Writ challenging legality of contract process with foreign company dismissed

The High Court has delivered a verdict dismissing the writ (rule discharge) regarding the ongoing process related to the contract between the Chittagong Port Authority and a foreign company for managing the New Mooring Container Terminal (NCT) of Chittagong Port.

Justice Zafar Ahmed's single High Court bench gave this verdict today, Thursday.

Following a split verdict of the High Court's dual bench regarding the writ, the single bench of the High Court today dismissed the rule and gave the verdict.

Thus, the decision of dismissing the writ became final by the majority opinion in the High Court.

After the verdict today, one of the lawyers for the writ petitioner, Anwar Hossain, told Prothom Alo that the single bench of the High Court discharged the rule and gave the verdict.

An appeal has been filed in the Appellate Division seeking a stay on the majority's decision to dismiss the writ.

The writ saw a split verdict in a dual bench of the High Court on 4 December of last year. The senior judge of the dual bench declared the rule absolute (appropriate). The other judge of the dual bench gave a verdict dismissing the rule (writ).

Then, on 15 December, the Chief Justice sent the writ to Justice Zafar Ahmed's single High Court bench for settlement. After hearing, today it was announced as a rule discharge with the verdict.

Declared as premature, the writ stated that a Memorandum of Understanding (MoU) with DP World, representing the government of Dubai, was entered under the public-private partnership (PPP) authority, which is lawful.

The verdict stated that the process is moving under the 2017 procurement policy and the MoU. The policy allows for direct selection or election in operating work. There is also a mention of a bidding process. The law has given this power to the relevant authority. The law was not challenged here.

The verdict also mentioned the writ as premature, stating that no work order has yet been issued to anyone.

Senior lawyers Ahsanul Karim and Syed Mamun Mahbub represented the writ petitioner in court. Alongside them was lawyer Md Anwar Hossain.

Additional Attorney General Anik R Haque represented the state. Lawyer Md Helal Uddin Chowdhury represented the Port Authority.

On behalf of the berth operator Everest Port Services Limited, Managing Director Shahadat Hossain Selim, lawyer Nasir Uddin Ahmed Asim participated in the hearing.

Regarding the verdict, the Port Authority's lawyer Helal Uddin Chowdhury told Prothom Alo that the verdict has confirmed that legal procedures were followed, in accordance with the 2015 PPP Act, 2017 G2G Policy, and the 2018 Procurement Guidelines. There's nothing unlawful here and DP World is a company of the United Arab Emirates.

Previously, on 17 February 2019, a Memorandum of Understanding was signed with DP World by the public-private partnership (PPP) authority for managing the New Mooring Container Terminal. This led to a focus on advancing this process and a writ was filed last year by Mirza Waleed Hossain, president of the organisation on behalf of the Bangladesh Youth Economist Forum, questioning the legality of the ongoing process related to the contract between the United Arab Emirates company and Chittagong Port Authority.

After an initial hearing on the writ, the High Court issued a rule on 30 July of last year.

After hearing the rule, on 4 December a split verdict was given by the High Court bench composed of Justice Fatema Najib and Justice Fatema Anwar.

Justice Fatema Najib, the senior judge of the bench, declared the ongoing process of engaging with a foreign company for NCT management as legally unauthorised, violating the 2015 PPP Act and 2017 G2G Guidelines. However, Justice Fatema Anwar disagreed and dismissed the writ application (rule discharge).

Thereafter, the Chief Justice sent the matter to the single High Court bench of Justice Zafar Ahmed for resolution.

The process to hand over the operational terminal to a foreign entity started during the tenure of the previous Awami League government. The interim government advanced the process for handing over the terminal on a G2G basis under a public-private partnership. Political organisations, professionals, and workers held movements regarding this.

The terminal was constructed in 2007. The Port Authority has invested a total of Tk 27.12 billion in phases for its construction and equipment installation.

Currently, Chittagong Drydock Limited, a Navy institution, operates the New Mooring Container Terminal. Until it is handed over to a foreign institution, Chittagong Drydock Limited is expected to continue its operations.