Professional Documents
Culture Documents
Bangladesh & International Law
Bangladesh & International Law
From: The Oxford Handbook of International Law in Asia and the Pacific
Edited By: Simon Chesterman, Hisashi Owada, Ben Saul
Subject(s):
Customary international law — Host state law
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(p. 604) 25 Bangladesh
1 Introduction and Constitutional Framework
LIKE any other country, Bangladesh’s interaction with international law takes place both at
the domestic level—for example, before domestic courts—and at the international level—for
example, in the context of participation in international organizations and processes. This
chapter discusses several salient aspects of such interaction in both of these contexts. In
the former context, the role of international law in the Bangladesh legal system is
examined, including the treatment of international treaties and customary international law
in domestic law. In the latter context, Bangladesh’s participation in international
organizations, peace keeping operations, and dispute settlement is considered. While the
issues addressed are not exhaustive, they nonetheless provide a broad overview of the role
and significance of international law for Bangladesh, both within the country and in its
international relations.
The People’s Republic of Bangladesh became an independent state in 1971. It is a unitary
state and a parliamentary democracy. The executive branch of the government consists of
the President (head of state), the Prime Minister (head of government), and the Cabinet of
Ministers. The legislature is a unicameral Parliament consisting of 350 members. The
judiciary consists of the Supreme Court and courts and tribunals subordinate to it. The
Supreme Court comprises the Appellate Division and the High Court Division. The judiciary
is headed by the Chief Justice of Bangladesh. The Supreme Court is the highest court and
the Appellate Division of the Supreme Court is the highest judicial organ of the country. The
legal system of Bangladesh is based on the common law system largely derived from the
English legal system.
(p. 605) The Constitution of Bangladesh, adopted in 1972, is the supreme law and takes
precedence over any other law. There are two major provisions on international law in the
Constitution, namely, articles 25 and 145A.1 Article 25 provides as follows:
The State shall base its international relations on the principles of respect for
national sovereignty and equality, non-interference in the internal affairs of other
countries, peaceful settlement of international disputes, and respect for
international law and the principles enunciated in the United Nations Charter, and
on the basis of those principles shall –
(a) strive for the renunciation of the use of force in international relations and
for general and complete disarmament;
(b) uphold the right of every people freely to determine and build up its own
social, economic and political system by ways and means of its own free
choice; and
(c) support oppressed peoples throughout the world waging a just struggle
against imperialism, colonialism or racism.
Article 25 is contained in Part II of the Constitution setting out the ‘fundamental principles
of state policy’. These principles are ‘fundamental to the governance of Bangladesh’ and are
to be applied by the state in making laws and to guide the interpretation of the Constitution
and other laws of Bangladesh. However, these principles are not judicially enforceable.2
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The principles of ‘respect for national sovereignty and equality, non-interference in the
internal affairs of other countries’ and ‘support[ing] oppressed peoples throughout the
world waging a just struggle against imperialism, colonialism or racism’ were interpreted
by the Supreme Court in Saiful Islam Dilder v Bangladesh.3 This case sought to prevent the
Bangladesh Government from extraditing Anup Chetia, Secretary General of the United
Liberation Front of Assam, to India, where he had been charged with treason. It was argued
that Anup Chetia was was not a criminal but a person who was fighting for the right of self-
determination of the Assamese people. Consequently, his extradition would be a violation of
article 25, which requires the state to support ‘just struggle[s] against imperialism,
colonialism or racism’. The Court rejected this contention:
The contention on the facts of this case is totally misconceived. Rather the
Government can take help of Article 25 to extradite Anup Chetia to Indian authority
in order to base its international relations on the principle of respect for national
sovereignty and equality and non-interference in the internal affairs of other
countries.4
With regard to the justiciability of article 25, the Court observed that although it ‘cannot be
enforced by a court’, nevertheless it can ‘serve as a tool in interpreting the Constitution and
other laws’.5
(p. 606) Unlike article 25, article 145A, dealing with ‘international treaties’, is a justiciable
provision. This article provides as follows:
All treaties with foreign countries shall be submitted to the President, who shall
cause them to be laid before Parliament:
Provided that any such treaty connected with national security shall be laid in a
secret session of Parliament.
Neither the Constitution nor any statute contains any specific provision on domestic
application of international law rules. However, it is well settled by various judicial
decisions that in respect of domestic application of international treaties, Bangladesh is a
dualist country. In order to be applied by national courts, it is necessary for the treaty to be
incorporated into Bangladesh’s legal system by an act of incorporation.
In respect of customary international law, there is no clear judicial decision on whether
customary law automatically forms part of Bangladesh law or whether, like treaties, such
law is required to be made a part of Bangladesh law by a legislative, judicial, or other
measure. It is likely that if this issue requires determination, Bangladesh courts will adhere
to the English and common law tradition of treating customary international law as
automatically forming part of Bangladesh law as long as there is no inconsistent domestic
legal provision.
2 Treaty Practice
2.1 Treaty-making Process
The treaty-making process is governed by the Constitution, the Rules of Business, and the
practice of the executive branch of the government.
2.1.1 Constitutional Provisions
Article 145A of the Constitution, referred to in the preceding section, deals simply with the
process of placing treaties before the Parliament and does not make any provision in
respect of the treaty-making process, including negotiation, signing, and ratification of
treaties. These aspects of the treaty-making process need to be understood in light of the
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other general provisions of the Constitution relating to the exercise of the executive
authority of the republic.
Article 55(2) of the Constitution provides that, subject to and in accordance with the
Constitution, the executive power of the republic is to be exercised by or on the authority of
the Prime Minister. Like other executive functions, treaty-making is to be performed in
accordance with the provisions of the Constitution. Although treaty-making is an executive
function, in exercising this function the Prime Minister and the Cabinet are to be
collectively responsible to the Parliament in accordance with article 55(3) of the
Constitution.
(p. 607) 2.1.2 Provisions of the Rules of Business
In accordance with article 55(6) of the Constitution, the President has formulated the Rules
of Business for the conduct of business of the government. Rules 5(iii), 14A(1)(iii), 16(xi),
and 26 of the Rules of Business are relevant in respect of the negotiation, conclusion, and
ratification of international agreements and treaties. These Rules provide that the Ministry
of Foreign Affairs is responsible for issuing necessary instructions regarding the manner of
authentication of treaties and that the Legislative and Parliamentary Affairs Division should
be consulted on the preparation of international agreements and conventions. Cases
involving negotiations with foreign countries on treaties and agreements are to be brought
before the Cabinet.
2.1.3 Practice
The authority for the negotiation, conclusion, and ratification of international treaties is
vested in the executive. Parliamentary approval for these matters is not a constitutional
requirement.6 As a general practice, the Law Ministry is given the responsibility of
scrutinizing treaties.7 Although there is a Law Commission in Bangladesh, it is rarely
involved in treaty-making.
Usually the process of negotiation, conclusion, or ratification of a treaty is initiated by the
Ministry which is allocated responsibility in relation to the subject matter of the treaty. For
example, in relation to a trade treaty, the process is initiated by the Ministry of Commerce.
After a proposal is made by the relevant Ministry, the issue is raised before the Cabinet,
which takes the final decision regarding signing or ratification of the instrument concerned.
In accordance with Rule 5 of the Rules of Business, the Ministry of Foreign Affairs is
responsible for signing and authenticating international agreements and treaties. All
Ministries are also required to have prior consultation with the Ministry of Foreign Affairs
in relation to matters concerning foreign relations of Bangladesh.8
One major criticism of the treaty-making practice is the nearly complete disregard for
article 145A of the Constitution. A study conducted in 2000 found that only one treaty,
namely, the Ganges Water Treaty 1996 between Bangladesh and India, had ever been
placed before the Parliament in accordance with article 145A.9 The situation regarding
compliance with article 145A has not improved since 2000.
Non-compliance with article 145A is a matter of concern for various reasons. As already
pointed out, although treaty-making is an executive function, in exercising this function the
Prime Minister and the Cabinet are to be collectively responsible to the Parliament. Since
treaties are not placed before the Parliament, this responsibility of the executive cannot be
ensured and the Parliament is deprived of any role in respect of (p. 608) treaty-making. This
also raises larger issues of good governance, transparency, and rule of law in a
parliamentary democracy, where major policy issues are supposed to be addressed by the
Parliament. At a more practical level, as treaties require implementing legislation, it is
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desirable to keep the members of Parliament informed about treaties, so that they can
consider necessary legislative action.
2.1.4 Judicial Decisions
The proposition that the making of a treaty is an executive act and that, for it to be valid,
approval of the Parliament is not necessary has been recognized in judicial decisions. The
Appellate Division confronted this issue in a case concerning the Delhi Treaty of 16 May
1974.10 The appellant sought a declaration that the Delhi Treaty involving cession of
Bangladesh territory11 was without lawful authority. Citing article 143(2) of the
Constitution, which gives authority to the Parliament for determination of the boundaries of
Bangladesh, the appellant disputed the executive’s authority to enter into treaties when
cession of territory is involved. However, the appellant did not dispute the general treaty-
making authority of the executive and hence it sufficed for the Appellate Division to
generally endorse such authority.
The Appellate Division observed that ‘treaty-making falls within the ambit of the executive
power under article 55(2) of the Constitution’ and also noted that this general proposition
was not disputed.12 On the interaction between the treaty-making authority of the executive
and the authority of the Parliament in relation to boundaries, however, the Court observed
that:
Interestingly, however, the Appellate Division did not declare the Delhi Treaty illegal due to
the lack of involvement of the Parliament in the conclusion of the treaty. Rather, it dismissed
the appeal observing as follows:
Had the Delhi Treaty involved a mere determination of the boundary between this
country and our friendly neighbour India, it could be implemented by a simple
enactment under Article 143(2) of the Constitution. In view, however, of our
conclusion that it involves cession of territory by Bangladesh, we are clearly of (p.
609) the opinion that in order to implement this treaty, prior to ratification thereof it
will be necessary to take recourse to Article 142, with a view to amending Article
2(a) which defines the territory of the People’s Republic of Bangladesh.14
In the above observations, the Appellate Division firmly subscribes to the dualist theory and
the principle of incorporation. In some cases, the act of incorporation will be the enactment
or amendment of laws, but where a treaty affects a constitutional provision, an amendment
of the Constitution will be necessary. Another important aspect of the Appellate Division
ruling is that for treaties impacting on the Constitution, implementing legislation should be
passed prior to the ratification of the treaty, whereas for treaties that do not affect
constitutional provisions, implementing legislation may not be imperative. In any event, the
role of the Parliament does not seem to have been extended beyond that of passing
implementing legislation.15
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The question of compliance with article 145A of the Constitution has also come before the
Supreme Court and it seems to have taken a rather lenient view of the matter. The High
Court Division has held that although there is an obligation to lay a treaty before the
Parliament, failure to do so will not affect the validity of the treaty.16
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2.3.1 Human Rights
Out of the twenty-seven multilateral treaties relating to human and child rights deposited
with the UN Secretary-General, Bangladesh has ratified or acceded to ten treaties including
the Convention on the Rights of the Child (CRC), Convention against Torture and Other
Cruel Inhuman or Degrading Treatment or Punishment (CAT), International Covenant on
Civil and Political Rights (ICCPR), Convention on the Elimination of All Forms of
Discrimination against Women (CEDAW), International Convention on the Elimination of All
Forms of Racial Discrimination, and the International Covenant on Economic, Social and
Cultural Rights.
2.3.2 Labour Rights
According to the International Labour Organization (ILO), Bangladesh has ratified thirty-
five labour rights conventions.27 Out of the eight Fundamental Conventions, Bangladesh
has ratified seven including the Forced Labour Convention 1930, Right to Organize and
Collective Bargaining Convention 1949 and the Equal Remuneration Convention 1951. Out
of the four Governance (Priority) Conventions, Bangladesh has accepted two and out of the
177 Technical Conventions, Bangladesh has signed twenty-six.
2.3.3 Environment
Major international environmental treaties accepted by Bangladesh include the Cartagena
Protocol on Biosafety to the Convention on Biological Diversity, Kyoto Protocol to the United
Nations Framework Convention on Climate Change, the Stockholm Convention on
Persistent Organic Pollutants, the International Plant Protection Convention, and the
Convention on International Trade in Endangered Species of Wild Fauna and Flora.28
2.3.4 International Trade
Bangladesh is a founding member of the World Trade Organization (WTO) and, as a
member, it is a party to various WTO agreements including the General Agreement on
Tariffs and Trade 1994, General Agreement on Trade in Services, and the Agreement on
Trade-Related Aspects of Intellectual Property Rights. Bangladesh is a party to a (p. 612)
number of regional trade agreements, including the Asia Pacific Trade Agreement, Bay of
Bengal Initiative on Multi-Sectoral Technical and Economic Cooperation (BIMSTEC), South
Asian Preferential Trade Arrangement, and the South Asian Free Trade Agreement.
Bangladesh has signed bilateral trade agreements with forty-five countries.29
2.3.5 Investment
Bangladesh is a member of the International Centre for Settlement of Investment Disputes
(ICSID) and the Multilateral Investment Guarantee Agency. It is also a party to the New
York Convention on the Recognition and Enforcement of Foreign Arbitral Awards.
Bangladesh has ratified World Intellectual Property Organization (WIPO)-administered
intellectual property treaties, including the Berne Convention, the Paris Convention, and
the WIPO Convention. Bangladesh is a party to thirty-three bilateral investment treaties
(BITs),30 which provide guarantees of fair, equitable, national, and most-favoured-nation
treatments to foreign investors.
2.3.6 Double Taxation
Bangladesh has concluded twenty-seven Double Taxation Agreements (DTAs) with twenty-
six countries, the USA being the only country with which Bangladesh has two tax treaties.
The DTAs aim to create a favourable climate for foreign investment through avoidance of
double taxation.
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2.3.7 Other Treaties
Other major treaties that Bangladesh has ratified include the United Nations Convention on
the Law of the Sea 1982 (UNCLOS), the Vienna Conventions on Diplomatic Relations 1961
and on Consular Relations 1963, humanitarian conventions (namely, the Geneva Convention
Relative to the Protection of Civilian Persons in Time of War 1949 and Protocols I and II of
1977 to the Geneva Conventions), Convention on the Prevention and Punishment of the
Crime of Genocide 1948, and the Rome Statute of the International Criminal Court 1998.
2.3.8 Absence from Major Treaties
Major treaties to which Bangladesh is not a party include the Optional Protocol to ICCPR,
Optional Protocol to the CAT, Convention Relating to the Status of Refugees, and the Vienna
Convention on the Law of Treaties. Bangladesh is not a party to either the 1954 Convention
Relating to the Status of Stateless Persons or the 1961 Convention on the Reduction of
Statelessness.
(p. 613) 2.3.9 Reservations and Declarations
Bangladesh has made reservations and interpretative declarations to the application of a
number of human rights conventions.31 For instance, reservations or declarations have
been made in respect of ICCPR, CAT, CEDAW, ICESR, CRC, and the Genocide Convention.
Bangladesh sometimes justifies the reservations on the ground of divergent provisions in
domestic law, including sharia law, or financial inability to implement the treaty.
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instance, in the areas of human rights and environment, it has rarely implemented
international obligations in domestic laws.
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any offence in the domestic jurisdiction, nor does it establish any criminal liability in
domestic law.
…
International obligations…cannot be applicable in the domestic tribunal of the
country unless the same is incorporated in the domestic law by a legislative action.
Therefore…a citizen of the state cannot, in any event, be subjected to the said
international obligations/responsibilities of the state.
There remains no doubt that [an Act of Parliament] has primacy over customary
international law and customary international law will be applicable so far as it is
not inconsistent with the Act.39
The above analysis of the Appellate Division blends two separate issues of domestic
applicability of customary norms, namely, whether customary norms automatically form
part of domestic law, if there is no conflicting domestic provision, and whether customary
international law or domestic law is to prevail, if there is a conflict. On the latter issue the
Court clearly holds that domestic law will prevail. However, the Court does not deal
adequately with the former issue and its conclusion is rather ambivalent.
Firstly, this case involved customary rules of international criminal law, in particular,
creation of a crime directly triable in a domestic court by such rules. Consequently, it is
difficult to assume that observations made in this case would be equally relevant in respect
of other areas of customary international law, which do not concern the imposition of
criminal liability and penal sanctions on an individual. Yet, the Appellate Division does not
clarify whether its conclusion that international norms cannot be applicable in domestic
courts unless incorporated by a legislative action applies to all (p. 616) customary norms or
only to norms concerning criminal liability. Secondly, in this case the Court eventually relied
on the relevant domestic law provisions, which it considered adequately governed the
matter and took precedence over customary rules.40 Since the question of automatic
incorporation arises only if there is no conflicting domestic law provision and this case
involved conflicting domestic provisions, the Court’s observation that legislative action is
required for all international norms remains inexplicable.
In view of the above, Chief Prosecutor v Abdul Quader Molla cannot be regarded as a clear
authority on whether customary law automatically forms part of Bangladesh law.
Accordingly, it is likely that if this issue ever arises in an appropriate context, Bangladesh
courts may still adhere to the English and common law tradition of treating customary
international law as automatically forming part of Bangladesh law as long as there is no
inconsistent Acts of Parliament or authoritative judicial decisions.
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International organizations, including the UN, WTO, ILO, IMF, and the World Bank,
significantly influence Bangladesh’s foreign policy. Regional and economic blocs and
alliances, such as G-77 plus China, BRICS, Group of 20, LDCs, or the Group of 33 at the
WTO, all influence Bangladesh’s foreign policy and have significant impact on its role and
participation in global dialogues, including trade, development, and climate change
negotiations.
Since independence in 1971, Bangladesh has stressed the principle of ‘friendship with all
and malice towards none’ in its diplomacy and foreign relations. In upholding this principle,
Bangladesh’s approaches to international law and membership of international and regional
organizations are driven by certain goals. These goals include safeguarding sovereignty,
territorial integrity, security, and national interests and (p. 617) ensuring balanced and
good-neighbourly relations with all neighbouring countries in South and Southeast Asia and
beyond. To this end, Bangladesh seeks to promote regional cooperation under the SAARC,
BIMSTEC, and the Forum on Regional Cooperation among Bangladesh, China, India and
Myanmar and to contribute to regional peace, stability, connectivity, and integration
through active participation or partnership with various global and regional groups,
including the OIC, NAM, Commonwealth, ASEAN, EU, Arab League, African Union, Asian
Cooperation Dialogue, Indian Ocean Rim Association for Regional Co-operation, ASEAN
Regional Forum, Asia-Europe Forum, CICA, and so on. Pursuing multilateralism under the
UN is a central component of Bangladesh’s foreign policy and it seeks to remain active
within the United Nations system, including through contributions to UN peacekeeping
activities.
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lives. Up to March 2019, 146 Bangladeshis had died while serving in UN peacekeeping
operations.47
The issue of the legality of Bangladesh’s participation in UN peacekeeping operations arose
before the Supreme Court in M Saleem Ullah v Bangladesh.48 In this case, the petitioner
challenged the decision of the Government to participate in the UN-sponsored multinational
force in Haiti pursuant to the UN Security Council Resolution 940 of 31 July 1994. It was
argued that such participation would violate a number of provisions of the Constitution. The
Court declined to entertain the case and held as follows:
The decision was taken pursuant to the Resolution No 940 and Bangladesh being a
member of the United Nations has taken the decision within the authority of the
constitutional framework and international commitments…We fail to understand
how the decision of the Government taken pursuant to a UN resolution and the UN
Charter is an infringement of the Constitution.49
6 Interstate Disputes
Bangladesh has been a party to two formal interstate dispute settlement proceedings. Both
of these cases concerned delimitation of maritime boundary.
Immediately after its independence, the task of defining maritime limits became a part of
the national agenda of Bangladesh. As a preparatory step, Bangladesh published its base
points in 1974. It also asserted its sovereign rights over an exclusive economic zone (EEZ)
extending over 200 nautical miles (nm) from the baseline. Indeed, Bangladesh was the first
country in South Asia to formally claim an EEZ of 200 nm. The Territorial Waters and
Maritime Zones Act, 1974 was enacted defining the maritime jurisdiction of Bangladesh in
the Bay of Bengal.
(p. 619) A detailed statement was presented by Bangladesh elaborating its position on the
maritime boundaries at the 1974 Caracas Session of the Third United Nations Conference
on the Law of the Sea. Upon presentation of Bangladesh’s position, a formal note was
presented by India indicating its objections to some of the points. Bangladesh replied by
stating that official talks should be held to deal with issues needing clarification or
resolution.
The first round of talks was held in December 1974. India took the position that the
equidistance method was appropriate for defining the boundary. Bangladesh based its stand
on the judgment of the International Court of Justice in the North Sea Continental Shelf
case,50 which held that where, because of geographical or other factors, a mechanical
application of the equidistance method led to inequitable results, the adoption of the
equidistance method was not appropriate and the parties should instead seek an equitable
delimitation.
By early 1975, negotiations had reached a point where it was recognized that there were
some areas in which the divergent positions could not be reconciled and arbitration might
have to be resorted to. Although negotiations continued until 2009, no agreement could be
reached. Negotiations on maritime boundaries also took place between Bangladesh and
Myanmar from 1974, with eight rounds of talks between 1974 and 1986 and six rounds
between 2008 and 2010. However, no settlement could be reached through these
discussions.
Eventually, Bangladesh instituted arbitral proceedings pursuant to Annex VII of UNCLOS
against Myanmar and India. Since both Bangladesh and Myanmar, by making declarations
under article 287 of UNCLOS, accepted the jurisdiction of the International Tribunal for the
Law of the Sea (ITLOS), the Bangladesh/Myanmar case was transferred to ITLOS and was
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registered as Case No. 16 on 14 December 2009. ITLOS delivered its judgment on 14
March 2012.
India did not make any declaration under article 287 of UNCLOS, and consequently the
case with India continued with a five-member Annex VII Arbitral Tribunal and it was
registered with the Permanent Court of Arbitration (PCA) as PCA Case No. 2010-16. The
Tribunal delivered its award on 7 July 2014.
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allocated maritime areas was approximately 1:1.54 in favour of Myanmar. The Tribunal
concluded that this ratio did not lead to any significant disproportion.58
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the coast of Bangladesh. The Tribunal decided that this necessitated adjustment of the
provisional equidistance line in favour of Bangladesh.64
6.2.6 Continental shelf beyond 200 nautical miles
The Tribunal applied the same methodology within and beyond 200 nm, adjusting the
provisional equidistance line into a simpler straight line to avoid a cut-off effect arising from
the concavity of Bangladesh’s coast.65 The Tribunal assessed the proportionality of the
allocation of maritime zones by reference to the overall geography of the area, finding that
no alteration of the adjusted equidistance line was necessary.66
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7.2 Saipem Case
This case73 concerned a contract between Saipem, an Italian company, and Petrobangla, a
state-owned entity, to build a gas pipeline in Bangladesh. The project was significantly
delayed. The parties disagreed on the reasons for the delay. According to Saipem, the delay
was mainly due to problems with the local population, who rebelled against the project.
Bangladesh argued that the problems with the population were caused by Saipem itself and
that Saipem was already behind schedule before the problems began. The parties agreed on
extending the completion date but could not reach any agreement regarding compensation
and additional costs relating to the delay.74
The contract contained a dispute resolution clause providing for settlement of disputes
under the Rules of Conciliation and Arbitration of the International Chamber of Commerce
(ICC). Saipem referred the dispute to ICC arbitration seeking outstanding payments under
both the original contract and the subsequent extension agreement.75
During the arbitration, Petrobangla made various procedural requests before the ICC
Tribunal. Since the ICC Tribunal denied such requests, Petrobangla brought an action
before a local court seeking the revocation of the ICC Tribunal’s authority. The court
revoked the authority of the ICC Tribunal. Even though this decision was subject to two
degrees of appeal, Saipem decided not to appeal the decision. The ICC Tribunal held that
the revocation of the authority of the Tribunal was contrary to the general principles
governing international arbitration and continued with the arbitration and, eventually,
passed an award in favour of Saipem.76 Petrobangla applied to set aside the ICC award
before the High Court Division, which held that there was no award that could be set aside,
as the award passed by the Tribunal was ‘a nullity in the eye of law’ (p. 625) and it was
‘clearly illegal and without jurisdiction inasmuch as the authority of the Tribunal was
revoked…by a competent court of Bangladesh’. Saipem did not appeal this decision.77
Later, Saipem filed a request for arbitration in ICSID based on the breach of the BIT
between Italy and Bangladesh. The basis of Saipem’s claim was the undue intervention of
the Bangladeshi courts in the ICC arbitration, which precluded the enforcement of the ICC
award. According to Saipem, those acts constituted an expropriation.78
The ICSID Tribunal in its award held that although the actions of the Bangladeshi courts did
not constitute direct expropriation, they amounted to ‘measures having similar effects’.
Such actions resulted in substantially depriving Saipem of the benefit of the ICC award.79 It
observed that although national courts have discretion to revoke an arbitrator’s authority in
cases of misconduct, they cannot use this discretion to revoke authority for other reasons.
The ICSID Tribunal noted that the actions of the courts of Bangladesh were against
international law, specifically, the principle of abuse of rights, and the New York Convention
article II(1), which imposes on Contracting States the obligation of recognizing and
honouring arbitration agreements. The Tribunal considered the intervention of the
Bangladesh courts as amounting to ‘expropriation of the right to arbitrate’ and held that the
amount awarded by the ICC award constituted the best evaluation of the compensation
due.80
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submitted on the basis of similar ICSID arbitration clauses contained in each of the five
agreements.
The PSCs and the GPSAs included a provision stating that Petrobangla, as the transmission
company, would be entitled to receive a tariff when Chevron used a pipeline operated by
Petrobangla to supply natural gas to the Bangladesh domestic market. The PSCs were
concluded in 1995, the first GPSA was signed in 1996, and gas sales to Petrobangla
commenced in 1999. Some communication between the parties disputing the interpretation
of the tariff provision occurred in 1999. Chevron asserted (p. 626) that since title to the gas
passed to Petrobangla before the gas reached Petrobangla’s pipeline, the tariff was not
payable. However, the tariff was paid by Chevron to Petrobangla without further
communication between the parties until 2003. When the parties entered into the second
and the third GPSAs in 2003 and 2004, respectively, they simultaneously concluded two
side-letter agreements acknowledging the existence of a dispute on the interpretation of the
tariff provisions.
The dispute brought to ICSID concerned the question of whether the tariff provisions
applied when Petrobangla itself was the buyer and took delivery of the gas through its
pipeline. In the ICSID arbitration, Bangladesh initially refused to participate in the
jurisdiction phase and obtained an injunction from a local court to restrain the arbitral
proceedings. In response, the ICSID Tribunal referred to articles 26 and 41 of the ICSID
Convention to establish that prior consent to ICSID arbitration excluded other remedies,
such as domestic injunctions. Bangladesh continued to abstain from the proceedings and a
summary Decision on Jurisdiction was delivered on 21 August 2007, where the ICSID
Tribunal upheld its own jurisdiction and scheduled a hearing date for the merits. At this
stage, Bangladesh decided to participate in the arbitration and withdrew the injunction in
the local court.
In its award on the merits, the ICSID Tribunal considered the language of the agreements,
applicable law, and the communications and behaviour of the parties with respect to the
agreements. The Tribunal determined that, under the PSCs and the GPSAs, the tariff at
issue was owed by the Claimants regardless of whether or not Petrobangla was the
purchaser of the natural gas. The Tribunal also found that the Claimants had complied with
the Respondent’s interpretation of the tariff provisions for several years before reviving the
dispute. Because of this compliance, the Claimants were estopped from disputing the
interpretation.
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none of the invoices was paid by Petrobangla. Niko commenced the second arbitration to
recover these payments (Payment Claim).83
Two ICSID Tribunals were constituted to deal with the disputes. However, the Tribunals
comprised the same three arbitrators and it was agreed that the two cases would proceed
in a concurrent manner, and that the Tribunals might issue one single instrument in relation
to both cases.
7.4.1 Jurisdiction
Bangladesh objected to the jurisdiction of the ICSID Tribunals on a number of grounds,
including corruption. In their Decision on Jurisdiction, the Tribunals found that they had
jurisdiction with respect to both the Compensation and Payment Claims and that the
jurisdiction extended to the question of whether the GPSA and the JVA were avoided on
grounds of corruption.84
7.4.2 Payment Claim
The Tribunals passed several orders on the Payment Claim, the last order being a direction
on Petrobangla to immediately make payment of the amounts due to Niko with interest.
Petrobangla took the position that it was unable to make payment due to the restraining
order of the Court and the fact that the order was passed in third-party initiated
proceedings (i.e. the BELA proceedings). In response, the Tribunals observed that the
courts of Bangladesh are bound to implement the decisions rendered by ICSID Tribunals
and if it were otherwise, the international commitments of the state of Bangladesh ‘could be
rendered ineffective by the simple expedient of any third parties…bringing claims before
the courts of Bangladesh and having these courts render decisions which conflict materially
with the decisions of the Tribunals operating under the ICSID Convention’.85
7.4.3 Compensation Claim
The Tribunals heard evidence and argument on the liability for the blow-outs. However,
before issuance of their decision and while the parties were producing their submissions on
the quantum of damages, BAPEX and Petrobangla served requests concerning the
avoidance of the JVA and the GPSA on grounds of corruption (Corruption Claim). The
Tribunals then decided to assign first priority to the Corruption Claim and suspended (p.
628) the proceedings on liability relating to the blow-outs.86 The proceedings in relation to
the Corruption Claim and the Compensation Claim are still ongoing.
8 Conclusion
As this chapter illustrates, international law has been relevant in the internal legal system
of Bangladesh as well as in its external relations. In light of the large number of treaties
that it has signed or ratified, Bangladesh seems to be an enthusiastic participant in
international treaties. However, its treaty practice remains deficient and needs
improvement in three key areas. First, it is a matter of concern that there is almost a
complete lack of compliance with article 145A of the Constitution, which requires all
treaties to be laid before the Parliament. Secondly, although Bangladesh has ratified many
human rights treaties, reservations have been made in respect of some important treaty
provisions. Thirdly, apart from a few instances, implementing legislation is rarely passed to
incorporate treaty obligations into domestic law. While the legislative framework in respect
of treaties is rather imperfect, the Supreme Court of Bangladesh made a commendable
effort to invoke and rely on treaty provisions that are not in conflict with domestic law. With
respect to customary international law, it is yet to be clarified by Bangladesh courts
whether or not this body of law automatically forms part of Bangladesh law. In case of
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conflict, domestic law prevails over both international treaties and customary international
law.
Bangladesh has been a reasonably active participant in international organizations,
including the UN. Its involvement in UN peacekeeping operations has been praised by the
international community. In recent years, Bangladesh has participated in two interstate
dispute settlement proceedings concerning delimitation of its maritime boundary with
Myanmar and India. The outcome in both cases is balanced and considered to be in favour
of Bangladesh. It has been a party to several investment arbitrations under the ICSID
Convention. Out of the three concluded ICSID cases, the award was in favour of Bangladesh
in two cases, the Scimitar case and the Chevron case. While the award in the Saipem case
was against Bangladesh, the propriety of this award can be debated. In this case, Saipem
did not pursue several appeal procedures available in Bangladesh courts at different stages;
despite such non-exhaustion of domestic law remedies, the Tribunal held that the actions of
the Bangladeshi courts amounted to measures having effects similar to expropriation.
Footnotes:
*
Thanks to Reduanul Karim for his assistance in preparing this chapter.
1
In addition to these two articles, the preamble of the Constitution refers to ‘international
peace’ and art. 47(3) refers to ‘crimes under international law’.
2
Constitution of the People’s Republic of Bangladesh 1972 art. 8(2).
3
Saiful Islam Dilder v Bangladesh 50 DLR (HCD) (1998) 318.
4
Ibid. 322–3.
5
Saiful Islam Dilder (n 3). See also M Saleem Ullah v Bangladesh 47 DLR (1995) 218, 224,
para 7.
6
See Mahmudul Islam, Constitutional Law of Bangladesh (3rd edn Mullick Brothers 2012)
1026.
7
This function is allocated to the Law Ministry. See Rules of Business (1996) r 14A(1)(iii).
8
Ibid. r 15.
9
Shahnaz Huda and Manzoor Hasan, The Bangladesh Parliament and International
Conventions (Bangladesh Institute of Parliamentary Studies 2000) 37.
10
Kazi Mukhlesur Rahman v Bangladesh 26 DLR (SC) (1974) 44.
11
The treaty involved the transfer of the Berubari enclave to India in exchange for the
Dahagram and Angarpota enclaves.
12
Kazi Mukhlesur Rahman (n 10) 54, 58.
13
ibid. 57, 58.
14
ibid. 58 (emphasis added).
15
The case of Kazi Mukhlesur Rahman (n 10) has been cited in a number of subsequent
decisions. See Md. Asaduzzaman v Bangladesh 42 DLR (1990) 144; Dr Mohiuddin Farooque
v Bangladesh 49 DLR (AD) (1997) 1; Mohammad Emrul Kayes v Government Bangladesh 35
BLD (2015) 94; and Tayeeb v Government Bangladesh 67 DLR (AD) (2015) 57.
16
Major (Retd) Akhtaruzzaman v Bangladesh, Writ Petition No. 3774 of 1999 (unreported)
(as cited in Mahmudul Islam, Constitutional Law of Bangladesh (3rd edn Mullick Brothers
2012) 1026).
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17
See Kazi Mukhlesur Rahman (n 10); Bangladesh v Somboon Asavaham 32 DLR (AD)
(1980) 194; Professor Nurul Islam v Government of Bangladesh 52 DLR (2000) 413;
Hussain Mohammad Ershad v Bangladesh 21 BLD (AD) (2001) 69; State v Md. Roushan
Mondal 26 BLD (HCD) (2006) 549; Bangladesh v Sheikh Hasina 60 DLR (AD) (2008) 90;
State v Metropolitan Police Commissioner 60 DLR (2008) 660; State v Secretary, Ministry of
Law, Suo Motu Rule No. 5621 of 2009 (unreported); Dr Shipra Chaudhury v Government of
Bangladesh 29 BLD (HCD) (2009) 183; and Bangladesh Legal Aid and Services Trust v
Bangladesh 63 DLR (2011) 1.
18
Bangladesh v Somboon Asavaham (n 17) 197–8, para 6.
19
Hussain Mohammad Ershad v Bangladesh 21 BLD (2001) 69, 70, para 2.
20
Bangladesh Legal Aid and Services Trust (n 17) 8; Sheikh Hasina (n 17) 104; Shipra
Chaudhury (n 17) 187.
21
See Sharif Bhuiyan, National Law in WTO Law (Cambridge University Press 2007) 5
(note 33).
22
Shipra Chaudhury (n 17) 187; Bangladesh Legal Aid and Services Trust (n 17) 8; Sheikh
Hasina (n 17) 104.
23
BNWLA v Government of Bangladesh 14 BLC (2009) 694.
24
BNWLA v Government of Bangladesh 31 BLD (HCD) (2011) 324.
25
BNWLA (n 23) 706.
26
‘United Nations Treaty Series Online’ (United Nations Treaty Collection) <https://
treaties.un.org/Pages/UNTSOnline.aspx?id=3&clang=_en> accessed 11 December 2018.
27
International Labour Organisation, ‘Ratifications for Bangladesh’ <http://www.ilo.org/
dyn/normlex/en/f?p=NORMLEXPUB:11200:0::NO::P11200_COUNTRY_ID:103500>
accessed 11 December 2018.
28
Department of Environment, ‘Multilateral Environmental Agreements in force in
Bangladesh’ <http://www.doe-bd.org/agreement.html> accessed 11 December 2018.
29
Ministry of Commerce, ‘Bilateral Trade Agreement’ <http://mincom.portal.gov.bd/site/
page/8d102b7c-7f6f-4325-9ad9-ea1027f7454d/Bilateral-Trade-Agreement> accessed 11
December 2018.
30
Ministry of Industries, ‘Bilateral Agreements’<https://moind.gov.bd/site/page/
f7aa7575-5196-476b-907b-3ea65e885717/Bilateral-Agreements> accessed 11 December
2018.
31
‘Multilateral Treaties Deposited with the Secretary-General’ (United Nations Treaty
Collection) <https://treaties.un.org/Pages/Treaties.aspx?id=4&subid=A&lang=en>
accessed 11 December 2018.
32
The 1970s laws on these two institutions were recently replaced by two new laws
enacted in 2013 and 2015.
33
Professor Nurul Islam v Government of Bangladesh 52 DLR (2000) 421–2.
34
State v Secretary, Ministry of Law (n 17) 10–11.
35
Chief Prosecutor v Abdul Quader Molla 22 BLT (AD) (2014) 8.
36
Bangladesh Legal Aid and Services Trust (n 17) 8–9.
37
Chief Prosecutor (n 35).
38
Ibid. 67.
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39
Ibid. 68, 72, 73, 83.
40
Ibid. 71–2, 83–4.
41
United Nations Peacekeeping, ‘Our History’ <https://peacekeeping.un.org/en/our-
history> accessed 11 December 2018.
42
Mahfuz Anam, ‘Bangladesh and UN Peacekeeping: Challenges and Prospects’ The Daily
Star (Dhaka, 29 May 2017) <http://www.thedailystar.net/round-tables/bangladesh-and-un-
peacekeeping-challenges-prospects-1412455> accessed 11 December 2018.
43
‘Looking Back to Peacekeeping History’ (Armed Forces Division 2013) <http://
www.afd.gov.bd/index.php/un-peacekeeping> accessed 11 December 2018.
44
Ibid.
45
‘Summary of Contributions to UN Peacekeeping by Country and Post’ (United Nations
Peacekeeping, 31 October 2017) <https://peacekeeping.un.org/sites/default/files/post.pdf>
accessed 11 December 2018.
46
Editorial, ‘Bangladesh’s role in international peacekeeping’ The Asian Age (Dhaka, 1
December 2016) <https://dailyasianage.com/news/39719/bangladeshs-role-in-intl-
peacekeeping> accessed 11 December 2018.
47
‘Fatalities by Nationality and Mission up to 31 March 2019’ (United Nations
Peacekeeping, 31 March 2019) <https://peacekeeping.un.org/sites/default/files/
statsbynationalitymission_2_23.pdf> accessed 30 April 2019.
48
M Saleem Ullah (n 5).
49
Ibid. 223, 224.
50
North Sea Continental Shelf (Federal Republic of Germany v Denmark; Federal Republic
of Germany v Netherlands) [1969] ICJ Rep 3.
51
Dispute Concerning Delimitation of the Maritime Boundary between Bangladesh and
Myanmar in the Bay of Bengal (Bangladesh v Myanmar) (Judgment of 14 March 2012).
52
The territorial sea extends to 12 nm from the low-water line.
53
The EEZ is an area extending to 200 nm from the baseline.
54
The continental shelf is the seabed and the subsoil extending from the coast to the outer
edge of the continental margin, or to a distance of 200 nm from the baseline where the
outer edge does not extend to 200 nm.
55
Maritime Boundary (n 51) paras 64–5, 126, 506.
56
Ibid. paras 208, 223, 236–40, 292–3, 297.
57
Ibid. paras 356, 407, 416, 427, 438, 462.
58
Ibid. para 499.
59
Bay of Bengal Maritime Boundary Arbitration between Bangladesh and India
(Bangladesh v India), PCA Case No. 2010–16, Award of 7 July 2014.
60
Ibid. paras 74–83.
61
Ibid. paras 58–9, 169, 188.
62
Ibid. paras 190–7, 259–64, 267–9.
63
Ibid. paras 274.
64
Ibid. paras 372, 381, 393, 399.
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65
Ibid. paras 456–8.
66
Ibid. para 497.
67
Scimitar Exploration Limited v Republic of Bangladesh and Bangladesh Oil, Gas and
Mineral Corporation ICSID-ARB/92/2 (3 November 1992); 5 ICSID Reports 3.
68
SAIPEM SpA v People’s Republic of Bangladesh ICSID-ARB/05/7 (25 April 2005).
69
Chevron Bangladesh Block Twelve, Ltd and Chevron Bangladesh Blocks Thirteen and
Fourteen, Ltd v People’s Republic of Bangladesh ICSID-ARB/06/10 (30 June 2006).
70
Niko Resources (Bangladesh) Ltd v Bangladesh Petroleum Exploration and Production
Company Limited (Bapex) and Bangladesh Oil Gas and Mineral Corporation (Petrobangla)
ICSID-ARB/10/11 (27 May 2010).
71
Niko Resources (Bangladesh) Ltd v Bangladesh Petroleum Exploration and Production
Company Limited (Bapex) and Bangladesh Oil Gas and Mineral Corporation (Petrobangla)
ICSID-ARB/10/18 (28 July 2010).
72
Scimitar (n 67) 9. The ICSID Tribunal passed its Award on 5 April 1994.
73
SAIPEM (n 68). The ICSID Tribunal passed its Award on 30 June 2009.
74
Ibid. paras 7, 11–22.
75
Ibid. paras 10, 25.
76
Ibid. paras 31–3, 40, 42–3, 45, 48.
77
Ibid. paras 50–1.
78
Ibid. para 52.
79
Ibid. para 129.
80
Ibid. paras 159, 167, 170, 204.
81
Chevron (n 69). The ICSID Tribunal passed its Award on 17 May 2010. See also Lindsey
Marchessault, ‘Chevron Bangladesh Block Twelve, Ltd and Chevron Bangladesh Blocks
Thirteen and Fourteen, Ltd v People’s Republic of Bangladesh (ICSID Case No ARB/06/10):
Introductory Note’ (2011) 26(1) ICSID Review 256.
82
Niko Resources (n 70).
83
Niko Resources (n 71).
84
Decision on Jurisdiction (19 July 2016) para 5.
85
Ibid. para 13.
86
Ibid. para 7.
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