Gross embezzlement of Karachi funds alleged

Contractors' body claims that multiple organisations paid for the same work

KARACHI:

Karachi Contractors Association said on Tuesday that the development funds for Karachi are being looted mercilessly.

The representative body of the government contractors claimed that multiple government organisations execute the same project, resulting in multiple payments for the same work. There are instances where the contract for the same project is being performed by the Sindh Local

Government Department (SLGD) Karachi Metropolitan Corporation (KMC) and Karachi Development Athourity (KDA), the association said adding that the District Municipal Corporations (DMCs) and the Karachi Water and Sewerage Board (KWSB) are also involved in this loot and plunder.

The contractors' body said that Rs14 billion worth of funds of 20021-22 provincial Annual Developmen Programme (ADP) were wasted in similar manner.

In this regard, the officials of Karachi Contractors Association have demanded strict action from the Supreme Court along with the Federal Investigation Agency (FIA) and National Accountability Bureau (NAB).

The association demanded strict legal action against those elements who are playing with the development of Karachi and embezzling billions of funds through forgery.

The association showed the documents to The Express Tribune. According to the documents, a scheme of about Rs100 million was announced for the upgradation of sewerage and water lines in Saifal Goth, Sikhi Goth, Wazir Goth, Noor Mohammad Goth, Rand Mohalla, Khadim Solangi Goth, Laasi Goth and its surroundings areas in UC 31 of East district under the local government project.

The public tender for scheme was held on December 8, 2021, in which a firm named Haji Syed Amir & Brothers was declared successful in the competition and awarded the contract.

After awarding the said contract, the Local Government Project handed over the said scheme to Karachi Development Authority (KDA) for execution and payment. On the other hand, a tender was issued by the Karachi Water and Sewerage Board for the same work on March 3, 2022, and a firm named Haji Abdul Sattar & Brothers was declared successful in the competition and awarded the contract.

Interestingly, the Local Government Project also advertised in the media for the same work, while the Water and Sewerage Board also issued an advertisement in the media for the same work, and its bid elevation report was also submitted separately by both institutions on Sepra website.

Sources of the water board say that immediately after tendering the said work, the water board started the work on the site and more than 40 per cent of the work has been completed and the contractor has been paid about Rs150 million in this regard.

On the other hand, KDA officers have also claimed that they have started the said work and this work has been tendered by the local government and sent to them for execution. As per documents received from KDA, Karachi Development Corporation has also paid about 1.25 million to the contractor for the said work.

The senior contractors of Karachi have termed it as a big fraud under the guise of development schemes as tenders and payments were made from two separate agencies for the same work.

 

Published in The Express Tribune, October 19^th, 2022.