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KP cancels Rs8.92bn development tenders over alleged kickbacks, favouritism

PESHAWAR: The Khyber Pakhtunkhwa government has scrapped development tenders worth Rs8.92 billion covering 71 projects in Khyber district following allegations of political interference, favouritism and advance kickbacks, official sources said.

According to sources, the contracts, reportedly initiated during the tenure of Chief Minister Sohail Afridi, were allegedly distributed on political considerations, with kickbacks ranging between five and 10 per cent of the total contract amounts.

Complaints received by authorities alleged that between Rs500 million and Rs900 million had been collected in kickbacks linked to the development schemes, prompting the government to cancel the tender process.

Sources further claimed that projects worth approximately Rs5 billion under the Annual Development Programme (ADP) were allegedly associated with Naveed, a close associate of Chief Minister Sohail Afridi, while schemes valued at Rs3.9 billion were reportedly linked to MPA Abdul Ghani.

An inquiry has been initiated to investigate alleged financial irregularities and the distribution of development contracts in Khyber district, the chief minister’s home district.

As part of the investigation, SDO Bara Ziaullah was reportedly taken into custody for questioning. Investigators are said to have obtained information regarding alleged kickbacks in the award of development contracts.

Communication and Works (C&W) Executive Engineer Riaz was also questioned, while officials reviewed departmental records covering the previous two years.

Two development schemes allegedly connected to MPA Abdul Ghani and Naveed have also been brought under scrutiny, sources said.

Anonymous complaint triggers cancellation

The issue reportedly surfaced after an anonymous application was submitted to the Secretary of the Communication and Works Department, raising objections to the selection and allocation of development projects in Khyber district.

Following the complaint, the C&W Secretary issued an order on November 6 cancelling tenders worth Rs8.92 billion, according to sources.

In a separate notification, the Executive Engineer of Highway Division Khyber announced the immediate cancellation of tender proceedings initiated under various ADP schemes, subject to applicable procurement regulations and approval by the competent authority.

The notification stated that the decision was taken to allow fresh examination, verification and reassessment of the proposed road projects in view of actual site conditions, technical requirements, public needs and broader public interest.

The application submitted to the C&W Secretary had alleged that political influence and favouritism played a role in selecting development schemes, rather than objective assessments of public requirements, regional priorities and ground realities.

The applicant had urged the department to scrap the existing tenders and initiate a fresh process after conducting a transparent, merit-based review of the projects.