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Govt appoints key accused in billion-dollar wheat scandal as secretary Board of Investment

ISLAMABAD/KARACHI: In a move that has raised serious concerns over governance and accountability, the federal government has appointed Capt (R) Muhammad Mehmood as Secretary of the Board of Investment (BoI), despite his central role in Pakistan’s multi-billion-rupee wheat import scandal, a crisis that reportedly cost the national exchequer over $1 billion and inflicted losses exceeding Rs 300 billion on the farming community.

According to reports Mehmood had been removed as MD, Nandipur Power Project by former premier, Mian Nawaz Sharif on financial irregularities, Commissioner Rawalpindi by former premier Imran Khan in Rawalpindi ring road corruption scam, Secretary Petroleum, & MoNFS&R by caretaker government on corruption and visiting Dubai on self-issued ex-Pakistan NOCs and lastly as Secretary IT division by the premier, Mian Shehbaz Sharif on July 23, 2024 amid serious allegations of corruption and favoritism towards certain Long Distance International (LDI) companies, concerning the writing off their default payments, amounting to approximately Rs 76 billion.

The appointment, quietly approved on Thursday, comes less than a year after the wheat import debacle that exposed glaring failures in government policy and despite surfacing name of Capt. Retd. Muhammad Mehmood as the key figure in the excess wheat import scandal during enquiry conducted by former Secretary Commerce Saleh Farooqui, though the report was held by the prime minister office allegedly due to Mehmood’s name in the report as principal accused. Interestingly, other officials are still suspended in the same case.

The Wheat Scandal: What Happened

The widespread farmer protests were emerged in April 2024 due to failure of the federal and the Punjab government to procure wheat on subsidies prices due to IMF restriction for not procuring wheat on subsidized price and linking procurement of wheat to market economy. This triggered a market glut, crashing wheat prices at the farmer level.

The federal government shifted all responsibility of excess wheat import over MoNFS&R and premier, Mian Shehbaz Sharif ordered an enquiry to pacify growing protests as well as save its political image despite the fact that caretaker federal minister, Dr. Kausar Abdullah Malik accorded permission for opening of LCs and import of 16 wheat vessel on February 23, 2024 in 4th Wheat Board Meeting and Federal Minister Finance, Muhammad Aurangzaib granted permission for import of one wheat vessel on March 26, 2025 in 5th Wheat Board meeting on behalf of Mian Shahbaz Sharif that was holding MoNFS&R additional portfolio at that time.

Inquiry Findings and Avoidance of Accountability

A first inquiry committee led by Mr. Mushtaq Ahmed, a member of the Federal Public Service Commission, called the debacle an “institutional failure” but did not name individual culprits. This is because Capt (R) Mehmood as Secretary MoNFS&R from August 2023 to January 2024 initiated the summary to caretaker federal government on October 10, 2023, recommending and advocated wheat imports through private sector removing role of Trade Corporation of Pakistan without any cap on quantity or timeline and committee members e.g., Rashid Mehmood Langrial, former secretary Power & current chairman FBR and Shakeel Ahmad Mangnejo, former special secretary commerce and present special secretary prime minister office were his personal friends. Shakeel has also played role to convince premier for this current posting.

A subsequent inquiry headed by Cabinet Secretary Kamran Ali Afzal was compromised that overlooked Capt. Retd. Muhammad Mehmood role for advocating wheat import without capping of quantity and time and incorporated names of three junior or irrelevant officials beyond mandate in the accused list malafidely— two of whom did not hold relevant positions during the critical period—in order to shield senior figures under political pressure, including ⁠Capt (R) Muhammad Mehmood, ⁠Dr. Kauser Abdullah Malik and Muhammad Aurangzeb, according to sources in the premier office.

This manipulation, on May 17, 2024, led to the suspension of five officers i.e., Capt. Retd. Muhammad Asif who was holding temporary charge as secretary M/oNFS&R, Imtiaz Ali Gopang, Wheat Food Security Commissioner-I, and three irrelevant and innocent officials, Dr. Allah Ditta Abid, holding temporary charge of Director General Department of Plant Protection, Dr. Waseem-ul- Hassan, MD, Oil Seed Board & Dr. Muhammad Sohail Shahzad, Director Technical attached in Ministry without any assignment since September 2023 which were never part of excess wheat import decisions.

Meanwhile, the senior officials — who allegedly played key roles in allowing excessive wheat imports, remain untouched, and in the case of Capt (R) Mehmood, promoted.

BoI Appointment Draws Backlash

Capt (R) Mehmood’s new posting as Secretary BoI, a position critical for attracting foreign investment — has provoked backlash from civil society, political observers, and governance watchdogs by sending wrong message. Transparency International Pakistan (TIP) termed the appointment “a brazen disregard for accountability and transparency.”

The Bigger Picture

Observers say the wheat import scandal mirrors past sugar and fertilizer scandals where blame was deflected onto lower officials while senior figures walked free. The continued suspension of junior staff without any role in excess wheat import scandal alongside the promotion of those who initiated and approved policy decisions highlights a broader culture of impunity.

With Pakistan’s food security and financial stability at stake, and farmer resentment still simmering, the federal government’s handling of this issue — and the appointment of a main accused to a prestigious post, raises pressing questions about priorities, transparency, and justice.

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