Probe ordered into allegations of corruption, misuse of World Bank funds by PPRA employees

Fact-finding committee to investigate honoraria distributed to PPRA employees between FY2020-21 and 2023-24 from World Bank-funded project

Prime Minister Shehbaz Sharif has formed a fact-finding committee to investigate multiple allegations against employees of the Public Procurement Regulatory Authority (PPRA), including the disbursement of honoraria from the World Bank-funded project, EPADS (E-Pak Acquisition & Disposal System).

The News International reported that the fact-finding committee, chaired by Brig (R) Muzaffar Ali Ranjha, Chairman of the Prime Minister’s Inspection Commission (PMIC), includes representatives from the PMIC, Commerce Division, Cabinet Division, Finance Division, and PPRA’s Legal Directorate. The committee has the authority to co-opt additional members as needed.

The committee’s terms of reference include probing all aspects of the allegations related to embezzlement, misuse of authority, and corruption within PPRA. It will also investigate the honoraria distributed to PPRA employees between FY2020-21 and 2023-24 for their involvement in project operations. 

The Cabinet Division will provide secretariat support, and the committee is expected to submit its findings and recommendations to the prime minister within one week.

The Managing Director of PPRA had previously informed the PM’s Office that an internal fact-finding committee had already been established by PPRA to look into the allegations. 

In its communication to the PM’s Office, the MD of PPRA clarified that the EPADS project, launched with World Bank support as part of the Public Financial Management Reform Strategy (2017-2028), had a total cost of Rs12.5 billion. As of now, Rs450 million has been spent, with another Rs550 million due in payments, bringing the total expected cost to Rs1 billion. The project is expected to save Rs11.5 billion. Between FY2020-21 and 2023-24, Rs74.8 million was disbursed as honoraria to PPRA employees assigned to project tasks due to staff shortages, with only seven out of 24 sanctioned positions filled.

Earlier, it was revealed that millions of rupees from a World Bank loan were paid as honoraria to PPRA officials. The report also highlighted broader allegations of

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