Unconstitutional appointment: SC tells NBP president to quit

Published: January 15, 2011
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‘Bank chief cannot be given more than two terms’, says SC.

‘Bank chief cannot be given more than two terms’, says SC.

ISLAMABAD: 

The Supreme Court on Friday declared the appointment of National Bank president Ali Raza unconstitutional and directed him to leave his post immediately.

A three-member bench of the apex court headed by Chief Justice Iftikhar Muhammad Chaudhry and comprising Justice Ghulam Rabbani and Justice Khalil-ur-Rehman Ramday announced the reserved verdict on a petition of Mir Muhammad Idris who had challenged the validity of the reappointment of Syed Ali Raza as President of the National Bank of Pakistan (NBP) for a fifth time for one year.

The court after detailed hearing had reserved its ruling in the matter on January 4, 2011.

At the time of announcement of the verdict, Malik Manzur Qadir, counsel for the petitioner, section officers of the ministry of finance and employees of NBP regional headquarters were also present in the court.

The appointment of Ali Raza was challenged in Supreme Court in August 2010. During the course of hearing, the petitioner’s attorney Manzur Qadir had argued that according to the Nationalisation Act, National Bank president can only be appointed for two terms but former President General (retd) Pervez Musharraf had issued ordinance for Syed Ali Raza’s appointment while the present government also extended the period of his appointment till June 20, 2011.

He also informed the court that there are serious allegations of corruption against Mr Raza, including one relating to loans’ write-off to the tune of Rs26 billion.

The petitioner made the federation, Ministry of Finance, National Bank of Pakistan and President of National Bank as respondent in his petition.

Published in The Express Tribune, January 15th, 2011.

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Reader Comments (14)

  • Ahsan J.
    Jan 14, 2011 - 12:57PM

    who is at fault here, the appointer or the appointee? cant you see? to stop corruption, both ends have to be dealt with.Recommend

  • Shahryar+Ahmed
    Jan 14, 2011 - 1:47PM

    Lovely, now also look at the references pending with the Supreme Judicial Council as well or atleast get a detail judgements on the restoration of 2007. Recommend

  • Kaisar
    Jan 14, 2011 - 2:09PM

    we have left everything on the shoulders of supreme court.
    no accountability and selection criteria for these upper level seats.Recommend

  • Irfanam
    Jan 14, 2011 - 2:31PM

    Now both brothers are out of job one by one. Talking of ex-SBP governor, brother of Ali RazaRecommend

  • Farukh Zaheer
    Jan 14, 2011 - 3:06PM

    Kya baat hay CJ kee. Let’s appoint Khalil Ramday as NBP president.Recommend

  • Zuhair
    Jan 14, 2011 - 3:56PM

    thats brilliant. He had looted the bank enough for 11 years.Recommend

  • Junaid
    Jan 14, 2011 - 4:51PM

    Long live Iftikhar Ch and teamRecommend

  • Haris
    Jan 14, 2011 - 6:54PM

    after reading this news I believe we are dreadfully infected with disease called Corruption.
    Ali Raza is one of the richest man in Pakistan but even his wealth & status doesn’t immune him from this disease.Recommend

  • Faiz
    Jan 14, 2011 - 11:11PM

    You people should see the cars this guy has on him and the excessive protocol offered to even the likes of his Son!

    From what we have heard even his son is employed there at NBP!

    Anyone want to see his house its slightly north of the 26th street on Khy-e-Hilal I wont need to tell you which house that is because one can recognize it easily!

    NBP officials in the top cadre have received and keep receiving bonuses amounting to nearly a crore and above!Recommend

  • ASAD NOUMAN
    Jan 15, 2011 - 1:17AM

    Well neither I have any political affiliation nor any personal with Mr. Ali Raza
    Rather I hate this current political system and height of corruption.

    But I must add here, without investigation we start to criticize an individual and his/her’s character assassination.

    **He joined after year 2000 as president. Total assets of NBP were Rs. 371 billion at that time and in 2009 they grew upto Rs. 944 billion.

    Profit in 2000 was Rs. 461 million & in 2009 it was Rs. 18 billion (even after 2008’s global economic meltdown)

    Equity in 2000 was Rs. 11 billion & in 2010 Rs. 95 billion.**

    From above you can analyse his performance & compare with other state owned enterprises like PIA which is incurring loss of Rs. 42 million on daily basis, Railways & Steel stories we all know.

    Honorable Supreme Court has given its verdict but let’s pray this profitable organization remain unpolluted & clean with any JIALAAS & Corrupts.Recommend

  • sashayub
    Jan 15, 2011 - 1:50AM

    ……oh come on now, the SC is blowing hot and cold in the same breath….it can reappoint discarded Judges without a problem….just because they are buddies of Ch. Iftikhar….but Ali Raza cannot be appointed a third time….blah

    @Farukh….while i agree with your comment, i shudder to think what havoc ramday would play with NBP…i wont be surprised if tomorrow his relative ijaz butt ends up getting the slot thoughRecommend

  • Wowem
    Jan 15, 2011 - 7:33AM

    Thank God! Finally the man who wasn’t sober more than a couple of hours a day, and used them only to serve his insatiable greed can enjoy himself…but not at the shareholder’s time and expense. I shudder to think what a stringent audit of NBP will reveal; my fear is that it will look another robber-banker, Hamesh Khan of BoP look like a saint!Recommend

  • Jamal
    Jan 15, 2011 - 8:57AM

    One should see the things might be happening behind the scene. Who will be the next pick as NBP President?Recommend

  • Ahmed Jalil
    Jan 18, 2011 - 3:14AM

    You guys clearly don’t know what u are talking about . Ali raza is the most successful president in NBP history and pakistan s banking history. There is a reason he was appointed by four different governments for over a decade and the reason is obvious if any see’s the NBP numbers. He saved a dying bank with a profit of less than 1 billion and took it to 30 billion in 5 years. He is world renowned and been recognized by all major banking publications and is counted amongst the top 25 bankers in asia. he has been on the cover of businessweek and made NBP the strongest bank in the country. He has made more money for pakistan than any other public servent and in his decade long term there has not even been one corruption scandal of any kind in NBP. These facts are known to everyone in the financial sector… dont u guys not know anything about your country. ali raza is undoubdtly regarded as the most successful, honest and best banker in the country…and that is not debatable. and the courts decsion had to do with the govts appointment process not ali raza who is a pakistani hero we should be proud of Recommend

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