ISLAMABAD: The Transparency International Pakistan (TIP) has asked Finance Minister Shaukat Tarin to take action against the National Bank of Pakistan (NBP) for the violation of PPRA rules in awarding a Rs26 billion contract of scanning and indexing documents to a single bidder.
According to details, the anti-corruption watchdog has written another letter to the finance minister informing him of proof of misconduct on the bank’s part in light of a clarification letter sent to it by the bank.
The bank’s letter states that the bid opening date was July 2, 2019, whereas it was posted on November 27, 2018, at 11.39 am on PPRA’s website.
TIP remarked that NBP tried to shift the tender opening date by seven months to justify the delay of 19 months. It said that according to PEC standard bidding documents, which are mandatory, the 120 or 180 days period of bid security by banks starts from the date of opening.
The anti-corruption watchdog said that the bank processed an invalid bid after the extended bid’s validity expired on November 22, 2019.
Similarly, NBP in its reply stated that four bids were declared non-responsive, in the light of failing to fulfill a common condition whereas three other bidders did not submit their tenders.
TIP observed that the said condition was tailor-made for someone as it appears that only one party was capable of fulfilling it, adding that it was against PPRA’s rule concerning discriminatory and difficult conditions.
The TIP also observed that the bidder only quoted rates in the tender and that NBP did not ask for the contract’s total quantum and period, which is another violation of rules.
According to PPRA’s procurement planning rule, NBP was bound to indicate the cost of procurement and time of completion of the contract on both its own website and PPRA’s website.
The watchdog said that the bank’s president had sent it a clarification stating that they had not asked for the total cost, which they have now, after receiving the TIP’s letter May 17.
However, the letter stated that NBP has still not clarified the contract’s completion date, whether it is one year, or ten years. “Thus, NBP has admitted violation of PPRA Rule 8.”
Furthermore, TIP has claimed that it is likely that NBP has not even signed the integrity pact nor asked for a performance security from the contractor both of which are mandatory under PPRA rules.
“Given the above, the application of PPRA Rule No 2 (f) “corrupt and fraudulent practices” quoted above cannot be ruled out in the award of the contract. Prima facie NBP has committed mis-procurement under PPRA Rule No 50 by admitting to violating PPRA Rule Nos. 7, 8, 26, 35, 47, and NAO 1999 Section 33B, and awarded a contract to a single biddee, alleged to be of approximately Rs26 billion,” the anti-corruption watchdog’s letter states.
The federal minister is requested to take action to cancel the contract and make all officers and contractors accountable for committing the act of corruption besides, issuing orders to recover ten times the loss incurred from the contractor under the integrity pact,” it concluded.
Very Good Idea and the same should also be implemented irrespective of any government department of Pakistan ac-crossed the Board
“Powerful action to be taken against all of them to cancel the contract and make all officers and contractors accountable for committing the act of corruption besides” and agree with their idea to recover ten times the loss incurred from the contractor under the integrity pact,”