ISLAMABAD: The harassment caused by the detentions of high profile people in Trade Development Authority of Pakistan (TDAP) corruption case has halted the utilization of Rs 14 billion funds allocated under the Export Development Initiative (EDI) program.
The public money of billions of rupees had been looted in TDAP scam by granting freight subsidies and others to fake companies during the PPP government. Cases were registered against then premier, TDAP CEO as well as the federal ministers and the issue is still sub judice.
Federal Finance Minister Ishaq Dar in his budget speech last year announced that the Ministry of Commerce formulated initiatives for production diversification, value addition, trade facilitation, enhanced market access and institutional strengthening. An allocation of Rs 6 billion has been made to support initiatives. The board of Export Development Fund (EDF) has been reconstituted to also support this program.
Secretary Ministry Commerce while talking to Customs Today after meeting of the Senate Standing Committee on Commerce revealed that high profile personalities as well as key officials of TDAP had been held under corruption charges in the said scam.
“Resultantly, neither exporters nor the importers or businessmen from any other sector applied for the disbursement of the allocated funds which had tuned to Rs 14 billion. Thus this amount is lying unutilized with the Finance Ministry” Shehzad Arbab added.
However, he said that in pursuance of the inter-ministerial meetings at secretary level, Ministry of Commerce and Ministry of Finance had reconciled releases for the last few years. “It was proposed that Ministry of Finance may now be directed to release outstanding payments in favour of Ministry of Commerce amounting to Rs 15 billion (2005-06 to 2011-12) which was subsequently approved” he maintained.
Moreover he said that it was also approved that in future, a mechanism would be devised to ensure that Export Development Surcharge would transferred directly to the Ministry of Commerce by making appropriate amendments in the existing arrangement.
