Members of SOEs' boards: Constitution doesn't allow MPs' appointments: ministry

ISLAMABAD: The Ministry of Law and Justice has said that the constitution does not allow appointments of parliamentarians as members of Board of Directors of State Owned Entities (SOEs).

At a recent meeting, the Cabinet Division solicited ratification by the Cabinet of the decisions taken by the Cabinet Committee on Institutional Reforms (CCIR) in the appointment of parliamentarians as Board Members, in terms of rule 17(1) (c) of the Rules of Business, 1973.

During discussion, the issue of Law & Justice Division's advice that Article 63 of the Constitution placed a bar on nomination of parliamentarians on the Boards, including statutory Boards was raised. It was recalled that the Cabinet had asked Law &Justice Division to seek the advice of the Attorney General of Pakistan (AGP). Minister for Law & Justice Division noted that the matter was discussed by him with the AGP, who also endorsed the interpretation of Law & Justice Division.

It was further stated that the matter would be placed before the Cabinet in the next meeting and if the Cabinet so desired a reference could be moved under Article 186 of the Constitution to seek clarification from the Supreme Court.

Concern was raised over the mushrooming of sub-standard testing services for the purpose of recruitment. It was opined that the selections through Public Service Commissions were more transparent and merit-based however, the Commissions were over-stretched at the moment causing delays in recruitment. SAPM on Establishment assured that a proposal in this regard is being formulated by the Committee constituted by the Cabinet, which would be submitted to the Cabinet shortly.

Cabinet directed that Law and Justice Division advise the CCIR as to whether powers of Federal Government, regarding nomination of the Board of Directors of Public Sector Companies, can be delegated to the Minister Incharge in light of the Companies Act 2017, Public Sector Companies (Corporate Governance) Rules 2013 and Mustafa Impex Case (PLO 2016 SC 808).

Copyright Business Recorder, 2020