LNG Verdict: Further Sign of a Military / Judicial nexus – New Pakistan
Source New Pakistan:
LNG Verdict: Further Sign of Military-Judicial Nexus?
April 29th, 2010
The Supreme Court’s verdict against a billion-dollar liquefied natural gas (LNG) supply contract on Wednesday has been met mostly with uninterest, most people seeming to view it as a routine matter of the court policing a lack of transparency in the awarding of government contracts. While I will certainly not suggest that lack of transparency is not a problem, there are a few items about this particular case that I find curious. Namely, the little talked about relationship between the court and the military in this case.
The first curious thing about the case was that it was a suo moto action. That means that the court took it upon itself to take up the case without a complaint from any party. This might be the case, but if there was a problem with the award of the contract to French company GDF Suez, why did no other company make a complaint?
This brings us to the next curious fact: the company that supposedly had the lowest bid was Fauji Foundation – an investment group run by former military officers.
[The Supreme Court] took up the natural gas deal case after media reports that Pakistan had lost $1 billion when senior petroleum ministry officials ignored the lowest bid by the Fauji Foundation, an investment group run by former military officers, and European company Vitol, and chose France’s GDF Suez.
So, the government took bids for an LNG supply contract and awarded to a French company. The Supreme Court, without any complaint from another company, took it upon itself to step in and void the contract. One of the losing bidders just happens to be tied to the military.
This would be curious enough by itself, but the situation becomes more so when we take a step back and consider the context for this action.
Pakistan is presently suffering a severe energy crisis. Actually, the energy crisis is one of the top reasons that people are unhappy, and also a top reason why Pakistan has had difficulty attracting Foreign Direct Investment (FDI). The contract with GDF Suez would have provided 3.5 million tonnes of liquefied natural gas supplies every year for six years. Surely this would have gone a long way towards solving the energy problem and attracting new foreign investment.
Of course, making progress on energy and foreign investment would also be seen as a success for the present government, which the court has constantly attacked. Cancelling this contract is also seen by foreign analysts as a means for the Chief Justice to assert his own power as supreme.
One analyst said a Supreme Court seen as intrusive would be bad for business, in a country struggling to keep its budget deficit at the levels required under politically sensitive reforms the International Monetary Fund is pushing for.
“To what extent is the action on the part of Chaudhry great and to what extent is it stifling matters?,” asked Kamran Bokhari, regional director for the Middle East and South Asia at STRATFOR global intelligence firm.
“This issue of cancelling a deal because it wasn’t transparent is a tool by which the judiciary asserts itself because ultimately it is also a power.”
Then there is the fact that the military is involved. Following Ahsan Iqbal’s (PML-N) recent statements that there is a “third force” trying to cause a clash between judiciary and government, one must wonder if there
is some relationship here. Is this all part of an effort to execute a ‘coup by judiciary’?
Awarding of government contracts should be transparent, fair, and in the best interest of Pakistan. The government should not give away contracts to one company if there is a better deal from another. Also, the government should not give away contracts to former military officers if some other company can do a better job. The fact that the Supreme Court has inserted itself into this situation without being asked by party to the contract process raises serious questions about whether the court is being honest and transparent itself.
an interesting discussion on defence.pk forums which suggests that there could be some connection between France’s delay in selling Pakistan parts for the JF-17 planes and the Supreme Court’s cancellation of GDF Suez’s (which is 40% owned by the French government) contract
ministry of petroleum attorney Senator S.M Zafar asked courts to tell how national exchequer would had faced 1 billion dollar loss. court doesn’t contradicted with the calculation which was brought up ministry .
As far as media report suggest court judgment doesn’t have anything regarding 1 billion $ losses .
@humza
well, rauf klasra has calculated $1 billion loss so it must be true 🙂
@Rabia It must be Klasra’s imaginary girlfriend at an unknown college in London who did all the calculations for him. 🙂
By the way, Ansar Abbasi too attended the same college.
it was really sad to see Naved Qamar who is one of few politician who is (democrat as well as Competent ) begging the nation not to call this project scam unfairly . and delay the project unnecessary since parliamentary committee of National assembly also approved with project unanimously .
btw i loved CJ remarks regarding former petroleum ministry advisor Dr Asim Hussain ” minister sahab kai shuhrat sai tu saab waqif hai ” . 😀 he doesn’t waste a chance bashing asif zardari inner circle. anyway it was better behaviour then his earlier attitude with FIA director and his attorney, that was way to cheap.
here’s the verdict: http://www.supremecourt.gov.pk/web/user_files/File/SMCASE5OF2010.pdf
so basically the $1 billion loss was not true. Even Rauf Klasra’s claim that GDF did not take part in the bidding process seems to be untrue since it had been selected as a supplier by 4-gas since July 2009.
the whole judgment is totally unclear as to why the SC is ‘urging’ the government to reconsider all the bids; the only reason seems to be to include fauji back into the process even though in the statement by naim sharafat, fauji’s offer was not even what was required since they were offering a terminal when what was needed was simply LNG supplier.
apparently the GDF suez CEO got really angry at Rauf Klasra and said he will sue him for defamation 🙂
http://www.dawn.com/wps/wcm/connect/dawn-content-library/dawn/the-newspaper/front-page/sc-wants-govt-to-revisit-lng-deal-840
Earlier, Barrister Syed Ali Zafar, the counsel for Sui Southern Gas Company, argued that the Mashal project was an integrated terminal meaning that supply, storage and re-gasification of LNG to be conducted by developer 4-Gas.
“The 4-Gas has proposed the names, among others, of GDF-Suez for the LNG supply and the government negotiated and discussed the terms with them. The negotiated terms for supply of LNG with GDF-Suez were approved by the consultants and a summary was then taken to the ECC,” Barrister Zafar said.
Haroon-ur-Rashid’s / Klasra’s version of the story:
۔کہانی کا آغاز 2008ء کے وسط سے ہوتا ہے ۔جب پٹرولیم کے وفاقی وزیر ، صدر آصف علی زرداری کے یارِ غار ڈاکٹر محمد عاصم نے قطر کی کمپنی شیل سے ایل این جی گیس درآمد کرنے اور سوئی نادرن گیس کے نظام میں شامل کرنے کا فیصلہ کیا۔ عمل درآمد ہو جاتامگر افسروں نے جتلا دیا کہ ٹینڈر جاری کئے بغیر منصوبہ غیر قانونی رہے گا۔کاغذی کارروائی کا آغاز ہوا تو کارنامہ انجام دئیے بغیر ڈاکٹر صاحب چلے گئے اور ان کی جگہ جناب نوید قمر نے سنبھالی۔ طویل کارروائیوں کے بعد فرانس کی کمپنی سے معاہدہ طے پا گیا۔ دارالحکومت میں چہ مگوئیاں مگر یہ تھیں کہ سودا شفاف نہیں ہے۔ کلاسرا کو سن گن ملی تو اس نے تحقیق شروع کی اور بالآخر معلوم کر لیا کہ گھپلا ہے۔ اعدادو شمار حیرت انگیز تھے۔ چھ سالہ منصوبے میں اربوں ڈالر کا ہیر پھیر۔ خبر نگار نے احتیاط روا رکھی اور ایک بلین ڈالر کی فریب دہی کا تخمینہ لگایا۔ اگرچہ کلاسرا صاحب سے پیہم گفتگو اور کل پوری رات دستاویزات کے مطالعہ نے اس ناچیز کو یہ بتایا ہے کہ قومی خزانے کو لگنے والے گھاؤ کی مالیت 6بلین ڈالر تک ہو سکتی تھی۔ عدالت عظمیٰ نے معاملے کو از سر نو دیکھنے کا حکم دے دیا ہے، حکومت اور فرانسیسی کمپنی کے وکلا جناب پیرزادہ اور مکرّم ایس ایم ظفر نے سر تسلیم ِ خم بھی کر دیا ہے لیکن میرا تاثر یہ ہے کہ عدالتی حکم کے مطابق وزیر اعظم پوری طرح نگراں نہ رہے ،خود عدالتِ عظمیٰ بھی چوکس نہ رہی تو ملک کو سات سے دس بلین ڈالر کا صدمہ پہنچ سکتا ہے۔ اس اثنا میں خوش قسمتی سے ایل این جی گیس کی قیمت تیس سے پچاس فیصد گر چکی ہے۔ مشکل مگر یہ ہے کہ ملک میں توانائی کا بحران بے قابو ہے اور دباؤ کی اس صورت حال میں گرگ ہائے باراں دیدہ زخموں کی تجارت فرما سکتے ہیں۔
وزارتِ پٹرولیم کے لیے قومی اسمبلی کی قائمہ کمیٹی ایک مثال ہے۔29مارچ 2009ء کو دی نیوز میں اسکینڈل سامنے آیا تو قومی اسمبلی کا اجلاس برپا تھا۔ جناب نوید قمر نے اسپیکر فہمیدہ مرزا کو مخاطب کرکے خبر نگار کو کوسا او رمعاملہ کمیٹی کے سپرد کرنے کی تجویز دی۔ چار دن کے غور و خوض کے بعد، جس میں صحافی پر کوئی اعتراض وارد نہ ہوا بلکہ چئیرمین شیخ وقاص اکرم نے خراجِ تحسین پیش کیا۔کمیٹی نے بیس وزرا پر مشتمل اقتصادی رابطہ کمیٹی (ECC)کو حق بجانب قرار دیا لیکن پھر عدالت عظمیٰ میں سماعت کا آغاز ہوا۔ بظاہر تمام تر انحصار ایک آدمی پر تھا، فقط ایک آدمی ، شوکت ترین پر۔ اگرچہ وہ خود صاد کرنے والوں میں شامل تھے لیکن آخر ی دنوں میں راز ان پر کھل گیا تھا اور وزارتِ پٹرولیم سے تحریری طور پر انہوں نے جواب طلب کیا تھا کہ جب فوجی فاؤنڈیشن نے غیر ملکی کمپنی دیٹال کے تعاون سے کم نرخوں کی پیشکش کی تھی تو پھر فرانسیسی کمپنی پر عنایت کیوں ہوئی۔ خبر نگار پر وہ لمحہ کس طرح اترا ہوگا ، خزانہ کے سابق وفاقی وزیر نے جب ڈٹ کر گواہی دی اور اعتراف کیا کہ انہیں دھوکہ دیا گیا۔ نوید قمر یہ کہتے رہے تھے کہ فوجی فاؤنڈیشن کی پیشکش تاخیر سے موصول ہوئی ، اب مگر ایک دوسرا انکشاف ہوا کہ فرانسیسی کمپنی جی ڈی ایس سوئز اس عمل میں سرے سے شریک ہی نہ ہوئی ۔ خاموشی سے مذاکرات ہو ئے اور ہر چیز اس کے حوالے کر دی گئی۔
سپر دم بہ تو مایہء خویش را
تو دانی حساب کم و بیش را
(کم و بیش کا حساب تم جانو، اپنا سبھی کچھ میں تمہارے سپرد کرتا ہوں)
http://search.jang.com.pk/details.asp?nid=428939
“PPP can do no wrong”
This website looks more a propaganda tool then any informative place for neutrals.
Bringing in subjects like “Rauf Klasra’s girl friend” goes to show the mental level of the people here. Anything between RK and his girl friend is his business you idiots. Please stick to credible facts and not dirty tactics.
If SC had any interest in getting faujiz back they wouldnt be kick on MUSH ass earlier. Stop making ridiculous assumptions
@MB What do you think about your esteemed blog, “public mega bullshit” (PMB), spitting hate against Zardari and Gilani. How long have you been working for the Hizb-ut-Tahrir mafia?
Qadam badhao Asif Zardari . . .
http://publicmb.wordpress.com/2010/04/08/qadam-badhao-asif-zardari/
Very funny comment Sarah Khan
Thank you for a very informative writeup. in my experience things are slighly more complicated. time will tell, but the problem is I do not have enough time. it is good to know we are not alone in the struggle. but you might want to reconsider some fragments in your post. after all, if it can do all that, why do we even need the rest anylonger? just a bit. take care