PAC seeks details of bureaucrats having properties in Portugal

ISLAMABAD: The Public Accounts Committee (PAC) Tuesday took notice of Defence Minister Khawaja Muhammad Asif's statement about Pakistani bureaucrats purchasing properties in Portugal and directed the Establishment Division and the Ministry of Interior to immediately submit a list of all such officials.

The committee summoned officials from the Ministry of Interior, State Bank, Federal Board of Revenue (FBR) and other relevant institutions for a briefing in the next meeting.

The committee, chaired by Junaid Akbar Khan, examined the audit objections of the Ministry of Religious Affairs for the fiscal years 2022-23 and 2023-24. Junaid directed that the details of plots acquired by the bureaucrats be obtained.

At the outset, Junaid said the committee intended to place on the agenda of its August 19 meeting the issues of tax exemptions in the former Fata and Pata regions. Expressing concern over the possible closure of utility stores, the committee decided to seek a briefing on the issue in its upcoming meeting.

The committee decided to summon the relevant departments in the next meeting. The committee also decided to hear the grievances of the protesting Utility Stores employees.

Examining the audit para related to the Ministry of Religious Affairs, audit officials informed the committee that a former assistant accounts officer Muhammad Kaleem in Jeddah had embezzled Rs12 million. Objections were also related to the same officer, who in 2019 deducted meal charges from the assistants but did not pay the contractor, and misappropriated funds from the Haj Welfare Fund.

Three more audit paras pointed a finger at Muhammad Kaleem for allegedly embezzling Rs44.25 million in total, while the same person was also involved in misappropriation of Rs21.141 million worth of food charges deducted from Moavineen, and embezzlement of Rs3.456 million from the Pilgrim Welfare Fund. The total embezzlement amounted to Rs44.715 million.

Officials informed the committee that the accused had obtained a Canadian visa beforehand and was currently in Canada.

Secretary religious affairs said the ministry had dismissed the official from service, written to the FIA for registration of an FIR, and asked if the Interpol had been approached.

FIA officials said both the man and his wife were proclaimed offenders, who were now living in the US, with no record yet of their properties.

The committee was informed that during the audit of DG Haj, Jeddah for the FYs 2018-21, it was observed that an amount of Rs12 million (SRLs271,508.88) was remitted by the office of Chief Accounts Officer, Ministry of Foreign Affairs, Islamabad on 24.08.2021 on account of regular monthly recoupment for the month of June, 2021.

The remittances were credited in the bank account of Directorate General, maintained with Bank Al Riyadh on 28.08.2021. However, the said amount was not accounted for as receipt in the cash account for the month of August, 2021. Rather the amount was transferred by Muhammad Kaleem, AAO on 29.08.2021 to another bank account bearing No.163-12 862-9942 titled Madina Income Account maintained with the same bank and therefrom the entire amount was transferred to the personal bank account of Muhammad Kaleem, AAO. Moreover, the officer tampered with the bank statements of the Directorate General to conceal the embezzlement.

The audit is of the view that an embezzlement of Rs12 million in remittances resulted in a loss to the government exchequer. Junaid Akbar asked if an assistant accountant was involved in such acts, what the DG Haj was doing there.

Secretary Religious Affairs Dr. Atta-ur-Rehman told the committee that the ministry had requested the interior ministry and Interpol to issue a red warrant for the accused. Senator Afnanullah Khan noted that no red warrant had been issued nor properties seized in the matter.

DG Haj in Makkah explained that at the time, there were three authorised signatories. One of them, the then-director, had been transferred but his bank ID was not deactivated, enabling the transaction. He said the system had since been tightened.

The ministry said the accused is now residing in Canada, and recovery efforts are underway through his properties.

The committee directed that details of the accused’s properties be obtained within one month. The committee chairman remarked that such a large-scale fraud could not have been committed by one person alone, and criticised the poor follow-up of the case.

The committee directed the secretary religious affairs to brief the committee within a month on the progress made in the case and inform the relevant country of the accused’s criminal record. The committee also discussed matters related to the Haj operation, as the members sought a list of all employees from different grades who were sent to Saudi Arabia to assist pilgrims.

According to the secretary religious affairs, 1,700 staff members are deployed during the Haj season, with 20 percent quota allocated to the police, while the rest of the positions are open.

Last year, 1,700 out of 64,000 applicants, including 350 officers of Grade 18, had been selected.

He said one assistant was assigned for every 100 pilgrims as per Saudi guidelines. The staff travels on service visas, which do not allow them access to Mina and Arafat.

The audit officials clarified that these personnel were sent to assist the pilgrims and not to perform Haj themselves.

The committee asked for data on how many judges, politicians, and bureaucrats took part in the Haj operation. The secretary said all accompanying staff are government employees from Grade 7 to 18, and last year, 130 personnel from the armed forces were also included.

Audit officials informed the committee about irregularities, revealing that Rs49.8 million (SAR 907,000) was paid in cash to a firm for tents in Mina and Arafat for 615 people without any receipts or records. The bill also lacked the signature of DG Haj. The DG explained that the ground realities during Haj were different and suggested exempting the Haj arrangements from the PPRA rules.