Pakistan Railways refers fraud, illegal occupation cases worth Rs40 billion to NAB

Cases involving illegal occupation, disputed leases and unpaid dues in Lahore, Karachi, Mardan, Balochistan

Pakistan Railways has referred cases involving alleged fraud and illegal occupation of hundreds of acres of railway land, worth over Rs.40 billion, to the National Accountability Bureau.

Railway sources said preliminary inquiries against officials and private firms were initiated but could not be finalised. After the approval of Federal Minister for Railways Hanif Abbasi, the cases were formally referred to NAB, which has since initiated investigations based on records provided by the Ministry of Railways.

NAB sources confirmed that formal investigations have been initiated after receiving official requests and documentation from Pakistan Railways. A committee constituted by the Ministry of Railways will assist NAB by providing relevant records, technical input and legal support during the investigation.

The cases referred to NAB include alleged irregularities involving:

Leasing of railway land to Royal Palm Country Club, with outstanding dues of over Rs 216.2 million.

• A warehouse lease and office occupation on two acres near Mardan Railway Station involving suspected losses of over Rs25 million.

Use of 42 acres of railway land in Karachi Ghot, with alleged losses of over Rs 203 million.

Leasing of land to HTCL in Chaman and Quetta and the alleged illegal occupation of commercial railway property of over Rs 3.1 billion.

• Leasing of 18 acres in Lahore’s Trust Hospital Shalimar area worth over Rs 3.151 billion.

Outsourcing of payments of over Rs 257.2 million to Four Brothers Company under the Pak Business Train scheme.

Investigations are underway with the support of a four-member committee formed by the Ministry of Railways. The committee consists of General Manager Infrastructure M. Hafizullah as focal point and chairman, Director General Property and Land Shahid Abbas Malik, Super Chief Commercial Manager Tariq Anwar and Legal Adviser Salman Kazmi.

Railway officials said the cases of alleged fraud and illegal occupation had been pending for years. During a recent high-level meeting, the minister was briefed in detail and subsequently authorized to refer the cases to NAB with orders that the process should be conducted in a transparent manner.

Addressing reporters, Abbasi said Pakistan Railways must be made self-sufficient, improve passenger service and eliminate corruption. He said no officer involved in wrongdoing would be spared, adding that accountability would apply regardless of position. He also confirmed that a four-member committee had been constituted to ensure smooth coordination with NAB.

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