FBR Ordered to Return Naulong Dam Funds Cut as Arrears
The funds were released for the construction of dam in 2018-19 but FBR deducted Rs 1.9 billion without any legitimate ground
The National Assembly Standing Committee on Water Resources learned that the Federal Board of Revenue (FBR) deducted Rs 1.9 billion from the funds of Naulong Dam that delayed the construction of the water reservoir in Balochistan.
The Standing Committee, while expressing infuriation, demanded FBR to reimburse the amount deducted from funds reserved for Naulong Dam.
The panel meeting took place with Nawab Mohammad Yousaf Talpur in chair and it was elucidated that the government approved the project in 2009.
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After fulfillment of all formalities, the funds were released for the construction in 2018-19 but FBR deducted 1.9 billion from WAPDA’s account without any legitimate ground.
Later, the revenue body adjusted the sum in WAPDA’s dues and an important project is on a halt for past couple of years.
FBR officials maintained that Naulong is a project of WAPDA and the arrears on the authority could be deducted from any of its accounts.
They added that the revenue body could deduct the receivables from Naulong Dam’s account upon which the standing committee expressed discontent and stated that the deduction from projects under Public Sector Development Program (PSDP) was unacceptable.
The committee was also informed that Lahore High Court (LHC) had ordered FBR to return the amount too.
Interestingly, the revenue board revised its stance on the deduction and told the panel that the sum would be adjusted under the new tax on WAPDA.
Meanwhile, the committee was informed that the finance ministry will not release more funds for the construction and under the current circumstances, the project is up in the air to date.
The panel directed FBR to reimburse the amount and urged WAPDA to immediately pay its dues to FBR.
