ISLAMABAD , April 18, 2023: The State Bank (SBP) and Ministry of Finance will submit their reports on release of funds by the government for elections in Punjab and Khyber Pakhtunkhwa in the Supreme Court on Tuesday (today).
The second deadline for releasing funds to the Election Commission (ECP) on the Supreme Court orders passed on Monday.
The National Assembly flouted the Supreme Court order and refused a summary for supplementary grant tabled for release of funds for the second time yesterday.
A three-member bench, comprising Chief Justice of Pakistan (CJP) Umar Ata Bandial, Justice Ijazul Ahsan and Justice Munib Akhtar, had directed the government on April 4 to provide Rs21 billion to the ECP for elections by April 10 and instructed the ECP to submit a report in this regard on April 11.
However, the government referred the matter to parliament which refused to comply with court order.
The apex court summoned finance secretary, SBP governor, Attorney General for Pakistan (AGP) Mansoor Awan and the ECP on April 14. It directed the SBP to submit the record and details of all monies whatsoever of the federal government lying with or under the control, custody or management of the bank.
After the in-chamber hearing, the court ordered the SBP to release funds from the FCF for elections by April 17.
NA Finance Committee meeting
Earlier, National Assembly’s Standing Committee on Finance held a meeting on Monday and sent the summary, presented by federal law minister Azam Nazir Tarar before the NA, to the federal cabinet which, in turn, sent it back to the parliament.
This was announced by Minister of State for Finance and Revenue Dr Aisha Ghaus-Pasha after the meeting of the Standing Committee on Finance. She said neither the SBP nor the Finance Divison had the authority to allocate funds from the Federal Consolidated Fund.
She said the allocation of funds required approval from parliament. “Without the approval of parliament, no bill or budget has any legal authenticity.”
“Hence, we leave the matter up to parliament now. Parliament is supreme for us because this is what is written in the constitution.”
Regarding Monday’s meeting, she explained that the SBP could only allocate the money but could not release it.
The Finance Division can only act on the orders of the federal cabinet. It is up to the cabinet to take the matter to parliament … if parliament approves, the funds will be disbursed today, she added.