A three-judge bench of the apex court headed by Justice Nasirul Mulk announced the detailed judgment which said that the entire exercise of the project appeared to be farcical and it was a ‘classic case’ of pleading the law to defeat the law.
Chairman National Accountability Bureau (NAB) Admiral (retd) Fasih Bokhari has been asked to take legal action against this scam which involves high-level government officials, including former premier Gilani, who was ousted from his office after he was convicted of contempt by a Supreme Court bench.
The contract of the project approved on December 29, 2009 was for the procurement of goods, equipment and services for the purpose of establishing a Command Center and Network to counter terrorists’ activities, initially in Islamabad for the total cost of $124,719,018. The project is referred to as Islamabad Safe City Project that was the brain child of the interior ministry and its attached department National Database Regulatory Authority (NADRA).
Apparently in the summer of 2009, Chinese Company M/s Hauwei Technology Company Limited approached Nadra offering to implement and execute a comprehensive surveillance and monitoring system for security primarily in Islamabad. Nadra claims to have informed its parent ministry regarding the offer made by the company.
The Nadra chairman indicated to the interior secretary of the possibility of obtaining a long-term concessional loan from the Chinese government or the Export-Import Bank of China, whereupon the Economic Affairs Division was activated by the interior ministry for the allocation of the concessional loan from China.
In January, 2011, this contract was challenged in the apex court by a citizen who alleged that the entire transaction has been carried out in an illegal and unlawful manner causing a huge loss to the public exchequer. It was contended that a similar project was undertaken for the City of Karachi in the year 2008-2009 at a total cost of $8 million.
After various hearings, the court reserved its judgement on Thursday. The judgement authored by Justice Sheikh Azmat Saeed said that the entire transaction was carried out in a non-transparent manner and for a cost which appears to be inflated.
The apex court directed the government to reinitiate the process for the procurement of the required equipment, software and services in a fair, just, rational and transparent manner, strictly in accordance with the provisions of the Public Procurement Regulatory Authority Ordinance, 2002 and the Public Procurement Rules, 2004 and the law.
“Needless to say that the respondent company would be at the liberty to participate in such de novo process of procurement,” the court order mentioned.
“The contract dated 29 December, 2009, is illegal and invalid having been executed in violation of the mandatory provisions of the Public Procurement Rules, 2004, as the exemption there from purportedly granted under Rule 42 (c)(v) was based on extraneous and irrelevant reasons and therefore of no legal effect or consequence,” read the judgment.
“In fact, it has been indicated to us that various other Chinese companies were in a position to offer similar goods and services. The entire market, both national and international, was never taped. There was admittedly no conscious application of mind at the time of the grant of the approval by the prime minister that Rule 5 or 14 or both were applicable to the transaction in question,” the order added.
The court order further stated that even as per the report of the Planning Commission referred to in the summary to the prime minister dated June 7, 2010, the net present value of the project was $72 million, while the contract has been awarded for a total amount of $124.7 million.
Furthermore, all government departments and concerned authorities other than the Ministry of Interior repeatedly indicated that the cost of the project is at least three times higher than the value of the equipment being supplied. They added that the contract in question was executed on December 29, 2009, when the PC-I had not even been prepared.
COMMENTS (22)
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PPP Self Defense Force! ASSEEMBBBLLLEEEE!!!
Had there not been judges of integrity, PPP would have plundered this country no holds bar
It was the genius judges of the same court which canceled the privatization of steel mills, without considering whose hands they were playing in. here too, they think they are the security experts, know everything, And know Exactly the costs of various processes.
The case appears to be a continuation of judicial activisim of present Supreme Court. A contract involving a foreign company has been cancelled without any investigation and without recording of any evidence. After Supreme court´s decision, the investigation or lower court will hardly dare to differ with the opinion given by the Apex Court. The Supreme Court, under its original jurisdiction, has power to take cognizance of a matter of public importance with reference to the enforcement of any of the Fundamental Rights conferred by Chapter I of Part II is involved. The judgment is likely to have popular applaude, its legal authenticity like many other judgments of the Supreme Court, will be a matter of serious controversy.
PTI troll goes on rampage
Such corruption charges are being petitioned by ordinary citizens bcz parliament n NAB hv not done their duty hence, SC has been forced to hear this case....yet judiciary is criticized.....this is very regrettable instead of appreciating its role to implement rule of law......
So for a relatively tiny city Islamabad compared to Karachi, Gillani gives $127millions and for Karachi securitty $8mil , Mashallah janab e aala Gilani saheb
Let us wait for new open applications. If the new lowest cost is less only then a case of corruption can be made against all those who are involved. Earlier Supreme Court found that Kamran Lashari had allotted precious pieces of land without inviting applications. But the Court took a lenient view and did not order for legal prosecution of Lashari.
When a person is not " Transparent " . How can any of his activities be transparent ?
Corruption is seen in all ranks and in all fields but shameless corruption seemed to the hall mark of Mr Gillani's government.
Just 8 million for the security in Karachi... That's why law and order in Karachi is such a mess.
It was contended that a similar project was undertaken for the City of Karachi in the year 2008-2009 at a total cost of $8 million.
and yes that is why Karachi is so safe!
Gilani and family needs to face series of cases for corruption.All I hope that the investigation is given to some private entity not to some government department that can be influenced. By the way ex-Chairman of NADRA is now Chairman FBR. What IRONY..........
Gilani was out and out and out a corrupt person. He recruited highly corrupt persons on implrtant senior positions who acted his collaborators in the corruption. It's not enough to make the corrupt person quit prime ministership. He should be chased and punished on all corrupt cases and make sure that he is not involved in proxy-corruptions through his sons.
Every other project by this PPP Govt is under corruption charges. All the stakeholders of this project must be taken to task and investigated. They should be put in the Exit Control List. US$124 Million for just Security & surveillance, unbelievable. ALi Baba 40 Chors must had planned to utilize this money buy the voters in the next elections. Right from the Water Kit scam to Security project, this Govt has corrupted the whole nation, society and culture. Pity this nation and those voters who are still voting for this Govt in the Bye-Elections and intend to do the same in next elections for few pennies.
The Chairman NAB is not going to bell the cat till next elections are announced & then it will be over????
And the courts are still attacking "Democracy" with their judicial activism. The alleged scale of Democracy's "achievements" is mind blowing. This and other cases are the reason which make me shiver at the thought that elections are not going to happen very soon. I say this because certain people know they are safe as long as they are inside a certain "House". This safety is behind all the politics of reconciliation and also the reason for gross ineptitude in governance.
We need Asma Jehangir to stand up for Mr. Gilani and the others who are being hounded by the CJ and SC and all this just because they overcharged the citizens of Pakistan with a mere 16,000,000 $. The CJ is really persecuting these these ministers just because they are making a littel eon the side. Democracy is the best reve....ehhh..business.
Is SC also going to present its accounts for transparency sake?