Accountability: PWD engineer arrested in Rs10m embezzlement case

FIA took notice of the matter following a news report.

LAHORE:

The Anti-Corruption Circle (ACC) of the Federal Investigation Agency (FIA) on Tuesday arrested a Pakistan Public Works Department (Pak PWD) engineer on charge of embezzling government funds.

Executive Engineer (XEN) Humaira Khurram was arrested for ‘assisting’ government contractor Haji Muhammad Ismail build a Rs10 million swimming pool from public money on his land in Manga Mandi, according to a confidential final report (CFR) by the FIA.

Sub-Divisional Officer (SDO) Farhan Ali, Sub-Engineer Amjad Bhatti and Ismail have also been nominated in the embezzlement case, the report said.



The FIA took notice of the matter on a complaint filed by the Lahore district coordination officer (DCO) following a news report about the embezzlement case published in The Express Tribune on October 30, according to official correspondence between the DCO’s office and the FIA.

The DCO, accompanied by the Lahore ADCG and the Raiwind assistant commissioner, visited the site in Manga Mandi on the same day the news was published.

The official letter said that the premises were sealed after health staff found dengue larvae in the swimming pool. Legal formalities and mandatory procedures including larvacidal/fogging were also fulfilled, it said.

The letter said that the description of ‘development scheme’ – for the construction of a boundary wall and swimming pool and car parking for community centre area, Manga Mandi, district Lahore – were misleading since there was no community centre at the site.
The letter said that construction was undertaken in two phases. In phase 1, the work was awarded on May 8, 2012, with a completion period of one month. Rs4.793 was agreed for this.

The final payment for phase 1, amounting to Rs4.2 million was made on May 16, 2012, within a week after awarding the work. A Rs0.5 million security deposit was made on January 15, 2013.

In phase 2, the work was awarded on June 1, 2012, with a completion period of one month. The payment, amounting to Rs4.914 million, was made within one week of the award of work. The security deposit was made on September 15, 2012.

Construction work included a 1,000-feet long, and eight-feet high boundary wall, tuff tiles/paver (6,152 sqt) for car parking and tile work in the swimming pool, 2,090sqt fibre glass shed on the swimming pool.

The letter said that “completion of construction in 12 days is unrealistic and hence it seems that the payment was made in advance.” It said that the scheme (both phases) was sponsored by former MPA Fozia Behram.

The letter said, “It is clear that this scheme/works [sic] was done on a private piece of land and there was no community centre at the site.”

It said that the name of the contracting firm was M/s Ismail Const Co (SMC Pvt Ltd) government contractor (which is also the name of the owner of the said land, Haji Muhammad Ismail.)

“It seems that embezzlement amounting to Rs10.071 million has been done... The matter may be referred to FIA for a detailed investigation and necessary action,” the DCO’s letter had said.

FIA Punjab Director Usman Anwar told The Express Tribune that the agency had recorded the statements of the accused and examined the record. He said the principal accused, Humaira Khurram, had been arrested on Tuesday.

Published in The Express Tribune, February 14^th, 2014.