ISLAMABAD: The Islamabad High Court (IHC) on Tuesday declared illegal and void the contract of shuttle service in the diplomatic enclave granted to a private company while violating Public Procurement Regularity Authority (PPRA) rules.
A one-Judge bench of Justice Shauqat Aziz Siddiqui heard the petition filed by Attaur-Rehman advocate challenging contract of Shuttle and transport service for diplomatic enclave in May 2008 for seven years.
During the course of proceedings, Rehman alleged that the lease was granted to a private company which was not a registered company.
He said that Capital Development Authority (CDA) did not follow PPRA rules as authority had to invite open bids for the project and for that purpose it would be public but the authority extended the contract without inviting any bids or publishing it.
He further apprised the bench that the company set fares on its own without getting approval from Islamabad Transport Authority ITA which was Rs500 for a two kilometre distance against agreed price of Rs.200.
Rehman prayed before the bench to declare said contract illegal and directed CDA to announce a fresh bid in this regard.
After hearing argument at length the bench allowed petition and declared the contract illegal from ab- initio and referred the matter to the National Accountability Bureau (NAB) to take action against culprits.
The bench also barred the contractor from moving its equipments from the site till NAB concludes inquiry against concerned officials.
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