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Investors out of Phulbari

[CEO NAME]
[BANK/INVESTOR NAME]
[BANK/INVESTOR ADDRESS]
[BANK ADDRESS 2]

RE: [NAME OF BANK/INVESTOR]’s involvement in the Phulbari Coal Project, Bangladesh

October 19, 2011

Dear [CEO NAME]:

We are writing to you on behalf of community representatives in Bangladesh who have contacted us to express their concerns regarding the proposed Phulbari Coal Project.

We understand that [BANK/INVESTOR NAME] has obtained a [XX%] shareholding in Global Coal Management (GCM) plc, which in turn owns 100% of the Phulbari Coal Project.  

With this letter, we officially bring to your attention that the project, and therefore through its shareholding in GCM, is associated with numerous human rights violations, and risks future abuses if project development continues.

Due to the gravity, range and magnitude of the human rights abuses and risks associated with the Phulbari Coalmine Project, we respectfully request that [BANK/INVESTOR NAME] divest all GCM shares over which you have control, and commence an exit strategy to cease provision of all financial and technical services associated with the project.     

These abuses are in violation of the Universal Declaration on Human Rights (UDHR) and in many cases do not meet standards under the Equator Principles, which are widely considered best practice for mitigating social and environmental impacts in project finance and may, in due course, be applicable to equity investments as well.

Following is a list of some of the grave human rights abuses associated with the Phulbari Coal Project, including reference to applicable international standards that have been or have the potential of being violated if this project is permitted to go forward as planned:

1)    Over the past six years project opponents have been subjected to an ongoing pattern of intimidation, repression, and violence that includes public beatings of unarmed demonstrators by the police, death threats, arbitrary arrest and detention.  On at least two occasions in the past year, the government of Bangladesh has deployed members of the notorious Rapid Action Battalion (RAB) to demonstrations against the Phulbari Coal Mine Project.  RAB has been the subject of recent investigations and reports by Human Rights Watch & Amnesty International, both of which document extrajudicial executions of human rights defenders by RAB and the routine use torture of against people in RAB custody under the current administration.

  • Right to life, liberty and security of person, Article 3, UDHR
  • Right to freedom from torture, and cruel, inhuman or degrading treatment or punishment, Article 5, UDHR
  • Right to equality before the law, Article 7, UDHR
  • Right to freedom of opinion and expression, Article 19, UDHR
  • Right to freedom of peaceful assembly and association, Article 20, UDHR


2)    On 26 August 2006, the Bangladeshi Rifles, a paramilitary force, indiscriminately fired into a crowd of over 50,000 people gathered in Phulbari to demonstrate against the project. Three people were killed, including a fourteen-year old boy, and over 100 people were injured:

  • Right to life, liberty and security of person, Article 3, UDHR
  • Right to freedom of opinion and expression, Article 19, UDHR
  • Right to freedom of peaceful assembly and association, Article 20, UDHR


3)    In February 2007, one of the leaders of the social movement opposing the project, Mr. S.M. Nuruzzaman, was arbitrarily arrested and subsequently tortured.

  • Right to freedom from torture, and cruel, inhuman or degrading treatment or punishment, Article 5, UDHR
  • Right to equality before the law, Article 7, UDHR


4)    In recent months, senior members of the national government have publicly denounced people opposing the Phulbari Coal Project as “foreign agents and spies.”  Such attacks, coupled with the violent repression summarized above, have made it extremely difficult for people to express themselves regarding the project, contributed to the criminalization of legitimate protest, and enabled ongoing impunity for repressive action.

  • Right to freedom of opinion and expression, Article 19, UDHR
  • Right to freedom of peaceful assembly and association, Article 20, UDHR


5)    Despite the nature and enormity of the risks confronting them, Bangladeshi citizens have sustained their fight to halt the Phulbari Coal Project for six years; massive public protests began in 2006 and continue through today, with an estimated 100,000 people participating in a rally against the project in October of 2010.  As demonstrated by the magnitude of community opposition, GCM has failed to adequately consult with or address the concerns of affected communities in project planning. To the best of our knowledge, GCM has not disseminated a draft Environmental Impact Assessment, Resettlement Plan, or Indigenous Peoples Development Plan to community members in a form accessible for non-literate community members, or in the Bangla language.

  • Consultation and Disclosure, Principle 5, Equator Principles


6)    According to Bangladesh’s National Indigenous Union (Jatiya Adivasi Parishad or JAP), the Phulbari Coal Project would displace or impoverish 50,000 indigenous people belonging to 23 different tribal groups.  In December of 2010, JAP appealed to Cultural Survival, a Boston-based human rights group, to seek their assistance in halting the project. Cultural Survival determined that the project would mean "ethnocide" for the Indigenous People it directly threatens and launched a Global Response Campaign aimed at halting the project.  As evidenced by JAP’s appeal, and the ongoing participation of indigenous people in massive protests against the project, GCM has not met the principle of free, prior, and informed consent.  GCM’s efforts to force the project forward without the consent of tens of thousands of indigenous people violates their right to self-determination and contravenes the letter and spirit of the UN Declaration on the Rights of Indigenous Peoples.

  • Free, prior and informed consent for any relocation, Article 10, UNDRIP
  • Collective rights to lands and territories, Article 26, UNDRIP  
  • Control over development priorities, Article 32, UNDRIP
  • Self-determination, Shared Article 1, ICCPR and ICESCR and Article 3, UNDRIP
  • Consultation and Disclosure, Principle 5, Equator Principles


7)    The Phulbari Coal Project would acquire 14,660 acres of land in Bangladesh’s most fertile and productive agricultural region.   Of this, roughly 80 percent is comprised of verdant rice fields and fertile farmlands, which serve as the nation’s rice bowl.  Due to Phulbari’s elevation and location, its lands are also uniquely protected from the annual flooding that regularly destroys crops elsewhere in this lowland nation.  Despite its importance as a food-producing region, there is no information or study addressing how the food supplies of those households directly affected will be replaced, or the subsequent impacts on food security within the country as a whole - despite the fact that nearly half of all people in Bangladesh currently live below the nutrition poverty line.

  • Right to an adequate standard of living, health and well-being, Article 25, UDHR
  • Right to be free from hunger, Article 11 (2), CESCR


8)    Over half of all people in the township of Phulbari report that they do not currently have enough water to meet their needs.  Nonetheless, GCM’s dewatering operations at the Phulbari coalmine would lower the water table by 15-25 meters throughout a vast region that extends more than 10 kilometres beyond the mine’s footprint. An estimated 220,000 people would suffer loss of access to water as their tube wells and irrigation canals run dry, with unknown displacement impacts over time.  Hydrology experts warn of potential desertification of the entire northwest region, while mining experts caution that acid mine drainage is likely to contaminate a network of rivers extending far beyond the project area, poisoning water resources and soil for centuries to come.

  • Right to water, UN Human Rights Council Resolution A/HRC/RES/15/9 and UN General Assembly Resolution A/RES/64/292man
  • Right to an adequate standard of living, right to health and well-being, Article 25, UDHR


9)    GCM expects that the Phulbari Coal Project would displace and resettle at least 50,000 people, although some studies indicate that well over 100,000 people would be displaced.  Although 80% of all households within the project area have livelihoods based on subsistence farming, the draft Resettlement Plan for the project clearly states: "most households will become landless."  Project plans state that cultivation lands will not be replaced, but fail to make clear how GCM will restore the livelihoods of the households whose lands would be destroyed.  Given the lack of potential replacement lands in Bangladesh, one of the world’s most densely populated countries, and the scale of displacement in this project, inadequate plans for restoring the livelihoods of tens of thousands of people would result in further impoverishment and serious risks to physical and mental health. GCM has not satisfactorily addressed or resolved community members’ concerns regarding inadequate information on plans for livelihood restoration, employment opportunities, resettlement, and compensation.

  • Right to adequate housing, Article 11 (1), CESCR
  • Right to an adequate standard of living, right to health and well-being, Article 25, UDHR
  • Action Plan and Management System, Principle 4, Equator Principles


10) The Final Report of an Expert Committee formed by the Government of Bangladesh to study the Phulbari Coal Project warns that there is "a high risk of social unrest and conflict" if GCM attempts to forcibly evict and relocate tens of thousands of people in northwest Bangladesh.   The International Secretariat of the World Organization Against Torture (OCMT) subsequently issued two emergency appeals, expressing concern that "police and security forces may again employ violence to deal with public opposition to the Phulbari open-pit mining project," and cautioning that "further violence, ill-treatment and even deaths may ensue if local communities again seek to give public expression to their opposition."

  • Right to life, liberty and security of person, Article 3, UDHR
  • Right to freedom of opinion and expression, Article 19, UDHR
  • Right to freedom of peaceful assembly and association, Article 20, UDHR


Despite continuing concern about the high potential for further violence – as well as the loss of life and other egregious human right violations already associated with the Phulbari Coal Project – GCM and key government officials in Bangladesh have made numerous public statements affirming their determination to push the project forward.

Because GCM was established as a special purpose entity to develop the Phulbari Coal Project, through its investments in GCM, [BANK/INVESTOR NAME] is giving consent for the continued development and implementation of this deeply flawed and unacceptably risky project.  To take no action, is an indication in support for GCM and the Phulbari Coal Project, which remains their primary asset.

Again, due to the gravity, range and magnitude of human rights abuses and risks associated with the Phulbari Coalmine Project and identified herein, we respectfully request that [BANK/INVESTOR NAME] divest all GCM shares over which you have control, and commence an exit strategy to cease provision of all financial and technical services associated with the project.

We are pleased to provide you with more information upon request.  For comments of questions, please contact the International Accountability Project at iap@accountabilityproject.org.

The following organizations and individuals endorse this letter:

1. Accountability Counsel, U.S.A.
Natalie Bridgeman
Executive Director

2. Alternet.org, International
Don Hazen
Executive Editor
3. Asian Human Rights Commission, Hong Kong, China
Jin Ju
Program Coordinator

4. Asociación Q´anal, Guatemala
Leonor Hurtado

5. As You Sow, U.S.A.
Corrine Bendersky
Program Manager

6. Bangladesh Social Forum
Harunur Rashid Khan
Chair & Community Consultant

7. Bangladesh Udichi Shilpi Ghosti, U.K.
Dr M R H Khan MB,Bs. M.Phil, FRCS, President
Gopal Das ACCA, General Secretary

8. BankTrack, Netherlands
Mel Denes
European Coal Finance Campaign Coordinator

9. Behavioural Science Centre, Gujarat, India
Prasad Chacko
Director

10. Beyond Copenhagen Coalition, India
Ajay Jha
National Convenor

11. Bharat Jan Vigyan Jatha, India
Soumya Dutta
Convenor

12. Both ENDS, Netherlands
Pieter Jansen
Programme Officer

13. Centre for Environmental Justice/Friends of the Earth, Sri Lanka
Hemantha Withanage
Executive Director

14. Centre for Equality Rights in Accommodation (CERA), Canada
Leilani Farha
Executive Director

15. Citizens' Concern for Dams and Development, India
Jiten Yumnam
Joint Secretary



16. Climate Action Canberra,
Leigh Hughes
Co-convenor

17. CoalSwarm, USA
Ted Nace
Director & Founder

18. Conservation Action Trust, Mumbai, India
Debi Goenka
Executive Trustee

19. Crude Accountability, U.S.A.
Kate Watters
Executive Director

20. Cultural Survival
Paula Palmer
Director Global Response

21. Equations, India
Swathi Seshadri

22. Earth Works,
Jennifer Krill, Executive Director

23. Fair-Fish Association, Switzerland
Billo Heinzpeter Studer

24. Forum for Indigenous Perspectives and Action, Manipur, India
Ramananda Wangkheirakpam
Coordinator

25. Friends of the Earth, Australia
Ellie Smith

26. Friends of the Earth - US, USA
Michelle Chan
Director, Economic Policy Programs

27. Forum Against Disastrous Projects in Konkan, India
Mr. Vaishali Patil
Convenor

28. Gender Action, U.S.A.
Lisa Vitale
Executive & Communications Assistant

29. Hazards Centre, Delhi, India
Dunu Roy
Director

30. Human Rights Law Network, India
Deepika D’souza
Secretary

31. IBON-Water for the People Network, Philippines
Levinia M. Francisco

32. Indian Social Action Forum (INSAF), India
Wilfred Dcosta
General Secretary

33. International Alliance of Inhabitants, South Africa
Mike Davies,
Interim Convener

34. International Network on Displacement and Resettlement (INDR), International  
Theodore E Downing
President

35. International Accountability Project, U.S.A.
Joanna Levitt
Executive Director

36. Institut Dayakologi, Indonesia
John Bamba
Executive Director

37. Institute For Democracy and Sustainability, New Delhi, India
Rajendra Ravi
Director

38. International Rivers, U.S.A.
Aviva Imhof
Campaigns Director

39. Japan Center for a Sustainable Environment and Society (JACSES), Japan
Yuki Tanabe
Program Coordinator

40. Kodao Productions, Philippines
Jola Diones-Mamangun
Executive Director

41. Kirat Welfare Society/Organization of Indigenous Peoples of Nepal, Nepal
Chandra Singh Kulung
Chairperson

42. Kriti, New Delhi, India
Aanchal Kapur
Founder & Team Leader

43. KRuHA/People's Coalition for the Right to Water, Indonesia
Muhammad Reza
Advocate Coordinator

44. Labour, Health and Human Rights Development Centre, Nigeria
Ayodele Akele
Executive Director

45. La Plataforma Interamericana de Derechos Humanos, Democracia y Desarrollo (PIDHDD), Ecuador
Pablo de la Vega
Coordinador Regional

46. Les Amis de la Terre, France
Yann Louvel
Référent de la campagne Responsabilité des Acteurs Financiers


47. London Mining Network, U.K.
Richard Solly
Co-Coordinator

48. Mangrove Action Project, U.S.A.
Alfredo Quarto
Executive Director & Co-founder

49. Marianists International, U.S.A.
Richard Sroczynski
Assistant Representative

50. Matu Peoples' Organisation, Uttrakhand, India
Vimal Bhai
Convenor

51. Midwest Coalition for Responsible Investment, U.S.A.
Barbara Jennings
CSJ Coordinator

52. Mising Bane Kebang, Assam, India
Paramananda Chayengia
Chief Executive of Council

53. Moulvibazar Zila Unnoyan Parishad, U.K.
Moyez Mozumdar
Chair in charge

54. Nadi Ghati Morcha, India
Gautam Kumar Bandyopadhyay

55. Narmada Bachao Andolan, Mumbai, India
Pervin Jehangir

56. National Alliance of People’s Movements, Mumbai, India
Mukta Srivastava
National Organizer

57. National Committee to Protect Oil-Gas-Mineral Resources, Ports and Electricity of Bangladesh, UK Branch, U.K.
Mahmudur Rahman Benu
Convenor

58. National Forum of Forest People & Forest Workers, India
Souparna Lahiri& Ashok Choudhary

59. New Incentives, U.S.A.
Svetha Janumpalli
Executive Director & Founder

60. Pacific Environment, U.S.A.
Alex Levinson
Executive Director

61. Parisar, Pune, India
Sujit Patwardhan
Founder & Trustee

62. Participatory Development Initiatives [PDI], Pakistan
Sikander Brohi
Executive Director

63. Paryavaran Suraksha Samiti, Gujarat, India
Rohit Prajapati
Convenor

64. Phulbari Solidarity Group, U.K.

65. Platform London, U.K.
Kevin Smith

66. Public Services International Research Unit, Philippines
Violetta Coral

67. Rainforest Action Network, U.S.A.
Amanda Starbuck
Energy Finance Program Director

68. Rural Development Services Centre, Vietnam
Dang Ngoc Quang
Executive Director

69. Sierra Club, U.S.A.
Steve Herz,
Senior Attorney, International Climate Program

70. Social and Economic Rights Action Center (SERAC), Nigeria
Victoria Ibezim-Ohaeri
Program Coordinator

71. Society for Threatened Peoples/Gesellschaft für bedrohte Völker, Germany
Ulrich Delius
Asia Desk Officer

72. Solidarity Workshop, Bangladesh
Zakir Kibria

73. South Asian Dialogues on Ecological Democracy
Vijay Pratap
Convenor

74. Sulukule Platform Turkey
Cihan Uzuncarsili Baysal

75. The Corner House, U.K.
Nicholas Hildyard
Co-Director

76. UQ Environment Collective, Australia
University of Queensland

77. UQ Climate for Change, Australia
University of Queensland

78. Urban Research Centre, India
Gururaja Budhya
Secretary

79. Urgewald, Germany
Knud Vöcking
Program Director IFIs

80. UK Solidarity Platform to National Committee, U.K.  

81. VOICE, Bangladesh
Ahmed Swapan Mahmud
Executive Director

82. Water Initiatives, Odisham, India
Ranjan K Panda
Convenor

83. Women's Earth Alliance, International
Caitlin Sislin
North America Director

84. World Development Movement, U.K.
Murray Worth
Program Officer

85. Youth Ecological Centre, Tajikistan
Sergei Vorsin

Individuals

Hana Shams Ahmed
Writer and activist
Bangladesh

Vinay Baindur
Independent Researcher Urban Governance
Bangalore, India

Kaitlin Chandler,
U.S.A.

Chris de Wet
Professor of Anthropology
Rhodes University, South Africa
Xavier Dias
Editor, Khan Kaneej Aur
Adhikar, India

Paul Dudman
Archivist, Refugee Council Archive
University of East London, U.K.

Rumana Hashem,
University of East London
United Kingdom

Akmal Hussain
Dhaka University, Bangladesh

Sajed Kamal, EdD,
Brandeis University, U.S.A.

Samina Luthfa
Assistant Professor
Department of Sociology
University of Dhaka
Bangladesh

Kalyani Menon-Sen
Researcher-Activist, Gurgaon
Haryana, India

Professor Dejo Oluwu
North-West University, Mafikeng
South Africa

Jeanne Simon and Dr. Claudio Gonzalez Parra
Profesor Titular Depto. de Sociología y Antropología
Universidad de Concepción, Chile

Preeti Sampat
Researcher-Activist, New Delhi, India






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