SHC tells govt to approve method for disbursing pensionary benefits to former KMC employees

The Sindh High Court on Tuesday observed that the provincial cabinet would approve the way and method for the disbursement of the pensionary benefits of the Karachi Metropolitan Corporation’s retired employees if it so desired or would direct the KMC in this regard.

The direction came on petitions filed by retired KMC employees with regard to the payment of their outstanding pension dues. The court had at a previous hearing directed the Sindh government to consider a bailout package for the clearance of the Rs4,246 million outstanding dues.

The court was informed that a summary had been floated by the secretary of local governments with regard to the bailout package for the KMC retired employees, which was pending for its approval before the chief minister or the cabinet in accordance with the law.

The provincial law officer submitted that the cabinet sits twice a month and perhaps in the next possible meeting this summary would be placed and most likely be approved accordingly. He said that soon thereafter the amount would be disbursed to the KMC for an appropriate release of the funds to the pensioners.

A division bench headed by Justice Mohammad Shafi Siddiqui observed that the release of funds to the pensioners would be monitored strictly and a mechanism should be carved out and only those who deserved the pensionery benefits in accordance with law would be given preference.

The court observed that not even a single release of the pensionery amount should go unattended and all such releases may be subjected to scrutiny and a probe if required. It further said the cabinet would approve the way and method for the disbursement of the pensionery benefits if they so desired and/or direct the KMC in this regard.

Chief Secretary Syed Mumtaz Ali Shah tendered an unconditional apology over his non-appearance before the court despite a notice issued at the previous hearing. He submitted that inadvertently he could not appear before court since he was of the view that perhaps compliance was in the way.

The court observed that these kinds of excuses are not tenable and courts do not expect such kinds of excuses from the chief secretary, who is well aware and conversant with the proceedings of the court that an excuse of the nature as given above could hardly be acceptable.

It said that the CS had tendered an unconditional apology as well, which was accepted, and directed him to be careful in future.

The court at the previous hearing of the petitions had observed that the present state of affairs at the KMC clearly indicated that its management had miserably failed to manage the accounts properly.

It said the only reason for the present financial crisis, which was worsening on a daily basis in an alarming manner, was mismanagement and lack of planning and foresight on part of the KMC.

The court said the Sindh government having supervisory control and jurisdiction in respect of the KMC was equally responsible for not taking timely action in relation to wrong decisions taken by the KMC. The court had directed the government to consider providing a grant to bail the KMC out.