News
Friday, July 13, 2012
PAC tells NAB to probe $92m PR coaches deal* Committee halts allotment of plots to govt officials
Staff Report
ISLAMABAD: The Public Account Committee (PAC) on Thursday, terming the $92 million deal with China to purchase 175 passenger coaches in 2004-05 a violation of the rules of business, referred the issue to the National Accountability Bureau (NAB) with directions to submit a detailed inquiry report before PAC within one month.
The PAC meeting, which was held under the chair of Nadeem Afzal Gondal, also passed the remarks to initiate inquiry against uniform officers involved in corruption in the Pakistan Railways.
During the meeting, the audit reports related to the Railways Ministry and Finance Division for the year 2004-07 were reviewed.
PAC was informed by the audit officials that as per audit report for 2004-05, Pakistan Railways struck a deal valuing $92 million with China without a fair competition to purchase 175 passenger coaches.
They mentioned that due to inadequate publicity (advertising in a single local paper), only two Chinese firms participated in the bidding whereas the bid of Dongfang of China was declared unresponsive.
“Instead of re-tendering as required under the codal provisions, the contract was awarded to China National Machinery, Import and Export Corporation (CMC) on single tender basis without generating fair competition,” PAC was informed.
Members of the committee expressed strong reservations over awarding of unfair tender in such a massive purchase without fair advertisement and meeting the criteria, following which the PAC chairman directed that the case be forwarded to NAB for investigations, and sought a report before the body within one month.
The PAC chairman gave the remarks not to spare the uniform officers involved in the scandal and probe them as well.
PAC also halted the allotments of plots to the government officials until further orders. The plots were being allotted through special incentives or packages and the committee also summoned the details and lists of the former allotments, including those allotted to media persons.
Earlier, giving presentation to the members of PAC, Railways Secretary Arif Azeem said that negotiations were underway with ADB to repair railway track from Rawalpindi to Lahore.
Courtesy www.dailytimes.com.pk