Senate Standing Committee on Ports and Shipping has asked Port Qasim Authority (PQA) to present its financial records of deposits with various commercial banks during the past five years, admittedly at meagre 0.99 percent interest rates.
The committee during recent deliberations on the affairs of PQA came to know the startling irregularities in the management of the Authority.
The most intriguing irregularity, however, remains about the deposits of the PQA. "The Director General Finance (of PQA) explained that not only the profit but other Rs 5 billion were also deposited on long term basis at the rate of 0.99 percent profit in various commercial banks. Such arrangements were brought to the notice of the present Board and a committee was constituted, which took decision to deposit the same amount in other banks on short term basis at rates of interest ranging from 5.5 percent to 6.5 percent,", the minutes of the meeting said.
The Director General Finance of the PQA further told the Committee that due to such arrangements of the deposits, huge financial losses had been incurred and billions of rupees have been lost. The Director General Finance further said that "it was a decision of one or two persons". Even the Chairman of the PQA categorically told the committee that there was no defence for the previous management.
A Member of the Senate Standing Committee on Ports and Shipping Dr Abdullah Riar said that "the Committee has now unanimously asked the PQA to bring its financial records within 15 days before the committee".
The committee unearthed that contrary to the statutory requirements, no commercial audit had been carried out in the PQA. The Committee was informed that for the period of 1999-2002, an internal audit was carried out by Sajjad Haider.
Another important feature of the irregularities in the PQA was in the affairs of the Al Watan Industrial Zone being set up on the land of PQA for overseas Pakistanis. The Committee was, however, told that this scheme was not recommended by the Ministry of Manpower and Overseas Pakistanis. On the other hand, balloting for the 1023 plots of 1000 square size has so far been carried out and final balloting for remaining 336 plots would be carried out later on.
Another project at the PQA is being undertaken with the name of World Trade Centre. On queries of members of the Committee, it was informed that the idea of WTC was conceived five years ago and PQA had allotted hundreds of acres of land at the rate of Rs 2 million per acre to WTC. The committee was apprised that the bidders went to the court and thereafter out of court agreement was reached and finally the ECC on a summary put up by the Ministry of Ports and Shipping revived and approved the allotment of hundred acres to WTC. On this information, Chairperson of the Committee, Gulshan Saeed, expressed dissatisfaction and asked for provision of full information.
In the recent communication to PQA, the Senate Committee has asked the PQA to bring all relevant details of these issues.