Mandviwalla seeks suspension of FBR's 1,010-car deal

ISLAMABAD: Saleem Mandviwalla, Chairman of the Senate Standing Committee on Finance and Revenue, has called on Finance Minister Muhammad Aurangzeb to immediately suspend the Federal Board of Revenue's (FBR) procurement of 1,010 vehicles.

In a letter dated January 22, Senator Mandviwalla highlighted apprehensions regarding the procurement process, emphasising that the timing and scale of such acquisition raised "considerable doubts about the transparency and integrity of the process" which need a further review.

The letter comes a day after the Senate body instructed the Board to stop the procurement as it criticised the FBR's move to purchase 1,010 vehicles for operational purposes at an estimated cost of Rs6 billion.

The tax authority issued a letter of intent on January 13 for the Rs6 billion procurement. The first phase will see 500 vehicles delivered, with an advance payment of Rs3 billion already made.

The delivery schedule for the vehicles is planned in phases, beginning with 75 units in January, followed by 200 in February, and 225 in March. The second phase will include 250 vehicles in April and the final 260 in May.

The vehicles will bear the FBR logo for official identification, and each unit will be equipped with a tracker system, with service charges covered for the first year.

Mandviwalla mentioned in the letter that committee members, during a recent meeting, pointed to the deliberate exclusion of competitors in the bidding process, raising suspicions of mismanagement and mala fide intent.

The procurement, estimated to be significant in scope and expense, has been criticised for compromising the principles of transparency and fairness —fundamental tenets of government procurement policies.

The letter requested that the purchase order issued to the Accountant General Pakistan Revenues (AGPR) should be cancelled and the payment should be halted. 

Additionally, the letter calls on the Ministry of Finance to instruct the FBR to suspend the process, noting that bypassing financial integrity in current economic circumstances would be a serious breach of duty.

A copy of the letter has been forwarded to FBR Chairman Rashid Mahmood Langrial and Prime Minister Shehbaz Sharif for further consideration.