Representational image. PHOTO: APP
Chinese authorities arrested two key officers of a company – Capital Engineering and Construction Company – which was operating as a contractor for the project and these officials spilled the beans.
During investigations, the suspects confessed to taking kickbacks in the project. After the confession, the Chinese investigators contacted the Pakistan government.
According to details, China has allowed NAB’s assets recovery unit officials access to the accused. A three-member NAB team – head by Shahzad Akabar and including NAB Rawalpindi Director General Irfan Mangi and NAB Multan Deputy Director Shahid – has left for China yesterday.
The sources said NAB team can reclaim the ill-gotten money from the Chinese authorities on the basis of their confessional statements.
During 2016, the China Securities Regulatory Commission (SCRC) contacted the Securities and Exchange Commission of Pakistan (SECP) and requested the SECP to verify some documents according to the International Organisation of Securities Commissions (IOSCO) procedures.
Sources said according to the CSRC, the contract for metro bus project was awarded to Habib Rafiq Private Limited while Capital Engineering and Construction Company worked as its contractor.
The company showed profits of $28 million after which Chinese regulatory body approached the SECP for the purpose of investigation. However, the then SECP chairman Zafar Hijazi and the SECP’s chief prosecutor Muzaffar Mirza kept the Chinese regulator’s request secret and chose to take no action.
In July 2017, Hijazi was removed from his post for allegedly tampering records to favour the Sharifs. The scandal was first probed by the Federal Investigation Agency (FIA) but was later shifted to NAB.
Senate Standing Committee chairman for finance also allegedly tried to sweep the matter under the carpet. However, the then SECP commissioner Akif Saeed and prosecutor Muzzaffar Mirza were also made part of the investigation.
After a year of investigation, NAB discovered the use of kickbacks in the project. When two key officers of the company were apprehended by the Chinese regulators, the government made a task force to bring back the plundered money. The task force has already left for Beijing.
The Capital Engineering and Construction Company was not registered with the SECP. Officials from the SECP tried to visit the company’s address but found that it had no office.
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