Corruption surfaces in State Engineering Corp pension fund

ISLAMABAD: Millions of rupees in fraudulent transactions have surfaced in the State Engineering Corporation Management Pension Fund (SECMPF), leaving over 800 pensioners facing delays in receiving their monthly pensions.

This alleged fraudulent activity within the pension fund has emerged at a time when federal and provincial governments are in the process of implementing pension reforms.

SECMPF Chairman Amjad Hussain Sabir confirmed to The News on Wednesday that they have submitted complaints with the police station and Federal Investigation Agency for the lodging of an FIR against one employee who was handling pension matters.

According to the statement for August 2025, fraudulent transactions amounting to Rs41,185,543 have been conducted through the RTGS system from the SECMPF bank account.

As per the complaints, an SECMPF Trust was established under the Income Tax Ordinance 1979 in 1984 to oversee the pension benefits of retired officers of the corporation and its companies.

The written complaint stated that a junior executive had been handling pension fund matters since June 01, 2016 and he last reported at the office on August 19, 2025.

Subsequently, he became unresponsive, ceased all communications and remained untraceable since that date. Upon contacting his father, he expressed complete unawareness of his son’s whereabouts and disowned any responsibility.

During this period, the corporation received multiple phone calls from pensioners regarding delays and other pension-related issues.

Subsequently, a probe was started. A preliminary review of the bank statement revealed suspicious financial transactions through the RTGS system.

These transactions were cross-checked against the Pension Fund’s cheque book available at SEC, and discrepancies were identified, indicating that certain entries had been misrepresented.