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This is an archive article published on March 20, 2011

Pak military to penalise generals involved in corruption

Pak military may penalise generals involved in a Rs 1.8 bn corruption scandal in National Logistics Cell.

Pakistan’s military leadership has given a parliamentary panel an assurance that it will penalise generals involved in a Rs 1.8 billion corruption scandal in the National Logistics Cell,an army-run transportation company.

Public Accounts Committee chief Chaudhry Nisar Ali Khan,also Leader of Opposition in parliament,said he had received assurances from the “highest levels” of the military command that the “defining decision will be taken in line with the PAC’s recommendations”.

The Auditor General has reported that the NLC’s former management,including three retired generals,illegally obtained commercial loans of Rs 4.8 billion and violated government regulations by investing billions of rupees in the stock market.

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Probes by two inter-departmental panels concluded that the three retired generals and a civilian chief financial officer had violated government rules and instructions issued by former premier Shaukat Aziz.

Army chief Gen Ashfaq Parvez Kayani too ordered a separate inquiry into the matter last year after the PAC made public details of the corruption within the NLC.

The PAC has recommended administrative action against the retired generals and efforts to recover the money in the corruption scandal.

An official involved in the inquiry told The Express Tribune newspaper that the military leaders at the General Headquarters had given a commitment to take action against officials involved in the scam but express their inability to recover the money.

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The General Headquarters might instead impose other unspecified penalties,the official said.

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