NAB Claims Rs 168 Billion Recovery in Peshawar BRT Inquiry

The National Accountability Bureau (NAB) has declared a recovery of Rs 168 billion in its investigation into the Peshawar Bus Rapid Transit (BRT) project. This announcement marks what NAB describes as the largest recovery in its 25-year history related to a single project.

NAB Khyber Pakhtunkhwa confirmed the indirect recovery, alongside the dismissal of a Rs 31.5 billion claim from contractors at an international arbitration court. The inquiry, which started in 2018, uncovered allegations of illegal contract awards and misappropriation of public funds.

In a detailed statement, NAB revealed that its recent leadership accelerated the investigation, resulting in a savings of Rs 108.5 billion. Findings indicated that six projects were improperly awarded to select companies, which also failed to fulfill their contractual obligations, allegedly receiving nearly Rs 1 billion without performing any work.

The investigation scrutinized over 400 bank accounts, leading to further evidence of malpractice. Contractors reportedly submitted fraudulent guarantees to the Peshawar Development Authority (PDA), which sought damages amounting to Rs 86 billion. They also did not complete the project within the stipulated six-month period.

Additionally, NAB noted that contractors submitted bogus audit reports, later confirmed by the Securities and Exchange Commission of Pakistan (SECP). NAB included foreign companies in the investigation via their embassies. A claim of Rs 5 billion was filed by contractors based on interest payments; however, NAB’s findings allowed for the project to be completed at the original cost, yielding an additional Rs 9 billion in savings for the national treasury.

The successful resolution of this case culminated in a settlement for Rs 2.6 billion, resulting in the closure of all related cases by the Peshawar High Court. NAB reiterated that its inquiry into the illegal awarding of the BRT contracts and public fund misappropriation began back in 2018.