Govt terminates USC chairman over misuse of power

ISLAMABAD: The federal government has terminated the services of Utility Stores Corporation (USC) Chairman Zulqarnain Ali Khan over misuse of power after an inquiry proved five charges against him.

Zulqarnain Ali Khan was appointed chairman of the USC in 2018 and an inquiry found him guilty on five counts, including misuse of powers. Besides his termination, a notification for the dissolution of the board of directors of the utility stores corporation was also issued.

The industries secretary has been appointed as the USC chairman for three months while an interim six-member board has also been formed to run the affairs of the corporation.

The new board, which has been announced through a notification, comprises secretary and joint secretary of the industries department, joint secretary finance, DG BISP, MD Utility Stores Corporation and DG FIA. The new board will work until a new chairman is appointed by the government in three months.

Earlier, Utility Stores Corporation (USC) Chief Financial Officer had recommended an impartial inquiry against the USC managing director over alleged embezzlement of funds and unlawful practices.

According to sources, the USC Chief Financial Officer Hamood-ur-Rehman leveled serious allegations on the USC managing director and urged the officials to hold a fair inquiry into the issue.

Sources further said Hamood-ur-Rehman, in a letter to the finance committee, painted alleged irregularities and unlawful practices of the managing director and demand to immediately reverse all postings in the finance and accounts section.

He highlighted that all postings in the finance and accounts section were done without his consolation, moreover initiating punitive action against the managing director and general manager under the concerned service rules.

The chief financial officer also asked the chairman to conduct a special audit of all the payments, which were made after 1st October 2020 by the finance department without his acquaintance and consent, and all the illegitimate benefits received by the managing director.