Audit officials reveal lower level of electricity production from Nandipur project, resulting in loss of Rs9bn
During Nawaz’s rule, Rs480bn looted from national exchequer in two power projects, despite their closure
ISLAMABAD: A top official involved in the Nandipur power project corruption scam has been conferred with “Sitara Imtiaz” and now has been appointed Punjab Agriculture Department secretary, it was revealed in Public Accounts Committee (PAC).
The PAC meeting, chaired by Khursheed Shah Thursday, reviewed the audit objections of FY 2016-17 of Ministry of Power. It was told that investigation regarding increasing the cost of the Nandipur project from Rs22bn to Rs66bn has been completed, while Punjab Agriculture Department Secretary Muhammad Mehmood was held responsible for this massive corruption. The audit officials told that less production of electricity from Nandipur project has inflicted a loss of over Rs9 billion to the national exchequer. Meanwhile, the report of the project has been forwarded to the National Accountability Bureau (NAB).
The PAC has sought a report regarding the imposition of Rs72bn fine imposed by an international court to point out those who were responsible for the imposition of a fine. It directed the Ministry of Power to recover Rs900bn bagged through massive irregularities and corruption, which were pointed out in 35 audit objections. It also directed to form a three-member committee to resolve the issue of Rs3bn overbilling by the Lahore Electric Supply Company (LESCO).
Moreover, it was further unmasked in the meeting that during the ruling period of Nawaz Sharif, Rs480bn were looted from the national exchequer in two power projects, despite halting of the said projects. Secretary Nasim Khokhar has been assigned the task of inquiry. On top of that, it was also revealed in the meeting that at least 16 officers were recruited on fake degrees in Nespak.
The PAC also directed the power ministry to recover Rs293bn from nine power distribution companies (Discos), while proposed recovery on objections raised in the 35 audit should be ensured. The audit officials told the meeting that only 1,091 power schemes have been materialised yet, whereas the ones remaining are still incomplete due to which Rs1.1bn have been stuck. In order to resolve the issue, a committee has been constituted, which would be headed by Sardar Ashiq Gopang, while Nazir Sultan and Javed Ikhlas would be the members of the committee. The committee would submit its report within one month.
It was told that power ministry spent Rs1.47bn during the closure of two power projects in Muzaffargarh, which were declared as corruption. The PAC directed the secretary to investigate the matter. The meeting was also informed that coal was being stolen from Lakhra project.
NAB chairman noted that it was difficult for the poor to get a headache relief pill; on the other hand, billions of rupees were being looted out. He observed that thieves were free while noble people are sent behind the bars. He further said that Punjab agriculture secretary would ruin the agriculture sector the same way he ruined Nandipur project.
Sherry Rehman cast her doubts over awarding Nespak contracts worth Rs370mn to 13 companies, saying these accords were made by violating the rules and regulations, as the names of the companies are dubious and vague. She said these projects were leased out by Nespak’s former MD Amjad Khan. The PAC directed the power ministry to hold an investigation into the matter and to submit a report in this regard within a month.
Azam Swati asked if institutions like Nespak lose the confidence of the nation, how development and progress were possible?
Shaikh Rohail Asghar exhorted the power secretary to attend the meeting with complete documentation and preparation to avert any annoyance. The audit officials told the meeting that they failed to recover Rs390mn from Nespak office in Qatar, while Sherry Rehman showed her resentment over nondisclosure of the head of Qatar office. Later, the meeting was told that Khalid Iqbal Khan was head of Nespak Qatar.
The PAC was told that 16 officers recruited in 2011 in Nespak have had fake degrees, whereas the rest were reluctant to check out their degrees. Power secretary told that 10 officers have been expelled while investigation against six was underway.