“The former mayor misused pension funds”

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KARACHI:

Local Government Minister Saeed Ghani said most departments under his ministry pay pensions to retired employees, but unpaid dues from the past remain a huge burden.

While speaking during the question hour of the Sindh Assembly session on Friday, the minister accused former Karachi mayor Waseem Akhtar, who belonged to the MQM, of misusing funds pension for other purposes.

He said that the Sindh government allocates Rs 1.2 billion per month to the Karachi Metropolitan Corporation (KMC) for salaries and pensions. Although KMC’s pension payments are now regular, there remains Rs 13 billion in unpaid contributions, with payments made up to July 2017 and subsequent contributions still pending. Ghani clarified that KMC is responsible for paying contributions of District Municipal Group (DMG) employees until 2023, while cities should manage contributions of new employees.

The minister further revealed that the Karachi Development Authority (KDA) owes its employees Rs 3.8 billion in unpaid dues since September 2020. Despite this, the Sindh government provides Rs 400 million per month to the KDA for salaries and pensions.

On sanitation, Ghani revealed that a Chinese company’s contract for garbage collection in the Eastern District was not renewed because the company refused payment in Pakistani currency. Other contracts have been adjusted to ensure payments are made in rupees to control spending.

Responding to MQM-Pakistan MP Amir Siddiqui’s complaints about poor sanitation in Jamshed town, Ghani admitted that the entire East district is facing similar problems. He added that door-to-door waste collection has not yet started. Employees transferred from cities to the Sindh Solid Waste Management Board were permanent workers reassigned to other tasks, while some “ghost employees” were dismissed.

On the issue of paid parking, the minister clarified that KMC and some cities have designated parking zones. However, the elimination of illegal parking is the responsibility of the police and law enforcement agencies, not the local government department.

Ghani said the Karachi Water and Sewerage Corporation (KWSC) had Rs5.1 billion in unpaid dues from July 2020 to December 2024. This includes Rs2.1 billion owed from various government ministries and Rs2.5 billion demanded by the KMC. Federal institutions also owe Rs12.5 billion to KWSC, which is currently in the process of reconciliation.

Also speaking during the question hour of the assembly, Sindh Transport Minister Sharjeel Inam Memon announced key developments in public transport.

The minister also spoke about cycle lanes, saying that while the idea is laudable, it is more feasible in cities where traffic congestion is less. He said bicycles are allowed on the Red Line and Green Line trails, but Sharae Faisal remains unsuitable due to frequent misuse of the trails for motorcycle parking.

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