AMRAIZ KHAN
LAHORE Transparency International Pakistan (TIP) has written a letter to Chairman WAPDA to fix responsibility about losses of Rs. over 64 million caused to authority. International Watchdog also demanded chairman to allow a contractor to participate in tendering process as his constitutional right. In a letter addressed to chairman WAPDA Transparency Interna- tional Pakistan (TIP) said that it has received a complaint on the violation of PPRA Rule 2001 by WAPDA, for not allowing M/s. Muhammad Amin, Muhammad Qasim to participate in Tender as custom Clearing Agent. The complaint has made the following allegations. In 1990 a contract for custom clearing agent, was awarded to M/s. Muhammad Amin Muhammad Qasim for one year, vide WAPDA letter dated 08/03/1990, and WAPDA paid to them a total of about Rs 2.5 million as fee on this contract. Due to frequent noncompliance by WAPDA’s Pakistan Customs mandatory requirements to provide proper documents as per procedure of Customs, WAPDA’s various shipments could not be cleared in time and demurrages by KPT were imposed. Due to these difficulties they were encountering, the complainant issued as one month notices to WAPDA for termination of the contract, vide Letter MA/ MQ/786/90on 10/04/1990. WAPDA did not agree on the termination, and compelled the complainant to continue his services as per contract. During the contract period of one year, hundreds of WAPDA cargo were cleared, and due to failure of WAPDA to provide the requested documents of their imported equipment’s in English most of the consignments could not be cleared by customs within the specific period of KPT. This resulted in imposition of heavy penalties in form of demurrage on WAPDA, as per KPT rules. WAPDA wrote a letter to the Assistant Traffic Manager KPT, requesting to wave off the demurrage, which was refused by KPT. The Contract with WAPDA was completed in 1991, and WAPDA also paid fees as per contract of the complainant in 1992. However, in 1993 Auditors pointed out loss of Rs. 6.44 corer were paid as demurrage to KPT, due to fault of WAPDA’s officers to provide the necessary documents to custom within prescribed time. In order to save the WAPDA officers, responsible for their fault in 1990/ 1991, WAPDA filed a civil suit in November 1990, for recovery of KPT demurrage of Rs. 64429750 against the complainant. WAPDA also denied the right of the complainant company to participate in Tenders since 1992. This act of WAPDA was against the Pakistan Engineering Council ACT 1976, and also a violation of Public Procurement Rules 2004. TIP was of the view that Prima Facie WAPDA is violating the Terms of the contract agreement 1990, and demanding the demurrage imposed on WAPDA by KPT about Rs. 64.4 Million, on a contract whose total fee was less than Rs. 2.5 Million. According to Pakistan Engineering Council Act 1976 standard procedures a party cannot be debarred from participating in the Tenders, even if the party is in litigation, as litigation is the fundamental right under the constitution of Pakistan.