Reference No. 10

 
 



 

 

 

REFERENCE / COMPLAINT NO. 10/2006

Reference dated August 4, 2006 – Speaker National Assembly


The Chairman
National Accountability Bureau
Islamabad
Pakistan Peoples Party ------------------------- COMPLAINANT

VS
Ch. Ameer Hussain
Speaker, National Assembly of Pakistan
Islamabad -------------------------------------------------- ACCUSED / RESPONDENT


Subject: COMPLAINT UNDER SECTION 5 AND 18 (B) SUB SECTION-II OF THE NATIONAL ACCOUNTABILITY BUREAU (NAB) ORDINANCE 1999, AGAINST THE HOLDERS OF PUBLIC OFFICE FOR PUNISHMENT UNDER SECTION 10 OF NAB ORDINANCE 1999 FOR CAUSING HUGE FINANCIAL LOSS TO THE NATIONAL EXCHEQUER BY CORRUPTION AND CORRUPT PRACTICES

FACTS AND GROUNDS:

1. That the respondent was deeply involved in misusing official power as Speaker, National Assembly of Pakistan, against the law of the land as stated the daily “The News” dated 5-7-2006.

2. That a multi million rupee scam hit the National Assembly (NA) Secretariat pertaining to the purchase of security equipment installed at the Parliament building to ensure security of General Pervez Musharraf at the time of his visit to the Presidential Chamber there.

3. That an enquiry report prepared by the Accountant General Pakistan (AGP) reveals that the security equipments which were available for Rs 4.2 million had been inexplicably purchased by NA bosses at a cost of Rs 18 million, thus paying an additional amount of over Rs 13 million.

4. That the payment was made on the orders of respondent as Speaker National Assembly as printed in the said newspaper.

5. That the inquiry report reveals that the security equipment made in USA, Finland and England were available for only Rs 4.2 million as a result of a tender floated by the NA Secretariat but the respondent made payment of Rs 18 million to a supplier, perhaps was not in the run of tender floating, on the recommendation of ASF.

6. That the specification of the required equipment were prepared by the NA Secretariat in consultation with 502 Central Workshop, Rawalpindi and ASF Headquarters Karachi. Different bidders participated in the competition and offered their rates. However, the NA Secretariat bosses stopped procurement of the equipment through the tender and referred the matter to the ASF for expert opinion.

7. That help of ASF was sought as National Assembly had no expert for purchasing such items. Instead of offering its opinion, ASF floated its own tender and changed makes and models of the equipment and purchased them for Rs 18 million. The documents show that two baggage X-Ray machine of US make, which were offered to NA Secretariat at Rs 1.8 million per unit was bought by ASF as much higher rate. Two walk-through gates made in Finland offered to the NA Secretariat at Rs 199,000 per unit were purchased at Rs 498,500 per unit by ASF. Likewise, three explosive detectors, made in England were available at Rs 596, 000 per unit but ASF bought them for Rs 2.8 million per unit. Five hand metal detector could be purchased at Rs 10,235 per unit but ASF paid 24,800/-per unit.

8. That when the irregularity was brought to the notice of the NA Secretariat and ASF officials, both tried to pass on the buck. Neither of the two is prepared to accept the responsibility.

9. That the ASF officials said, payment of Rs 18 million was directly made by the respondent to the supplier and that ASF only helped as required by the respondent which caused a loss of Rs 13 million to the national exchequer in one small deal.

10. The above facts have been published in the daily “The News” dated 5- 7 -2006 (Press clipping enclosed for ready reference)

11. That the respondent in this complaint falls within the ambit of NAB Ordinance 1999 for the purposes of investigation, trial and punishment.

12. That the respondent is reportedly guilty of corruption and corrupt practices, as a Speaker of National Assembly passing the order for payment of Rs 18 million, abuse of power as defined in Section 9 of the NAB Ordinance and as such is subject to punishment under Section 10 of the NAB Ordinance 1999 based upon the above facts and grounds.

CONCLUSION:

Based on the above facts and grounds, the respondent has shown willful indulgence in misusing his powers under Section 9 of the NAB Ordinance. Such persons are subject to punishment under Section 10 of the NAB Ordinance 1999.

As such, the Chairman of the National Accountability Bureau is called upon to initiate investigation in connection with the matters set out hereinabove and further proceed to file a Reference against the respondent for violating the provisions of Section 9 of the NAB Ordinance punishable under Section 10 of the NAB Ordinance in competent court of law and proceed against the concerned for violating Section 9 of the NAB Ordinance 1999.

Complainant :
Pakistan Peoples Party
Through :

Ch. Muhammad Aslam
Advocate
Islamabad : Dated : 4th August 2006

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Spare a thought for the spare change
”THE NEWS” dated July 5, 2006

ISLAMABAD: A multi-million-rupee scam has hit the National Assembly (NA) Secretariat, pertaining to the purchase of security equipment installed at the Parliament Building to ensure security of President Gen Pervez Musharraf at the time of his visit to the Presidential Chamber there.

An inquiry report prepared by Accountant-General of Pakistan (AGP) available with The News reveals that security equipment, which were available for Rs 4.2 million had been inexplicably purchased by NA bosses at a cost of Rs 18 million, thus paying an additional amount of Rs 13 million. The payment was made on the orders of Speaker NA Ch Amir Hussain.

The inquiry report reveals that security equipment made in USA, Finland and England were available for only Rs 4.2 million as a result of a tender floated by the NA Secretariat. But, NA bosses made payment of Rs 18 million to a supplier on the recommendation of ASF.

An official of AGP confirmed the scam. A spokesman of NA Secretariat also confirmed the story. He said that the NA had invited tenders to buy the equipment. But, he added, later ASF purchased the equipment and the NA Secretariat made the payment to the supplier on the recommendation of ASF.

He said that the help of ASF was sought as NA had no expert for purchasing such items. However, he did not comment why the rates quoted by ASF supplier were not questioned and checked particularly when it had an offer to buy the same equipment for Rs 4.2 million.

The inquiry report says that after Musharraf decided to meet MPs in his chamber in 2003, the NA Secretariat decided to buy security equipment for the building. The NA Secretariat floated the tender to buy two baggage X-Ray machines, two walk-through gates, three explosive detectors and five hand-held detectors to replace the existing equipment.

Specifications of the required equipment were prepared by the NA Secretariat in consultation with 502 Central Workshop, Rawalpindi and ASF Headquarters, Karachi. Different bidders participated in the competition and offered their rates. However, the NA Secretariat bosses stopped procurement of the equipment through the tender and referred the matter to ASF for expert opinion.

Instead of offering its opinion, ASF floated its own tender. ASF changed makes and models of the equipment and purchased them for Rs 18 million. The documents show that two baggage X-ray machine of US make, which were offered to NA Secretariat at Rs 1.8 million per unit was bought by ASF at a much higher rate. Two walk-through gates made in Finland offered to the NA Secretariat at Rs 199,000 per unit, were purchased at Rs 498,500 per unit by ASF. Likewise, three explosive detectors made in England were available at Rs 596,000 per unit but ASF bought them for Rs 2.8 million per unit. Five hand metal detectors could be purchased at Rs 10,235 per unit but ASF paid Rs 24,800 per unit.

Without questioning the exorbitant rates, the NA bosses simply made a payment of Rs 18 million to the supplier of ASF. Thus instead of verifying these high rates and getting worried about the difference of Rs 13 million, NA bosses simply made the payment.

Now when the irregularity was brought into the notice of the NA Secretariat and ASF officials, both have tried to pass on the buck. Neither of the two is prepared to accept the responsibility.

ASF said payment of Rs 18 million was directly made by NA Secretariat to the supplier and they only helped them buy the equipment. On the other hand NA bosses said they had made payment on the recommendation of ASF and its officials were responsible for this shady deal. Thus, according to the report neither NA nor ASF are ready to accept the responsibility of this scam, which has caused a loss of Rs13 million to the national exchequer in one small deal.

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