KARACHI, Aug 22: An accountability court recorded on Thursday the statement of a prosecution witness in a reference against three officials of the Karachi Electric Supply Corporation and two contractors.

Judge Mohammed Jawaid Alam of the AC-4 adjourned the case to Aug 29 after Shabbir Ahmed Solangi, deputy chief engineer of the KESC, recorded his statement.

The accused — Akhtar Hassan Ansari, former general manager, transmission and distribution KESC, Abdul Rahim Samoo, former chief engineer, Ashfaq Ahmed Baloch, executive engineer, and contractors Sadiq Ali and Sham Lal Lasi — were booked under section 9 of the NAB Ordinance for causing a loss of Rs24.26 million to the national exchequer.

According to the prosecution, a scheme for providing additional power load of 3 megawatts to the Korangi Fisheries Harbour Authority (KFHA) was approved by the board of directors and the managing director of the KESC on September 2, 1995.

The accused KESC officials, allegedly with the connivance of the then manager (engineering) of the KFHA, Hameedullah (now deceased), and the accused contractors, granted permission on November 15, 1995 to the KFHA to carry out the execution of the work through their own contractors without taking into consideration the conditions of the approval.

The KFHA awarded contract to Decent Electronic Services of Sadiq and Sham Lal, who allegedly did not carry out the work properly as per specification. Consequently, a fault erupted in the project within 20 days of its energization.

Accused Ashfaq Ahmed Baloch was also charged for malafidely failing to supervise the execution of the work and safeguarding the interest of the Corporation. He allegedly allowed the contractors to carry out sub-standard work and released the running bills to them without verifying the work.

The contractors were charged for carrying out the sub-standard work and receiving huge amounts against fake supplies and works.