Drama in the State Bank: Deputy Governor likely to be sent packing by premier
Election Commission believes Wathra will hinder process of preventing bank defaulters from contesting polls.
Election Commission believes Wathra will hinder process of preventing bank defaulters from contesting polls. ILLUSTRATION: JAMAL KHURSHID
ISLAMABAD:
As the Election Commission of Pakistan (ECP) seems unwavering in its pursuit of enabling fair and transparent elections, Prime Minister Mir Hazar Khan Khoso is considering a summary to remove Ashraf Mahmood Wathra, the newly-appointed deputy governor of the State Bank of Pakistan (SBP).
Wathra is a banker by profession, who served as the senior executive vice president at the National Bank of Pakistan (NBP), heading the Overseas Banking Group and the Americas region in his capacity, before his appointment as the SBP deputy governor.
The ECP fears that Wathra could obstruct the process of screening out loan defaulters, which would allow such persons to contest general elections on May 11. NBP – the bank with which Wathra has been extensively associated with – has been in the news during the past five years on charges of sanctioning loans to individuals backed by ruling parties without securing collaterals.
Insiders say the chances that the deputy governor – who assumed office merely 18 days ago – will be removed are very strong, given the fact that the interim prime minister is a retired judge who will likely not let down his former companions who sit at the helm of the ECP.
After the ECP refused to accept the explanations provided by the finance ministry and the SBP for Wathra’s appointment, the Ministry of Finance moved a summary to the premier on Wednesday night, requesting him to remove Wathra, officials privy to the matter revealed.
Former Prime Minister Raja Pervez Ashraf had appointed Wathra as SBP deputy governor on the recommendation of Anwar on March 5, 2013. Wathra assumed office on March 11, and was made head of the banking section, a portfolio which earlier looked after by Kazi Abdul Muktadir, the other deputy governor.
On March 22, the ECP had written a letter to the finance ministry, asking it to de-notify the appointment of the deputy governor within two days. However, the finance ministry had sought more time, while also asking SBP Governor Yaseen Anwar to explain his recommendation for Wathra.
Anwar had defended the appointment in his response to the ministry, and the ministry had forwarded the response to the ECP. But the ECP remained unmoved, and asked the ministry to remove Wathra within 24 hours again on Wednesday, our sources said.
“After receiving fresh directives from the ECP, the finance ministry has already moved a summary to the prime minister,” Ministry of Finance Spokesman Rana Assad Amin said.
When contacted, Shafqat Jalil, who is the prime minister’s press secretary, said the Prime Minister’s Office has received the summary and that “it was under consideration”.
SBP officials say there was no hindrance from Wathra in the compilation and forwarding of the list of bank defaulters to the ECP. The SBP is regularly providing the required information to the ECP by verifying it from the Central Information Bureau, they said. The Central Information Bureau carries an updated list of loan defaulters, based on feeds provided by commercial banks.
However, the ECP also views Wathra’s appointment as having been in violation of a ban on fresh appointments imposed on January 22 and applied to all public sector organisations. The ECP lifted the ban on fresh appointments on Thursday, but chances that political appointments made by the former premier during his last days would be overlooked by the ECP are low.
If the interim prime minister decides to remove the deputy governor, it will be the first such removal of a high profile functionary. The former premier had also appointed Mahmood Mandviwalla, a first cousin of former finance minister Saleem Mandviwalla, as a director on the SBP Board, along with six other individuals. However, the ECP has not yet taken notice of these appointments.
Published in The Express Tribune, March 29th, 2013.
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As the Election Commission of Pakistan (ECP) seems unwavering in its pursuit of enabling fair and transparent elections, Prime Minister Mir Hazar Khan Khoso is considering a summary to remove Ashraf Mahmood Wathra, the newly-appointed deputy governor of the State Bank of Pakistan (SBP).
Wathra is a banker by profession, who served as the senior executive vice president at the National Bank of Pakistan (NBP), heading the Overseas Banking Group and the Americas region in his capacity, before his appointment as the SBP deputy governor.
The ECP fears that Wathra could obstruct the process of screening out loan defaulters, which would allow such persons to contest general elections on May 11. NBP – the bank with which Wathra has been extensively associated with – has been in the news during the past five years on charges of sanctioning loans to individuals backed by ruling parties without securing collaterals.
Insiders say the chances that the deputy governor – who assumed office merely 18 days ago – will be removed are very strong, given the fact that the interim prime minister is a retired judge who will likely not let down his former companions who sit at the helm of the ECP.
After the ECP refused to accept the explanations provided by the finance ministry and the SBP for Wathra’s appointment, the Ministry of Finance moved a summary to the premier on Wednesday night, requesting him to remove Wathra, officials privy to the matter revealed.
Former Prime Minister Raja Pervez Ashraf had appointed Wathra as SBP deputy governor on the recommendation of Anwar on March 5, 2013. Wathra assumed office on March 11, and was made head of the banking section, a portfolio which earlier looked after by Kazi Abdul Muktadir, the other deputy governor.
On March 22, the ECP had written a letter to the finance ministry, asking it to de-notify the appointment of the deputy governor within two days. However, the finance ministry had sought more time, while also asking SBP Governor Yaseen Anwar to explain his recommendation for Wathra.
Anwar had defended the appointment in his response to the ministry, and the ministry had forwarded the response to the ECP. But the ECP remained unmoved, and asked the ministry to remove Wathra within 24 hours again on Wednesday, our sources said.
“After receiving fresh directives from the ECP, the finance ministry has already moved a summary to the prime minister,” Ministry of Finance Spokesman Rana Assad Amin said.
When contacted, Shafqat Jalil, who is the prime minister’s press secretary, said the Prime Minister’s Office has received the summary and that “it was under consideration”.
SBP officials say there was no hindrance from Wathra in the compilation and forwarding of the list of bank defaulters to the ECP. The SBP is regularly providing the required information to the ECP by verifying it from the Central Information Bureau, they said. The Central Information Bureau carries an updated list of loan defaulters, based on feeds provided by commercial banks.
However, the ECP also views Wathra’s appointment as having been in violation of a ban on fresh appointments imposed on January 22 and applied to all public sector organisations. The ECP lifted the ban on fresh appointments on Thursday, but chances that political appointments made by the former premier during his last days would be overlooked by the ECP are low.
If the interim prime minister decides to remove the deputy governor, it will be the first such removal of a high profile functionary. The former premier had also appointed Mahmood Mandviwalla, a first cousin of former finance minister Saleem Mandviwalla, as a director on the SBP Board, along with six other individuals. However, the ECP has not yet taken notice of these appointments.
Published in The Express Tribune, March 29th, 2013.
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