1.07m wheat bags under investigation in PASSCO case

Inquiry widened as growers accuse officials of diverting 80% stock

MAILSI:

The National Accountability Bureau (NAB) Multan has accelerated its investigation into alleged large-scale irregularities and corruption in wheat procurement and gunny bag (bardana) distribution by the Pakistan Agricultural Storage and Services Corporation (PASSCO), following complaints from farmers across south Punjab.

The inquiry was approved in August 2024 after written complaints were filed by several farmers, including Irfan Mahmood, Mumtaz Ahmed and Usman Akram.

NAB officials said that since the launch of the inquiry, investigators have been collecting documentary evidence, examining procurement records and verifying the allegations through field inspections.

On February 17, 2026, a NAB investigation team conducted a surprise visit to the PASSCO zonal office in Vehari.

The team summoned Project Managers in Mailsi, including Sameer Hussain and Asghar Khan, along with in-charges of 19 wheat procurement centres operating in Tehsil Mailsi.

Detailed questioning was conducted regarding wheat purchases, gunny bag allocation and financial transactions.

Sources said investigators scrutinised centre-wise bardana issuance records, wheat receipt registers, stock position reports, farmers' lists, CNIC data, bank payment details and warehousing documentation.

Several affected farmers were also present during the visit and recorded their statements before the inquiry team.

Complainants alleged that out of approximately 1.075 million gunny bags allocated to the 19 procurement centres in Mailsi, nearly 80% were diverted to middlemen, commission agents and non-eligible individuals instead of genuine farmers. They further claimed that in certain cases, gunny bags were sold illegally at rates ranging from Rs500 to Rs1,000 per bag.

The farmers estimate that financial irregularities exceeding Rs500 million may have occurred as a result of the alleged mismanagement and corruption.

They maintained that due to the unavailability of bardana, many growers were unable to sell their wheat at the government's fixed support price of Rs3,900 per maund and were instead forced to sell in the open market at rates as low as Rs2,700 per maund, resulting in substantial financial losses.

In addition, it was alleged that payments for 11,761 wheat bags delivered at PASSCO Mailsi Centre 1 have not yet been made.

A group of 61 affected farmers has demanded immediate payment of outstanding dues and called for the introduction of a transparent digital bardana management system to prevent future irregularities and protect both public funds and farmers' interests.

NAB sources said the scope of the investigation has been expanded beyond Mailsi.

Statements have also been recorded from project managers and centre in-charges in Burewala and Bahawalnagar zones.

Overall, alleged irregularities at 58 procurement centres are currently under scrutiny.

Officials said that bank transaction records, mobile data and financial audits are also being examined to determine individual responsibility.

NAB authorities have made it clear that if the allegations are substantiated, strict legal action will be taken against those involved, including arrests, filing of corruption references and freezing of assets in accordance with the law.