ISLAMABAD: The federal cabinet Tuesday decided to take action against the federal minister and secretary involved in the Karkey Rental Power Project case.
The members of the cabinet were told that action would be taken against the then federal minister Raja Pervaiz Ashraf and federal secretary Shahid Rafi for their misdeeds in the Karkey project and their names would be forwarded to the anti-corruption watchdog.
It is pertinent to mention here that Karkey Karadeniz Elektrik Uretin (KKEU) was one of 12 rental power companies that had been awarded contracts by the Pakistan Peoples Party (PPP) government in 2008-09 to ‘resolve’ the power crisis. The company failed to provide the required electricity and then they moved the International Centre for Settlement of Investment Disputes (ICSID) which imposed $1.2 billion penalty on Pakistan in 2017, which is now amicably resolved.
Earlier, federal government has resolved the Karkey dispute with the help of Turkish President Recep Tayyip Erdogan.
He said the matter was “amicably” resolved and that the government had saved the country $1.2 billion — the penalty amount imposed by the World Bank’s arbitration court on Islamabad.
The International Centre for Settlement of Investment Disputes had imposed a fine of $6.2 billion in the Reko Diq case and $1.2 billion in the Karkey power rental case.
