ISLAMABAD: A sub-committee of the Public Accounts Committee (PAC) directed the Ministry of Railways on Tuesday to ensure recovery of Rs31 million outstanding amount against the Karachi Development Authority (KDA), along with accrued interest, in connection with a project dating back to 1999.
The subcommittee meeting, held under the convenership of MNA Shahida Akhtar Ali, reviewed audit objections pertaining to Pakistan Railways for the financial years 2010-11 and 2013-14. The secretary, Ministry of Railways, informed the panel that the amount of Rs31m was payable by the KDA for construction work executed by Railcop, a subsidiary construction company of Pakistan Railways. He said the total cost of the project was Rs340m, of which Rs31m remained unpaid since 1999.
Audit officials told the committee that despite the passage of over two decades, the outstanding amount had yet to be recovered. The secretary Ministry of Railways stated that the responsibility for recovery rested with Railcop and acknowledged that an inquiry might be required to ascertain why no effective action had been taken so far.
Senator Bilal Mandokhail questioned the prolonged delay, asking what steps had been taken by the department’s officers since 1999 to secure the payment. He observed that without exerting sufficient pressure on the KDA, the dues were unlikely to be recovered.
Expressing concern over the inordinate delay, the PAC sub-committee directed the Ministry of Railways to pursue the matter vigorously and recover the outstanding Rs31m from KDA along with interest, and report back on the progress.
