ISLAMABAD: A two-star general, who formerly headed the military-run National Logistics Cell (NLC) and was sacked from the army in connection with a multi-billion rupee investment scam, is likely to challenge his dismissal.

Retired Brig Wasaf Khan Niazi, a former judge advocate general (JAG) of the army and counsel for Major General Khalid Zaheer Akhtar, said his client may file an appeal against the dismissal order.

He said the former general’s dismissal was not in accordance with the Pakistan Army Act (PAA) and can be challenged at the appropriate forum.

Two-star general’s lawyer maintains punishment was not in accordance with Pakistan Army Act

The Inter-Services Public Relations (ISPR), on Aug 5, announced Maj-Gen Khalid Zaheer’s dismissal from service, which entailed the forfeiture of rank, decorations, medals, honours and awards, seizure of pension, recovery of personal gains and cancellation of service and allied benefits, including medical facilities.

In the same case, Lt-Gen Afzal Muzaffar was given a light sentence of reprimand after being held responsible for violating procedures. He wasn’t found guilty of securing personal gains. The third accused, Lt-Gen Khalid Munir, was exonerated.

Saeedur Rehman, a civilian, who was the NLC finance director, was also found guilty after a five-year investigation by the army into allegations of financial irregularities, lack of transparency and violation of rules and regulations in the investment made by the NLC in the stock markets.

The officers retired from service during 2010-11, but in September 2012, the military restored them to active service so that they could face a court martial.

However, Brig Niazi claimed that Mr Akhtar had been dismissed without facing court martial proceedings. “He and another accused general were penalised under Section 16 of the PAA which does not relate to those whose services are recalled for court martial.”

Section 92 of the PAA empowers military authorities to try officers even after their retirement by recalling their services. Under the PAA, the services of retired officers may be recalled after retirement if they are facing charges related to mutiny, espionage and embezzlement.

Under Section 16, authorities can also impose a penalty on serving officers for disciplinary reasons.

According to Brig Niazi, the former NLC director general could only be tried by the military court under Section 92 of the PAA.

The former JAG pointed out that after retirement, the military could recall his client for a court martial. However, the accused officer would be at liberty to present evidence in his defence and cross-examine prosecution witnesses through a lawyer of his choice.

“But after conducting an inquiry, military authorities imposed a major penalty on Mr Akhtar, which in my opinion, can be challenged in the high court,” he added.

Sources privy to the development claimed that Mr Akhtar had applied for a copy of his dismissal order, which was issued by the federal government and is seeking other related documents to file a petition with the Lahore High Court (LHC).

The NLC reportedly suffered losses to the tune of Rs1.8 billion between 2004 and 2008 because it obtained loans from commercial banks at high interest rates and invested Rs4bn of pensioners’ money in stock markets. Additionally, kickbacks were received from companies through which the money was invested.

The case came to light when the Public Accounts Committee (PAC) took it up in 2009 and ordered the Planning Commission to investigate. The NLC administratively functions under the commission as an attached department.

Retired Col Inamur Raheim, who too served in the JAG branch of the army, was also of the view that the military could impose a penalty on Mr Akhtar after conducting his court martial as there was no provision in the PAA or the army’s rules and regulations that empowered the authorities to recall the services of a retired officer for the sake of conducting an inquiry.

Col Rahim also said that after his dismissal, the former officer was no longer under the PAA and could be tried by the civilian courts for his alleged involvement in some other cases.

According to him, a petition filed by a sacked Maj Akram Raza, is pending in the Lahore High Court (LHC). The petition alleged that being the director general NLC, Mr Akhtar ‘protected’ the mafia that was involved in the theft of crude oil.

The petition also alleged that Maj Raza briefed the former NLC director general, Mr Akhtar, about the presence of the crude oil mafia and told him about a massive embezzlement in the purchase of 100 Hino buses, but was detained instead.

Published in Dawn, August 30th, 2015

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