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Thursday, December 9, 2010

[chottala.com] Grameen Bank: 'Norad refund wasn't in full'



 

SPECIAL
'Norad refund wasn't in full'
 
 
 
 
Thu, Dec 9th, 2010 3:49 pm BdST
Polash Datta
 
 
 
Dhaka, Dec 9, (bdnews24.com)—Grameen Bank did not refund all the money to Norad, says Tom Heinemann, the maker of the documentary `Caught in Micro Debt', aired on the Norwegian television NRK.

Heinemann's reaction on Wednesday follows Tuesday's statement from the foreign ministry of Norway on the Bank's founder Muhammad Yunus' fund transfer to Grameen Kalyan from Grameen Bank, breaching the agreement.

In an e-mail to bdnews24.com, Heinemann said, "The Embassy and Norad reacted strongly [at] the time that the money was transferred in part to save tax. Grameen Bank is still using the tax argument when they are defending the transaction."

At a talk show on a private TV channel on Tuesday, Grameen's managing director M Shahjahan said that they had transferred the fund to 'save tax', but not to 'evade tax'.

On Nov 30, the Norwegian state television ran the documentary 'Caught in Micro Debt' by Danish journalist Tom Heinemann. The documentary brought the transfer issue to public as 12 years into the incident.

bdnews24.com was the first to break the story in Bangladesh, which stirred a raging debate across the world.

'NOT A WORD ON CORRUPTION'

Norway's foreign ministry then asked Norad to submit a report on fund transfer which the aid agency did on Tuesday.

Norad in the report said it found no evidence of embezzlement of the Norwegian funds given to Grameen Bank but that the bank did transfer the aid money to its sister company, breaching the agreement.

Norway's environment and international development minister Erik Solheim said, "The matter was concluded when the agreement concerning reimbursement of the funds was entered into in May 1998 under the government in office at the time."

Norad's report shows that Grameen Bank transferred a total of Norwegian kroner (NOK) 608.5 million to Grameen Kalyan in 1996. Norway's share of this amount is estimated to be approximately NOK 170 million.

But Heinemann says, according to the 'confidential memos', the amount transferred is actually NOK 274 million.

"The documentary: "Fanget i Mikrogjeld" have never claimed (or said) one word about misuse of money, nor have the programme raised any allegations regarding potential corruption issues," said Heinemann.

"But why should the documents be kept away from the public?"

"Why did the then Director of Norad, Mrs. Tove Strand Gerhardsen and Mr. Yunus agree in keeping these documents stamped 'Confidential' and hidden away from the politicians in both countries? These questions are still unanswered," he added.

'100 MILLION UNACCOUNTED FOR'

The Danish journalist said the embassy and Norad agreed to a compromise of 170 million. "It meant that not all of the Norwegian funds were returned to the Grameen Bank."

"More than 100 million is not accounted for. We have seen no evidence to show that Grameen Kalyan has returned the rest of the aid funds provided by other countries / institutions, as [Grameen Bank] claim in their statement."

In a May 26, 1998 letter, the Norwegian embassy in Dhaka told Dr Yunus, "The embassy is glad to confirm the compromise which has been reached concerning transfer of funds provided from Norway to Grameen Bank."

It also stated the amount of refund that Norway provided to Grameen Bank during different phases.

Fund that should be returned are "NOK 76 million, provided for housing loan under an agreement of 1994 (phase-4); NOK 30 million, provided for housing loan under another an agreement of 1993 (phase-4); NOK 40 million, provided for housing loan under an agreement of 1990 (phase-3) and NOK 24 million, provided for general and collective loan under an agreement of 1990 (phase-3)."

'WHAT ABOUT OTHER DONORS' MONEY?'

Heinemann says, "It is documented that of the 608 million—the total fund transferred to Grameen Kalyan—540 million was from Norad and other donors such as Germany, Sweden and The Netherlands."

Quoting that the Swedish aid agency SIDA had provided him evidence that Sweden gave 190 million Swedish kronor, Heinemann says the money "was transferred from the Grameen Bank to Grameen Kalyan".

"But they concluded that they would not join Norway's demand for repatriation of funds because they would not damage the Grameen Bank's good name and reputation," he added.

On Grameen Kalyan's purposes as a company, Heinemann notes that it has a completely different purpose than the Grameen Bank "among other things, to create joint ventures with multinational companies, invest in other companies, invest capital in shares, etc."

'WHO SHOULD WE BELIEVE?'

Heinemann mentions that to date they have not seen any proof or accounts that in any way gives any evidence on what the transferred money in Grameen Kalyan actually was used for.

He says, "Mr. (Erik) Solheim, the minister for international development in Norway, has said in the Norwegian parliament that the transferred money e.g. was used for the flood victims in 1998."

"In the Grameen Bank statement it's not mentioned by a single word. Who should we believe?"

bdnews24.com/pd/bd/mr/1500h
 
 


 
 
 

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[chottala.com] 18 December 2010, Victory-day-celebration in Embassy of Bangladesh in Washington DC



Dear all,


For your kind recall - lest we miss your gracious presence - Embassy of Bangladesh in Washington DC will celebrate the 39th anniversary of our historic Victory Day on 18 December 2010 at its Bangabandhu auditorium. The programme, commemoration followed by celebration,  will start at 6:30pm and continue through 7:30pm. All are cordially invited. Thanks to them who have already kept it in their programme list, and thanks to them who are wishing to do so.



Sincerely,


Muhammad Nazmul Hoque

First Secretary and HOC

Embassy of Bangladesh

Washington DC

(202)244-3830



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