Corruption in purchase of RPPs: Supreme Court calls Faisal for explanation

24 Sep, 2010

The Supreme Court on Thursday summoned former interior minister and Pakistan Muslim League (Quaid) leader Faisal Salah Hayat for explanation regarding massive corruption in Rental Power Projects (RPPs), which caused billions of rupees loss to the national kitty.
A three-member bench of the Supreme Court, headed by Chief Justice Iftikhar Muhammad Chaudhry also issued notices to secretary finance, secretary water & power, managing director Pepco, chairman Wapda and all rental power companies to appear before the court on October 4.
"There are serious allegations of corruption in RPPs," Chief Justice Iftikhar Muhammad Chaudhry observed while hearing a suo motu case of increase in power tariffs and rental power projects. Senior Advocate of the Supreme Court Anwar Kamal who earlier was representing Pepco & power distribution companies in this case, requested the court to withdraw from representing the two public sector organisations as he has filed objections against these two companies in his individual capacity.
Advocate Khawaja Tariq Rahim, the counsel for Pepco and water and power ministry submitted detailed reply of thousand pages to the court, saying he has answered all the questions raised by the Supreme Court as well as allegations levelled by the Faisal Salah Hayat in the purchase of RPPs.
"It is out of all the context, whoever raises objections must be summoned by the court, they must be here including the TV anchors to place evidence before the court," Khawaja Tariq Rahim requested the Chief Justice, adding that he had placed the entire record and replies before the court. Two RPPs - Pakistan Power Resource and Multan and Guddu have signed off, therefore, we have sued them of Rs 190 million for breaching the agreement, and causing huge loss to the national exchequer, Rahim informed the court.
While giving the details of the RPPs, he said that there are only 10 power projects in the country including Gulf Rental Power producing 62MW, Techno E Power producing 60MW, Naudero water project which is on test run, producing 30MW, Karkey Power Project, Karachi, Sialkot Power Project, Kamonki Power Project and Yong Gin power project.
There is only one project namely Reshma Power Project is in the pipeline which would be operational soon, however, three out of eight are ready for operation, he further informed the court. Meanwhile, Anwar Kamal advocate informed the court that Techno E Power Project which according to Khawaja Tariq is producing 62MW is actually producing none and is facing closure for last several months.
Techno E power project was made operational once only and that for test running and later it was shut down, Kamal claimed, adding that these are the reasons for his withdrawal because he can not assist the court on false claims. The Chief Justice directed him to appear on next date of hearing as amicus curie. Later, the Chief Justice while adjourning the hearing till October 4 issued notices to all the concerned parties in the case.

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