Inquiry initiated into Karachi Port Trust dredging contract

Pakistan has initiated an investigation into alleged procurement violations related to the Karachi Port Trust (KPT) maintenance dredging contract.

Prime Minister Shehbaz Sharif ordered the inquiry, according to documents seen by Nukta.

A four-member committee, led by the chairman of the PM's Inspection Commission, has been formed. The committee includes the secretary of the Cabinet Division, the managing director of the Public Procurement Regulatory Authority, and a representative from the Intelligence Bureau Division.

The committee is tasked with investigating any deviations, omissions, or violations in the technical and financial evaluation of the tendering process.

They will review the rationale for qualifying or disqualifying bidders, identify responsible individuals or departments, and provide recommendations for addressing the issues and safeguarding public interest.

Documents reveal that KPT recommended awarding the dredging contract to a Chinese firm, the lowest bidder, despite the technical committee's concerns.

The committee had evaluated bids from four international companies and found the Chinese firm's equipment noncompliant with timelines and quality standards.

The Public Procurement Regulatory Authority had earlier raised concerns about the transparency of the process, emphasizing the need to publish the technical report. KPT responded that the report was withheld pending final discussions with the Chinese firm.

The awarded contract to a non-compliant bidder could jeopardize the project's critical deadlines, endangering vessel navigation during the monsoon season, sources told Nukta.