PAC body seeks report from NLC on investment in Patagonia company

ISLAMABAD: The Public Accounts Committee (PAC)’s Subcommittee on Monday sought a report from the National Logistic Cell (NLC) with regard to investment in the Patagonia Company and giving credit of RS75 million to Japan Power Company in one-week time.

The PAC Subcommittee will make a decision to send this matter to the National Accountability Bureau after the NLC submits the record to the committee. A meeting of the PAC Subcommittee was held with the chair of its Convener Sardar Ayaz Sadiq in which the committee reviewed the progress of implementation of directives on the audit para of the NLC from 1999 to 2009.

The Subcommittee also sought the details of the brokers and others who were involved in Stock Market scam from the NLC. The Audit officials during the meeting raised objections to the Joint Ventures of the NLC with Japan Powers. The CEO of NLC Brig Abdul Waheed told the Subcommittee that the NLC has purchased 26 million shares of Japan Power of Rs115 million.

Secretary Planning and Development said that the NLC has no justification for making investment. The officials of the NLC told the Subcommittee that the NLC has also purchased the 43 per cent shares from the consortium of Pak-Oman, Pak-Saudi and Patagonia Company. “The director of the Pantaogonia Company was Nadeem Babar, who is now Special Assistant to PM on Petroleum,” the NLC officials told the committee.

PAC member Khawaja Muhammad Asif said the Japan Power Company got a licence under 1994 Power policy and was remain in clash with Ministry of Water and Power for 11-years and why the NLC made an investment in it despite the company in las with the Ministry of Water and Power.

Convener of the PAC Subcommittee Sardar Ayaz Sadiq directed the NLC to submit the report to the committee in a one- week time and also whether the NLC was authorised to make such investment and also whether the board allowed for it. “After getting the NLC response on it, the committee will decide whether this matter be referred to the NAB or FIA,” he said.

The Audit officials told the Subcommittee that NLC did not make recovery of the loss sustained by making investment in the Stock market despite the fact the pension and other perks privileges of the head of the NLC of that time was stooped.

Khawaja Muhammad Asif claimed that the investment of 300 million was made for the purchase of the shares. He also inquired the names of the stock brokers who were involved in this scam.

The officials of the NLC told the committee that the record was with JAG branch of the GHQ. The representative of NAB told the committee that NAB was not allowed access to the record.

Planning Division Secretary Zafar Hassan told the committee that the reminder letters were sent to GHQ in this regard.

Official of the NLC told the Committee that the contacts were made with the GHQ for the provision of record. “The GHQ has conducted the inquiry against the Army officials and also DG of the NLC at time and punished with forfeiture of rank, decorations, medals, honours and awards, seizure of pension, recovery of personal gains and cancellation of service and allied benefits, including medical facilities.