BHC terms decision of provincial cabinet regarding wheat procurement at subsidized rates as illegal

Independent Report

QUETTA: The Balochistan High Court (BHC) has termed the decision of provincial cabinet to procure wheat at subsidized rates after allocating Rs. 500 million as illegal and directed to the Chief Secretary to diver the said amount towards payment of loan and establishment of technical center, town planning and supply of drinking water, etc. as suggested by the Chief Minister.
The BHC announced the judgement on a petition in which the validity of decision taken by the provincial cabinet regarding procurement of wheat from Naseerabad division after allocation of Rs. 500 million at subsidized rates despite bumper wheat crops in the country.
The division bench headed by the Chief Justice, Mr. Justice Muhammad Hashim Khan Kakar had heard the constitutional petition.
In its judgment, the High Court observed that :we find that the decision of the provincial cabinet does not meet the standards of reasonableness, non-discrimination and prudent financial management.
For the aforesaid reasons, the petitions are allowed and the decision of the provincial cabinet to procure wheat at subsidized rates after allocating 500 million rupees stands illegal.
The court further observed “before parting with the judgement in hand, we are of the opinion that keeping in view the weak financial conditions of the province, the government is required to cut expenditures while shutting down loss-making departments. Prima facie, the food department has failed to achieve its objectives, even otherwise, the federal government established Pakistan Agricultural Storage and services corporation (PASSCO) with an objective to maintain strategic food reserves in the province in case of any disaster, famine etc, as such, existence of provincial food department is nothing but duplication, overburdening the weak economy of the province.
According to the judgement, the Chief Minister, Mr. Sarfraz Bugti, who is in attendance, was confronted with the above mentioned facts, while not in a position to defend the decision in question, frankly conceded and fairly suggested that the decision in question is neither reasonable nor prudent. He suggested that after full payment of the bank’s liablity, the remaining amount would be spent in Naseerabad division for establishment of technical center, water supply and town planning.”
The court directed to the respondents in the case to form a high level committee for recommendations in respect of winding up many departments which have become a liability.
The Court also directed to the Registrar to send the copy of the judgement to the Chief Secretary as well as to Principal Secretary to Chief Minister Balochistan.
The court expected that the Chief Minister would look into the matter, who have otherwise “reportedly” resisted the decision in question in the meeting of the cabinet.
It may be mentioned here that the petitioners had challenged the validity of decision of the provincial cabinet regarding procurement of wheat from Naseerabad division. According to them, the provincial government has no capacity to store such huge quantity of wheat i.e., 5 million bags and the same would be damaged. They had also averted that grant of subsidy to the farmers of a specific division is discrimination to the farmers of rest of the province as farmers of Naseerabad division are using free water of Kachi canal / river whereas, rest of the farmers have to extract underground water after spending huge amount.
As per their contention, Food department is presently paying 20 million rupees interest per day to different commercial banks and the said liability should be cleared prior to purchasing more wheat that too at subsidized rates.