------------------------------------------------------------------- DAWN WIRE SERVICE ------------------------------------------------------------------- Week Ending : 28 August 1999 Issue : 05/35 -------------------------------------------------------------------
Contents | National News | Business & Economy | Editorials & Features | Sports
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CONTENTS ===================================================================
NATIONAL NEWS + Sartaj writes to Annan: UN asked to probe downing of plane + PPP demands probe body on Kargil 'fiasco' + Centre, Sindh in another tiff over wheat subsidy + Alliance wants: Pakistan to stop backing Taliban + Indian N-doctrine to cost Rs 700bn + India frees Pakistan's eight army personnel + Ordinance re-promulgated: ATA changed to re-define commotion + 2 awarded death in Union Texas killings + Delhi nuke plan threat to region: DCC + More troops to be inducted in Wapda + Pakistan regrets N. Alliance stance + Overseas phone call charges increased --------------------------------- BUSINESS & ECONOMY + Govt stakes in MCB, ABL to be sold next month + 'Tax policy to spur growth of informal economy' + Pakistan, IMF to reset non-tax revenue targets + CBR evaluating Citibank's competence + CBR issues notice to 50,000 'tax evaders' + Demand for GST withdrawal rejected + Direct taxes up by 17 per cent in Southern Region + Micro hydel-power sector provides cheap electricity + IMF worried over tax evasion: Govt told to wrap up FCAs, FEBCs + Govt-IPPs talks: IMF calls for positive results + State Bank lifts ban on encashment of cheques + Y2K should be given more attention + Exporters buying cotton against forward sales --------------------------------------- EDITORIALS & FEATURES + The abuse of parliamentary privilege Ardeshir Cowasjee + The albatross round our neck Ayaz Amir + A malignant cancer Irfan Husain ----------- SPORTS + Pakistan agrees to play against Windies in Toronto + Miandad records statement

Sartaj writes to Annan: UN asked to probe downing of plane

ISLAMABAD, Aug 26: Pakistan has lodged a complaint with the United 
Nations on the Aug 10 shooting down of its naval aircraft by India 
and urged Secretary General Kofi Annan to send a fact-finding 
mission to the region.

In a letter to the UN chief, Foreign Minister Sartaj Aziz said the 
Indian act "of military aggression was a clear violation of 
existing international norms relating to inviolability of national 

He said the shooting down of the unarmed plane also ran counter to 
a 1991 bilateral agreement on the prevention of airspace 

Mr Aziz said the incident took place shortly after the crisis in 
the disputed Kashmir region which had brought the rival armies to 
the verge of an all out war.

The two-month stand-off between the two countries ended after 
Kashmiri freedom fighters withdrew in July from the strategic 
heights in the Indian-held Kashmir's Kargil sector at Islamabad's 

"The false and misleading claims made by the Indian side regarding 
the incident remain a continuing source of aggravation in the 
already tense relations between Pakistan and India," Mr Aziz said 
in reference to an Indian accusation that the PN aircraft had 
intruded into its territory.

Islamabad denied the charge and said Indian force shot down the 
plane by an air-to-air missile well inside Pakistani territory, 
killing all 16 crew members on board.

NUCLEAR DOCTRINE: Earlier, talking to newsmen here on Thursday 
after addressing the second overseas Pakistanis convention, Sartaj 
Aziz said Islamabad would take up the issue of India's nuclear 
doctrine with the United States and other major powers for it posed 
serious threat to Pakistan's security.

"We will raise this issue with the United States and other 
countries because India plans to start an arms race which poses 
danger to our security," he said.

"Of courses," he said when asked whether Islamabad would raise the 
issue of Indian nuclear doctrine at the United Nations.

Replying to a question, he said he was scheduled to meet US 
Secretary of State Madeline Albright next month on the sidelines of 
the UN Assembly in New York.

He said he also planned to meet foreign ministers of some 27 

PPP demands probe body on Kargil 'fiasco'
By Our Correspondent

MULTAN, Aug 26: The Pakistan Peoples Party has demanded a high-
powered commission to fix responsibility for the loss of lives in 
Kargil and retreat from there.

The PPP organized a rally in south Punjab led by Punjab President 
Rao Sikandar Iqbal, central vice-chairman Syed Yousaf Raza Gilani 
and central leader Khalid Kharal on Thursday.

A caravan of over 1,500 vehicles took part in the rally which began 
from the Chenab Bridge to Karamdad Qureshi in Muzaffargarh. 
Hundreds of thousands of activists of the PPP, the PYO, the PSF, 
the Lawyers Forum, the PPP Labour Wing, the PPP (women's wing), 
took part in the rally. Participants were chanting slogans like 
"Go-Nawaz Go", Kargil defeat unacceptable, down with America, down 
with Nawaz Sharif, Benazir Ham Tumharay Sath Hain". More than a 
dozen processions reached Muzaffargarh from Jatoi, Alipur, Kotaddu, 
Leiah, Doabad, Rangpur, Karamdad Qureshi, and Gujrat to join the 
main procession.

The PPP leaders while addressing demanded constitution of a probe 
committee comprising army generals, retired judges of the Supreme 
Court, chief justices of high courts and politicians to fix 
responsibility of losses in Kargil.

President of the party Rao Sikandar Iqbal said that the PPP after 
coming into power would end the general sales tax at retailer level 
and would end joblessness, lawlessness, and dearness. He said that 
India had never dared during the PPP regime to attack Pakistan nor 
it had violated borders. He said that Ms Benazir Bhutto was playing 
her role as an ambassador and had met a number of leaders of G-8 

He said at least 38 political parties were agreed on a one-point 
agenda of ousting the Nawaz government.

Khalid Kharal said that this 'remarkable' rally in Muzaffargarh was 
an eye opener for the rulers. He said the days of the Nawaz 
government were numbered and hoped that the PPP would get more 
votes in southern Punjab than Sindh. He appreciated PPP workers 
belonging to Muzaffargarh for holding a big rally.

LIQUOR SEIZED: Muzaffargarh city police on Wednesday
seized 1,020 bottles of liquor from a truck. The truck driver and 
his cleaner, however, managed to escape.

CASE WITHDRAWN: Muzaffargarh irrigation's executive engineer has 
withdrawn a water-theft case instituted against 41 landlords in 
Moza Shakbela and ordered a departmental inquiry against the 
ziladar and other staff for registering a false case against them.

Centre, Sindh in another tiff over wheat subsidy
By Sabihuddin Ghausi

KARACHI, Aug 26: The federal and the Sindh governments are set to 
get engaged in yet another financial dispute after Islamabad's 
fresh notice to the province calling for the immediate clearance of 
the dues on the subsidy given for wheat in the last five years.

The federal government claims to have given Rs5 billion subsidy to 
Sindh on imported and locally procured wheat for Karachi.

In case, the Sindh government fails to clear this amount, the 
federal government has warned to get it adjusted through deduction 
at source from the monthly transfers of the province's share in the 
federal funds.

Countering this demand, the Sindh government is also filing a claim 
of more or less the same amount it spent on the annual consumption 
of about two lakh tons of wheat by 2.2 million 'aliens' and 0.8 
million immigrants from other provinces settled in Karachi and 
other urban centres of the province.

The Sindh government's contention is that the entry and exit of 
foreigners in the province is the responsibility of the federal 
government. Those foreigners who have entered and settled illegally 
in Sindh is because of lapse of the federal agencies and hence it 
should bear the financial burden of these 'aliens.'

Substantiating its claim the Sindh government quotes the statement 
of the interior minister he had given in Senate that 2.2 million 
'aliens' had settled illegally in Karachi.

"We are calculating Sindh government's money involved in the 
subsidy on wheat consumed by the aliens and immigrants from other 
provinces since 1991-92", a senior officer in the Sindh government 
said. He said the exercise would take about a week and the issue 
would be discussed at a meeting with senior officials of the 
ministry of food, agriculture and livestock (MINFAL), due here in 
the first or second week of September.

Karachi and other urban centres of Sindh have been witnessing an 
inflow of migrants from other provinces, especially from Punjab and 
NWFP, who are registered as voters in their respective provinces 
but settled in Sindh. The Sindh government wants either the federal 
government or the provinces of their origin to share if not bear 
the entire financial burden of these migrants.

At the last meeting of the wheat coordination committee, held at 
Islamabad on Saturday, the MINFAL had served a bill of Rs13 billion 
on all the four provinces, the federal government, the Azad Kashmir 
government and the defence ministry for the subsidy given to them 
to offset the difference in the prices of imported and local wheat, 
and stocking, transportation and handling charges.

The Passco, too, had served an additional bill of Rs1.73 billion on 
all the provinces, the federal government and the AJK government on 
the same account.

The highest amount of liability is on Sindh. The food ministry and 
passco are demanding Rs4.83 billion and Rs210 million respectively 
from the Sindh. The NWFP has been asked to pay Rs3.31 billion to 
the ministry and Rs626.42 million to Passco; Balochistan is to pay 
Rs2.59 billion to the ministry and Rs162.57 million to Passco; the 
ministry has asked Punjab to pay Rs1.99 billion; AJK is to pay 
Rs156 million to the ministry and Rs477.18 million to Passco; the 
federal government owes Rs97 million to the ministry and Rs118.10 
million to Passco for supply of wheat to Northern Areas; the 
defence ministry is to pay Rs15.67 million to the food ministry and 
Rs110.96 million to Passco.

Sindh has still not recovered from the impact of unilateral 
deduction at source of over Rs14 billion by Wapda against 
presumptive power bill in the last five years. Sindh's claim is to 
refund Rs5 billion recovered in excess while Wapda is demanding Rs9 
billion from the province.

After failing to sort out this issue in meetings, committees and 
task forces in the last four years, both are now locked in 
arbitration proceedings before a retired judge of the supreme court 
in Islamabad.

According to a study the total subsidy on wheat supply in the 
country during 1991-92 to 1997-98 was Rs27 billion. The highest 
amount of subsidy in one year - Rs14.5 billion - was given in 1997-
98 for over 4 million tons of wheat import.

However, in 1998-99 the international prices of wheat fell down 
considerably from an average $178 a ton in 1997-98 to about $117 a 
ton and the federal government earned a substantial amount of money 
through wheat supply to the provinces.

In 1998-99 the private sector imported 1.1 million tons of wheat at 
a much lesser rates than the government which relies heavily on the 
US credit schemes for wheat import. The average unit price of 
wheat, imported by the private sector, was much less than that 
imported by the government. But in May last, the federal government 
banned private sector to import wheat.

The NWFP government had engaged traders to supply about three lakh 
tons of wheat in 1998-99. It has now asked the federal government 
to provide it $100 million in the current fiscal year so that it 
could arrange its own wheat import.

The traders in Karachi are also demanding the government to allow 
them import the commodity which, they claim, would be much cheaper 
than being bought from the US.

Alliance wants: Pakistan to stop backing Taliban

TEHRAN, Aug 22: Afghan opposition has asked Pakistan to bring shift 
in its policy on Afghanistan by "withdrawing army from Afghanistan 
and abandoning support to the Taliban."

In an interview with Radio Tehran, a close aid of Afghan commander 
Ahmed Shah Masood and chief delegate of the Afghan opposition in 
talks with Pakistan delegation, Yunus Qanooni said that the problem 
could not be resolved only through rhetoric and urged Islamabad to 
take practical steps in this direction. "If Pakistan really wants 
to bring in a shift in its policy and hold talks, it should 
withdraw forces from Afghanistan and also give up its support to 
the Taliban," he said.

Pakistan, he said, "should prove itself as a neutral and impartial 
country. It should prove that it would not longer interfere in 
Afghanistan. I think, it would be a practical step for good 
relations between the people of Afghanistan and Pakistan", Qanooni 

"Instead of sending army to Afghanistan and fighting against the 
Afghan nation, Islamabad should evolve a new strategy keeping in 
view the interests of the people of Afghanistan and Pakistan," he 

On Pakistan contacts with the Taliban in the wake of Dushanbe talks 
between the Afghan opposition and Pakistani delegation, Qanooni 
said that "it is upto them as to whether or not they want to go to 
Kandahar and meet the Taliban leaders.

The Afghan opposition has nothing to do with it. The talks are 
between the governments of Afghanistan and Pakistan," he said. "We 
told them that it is their internal problem as to whether or not 
they meet the Taliban and also informed them that we did not have 
any message to be conveyed to the Taliban through Pakistan", 
Qanooni said.

He said that Pakistan government has requested Professor Rabbani to 
send a delegation for talks between the governments of Pakistan and 
Afghanistan in the wake of new political and military developments 
in Afghanistan.

The Afghan opposition, he said, believes in talks and that is why, 
the proposal of Pakistan was welcomed and a delegation formed for 
talks. It was agreed upon that the Pakistani delegation would come 
to Faizabad but due to technical problems, the meeting could not 
take place in Faizabad and instead negotiations were held in 
Dushanbe, he said.

The Afghan opposition, Qanooni reiterated, has rejected the 
mediation offer of Pakistan because mediation could be done by a 
neutral country but "Pakistan is not impartial as its army and 
people are fighting against the nation in Afghanistan. This is why 
their mediation offer has been rejected," he said.

"If the Pakistan government now stresses that war is not a solution 
to the problems and wants to resolve problems between Afghanistan 
and Pakistan, we think, it is a positive development as it is in 
conformity with the policy of the Islamic government of 
Afghanistan," Qanooni added.-NNI

Indian N-doctrine to cost Rs 700bn

NEW DELHI, Aug 22: India's deployment of nuclear weapons, as 
envisaged by its recent "nuclear doctrine," will cost at least 700 
billion rupees over the next three decades, a senior official said 
on Sunday.

Bharat Karnad, member of the National Security Advisory Board who 
was involved in preparing the draft nuclear blueprint, said the 
cost "is eminently reasonable and affordable."

"According to a study published soon after the May 1998 nuclear 
tests, the cost of having between 350 to 400 nuclear weapons 
distributed over a triad (air, sea and land) would be about 700 
billion rupees over 30 years," Karnad told the Times of India 

"In a worst-case scenario - of trade embargoes, international 
credit cutoffs and other punitive measures -- economists believe it 
will work out to ten times that amount," he said.

Karnad told AFP the cost might appear "unaffordably large," but is 
"less than 6.7 per cent of the India's 1996-97 Gross Net Product."

"If the economy grows at seven per cent every year then in 2030 the 
total cost will be just 0.7 per cent of the Gross Net Product," he 

"You will have to put the figure for nuclear weapons programme in 
this perspective and it appears eminently reasonable and 
affordable," Karnad said.

India's draft "nuclear doctrine" envisaged a weapons programme that 
would produce a land, air and sea-based nuclear deterrent.

The document would have to be approved by the government that 
emerges from next month's general election.

R. Chidambaram, chief of India's atomic energy agency, was quoted 
by the Times of India as saying India had full capability to 
provide technological back-up to the nuclear blueprint.

He said the scientific data which emerged from the nuclear tests 
"closely matched the calculations we had made by computers" and 
that "is an indication of our capabilities."

"Research and development capability and technological expertise 
... will enable India to maintain a credible nuclear deterrent as 
enunciated in the doctrine," Chidambaram said.

Prime Minister Atal Behari Vajpayee said on Saturday his government 
was for a broad national consensus on the nuclear doctrine.

Vajpayee told reporters in Kerala that there was a "public demand" 
and the need for a "clear doctrine" after India's capability to 
make nuclear weapons.

The document said in the absence of global nuclear disarmament 
India's strategic interests required "effective, credible nuclear 
deterrence and adequate retaliatory capability should deterrence 

It said no-first use of nuclear weapons was India's basic 
commitment. -AFP

India frees Pakistan's eight army personnel
Bureau Report

ISLAMABAD, Aug 27: Eight Pakistan soldiers detained by India for 
over three months, were freed on Friday and they reached Lahore in 
the evening.

A Foreign Office source confirmed to Dawn that the detainees 
arrived at the Lahore airport with officials of the Pakistan High 
Commission in New Delhi and two representatives of the 
International Committee of Red Cross (ICRC).

A press release issued earlier by the FO had said that the soldiers 
would be flown to Lahore on Friday night, thus "bringing an end to 
the unnecessary agony they had to undergo because of their 
unjustified detention".

The FO release did not mention anything about the names or 
condition of the soldiers who were taken into custody by Indian 
authorities in May when they had gone missing during patrolling 
along the Line of Control.

Indian government had delayed the release despite Pakistan's 
confirmation to the particulars of the soldiers. It had been 
attaching "additional, unspecific and unwarranted" conditions for 
the release of the detainees. The world media was misled that 
Pakistan had refused to fulfil "necessary conditions" for their 

New Delhi had been insisting on a declaration of war in retrospect 
whereas there was no such declaration either by Pakistan or India 

The ICRC had earlier visited the prisoners and given a feedback to 
the Indian authorities on their condition of detention and physical 
and moral integrity.

Ordinance re-promulgated: ATA changed to re-define commotion
By Rafaqat Ali

ISLAMABAD, Aug 27: The federal government on Friday re- promulgated 
the Anti-Terrorism Ordinance which had been amended in May in the 
light of the Supreme Court judgment on the establishment of 
military courts for the trial of civilians in Sindh.

The new ordinance, called Anti-Terrorism (Second Amendment) 
Ordinance, 1999, has reduced the punishment and changed the 
definition of 'civil commotion'. It has been provided that offence 
of publication, distribution, or pasting of posters, graffiti or 
wall-chalking intended to create unrest or to incite the commission 
of offence will not be triable in the anti-terrorism courts now.

The fresh enactment has provided the following definition of 'civil 
commotion': "Civil commotion means creation of internal 
disturbances, commencement or continuation of illegal strikes, go-
slows, lockouts, vehicle snatching or lifting, damage to or 
destruction of state or private property, random firing to create 
panic, charging Bhatta, and act of criminal trespass (illegal 

The new ordinance has also provided that a person guilty of civil 
commotion will now be awarded simple imprisonment up to seven 
years. The earlier ordinance had provided seven years "rigorous" 

After the promulgation of the ordinance, the ATCs would continue 
functioning on the pattern of the military courts.

2 awarded death in Union Texas killings
By Our Staff Reporter

KARACHI, Aug 21: An anti-terrorism court on Saturday sentenced two 
Muttahida Qaumi Movement activists to death for killing four 
Americans and their Pakistani driver in 1997 at PIDC the bridge in 

The convicts were sentenced to death twice by Special Judge, 
Hussain Buksh Khoso. The convicts were also awarded seven years' 
rigorous imprisonment for possessing illegal weapons besides a Rs 
1,000,000 fine on each of them to be paid to the heirs of the 

The court convicted Ahmed Saeed alias Saeed Bharam and Mohammad 
Saleem alias Saleem Denter to death for killing four American 
employees of Union Texas Pakistan and their Pakistani driver.

These Americans - all residents of Houston - who died in the ambush 
were Ephraim Egbu, 42, senior auditor; Joel Enlow, 40, manager of 
audit projects; Larry Jennings, 49, audit manager; and Tracy 
Ritchie, 49, a senior audit supervisor. The deceased driver was 
identified as Anwar Mirza, 51, resident of Karimabad.

MQM chief Altaf Hussain, Nadeem Nusrat, Anis Advocate, Ajmal 
Pahari, Kashif David, Faisal Alias Lamba, Waseem Alias Tunda and 
Sajid have been shown absconder in the charge-sheet submitted by 
the TPX police station. According to the prosecution, Ajmal and 
Kashif had also participated in the killing operation.

According to the prosecution, the four accused, who came in a white 
Suzuki Margala car, surrounded a vehicle of UTP carrying four 
Americans at the PIDC bridge on November 12, 1997. The accused 
opened indiscriminate fire on it from three sides. As a result, the 
four Americans and their driver died on-the-spot in the 
jurisdiction of TPX police station.

As many as 28 prosecution witnesses, including two eye-witnesses, 
recorded their statements before the court. However, no defence 
witness was produced or examined in the court.

Eye-witnesses Mohammad Mushtaq and Faqir Saeed, driver and cleaner 
of a water carrier, had identified both the accused before the 
court and submitted that they had witnessed the shooting on the UTP 
station wagon. They said both the accused sprayed bullets on UTP 
vehicle, which was in front of their water tanker.

According to the prosecution, both the eye-witnesses had fled 
Karachi soon after the killings for fear of being intimidated by 
the police.

In 1999, these two persons came back to Karachi and recorded their 
statements before the magistrate and identified Saleem and Saeed as 
the killers.

Public prosecutor Haq Nawaz Baloch represented the state and Sardar 
Ishaque appeared for the defence.

The American victims had been in Karachi for two weeks on the oil 
company's annual audit work. They were ambushed a few minutes after 
their vehicle left Sheraton Hotel for the UTP offices, a few 
kilometres down Maulvi Tameezuddin Khan Road in the Baharia 

It may be recalled that the ambush of the UTP station wagon 
occurred a day after the US embassy in Islamabad warned the 
American citizens in Pakistan to take precautions following 
sentencing in Aimal Kasi case by a US court.

According to reports that appeared in following day's newspapers, 
armed men in a red Honda Civic with an Islamabad registration 
number (IDC-4595) ambushed the eight-seater Nissan station wagon 
(J-0812) on the bridge, killing the five men instantly.

At 3.30 pm the same day, a three-member team of the US-based Drug 
Enforcement Agency (DEA) visited the site and conducted their own 
preliminary inquiry

In the court on Saturday, the two MQM workers looked composed after 
hearing the verdict and met their family members. Saeed's mother 
made a demand before the newsmen that the case should be heard in 
the United States.

Those convicted by the trial court will have three days to appeal 
in the Sindh High Court.

It may be mentioned that the US government had announced a 
$20million reward for information leading to the arrest of the 
killers. The reward is yet to be claimed.

Agencies add: An FIR was lodged against un-identified gunmen soon 
after the incident and an FBI team also visited Pakistan to probe 
the killings.

Those convicted were arrested in April this year. Their trial in an 
ATC court commenced on May 26, proceedings were completed on July 
26 when the judgment was reserved which was announced this morning 
in an open court in the presence of accused who were brought to the 
ATC premises amid strict security.

An employee of Union Texas, Asim Raees, was the complainant in the 

Delhi nuke plan threat to region: DCC
By Ihtashamul Haque

ISLAMABAD, Aug 25: The Defence Committee of the Cabinet has 
expressed "serious concern" over India's aggressive militarization 
programme, particularly in the nuclear field, as acknowledged in 
its document on nuclear doctrine.

Presided over by Prime Minister Nawaz Sharif, a DCC meeting on 
Wednesday noted that India's intention to deploy and put into 
operation its nuclear weapons and delivery systems was fraught with 
"serious risks and dangers" not only for the security of the region 
but the world at large.

The committee agreed that the development of Pakistan's nuclear 
programme would be determined solely by the requirement of "our 
minimum nuclear deterrent capability which is now an indispensable 
part of our security doctrine".

It reaffirmed that Pakistan was opposed to an arms race in South 
Asia and it had taken concrete initiatives in this regard, notably 
the Strategic Restraint Regime proposed to India in October last.

The DCC urged the international community, particularly the major 
powers who have expressed serious concern at India's nuclear 
doctrine, to use its influence with India to accept a comprehensive 
restraint regime with a view to preventing an arms race in South 

The DCC underlined the need for an early settlement of the Kashmir 
dispute in the interest of durable peace in South Asia.

The committee focused its discussions on Afghanistan, India's 
militarization programme and Pakistan-India relations.

It reviewed the results of the prime minister's peace initiative on 
Afghanistan, particularly the Pakistan delegation's two visits to 
Dushanbe to meet the representatives of the Afghan opposition 
leaders and another visit to Kandahar for discussions with the 
Afghan authorities. 

These efforts, which would continue, are part of Pakistan's 
consistent policy of promoting peace in Afghanistan through 
dialogue and negotiations. 

The DCC reiterated its support to the July 19 Tashkent Declaration 
of "Six Plus Two".

The meeting was attended among others by the Ministers for Foreign 
Affairs, Finance, Information, Kashmir Affairs and the three 
services' Chief, and foreign and defence secretaries and other 
senior officials.

More troops to be inducted in Wapda
By Faraz Hashmi

ISLAMABAD, Aug 25: Prime Minister Nawaz Sharif has approved 
induction of another 2,500 troops, including 107 officers of 
colonel rank in Wapda, Dawn reliably learnt.

The approval has been given by the prime minister on a demand from 
Wapda, setting aside objections raised by ministry of water and 
power on any fresh induction in the Authority, an official said.

The second batch of 2,500 troops being inducted in Wapda comprises 
mostly of commissioned officers of the ranks of major and above.

The first batch of around 35,000 troops was deployed in Wapda 
throughout the country in January this year. Later during the 
Kargil operation the bulk of the troops were withdrawn from the 
Authority and re-deployed to their original places of duty.

Pakistan regrets N. Alliance stance
Bureau Report

ISLAMABAD, Aug 24: Pakistan said on Tuesday that its efforts to 
seek a peaceful end to Afghanistan conflict can only succeed when 
those engaged in fighting would cooperate with Islamabad.

Taking strong exception to Younis Qanooni's statement which 
appeared in the press on Tuesday, the government said that it (the 
statement) had raised doubts and created a sense of uncertainty 
with regard to the on-going peace process.

In a clarification issued here by the interior ministry whose 
additional secretary in-charge -Rustom Shah Mohmand- is leading the 
Pakistani delegation facilitating 'distance negotiations' between 
the Taliban and the Afghan opposition, the government reiterated, 
"Pakistan has not been, and would not lend any support to any 
faction and would not sponsor any group or help any group to gain 
supremacy in Afghanistan."

This position was also explained to the Afghan delegation led by 
Qanooni, head of Northern Alliance negotiating team, who met with 
the Pakistani side in Dushanbe on Monday.

The interior ministry said that the latest process had been 
launched by the prime minister at the request of Prof Burhanuddin 
Rabbani who had made a specific request to the former to intervene 
and help bring peace between the two warring sides.

"The prime minister of Pakistan decided to make fresh/renewed 
efforts in order to end bloodshed in Afghanistan so that peace 
returns to that war-ravaged country," the government handout said.

It added that during the talks with the Afghan delegation headed by 
Qanooni in Dushanbe on Aug 23, a specific proposal for resolving 
the conflict was discussed threadbare.

"At the end of the talks the Afghan delegation appreciated the 
sincerity of the prime minister of Pakistan in trying to see an 
early end to fighting in Afghanistan," the clarification said, 
adding, "They informed the Pakistani delegation that the proposal 
put forward by us would be discussed with their top leaders and a 
response would be forthcoming very soon."

It was also agreed that the press would be informed that the talks 
were continuing and that the Afghan delegation would be responding 
to certain proposals in the next meeting.

"It is extremely unfortunate and shocking that Mr Qanooni in utter 
disregard of what had transpired in the meeting, chose to once 
again accuse Pakistan of sending troops into Afghanistan and siding 
with 'Taliban' in the on-going conflict," said the interior 

Mr Qanooni, it added, had also raised the point of Pakistan's 
alleged support to one side in the conflict during the Aug 23 
meeting but this allegation was forcefully and firmly denied by 
Pakistan. Mr Qanooni was rather suggested to send his trusted 
lieutenants to any place on the Pakistan-Afghan border to see for 
themselves whether any Pakistan reinforcements were being 
dispatched across the border.

Emphasising that such statements tended to vitiate the atmosphere, 
the hand out said, "we are of the firm belief that Pakistan's 
efforts to seek peaceful end to the conflict can succeed only when 
those engaged in fighting would cooperate with Pakistan."

The interior ministry underlined that the foundation of Pakistan 
policy was that Afghanistan should return to peace and normalcy as 
quickly as possible. "It is hoped that if the talks are going to be 
fruitful and productive all concerned would lend their support to 
the peace process without any pre-conceived notions or suspicions," 
it concluded.

Overseas phone call charges increased
By Our Staff Reporter

KARACHI, Aug 24: The Pakistan Telecommunication Company (PTCL) has 
increased overseas call charges by about 17 per cent to the more 
popularly called destinations.

Under the revised tariffs for overseas calls issued by PTCL last 
week, per minute charges have increased by an average of Rs 10 for 
four countries where Pakistanis make and receive most calls.

This includes US where rates have increased from Rs 50 to Rs 63.37, 
U.K. -Rs 48 to Rs 58.48, UAE -Rs 37 to Rs 45.11 and Saudi Arabia -
Rs 44 to Rs 53.59 per minute.

While telephone charges have increased to 91 destinations around 
the world, under the revised tariffs the per minute charges for 
Bahrain are now Rs 45.11, Qatar Rs 48.70, Muscat Rs 45.11, 

Bangladesh Rs 26.85, France Rs 79.18, Germany Rs 52.39, Hong Kong 
Rs 71.85 and India Rs 68.26.

The PTCL maintains that since it has reduced Central Excise Duty by 
15 per cent, subscribers will not feel the effect of enhanced 
overseas call rates.

However, inside sources acknowledged that the effect of upward 
revision of overseas call rates will decrease the volume of 
international calls made from Pakistan to all the countries of the 

Currently, officials maintained that international accounting rates 
(IAR) between Pakistan and foreign countries is unfavourably tilted 
against Pakistan, forcing PTCL to pay in dollars for calls made 
from here while telephone companies abroad pay it in rupees for 
every call made to Pakistan.

With the rupee depreciating against the dollar, the company is now 
attempting to hold on to its profitability by reducing the volume 
of overseas calls being made from Pakistan.

The company maintains that it will only be after 1 1/2 years, when 
international trade agreements go into effect that they will be 
able to reduce their rates for overseas calls and become 

Currently, the PTCL is also facing competition from internet 
service providers (ISPs) overseas and inside the country which 
issue telephone cards that allow phone calls to be made very 
cheaply. The company maintains that the transmission of "voice 
mail" through international bandwidths has been robbing it of 
legitimate earnings.

While the telephone company is cracking down on ISPs which are 
illegally using their central exchanges to transmit voice mail, in 
future it plans to use technology to block the national access 
points used by the providers to make cheap telephone calls.

Officials acknowledged however that the only successful method of 
ending voice transmission by the ISPs would be to compete through 
the reduction of overseas calling rates.

Govt stakes in MCB, ABL to be sold next month
By Ihtashamul Haque

ISLAMABAD, Aug 26: The Privatization Commission has decided to 
disinvest the remaining shares of the Muslim Commercial Bank (MCB) 
and the Allied Bank of Pakistan Limited (ABL) in September next.

Informed sources told Dawn that the Privatization Commission in its 
80th meeting held here on Wednesday had decided to offload 24 per 
shares of the MCB and 49 per cent shares of the ABL next month.

The committee headed by State Bank governor Dr Yaqub, sources said, 
would soon be conducting the pre-qualification of six bidders who 
had shown their interest to buy the remaining shares of the ABL.

The committee would see whether the six bidders have required 
banking experience in order to efficiently run the ABL.

Sources said that all the six bidders have separately purchased 11 
per cent shares from the employees management group of the ABL.

 The group is said to be frustrated and said that it had purchased 
51 per cent shares of the ABL during the previous PML government at 
the rate of about Rs 70 per share but now the value of each share 
was floating in the region of Rs 34 to Rs 40 and that they were not 
very much interested to retain all the shares.

About the MCB, it was said that many people have expressed their 
willingness to take part in the bidding process for it. Mansha 
group had purchased 76 per shares of the MCB during the previous 
Nawaz Sharif government.

It was also learnt that a Swiss company, which was the sole bidder 
for duty free shops had 100 per cent increased its offer and was 
likely to be given the control by the Privatization Commission.

The committee for Privatisation Board of Pakistan would give its 
final approval on it.

The PC meeting also discussed the privatization of HBL and some 
other transactions. It also reviewed the implementation status of 
the decisions taken in the previous meeting and expressed its 
satisfaction over the progress so far made.

The meeting was told that privatization of utilities, 
infrastructure and banking sector was successfully progressing in 
the phase of institutional restructuring and strengthening of 
regulatory regime.

It was informed that the arrangements were being made to ensure the 
interests of investors, labour and the consumers before the 
marketing of major public sector enterprises through competitive 
and transparent bidding.

It said that the opening of oil and gas sector for privatization 
has generated great interest among the national and international 
investor in the respective field.

'Tax policy to spur growth of informal economy'
Staff Reporter

KARACHI, Aug 26: Managing Committee of the Federation of Pakistan 
Chambers of Commerce and Industry (FPCCI) has expressed its serious 
concern over the economic situation brought forth by the increasing 
pressure of taxation on documented sector.

The MC meeting held on Thursday in Quetta was attended by a large 
number of businessmen from all over the country with a resolve to 
seek immediate appointment with the prime minister for apprising 
him of the present economic situation and handling of the post 
budget grievances of trade and industry by the CBR in a way which 
was considered by business community as a non-serious attitude.

They expressed their surprise over the role of the finance minister 
of business-friendly government in resolving the problems of 
documented sector. The FPCCI members pointed out that the levy of 
additional 3 per cent sales tax on unregistered persons has almost 
brought to halt, the economic activities in the country.

Members of the apex body of trade and industry argued that in the 
absence of registered buyers economy cannot afford to bear the 
burden of 18 per cent sales tax which is too high a rate to be 
absorbed in the present scenario.

The FPCCI's Managing Committee took serious note of the 
multiplicity of audit and termed the engagement of private auditors 
as a serious violation of code of ethics of the Chartered 
Accountants Ordinance of 1961 which forbids the chartered 
accountants from doing audit of a company which was previously done 
by another member of the profession without his consent.

It was felt that no serious efforts were being made to remove the 
anomalies which were created by the Finance Act 1999, and would 
result in adding to the growing list of sick industries.

Pakistan, IMF to reset non-tax revenue targets
By Ikram Hoti

ISLAMABAD, Aug 26: Pakistan and IMF have agreed to reset the 
targets for non-tax revenue of the federal government and 
recoveries of bad loans.

An improvement of 5 per cent in non-tax revenue receipts has been 
agreed in aggregated non-tax receipts from Wapda, PTCL, gas 
companies, petroleum surcharge, and service charges from financial 

This improvement has been stipulated as additional inflows over and 
above the targets set in the federal budget for these sectors, said 
informed sources.

When asked whether the decision to incorporate these improvements 
would be formally initialled between the two sides, Dawn was told 
by officials connected with the process: "no re-writing of the Dec 
23 Enhanced Structural Adjustment Facility Policy Framework would 
be needed for this purpose."

They, however, said that the benchmark-performance documents on 
mid-fiscal adjustments for improvement would "definitely" contain 
these and other agreements reached between the two sides for 
"treatment" of subjects covered under the PFP".

The agreement also envisaged a 25 per cent improvement in the 
recovery of banking loans under Banking Companies Ordinance, 1997. 
In this connection, said officials, the Ministry of Finance and 
State Bank of Pakistan would be coordinating to make additional 
adjustments in loan-recovery mechanism and apparatus of the 
scheduled banks.

They said a sum of Rs 33 billion had been recovered in 1997-98, and 
an improvement of about 21 per cent was made on this performance in 
1998-99. This has been termed by the Fund experts as 
"unsatisfactory". Improved SBP and MoF coordination on this single 
issue has been stressed by these experts and the government is 
reported to have agreed that there did exist a lot of space for 
improvement on this count.

These officials insisted that though the federal government did not 
agree to wrap up money-whitening schemes arguing that this would 
discourage deposits and tarnish the portfolio situation of the 
banks, "assistance has been sought by the government to reduce the 
money-whitening trend and improve the tax revenue situation without 
disturbing banks' depositing situation", said one official.

CBR evaluating Citibank's competence
By Our Correspondent

ISLAMABAD, Aug 26: The chief of Withholding Tax Department and his 
officials on Thursday examined the Citibank's capacity to obtain 
and compute tax-deposit reports on daily basis, and the bank's 
operational potential to keep an eye on coordination apparatus put 
in place recently for instant connectivity between the tax 
collecting staff, their commissionerates in four major IT zones, 
and the CBR.

The Withholding Tax Wing of the Income Tax Department caters for 
more than one third of the IT Department receipts.

A team of Citibank consultants met the Income Tax Department 
officials at Central Board of Revenue here on Thursday and 
discussed in detail on how the bank, when and if given the contract 
for the job, proposed to carry out the exercise of daily reporting 
and reconciliation of the federal taxes.

On award of the contract, which is still in the discussion stage, 
the Citibank would be replacing National Bank of Pakistan as far as 
tax depositing, reporting, reconciliation and assistance in book 
adjustment is concerned.

The Citibank team of consultants is also reported to have briefed 
the CBR on how it would be coordinating between the CBR and the 
Accountant General Pakistan Revenues (AGPR) for ensuring smooth 
flow of information on revenue receipts to the ministry of finance 
through these channels.

The IT Department happens to be the first of CBR's four major wings 
to receive the briefing from Citibank consultants. Sources informed 
Dawn that the consultants would be briefing the customs and sales 
tax departments shortly.

Thursday's meeting between the Citibank consultants and CBR 
officials was also attended by the revenues monitoring wings of 
customs and sales tax. A number of queries are reported to have 
been raised about the Citibank's capacity to maintain separate 
accounts through the National Bank of Pakistan branches where the 
Citibank branches are not operating.

The CBR officials pointed out that, in view of NBP's poor 
performance with regard to reporting tax-deposits on daily basis, 
the NBP would hardly be in a position to provide the Citibank the 
needed back up facilities to operate through its branches. The 
Citibank consultants are reported to have told the CBR officials 
that they were preparing a document to satisfy all such queries and 
would make a comprehensive presentation on all these matters to the 
ministry of finance shortly. 

CBR issues notice to 50,000 'tax evaders'

ISLAMABAD, Aug 22: The Central Board of Revenue (CBR) has issued 
notices to nearly 50,000 tax evaders throughout the country during 
the past few weeks, an official said.

The tax authorities have identified 0.6 million potential non-tax-
payers by scrutinising the record of movable and immovable 
property, telephones and mobile phones during the last financial 

After obtaining this record, the Central Board of Revenue has 
started issuing notices of non-payment of taxes to those people who 
are liable to be taxed but were evading this national obligation.

The CBR has planned to double the number of taxpayers by the year 
2000. The current number of taxpayers is 1.1 million that had been 
expanded by 0.6 million with the identification of 0.6 million 
potential taxpayers during the outgoing fiscal year.

By the end of year 2000, the number of tax payers is expected to 
reach above 2 million as the CBR is continuing its efforts to raise 
the size of taxpayers on the instruction of the government and the 
International Monetary Fund (IMF).

The CBR, with the help of provincial governments, is regularly 
receiving record of new owners of mobile phones, cars, immovable 
property and computerising them in order to bring them into the tax 
net in the near future, added the official.-NNI

Demand for GST withdrawal rejected
By Ihtasham ul Haque

ISLAMABAD, Aug 21: The government has refused to withdraw the 15 
per cent General Sales Tax (GST) and said that this value added tax 
would have to be paid by the business community.

According to informed sources, Minister for Finance and Commerce 
Ishaq Dar, who held a meeting with the representatives of the 
business community here on Saturday, made it clear that there was 
no question of withdrawing the GST and that this time the 
government would deal strictly with those who were planning to 
start agitation against the imposition of this tax.

However, the representatives of various associations expressed 
their apprehensions and problems relating to the General Sales Tax 
(GST) registration, turnover income tax, Gross Profit (GP) rates, 
electricity and gas tariff, etc.

The finance minister explained the position in detail highlighting 
the benefits of GST registration. He suggested that a committee of 
the Parliamentarians could meet these associations during the 
forthcoming week and look into their problems relating to the 
turnover income tax, GP rates and other allied matters and suggest 
measures to solve them.

It was decided that while no coercive measures would be taken 
against the textile powerlooms and yarn merchants, voluntary 
registration shall be welcomed.

The associations assured of their cooperation and hoped that their 
genuine problems would be resolved by the government in the light 
of the recommendations of the committee.

A press release issued after the meeting said that discussions were 
successful and the representatives of the associations assured that 
they would carry out business as usual without any closure or 
interruption. They thanked the finance minister for his kind 
gestures and facilitation in this regard, which they said, would be 
helpful to their trade and industry.

Direct taxes up by 17 per cent in Southern Region
By Parvaiz Ishfaq Rana

KARACHI, Aug 25: The Southern Region of Income Tax, Karachi has 
collected Rs30.572 billion during fiscal 1998-99, up by 17 per cent 
over Rs26.210 billion revenue of the preceding year.

Despite the recessionary trend and a steep fall of $3 billion in 
imports, the region managed to collect Rs4 billion more in direct 
taxes up to June 30, 1999.

Against this, the countrywide collection of direct taxes during the 
year which witnessed economic sanctions and freezing of foreign 
currency accounts, rose by 3 per cent only.

These statistics were unveiled by the Regional Commissioner of 
Income Tax, Southern Region, Saleem Asghar Mian before the advisory 
committee members who held their third meeting here on Wednesday.

The region during the first month of current fiscal (1999-2000) 
collected Rs2.756 billion in direct taxes showing 34.8 per cent 
increase in revenue against the corresponding month of last year 

Briefing the newsmen soon after attending the meeting of the 
advisory committee the RCIT said that the members of the committee 
have strongly recommended to enhance the Wealth Tax limit from Rs1 
million to Rs2 million. 

In support of their demand the committee members who belong to 
FPCCI and Karachi Chamber said that when this limit was fixed the 
rupee-dollar parity was Rs14, whereas now this has gone above Rs50.

The members also raised the issue of presumptive tax under which 
the tax paid is taken as a final discharge of tax liability but the 
government is simultaneously collecting withholding tax from such 
taxpayers along with their utility bills etc.

The advisory committee members who belong to business community 
were also highly critical of the long delay in issuance of 
notification with regard to Universal Self- Assessment Scheme and 
the return forms. They suggested that proper publicity be given to 
new tax scheme.

There was a demand that the issuance of National Tax Number (NTN) 
be de-centralized and both Karachi Chamber and the FPCCI offered to 
assist CBR by giving the job of allotting tax number to KCCI. 

However, the advisory members were told that CBR is working to 
introduce Common Identifier number and still their suggestion would 
be given due consideration.

The members of advisory committee recommended that CBR as a 
goodwill gesture should extend the last date for filing of annual 
returns from Sept 30 to Oct 31.

The members of Advisory Committee who attended the meeting were 
Amjad Rafi from FPCCI, Asif Aziz Balagamwala, Aftab Khalily KCCI 
and Abdul Wahad Tajani president Income Tax Bar Association, 
Karachi. Akhtar Jamil Khan and Amjad Jawed Hashmi commissioners 
assisted the RCIT Saleem Asghar Mian.

Micro hydel-power sector provides cheap electricity
By Intikhab Amir

PESHAWAR, Aug 25: More than 160 micro hydel-power generation units, 
mostly owned by village-based organisations are operating on self-
sustained basis in Chitral district.

'The community-based micro hydel-power sector meets power 
requirements of over 20,000 families at rates much lower than the 
ones charged by WAPDA making these units most beneficial for the 
areas which remains out of the Authority's village electrification 
plan,' an official of the provincial government told Dawn.

Interviews with officials and representatives of non-governmental 
organisations during a recent visit to Chitral by this scribe 
revealed that micro hydel-power sector, having immense potential in 
Chitral is fast attracting the private sector.

'People living in and around Chitral town are at the logger heads 
with the provincial government for getting benefits from such an 
operationalised small hydel development unit of Reshun, owned by 
the NWFP government,' said an influential of the area who did not 
want to be named.

According to data, there are around 24 micro hydel-power generation 
units (MHPGU) operating in private sector. Along with that 37 MHPGU 
which had been set up under the wound up Chitral Area Development 
Project, these are being run on self-sustained basis by villagers 

Whereas AKRSP [Agha Khan Rural Support Programme], which played 
major role in establishing of micro hydel sector of Chitral by 
financing the first of the out of 161 units some eight years ago, 
it has to its credit the establishment of 100 operational power 
units and some 22 others to get operationalised.

'Before providing grants to any village-based organisation [VO] or 
cluster for setting up such a unit, a maintenance fund is created 
to enable it for replacing turbine or generator', said Masud-ul-
Mulk, project manager AKRSP, Chitral.

'Preferably, people [at the VOs] want to set up such units of not 
more than 50 kw to 60 kw capacity as which is sufficient to meet 
electricity requirements of 150 to 160 households in a village,' 
said an official.

IMF worried over tax evasion: Govt told to wrap up FCAs, FEBCs
By Ikram Hoti

ISLAMABAD, Aug 23: The International Monetary Fund (IMF) has asked 
the government to do away with all the money whitening schemes 
which, the Fund believes, are responsible for massive tax evasion 
in the country.

The Fund is learnt to have informed the government about its 
reservations on this issue last year, when the revenue collection 
had collapsed and it had became apparent that the "liberal" policy 
of allowing taxpayers to use the back channels in the name of 
whitening bonds was taking its toll on CBR's ability to improve the 
tax collection.

The IMF had also pointed out that the foreign exchange accounts 
were being used by most of the taxpayers to conceal their incomes 
and evade tax on the basis of immunity under the FCAs.

The FCAs were frozen after the nuclear tests in May, 1998. But 
after some months new FCAs with new terms, enjoying the old 
immunity, were allowed to be opened.

The IMF is now reported to have taken up the foreign exchange 
bearer certificates (FEBCs) and other such schemes which were 
causing distortions in the self-assessment scheme's implementation.

The CBR has repeatedly been pointing out to the government that all 
the tools applied for stopping under-assessment and declaration 
through SAS has become redundant due to immunity given to the 
taxpayers under various schemes.

The CBR has informed the IMF mission that this immunity has kept 
most of the big taxpayers virtually out of the tax net.

Senior CBR officials told Dawn that "the IMF is averse to such a 
liberal kind of immunity under which taxpayers have been 
practically allowed to stay out of the tax net".

When asked whether the IMF was demanding ban on the immunity 
schemes, he said: "They have already asked the government to 
abolish these schemes. They have communicated to the government 
that while such schemes were in operation, the CBR would remain 
incapacitated in its efforts to improve tax collection."

Govt-IPPs talks: IMF calls for positive results
By Ihtashamul Haque

ISLAMABAD, Aug 23: The International Monetary Fund (IMF) review 
mission has offered to extend its stay in Pakistan if it was 
assured that the talks between the government and the Hubco 
management, due on August 27, will yield positive results.

Official sources told Dawn on Monday that although broad 
understanding on revenue, export, inflation, balance of payment and 
the levy of GST on utilities had been reached with the IMF, the 
IPPs issue was yet to be resolved.

The four-member mission, which was joined by the IMF deputy 
director for Middle eastern department, David Burton, has expressed 
its "willingness" to extend its stay in Pakistan for two or three 
days so that the IPPs issues could be resolved.

The mission was to go back to Washington on Aug 27. "But they (IMF) 
say that they are ready to extend their stay here till the end of 
this month, if some progress is achieved in talks with Hubco and 
the remaining IPPs", said a source.

A two-member official committee, headed by Finance Minister Ishaq 
Dar, is likely to hold the third round of talks with the Hubco 
chief executive, Sheikh Mohammad Alireza and National Power chief 
Peter Windsor on Aug 27.

Sources said no meeting took place on Monday between the mission 
and the finance ministry officials. However, some of the members of 
the mission visited the CBR.

The mission, headed by Ms Sena Eken, along with Mr Burton, remained 
busy in their hotel preparing the main features of the 
understanding for the release of the fourth tranche of $280 
million, out of $1.6 billion ESAF/EFF.

The finance ministry officials, on the other hand, held their 
meeting on Monday and discussed various issues including that of 
the IPPs. Both sides are likely to hold an important meeting on 
Tuesday in which the finance minister will also be present.

The officials were confident that the IPPs issue would be settled 
which will pave the way for the release of the next instalment in 
September. They were also optimistic about the prospects of 
improvement in the credit rating of the Pakistan economy by the 
international rating agencies, especially the New York-based 
Moody's and Standards and Poors.

Sources said the World Bank had been told that the power tariff 
issues were being sorted out and that the Dar committee had been 
empowered to sign some new agreement with Hubco and Kapco. The 
review mission has also been in touch with the senior officials of 
the local World Bank officials and kept them informed about their 
talks with the government.

According to Reuters news agency Pakistan and the IMF team are 
likely to sign a letter of intent on Wednesday for the release of 
the loan tranche.

State Bank lifts ban on encashment of cheques
By Mohiuddin Aazim

KARACHI, Aug 24: The State Bank of Pakistan on Tuesday lifted 
restrictions on encashment of cheques issued by Sindh and 
Balochistan governments after they received federal grants which 
brought their overdraft within limits.

Sources close to SBP told Dawn that the federal government on 
Tuesday transferred Rs 1.9 billion as grant to Sindh government and 
Rs 1.4 billion to Balochistan government to help them reduce their 
overdraft with the State Bank.

They said Sindh overdraft had reached Rs 3.4 billion and that of 
Balochistan to Rs 851 million against their respective limits of Rs 
1.7 billion and Rs 700 million.

They said the bursting of overdraft limits on Monday had forced the 
SBP to stop the banks from making any payments from the accounts of 
the two provinces.

The sources said with the release of the federal grants Sindh 
government overdraft has fallen to Rs 1.5 billion which is well 
within the limits. 

On the other hand the release of federal grant to Balochistan 
government has left its account with SBP surplus by Rs 549 million 
after clearing its overdraft of Rs 851 million.

The sources said the State Bank had fixed the overdraft limit of Rs 
1.7 billion for Sindh government after converting its Rs 8 billion 
overdraft into a loan the repayment of which has been in progress. 
They said as the provincial government had already paid several 
instalments of the loan the total amount of the loan currently 
stood around Rs 6.7 billion.

Sources in Sindh Finance Department told Dawn that despite the 
lifting of the restrictions on encashment of cheques issued by 
Sindh and Balochistan governments some bank branches refused to 
honour the Sindh government cheques on Tuesday. But they said this 
might have happened because of lack of timely communication between 
the State Bank and the banks and hoped that such banks would surely 
start honouring the cheques of the Sindh government from Wednesday.

Sindh and Balochistan governments have been facing a serious 
financial crunch which the two governments attribute to unfair 
allocation of resources by the federal government and delay in the 
release of their respective shares in the federal divisible pool.

Y2K should be given more attention

KARACHI, Aug 24: Speakers at a seminar organized by Management 
Association of Pakistan (MAP) today called upon the Corporate 
sector to concentrate more on 'Y2K' issue and warned it may affect 
the entire sector.

Mr. Aslam Farook, Managing Director, Sui Southern Gas Co., speaking 
at a seminar on "Y2K - consequences of non-compliance", held under 
the auspices of the Management Association of Pakistan at a local 
hotel on Tuesday, said it was mandatory because the company is 
involved in transmission and distribution of natural gas in Sindh 
and Balochistan and purifies gas before its distribution, according 
to a MAP press release.

However, he said the systems are being tested to avoid any 
disruption in gas supply throughout Pakistan.

Dr M.Z. Malkana, Senior Genral Manager of the Company, presented 
details of the steps taken to achieve Y2K compliance by the 
Company. Dr. Ijaz H. Khwaja, DG, Pakistan Computer Bureau, said it 
was essential for the people to understand the Y2K issue and to 
achieve compliance .

He expressed apprehensions about the claims made by Companies that 
they had achieved Y2K compliance whereas they had not even prepared 
the list of their critical systems which need upgradation. On top 
of it, he said some of the public sector companies do not have 
substantial funds to take the inventory of systems using embedded 

Mr. Mohammed Sarwar, GM, Computers, Pakistan Telecommunication Co 
while expressing the importance of the issue provided details of 
all the work done so for to achieve Y2K compliance by the Company 
and added that the PTCL needed mandatory Y2K compliance to remain 
connected with all the international players.

Mr Akhlaqullah, GM (PPSP), KESC, said that the Corporation has 
identified the critical systems and making efforts to achieve Y2K 
compliance. He said it was also working on contingency and 
emergency plans to enusre uninterrupted electricity supply to all 
its valued consumers.

Mr Javed Merchant, IT Manager, ICI (Pakistan) explained the Y2K 
issue and also the work done at the Company to achieve compliance. 
He also emphasised that corporates should devote more time and 
energy to understand the issue and then upgrade all their critical 
systems at the earliest and should not wait till last minute.

Exporters buying cotton against forward sales
By Our Staff Reporter

KARACHI, Aug 24: Cotton exporters have resumed buying operations 
against their forward sales after local prices fell below 
Rs1,900.00 per maund sending a wave of optimism among ginners and 

But some of the leading exporters contacted to verify the rumours 
circulating in the market about their re-entry after about a year 
denied saying 'the prevailing prices are still a bit higher against 
the international parity levels'.

However, we are receiving daily a spate of buying offers at the 
prevailing world rates but 'we are not inclined to commit at this 
stage for larger consignments until the size of the crop is clear 
and the current volatility in prices ends', said an exporter.

He said 'our own surveys indicate that the condition of the 
standing crop is excellent and hope their could be a sizable 
exportable surplus during the current season.'

Although there is production glut worldwide, we will manage to sell 
to the Near East and Far Eastern buyers at competitive rates, he 
said adding that the current rates offered at slightly above 50 
cent per lb f.o.b are in line with the parity level.

'It is a secret operation as any leak could well cause a sharp 
rebound in the falling lint prices', said a ginner in touch with 

About 15,000 bales changed hands on Tuesday including 10,000 of the 
old crop, a good number of them are said to be credited in 
exporters account, sources said.

They said it is interesting to note that some of the spinners are 
also exporter of lint cotton and if there is slump in the world 
yarn demand, they will export cotton to balance their annual sale 
proceeds. Exporters say the crop projections at 9.7m bales are 
highly optimistic and if the final figure is close to the target 
there could be an exportable surplus of a million bales.

'Owing to a short crop of 7.3m bales, the last season was terribly 
bad for all sectors of the cotton economy but exporters were the 
worst-hit as most of them have to pay price differentials to 
importers as penalty for non-compliance of the export orders', said 
a leading exporter.

Last season, exporters exported only 8,70 bales up to March 22, 
1999 as local prices shoot up to Rs 2,450.00 per maund because of a 
short crop.

Back to the top
The abuse of parliamentary privilege
By Ardeshir Cowasjee

MY friend, senior columnist Chaudhry of Chakwal, Ayaz Amir, 
despairs. His column on Friday was headed 'What is the point of 
criticism?' He feels that what he and others write makes no dent - 
the corrupt in government remain corrupt, the crafty remain crafty, 
the robbers rob, the conniving connive, the people remain hungry 
and thirsty, taxes for those million-odd citizens who pay taxes are 
crippling, prices are rising, millions remain unemployed, the 
employed are underpaid and stressed, the fat cats grow fatter, and 
not one man involved has yet committed harakiri in the aftermath of 

I tried to cheer him up by reminding him that a mutual friend, a 
well-read man, constantly reminds us that both India and Pakistan 
are not populated by Aryans and Anarayans, but by those he dubs 
subcontinental monkeys devoid of the intelligence or competence 
usually possessed by that species.

We all get disheartened, I told him. At least twice a month, I am 
lectured by various people on the futility of writing in the press. 
Futile it may be in the sense that one cannot shame the shameless 
leaders, administrators and politicians. But if one can get through 
to at least one citizen a week and make him aware of what is 
happening, it is surely worth it. The grumblers and mumblers drone 
on and on until they run out of grumbles. "Fine," I say, "I will 
not write next week". "No,no," respond the moaner-groaners, "that 
you cannot do. You must keep on writing." So much for logic.

Ayaz by profession has been a soldier, a foreign office diplomat, a 
journalist, a politician, and again a writer, a profession at which 
he is eminently qualified. He realizes that a columnist should 
inform, educate and entertain, and he efficiently does all three. 
Some would say that this newspaper has the privilege of printing 
his columns, others that he has the privilege of writing for it.

The last time Ayaz and I met was in Islamabad when he motored up 
from Chakwal when I was summoned to appear before the Standing 
Committee on Rules of Procedure and Privileges of the most 
honourable National Assembly of Pakistan, following the moving of a 
privilege motion by MNA Khwaja Asif, alleging that I had breached 
his privilege. Despite the fact that the committee secretary had 
notified the Director of Public Relations of the Assembly 
Secretariat to "attend the meeting, arrange press/TV coverage of 
the meeting, and also issue a press release after the meeting," no 
press people were allowed in, including Ayaz.

There are thirty-four standing committees of the Lower House, each 
with a chairman and ten to fifteen members. Apart from the normal 
perks and privileges accorded to our honourable, freely and fairly 
elected representatives, each chairman receives an additional 
Rs.7,700 per month, club class air fares when called to chair a 
meeting, a fully equipped office staffed by a private secretary, a 
personal assistant and a peon (who normally performs as a domestic 
servant at the chairman's home), a chauffeur-driven car, and free 
telephones. Each member when called to attend a meeting receives 
Rs.1,100 per day for five days as attendance allowance, plus air 
travel club class expenses from and to his constituency.

The present National Assembly's Standing Committee on Rules of 
Procedure and Privileges is chaired by a Nawabzada. For members it 
has two Mians, one Pir, one Rana, one Khwaja, one Sheikh, one Rai, 
one Sahibzada, one Chaudhry, one Syed, one Sardar and two plain and 
simple misters. These men meet at least once a month, often twice. 
A few samples of the matters they consider:

"Privilege motion moved by Rana Nazir Ahmad Khan MNA regarding rude 
behaviour of Director-General Customs Intelligence, Islamabad." 
Summoned to respond to this motion and attend the meeting in 
person, apart from the DG, were, inter alia, Secretary Ministry 
Finance, Chairman CBR, Member Indirect Taxes Settlement Commission, 
Superintendent Customs, Quetta.

"Delayed flight on 6.5.98 causing inconvenience to the Speaker of 
the National Assembly and other parliamentarians due to off-loading 
of a passenger allegedly travelling on fake passport/documents." 
Summoned in person: Secretary Ministry of Interior, ex-Director 
General FIA, present Director-General FIA, Deputy Director 
Immigration FIA Karachi.

"Privilege motion moved by Mian Atta Mohammad Qureshi MNA regarding 
alleged indecent language and rude behaviour of Mr Hafizullah Lund, 
Chief Engineer Railways." Summoned in person : Secretary Ministry 
of Railways, General Manager Pakistan Railways Lahore, Chief 
Engineer Railways.

"Privilege motion moved by Inamullah Khan Niazi MNA regarding 
alleged rude behaviour of Superintending Engineer WAPDA Sargodha." 
Summoned in person : Secretary Ministry of Water and Power, 
Chairman WAPDA, Chairman Area Electricity Board Faisalabad, 
Superintending Engineer WAPDA Sargodha, Superintending Engineer 
WAPDA Jhang.

"Privilege motion moved by Inamullah Khan Niazi MNA regarding 
alleged rude behaviour of Chief Settlement Commissioner Lahore." 
Summoned in person : Chief Secretary, Government of Punjab, Chief 
Settlement Commissioner, Lahore.

(Mr Niazi obviously has a problem.)

If any one of the persons summoned does not appear on the appointed 
day, the motion is adjourned until the next meeting, and those who 
have turned up are sent home. So, one matter can go on and on for 
years, with, say, five summoned each time and one or two not being 
able to attend. Merely to satisfy the inflated egos of little men, 
travelling and other expenses of government servants have to be 
borne by the government (by the people) and citizens summoned are 
inconvenienced, and sometimes humiliated.

"Alleged rude behaviour" and "alleged abusive language" are nowhere 
defined, they are somewhat on the lines of "the ideology of 
Pakistan." What one man may consider to be normal behaviour and 
routine language is by the sycophant or the uncomprehending 
uneducated or by the puffed-up prig taken to be rude or abusive.

A letter from MNA Kunwar Khalid Yunus was printed in this newspaper 
on August 19. He complained that his efforts to move a motion for 
breach of his privilege against the IGP Sindh were being thwarted 
by the honourable Speaker of the National Assembly. He accused the 
IGP Sindh of having made a public statement to the effect that the 
MQM MNAs would do well to "serve the people" rather than pursue 
their "anti-government and anti-people policies." How does this 
breach your privilege? I asked him. He had no explanatory answer to 
give other than that the IG has no authority to make such 

The Privileges Committee of our Lower House relies on procedures 
followed at Westminster, where democracy prevails and is practised 
without constitutional safeguards for the citizens of Great Britain 
- an incomparable system of government. But frivolous privilege 
motions are not entertained at Westminster. Our parliamentarians 
should study the chapter on 'The nature of parliamentary privilege' 
in 'Parliament - Functions, Practice and Procedures' by J A 
Griffith and Michael Ryle (1989), from which I quote :

"All actions of members of parliament, in the course of 
parliamentary proceedings, are protected by parliamentary privilege 
. . . . . On the other hand, the fact that the House, and its 
individual members, claim certain privileges not available to the 
ordinary citizen, and may seek to punish those who infringe them, 
tends to set the House apart from the people it represents and 
makes it liable to criticism - and even ridicule - if it appears to 
be asserting privileges which are not obviously essential for its 
functions . . . . . The reconciliation of these two claims - the 
need to maintain parliamentary privileges and the desirability of 
not abusing them - has been the hallmark of the House of Commons' 
treatment of privilege issues in recent years . . . . . . We will 
not attempt to describe in detail the somewhat complex (and in 
certain respects still uncertain) law of parliamentary privilege."

When I was summoned I asked my legal advisers if any law exists 
that entitles the privilege committee to summon me at the whim of 
an individual member and whether the fundamental rights guaranteed 
to me in our written constitution were being violated by being so 
summoned. The answer given was that the law protects me but that 
the present-day judiciary, with the judges functioning as they do, 
is not likely to so do.

One more set of three cheers for Prime Minister Mian Mohammad Nawaz 
Sharif for his successful subjugation of the independence of the 
judiciary, our country's most vital pillar of state.

The albatross round our neck
By Ayaz Amir

BATTERED and bruised as a result of Kargil, humiliated in 
Washington, at this juncture in our history the last thing we need 
is to have the burden of Afghanistan round our neck - a burden 
weighing Pakistan down for the last 20 years. 

Need it be recounted how our ham-handed involvement in Afghanistan 
has bled us white? Refugees kept not in controlled camps as was 
done by the Iraniansbut allowed a free run of the country. 
Kalashnikovs, drugs, a surge in crime and, perhaps most ominously 
of all, a fillip to fundamentalism: these are the foremost gifts of 
our Afghan adventure. 

It might have been supposed that after reaping such a bitter 
harvest our ambitions would have been tempered by realism. But, 
plainly, ordinary rules of prudence do not apply to us. Even the 
Americans cut their losses in Vietnam and went home. But in 
pursuing foolish ventures we are mightier than the great powers 
andcontinue to be stuck in our own little Vietnam, obsessed by 
half-baked notions of strategic depth, of installing a friendly 
regime in Afghanistan and opening a pathway to Central Asia. 

The effrontery sustaining these bizarre notions is colossal. A 
military and bureaucratic class which has made a mess ofits own 
country's affairs, turning a land of promise into a 
permanentbasket-case, and what to talk of anything else, not even 
able to manage its cricketing affairs, swept by dreams of Mughal 

If only we had the humility to see ourselves as others see us: a 
drawn sword in one hand, a begging bowl of iron in the other. The 
world is full of beggars (otherwise the IMF and the World Bank 
would be out of business) but none more audacious than us. Even as 
we shout for alms (pleading not being our forte) weremain smitten 
by a sense of our own importance. 

Going nuclear has made things worse. Now our begging is accompanied 
by the rattling of our atomic sabre. As if the world will be 
impressed and will think that it is in its own self-enlightened 
interest to give us a living. 

Kargil was the outcome of this world view and this mindset. 
Weobviously thought amilitary intrusion in the Himalayas would 
bring India rushing to the negotiating table. The Kashmir issue 
would be internationalized. We simply refuse to learn anything. 
Forget history, a difficult subject. We refuse even to learn from 
our own experience. The 1965 war and the loss of East Pakistan are 
no more than blurs in our memory. 

One reason for this amnesia is the kind of governing class we have. 
What matters to it if the country suffers? If successive 
leaderships stoop to folly who carries the burden of this 
adventurism? The hapless people in their boundless misery. 

As for internationalizing Kashmir, it is a phrase which makes you 
want to reach for your gun. Another victory like Kargil, another 
triumph like the one Nawaz Sharif secured in Washington, and we 
could wash our hands of the whole business of Kashmir.

Kargil, however, was not just the expression of a blinkered warrior 
mentality. It had a strong connection with our Afghan experience, 
its inspiration coming from the winds of jihad blowing across the 
scorched landscape of Afghanistan. If the Soviets could be evicted 
from that tortured country, why not the Indians from Kashmir? 

Some of the brilliant military minds who conceived the Kargil 
operation are old Afghan hands. On the ISI itself Afghanistan has 
left a lasting imprint, the Soviet retreat from the mountain 
fastnesses of that country being the ISI's finest hour. It is 
another matter that the CIA, which along with the Saudis funded the 
Afghan jihad, has moved on to other fields and other conquests. 
Pakistan's command centres remain stuck emotionally in the mud of a 
country which has taken a giant leap backwards into the middle 

Nor is Pakistan's obsession with Afghanistan purely of a military 
nature. The Afghan experience has spawned a whole new culture of 
conservatism and orthodoxy in Pakistani society. Consequently, we 
are witnessing a strange blurring of the Durand Line. While the 
Taliban under Mullah Omar rule most of Afghanistan, their 
ideological hinterland is in Pakistan, the Sandhurst of Afghan 
revivalism being the Madrassa Haqqania, Adora Khattak. 

Will Pakistan not be touched by this experience? It is already 
feeling the heat from it. As the so-called mainstream parties 
retreat, the forces of fundamentalism advance. Their rhetoric is 
influencing political discourse while outside their training camps 
the waiting lines are long. On the other side of the divide, the 
PPP is bankrupt, its leadership tarred by the brush of corruption. 
The Muslim League government, impaled on the lance of its own 
ineptitude, is in the process of bankrupting itself. The people are 
tired - tired of politics, tired of the old slogans, tired of the 
same old faces. 

Is there hope amidst this gloom? There is but it turns upon a slim 
possibility. Pakistan's military and bureaucratic elites have to 
sweep the cobwebs from their minds. The warrior mentality must be 
purged, foolish thoughts of conquest given up. The refrain that 
with our nuclear toys our defence has become impregnable should be 
made a cognizable offence. We should learn to look within, to 
converse with ourselves quietly and with a measure of dignity 
instead of shouting from the housetops and beating a drum all the 

None of this will happen as long as Afghanistan keeps tempting the 
Pakistani bureaucratic spirit to messianic zeal. As long as the 
Taliban hold sway in Afghanistan, there will be officials in 
Pakistan spouting obscure theories of strategic depth and of 
liberating Kashmir by replicating the experience of the Afghan 
civil war. 

Regarding one thing we should be clear. Kashmir is not the 
albatross around our necks. To its liberation, whether by word or 
deed, we are committed and the day we forswear this commitment some 
of our raison d'etre as a nation will be lost. This does not mean 
we must go to war for its sake. But neither should it mean that we 
do a Yasser Arafat over its burning remains. The albatross is 
Afghanistan, which has burdened us cruelly and, worse, has clouded 
our thinking (or what passes for thinking in this neck of the 

To set ourselves free this burden must be cut loose. But if at all 
this has to be done, we must bring to the task the spring of the 
tiger. Half-way measures will not do. The sorry business of 
supporting Afghan factionalism must come to an end once and for 

Twenty years is a long enough time. What the Afghans do with their 
country is their business. Let them settle their affairs by 
themselves as they have done throughout history. If they want the 
Taliban and mediaevalism, so be it. In any event, it is not for us 
to play Talleyrands abroad when our own house is in such a mess. If 
it be objected that we owe a duty to the people of Afghanistan who 
are our neighbours, we must remind ourselves that the first duty we 
owe is to ourselves.

A malignant cancer
By Irfan Husain

IT says something about American entrepreneurs and philanthropy 
that Bill Gates has donated 17 billion dollars to charity in the 
last two years.

Virtually every large charitable trust and foundation - and there 
are thousands of them in America - has been established and funded 
by successful businessmen. Their activities and endowments range 
from education and the arts to environmental concerns and poverty 
alleviation. Indeed, some of them support the finest universities, 
hospitals, research laboratories and art galleries in the world. 
Taken as a whole, they have played a pivotal role in making the 
United States the undisputed world leader in education, the arts 
and medicine.

The businessmen responsible for establishing these foundations and 
trusts recognize the need to give something back to the community. 
While many of them may have other than altruistic motives, the fact 
remains that every year billions of dollars other than taxes are 
invested in American society and this money has gone a long way in 
making the country the powerhouse it is today.

And what have their Pakistani counterparts done for their country 
in the meantime? Bled it white. Granted there are loan defaulters 
and tax evaders in every country, but in Pakistan these crimes have 
been transformed into a way of life by our leading business groups. 
Pampered by government policies, fattened by loans they don't repay 
and protected from inconveniences like taxes, this class has made 
hay under virtually every government. Forget about giving something 
back to society, these people have gutted the economy to the point 
where it is at death's door.

But they have not been alone. Our feudals have joined their urban 
cousins in milking the country dry. Throughout history, traders and 
industrialists have gained political power at the expense of the 
feudal class until the latter has been marginalized. Pakistan's 
experience has run counter to this global pattern. Here, we have 
witnessed a reverse process where feudal values and mindset have 
infected the entire society. Indeed, many landlords - enriched 
through huge land grants for collaborating with the British - have 
set up factories financed by loans obtained on the basis of their 
clout and connections. Feudal clans and business families have 
intermarried extensively and they send their children to the same 
schools. This nexus has led to a convergence of interests that has 
proved to be devastating for the country.

To a large extent, big business has been infected with the feudal 
style of management. Instead of being based on consensus and 
discussions with senior executives, decisions taken by local 
magnates are often whimsical and self-serving. The seth is 
convinced that he has all the answers and will usually not be 
guided by professional managers, contemptuously rejecting their 
advice as being too "theoretical". Largely as a result, Pakistani 
industry remains primitive and unable to compete in the global 
market without government subsidies and tariff protection. It will 
be interesting to see how we fare when all duties and quotas are 
abolished under the WTO agreements in the year 2005.

Similarly, these feudal attitudes have become a hallmark of our 
government functionaries. Narrow parochialism and provincialism as 
well as sycophancy and personal loyalty to the boss now determine 
promotions and postings instead of ability and merit. Independence 
is punished, so hardly any bureaucrats take a stand or give their 
political masters sound, objective advice. The result is financial 
disasters like the grossly under-utilized billion-dollar motorway 
and the Yellow Cab scam that has left nationalized banks holding 
nearly ten billion rupees in bad debts.

Looming before us is the mother of all scams in the shape of the 
"Mera Ghar" scheme that, under the guise of low-income housing, 
will cost Rs 650 per square foot despite the fact that state land 
is being grabbed gratis for the purpose. Banks that will be forced 
to give low-interest, long-term loans can see the writing on the 
wall in red numbers. One estimate puts the financing requirement 
for the entire scam at Rs 400 billion. The only thing that just 
might save us from disaster is that this kind of money simply isn't 
available. But I am curious to find out whether any bureaucrat in 
either the ministry of housing or the ministry of finance objected 
to the scheme.

An essential element of the feudal system is the very rigid 
hierarchy and a blind adherence to the peeking order. There is also 
a total commitment to the status quo. In developed societies or the 
ones that are aiming to modernize themselves, decentralization and 
flatter hierarchies are the desired models. In Pakistan, we have 
not only clung to rigid centralization, we have also given 
feudalism a new lease of life. By so doing we have ensured that 
this style of governance becomes the prevailing mode in virtually 
every aspect of our lives.

A powerful symbol of these macho values is the Pajero and the Land 
Cruiser. Most of the luxury four-wheel drive vehicles imported or 
smuggled into this country have never been off city roads, and yet 
are the transport of choice of feudals, businessmen and senior 
bureaucrats alike. Armed guards follow these characters like extras 
from a B movie. Mobile phones and starched white shalwar-kameez 
complete this caricature.

Other societies also harbour these vestiges from a bygone era. In 
India, bona fide aristocrats, shorn of titles and estates, dream of 
the good old days; some of the more sensible ones have converted 
their palaces into hotels. In Britain, although the House of Lords 
is largely ornamental, its members have done their bit for tourism 
by opening their country houses to visitors. It is only in Pakistan 
where this parasitic class has not only held its own, but has 
managed to infect other, supposedly more progressive, sections of 

To be fair, certain local business groups have made substantial 
philanthropic gestures. The Dewan family has contributed 
unstintingly to Dr Adeeb Rizvi's Institute of Urolgoy. But such 
examples are few and far between. By and large, we have produced 
one of the most viciously rapacious elites the world has ever 
known. While looting the economy through massive subsidies, loan 
defaults and tax evasion, they have sent much of these ill gotten 
gains abroad instead of at least investing something in the 
country. According to one estimate, Pakistan have expatriated $90 
billion abroad.

Clearly, our elites have learned only to take, not to give.

Pakistan agrees to play against Windies in Toronto
By Our Sports Reporter

ISLAMABAD, Aug 24: Pakistan on Tuesday officially accepted to play 
against West Indies in a three-match one-day series at Toronto from 
Sept 16-19.

Making the announcement at a Press briefing at Redco cricket ground 
Chairman Pakistan Cricket Board Ad hoc Committee Mujeebur Rehman 
said that TWI has been given the official consent for the Toronto 
Mini-Series. Pakistan will play the first match on Sept 16 followed 
by back to back contests on 18th and 19th.

The chairman ad hoc committee stated that Pakistan always wanted to 
contest the Sahara Cup series or for that matter any important 
competition where the team is offered its due share. He maintained 
that the offer given would earn half a million dollars in guarantee 
money besides sharing the profit or loss from the event.

Mujeebur Rehman further added that a 10-day training camp to pick a 
15-member Pakistan team will be held from Sept 1 at Qadhafi 
Stadium, Lahore. Except for the threeplayers presently banned by 
the PCB Ad hoc committee including skipper Wasim Akram, Salim Malik 
and Ijaz Ahmed who are under investigation in connection with 
match-fixing and betting issue, the list of probables for training 
camp will be announced in a couple of days.

Chairman PCB Ad hoc selection committee Col (R) Noushad Ali will 
meet with other members, Ramiz Raja and Abdul Raqueeb, to finalise 
the probables list. Col Noushad said that coach of Pakistan team 
Waseem Raja will also be arriving in a couple of days.

It was stated that the decision with regard to appointing the 
captain of Pakistan team will also be taken within a week. It was 
maintained that vice captain Moin Khan was not appointed as captain 
so far.

The Pakistan team will depart for Toronto on Sept 12, the chairman 
ad hoc committee said.

Miandad records statement
By Ilyas Beg

LAHORE, 23: Former Test captain and coach Javed Miandad recorded 
his in-camera statement in Justice Malik Muhammad Qayyum's one-man 
inquiry commission in his chamber in the Lahore High Court on 

Test cricketers Ejaz Ahmad and Mushtaq Ahmad also came to the court 
but their accusers failed to turn up. So, they could not cross-
examine them. Advocates, representing some of the Test cricketers, 
were also present. Test paceman Ata-ur-Rahman's brother Tariq 
Mahmood also came to the court. Ehtesab Bureau Director Qaiser Ali 
Shah came and submitted his report to the commission. However, its 
contents were not made public.

Seven Test cricketers Shahid Afridi, Salim Malik, Ejaz Ahmad, Moin 
Khan, Inzamam-ul-Haq and Azhar Mahmood have been summoned by the 
inquiry commission on Sept 3.

Journalist Fareshte Gati-Aslam, Test cricketers Waqar Younis, Aamir 
Sohail, Aqib Javed, Mushtaq Ahmad, Ata-ur-Rahman, NBP employee 
Salim Pervaiz, SSP who had handled case of father of captain Wasim 
Akram and boomaker Younis have also been summoned to appear on Sept 

Justice Malik Muhammad Qayyum warned that if Ata-ur-Rahman and 
Salim Pervaiz failed to appear on the fixed date of Sept 10, their 
arrest warrants would be issued.

Registrar High Court Abdul Salam Khawar told Dawn that it had been 
decided to continue day-to-day hearing after Sept 10 till the 
completion of inquiry.

While replying to a question Abdul Salam Khawar said that the 
cricketers had been summoned by Justice Malik Muhammad Qayyum after 
scanning the material made available to him.

Advocate Chaudhary Muzammil was present to represent Test leg-
spinner Mushtaq Ahmad while captain Wasim Akram's advocate Khawaja 
Ahmad Tariq Rahim and batsman Salim Malik's advocate Azmat Saeed 
were also present in the court. However, they could not cross-
examine the accusers of their clients since they failed to come to 
the court on Monday.

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