Probe scope: FIA casts wider net to uncover LESCO graft

Launches four more inquiries; court approves four-day remand for LESCO CEO and GM.

LAHORE:

The Federal Investigation Agency (FIA) on Tuesday widened the scope of its investigation into alleged corrupt practices at the Lahore Electric Supply Company (LESCO) as Director FIA Punjab Dr Usman Anwar has authorised four new inquiries and a team, headed by FIA’s Additional Director Syed Javed Shah has been formed to expedite proceedings, The Express Tribune has learned.

Additionally, a judicial magistrate granted a four-day physical remand of LESCO CEO Arshad Rafique and LESCO GM (Operations) Mehboob Ali to the FIA on Tuesday.

On Monday, Rafique and Ali were arrested on a host of charges, including that of misuse of authority and accepting bribes. The two officials were produced in the magisterial court by FIA officials, including Investigation Officer Javed Hussain on Tuesday.

Senior LESCO officers have been summoned by the agency, including Chief Engineer Development Muhammad Naseem, Senior Manager Material Management Chief Engineer Qaiser Zaman, Chief Engineer Planning and Engineering (P&E) Rao Zameerul Haq, Manager P&E Ramzan Ghumman, Deputy Director Transport and Deputy Manager Material Management Ramzan Butt, Executive Engineer Transmission Line Construction Rai Asghar and Superintendent Engineers M & T B-3 and B-4. Deputy Director Law Zulfiqar Chaudhary and Special Prosecutor Khawaja Adnan have been tasked with pursuing the cases against these officials.



The officials are accused of causing losses as fake work orders and site visits were carried out, wastage and material sold in the market, a bribe of Rs30 million received for awarding a contract to a Chinese company and electricity diverted to the officials’ own farms. A probe has been initiated against Ramzan Butt looking into the expenditure of Rs4 million and Rai Asghar regarding the Rs5 million-purchase of a house in Johar Town. Former CEO Arshad Rafique is being investigated for possessing assets beyond his means, causing a loss of Rs4 million to the exchequer and approving the electrification of State Life Cooperative Housing Society after receiving a bribe of Rs2 million.

The Special prosecutor on behalf of FIA Khawaja Adnan Ahmed requested the court to grant a 14-day physical remand of Rafique and Ali. He said that both officials illegally diverted surplus electricity to textile units after receiving a bribe of Rs80 million, thus depriving domestic consumers, adding that the FIA has to interrogate the accused to ascertain the methods utilised in the diversion. Both LESCO officials denied the charges, saying a copy of the FIR has yet to be provided to them. However, the court granted the FIA’s request. Sources said both officials were arrested on special directions from the new secretary of the water and power ministry, Nargis Sethi.

LESCO carried out 8 to 10 hours of load-shedding in DHA, Harbanspura and nearby residential colonies on May 27 by diverting the total supply of electricity for these areas to the textile industry. At the time, a company official stated that technical issues had caused the shutdown.

Published in The Express Tribune, June 4^th, 2014.