ISLAMABAD: The high-ups of National Bank of Pakistan (NBP) are facing a tough time to justify the cash achievement awards drawn out of the Rs2 billion NBP Employees Welfare Fund as both, the FIA and NAB, have submitted a negative report in the Supreme Court in a case that was filed a few years back.
The apex court has also fixed the case for hearing on July 31 including a contempt of court petition against the Director General FIA for not acting as per Supreme Court’s order to proceed against the top brass of the NBP.
The documents available with ‘The News’ say that even the chairman NAB has asked NBP management, who received cash achievement awards, to deposit back the ‘amount misappropriated’.
A petition filed by one Syed Jahangir under Article 184(3) of the Constitution was considered by the Chief Justice of Pakistan and FIA was asked to initiate enquiry against the responsible people. The petitioner said that the senior NBP officials misappropriated Rs2 billion from the NBP Employees Welfare Fund which had been set up with contributions from the bank’s profit.
A recent report of NAB submitted in the Supreme Court says, “That the Supreme Court of Pakistan in CP No 43/2011 and CMA No 2240/2011 vide Court order dated 30th April 2012, directed the National Accountability Bureau (NAB) to look into the matter for possible action under National Accountability Ordinance. A report shall be submitted in the court by NAB within 30 days. That in the light of Supreme Court of Pakistan decision, inquiry against the NBP officials regarding misuse/misappropriation of funds was authorised on 17th May 2012.
That record partially collected and being examined, which inert-alia establishes that: Major source of deposits of NBP is government of Pakistan and its attached depts/organisations including autonomous bodies and PLS accounts of government employees and pensioners. On these government deposits no mark-up is paid. Similarly, PLS accounts of government employees and pensions receive very nominal mark-up. Thus NBP profit is actually earned on deposits from government of Pakistan and its attached departments/organisations including autonomous bodies and PLS accounts of government employees and pensioners, in which NBP management itself has no contribution and the NBP profit is state earnings.
From 2001 to date, payment of heavy amounts was illegally made to the senior management of NBP on the pretext of achievement awards. All these awards have been made through a non-transparent procedure, and without any prescribed/approved rules/regulations. No criterion was set for reward to senior management.
Prima facie the SBP has conducted frequent inspections but has not taken cognizance of the misappropriations/misuse of authority. That besides authorisation of inquiry, the Chairman NAB has asked the President NBP to direct all senior management of NBP to deposit back the amount illegally misappropriated.