DHAKA, Nov 8: The government of Bangladesh on Tuesday started an investigation into the alleged irregularities in the tender process in three projects after the World Bank announced withdrawal of funds amounting to Tk60.8 million from the projects, said sources in the ministries concerned.

The World Bank, in a press statement issued on Monday, alleged collusion between two or more bidders to keep bids at an artificial level, with or without the knowledge of the procuring agency, and informed the press that they have demanded that the government return the money to the World Bank.

The corruption charge made before the press by the multilateral lending agency has ‘embarrassed and annoyed’ the government leaders as well as officials who, however, apparently refrained from protesting against or challenging the World Bank in view of its global influence and power, the sources added.

The LGRD and cooperatives minister, Abdul Mannan Bhuiyan, is learnt to have directed the officials in his ministry to thoroughly probe into the matter before taking a strong stance and making attempt to refute the allegations.

The health and family welfare ministry will investigate the cause of cancellation of funds for its projects, said sources in the ministry.

The World Bank had questioned two projects under the LGRD and cooperatives ministry -— municipal services project and health and population programme project -— and another project under the health and family welfare ministry.

The bank’s action followed its investigations that ‘found evidence of inappropriate and collusive bidding practices that violated the procurement norms agreed upon between the World Bank and Bangladesh’.