With the government facing enormous challenges due to a paucity of resources, the high ups of Engineering Development Board (EDB) are reported to have spent over 3.8 million on purchase of new vehicles. Sources revealed that EDB purchased four vehicles in the month of January, 2011 with the approval of Secretary Ministry of Industries and Production.
The Ministry of Finance claimed that all non-salary expenses as part of current expenditure would be frozen in the current year. However, purchase of cars by EDB does not constitute salary expenditure, analysts pointed out. The Ministry of Finance has failed to convince the government's coalition partners as well as the opposition to pass the Reformed General Sales Tax (RGST) as well as other measures to increase revenue.
And further the Ministry appears to be unable to either arrest profligacy in autonomous organisation/government departments or indeed to eliminate bail out packages in support of inefficiently run corrupt public sector organisations. These are some factors which have led to the revised budget deficit estimate (8.4 percent) that is a percentage point higher than what this government inherited.
Chief Executive Officer EDB, Aitzaz Niazi when contacted by Business Recorder confirmed purchase of new vehicles but said it was done with the approval of Secretary Ministry of Industries. To a question whether this kind of purchase was justified in the prevailing economic situation, he stated after a pause that the new vehicles have been purchased against the vehicles which have completed their age limit. Sources on condition of anonymity revealed to this correspondent that the old vehicles had not completed their age limit and were still being used by the general pool and for general duty.