Apropos the news item titled “Corruption scandal worth billions brews under the surface” published in Daily Times on 10th September 2016,
the USF Co clarifies that the contracts awarded by USF to provide the telecom infrastructure in rural areas of the country have been absolutely legal and follow all the PPRA rules. The demanding of “Integrity Pact” ” from supplies/contractors of goods and services to the government of Pakistan was introduced prior to the year 2002 and was made mandatory for the public sector organisations in this year vide Ministry of Finance letter No F 3 (7)/2002/PPRA dated: 5-10-2002, in following words: “After due discussion, it was decided that all the public sector agencies, whether attached/subordinate or autonomous working under a Ministry will always demand a certificate, as attached herewith, while procuring goods and services worth Rs 10 million or more.” However, subsequently the above cited condition was amended by Ministry of Finance vide its No 687/MD(PPRA)05 dated: 14-09-2005 , in following words: “It has now been decided that instead of signing a separate integrity pact with their suppliers of goods, services and works a disclosure clause should be made a part of the contract..
” USF Co was established in 2006 after the amended rules. Therefore, the USF has incorporated all the relevant provisions of the integrity pact in its bidding documents and contracts (i.e. fraud, extortion, bribery, bid rigging, embezzlement, confidentiality, previous background, never black listed, name in active taxpayer list, defaulters conflict of interest, misrepresentation or anti-competitive etc) . Without prejudice, the National Accountability Bureau has also laid down a procedure whereby, all public bodies making procurements in excess of Rs 50 million are required to submit to the Bureau a Contract Evaluation Form in the format provided by the Bureau on its web site. In compliance with section 33-B of the NAB Ordinance, 1999, USF Co has always furnished copies of signed contracts along with duly filled a Contract Evaluation Form (CEF) to the National Accountability Bureau.
