Committee flags systemic failures in financial oversight; contractor payments halted amid probe
RAWALPINDI:
A high-level fact-finding committee formed by the Punjab Chief Secretary has officially begun investigating a major financial scandal at the Rawalpindi Development Authority (RDA), involving the alleged misappropriation of Rs1.94 billion in public funds. The inquiry focuses on lapses in financial oversight and suspected negligence by officials entrusted with signatory authority.
At its inaugural session in Lahore, the committee raised serious concerns over the RDA’s financial management practices. It demanded full disclosure of the agency’s bank records and details of transactions involving Call Deposit Receipts (CDRs) transferred between banks — a key point in tracing the misused funds.
The investigation’s next session is slated for June 19, with all former Directors of Administration and Finance from the past nine years summoned. A decision on summoning former Director Generals is pending.
This inquiry runs parallel to ongoing investigations by both the National Accountability Bureau (NAB) and the Punjab Anti-Corruption Establishment (ACE), Rawalpindi region. The fact-finding committee is led by Mudassar Waheed Malik, Member Taxes at the Punjab Board of Revenue. Other members include Moazzam Iqbal Supra, Managing Director of the Punjab Government Servants Housing Foundation, and Additional Secretary A&H Madiha Tahir Shah.
RDA officials including Director General Kinza Murtaza, Deputy Director Iftikhar Janjua, and Assistant Director Waqar Asghar Raja appeared before the panel during its first meeting.
Former Deputy Director’s Mysterious Death Raises Alarms
Adding a new dimension to the case, the committee also reviewed the recent suspicious death of Junaid Taj Bhatti, former Deputy Director Finance at RDA and ex-DG of PHA Sialkot. Bhatti was found dead in his Sialkot office on May 13, under circumstances yet to be clarified as suicide or homicide. His death has further complicated the scandal and raised eyebrows regarding possible links to the financial irregularities.
A Decade of Oversight Failures
The RDA scandal, now considered the most extensive in its history, spans nearly a decade. Despite annual audits, the massive embezzlement went undetected. Investigators noted a glaring lapse: none of the authorised officials — including several former Director Generals and Finance Directors — ever cross-checked bank statements or followed up on large fund transfers, a basic procedure that could have triggered earlier scrutiny.
During this period, Rawalpindi’s Divisional Commissioners often held dual roles as acting RDA DGs. Many of these officials, including some now serving in top provincial positions or retired, belong to the elite DMG cadre, which further raises accountability questions.
Contractors Bear the Brunt
The fallout from the scandal has disrupted routine RDA operations. Payments to contractors have been suspended for over a month, including during the Eidul Azha holidays, causing financial strain for their families.
When contacted through an RDA spokesperson, DG Kinza Murtaza assured that payments would resume soon. However, no specific timeline or justification for the delays was provided.
As the inquiry continues, the spotlight remains on whether long-standing institutional failures will finally be addressed, or whether this will become yet another unresolved chapter in Pakistan’s long history of administrative mismanagement.
