The university has invested its pension, provident and other funds worth Rs826 million to three banks to receive an expected profit of Rs88 million. PHOTO: FILE
Teachers of the NED University of Engineering and Technology have demanded severe disciplinary action against officials responsible for the ongoing financial crisis.
They also rejected the popular perception that there has been a decline in the funds given to the varsity by the Higher Education Commission (HEC) by terming the news as concocted. “The university has been receiving its financial share as per the criterion laid down for the funding of public-sector universities,” said NED Teachers’ Association (Neta) general-secretary Dr Usman Ali Shah on Monday.
Meanwhile, a general body meeting of Neta has unanimously resolved that the vice-chancellor should restructure the top administration of the university, claiming that officials under the former vice-chancellor were responsible for financial mismanagement and must be replaced. “A bailout package will be of no use in the presence of current administrative staff,” asserted the university’s teachers.
Opposing the mortgage and collateral of current and fixed assets of the university done by the administrative officials in the past, the teachers’ body demanded that the exact details of the assets currently mortgaged with banks and other financial institutions be shared with the faculty. “What is the status of the university’s pension and provident fund accounts? Can these amounts be used or mortgaged,” inquired the teachers’ body.
Documents available with The Express Tribune confirm that the university had borrowed Rs665 million through three major banks, including Habib Metropolitan Bank Limited, National Bank of Pakistan and Askari Bank Limited, by putting its investments worth Rs775 in lien, which means the banks have the right to possession of investments belonging to the university until the due debt is paid.
The documents also reveal that the university had subsequently invested its pension, provident, benevolent and endowment funds accounts worth Rs826 million to the three banks to receive an expected profit of Rs88 million.
The teachers also passed a resolution demanding immediate lay-off of all retired teaching and non-teaching staff working on extension as well as contract employees without any discrimination to free the varsity of the extra financial burden.
While proposing a way out of the financial crisis, the general body meeting proposed an increased industry-academic collaboration to create a research-conducive environment.
“The collaboration is expected to generate research funds by utilising state-of-the-art equipment available at the laboratories of the institution,” explained Dr Shah.
Published in The Express Tribune, November 12th,2013.
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