PBM management accused of Rs. 1.015 billion loss, illegal promotions, and systemic corruption

Islamabad: The Senate Sub Committee on Poverty Alleviation & Social Safety revealed massive irregularities at Pakistan Bait ul Mal (PBM), including 315 excess promotions, 191 illegal officer promotions, unauthorized payments of Rs. 60 million, procurement violations totaling Rs. 145 million, and other financial mismanagement, leading to a cumulative loss of over Rs. 1.015 billion. Acting Convener Senator Rubina Qaim Khani condemned PBM management’s persistent defiance of parliamentary directives and ordered a special audit by the Auditor General of Pakistan (AGP) with potential intervention from the Federal Investigation Agency (FIA).

Despite over seven months and five prior meetings, PBM management had failed to submit any compliance report regarding directives issued on October 10, 2025, April 16, 2026, April 30, 2026, and May 13, 2026. No action had been taken to reverse illegal promotions, recover unlawful financial benefits, or implement Supreme Court judgments. An internal inquiry into procurement irregularities initiated in June 2025 remains un finalized. The Director Audit stated that his wing had flagged all these irregularities to management, but no corrective action was taken. Senator Rubina Qaim Khani observed that this reflected mafia style obstruction within the institution and amounted to willful defiance of parliamentary oversight.

PBM management argued that it was impossible to submit an affidavit claiming no irregularities, corruption, nepotism, favoritism, or systemic malpractice had occurred, or that all matters were conducted in accordance with principles and laws. In response, the Committee approved a special audit, exercising powers under Rule 183 of the Senate Rules of Procedure, 2012. Formal reference letters were issued to the Auditor General of Pakistan and the Director General of the Federal Investigation Agency. The AGP was tasked with auditing PBM operations, including excess promotions beyond lawful quotas, illegal promotions between 2018 and 2023, unauthorized advance payments, procurement violations, unauthorized back benefits, illegal upgradations, appointments based on counterfeit MBA degrees verified by HEC, tampering with official records, concealment of stop gap HR engagements, and misuse of authority and financial impropriety. The FIA was instructed to intervene directly if PBM management failed to cooperate and to register FIRs against responsible officers if complete records were not submitted within 30 days.

Senator Khani emphasized that the Sub Committee’s objective is not to target individuals but to restore institutional governance and ensure PBM operates in compliance with the Constitution of Pakistan, the Rules of Business, the Estacode, and Supreme Court directives. Any disciplinary action against officers would follow lawful accountability mechanisms. The Committee noted that these irregularities have caused the greatest harm to Pakistan’s poorest citizens, who rely on PBM for social safety and welfare programs, with the total loss exceeding Rs. 1.015 billion.