LHC nullifies appointment of incumbent managing director of NTDC
Pakistan
LHC nullifies appointment of incumbent managing director of NTDC
LAHORE (Dunya News) – The Lahore High Court has declared the appointment of the managing director of the National Transmission and Dispatch Company (NTDC) null and void.
In the 10-page decision issued by Justice Shahid Karim, the court observed that advertisements were placed in newspapers for the position of MD of NTDC, and when the recruitment process commenced, the Public Sector Companies Rules, 2013, was in effect.
Following interviews, the NTDC board unanimously submitted the names of three candidates to the federal government. The petitioner, Khawaja Rafat Hussain, topped the list, while Rana Abdul Jabbar Khan, who was third on the list, was appointed as the managing director of NTDC, the court order noted.
It further stated that the Energy Ministry, in a summary to the cabinet, stated that the energy minister recommended Rana Abdul Jabbar's appointment. The appointment process was conducted under the Companies Act, 2017, and the Public Sector Companies Rules, 2013, while the federal government has enforced the State-Owned Enterprises Act, 2023.
The petitioner's counsel argued that this law was passed by parliament on Jan 30, 2023, and the federal government appointed the MD of NTDC on Feb 8. Contrary to the 2013 law, the appointment should have been made under the 2023 law, which states that the federal government does not have the authority to make appointments in state-owned enterprises.
The federal government and NTDC's lawyers argued that the 2023 law does not apply to this appointment. They stated that the appointment process had already begun before the enforcement of the 2023 law, and it cannot be applied retrospectively.
In its decision, the court stated that the argument of the federal government and NTDC's lawyers does not hold weight. The court declared the current MD's appointment at NTDC null and void.
