ISLAMABAD: After sitting on the inquiry into the controversial Diplomatic Shuttle Service (DSS) for years, the Capital Development Authority (CDA) has finally acknowledged that the contract was awarded against rules and regulations.

An inquiry report, recently finalised by a three-member committee headed by Member Finance Fahad Aziz, pointed out that the terms of reference of the contract were not properly developed.

The report said the civic agency signed the agreement with the contractor in 2007-8 against the terms and conditions approved by the CDA board.

Sources said in 2007 the CDA awarded the dubious contract and faced a loss of millions of rupees annually. The contractor was allowed to pay only Rs2 per square yard as a rent for the bus station which amounted to an annual ground rent of just Rs44,444.

Contractor continued charging each passenger Rs500 per trip till IHC scrapped deal in May 2015

However, on May 20, 2015, the Islamabad High Court (IHC) scraped the contract.

The inquiry report held former deputy director general Ghulam Sarwar Sindhu, who was the director planning at the time when the CDA awarded the contract in 2007, responsible for executing the project.

Following the inquiry report, Member Planning Asad Mehboob Kayani on August 24, 2017, issued a final show-cause notice to Mr Sindhu, directing him to submit his written reply within seven days.

“Undersigned came into provisional conclusion that you appeared to be guilty of inefficiency and misconduct…. And you are liable to be disciplinary action which may involve one or more plenty including major plenty of dismissal from service,” read the show-cause notice.

Earlier, an inquiry committee formed on the recommendations of a judicial commission had pointed out corruption in the project. But the CDA kept on sitting on the case.

The inquiry had found cases of corruption and recommended strict disciplinary action against some CDA officials, including the suspension of one of the officers, but so far no action has been taken.

Following the September 11 attacks in the US, the government decided to ban the entry of private vehicles into the Diplomatic Enclave and introduced the DSS for visitors and visa applicants to get to various diplomatic missions.

The contract for the project was awarded against the set rules and regulations with the contractor charging each passenger Rs500 per trip for several years.

The CDA had awarded the contract on the BOT basis to a single company against nominal charges.

A subcommittee of the Public Accounts Committee (PAC) had also taken notice of the negligence by CDA higher-ups in taking action against those involved in the scam.

When contacted, Mr Sindhu confirmed that he had been issued a show-cause notice.

However, he said he was being targeted in the case. “I have nothing to do with this case, as it [project] was approved by then board. If action is imperative then action should be taken against the board members.”

He said except the head of the committee, all its members were junior to him.“Yes, I was part of a committee but final approval was given by board, the project was awarded on the basis of BOT and in favour of CDA’s interest,” he said, adding he had challenged the show-cause notice in court.

“The inquiry report was finalised by a three-member committee headed by the member finance. They pointed out massive irregularities in the project, so being an authorised officer I have served a show-cause notice on the officer concerned,” said Member Planning Asad Kayani, adding response of the officer was awaited.

Published in Dawn, September 8th, 2017