Railways crisis: Bilour confirms FIA probe against him
Minister accused of mismanagement, financial irregularities in locomotive deal.
ISLAMABAD:
Railways Minister Haji Ghulam Ahmed Bilour has confirmed that the Federal Investigation Agency (FIA) conducted an inquiry against him for alleged financial and procedural irregularities in a locomotive procurement deal with a Chinese firm.
The inquiry was conducted on the directives of Interior Minister Rehman Malik last month, Bilour told The Express Tribune.
Before entering the committee room where he was to face the inquiry team last Friday, Bilour said he had pleaded ‘not guilty’ in his previous meeting with the committee.
Bilour is accused of mismanagement and violation of rules and procedures in the purchase of 75 locomotives from a Chinese firm under an agreement signed in 2009. The prime minister had constituted a parliamentary committee to investigate the matter.
The premier took the decision a few weeks ago at a meeting that discussed mismanagement at Pakistan Railways, said the committee chief Sheikh Waqas Ahmed.
Bilour faced seven charges, including the payment of a $15 million advance to the Chinese firm, Ahmed said. The minister is also accused of deviating from the procurement agreement signed by both parties, an act that resulted in the closure of several trains.
Bilour said the deviation was made to improve procurement conditions and save money. The $15 million advance payment was made by the finance ministry as per agreement, he said.
“My ministry could not open a letter of credit for the procurement of the 75 locomotives due to a lack of funds,” he said. “Now, we will have to pay Rs 138,000 per day in fines for our failure in opening the required LC.”
It is also alleged that the ministry of railways made certain amendments in the approved document of the agreement, on the directives of Bilour, after signing of the purchase deal. He admitted that certain changes were made, but “in the interest of the country.”
Published in The Express Tribune, February 13th, 2012.
Railways Minister Haji Ghulam Ahmed Bilour has confirmed that the Federal Investigation Agency (FIA) conducted an inquiry against him for alleged financial and procedural irregularities in a locomotive procurement deal with a Chinese firm.
The inquiry was conducted on the directives of Interior Minister Rehman Malik last month, Bilour told The Express Tribune.
Before entering the committee room where he was to face the inquiry team last Friday, Bilour said he had pleaded ‘not guilty’ in his previous meeting with the committee.
Bilour is accused of mismanagement and violation of rules and procedures in the purchase of 75 locomotives from a Chinese firm under an agreement signed in 2009. The prime minister had constituted a parliamentary committee to investigate the matter.
The premier took the decision a few weeks ago at a meeting that discussed mismanagement at Pakistan Railways, said the committee chief Sheikh Waqas Ahmed.
Bilour faced seven charges, including the payment of a $15 million advance to the Chinese firm, Ahmed said. The minister is also accused of deviating from the procurement agreement signed by both parties, an act that resulted in the closure of several trains.
Bilour said the deviation was made to improve procurement conditions and save money. The $15 million advance payment was made by the finance ministry as per agreement, he said.
“My ministry could not open a letter of credit for the procurement of the 75 locomotives due to a lack of funds,” he said. “Now, we will have to pay Rs 138,000 per day in fines for our failure in opening the required LC.”
It is also alleged that the ministry of railways made certain amendments in the approved document of the agreement, on the directives of Bilour, after signing of the purchase deal. He admitted that certain changes were made, but “in the interest of the country.”
Published in The Express Tribune, February 13th, 2012.