Punjab Govt Orders Fresh Probe into Faisalabad Children Hospital ‘Scam’

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LAHORE: The Punjab government has ordered de novo inquiry proceedings against a senior medical officer/ex-medical superintendent (MS) of the Children Hospital Faisalabad for allegedly committing blatant violation of procurement and financial rules, as well as for continuation of irregular and unauthiorised execution of maintenance and repair work.

The ex-MS was also accused of giving ‘undue’ favour to a private firm which was owned by his wife.

The health secretary appointed Prof Dr Tayyiba Wasim, the professor of obstetrics and gynaecology(BS-21 officer) of the Allama Iqbal Medical College, Lahore, as an inquiry officer and directed to submit a detailed report in this respect within 60 days.

The new proceedings were initiated in light of the findings of the earlier inquiry wherein the serious allegations were proved true against the ex-MS of the Children Hospital Faisalabad and he was awarded punishment of removal from service under section 4(1)(b)(v) of the PEEDA Act, 2006, besides issuing an order for the recovery of Rs 135,463,284 from him for causing loss to the national exchequer.

Earlier inquiry finds ex-MS guilty

According to the inquiry report, the construction of Children Hospital comprises two phases.

In the first phase, OPD & Emergency Block was constructed and made functional. The administration decided to construct different partitions in the building without obtaining approval from the competent authority like P&D, buildings and specialised healthcare and medical education departments. The report stated that no PC-I for amendment in the newly-constructed block was available.

The report pointed out that the officer in-question allegedly violated the PPRA rules and did not prepare any detailed estimates.

Further administrative and technical sanction was not obtained from the competent authority.

“He executed the maintenance and repair work and procurement related items against a huge amount of Rs 55,770,550 during 2019-20 and 2020-21 without provision/allocation of funds in violation of the relevant rules”, reads the report.

He executed the construction/repair work amounting to Rs29,044,160 in violation of the rules.

The major portion of building work (Rs24,691,420) relates to the construction of different partitions in the hospital building which have been built with fragile material i.e. gypsum and lamination sheets etc. and much risky in terms of durability and safety.

Similarly, the officer procured hi-tech electric wire of 500 metre length (25 mm 4 core) against a huge amount of Rs12,751,000.

As per demand the purpose of the same was not known, the inquiry report said. Furthermore, agencies like Fesco/Public Works Department etc. were not contacted for technical assessment before procurement of such hi-tech wire.

He procured another hi-tech electric wire of 675 RF length ((300 m 4 core) for Rs10,665,000 for electric construction of an angiography machine (Siemens).

Accordingly, various discrepancies were found in procurement.

Pointing out one of the major discrepancies, the report stated that the machine was received by the hospital on June 27, 2020 but the wire for connection was demanded on Aug 28, 2019 and the same was received in the hospital on March 9, 2020.

“So, it is evident that wire 675 RF length (300 m 4 core) for the machine was procured without technical assessment and requirement”, reads the report.

Similarly, the supplying firm or Bio Medical Engineer of the hospital was required to assess the strength and the length of the required wire, but no such report was available on record.

The packing list of the said machine was not available in the record to check whether the wire was supplied by the company with the machine or not.

During the financial year 2020-21, funds worth Rs411,000 were allocated under the head of Office Building.

Later on, Rs8,000,000 were further allocated/re-appropriated in the said head by the government.

Out of total allocation of Rs8,411,000, only Rs732,057 were utilised and an amount of Rs7,678,943 was lapsed by the hospital administration.

“He created liabilities amounting to Rs150,630,000 in various other heads of accounts by placing procurement orders without observing the availability of funds under relevant heads as per data provided by the current administration,” reads the report

The report stated that Mst. Razia Saadi, owner of M/S Climax Traders, is the wife of Dr Abid Hussain, the then AMS Purchase during the observation and later on he was also entrusted the additional charge of medical superintendent of the hospital.

“Maintenance, procurement & repair/construction work executed and made so during the financial years 2019-20 and 2020-21 was unlawful/unauthorised. The conflict of interest exists in case of awards to M/s Climax Traders and all the awards made to the firm are result of undue favoritism”, says the report.

The inquiry officer, Tausief Fatima, said the charges had been proven and she recommended major penalties against Dr Hussain and other responsible officials. She proposed recovery ofRs135,463,284, forfeiture of five years of past service, and additional inquiries against the medical superintendent during the relevant period.

Later, an additional secretary (admin) of the health department provided an opportunity of hearing to the guilty officer and then endorsed the above-mentioned penalties besides proposing another major punishment of removal from service.

An official of the health department said that the de novo inquiry proceeding has been initiated against Dr Abid Hussain following the directions of the Punjab Services Tribunal.

Published in Dawn, September 24th, 2025

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