AG’s help sought in Saaf Pani, other companies case

LAHORE

Justice Shahid Karim of Lahore High Court on Monday directed the advocate general, Punjab for assistance on a number of petitions challenging establishment of Punjab Saaf Pani Company as well as 55 other public companies and appointment of some members of Punjab Assembly as heads.

The judge sought explanation that on one hand there was a local government and on the other hand these companies are exerting local government powers. The judge observed that this issue would be decided once and for all that whether duplication of resources could be allowed when already there was a local government functioning then how public sector companies could be allowed to function.

The judge directed that from the next date of hearing the case would be proceeded on daily basis and no more adjournment would be given. Petitioners lawyers Muhammad Azhar Siddique, Sheraz Zaka and Sania Kanwal challenged the establishment of these companies. These petitions were consolidated and now Justice Shahid Karim would hear these petitions.

Azhar Siddique said the Punjab government had established public sector companies some nine years ago on the pretext of good governance. He said that over Rs150 billion were spent on these companies from exchequer. He submitted that this model of governance was the brainchild of Chief Minister Shahbaz Sharif who was impressed by the Turkish model of governance and followed it here.

He said it was the reason that Turkish people were hired as consultants in various companies and now they had been working in various mega projects. Counsel said the Punjab government’s expedition of forming companies had faced a huge setback as all these public sector companies had failed to perform their duties.

He submitted that just in 2016, the number of companies increased from 6 to 56. He said these companies had expenditures of Rs250 billion but no audit of these companies was carried out except one for performance audit by the auditor general of Pakistan. He said even these companies were not sharing their expenses details with Punjab finance department and Security and Exchange Commission of Pakistan.

He alleged that even these companies never published any annual audit report while officials of these companies had been drawing huge salaries besides many other perks and privileges. He submitted that there was no record of Lahore, Faisalabad and Gujranwala’s waste management companies. He said that Albayrak and Azbak, Turkish companies, were awarded contracts by the provincial government in violation of merit. He claimed that the public money was being wasted on these companies. He requested to set aside public sector companies for being in violation of the Constitution.

Sheraz Zaka submitted that MPA Ramazan Siddique Bhatti is functioning as one of the directors of Lahore Transport Company; MPAs Nasreen Nawaz, Ramzan Siddique Bhatti, and Kiran Dar are functioning as directors of Lahore Parking Company; MPAs Kashif Padhiar, Aman Ullah Khan, Qazi Adnan Fareed, Rana Baber Hussain, Ch Lal Hussain, Mahmood Qadir Khan, Qamar-ul-Islam, and Waheed Gull are functioning as directors of Punjab Saaf Pani Company; MPA Majid Zahoor is functioning as one of the directors of Lahore Waste Management Company; while MPA Hussain Jahania Gardezi was functioning as one of the directors of Punjab Agriculture and Meat Company. He submitted that these five companies were incorporated under Section 42 of the Companies Ordinance 1984 and these companies are owned by the Punjab government, which are regulated under Public Sector Companies Corporate Governance Rules 2013. He said that these MPAs were functioning as directors of five different public sector companies in violation of section 3(7) of Public Sector Companies Corporate Government Rules 2013. Sania Kanwal said that billions of rupees from the national exchequer were being spent on foreign tours of the Saaf Pani Company’s officials and they were touring abroad frequently. She alleged that the officials were purchasing expensive bullet-proof cars from the money allocated for provision of pure and clean water to the public.

Petitioner alleged that there was massive corruption in the company even the process for appointment of manager legal at the company. She said that being an eligible candidate, she had applied for the post but never called for an interview by the authority. She sought transparency in working of this company. She also requested to take notice of the alleged corruption, mismanagement in the company. The respondents in the petition included 56 companies besides federal government, President of Pakistan Office, Prime Minister Office, Punjab governor, Punjab government, Chief Minister Office, NAB, FIA, Anti-Corruption Establishment,