 5 pm on Monday despite BDR protest. When BSF did not pay heed to the BDR protest then they hosted red flag in the area,

 SMUGGLING OF DRUGS GOING ON UNABATED
(INDEPENDENT-15-06-2010)-Staff Correspondent: Smuggling of drugs into the district from across the borders is going on unabated, though the border guards are more vigilant than before in checking it, sources said. The unabated smuggling of drugs has apparently boosted the drug use by derailed youths with criminal activities on the rise. Among the drugs, Indian cough syrup (phensidyl) is widely used by the derailed youths as it is cheaper than other drug items. The Bangladesh government once allowed the import of cough syrup for treatment of patients suffering from cold. But the government imposed a ban on the item in the 90s when it began to be used as drug. The use of phensidyl is bringing the youths to the verge of ruination. The border troops comprising BDR and policemen, though active in checking the smuggling of drugs, especially phensidyl, cannot cope with it for the simple reason that the smugglers have changed the technique of smuggling and that some law enforcers are blind to what is happening.  
The smugglers use poor women who in the guise of small traders are carrying drugs throwing dust into the eyes of border troops. They use Benapole, Mashila and Salkona borders in the district in carrying   drugs. These drug peddlers are a bit clever to avert arrest. The law enforcers appear to be blind to arrest the drug peddlers for some unknown reasons. The drug peddlers,  if arrested,  get released at the intervention of the drug syndicates who gain over the members of law enforcement agencies.  The drug peddlers after their release start their business of carrying drugs with renewed energy.  The border troops directed by the high-ups are trying their best to check the smuggling of drugs through the borders. But a section of border troops cannot be relied fully in their performance of duties. Now that there is a loophole in the border troops’ performance, thousands of bottles of phensidyl are finding their ways in the district town and other parts of the district.
The members of the elite force have continued their efforts to recover drugs. But their efforts are marred by the non-cooperation from other law enforcers thus encouraging the trade in drugs.

 BORDER HAATS

(INDEPENDENT-15-06-2010)-Editorial: The Memorandum of Understanding (MoU) regarding border haats or weekly markets in Bangladesh-India border is likely to be signed this month. They are likely to go into operation next month. The haats are being organised with the idea of promoting trade and containing smuggling. Smuggling has always been a great menace and a negative factor for the economy of Bangladesh. Border haats will facilitate selling of products and buying of necessities of bordering people of both countries. We can also hope that border killings will be stopped by the consequent amity and good will that is expected to develop with the mutual trading of commodities and dealings at personal level. Necessary regulatory provisions for holding the haats have reportedly been incorporated in the MoU which are as follows – a. only currencies of Bangladesh and India to be used in transaction with the proviso that none will be allowed to transact business worth over 50 dollars;  b. only specified items will be presented in the market for sale;  c. a five member committee representing  both sides to be constituted to manage the haats; d. the committee to manage the affairs of the market in consultation with the concerned Deputy Commissioner and District Magistrate of Bangladesh and India; e. only selected vendors to be allowed to sell commodities and  waiving passport and visa formalities for shopkeepers and shoppers. These provisions per se appear good but snags may develop after the actual business gets off to a start. The anticipated ones are -smuggling under the cover of lawful business, money laundering and flouting of the items approved in the MoU. This apprehension is not without basis as the border haats which were opened in 1972, immediately after independence, had to be closed down due to rampant smuggling. The MoU which is at the final stage of drafting needs to keep such provisions as would ensure that the ghosts of the past do not start visiting the present. When the haats come into being strict monitoring from both sides must be there to guarantee that none of the provisions of the MoU are violated.

LAND GRABBERS THREATEN GOVT, SAYS MINISTER
 (NEW AGE-15-06-2010)-Staff Correspondent: A state minister has alleged that a section of land grabbers are threatening the government when it is trying to reclaim and save canals and rivers from encroachers. ‘A section of land grabbers, who are illegally occupying canals, rivers and wetlands, are threatening us in public when the government of Sheikh Hasina is trying to stop such activities,’ the state minister for  housing and public works, Abdul Mannan Khan,  told the parliament while speaking on the supplementary budget 2009-2010 on Monday. The minister said such people buy a small piece of land at one end and another piece at the other end and then grab a large chunk of public land in between. Mannan said that land grabbers use many devices, including forged court documents and power of attorney of dead people, to occupy others’ lands, and sale the property by publishing attractive advertisements. ‘In this way they deceive innocent people and grab their lands,’ he said. Mannan’s statement came a day after he held a meeting with the country’s leading real estate developers where Ahmed Akbar Sobhan had an altercation with the state minister at his office on Sunday

1,048 FOREIGN NATIONALS IN BANGLADESH JAILS
(NEW AGE-15-06-2010)-Staff Correspondent: There are some 1,048 foreign nationals detained in Bangladeshi jails on various charges, the home minister, Sahara Khatun, said in parliament on Monday. Replying to a question from Golam Dastagir Gazi, MP from Narayanganj-1 constituency, the minister said among those foreign prisoners, some 213 were still languishing in jails even after having served their prison terms. Of the total alien prisoners, some 205 were convicted and serving different jail terms while trail of some 718 others were underway. Usually repatriation of foreign prisoners is done through cooperation with diplomatic missions of the respective countries in Dhaka, the minister said. The highest number of 666 foreign prisoners are from neighbouring Myanmar, followed by 349 from India. There are 21 prisoners from Pakistan, six from Nepal, three from Tanzania and one each from Japan, Malaysia and Hungary. Replying to another question from Tarana Halim, a lawmaker from one of the 45 reserved seats for women, the home minister said that there were some 77,805 prisoners in different jails across the country as of June 6, 2010. Sahara Khatun admitted that all the jails have been overcrowded with prisoners as the authorities were forced to accommodate more inmates than their capacity. The home minister said that the government has been constructing 14 more jails while construction of 27 have already been completed across the country. Besides, the government has a plan to construct four more jails to ease accommodation of prisoners, she added.
   Replying to another question from Asma Zerin Jhumu, another woman MP, the minister said that the government would deal with an iron fist any attempt to destabilise the country’s law and order situation. The lawmaker alleged that a certain quarter was out to destabilise law and order in the country. The home minister said, ‘We have asked the intelligence agencies to collect information on people who are out to sabotage law and order. They would be brought to book.’

CHANGES IN ADMIN

(NEW AGE-15-06-2010)-Staff Correspondent: The government appointed Brigadier General Akhtaruzzman Siddiqui the project director of the voter list and national ID project of the Election Commission. His service has been placed at the disposal of the Election Commission secretariat on deputation. He replaces Brigadier General Shakhawat Hossian Chowhdury, who goes back to the army. Actor Falguni Ahmed has been appointed the director of Shishu Academy on a two-year contract, according to an establishment ministry notification. The director general of the department of films and publications AKM Shamim Chowhdury has been appointed director general of the Bangladesh Betar, an establishment ministry notification said on Monday

SHIPPING MINISTER RETURNS HOME

(NEW NATION-15-06-2010)-Staff Correspondent: Shipping Minister Shajahan Khan returned home on Monday after attending the council session of the International Maritime Organization (IMO) in London, said an official release here. The minister left Dhaka for London on June 5 to join the 104th council session of the IMO. Shajahan Khan led a six-member Bangladesh delegation at the IMO council session. The members of the delegation were M Majaharul Haq Prodan, MP, Director General of the Department of Shipping Rear Admiral (retd) Bazlur Rahman, Private secretary of the Shipping Minister M Sohrab Hossain Sheikh, Managing Director of Gulf Orient Seaways Ltd Sheikh Mahfuz Hamid and Chief Operating Officer of Haq and Sons Limited Emdadul Haq Chowdhury.


FORMULATE COAL POLICY TO END ENERGY CRISIS’

(DAILY STAR-15-06-2010)-Staff Correspondent: Jatiya Party Chairman HM Ershad yesterday urged the government to extract coal from four mines in the Rangpur division and produce coal-fired electricity to ensure adequate power supply to the region. It is not possible to achieve expected development in the region because of power crisis, he told reporters on the sidelines of a seminar at a function at Cirdap auditorium in the capital. At the seminar, Ershad said the government should formulate coal policy soon to resolve the energy crisis across the country. The vision 2021 of the government cannot be fulfilled without adequate supply of gas and electricity to the place where it is needed, he added. Rangpur Division Unnayan Parishad organised the seminar titled ‘Electricity and energy sector of Bangladesh: Proposal of Rangpur division’. “We [the people of Rangpur region] are lagging behind others, as we do not get adequate supply of energy… We need gas and electricity for development,” Ershad told reporters.
“If we get gas supply and can generate electricity, we would not need to depend on others,” he said. “We want to know from the government when the people of Rangpur will receive gas supply,” he said, adding that the financial conditions of farmers in the region have changed, as a number of roads and bridges were constructed to facilitate communications. About the government’s target to eliminate power outages by 2012, Ershad said, “It would be a tough job, but it is possible.” At the beginning of the seminar, a gala reception was accorded to Musa Ibrahim, the first Bangladeshi Everest conqueror. Ershad presented a crest to Musa, who hails from Rangpur division. State Minister for Land Advocate Mostafizur Rahman, Engineer Md Fazlul Haque, Md Nazrul Islam, lawmaker Tipu Munshi attended the programme.

KHALEDA HOLDS MEETING WITH PARTY LEADERS: JUNE 27 HARTAL
(INDEPENDENT-15-06-2010)-Staff Correspondent: BNP chairperson Khaleda Zia last night held a closed door preparatory meeting with leaders of her party and front and associate  bodies to make successful the June 27 countrywide dawn- to- dusk hartal. Presiding over the first hartal preparatory meeting at her Gulshan office, Khaleda assigned the BNP senior leaders including standing committee members, her advisers, vice-chairmen and top leaders of the front and associate bodies to enforce the shut down at different spots in the capital on June 27.
The meeting that lasted over an hour from 8-30pm directed the leaders concerned to work hard to mobilize people in support of the hartal. BNP standing committee members, BNP chairperson’s advisers, vice-chairmen, joint secretaries general, organising secretaries, presidents and general secretaries of different front and associate bodies were present at the meeting. June 27 hartal is the first nationwide shut down against the 17-month-old grand alliance government led by Awami League. Khaleda called the hartal from the BNP’s grand rally held at Paltan Maidan on May 19. After the meeting a standing committee member told the news agency that about 50 teams had been formed for campaigning for hartal and convincing the people about the justification of their programme. The teams were also given the duty for picketing on the hartal day in different parts of the city.
The leader who asked not be quoted said they would carryout preparatory works and will actively engage in ground works in support of the hartal from June 20.
As part of the ongoing anti-government movement programmes, BNP will hold countrywide demonstration on June 20 demanding trial of killings of journalists, protesting arrest, repression and harassment on journalists, closing down private TV channel 1 and government control over news and TV talk show.

B CHY AGAINST GENERAL STRIKES

(FINANCIAL EXPRESS-15-06-2010)-Staff Correspondent: Bikalpadhara Bangladesh President AQM Badruddoza Chowdhury said his party had no relation with those who destroyed public property by enforcing general strikes and other destructive activities. "We are opposed to any destructive activities. But we support all peaceful political programmes," he said. He was speaking at a programme in the city’s Institution of Engineers, Bangladesh marking the sixth anniversary of the party Sunday, reports bdnews24.com. The former President said, "People have voted the present government to power with a hope for change but there is no visible change." "Violence and corruption have become a common phenomenon," he added. Gonoforum President Kamal Hossain, Bangladesh Workers’ Party Chief Rashed Khan Menon, Krishak-Sramik-Janata League president Bangabir Kader Siddiqui, Progressive Democratic Party chairman Ferdous Ahmed Quarishi, Awami League Leader Mahmudur Rahman Manna, Bikalpadhara secretary Abdul Mannan and its joint secretary Mahi B Chowdhury attended the function.
    
SUPPLEMENTARY BUDGET PASSED

(DAILY STAR-15-06-2010)-Staff Correspondent: Parliament yesterday passed a Tk 11,987-crore supplementary budget for additional spending by ministries and divisions during the outgoing fiscal year.  It took only three hours to complete all procedures in the last two days — holding of discussions on the supplementary budget, disposal of cut motions, approval of demands for grants and the passage of a bill. The absence of BNP-led opposition lawmakers made the completion of the procedures easier. Dozens of cut motions by opposition lawmakers against the grants were not placed or discussed in the House during the passage. Only ten lawmakers including three with ministerial posts were given floor to participate in the discussions on it in the last two days. The lawmakers made no effort to examine the reasons behind the additional spending. Most of them rather lauded the government’s performance in implementing the budget for the outgoing fiscal year. Agriculture Minister Matia Chowdhury started a discussion on it in the House on Sunday and justified the additional spending. Finance Minister AMA Muhith wrapped up the discussion yesterday, thanking the participants.
Fifty lawmakers had taken part in the discussion on the supplementary budget for 2008-09 fiscal year for over six hours. But the House this time spent two hours for discussion on the supplementary budget for the outgoing fiscal year and another hour for completion of other procedures. The public accounts committee did not initiate examining the reasons behind the additional spending in line with the rules of procedure of parliament after the supplementary budget was placed on Thursday. Following the discussion, the finance minister moved the appropriation bill seeking Tk 11,987 crore against 34 demands to meet additional spending during the fiscal year ending on June 30. Of the ministries, food and disaster management ministry incurred an additional spending of Tk 4,894 crore, education ministry Tk 1,555 crore, defence ministry Tk 800 crore and agriculture ministry Tk 731 crore. The finance minister outlined the performance of ministries and divisions spending additional money. He also gave a few reasons behind the additional spending and justified it. Muhith said the budget implementation system is poor and needs to be improved. He however hoped the implementation of the annual development programme (ADP) in the next fiscal year would be close to the target. "There is no denying the fact that we have limited capacity to implement the annual development programmes. Up to March we could implement only 47.6 percent of the Tk 28,500 crore ADP in this year’s revised budget."

MASSIVE VAT REFORMS ON CARDS
(DAILY STAR-15-06-2010)-Rezaul Karim Bayron: The government is set to undertake a massive reform programme to raise revenue income through value added taxes (VAT) next fiscal year. The programme includes appointment of an outsourcing company under public private partnership, provision for special search, formation of special courts to try large tax evasion cases, lower the truncated base and tariff value and introduction of a digital tax system.
National Board of Revenue data shows there are 6.36 lakh VAT registered firms at present, of which only 15 percent or less than one lakh submit monthly VAT returns. To detect the registered firms that do not submit monthly VAT returns and strike those off the list, the reforms have been proposed with a provision to appoint an outsourcing company. This outsourcing company will have to establish offices in all functional VAT commissionerates to scan VAT returns and perform data entry operations. The outsourcing company will bring the tax-dodging firms under a regular VAT net. It can be appointed for a period of five years to do the job. By that time, NBR could develop its capacity for data entry and other related operations. The VAT registration system will be processed through computers so that all relevant information, such as names of the taxpayers that submitted tax returns, the amount of taxes paid and the exemption received, could be known easily. Under the existing manual system, it is not possible to get this information. The outsourcing company will help NBR in this regard. Another major step under the NBR plan is phasing out of the existing tax payment system through treasury challans (receipts). Tax payment through credit or debit cards and certified crossed cheques will be introduced. An amendment to the law in this regard has been proposed in the budget for the next fiscal year. In addition, an amendment was also proposed to try the cases of the large VAT dodgers in special judges’ courts instead of magistrate courts. However, in filing such cases, prior permission of an NBR official, not below the rank of assistant commissioner, will be required.
The special judge will enjoy the power of further enquiry, attachment of property and seizure of assets. In case of a further enquiry, the special judge will give a deadline, not exceeding six months, to the investigation officer. The amendment will enable the officer to unearth any VAT evasion case, as he will be empowered to instantly stop any vehicle, enter production unit and inspect and search the goods kept or loaded there in the interest of his probe. Although a complete reform in this regard is not possible within the next financial year, some measures have already been taken to this end.  One major reform is lowering the truncated base of the items under VAT in phases. The 2010-11 budget proposed withdrawal of 11 service sectors, including advertising agencies, courier services and picnic and shooting spots, from such truncated base. Consequently, the sectors will have to pay 15 percent VAT on gross sales from the next fiscal year. Currently, the sectors pay 1.5 to 9 percent tax on a reduced value instead of gross value.  At present, VAT is also imposed on different commodities. The number of such commodities has been proposed to bring down to about 100 in the proposed budget. The budget also proposed a rise in the tariff values of these commodities in line with the market value. These items include buses and trucks of different sizes, electric transformers, coal, biscuits, soybean oil and palm oil. The NBR sources pointed to the fact that tax exemption every year is equivalent to 2.24 percent of GDP.
So, the officials said, the next budget has proposed to shorten the list of items seeking tax exemption. From the next fiscal year, the regional offices of NBR that exceeds their targets will be awarded 10 percent of the extra collection as incentives. Every member of the staff will receive such incentives

BALANCED BUDGET THROUGH TAX HIKES

(DAILY STAR-15-06-2010)-Column by Saidul Kazi: Governments in modern day economies engage in numerous social welfare and national development activities, which they finance through their income. The governments may have many sources of income, but taxation is the vital one. Social welfare and national development activities in the developed world are undertaken principally based on collected taxes. However, in the developing world, a large part of social welfare and the national development budget is provided by donor agencies, creditors, or developed countries in the form of different types of aid, like grants, loans, tied aid and bilateral and multilateral aid. Conducting social welfare and national development activities through foreign aid makes the recipient countries dependent on the aid providers. In the longer run, this dependency impedes national development as those aid providers influence national policies, priorities and development strategies of the recipient countries, to accomplish their own interest. Consequently, governments in the developing world and especially in Bangladesh should prioritise to carry out social welfare and national development activities by increasingly utilising its own resources collected through taxation — income tax, capital gain tax, inheritance tax and expenditure tax. As a logical step in the proposed national budget of 2010-11, Bangladesh has proposed for the first time a 10 percent tax on institutions that profit from the trade of shares and a 5 percent tax on the income made by sponsor shareholders or directors of listed companies. In addition, the government proposed tax at source on commissions received by the members of the stock exchanges. Furthermore, the government could have imposed taxes on profits made by individuals as well. Investment in the financial market has two sides — gain and loss. Consequently, in order to encourage investors, the tax rate imposed upon investment gains should be a flat rate, which means the tax rate will not change with a change in the amount gained.
The above discussion mainly focused on taxation in the capital market, but what about taxation on the income of individuals and inheritances. Like previous governments, our current government is also reluctant about imposing these two types of taxes. The NBR from time to time takes initiatives to expand the tax net by bringing business people under the tax net, but why not individuals.
The government should impose income taxes based on the progressive principal, which means that the higher the level of taxpayers’ earnings, the greater the proportion of income paid in that tax. The money collected through progressive income taxes could be used for national economic development as well as to conduct social welfare activities. In addition, the government could introduce inheritance taxes, so that whenever wealth or property is transferred to heirs, that wealth or property must be subject to an inheritance tax at a progressive rate.
It was earlier very common for governments to make balanced budgets, but nowadays it is more popular to make deficit budgets. However, for a healthy economy, the deficit should not exceed more than 1-3 percent of GDP and more importantly, the government must consider how the deficit will be financed. The proposed national budget of Bangladesh 2010-11 has a 5 percent deficit, which the government is planning to finance through internal and external sources. In Bangladesh, internal sources usually mean borrowing from banks and external sources mean different types of aids. Borrowing from the bank for financing a budget deficit creates a huge demand for money, which leads the interest rate to rise. The higher interest rate affects the national investment prospect negatively.
On the other hand, borrowing from outside sources in the form of different types of aid creates dependency on the aid providers. Consequently, the deficit should be kept as lower as possible — not more than 1-3 percent. There is no better alternative to financing the national budget but from the government’s own income, where a major part comes from taxation. Keeping this in mind, the government of Bangladesh should expand its tax net in the future and consider keeping its budget deficit in between 1 and 3 percent of GDP

IMMEDIATE TRIAL OF WAR CRIMINALS DEMANDED

(FINANCIAL EXPRESS-15-06-2010)-Staff Correspondent: Two freedom fighters (FFs) have said that people of the country want immediate trial of the war criminals on this soil. "We recognise the common people, irrespective of their caste, creed and religion as FFs for cooperating the FFs with shelters, foods by taking risks and tolerating tortures. They also inspired us in the battlefields in 1971 with courage," they added. Renowned journalist, writer and FF Haroon Habib and FF Taramon Bibi, Bir Pratik, were addressing a programme at Poura auditorium in the district town Sunday. Sanu Memorial Society (SMS) with the assistance of different socio-cultural and development organisations organised the occasion marking the 3rd death anniversary of renowned women leader Prof Shamsunnahar Chowdhury Sanu of the northern zone. SMS chairman and public prosecutor of the district Abraham Lincon presided over the programme while deputy commissioner of Kurigram M Habibur Rahman attended as chief guest. Kurigram pourashava Mayor Abu Bakar Siddique, Kurigram Press Club President Shafi Khan, Secretary Ahsan Habib Nilu, women leader Nandita Chakroborty and chief executive of SMS Shahnaz Begum Nazu attended the function as special guests.
Taramon Bibi said, "The independence was not achieved easily and conspiracies are still being hatched against it by the Razakars and war criminals as they are still alive and breathing on this soil." Haroon Habib, who worked as a war time journalist in 1971 in Sector No-11, directly took part in the liberation war and published newspaper from the ‘Muktanchal’, also recalled his memories and thanked the Kurigram people for the heartfelt reception. Hailing the decision taken by the present government for trying the war criminals, he urged all to take the initiative forward with united courage and knowledge in line with the core spirit of the War of Liberation to free the nation from the stigma once and for all.
"War criminals have been tried in many countries and the determined people of the country will complete trials of the war criminals, who committed crimes against the humanity by killing millions of the best sons and daughters of this soil," he said.

MAHMUDUR’S WEALTH; ACC ASKED TO REPORT ON CASE BY JULY 15

(DAILY STAR-15-06-2010)-Staff Correspondent: A Dhaka court yesterday asked the Anti-Corruption Commission to submit by July 15 the probe report of a case filed against acting editor of the daily Amar Desh Mahmudur Rahman for not submitting his wealth statement. Metropolitan Magistrate Syeda Minhaz-um Munira passed the order after Gulshan police sent the case file to the court for taking next steps. On June 13, ACC Deputy Director Nur Ahamed filed the case against former chairman of Board of Investment Mahmudur Rahman with Gulshan Police Station for not submitting his wealth statement to the commission.
The commission served a notice to Mahmudur Rahman on April 19 asking him to submit his wealth statement in seven days. But he did not submit the statement till Sunday. Mahmudur was arrested at the daily’s office in the early hours on June 2 following a nightlong standoff between police and his supporters and employees.
Detective Branch of police earlier took Mahmudur Rahman on a four-day remand for his alleged link with leaders of banned Hizb ut-Tahrir. He was being interrogated about his involvement in militant activities. He was also accused in four other criminal cases including a sedition case. He was earlier remanded in two other cases filed with Kotwali and Tejgaon police stations for preventing police from discharging their duties. On September 30, 2007, the ACC had filed a graft case with Motijheel Police Station against Mahmudur Rahman, former energy adviser during the tenure of the caretaker government. But the case was stayed following a High Court order after ACC submitted the charge sheet.

SCBA DEMANDS RELEASE OF MAHMUDUR

(DAILY STAR-15-06-2010)-Staff Correspondent: Echoing Sunday night’s statement of BNP Chairperson Khaleda Zia, Supreme Court Bar Association (SCBA) said the perpetrators who tortured Mahmudur Rahman, acting editor of the daily Amar Desh, in the name of police remand would be brought to justice in future. “We are not making the statement using the SCBA as political platform, SCBA President Khondker Mahbub Hossain said at a press conference to protest against the perpetrators who reportedly undressed and tortured Amar Desh acting editor in custody. Mahbub, as the spokesperson for the apex court lawyers, said they condemn such action in the name of police remand as the lawyers are always vocal in upholding the democratic rights, establishing the rule of law and ensuring the fundamental rights including freedom of press and freedom of expression as enshrined in the Constitution. He demanded immediate release of Mahmudur and withdrawal of cases filed against him. Barrister Moudud Ahmed said none violating the SC guidelines over police remand will go unpunished as it involves the image of the highest judiciary. SCBA Secretary Barrister M Bodruddoza Badal, Barrister Rafiqul Islam Mian, Barrister Shahjahan Omar, Barrister Nasir uddin Ashim and Barrister Abdur Razzaq were present at the press conference.

DU TEACHERS

DU Correspondent adds: 325 pro-BNP and Jamaat teachers of Dhaka University yesterday demanded unconditional release of Mahmudur Rahman. In a joint statement, they expressed concern over the safety of the life of Mahmudur.
They also condemned and protested obstacles to republishing the Amar Desh and harassment on its employees. Signatories to the statement included Prof Md Aminur Rahman Majumder, Prof Md Sirajul Islam, Prof Md Anwarul Islam, Prof Akhter Hossain Khan, Prof Zahidul Islam, Prof ABM Siddiqur Rahman Nizami, Prof. Md Ashraful Islam Chowdhury. Bangladesh Society for the Enforcement of Human Rights also expressed concern over ‘torture’ on Mahmudur in remand

CTG CITY POLLS CAMPAIGN ENDS TONIGHT; ARMY DEPLOYED

(DAILY STAR-15-06-2010)-Staff Correspondent: Army personnel were deployed in Chittagong City Corporation area yesterday alongside other law enforcement agencies to improve law and order and ensure enforcement of the electoral code of conduct. Contestants of the CCC polls continued vigorous campaigns as time for electioneering ends at 12:00am June 16, 32 hours before the start of balloting at 8:00am of June 17. The Election Commission has almost completed all preparation for holding the polls and the battle for ballots has heated up Chittagong political arena. In addition to police, Rab and BDR, six companies of the army consisted of 702 personnel were deployed in the city to maintain atmosphere conducive to holding a fair election. They will continue to work until June 18. Empowered by the electoral laws, the army will engage in election duties and would enforce the electoral code of conduct. They can arrest anybody without warrants within 400 yards of polling stations on election day in connection with violating electoral laws. Meanwhile, all indicators point to a close fight between two main mayoral candidates. One backed by the ruling Awami League and the other by main opposition BNP. Former mayor and Awami League-backed candidate ABM Mohiuddin Chowdhury and his rival BNP-backed Mohammad Manjur Alam are facing severe internal feud in the parties providing them backing. However, intervention and participation of central leaders in the electoral campaign did much in pacifying the intra-party feud and grievances of public.
About 2 lakh minority voters may play a vital role in the race. The two are vigorously campaigning for these votes, a clear indication of a tough fight.
ABM Mohiuddin Chowdhury was elected for the third time when he defeated BNP-backed Mir Mohammad Nasir Uddin by a large margin on May 09, 2005.
His popularity, however, dropped due to feuds he was involved in with local leaders as well as minority community leaders and unilateral decisions he made in carrying out development activities defying opinions of other publ

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