ISLAMABAD, Feb 4: The National Assembly on Friday adopted a report of a house body holding 11 individuals, including government officials and private realtors, responsible for financial irregularities and embezzlement in the National Assembly Employees Cooperative Housing Society (NAECHS) scam.
Recommending action against the accused, the report called for placing their names on the Exit Control List (ECL).
The report, prepared by the House and Library Standing Committee, headed by Deputy Speaker National Assembly Faisal Karim Kundi, was presented by Shagufta Sadiq of Muttahida Qaumi Movement (MQM). Sheikh Waqas Akram of Pakistan Muslim League-Quaid (PML-Q) moved a motion in the lower house for adopting it. Kundi was presiding over the session in the speaker`s absence when the report was adopted.
The longest charge-sheet in the report is against Tariq Ayub Khan Khakhwani, the suspended deputy secretary of the National Assembly Secretariat. The report said the housing society had Rs160 million when Khakhwani took over as its administrator in 2008 and another Rs53 million were deposited by the members during his tenure ending in 2010. When he left, according to the report, the housing society`s account only had Rs238,000.
The report accuses him for purchasing land, most of which was outside the proposed layout plan of the housing society, at exorbitant rates.
The report said the development work, awarded to Mohammad Ayub and Brothers (MAB), was started without getting approval of the layout plan and NOC from the Capital Development Authority (CDA). It said Khakhwani paid MAB Rs95 million, but according to the CDA assessment development work worth Rs4.2 million had been carried out.
The report said Khakhwani ganged up with his friends and some officers of the district management for “illegal drainage” of the society funds. He made advance payment of Rs50 million to Haji Naeem, a property dealer, for purchase of land in Moza Kirpa, which is about 10 kilometres away from the existing site of the society. When the dealer returned the amount on the intervention of Islamabad Capital Territory (ICT) administration, Khakhwani did not submit the entire amount in the society`s account. He admittedly received Rs one million in cash while the dealer says he received Rs2.6 million in cash.
The report said the Khakhwani made payments to the developer, consultant and property dealers through open cheques, causing a loss of Rs one million to the society on account of withholding tax. He made an overpayment of Rs12.5 million to Malik Moeed Ilyas, a property dealer, without an agreement.
The report also points out that then Deputy Commissioner Islamabad Asadullah Faiz approved de-freezing of the society`s accounts and allowed spending on development work, which was stopped for want of NOC from the CDA. According to the report, Faiz illegally overturned the decision of the society`s annual general meeting (AGM) for purchase of land in Zone II and hastily moved a proposal for purchasing unsuitable land in Zone V, costing Rs90 million. Interestingly, then Chief Commissioner Fazeel Asghar acted quickly and approved the proposal the same day. The cooperatives department transmitted the permission to the administrator on the same day, according to the report.
Shahid Hussain Jilani, the suspended NA joint secretary, during his days as president of the society`s management committee from 2005 to 2008 purchased 216 kanals, mostly at the rate of Rs570,000 per kanal. But the report said according to the ICT Revenue Department, then average market rate in the vicinity was Rs263,000 per kanal.
The report also holds Chaudhry Mukhtar Ahmad, former general secretary of the management committee, Fazal Munir, former executive member of the management committee, Malik Din, circle registrar ICT Cooperative Department, Sheikh Abdul Wahid, former office secretary of the society, Usman Nawaz Khokar, son of former deputy speaker National Assembly Nawaz Khokar, and Mumtaz Ahmed, a patwari of ICT revenue department, responsible for irregularities.
The report has recommended issuing show cause notices, followed by termination of services of all the government officials involved in the scam and recovery of the society`s money.