ISLAMABAD - The fate of 82 employees of the Engineering Development Board (DB) hangs in balance after the government decided to shut down the body over corruption, poor performance and creating hurdles in setting up new industrial units in the country.
Officials believe that the shutting down of the whole department was no solution and if there was any issue it should be addressed or corrected.
“We have not received any official confirmation but the Ministry of Industries has intimated us that an SRO has been issued from the Prime Minister’s House to dissolve the EDB,” an official told The Nation.
“If there are any corruption charges against any official it must be investigated, dissolving the whole entity is not the solution to the problem,” he said adding that “there is no case against any official of the board before the Federal Investigation Agency or any other investigation agency.
He said that there were a couple of complaints in the past but “the complainants withdrew their complaints later on”.
According to reports, a high-level body headed by Prime Minister Nawaz Sharif decided to wind up the EDB due to rampant corruption and its alleged hurdles in setting up industrials units in the country.
Companies setting up new projects are required to get approvals from the EDB. It is believed that some big guns may have become angry with the body over the alleged hurdles.
Officials seem to be in a state of shock despite being “very cooperative” to powerful politicians and the ruling class. They even out of the way processed a case of Ramzan Sugar Mills and Chiniot Sugar Mills of the Sharif brothers.
Many believe that the decision to do away with the body was taken after the companies intending to set up new auto-manufacturing units complained to the prime minister and Minister Finance Ishaq Dar about the alleged delaying tactics by the officials to approve their cases against “bribe”.
“It is wrong that we are creating hurdles for the new auto entrants,” an official claimed.
He said that only two such companies completed their documentation and they have been issued approvals by the department.
“A total of nine companies showed their interest in setting up auto plants while only two submitted complete applications, Habib Rafique Group, dealing in construction business has yet to deposit their complete documents while Hyundai submitted its complete application last week,” the official said.
He said one company United wanted to get concessions under the new auto policy but the same product was already being manufactured by Foton Company so the board did not approve it.
According to the officials, the staff would go to the surplus pool from where they would be posted in other departments.
“We are not worried about our personal future, we would be accommodated somewhere else but we are worried about the country. There must be a department to check and facilitate the new industry,” the official said.
Established in 1995 to strength the engineering sector and integrate it with the world market to make it the driving force for economic growth, the EDB had repeatedly been criticised for not implementing consumer-friendly policies and “facilitating” influential businesses.
The board had also faced flak in the past for not implementing international safety features and other standards in the locally assembled cars and protecting the interest of the auto-industry at the cost of consumers.
What will happen next is anybody’s guess but many believe that after the closure, the EDB powers would automatically be exercised by the finance ministry.