Electricity-for-cash scam: Top LESCO officials arrested for abuse of power, graft

Arrests take place on the basis of preliminary probe carried out by PM’s inspection team.

Arrests take place on the basis of preliminary probe carried out by PM’s inspection team. PHOTO: FILE

LAHORE:


Top officials of Lahore Electric Supply Company (Lesco) were arrested on Monday on a host of charges, including that of misuse of authority and accepting bribes.


Lesco’s Chief Executive Officer (CEO) Arshad Rafiq and Director Operations Mehboob Ali were arrested on the basis of the preliminary investigations carried out by the prime minister’s inspection team, water and power minister and the Federal Investigation Agency (FIA).

The prime minister had taken notice of 8-hour load-shedding in different areas of Lahore on May 27, 2017 and directed to probe the matter and submitted a brief inquiry report, highlighting the hidden aspects of massive load-shedding, sources familiar with the matter told The Express Tribune.

According to FIA sources, Lesco chief Arshad Rafiq is being charged with trading in substandard transformers, authorising changes in load-shedding schedules and vowing to not carry out load-shedding in industries after taking bribes and failing to prevent electricity theft.

Lesco’s top officials have also been suspected for taking bribes for the upgrading factory connections and buying sub-standard material. He is also accused of changing the load-shedding schedule by halting power supply to different areas, including Defenc, in order to provide electricity to 18 textile industries.


The director FIA Punjab Dr Usman Anwar said a case had been registered against the two top officials in connection with misuse of authority and changing the load-shedding schedule to pass on benefits to more than 18 textile Industries.

“They will be presented before the Court of Special Judicial Magistrate on Tuesday (today) for getting their physical remand,” he added.

He said a separate inquiry was also authorised against the officials on charges of misuse of authority, regarding new connections, purchase of substandard transformers, cancellations of tenders after not receiving desired kickbacks and providing extra time electricity to some favourite industries contrary to the scheduled load-shedding time after accepting large sums of money in bribes.

He said the record showed that on May 25, 2014, Lesco’s CEO deliberately enhanced the schedule of the Prime Users Textile Industries from 8 hours to 10 hours.

Later on, the schedule of load-shedding was again revised  to 8-hour per day after getting bribes from 18 textile industries including Amir Cotton, Olympia Branded, SN Textile, Rawal, Bilal Mills, G-Gulistan, Hakam, F.No5, Zarkam , Dynamics Sports , ICC Textile Spincot Textile, NTM , Basfa , Ali Haq , Bhatti Cotton Sapphire and Anmol Textile .

According to load management programme – effective from May 27, 2014 – Lesco received 2,434MW but provided 2,506 MW electricity because of extra electricity to 18 textile industries, FIA officials said.

Published in The Express Tribune, June 3rd, 2014.
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