Allegations of large-scale financial irregularities, inflated project costs and systematic embezzlement have surfaced in a government housing project for public officials in Azimpur of Dhaka with the amount of suspected misappropriation estimated at more than Tk200 crore.
 
Former Azimpur Public Works Department (PWD) Executive Engineer Ilias Ahmed, also known as Nasir, has been accused of overseeing a network of contractors and officials allegedly involved in irregularities throughout different stages of the project. More than Tk50 crore is alleged to have been misappropriated from the contingency allocation alone.
 
The allegations raise serious questions about financial oversight, procurement practices and accountability in a project undertaken with public money. Several written complaints and project-related documents reportedly point to discrepancies in expenditure, repeated cost revisions and questionable allocations.
 
Ilias Ahmed is currently serving as a superintending engineer at the Sylhet PWD Circle following his transfer from Dhaka.
 
ALLEGATIONS OF CONTRACTOR COMMISSIONS AND A LONGSTANDING NETWORK:
 
According to project-related sources, allegations of irregularities emerged from the early stages of the project. A case was reportedly filed over irregularities in the tender process after construction contracts were awarded.
 
Despite the complaints, Ilias allegedly remained in charge of the division for more than six years, during which he is accused of building a network of contractors and associates.
 
He also faced allegations of collecting commissions ranging from 10 to 12 per cent from contractors. Owners of a contracting firm reportedly submitted a written complaint to the PWD chief engineer about alleged abuse of authority, irregularities and bribery approximately a year after the project began.
 
However, sources familiar with the matter claimed that he was subsequently promoted to superintending engineer rather than facing disciplinary action.
 
ALLEGED IRREGULARITIES IN CONTRACT AWARDS AND PROCUREMENT:
 
Project insiders alleged that after taking charge of the Azimpur division in February 2018, Ilias became involved in the preparation of the second-phase project profile and successive revisions of the Revised Development Project Proposal (RDPP).
 
He allegedly continued to influence project activities until late 2023, including contract awards and procurement decisions.
 
Several contractors, including Mustafiz Trade International, Iqbal Trading Corporation, Padma Associates, Noorani Construction, Banga Builders, Janani Enterprise, Tanima Enterprise and Abdullah Enterprise, reportedly received multiple contracts during his tenure.
 
According to the allegations, Mustafiz Trade International was awarded numerous project-related works, while Iqbal Trading Corporation was given sewerage treatment-related contracts. The latter arrangements allegedly resulted in physical and mechanical defects in the treatment plant.
 
Questions have also been raised over the quality and costs of work involving the effluent treatment plant (ETP), internal RCC roads, electrical installations, substations, generator buildings, boundary walls, playgrounds, tennis and badminton courts, ponds and reservoirs.
 
The allegations also include claims that some contractors were selected without adequate assessment of their capacity and that commissions were collected through intermediaries.
 
REVISED PROJECT ESTIMATES RAISE QUESTIONS OVER COSTS:
 
An examination of the revised project proposal reportedly reveals substantial increases in several expenditure items, in some cases despite limited additions to the scope of work.
 
For example, the allocation for land development covering an initial 65,445 cubic metres was Tk4.15 crore. Following revision, an additional 4,835 cubic metres was included at a further cost of Tk1 crore. Consequently, the estimated cost per cubic metre rose from Tk635 to Tk2,060.
 
Similarly, the allocation for a 4,000-metre boundary wall and ornamental gates increased from Tk9.47 crore to Tk9.84 crore, raising the estimated cost per metre by Tk925 to Tk24,600.
 
The proposal also allocated Tk6 crore for the development and modernisation of a 15,000-square-metre waterbody, at an estimated rate of Tk4,000 per square metre. The allocation for an underground firefighting reservoir with a capacity of 650,000 gallons increased from Tk5.98 crore to Tk7.06 crore.
 
Questions have also been raised over allocations for deep tube wells, reservoirs, landscaping, soil testing, digital surveys, internal roads, parking facilities, footpaths and waste bins.
 
CAR PARKING CAPACITY AND EQUIPMENT COSTS UNDER SCRUTINY:
 
The project initially planned a 12-storey mechanical parking facility with capacity for 288 vehicles. However, only 240 parking spaces were reportedly provided.
 
Although, the reduced capacity could have resulted in savings of around Tk11 crore, the amount was allegedly not reflected as a corresponding reduction or adjustment in the project accounts. A committee was reportedly formed to investigate the matter.
 
The revised proposal also contains substantial allocations for infrastructure and equipment.
 
These include Tk53 crore for equipment for 17 substations, high-tension cables and floor distribution boards; Tk61.51 crore for lifts; Tk27.34 crore for firefighting systems and fire-rated doors; Tk18.95 crore for basement ventilation and air-conditioning; and Tk6.20 crore for CCTV systems.
 
The proposal also includes Tk7.75 crore for a 540-kilowatt solar power system and Tk8.61 crore for water heaters and compound and gate lighting.
 
However, allegations suggest that the project documents did not adequately specify the quantities and installation locations of several items, raising concerns over cost estimation and procurement transparency.
 
The most serious allegation concerns the use of the four per cent physical and price contingency allocation. According to complaints, expenditure was shown under supplies of stationery and miscellaneous office items, allegedly facilitating the misappropriation of nearly Tk50 crore by the accused engineer and other senior officials.
 
DELAYED COMPLETION DESPITE SUBSTANTIAL EXPENDITURE:
 
The housing project, covering 33.68 acres in Zone A, began in 2019 with an estimated cost of around Tk2,000 crore. It was initially scheduled for completion in 2021.
 
However, the deadline was extended twice, and the project remained incomplete even after the revised completion date of December 2024.
 
According to project-related information, around 90 per cent of the original allocation had already been spent, while overall physical progress was recorded at 80 per cent in official documents as of December 2024. Some engineers, however, estimated the actual progress at around 70 per cent.
 
Despite the delays, Tk206.16 crore was released for the project in the 2024-25 financial year. There are also allegations that the authorities are considering another one-year extension alongside an additional allocation of Tk8 crore.
 
Several contractors, including Wahid Construction, have been accused of failing to complete their assigned work within the stipulated time despite receiving regular payments.
 
SITE INSPECTION REVEALS UNFINISHED AND DAMAGED INFRASTRUCTURE:
 
Recent spot visit to the project site reportedly found several components of the development still incomplete, including four main residential buildings, a mosque, utility buildings, a club, playground facilities, a car parking structure and tube wells.
 
While some structures were nearing completion, work on others appeared to be at an early stage.
 
The condition of the waterbodies also raised concerns. Although a new pond has been excavated, boundary wall construction around another is still underway, while a previously built boundary wall around a third pond has reportedly collapsed. Waste and debris have accumulated in parts of the waterbodies.
 
Despite substantial allocations for tree plantation and landscaping, no trees had reportedly been planted at the time of the inspection.
 
Sections of newly constructed RCC roads, parking areas and pedestrian walkways were also found damaged. Questions have further emerged over the decision to fill a substantial portion of an existing pond and spend additional funds on constructing a new waterbody.
 
These conditions have raised concerns over construction quality, supervision and whether public expenditure has delivered the intended infrastructure.
 
ENGINEER DENIES RESPONSIBILITY, CITES TRANSFER
 
When contacted for comment on the allegations, Ilias Ahmed said he had been transferred to Sylhet following his promotion and no longer had much recollection of the project.
 
“I was promoted and transferred to Sylhet long ago. I do not remember much about that project now,” he said.
 
The allegations of financial irregularities, inflated costs, questionable contract awards and possible misuse of contingency funds warrant an independent investigation by the relevant authorities.
 
A comprehensive audit of project expenditure, procurement records, contractor payments and physical progress would be necessary to establish whether public funds were misappropriated and identify those responsible.