Islamabad - Two army generals and a civilian officer were punished on Wednesday after they were found guilty in an embezzlement case.

Maj Gen (r) Khalid Zahir Akhtar was stripped of his rank, meaning that he lost his army medals, honours and awards. He was also dismissed from his high position in the National Logistic Cell (NLC) and denied pension and all other service benefits.

A high ranking military committee also held Lt-Gen (r) Muhammad Afzal Muzaffar guilty of flouting the rules and regulations, but he was given a lesser punishment as he did not make any personal gains, an ISPR statement said.

According to the inquiry committee both the penalized officers and a civilian officer, Mr Saeedur Rehman, were responsible for violating NLC rules and incorrect investments which caused financial losses. However, Lt-Gen (r) Khalid Munir Khan was absolved of all the charges.

Planning and Development Division started a probe after the Public Accounts Committee discovered violations to the Board of Directors’ rules and regulations in 2009.

The inquiry committee did not accuse any individual rather blamed the entire chain of command of the NLC which took reckless decisions and flouted the rules. Their failure paved the way for embezzlement and misappropriation.

The committee later referred the case to defence ministry which led to an army court Inquiry in November 2010 but it could not decide the case for want of evidence. Army Chief General Raheel Sharif ordered the case to be fast tracked.

Resultantly, Maj Gen (r) Khalid Zahir Akhtar was punished with “Dismissed from Service” and Lt-Gen (r) Muhammad Afzal Muzaffar with “Severe Displeasure (Recordable)”, the military term for the punishment.