NGO and INGO Registration Procedure in Bangladesh

NGO and INGO Registration Procedure in Bangladesh

NGO registration in Bangladesh- A complete guide in 2020- Everything you need to know

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Tahmidur Rahman, Senior Associate, Counsels Law Partners

2 Jan 2020

This post in details will explain in details about NGO and INGO registration in Bangladesh, the timeline, the concerns and types of NGOs , NGO’s Affairs Bureau,  key parts of the Foreign Donations (Voluntary Activities) Regulations Act, 2016 (FDRA) Act, and the compliances to maintain with Joint Stock Companies and Firms, Department of Social Services with clear directions and infographics.

NGO’s in Bangladesh

Non-governmental organizations (NGOs) play an significant role in developed countries ‘ economic growth. They provide services to society through community development welfare work, national disaster assistance, sustainable system development, and grassroots movements. They are taking numerable steps to improve our community.

With the record of being the most densely populated nation on earth and a poor workforce, Bangladesh faces a huge challenge to meet the demands of its ever-increasing population.

For coping with such population, Organisations are working as the foundation of society. There are several types of organizations, but under the main heading, they can be categorized into three parts:

  • Government organisations, 
  • private organizations and 
  • non-governmental organisations. 

NGO’s have a positive outlook to the society compared to two other wings of the societal organisations. Many activists also dream of making their own NGO to improve society, but by no way build a child’s play. Now, to grasp the whole premise, we will need to recognize a few things.

What is an NGO?

The Non-Governmental Organization is a legal body that is not a direct member of the government, independent of government power, and not a direct political competitor.

Generally, NGOs are set up by a group of people who aim to create a positive difference in society. They raise money from different donors around the world and try to fulfill their mission. NGOs may be of different kinds, such as zoning, state, international, etc.

The NGO was first formally visualised in Article 71 of the Charter of the United Nations, which states: ‘The Economic and Social Council may make appropriate arrangements for consultation with non-governmental organisations.’

A non-governmental organization is a legal body that is not a direct part of a government, independent of government control, and not a direct political competitor.

Differences between an NGO and other organisations

In Today’s world, modern organisations are very nuanced in terms of thoroughness, for example, NGOs are working with the government, and some of them are also binding.

So things blur time to time, in general, NGO’s are considered to be non-profit, non-government-dependent, and to serve their specific function, but they may be a helping hand of the government, collect money, and make profit in order to fulfill their function.

They may not abide by company law or business law, but may be interested in the business as a separate agency of a related NGO. So close observation is required on both the de facto and the de jure activities of the NGO.

Thus, it can be inferred that the process of creation, the mission and the activities of an entity are the final proof that it is an NGO; that it must not be a completely viable business agency, or that it must serve the purpose of its constitution and function accordingly to the part of the government under which it operates for government purposes.

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Conventional NGO programs in Bangladesh

 On the basis of funding, we can further extend the scope of NGOs, such as locally sponsored, government-funded, foreign government-supported, national and international organizations. NGOs conventionally cover a wide range of sectors.

Typical NGO and INGO programs in Bangladesh are:

  • BINGO: business-friendly international NGO (example: Red Cross)
  • ENGO: environmental NGO (Greenpeace and World Wildlife Fund)
  • GONGO: government-organized non-governmental organization (International Union for Conservation of Nature)
  • INGO: international NGO (Oxfam)
  • QUANGO: quasi-autonomous NGO (International Organization for Standardization [ISO])

    In addition to that the other general scopes are:

  • Human Rights
  • Woman Rights
  • Humanitarian Situation
  • Health issue
  • Education Sectior
  • Responding to health crises
  • Environmental issues
  • Economic programs
  • Skills development
  • Local development
  • Addressing Social issues
  • Religious perspective ( support and help)
  • Research purpose
  • Survey and Study

If you want to know how to open a company in Bangladesh or about company formation click here!

  • Step by Step Process of Registering a Company in Bangladesh

How to register an NGO in Bangladesh?

To get an NGO or an INGO registered in Bangladesh or an organization willing to operate or obtain foreign funding for the purpose of undertaking or carrying out any voluntary operation, it is imperative that such an organization be registered with the authority concerned and comply with the Government’s requirements.

According to the laws of Bangladesh, the term “voluntary activity” can be specified as “an activity undertaken or carried out by any person or organization of his or her own free will to provide agricultural, relief, missionary, educational , cultural, vocational, social, welfare and development services, and includes any activity that the Government can, from time to time, consider to be a Voluntary activity.”

 

NGO and INGO registration in Bangladesh

Any entity whose activities fall within the ambit of the definition mentioned above needs to have it registered to carry out its operation in Bangladesh.

In order to register an International Non-Government Organization (INGO) or local based Non-Government Organization (NGO), an application needs to be filed with the concerned authority. 

The NGO Affairs Bureau (NGOAB) (which is under the Ministry of Social Welfare of Bangladesh) and the Ministry of Home Affairs shall be the relevant authorities in Bangladesh in this regard.

However, for example the Ministry of Health & Family Welfare or Ministry of Disaster Management and Relief or any other relevant authority which administers the entity’s activity shall also play a vital role. 

An NGO in Bangladesh can be registered in three ways: 

A. Under NGO Affairs Bureau 

B. Under the Department of Social Services (DSS)

C. Under Joint stock companies and firms

 

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Process of NGO registration Under NGO Affairs Bureau in Bangladesh

Firstly, the registration of the INGO or the NGO must be carried out by the body of the NGOAB concerned. Application in the specified form shall be made to the NGOAB along with payment of the required fee and all related documents such as operation report, letter of intent, constitution, copy of the Treasury Challenge with respect to payment of registration fees, etc.

Upon submission of the application to the NGOAB, it shall be forwarded to the Ministry of Social Security and also to the Ministry of Home Affairs for review and inspection of the documents submitted.

Upon receipt of the papers, the Ministries concerned shall nominate the Special Branch of Police and National Security Intelligence to carry out a security check on the applicant and on such a matter of inspection as clearance forwarded to the Ministry of Home Affairs, provided that the approved bodies are pleased with their enquiries.

Once the approval has been issued to the NGOAB, it shall continue with the audit and final inspection of the documents. Acted mainly under the International Donations (Voluntary Activities) Regulations Act, 2016 (FDRA); to register an NGO, certain tasks must be completed; (as stated in section 4 of the FDRA) :

 

  • FD-1 Form (signed by Chief Executive in Bangladesh) – 9 copies
  • Certificate of incorporation in the Country of origin – 3 copies
  • Constitution – 4 copies
  • Activities Report – 6 copies
  • PIan of Operation (Work/Organogram) –  4 copies
  • Decision of the committee/ Board to open an office in Bangladesh – 4 copies
  • Letter of Appointment of the Country Representative – 4 copies
  • Copy of Treasury challan in support of depositing 50000 Taka for local NGO and USD $ 9,000 or Equivalent TK amount for foreign NGO in the Code 1-0323-0000-1836 and 15% Vat Code No (1-1133-00 35 -0311)  – 3 copies
  • Deed of agreement stamp of TK.300 with the landlord in support of opening the office in Bangladesh – 3 copies
  • List of Executive Committee (foreign) –  4 copies
  • Letter of Intent – 5


Note: AII documents from abroad should be notarized by Justice of peace or attested by Bangladesh Embassy.

Ngo Registration In Bangladesh_How To Register A Ngo In Bangladesh

Foreign Donations (Voluntary Activities) Regulations Act, 2016 (FDRA)

As per, Foreign Donations (Voluntary Activities) Regulations Act, 2016 (FDRA), under section 2(1) and foreign donations under section 2(5) which is very important to operate an NGO in Bangladesh.

 

  • Section 3 of the Act made it necessary for NGOs to register where there is some international transaction. This act shall take precedence over all other current and relevant legislation.
  • Officials are to verify documents and authorize the NGO for a term of 10 years. It must be re-submitted in order to renew period 6  months before the end of the 10-year term. It placed certain barriers under section 5 to accept donations from certain individuals.

    Section 6 stipulated that the appointment of International Consultant, Advisor or Officer and International Tours must be notified by the Government of their security clearance.

  • Section 9 for the management of the account of foreign donations, as well as for each NGO and person, shall maintain its accounts in the specified manner and prepare an annual statement of accounts; (section 12) for the approved audit firms.
  • Section 10 empowers the Government to carry out surveillance, monitoring and analysis of every NGO.
  • Under section 15 the Act said if any NGO violates this law or any law of Bangladesh the can take appropriate action against that NGO.

Registration of NGO under the Department of Social Services (DSS)

This is done under the Ministry of Social Welfare The application process is simpler here as the online application system is available and the processing period is estimated to be about 7 months long [further verification needed]. But catch registration with DSS only allows you to work in Bangladesh only does it not allow you to receive foreign donations. Follow this link for more information and procedures. The main legal instruments are as follows:

1) SOCIAL WELFARE Organizations VOLUNTARY (REGISTRATION AND CONTROL) ORDINANCE, 1961
2) স্বেচ্ছাসেবী সমাজকল্যাণ সংস্থাসমূহ (নিবন্ধন ও নিয়ন্ত্রণ) বিধি ১৯৬২

Registration of NGO through RJSC in Bangladesh

Registration with RJSC is a more formal approach towards registering an NGO in Bangladesh, but often deemed as more desirable because it offers:

1) Quicker response time for applications
2) Smoother application process;

First, you need to get a name clearance like a company name clearance. The next step in the process is the actual application for registration of the entity. This request must be submitted on paper along with all the necessary documentation (and the approval of the name clearance). Later, the Intelligence Department will have a check-up and send a report to RUSC. That’s it.
The procedure is based on the SOCIETIES REGISTRATION ACT of 1860.

“As per, Foreign Donations (Voluntary Activities) Regulations Act, 2016 (FDRA), under section 2(1) and foreign donations under section 2(5) which is very important to operate an NGO in Bangladesh.”

 

Ngo Registration In Bangladesh_Ngo And Ingo In Bangladesh

Frequently Asked Questions about NGO and INGOs in bangladesh

In regards to NGO registration in bangladesh people also ask these questions frequently, hence this FAQ content block is dedicated to answering your questions.

General Questions about NGO registration in bangladesh

What is the rule of a NGO?

Every NGO in Bangladesh is legally mandated to document the Memorandum of Understanding. It includes the name and address of the NGO, the mission and goals, specifics of the governing body, information on human resources and personnel, rules and regulations, administrative laws and procedures.

How many NGO's are there in Bangladesh?

3000+.

Currently, approximately 3000+ (including local and international) NGOs are registered under the legislation of Goverment of Bangladesh. A total of 240+ foreign Non-government organizations (NGO) of 30+ countries have been operational in the country

Which is the biggest NGO in Bangladesh?

Based on the number of employees, BRAC is considered as the largest NGO (non-governmental development organisation) in the world not only in Bangladesh! 

What is the model NGO guide?

United Nations Model NGO Guide. Since the founding of the United Nations, NGOs have been core members of the policy and implementation process. NGOs or non-governmental organizations are non-profit organisations focused on humanitarian, human rights and sustainable development issues around the world.

How many members there should be in my NGO?
Conventionally there shhould atelast be 7 members . There is no upper limit on the number of members of the group. These members have different designations which can be determined between them.
What is the head of an NGO called?

The Board of Directors of the NGO is at the top. The NGO Board is a legal requirement in most countries to be formally registered with local authorities. Most NGOs stipulate that membership of the Board is voluntary and non-remunerative. Board meetings shall be held closed, while written processes, reports and minutes may be made available for the purposes of accountability.

Who are considered as top managements of a NGO?

The top management of an NGO consists of three entities –

  • the Board of Directors,
  • the General Assembly, and
  • the Executive Director. 
Who are responsible for the day to day functioning of an NGO?

The staff members of the NGO shall be responsible for the day-to-day operation and execution of its programs and projects. They report to the Executive Director, who is ultimately responsible for the operations of the NGO. (See Figure 3) The staff members of the NGO fall into three groups-responsible for activities related to (1) management, (2) advertisement and (3) programs / projects.

How do NGO's get funding in Bangladesh?

NGOs in Bangladesh may receive, coordinate and collect funds through a variety of sources, procedures, initiatives, ventures and activities: grants through funding agencies through ventures. Grant from the International Development Agency and   Fund Raising from the Corporate Department under the CSR.

What are the differences between a NGO and a Non-profit?

The NGO is a non-governmental organisation. A non-profit organization uses the excess funds for the benefit of the organization, rather than splitting them between the members and the owners of the company. Examples of NPOs are performing arts organisations, trade unions and charities.

NGO and INGO registration at Tahmidur Rahman CLP:

The legal team of Tahmidur Rahman, Counsels Law Partners CLP are highly experienced in providing all kinds of services related to registering NGO, non profit and charitable trust in Bangladesh . For queries or legal assistance, please reach us at:

E-mail: tahmidur@counselslaw.com
Phone: +8801727983838

Address: House 39, Road 126 (3rd Floor) Islam Mansion, Gulshan 1, Dhaka

 

Have a Different Question?

Email us anytime : tahmidur@counselslaw.com

Or call — +8801727983838

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Liquidation or Winding up a company in Bangladesh | Everything you need to know

Liquidation or Winding up a company in Bangladesh | Everything you need to know

Liquidation or Winding up a company in Bangladesh | Solvency declarance, Board meeting, declaration filings| Everything you need to know.

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Tahmidur Rahman, Director and Senior Associate

12 Nov 2019

This post in will explain in details about the process of Liquidation or winding up a company in Bangladesh – This article will explain the step by step process of winding up a company office in Bangladesh, Declaration of solvency , accounts and audit, extraordinary general meeting, declaration of solvency and everything you need to know and to be aware of.

 

What is Liquidation or Winding up a Company? And how a Liquidation or winding up works?

Winding up is the process of dissolving a company. A business organisation stops doing business as normal when it winds up. Its conventional aims are to sell off stock, pay off creditors and transfer to partners or shareholders any remaining assets. The term is used mainly in UK where liquidation is synonymous with the process of turning assets into cash. In other terms, this mechanism generates a monetary fund in which a business pays its debts, outstanding bills, and splits the remainder and distributes to shareholders, members of the corporation, investors, or any other investor. A receiver may be designated to control such asset distribution (known as “Liquidator”) process.

Winding up a business is a legal process regulated by company laws of Bangladesh as well as a company’s AoA (Articles of association) or partnership agreement. Winding up can be compulsory or voluntary and can apply to publicly and privately held companies. (Liquidation or Winding up a company in Bangladesh)

Process of Liquidation or Winding up a company in Bangladesh

Before we deep dive into the process of winding up a company in Bangladesh, it is pertinent to note the term used here is Company but not businesses, as sole proprietorships or partnership business in Bangladesh do not follow the equivalent pathway or practice such as liquidation or winding-up. Therefore, to continue with the liquidation process one must have or have an operating company, properly incorporated / registered under Bangladesh law.

Under the company law 1994, there are three modes of winding up a company in Bangladesh. The winding up of a company may be either:

 

  • by the court or
  • voluntarily or
  • Subject to the supervision of the court.

 

Who can file the petition of winding up in Bangladesh?

A winding-up petition can be filed jointly or separately by a creditor, the business or the company (i.e. shareholders) or lender under section 245 of the Companies Act 1994. In the event of a company winding up, section 235 of the Companies Act notes that each of the company’s current and former owners will be liable to contribute to a amount adequate to cover the company’s debts, liabilities, costs and liquidation expenses. Section 237 describes the term contributory; it means that in case of wound up each individual is liable to contribute to the assets of a corporation. (For Liquidation or Winding up a company in Bangladesh)

Hence to summarise,

A petition for winding up can be filed by:

  1. Creditor or,
  2. the Company (i.e. shareholders) or
  3. Contributory (who contributes to a companies’ assets in paying the debts and costs of the company), together or separately.

 

Liquidation Or Winding Up A Company In Bangladesh_Tahmidur Rahman_Best Law Firm In Bangladesh

Winding up a company by the court in Bangladesh

Winding Up of a company by court may be done in certain circumstances which are:

 

  • if the company through the special resolution decided that it must be winded up by the court; or
  • if default is made in filling the statutory report or in holding the statutory meeting; or
  • if the number of members reduced below the required number as per the Company Law; or
  • the company is incapable of paying its debts; or
  • if the court is of opinion that it is just and equitable to wind up the company.

Liquidation or winding up a Company by Court- Process in Bangladesh

Company winding up or Liquidation process in Bangladesh by court has been discussed very briefly in order to give an idea of the process.

Step one: Filing Petition to Court

In order to wind up a company by the court, a petition has to be filled the company court of High Court Division of Supreme Court .  It is to be noted that winding up of a company by the court shall be deemed to commence from the time of presentation of petition for winding up. Upon hearing the application the court will pass an order for winding up of the company.

Step two: Notification to registrar

In issuing a winding-up order, the petitioner and the corporation are obliged to file a copy of the order with the Registrar within 30 ( thirty) days from the date of the request. The Registrar shall register a summary in his company related books upon filing a copy of a winding-up order. The registrar then notifies the official Gazette that such an order has been made. Such an order shall be considered to be a discharge notice to the company’s employees, except when the company’s business is continued.

Step three: Appointment of Liquidator

The court will then appoint an official liquidator and the liquidator will perform its duties as per the Companies Act 1994. In case of winding up by the court, all the property and effects of the company shall be deemed to be in the custody of the Court as from the date of the order for the winding up of the company.

Step four: Information recorded with RJSC

Once a company’s affairs have been completely wound up, the Court shall make an order to dissolve the company from the date of the order, and the company shall be dissolved accordingly. Official liquidator shall report the order to the registrar within 15 (fifteen) days of the order. The registrar shall record a minute of the company’s dissolution in his books.

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  • Step by Step Process of Registering a Company in Bangladesh
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Voluntary Liquidation or a winding up a company in Bangladesh

A company may be winded up voluntarily:

  • when the period, if any, fixed for the duration of the company by the articles expires or any event  occurs for which the articles provides that the company is to be dissolved and the company in general meeting has passed a resolution for winding up voluntarily;
  • if the company resolves by special resolution that the company be winded up voluntarily;
  • if the company resolves by extraordinary resolution to the effect that it cannot by reason of its liabilities continue its business, and that it is advisable to wind up.

It is to be noted that commencement of voluntary winding up shall be deemed to commence at the time of the passing of the resolution for voluntary winding up. (Liquidation or Winding up a company in Bangladesh)

Company Winding up process subject to Court in Bangladesh

 

When a company has by special or extraordinary resolution resolved to wind up voluntarily the court may make an order that the voluntary winding up shall continue but subject to supervision of court and such terms as the court thinks just.

 

Section 242 of the Companies Act 1994 takes into account whether a corporation is found to be unable to pay its debts. This will be the case if a creditor to whom the company is indebted for a sum and the company fails to pay the sum for three weeks or if the execution or other proceedings issued under a decree or order of any court in favor of a company creditor are returned unsatisfied in whole or in part or if it is demonstrated to the court’s satisfaction that the company is unable to pay its debts and the court is to take account of them.

 

Section 316-321 of the 1994 Companies Act deals with turning up being subject to court oversight. If a company has agreed to wind up voluntarily through special or exceptional means, the court may make an order that the voluntary winding up must proceed but be subject to court oversight and such conditions as the court considers appropriate. Where an order for winding up is made subject to supervision, the liquidator may exercise all the powers, subject to any limitation imposed by the court, as if the company were being wound up voluntarily entirely. (Liquidation or Winding up a company in Bangladesh)

 

 

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Steps by Step process of voluntary Winding Up a Company in Bangladesh

 

This is the liquidator ‘s responsibility in any voluntary winding-up to settle the company’s debts and change the creditors’ right among themselves. Here is the comprehensive step-by – step method of voluntary wind-up of a bangladesh company.

Step One: Drafting documents for Winding Up

The first step on the process of winding up is to prepare documents. The documents that need to be prepared are:

  1. Declaration of Solvency, (which includes information such as the company has no debts among other things) and
  2. Profit and Loss Account and
  3. Audited Balance. 

The above mentioned documents will have to be approved by the majority directors of the company.

Step Two: Submission to RJSC

The next step is to file the approved Declaration of Solvency to the RJSC within 5 (five) weeks from the approval by directors.

Step Three: Pass Special Resolution

The third step requires the Extraordinary General Assembly to pass a special resolution. This is to approve the company’s decision to wind down and the liquidator appointment. It should be noted that the meeting ‘s content is also to be filed with the RJSC. The special resolution will then be published in the official Gazette, and in a newspaper circulated in the district where the company’s registered office is located. It will be achieved within 10 ( ten) days of the special resolution passing it.

Step Four: Appointing Liquidator

Once the chosen liquidator has been approved by the extraordinary general meeting and the liquidator has accepted the appointment, such must be notified to the RJSC. In addition, the Deputy Commissioner of Taxes will also be informed of the same within 30 (thirty) days of the said appointment. 

Step Five: Final Report by Liquidator

At this stage the liquidator need to prepare a Final Account. The Final Account must have the details of how the winding up has been conducted and the assets distributed. Thereafter, the liquidator will call an extraordinary general meeting and the notice for that must be circulates by advertisement in the official Gazette, and in a newspaper. Such a notice must be given not less than one month before the meeting.

The special resolution will be passed in the extraordinary general meeting with regards to the disposal of the books and papers of the company. 

Step Six: Documents filing to RJSC

Lastly, a final meeting must be hold and a return of the meeting must be submitted to the RJSC upon which the company will be winded up. The submission must be made within one week of the meeting.

Step Seven: Petition filing to Court for Winding Up

For voluntary winding up, the petition to the court is made at this stage. All the documents relevant to the winding up of the company are submitted to the court. The court being satisfied, declares that the company has been dissolved. This stage is essential to avoid any allegation of fraud later on.  

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  • Step by Step Process of Registering a Company in Bangladesh
Liquidation Or Winding Up A Company In Bangladesh_Tahmidur Rahman_Law Firm In Bangladesh

Government fees for Company Winding Up Process

 

Here are the minimal required government fees for the company winding up process (Liquidation or Winding up a company in Bangladesh):

1.         For Private and Public Company: BDT 20.00

2.         For Trade Organization and Foreign Company: BDT 10.00

 

Liquidation or winding up a company in Bangladesh services in Counsels Law Partners

 

Tahmidur Rahman | Counsels Law partners, a leading Company law firm can provide following the legal services: The Law firm will assist in arranging the actual consent and interest of each company share. Furthermore, CLP will provide a complete road map for winding up processes. Team CLP may also help in the disposal of company properties and make use of the proceeds to pay creditors. In addition , the team will assist in holding creditors’ meetings, settling legal disputes and settling all the company’s pending obligations. CLP will be responsible for sending the documents to RJSC and preparing all documents in Bangladesh for the termination or liquidation of the company. On top, the company law department will provide the complete legal services in relation to Company winding up or Liquidation process in Bangladesh.

 

For queries or legal assistance, please reach us at:

 

E-mail: tahmidur@counselslaw.com
Phone:+8801727983838 (WhatsApp also available)

 

Address: House 39, Road 126 (3rd Floor) Islam Mansion, Gulshan 1, Dhaka.

 

Liquidation or Winding up a company in Bangladesh.

 

 

 

Liquidation Or Winding Up A Company In Bangladesh_Best Law Firm In Dhaka
“For voluntary winding up, the petition to the court is made at this stage. All the documents relevant to the winding up of the company are submitted to the court. The court being satisfied, declares that the company has been dissolved. This stage is essential to avoid any allegation of fraud later on.  .”

 

If you want to know how to open a company in Bangladesh or about company formation click here!

  • Step by Step Process of Registering a Company in Bangladesh
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Defamation Law in Bangladesh and regarding its offences and remedies| Everything you need to know

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Tahmidur Rahman, Director and Senior Associate

20 Oct 2019

This post in will explain in details the Defamation Law in Bangladesh – offences and remedies, everything about defamation law that you need to know and be aware of.

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Slander Libel Defamation Law In Bangladesh_Best Law Firm In Bangladesh

 

What is Defamation?

Defamation is a common legal term that refers to a person’s credibility being damaged unjustly. The word defamation is broken down into libel and slander in Common Law legal systems. The former applies to a publication of a defamatory document, whether in written form or by any other medium such as broadcasting. In comparison, Slander refers to defamation that is privately spoken and not maintained in any permanent way. For several developed nations defamation is prosecuted as a legal error under tort law.
Similarly, criminal defamation defines the case in which diffamation is an offense under state criminal law.

In these cases, suspected defamation would usually be charged by state advocates and trialed in the criminal justice system, with the prospect of imprisonment on conviction being levied. According to the  Section 499 of the Penal Code of Bangladesh¸ whoever by words either spoken or intended to be read, or by signs or by visible representations, makes or publishes any imputation concerning any person intending to harm, or knowing or having reason to believe that such imputation will harm, the reputation of such person, is said to defame that person.

 

Defamation in International Law

 

In the United Kingdom and the EU, only people may make allegations about being ‘defamed’ in the Courts. Because their laws on defamation are meant primarily to preserve the individual right to a reputation, only an individual can sue for the defense of that right. The Government, branches of government, departments , agencies, religious organizations, and leaders of religious groups (unless personally defamed) can not sue for defamation.

The United Nations Special Rapporteur on the Promotion and Security of the Right to Freedom of Opinion and Speech is among a variety of international legal bodies that have stated that “criminal defamation laws should be repealed in favour of civil law, because the latter can provide sufficient protection for reputations …”
Due to the very sanctions that often accompany conviction, criminal defamation laws represent a potentially serious threat to freedom of expression. The ECHR has defined a set of very stringent protections to be enforced while a criminal defamation law exists in a statute in Amorim Giestas and Jesus Costa Bordalo v. Portugal(8J).

 

• If defamation is part of the criminal law, the criminal standard of proof, beyond a reasonable doubt, should be fully satisfied.

• Convictions for criminal defamation should only be secured when the allegedly defamatory statements are false, and when the mental element (mens rea) of the crime is satisfied.

• Penalties should not include imprisonment, nor should they entail other suspensions of the right to freedom of expression or the right to practice journalism.

• Should not resort to criminal law when a civil law alternative is readily available

Types of Defamation

Conventionally there are mainly 2 types of defamation in in the legal world. (Libel and Slander).

The Penal Code 1860 defines defamation as defamation, rendering or publishing some imputation either by words spoken or intended to be read, or by signs or clear representations concerning some individual who intends to damage that person’s reputation, that person is said to be defamed and whoever commits the defamation offense punishable by 2 years of simple imprisonment or with fine or both.

Bangladesh’s Penal Code 1860 also states that it can be a defamation to impute something to a deceased person if the imputation harms that person’s reputation if he lives, and is intended to harm his family or other close relatives’ feelings.

Making an imputation relating to a corporation or an organization or group of individuals as such can amount to defamation. An imputation in the form of an alternative, or ironically expressed, can amount to defamation. No imputation is said to injure the integrity of a individual unless that imputation directly or indirectly, in the opinion of others, diminishes the moral or intellectual character of his caste or title, or diminishes that person’s honor, or leads us to believe that that person’s body is in a loathsome condition, or in a condition commonly deemed disgraceful.

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Libel- Defamation law in Bangladesh

A malicious defamation expressed either in writing or printing that tends to either blacken the memory of one who is dead or the representation of one who is alive and expose him to public hatred, contempt or ridicule. The elements of a libel are:

  1. Publication of a false statement
  2. expressed in writing, printing or in some other permanent form
  3. tending to harm the reputation of another.

Slander- Defamation law in Bangladesh

A verbal statement, false and defamatory and tending to affect one’s good name and reputation. The elements of a slander are:

  1. That the statement complained of is false,
  2. defamatory,
  3. and that some special damage to the plaintiff has resulted from it.

    Defamation as a criminal offence in Bangladesh

    As it is stated earlier, Defamation in Bangladesh, unlike different countries, is considered a criminal crime and not a civil wrong. In addition, in diffamation criminal law, there is no difference between spoken and written words , given that the conditions set out in Section 499 of the Bangladesh Penal Code above are met. Since this is a criminal offence, however, the prosecution must prove beyond reasonable reason that the defendant has committed defamation.

    Latest law concerning Defamation in Bangladesh

    Section 57 of the ICT Act 2006 provides[12]: (1) If any person deliberately publishes or transmits or causes to be published or transmitted in the website or in electronic form any material which is fake and obscene or its effect is such as to tend to deprave and corrupt persons who are likely, having regard to all relevant circumstances, to read, see or hear the matter contained or embodied in it, or causes to deteriorate or creates possibility to deteriorate law and order, prejudice the image of the State or person or causes to hurt or may hurt religious belief or instigate against any person or organization, then this activity of his will be regarded as an offence.
    (2) Whoever commits offence under sub-section (1) of this section he shall be punishable with imprisonment for a term which may extend to maximum 14 years and minimum 7 years and with the fine which may extend to taka ten crore.
    This is the latest provision concerning defamation law in Bangladesh. It covers any publications made in electronic form. How ‘Tahmidur Rahman & Counsels Law Partners Associates’ help the purchaser of any land in Bangladesh:

    The Penal Code 1860 defines defamation as defamation, rendering or publishing some imputation either by words spoken or intended to be read, or by signs or clear representations concerning some individual who intends to damage that person’s reputation, that person is said to be defamed and whoever commits the defamation offense punishable by 2 years of simple imprisonment or with fine or both.

    Defamation Law In Bangladesh

    Defences of  Defamation Law in Bangladesh 

    Chapter 21 Section 499 of Bangladesh’s penal code provides that[11]:
    “whoever by words either spoken or intended to be read, or by signs or by visible representations, makes or publish any imputation concerning any person intending to harm, or knowing or having the reason to believe that such imputation will harm, the former person will be liable to the latter.”
    The statue also outlines a list of exceptions in regards to defamation law in Bangladesh, which might also work as the potential defences of defamation. Accordingly, it is not defamation:

    1. It is not defamation to make statements about anything which is true concerning any person, if such statement is made for the public good.

    2. It is not defamation to express in good faith any opinion whatever respecting the conduct of a public servant in the discharge of his public functions.

    3. It is not defamation to express in good faith any opinion whatever respecting the conduct of any person touching any public question.

    4. It is not defamation to publish a substantially true report of the proceedings of a Court of Justice, or of the result of any such proceedings.

    5. It is not defamation to express in good faith any opinion whatever respecting the merits of any case, civil or criminal, which has been decided by a Court of Justice.

    6. It is not defamation to express in good faith any opinion respecting the merits of any performance which its author has submitted to the judgment of the public.

    7. It is not defamation in a person having authority over another, to pass in good faith any censure on the conduct of that other in matters to which such authority relates.

    8. It is not defamation to prefer in good faith an accusation against any person to any of those who have lawful authority over that person with respect to the subject matter of accusation.

    9. It is not defamation to make a comment on the character of another, provided that such comment is made in good faith for protecting the interest of the person making it, or of any other person, or for the public good.

    10. It is not defamation to convey a caution, in good faith, to one person against another.

    Defamation Law In Bangladesh_Tahmidur Rahman Best Law Firm

    “It is not defamation to express in good faith any opinion whatever respecting the conduct of a public servant in the discharge of his public functions.”

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    Potential Punishment for Defamation Law in Bangladesh

    As per the Bangladeshi Law, Whoever commits defamation shall be punished with simple imprisonment for a term which may extend up to 2 years and fine.

     

    Tort and Defamation practice at CLP 

    The Barristers, Advocates, and lawyers at CLP Law chamber in Gulshan, Dhaka, Bangladesh are highly experienced at assisting clients in dealing with defamation and every aspects surrounding defamation. For queries or legal assistance, please reach us at:

    E-mail: tahmidur@counselslaw.com
    Phone: +8801727983838
    Address: House 39, Road 126 (3rd Floor) Islam Mansion, Gulshan 1, Dhaka.

     

    Screenshot 2019 10 22 At 6.22.00 Pm

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    Pharmacy Business in Bangladesh – Permission, License process and Business Formation

    Pharmacy Business in Bangladesh – Permission, License process and Business Formation

    Pharmacy Business in Bangladesh – Permission, License process and Business Formation

    Tahmidgoldenpicturebackground E1569742859700

    Tahmidur Rahman, Director and Senior Associate

    20 Sept 2019

    In this post, Tahmidur Rahman speaks about how to open a Pharmacy Business in Bangladsh successfully and the process of formation in details.

    How to open a Pharmacy Business in Bangladesh  

    Bangladesh’s Pharmacy sector is one of the most profitable sector in regards to the proportionality of investment and output . Owning a pharmacy company in Bangladesh is not only a lucrative endeavor but also a satisfying one for you. This is the company for those who want a place to deliver a reliable service. But business startup is a challenging process. Things to do in this process are including market study, financial structure, trade licensing and product licensing, recruiting critical staff, etc.
    And make sure you educate yourself thoroughly on what that means before you attempt to open a drug store. When you want to personalize the type of service that you deliver to your clients in different ways, a retail pharmacy offers you complete flexibility.

     

    Procedure of starting a Pharmacy in Bangladsh

    Launching a pharmacy company in Bangladesh is currently something difficult, but not impossible. Because of this sector’s strengthened regulation it provides a major opportunity to enhance community health. This means the government has given priority to the informal sector, including Bangladesh retail drug shops. It is positive news for the country’s health-care sector. Here are the steps to opening a Pharmacy Business in Bangladesh in simple three steps:

    • A. Market Research & Analyze the Local Community’s Needs and draft a business Plan:

      This is not only the first and initial step for your pharmacy business in Bangladesh but also the most important one. When it’s done, you’ll need to build lasting relationships with drug wholesalers and other vendors. In the process, you also have to negotiate good rebates. Unless you are trying to choose the right place where a lot of traffic passes every day, the company will definitely be running in full swing. If you find it in the vicinity of a government or private hospital, this is the best place for a pharmacy company.

    • B. Obtaining Permission from the Bangladeshi Pharmacy Council for Pharmacy Business in Bangladesh:

      To conduct business as a pharmacist in Bangladesh, you must first obtain Shonod (Permission) from the Pharmacy Council of Bangladesh. You can receive the permission from the Bangladesh Pharmacy Council after completing a 6 month course.

    • C.Obtaining Permission from the Bangladeshi Pharmacy Council for Pharmacy Business in Bangladesh:


      Collect Form 7 from Drug Administration’s (DGDA) General Directorate. To apply for a drug license, fill out Form 7 and submit it to DGDA. The applicant must also send Bank Statement of License Fee payment to Treasury Chalan along with Form 7. Receiving the store deposit or photocopying the rent agreement. If you own the store, then the store’s Ownership Deed. An Angikarpotro by another Pharmacist approved.
      A copy of your Trade License – if you want to set up a pharmacy in a Bangladesh municipal area, you need to get a Trade License. For an idea of how to get a trade license in Bangladesh, please check out our article on “The complete process of obtaining Trade License” here.

    1. At first obtain the Bank statement
    2. And then, the Treasury Chalan of the License fee submission
    3. The receipt of the rent of the shop or photocopy of the rental agreement. If you own the shop, then the Deed of ownership of the shop.
    4. An Angikarpotro by another licensed pharmacist.
    5. A copy of your Trade License – if you want to set up the pharmacy in a municipal area of Bangladesh, then you must obtain Trade License. To have an idea on how to obtain trade license in Bangladesh, please have a look at our article on “Trade License Process and Cost”.
    6. A copy of the certificate of completion of the 6-month course by Bangladesh Pharmacy Council

     

     

    Pharmacy Business In Bangladesh_Tahmidur Rahman

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    Standards for the establishment and operation of  Pharmacies in Bangladesh

    Even after successfully creating the establishment/business the  Pharmacy owner must have these required coml;

    In addition to these, every Pharmacy owner shall keep in mind while conducting pharmacy business in Bangladesh:

    • Ensure that the Pharmacy staff has the appropriate skills, qualifications, and competencies for their role and for the tasks they carry out.
    • Prominently display the Pharmacy accreditation certificate, dispenser registration certificate(s), and trade license.
    • Prominently display the name of the pharmacist—in-charge for the premises and his/her registration certificate in the professional service area.
    • Notify the DGDA in writing within 30 days after the Pharmacy permanently closes; in so doing, the authority shall inspect the inventory and provide advice for proper disposal of medicines and other products.
    • Notify the DGDA in writing within 30 days after the Pharmacy temporarily closes with the anticipated date of re-opening, which should also be publicly displayed in front of the Should a Model Pharmacy close for one year, it shall be considered a new applicant for accreditation.
    • Notify DGDA in writing within seven days for any change in approved personnel including when a notice for termination of contract with pharmacist-in-charge is issued.
    • Report any thefts or unexplained losses of drugs or records immediately to the nearest police station and to DGDA.

    Premise requirement for  Pharmacy Business in Bangladesh

    In regards to the Pharmacy Business in Bangladesh and premise of the Pharmacy, every Model Pharmacy premises must meet minimum requirements as follows:

    • Be a permanent structure that is not at risk from floods.
    • Have a roof and ceiling free from leakage.
    • Provide adequate seating for customers waiting for service.
    • Have surfaces/floors/walls with smooth finish that can be washed with disinfectants.
    • Assure good hygiene inside and outside the premises.
    • Have a source of potable water.
    • Have space with dimensions of at least 300 square feet and a ceiling height of at least 8
    • Have a source of electricity such as a direct connection to an electrical grid, generator, instant power supply, or solar panels.
    • Have a sink with running water dedicated to support hand hygiene practices.
    • Where a Model Pharmacy prepares extemporaneous products, the sink must have sufficient space for cleaning related equipment.
    • The sink should not be used for disposal of mop water and other liquid wastes.
    • The building must be constructed and maintained to minimize entry of animals, such as rodents and birds.

    How ‘Tahmidur Rahman & CLP Associates’ helps the formation of any business in Bangladesh

    The Barristers, Advocates, and lawyers at CLP in Gulshan, Dhaka, Bangladesh are highly experienced at assisting clients through the entire process relating to formation of pharmacy business in Bangladesh. For queries or legal assistance, please reach us at:

    E-mail: tahmidur@counselslaw.com
    Phone: +8801727983838
    Address: House 39, Road 126 (3rd Floor) Islam Mansion, Gulshan 1, Dhaka.

    Pharmacy Business In Bangladesh_Best Law Firm In Bangladesh

    Signage Requirement for Pharmacies in Bangladesh

    Pharmacies will have the following signage:

    • A sign board with the name of the outlet, registration number, address, and officially approved logo (brand) for a Model Pharmacy in accordance with DGDA’s Model Pharmacy branding guidelines.
    • A “NO SMOKING” sign conspicuously placed to prohibit smoking on the premises.
    • A sign indicating operating hours.
    • Upon closure or relocation, or loss of accreditation status, all signage indicating that the premises was a Model Pharmacy must be removed immediately.

     

    Requirements in professional service area for Pharmacy Business in Bangladesh

     

    • The Model Pharmacy must have a clearly delineated and marked professional service area restricted to the provision of therapeutic goods and services.
    • The professional service area should be distinguishable from other areas of the Model Pharmacy; customers should readily be able to locate the dispensing area.
    • The area should be designed and located such that consumers are able to access the advice of the pharmacist or other qualified pharmaceutical personnel to assist in their safe and effective use of therapeutic goods.
    • The professional service area contains the dispensary, counselling area, prescription drop-off and collection points, and over-the-counter and prescription medicine storage areas. The professional service area must be free from information, products, and services that are not therapeutically related.
    • Non-therapeutic items (e.g., toiletries, cosmetics) should not be displayed for sale within the professional area.
    • No person other than a member of the Model Pharmacy staff is allowed behind the counter in the professional services area.
    • The dispensary must have a dispensing counter with a clean and smooth surface. (For Pharmacy Business in Bangladesh.)

     

    Pharmacy Business In Bangladesh_Best Company Law Firm In Dhaka

    Frequently Asked Questions about Pharmacy Business in Bangladesh

    In regards to opening a pharmacy business in Bangladesh, people also ask these questions frequently, hence this FAQ content block is dedicated to answering your questions.

    General Questions about Starting a Pharmacy business in Bangladesh

    How can I get pharmacy license in Bangladesh?

    The process is pretty easy! All you need to do is to complete a 6 months course from the Bangladesh Pharmacy Council.

    How much does it cost to start a pharmacy in Bangladesh?

    Only a fee of 3000 Taka must be paid through Treasury Chalan if the pharmacy is to be established in the municipality of Bangladesh. In the case of areas outside the municipal area, the fee will be 1500 Taka. The license must be renewed every two years.

    Is pharmacy business profitable in Bangladesh?

    Pharmacy business has emerged as one of the most profitable segments in the healthcare sector. Industry experts believe that Bangladesh will soon become one of the top ten countries in terms of individual medical expenditure. Medicine spending in Bangladesh is projected to increase by 10% over the next five years.

    What is drug license in Bangladesh?

    You need to get a drug license if you want to deal with medicine. This drug license is issued by the Department of Medicine Administration under the Ministry of Health and Family Planning. License fee is 3000 BDT inside the municipal area and outside the municipal area is BDT 1500.

    How to apply for drug licence in bangladesh?

    You need the following documetns for getting a drug license in Bangladesh:

    1. Bank statement.
    2. Treasury Chalan of the License fee submission.
    3. The receipt of the rent of the shop or photocopy of the rental agreement. …
    4. An Angikarpotro by another licensed pharmacist.

     

    How to get GMP certificate License for drug?

    Good manufacturing Practice (GMP) Certificate:

    1. An Application in Company Letter Head
    2. Manufacturing license of medicine
    3. Your company profile
    How do pharmacies make their money in Bangladesh?

    For each item sold, pharmacies shall be reimbursed at the agreed price as set out in the Drug Tariff. Buying profit is generated by ensuring that goods are purchased at a price lower than the price indicated. Bulk buying is one obvious way this can be done.

    What Bangladesh Pharmacy Council?

    Bangladesh Pharmacy council is the only regulatory body for controlling the pharmacist and the pharmacy education in Bangladesh as per the law of Bangladesh, The Pharmacy act 2013.

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    About Our Services

    Pharmacy Formation

    CLP is considered one of the best law firm in Pharmacy formation in Bangladesh, and not only that in general it is considered as the best company law firm in Dhaka.

    How to start a pharmacy seamlessly with Tahmidur Rahman CLP's help

    The Barristers, Advocates, and lawyers at CLP in Gulshan, Dhaka, Bangladesh are highly experienced at assisting clients through the entire process relating to formation of pharmacy business in Bangladesh. For queries or legal assistance, please reach us at:

    E-mail: tahmidur@counselslaw.com
    Phone: +8801727983838
    Address: House 39, Road 126 (3rd Floor) Islam Mansion, Gulshan 1, Dhaka.

    .

    How do I run a successful pharmacy in Bangladesh?

    First and foremost decide a strategic location to open your pharmacy. To make your pharmacy successful, you need to get to know the industry and determine what your goals are.

    • Invest in well-manered and trained employees by the Bangladesh Pharmacy council.
    • Make a really good first impression.
    • Incorporate state-of-the-art technologies for the easy distribution of medicines.
    • Provide expcetional health service to people, in the end its is a noble profession.
    What other services does Tahmidur Rahman (CLP) provide in Company formation?

    The firm offers advice to domestic and foreign clients on matters related to general company and corporate enforcement, including but not limited to investment legislation, sectoral structures and regulatory matters / enforcement. Clients in this field of practice come from across industries, including but not limited to telecommunications, e-commerce, technology, ITES, electricity, healthcare, real estate, security, retail, pharmaceutical, education , infrastructure, media, automotive, etc.
    The firm actively advises clients on trade related issues that directly affect foreign investment in Bangladesh. These issues growing include preferential market access for Bangladeshi businesses, position of technology, etc.

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