SC orders complete audit of Railways

LAHORE: The Chief Justice, Mian Saqib Nisar, observed that a complete audit of the Pakistan Railways would be conducted in order to ascertain the alleged Rs60 billion losses to the state entity.

“The court would go for an independent forensic audit of the railways. However, it would decide the next week which company should be engaged for the task,” the CJP said while hearing the multiple suo motu notices at the Supreme Court Lahore Registry on Saturday. The CJP observed that the judges are non-partisan, and they don’t have any prejudice against anyone as they are making efforts to establish the rule of law in the country.

A two-member bench, headed by Chief Justice Mian Saqib Nisar, had summoned Railways Minister Khwaja Saad Rafique through a suo motu notice into the alleged Rs60 billion losses to Pakistan Railways. Justice Ijazul Ashan is the other member of the bench. During the course of hearing, the railways minister exchanged remarks with Chief Justice Mian Saqib Nisar.

Addressing Saad, the CJP said: “The judges have no prejudice against anyone. What your friends are talking about these days? It is for the first time that the rule of law is being ensured in the country, and the ‘others’ are feeling threatened,” the CJP added without naming anyone. Khwaja Saad Rafique, however, replied that he had no problem with the court and he pleaded with the chief justice to visit the Railways Headquarters to examine the steps taken during his tenure as the minister. He said: “I’m sure our efforts will be appreciated.”

The CJP, however, reprimanded Saad Rafique over his statements. He remarked that gone are the days when the institutions were disrespected. “You should have seen what your body language was like. If you don't respect the institutions, then no one will respect you,” the chief justice remarked. Reasoning his behaviour, Rafique said he statements made by him at different locations are against his political opponents. “There is a misunderstanding which I want to clear. I can leave the court if you don’t want to listen to me,” he added.

Responding to this, the CJP remarked: “We are well aware of your intentions. If you leave the court, then contempt proceedings will be initiated against you.” Rafique also stated that currently the Railways revenue is Rs50 billion and it is facing Rs35 billion deficit.

“There are many reasons behind the losses. If you conduct an audit, you will become content with our performance,” he said. The railways minister also said that there would be visible improvement in the department in the next 12 years.

The CJP remarked: “Should the court then allow you to continue your appointment without contesting elections for the next 12 years?” Saad Rafique said: “I am not here to deliver a political speech, but let the court know the performance the government in Railways sector during the past years.” To which, the CJP reminded: “No one will be allowed to deliver a political speech here”.

Furthermore, when the court hinted at conducting the audit of Railways, the minister claimed that the SC would be satisfied with the government performance, once the audit is done. The CJP also asked the railways minister about the number of train accidents taking place during his tenure. In reference to the army train accident, in which 17 soldiers were martyred, Rafique said the cause was over-speeding. The CJP remarked that the minister had placed all the responsibility of the accident on the driver.

The CJP said he (Saad Rafique) should not have visited the place where he had gone a few days ago. To which, the minister said that he went there to just have a cup of tea as he is also a social being.

The CJP also snubbed the minister for showing relaxed posture while standing beside the rostrum. He directed the court staff to run his speeches on the projector, but then deferred the order by reminding the minister not to even think of disgracing the state institutions.

At this, the minister said he went to jail for the restoration of judiciary, and he has deep regard for the state institutions. The CJP warned him that he should be careful, as he might be sent to jail again. The minister said he was son of an eminent activist of the Pakistan Movement. At that point, the CJP said: “The sons are not like their father.” Khwaja Salman Rafique, his young brother, who is Punjab’s health minister, was also present in the courtroom.

Submitting report about the performance of his department, the minister said Railways is earning Rs18 billion annually with a loss of over Rs30 billion when he resumed the office as the minister some five years ago. “Now the railways is earning Rs50 billion and the losses are around Rs35 billion,” the minister said. He said he saved the railways from privatisation, though it was a violation of his party’s policy. However, he said all is not well, but now the inadequacies are minimal.

During the proceedings, railways’ secretary Parveen Agha presented reports of annual revenue and losses from 2012 to 2018. She said the payment of pension and historical luggage are the major reasons of railway losses. “Rs30.2 billion is being paid to the railway retired employees as a pension annually,” the secretary said. However, the CJP rejected the argument and observed the railways should have generated revenue to meet the expenses of pensions.

“For how long you will run the railways on bailout packages,” the CJP asked the secretary. Justice Ijazul Ahsan also asked the officer to look to the Indian railways’ progress. “Do you know the railways’ model of the neighbouring country?” Justice Ahsan asked the secretary. The secretary said around Rs12 billion losses were settled before the Public Accounts Committee and contested the observations made by the auditor general in its report.

The chief justice observed they could not bear the loss of national assets and would go for an independent audit of the railways. The bench directed the minister and the secretary for written replies about railways’ losses till the next week.