ISLAMABAD: The Federal Board of Revenue (FBR) has suspended the purchase of over 1,000 new vehicles for its officers, following the directive of the Senate Standing Committee on Finance. The decision to halt the purchase comes after the committee expressed concerns and called on the Public Procurement Regulatory Authority (PPRA) to clarify the rules governing such purchases.
The FBR had initially planned to acquire 1,200cc vehicles for its officers, despite facing a significant revenue shortfall. This decision, announced on January 13, 2025, was met with criticism. The board intended to pay Rs. 3 billion upfront for the vehicles, with the remaining amount to be paid in installments. The vehicles were supposed to be delivered between January and May 2025, with varying monthly deliveries. However, the purchase has now been put on hold indefinitely until the finance committee is satisfied with the justification and processes involved.
Senator Faisal Vawda criticized the FBR's decision, arguing that the purchase was unjustified given the agency’s failure to meet its revenue target of Rs. 384 billion, resulting in a significant shortfall. He pointed out that officials were already misusing cars, including removing official stickers and using them for personal purposes. Vawda suggested that, instead of acquiring higher-end 1,200cc vehicles, the FBR should consider more economical options like 600cc cars.
Vawda also referred to the controversial case involving £190 million, which had led to legal consequences, warning that the purchase of these vehicles might lead to similar outcomes. His remarks raised questions about the FBR’s spending priorities amid the ongoing revenue shortfall.
