Pakistan Post comes under PAC radar

ISLAMABAD: The revelation made before the Public Accounts Committee (PAC) on Wednesday that Pakistan Post has made the agreement for the partnership of over Rs118 billion with local bank without the approval of the federal cabinet and in violation of the PPRA rules.

The PAC has handed over the questioner to Auditor General of Pakistan and Secretary Pakistan Post to fix the responsibility and submit the report to the committee within 15-days. The meeting of the PAC was held Wednesday with the chair of its Chairman Rana Tanveer Hussain in which the briefing was given to committee on Pakistan Post-local bank strategic alliance for digital platform for Pakistan Post office Department on Wednesday.

Giving the briefing to PAC, Secretary Communication told the committee Pakistan listed in grey list of FATF in June 2018 and FATF has formulated 40 recommendations for delisting from the grey list and out of it 13 related to Pakistan Post.

He said the deadline of September 30 was given to fulfil the conditions and agreement was made with bank in June for the digital services. It was informed to the committee that the agreement was challenged in Islamabad High Court but the high court has disposed of the petition.

The PAC was informed that the FATF Asia-Pacific group meeting expected in February 2021 and till than Pakistan post will fulfil all the conditions of the FATF. While briefing the committee, Secretary Communication told the committee that the Pakistan Post was on manual and we have to formulate the monitoring and regulation system under IO3 and the commercial bank has offered and this bank was giving the solution so the agreement was made with this bank.

Member PAC Sardar Ayaz Sadiq said that the agreement was made in the violation of PPRA rules and NAB laws and agreement of Rs118 billion was signed at the stamp paper of Rs100. Member PAC Sardar Ayaz Sadiq presented the report with revelations on this agreement to the other members of the committee and raising the important questions on it and asked from Secretary Communication that whether the permission of agreement was taken from the Law Ministry and the agreement was signed were same or not.

Secretary Communication admitted that the agreement which was signed was a different from that which was approved by the Law Ministry. The AG said the violation of rules and regulation comes up in the agreement and even did not get the approval of the Finance Ministry.