Seven key figures, including former PASCO MD, arrested in corruption probe
The Federal Investigation Agency (FIA) in Lahore has initiated a major crackdown against officials of the Pakistan Agricultural Storage and Services Corporation (PASCO) following the discovery of significant irregularities in the sale of wheat. Seven individuals, including high-ranking PASCO officials, have been apprehended as part of the investigation.
Among those arrested is Saeed Ahmed Nawaz, the former Managing Director of PASCO, as well as Shahid Ibrahim and Imran Nazir, both General Managers in the Commercial Department, along with Iftikhar Uddin, the Zonal Head. In addition, Muhammad Saeed and Nasir Ali, both buyers involved in the wheat sale, have also been taken into custody.
The investigation is a result of the Prime Minister’s Inspection Commission’s directive to the FIA to probe irregularities related to tenders for wheat that was damaged during the catastrophic floods of 2022 in Sindh and Balochistan. According to reports, around 40,000 metric tons of PASCO’s wheat were damaged in the floods.
In June 2023, PASCO issued a tender to sell the affected wheat. However, the FIA’s inquiry has revealed that the terms of the tender were manipulated to provide illegal concessions to the buyers. Specifically, the buyers were granted a 10% reduction on performance guarantees, which is against the regulations. This led to a severe underpayment, with only Rs. 39 million deposited into the national treasury, as opposed to the Rs. 276 million that should have been received.
The FIA has estimated that the fraudulent practices caused a loss of approximately Rs. 236 million to the government.