Arbitration Scandal Deepens NHA Corruption Fears

Fresh controversy has erupted in Pakistan’s infrastructure sector as a questionable arbitration ruling favoring a terminated company has added a new layer to the growing NHA corruption scandal.

During an intense session of the Senate Standing Committee on Economic Affairs, it emerged that the advisor for a company previously terminated and disqualified by the NHA was inexplicably appointed as Arbitrator in a dispute against the authority—and ruled in the company’s favor.

Senator Kamran Murtaza labeled this an outright conflict of interest, while Senator Saifullah Abro warned, “NHA officials must not defend wrongdoing. The Federal Minister for Economic Affairs must intervene to prevent further damage.” The Committee demanded a detailed report on the judicial proceedings, emphasizing how this arbitration decision has jeopardized billions in public funds.

The Committee also called for the Federal Board of Revenue to examine the bank accounts of the company involved in the CAREC Tranche-III contract and the Arbitrator himself, to uncover any financial irregularities tied to this suspected NHA corruption nexus.

Additionally, the committee found that NHA failed to defend its position robustly in court, allowing the terminated contractor to shift blame onto local partners and avoid accountability. The Senators expressed outrage over how easily national interests were compromised, calling it a “managed process designed to benefit select contractors.”

With demands to suspend tenders, seize documents, and hold officials accountable, the Senate committee has intensified its probe into NHA corruption, aiming to safeguard Pakistan’s precious infrastructure funds from further exploitation.