Daily The Business

Kidney Research Centre officials incur Rs1,797m loss to national kitty

Anti-Corruption Establishment’s JIT findings

By K A MIAN
LAHORE: As many 17 officers/officials have been held responsible for causing loss of Rs1,797.46million to the national exchequer in the project of the Pakistan Kidney and Liver Institute and Research Centre (PKLI&RC), the Joint Investigation Team (JIT) report of Anti-Corruption Establishment (ACE) Punjab has revealed.
A copy of JIT report available with The Business,  as a result of scrutiny of available record, reveals that PKLI&RC project was declared fast track complex and state of the art for which heavy budget was approved in sheer violation of the prevailing rules and regulations of the Punjab government, the inquiry report said.
The report also revealed that although every arrangement/ facilitation regarding provision of funds, award of work  at exorbitant rates, heavily paid professionals/ consultants was made for its completion on time but all in vain.
“The due completion month of instant project was December 2017 but the same was not completed in time and still the project is under construction. The Infrastructure Development Authority of Punjab (IDAP) management is responsible who had not imposed any penalty/ damages on contractor due to delay in project. On the other hand, a huge amount was paid to consultants including CPG-Arcop JV. M/S NESPAK-Mooyoung, etc.”
Perusal of payment record of IDAP revealed that the concerned officers including Protect Director/ the Engineer kept on putting efforts for clearance of interim payment certificates/ invoices without due diligence by affixing their signatures with casual attitude and had not discussed/ examined the quality and quantity of executed works/ deliverables even ignoring the non-compliance reports (NCRs) pointing deficiencies in the executed work issued by resident consultant, the report said.
Moreover, the post of Chief Engineer was not reflected in IDAP organogram/ HR Manual but this post was utilized to misuse the power associated with it as Chief Executive Officer IDAP kept an entrusting the responsibility of Chief Engineer invariably to his favorite officers even the persons not possessing the requisite qualification of civil engineer. The officer entrusted additional responsibility of Chief Engineer kept on approving the payments in billions of rupees without any financial power delegated to him and CEO along with CFO IDAP had been authenticating the illegal approval and issued cheques to various contractors/ consultants.
The project director in the capacity of the Engineer was duty bound to apprise the actual situation of execution but he failed to perform his duty as despite of service of delay notices to contractors/ ZKB-Reliable JV & M/s Uni-build, EOT without plenty was allowed by putting burden to the Govt exchequer which was never objected by the concerned officers of IDAP being connived with the contractor.
Therefore, it is prima facie established that public funds have been embezzled/ misappropriated by adopting illegal practices/ procedures and violating the check and balances deliberately causing loss of Rs 1655.49 million and an unauthorized/ illegal payment of Rs 141.97 million issued by IDAP officers prima facie.
Officers and officials who were found responsible for causing above said loss include; Mujahid Sherdil, Chief Executive Officer. IDAP (BS-19), Ahsan Shamim, Chief Financial Officer, IDAP, Dr Fawad Muzaffar, General Manager (E&P)/ Chief Engineer, IDAP, Adnan Saif Ch. General Manager (Technical/Chief Engineer, IDAP, Ali Khan, General Manager (Technical)/ Project Director/ The Engineer, IDAP, Naveed Tariq, General Manager (Project Management)/ Project Director/ The Engineer, IDAP, Hassan Hameed, General Manager (Quality Assurance / Quality Control, IDAP, Malik Kashif Nadeem, Chief Information Technology Officer, IDAP, Dr Saeed Akhtar, Chief Executive Officer, PKLI, Qaiser Rafiq, Project Director, PKLI, Imran Waheed, Vice president, NESPAK, Azmat Nawaz Chief Operating Officer, IDAP, Hammad Zafar, ZKB-Reliable JV (Contractor), Waseem Afzal, ZKB-Reliable JV (Contractor), Zahir Khan, ZKB-Reliable JV. (Contractor), Ahmed Habib, M/s Uni-build, (Contractor) and Yawar Gillani, M/s CPG-ARCOP JV, (Design & Resident Supervision, (Consultant).
The detailed loss caused to government exchequer will be determined and the responsibility on the part of delinquents’ officers/ officials & other persons will be fixed during the course of investigation, the report said.
Moreover, the role of officers/ officials of Health department, P&D department, Finance Department, Government of Punjab who processed for approval and release of funds to PKLI&RC without PC-1 approval from Executive Committee of the National Economic Council (ECNEC) will be determined during the course of investigation, the findings conclude.

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