SHC questions govt reliance on foreign funding for restoration of parks

The Sindh High Court has expressed surprise over the federal and provincial governments for relying on international funding for improving and restoring parks and playgrounds in Karachi although the city of Karachi is one of the largest contributors to the federal and provincial tax base.

The court directed federal and provincial law officers to disclose the amount which was being utilized for the development of Karachi and its more than 20 million citizens. The direction came on lawsuits pertaining to the procurement process in respect of parks and playgrounds in Karachi. The counsel for the defendant CLICK, a foreign bank-funded project, submitted that procurement is transparent and is done under international procurement regulations because the World Bank’s funding has been received.

A single bench headed by Justice Mohammad Faisal Kamal Alam observed that it is quite surprising that for improving and restoration of parks and playgrounds, official defendants have to rely on the international funding, although Karachi is one of the largest contributors to the federal and provincial tax base.

The court directed federal and provincial law officers to provide details with regard to collection of all taxes and duties including income tax and sales tax by the federal government from the city of last three years, showing rupees and its conversion into US dollar component as well as percentage of contribution of Karachi to the federal government tax base.

The court also sought details of all taxes and duties collected by the provincial government of the last three years, including sales tax on services from Karachi. It directed that details should be submitted in a tabular form showing the rupee and its conversion into US Dollar component and percentage of contribution of Karachi to the provincial government tax base. The court directed the law officers to file comments disclosing the amount, which was being utilized for the development of the city and its more than 20 million citizens.