Appeal accepted against HC verdict on NCT deal; govt barred from signing contract until disposal

The Supreme Court today (3 February) accepted an appeal challenging a High Court single bench verdict that had cleared the way for leasing out the New Mooring Container Terminal (NCT) at Chattogram Port to Dubai-based DP World, and sent the matter to a full bench for hearing.

Chamber Judge Justice Farah Mahbub passed the order at noon.

During the hearing, the petitioner's counsel sought a status quo on the impugned verdict. In response, the judge observed that the government would not be able to sign the contract until the appeal is disposed of.

Attorney General Arshadur Rouf and Additional Attorney General Aneek R Hoque represented the government and Barrister Anwar Hossain represented the petitioners in the court.

Barrister Anwar Hossain confirmed the development to The Business Standard, saying the appeal filed on Sunday against the single bench verdict was placed for hearing today.

"After hearing, the chamber judge accepted our appeal and referred it to a full bench constituted by the chief justice," he said. "When we sought a stay on the verdict, the court assured that the government cannot proceed with signing the contract until the appeal is settled."

Meanwhile, a work stoppage called by port workers and employees demanding cancellation of the decision to lease out the terminal entered its fourth day today.

The programme, which began on Saturday, was observed from 8am to 4pm over the first three days. On Tuesday morning, workers extended the stoppage for the next 24 hours starting from 8am.

Later in the day, labour leaders announced at a press briefing that the work stoppage would continue indefinitely until the decision to sign the deal is withdrawn.

The dispute centres on the plan to hand over the operation of the New Mooring Container Terminal to DP World under a public-private partnership arrangement.

An MoU to this effect was signed on 17 February 2019.

Bangladesh Youth Economists Forum President Mirza Walid Hossain filed the writ last year, questioning the legality of the ongoing process between the Chattogram Port Authority and the UAE-based operator.

After a preliminary hearing, the High Court issued a rule on 30 July last year.

On 4 December, a division bench comprising Justice Fatema Najib and Justice Fatema Anwar delivered a split verdict.

Justice Fatema Najib declared the contract process illegal, citing violations of the PPP Act 2015 and the government-to-government policy of 2017, while Justice Fatema Anwar dismissed the writ.

The matter was subsequently sent to a single bench for final disposal.

On 29 January, the single bench dismissed the rule, effectively clearing the legal hurdles to proceed with the deal.

State lawyers later said the ruling had removed all legal barriers to the Chattogram Port Authority signing the contract.

However, with the acceptance of the appeal on Tuesday, the matter has again become sub judice, creating a legal bar on signing the NCT deal until the appeal is resolved.