NICL scam: Fahim and family beneficiaries of embezzled money, National Assembly panel told

After a thorough probe, the Federal Investigation Agency (FIA) has come to the conclusion that Makhdoom Amin Fahim, federal minister for commerce along with his son and wife are beneficiaries of embezzled money in National Insurance Company Limited (NICL) land scam.
The FIA informed the National Assembly Standing Committee on Commerce that Fahim has got paid off his loan worth Rs 24.457 million from the money embezzled in purchase of properties by NICL. The parliamentary panel, with Engineer Khurram Dastgir in the chair, was told by deputy director FIA Altaf that the agency had recently enquired the federal minister for commerce about the money through which his loan has been settled. The official said that the minister has sought time to submit written reply.
The committee was of the view that during the tenure of Ayaz Niazi, NICL purchased six properties worth Rs 5 billion and some Rs 2.4 billion were siphoned off in these deals. Kashmala Tariq MNA maintained that since it has been established that the minister was one of the beneficiaries of the NICL transactions, his ministership should be suspended till the issue is resolved.
The FIA official also confirmed the link of Monis Ellahi, son of former chief minister Punjab Pervaiz Elahi, in NICL scam and said that he got transferred Rs 50 million in bank account of a company owned by Monis Ellahi. Director General FIA Malik Iqbal informed the committee that FIA has provided same information to the committee, which was provided to the Supreme Court. Property transactions completed by NICL at Lahore, Karachi and Dubai are being completed under rules and procedures.
Replying the oversight role of commerce ministry on NICL, the secretary commerce informed the committee that after the abandoning of Director General Insurance office in the ministry of commerce under the ADB reforms, the oversight role has been shifted from commerce ministry to the Securities and Exchange Commission of Pakistan (SECP).
He said NICL is functioning as an independent corporate entity under the Companies Ordinance and its board of director is fully authorised to manage the funds available with it mainly the premium of policyholders. "It is the prime responsibility of the SECP to judge the prudence of NICL decision-making. The SECP has powers to raid, confiscate records and remove management of any insurance company on violating its rules or mishandling of the funds available with any insurance company. The commerce ministry has limited role left with it mainly legislation on insurance sector," he added.
Secretary Interior Chaudhry Qamar Zaman and Additional Secretary Commerce informed the committee that during May 2008 to September 2009 being ex-officio member of the Board of Director of NICL, he attended only one meeting where the issue of land transactions was initially discussed. However, he said that before the initiation and completion of these transactions, he was promoted and appointed as secretary interior.
Shafqat Naghmi, secretary food and agriculture and additional secretary commerce during September 2009 to February 2010 was also of the view that being ex-officio member of the board of director of NICL, he was not able to attend any meeting which took the decision on huge investment in real estate by the NICL.
He was of the view that actual decision-making power rests with real estate committee and investment committee to decide investment issues at NICL and he has no role in NICL real estate deals decision making.
Khurram Dastgir was of the view that committee wants that a responsibility be fixed to avoid such type of misappropriation of public funds in government owned institutions. He called the SECP management in next meeting to explain its supervisory role in insurance sector especially in the context of the affairs of NICL real estate scam. He also directed the commerce secretary to submit the summery that was submitted to the prime minister for appointment of Ayaz Niazi as chief executive officer of NICL.