Senate subcommittee blasts NHA for awarding contracts to blacklisted firm, warns of contempt action

ISLAMABAD: A Senate subcommittee has strongly criticized the National Highway Authority (NHA) for awarding major contracts to a blacklisted company, raising alarms over irregularities, corruption, and what legislators called blatant disregard for Parliament.

The session, chaired by Senator Kamil Ali Agha of the Senate Standing Committee on Communications, expressed outrage at the absence of the Federal Minister for Communications, the Secretary, and the NHA Chairman, calling their no-show “contempt of Parliament.”

“This attitude is unacceptable. Where are the documents that were promised on August 12?” asked Senator Saifullah Abro, as lawmakers noted repeated delays in providing required records.

Blacklisted firm at the center of inquiry

The inquiry centered on the Tranche-III Rajanpur–D.G. Khan–D.I. Khan AREC project, as well as arbitration clearance granted to NXCC for the Lodhran–Multan project, despite the firm’s non-performing status.

NHA officials admitted that although financial statements had been requested, the company refused to provide data. This prompted Senator Zamir Hussain Ghumro to ask:
“If NHA did not have technical and financial documents, how was the contract awarded in the first place?”

Senator Abro added: “This is a matter of the fate of our country. NXCC is mocking the Government of Pakistan.”

Corruption, tax exemptions, and institutional negligence

Lawmakers accused NHA of not only granting contracts improperly but also pressuring parliamentarians and enabling corruption. “It seems the entire institution is involved,” remarked Chairman Agha, while Senator Abro said the Secretary and Chairman would be seen as “themselves involved in corruption” if they continued to ignore committee directives.

The subcommittee also questioned alleged illegal tax exemptions granted to NXCC and other firms on the Gilgit–Shandur road project. NHA was directed to coordinate with the Federal Board of Revenue (FBR) and seek clarification from the Asian Development Bank (ADB) regarding restrictions tied to project oversight.

Further criticism was directed at NHA for ignoring a Public Procurement Regulatory Authority (PPRA) decision for 24 days, which lawmakers said reflected “deliberate negligence.”

Strong warning issued

Declaring NXCC’s bid “fake,” the subcommittee recommended immediate action against the company and held both the Secretary Communications and NHA Chairman accountable for the irregularities.

“If NHA’s hands are clean, then strict action should be taken. Otherwise, this committee will be forced to take its own decision,” Senator Agha concluded.