ISLAMABAD: Pak-Datacom, a subsidiary of the Ministry of IT and Telecom, has terminated senior employees who raised concerns about alleged irregularities and financial embezzlement within the state-owned entity.

Meanwhile, a fact-finding committee tasked with investigating the allegations has failed to finalise its report after six months.

Sources within the IT ministry revealed that the matter was escalated to Minister of State for IT Shaza Fatima Khawaja, who directed the Pak-Datacom board in July 2024 to investigate the allegations against Managing Director and CEO Zulfiqar Ali, a retired brigadier. Despite these directives, the ministry was recently informed that the report was still in progress.

The company management fired five employees, including Wahid Mehmood, who had written to board members accusing the CEO of wrongful termination without issuing show-cause notices or warnings. The dismissed employees were charged with “not following the official hierarchy”.

Fact-finding report on scandal in Pak Datacom is not ready even after six months

In their complaint to the ministry and Pak-Datacom Chairman Syed Zomma Mohiuddin, the employees alleged that they had raised concerns about irregularities involving the MD, acting CFO and internal audit team.

According to the complaint, the MD was allegedly awarded Rs6 million as an honorarium without board approval. The proposal was initiated and approved by the MD himself, with no objection from the CFO, who transferred the amount in the first quarter of 2024.

Objections were also raised regarding foreign trips, the celebration of Valentine’s Day in the office, illegal hiring practices and questionable reimbursements to the former MD, allegedly a relative of the acting CFO.

One of the complainants told Dawn that the company also lost major contracts, including V-Sat projects with the National Logistics Corporation (NLC), due to the negligence of senior technical staff.

“We highlighted these issues, including the Rs6 million honorarium, to the IT ministry. The very next day, the MD called us in, threatened us and terminated our services immediately,” the complainant said.

The complainants also pointed to a questionable job advertisement for an assistant manager position with a maximum age limit of 55 years, calling it “tailor-made” to favour specific candidates.

Following the terminations, the employees lodged complaints with the Pak-Datacom board and the IT ministry. Muhammad Waheed, a board director and member of the Human Resource Committee, was tasked with probing the matter in July 2024. Board member Muhammad Izqar Khan reiterated the need for an investigation in August 2024, urging the committee to address allegations of misconduct by the CEO.

Despite these instructions, the fact-finding committee has yet to deliver its report. Both the Pak-Datacom Chairman Syed Zomma Mohiuddin and the Ministry of IT and Telecom spokesperson declined to comment on the reasons for the delay.

Published in Dawn, January 26th, 2025