A Senate Committee has lent alarms about the assignment of Karachi Port Land worth RS40 billion for only RS5 billion, qualifying it as “mega scandal” and demanding urgent investigation.
The revelation was held during a permanent committee of the Senate on maritime matters, chaired by Senator Faisal Vawda.
During the session, Vawda expressed indignation for the alleged undervaluation of 500 acres of Karachi main port, arguing that the property market value exceeded 60 billion of 60 billion.
He questioned how such an agreement was approved without the formal authorization of the relevant authorities.
“This is a misuse of public assets. We will ensure transparency in land assignments of the port of Karachi, ”he said, adding that the matter would be reviewed with the Special Investment Facilitation Council (SIFC).
The Federal Minister of Maritime Affairs Qaiser Ahmed Sheikh and Maritime Secretary Zafar Ali Shah were present at the meeting, but did not affirm any prior knowledge of the agreement.
His response led to a greater scrutiny of the members of the Committee, who demanded a complete report on the transaction.
Beyond the controversial land allocation, the Senate Committee highlighted broader inefficiencies in Karachi Port Trust (KPT) operations.
Senator Dineh Kumar pointed out that obsolete regulations were hindering the development of the port, with laws that govern the port of Karachi dating from a century, and Port Qasim operated under a legal framework of more than 50 years.
The authorities recognized the need for urgent policies reforms and announced that a new maritime policy would soon be introduced, the first in 25 years.
The senators also indicated the bad financial management in KPT, citing reports that some drivers of the organization earned up to RS350,000 per month, with additional RS8 billion assigned annually for medical benefits.
Kumar criticized the strong influence of the unions, claiming that KPT’s management often yielded to trade union pressure, which hinders reforms.
“The port sector works as a white elephant. Every time a new government takes over, we have reports full of minor differences, but there are no real reforms. It’s time for serious action, ”Kumar added.
The members of the committee warned that unregulated land allocations and poor management in the port of Karachi could lead to significant economic losses. They urged the government to strengthen supervision, update maritime laws and carry out an exhaustive audit of land assignments of the port of Karachi.
Vawda emphasized that there are no more land agreements in the port of Karachi should proceed without full transparency.
“The approval of the Board was omitted and federal officials claim ignorance, this cannot continue,” he said.
With the growing pressure of legislators, the Committee has asked for an immediate stop to the transaction of the Karachi Port Land, while officials have been ordered to present a detailed report on the matter in the coming weeks.
