NAB Inquiry finds conflict between DMC and KMC officials incurring losses

Author: Aslam Shah

National Accountability Bureau (NAB) during inquiry has come on record that there has been conflict between District Municipal Corporation (DMC) Malir and Karachi Metropolitan Corporation (KMC) regarding collection rights of Cattle Piris (livestock markets) of Cattle Colony, Asseo Goth and Cattle Piris on Road 8 and 9.

In this regard, KMC filed a CP-300/2017 in Sindh High Court (SHC) to declare auctions conducted by DMC Malir for these piris as illegal, beyond mandate jurisdiction.

SHC vide order August 9, 2018, had directed parties to maintain status quo till final decision by Sindh Local Government Commission.

The NAB revealed in a vide letter 2382/39/IW-2/CO.B/PS-NAB (K)/2015/522, dated March 31, 2015, that in seven years, a heavy loss of one billion to national exchequer in terms of tax/fee collection on milching animals was occurred. The battle of jurisdiction reflected that defunct District Council Karachi (DCK) mishandled the task against the rules which were assigned to it.

NAB inquiry was initiated after a letter by Deputy Director Syeda Rumla Naqvi written to Director W-2 NAB Karachi. The notice entailing NAB K2017053093413/02/IW-2/CO-A/T-1/NAB(K)/2018/929, February 2019, to Secretary LGD Sindh, served as a call up notice u/s 19 of NAO 1999- on inquiry against Municipal Commissioner (BPS-19) Imran Aslam and Director (BPS-18) District Municipal Corporation Malir Noor Muhammad Baloch. Another case NABK2017053093413 was registered as well. The Deputy Director Qamer Abbas headed combined the investigation team (CIT).The competent authority has taken cognizance of alleged offences committed by subject individuals and others under provisions of NAO 1999 and schedule thereto.

NAB revealed that a loss of one billion to national exchequer in terms of tax/fee collection on milching animals

Moreover, it is pertinent to recall that the elected representatives on Council of Karachi Municipal Corporation unanimously passed a Council resolution on May 9, 2017. The resolution mentioned that a target of Rs 11.20 million is to be achieved through collection from tax fees in fiscal year 2017-18. The fees mentioned for licenses and certificates were not categorized as taxes or entry fees. It attributed to ‘KMC”, the exclusive and compulsory functions (schedule-II) under Part-I, Clause-4 of maintaining abattoirs (Slaughter Houses) at slaughter houses and cattle colonies as specified by government to ensure hygienic supply of meat and milk to citizens of Karachi.

In view of these facts, it is necessary to redress grievances of KMC. The letter in favour of DCK may be withdrawn as this issue was becoming a cause of serious conflict including the loss of revenue.

The Vide letter Sec/MC/KMC2018/127, February 19, 2019 to Secretary Local Government Department Sindh, requested for withdrawal of letter (vide letter SOA/LGD/(114)/2013 June 27, 2013, regarding the collection of license tax. It aimed maintaining MILCHING ANIMAL/HEATH CLEARANCE CERTIFICATE ANIMAL entry fee tax by District Council Karachi and DMC Malir. A letter by Mayor Karachi Waseem Akhtar on November 7, 2017, on subject issue is a key to resolve the matter. Accordingly, with respect to the enactment of new SLGO-2013, facts had been already submitted.

Published in Daily Times, February 28th 2019.

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