Pakistan’s ex-finance minister held over $16bn Qatar gas deal

Pakistan's former finance minister Miftah Ismail speaks with Reuters in Islamabad. (Reuters/File)
Updated 08 August 2019
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Pakistan’s ex-finance minister held over $16bn Qatar gas deal

  • Ismail is also being investigated for allegedly granting a 15-year contract for an LNG terminal in Karachi to a “favored” company

ISLAMABAD: Pakistan’s former Finance Minister Miftah Ismail was arrested on Wednesday following investigations by the country’s anti-corruption watchdog into a multibillion-dollar liquefied natural gas (LNG) import contract with Qatar.

Ismail was as an adviser to former Prime Minister Nawaz Sharif in 2017 and was later appointed federal minister for finance for a month. He is considered to be a close aide of Shahid Khaqan Abbasi, the opposition Pakistan Muslim League-Nawaz (PML-N) vice president and former premier who finalized the $16 billion deal with Qatar during his time as petroleum minister.

The deal with Qatar was agreed in 2015 for a period of 15 years.

Abbasi is already held by the National Accountability Bureau (NAB) in connection with the LNG case, which the anti-corruption agency claims caused a loss of $2 billion to the Pakistan treasury.

“My client is innocent as there is no evidence of corruption or embezzlement in the LNG deal against him,” Haider Waheed, the lawyer representing Ismail, told Arab News after his client’s pre-arrest bail was rejected.

Waheed accused the NAB of “political victimization,” saying the LNG deal was finalized before Ismail took charge of his office in the PML-N government. “This is a long legal battle now and we will continue challenging the NAB’s abuse of power,” he said.

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Anti-corruption watchdog faces claims of ‘political victimization.’

Ismail is also being investigated for allegedly granting a 15-year contract for an LNG terminal in Karachi to a “favored” company. He denies the allegation.

Sheikh Imran ul-Haque, former managing director of Pakistan State Oil, was also arrested on Wednesday in the LNG case.

Pakistan, a country of 208 million people, is running out of domestic gas and has turned to LNG imports to alleviate chronic energy shortages that have hindered its economy and led to a decade of electricity blackouts. 

The country imports 500 million cubic feet per day of LNG from Qatar under a 15-year agreement at 13.37 percent of Brent crude price. Under the government-to-government agreement, the price can only be reviewed after 10 years of the contract.

In Pakistan, the NAB’s anti-corruption campaign has become a topic of fierce political debate, and its focus on Prime Minister Imran Khan’s political foes has prompted accusations of a one-sided purge. The government denies targeting political opponents.

Khan won power last year vowing to root out corruption among the country’s political elite and views the investigations into veteran opposition politicians as long overdue.

“This is the worst kind of political victimization by Imran Khan’s government,” Senator Mushahidullah Khan told Arab News. “This government is trying to hide its inefficiency and incompetence by jailing opposition leaders who have served this country with dignity.”

Khan rejected allegations of corruption and kickbacks in the LNG deal, saying that gas imports had helped the country revive a crumbling industry and create millions of jobs.

“Instead of thanking us for ending hours-long blackouts, the government is putting our leaders in jail for nothing,” he said.


Pakistan killed over 80 militants in strikes on TTP camps in Afghanistan — official

Updated 59 min ago
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Pakistan killed over 80 militants in strikes on TTP camps in Afghanistan — official

  • Saturday’s airstrikes followed a series of attacks inside Pakistan amid a surge in militancy
  • The Afghan Taliban authorities accuse Pakistani forces of killing civilians in the airstrikes

ISLAMABAD: Pakistan’s airstrikes in Afghanistan destroyed seven Tehreek-e-Taliban Pakistan (TTP) camps and killed over 80 militants, a Pakistani security official said on Sunday, with the Afghan Taliban accusing Pakistani forces of killing civilians in the assault.

Saturday’s airstrikes followed a series of attacks inside Pakistan amid a surge in militancy. Authorities say the attacks, particularly in Khyber Pakhtunkhwa province and the Pakistani capital of Islamabad, were carried out by the TTP and allied groups that Islamabad alleges are operating from sanctuaries in Afghanistan. Kabul denies this.

According to Pakistan’s information ministry, recent incidents included a suicide bombing at a Shiite mosque in Islamabad, separate attacks in Bajaur and Bannu, and another recent incident in Bannu during the holy month of Ramadan, which started earlier this week. The government said it had “conclusive evidence” linking the attacks to militants directed by leadership based in Afghanistan.

“Last night, Pakistan’s intelligence-based air strikes destroyed seven centers of Fitna Al-Khawarij TTP in three provinces of Nangarhar, Paktika and Khost, in which more than eighty Khawarij (TTP militants) have been confirmed killed, while more are expected,” a Pakistani security official, who spoke on condition of anonymity, told Arab News.

 

 

An earlier statement from Pakistan’s information ministry said the targets included a camp of a Daesh regional affiliate, the Islamic State Khorasan Province (ISKP), which claimed a suicide bombing at an Islamabad Shiite mosque that killed 32 people this month.

In an X post, Afghan government spokesperson Zabihullah Mujahid said Pakistani forces had violated Afghan territory.

“Pakistani special military circles have once again trespassed into Afghan territory,” Mujahid said. “Last night, they bombed our civilian compatriots in Nangarhar and Paktika provinces, martyring and wounding dozens of people, including women and children.”

 The Afghan Taliban’s claims of civilian casualties could not be independently verified. Pakistan did not immediately comment on the allegation that civilians had been killed in the strikes.

In a post on X, Afghanistan’s foreign ministry said it had summoned Pakistan’s charge d’affaires to Afghanistan Ubaid-ur-Rehman Nizamani and lodged protest through a formal démarche in response to the Pakistani military strikes.

“IEA-MoFA (The Islamic Emirate of Afghanistan’s Ministry of Foreign Affairs) vehemently condemns the violation of Afghanistan’s airspace and the targeting of civilians, describing it as a flagrant breach of Afghanistan’s territorial integrity & a provocative action,” it said in a statement.

“The Pakistani side was also categorically informed that safeguarding Afghanistan’s territorial integrity is the religious responsibility of the Islamic Emirate of Afghanistan; henceforth, the responsibility for any adverse consequences of such actions will rest with the opposing side.”

Tensions between Islamabad and Kabul have escalated since the Afghan Taliban returned to power in 2021. Pakistan says cross-border militant attacks have increased since then and has accused the Taliban of failing to honor commitments under the 2020 Doha Agreement to prevent Afghan soil from being used for attacks against other countries. The Taliban deny allowing such activity and have previously rejected similar accusations.

Saturday’s exchange of accusations marks one of the most direct confrontations between the two neighbors in recent months and risks further straining already fragile ties along the volatile border.