KARACHI: Probe ordered into faulty transaction by KWSB

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KARACHI, Aug 13: The City District Government Karachi has initiated an inquiry into the purchase of two costly generators by the Karachi Water and Sewerage Board.

CDGK officials believe that the generators have been purchased in violation of rules and bypassing the city council. The matter came to the limelight when the KWSB managing director, Brig Iftikhar Haider, requested the City Nazim, Niamatullah Khan, to invite the Sindh chief minister for inaugurating the newly-installed generators at the Gharo pumping station.

The Nazim later sought a report on the matter which revealed that the generators were purchased without inviting tenders. The City Nazim, while initiating the inquiry, ordered that Mushtaq Memon, KWSB's chief engineer (electrical and mechanical)/DDO, be relieved of his assignments.

The inquiry committee, the Nazim said, be constituted with his nominee, Mr Saifuddin, and CDGK's EDO (law) as its members. The Nazim had earlier sent the matter to the CDGK's law department and after receiving the EDO's report, he asked the EDO concerned to take an action against the concerned KWSB official.

Earlier, the Nazim in his communication to the KWSB remarked that under the SLGO, only monopoly items can be purchased from manufactures. "This (generator) is not a monopoly item and Siemens is not the only manufacturer.

"The way your engineers have done it is highly objectionable. I am sorry, I can't be a party to such objectionable transactions." As the KWSB gave an impression as if the amount of Rs20 million for the generators had been provided by the Sindh government, the City Nazim recalled that the KWSB managing director had earlier categorically told him that the Corps Commander had directed the city government to provide Rs 20m for a filter plant and to the Sindh government to provide Rs 20m for generators.

The Nazim in his letter informed the MD that the Sindh government in its June 11 letter categorically stated that the amount of Rs20m paid by the Sindh government to the KWSB will be treated as loan and this amount will be adjusted against the share of the city government during the first quarter of fiscal 2004-2005.

The Nazim took a stand on the matter when the EDO law in his report informed the Nazim that the concerned department/ Mushtaq Memon, chief engineer (E&M), KWSB, had mentioned the execution of works (purchase of generators) under Rule 6(3) of Contract Rules-2000 (Electrical and Mechanical).

Quoting the Rule-6(3), the EDO law had submitted that according to the rule, the council may in case where question of securing competitive prices or rates is not involved, authorize the authority to enter into an agreement/contract without inviting the tender.

It is again submitted that rules are very clear if any authority or department wants to purchase an article under Rule 6(3), the matter may be referred to the council and council is competent to authorize the authority to enter into contract/agreement without tender.

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