Pakistan auctions 102 luxury vehicles of Prime Minister House under austerity drive

People visit an auction of government owned used cars at the premises of Prime Minister House in Islamabad, Pakistan, on September 17, 2018. (REUTERS/Faisal Mahmood)
Updated 17 September 2018
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Pakistan auctions 102 luxury vehicles of Prime Minister House under austerity drive

  • Luxury vehicles including BMWs, Mercedes, Land Cruisers go under the hammer
  • The auction of the cars is a message to the bureaucracy from the government that austerity is the only way out of chronic economic ills, experts say.

KARACHI: Pakistan has put under the hammer 102 luxury vehicles, including seven bullet-proof cars used by the Prime Minister House on Monday. 

Prime Minister Imran Khan had announced the auctioning of the luxury vehicles as part of his austerity drive of jettisoning extra financial burden on the national exchequer. 

The vehicles included eight BMWs, 28 Mercedes cars, 40 Toyotas, five Mitsubishis, two Land Cruisers, and two jeeps. The models of the vehicles ranged from 1994 to 2016.

The public response was overwhelming: Within the first few hours of the auction some 10 vehicles had sold, given the government’s condition that the successful bidder would have to submit all taxes while 10 percent of the price and remaining payments would be made within seven days.

“So far 70 vehicles have been auctioned at higher prices,” Information Minister Fawad Chaudhry announced at a news conference Monday evening. The process will continue till late night.

During the auction, four bullet-proof Mercedes jeeps were auctioned for the prices ranging between PKR9.38 million ($75,779), and PKR14.5 million. “Some vehicles could not be auctioned yet due to high duty and taxes levied on them. However, duties and taxes of such vehicles will be reviewed,” said Major Asif, administrator of the PM House.

“Though the auction of these vehicles is not the only solution to the country’s economic problems, it is the first step as this is expected to be followed by many similar gestures,” the senior economist Professor Dr. Athar Ahmed told Arab News.




A man writes down the details of a government-owned car on sale during an auction at the premises of Prime Minister's House in Islamabad. (REUTERS)

Ahmed believes that the auction of the luxury vehicles is a message to the bureaucracy and the future government that the austerity is the only way out of chronic economic ills. “We understand that this move is just the act of transfer of assets but it leaves a strong message,” he added.

Pakistan, which depends on foreign assistance and loans to a large extent, is known for its officials’ high expenditures and ruthless use of state machinery for their own good. The presence of luxury vehicles is the prime example. “When we seek loans from other countries and invite them to our palaces, their impressions are always adverse,” said Abdul Qadir Memon, senior lawyer and president of the Pakistan Tax Bar Association.

As the government is pushing hard to rely less on foreign aid, the stakeholders call for legal action against the misuse of public money. “The government should take a bold step by banning the imports of luxury items, including super luxury vehicles,” Ahmed said.

Memon said: “The government can only stop imports of luxury goods, including vehicles, by making legislation through parliament so that the Prime Minister House, Chief Minister Houses and governor houses could become a real sign of austerity in the future. The future governments would require a two-thirds majority to alter the law in their favor which seems a daunting task.”

However, Professor Hasan Askari, senior political analyst and former caretaker chief minister of Punjab, holds the political leadership responsible for the extravagance and calls for accountability from the very top. “The leaderships determine if they like glamor or simplicity. There are rules that define the entitlement of vehicles for bureaucracy but they maneuver to get extra benefits.”

Askari added: “The biggest problem in Pakistan is the obliteration of distinction between the public and private domains as people want to improve their lives at he state’s expense. For example, sending the child to school is a private matter but people use government vehicles to pick up and drop their children at schools. This distinction was very much exercised till the 1960s and early 1970s in Pakistan.”

The austerity move of Prime Minister Imran Khan’s government aims to reduce dependency on foreign loans and financial assistance. The country immediately needs up to $9 billion to meet its international payment obligations and stabilize its balance of payments sheet. 


Several airlines cancel flights to Russia after Azerbaijan Airlines crash

Updated 4 sec ago
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Several airlines cancel flights to Russia after Azerbaijan Airlines crash

  • Turkmenistan Airlines was the latest airline to announce cancelations Saturday
  • Kazakhstan’s Qazaq Air has suspended its flights to Yekaterinburg until the end of January
MOSCOW: Several airlines have announced the suspension of flights to Russian cities, after Western experts and the US suggested the crash of the Azerbaijan Airlines this week may have been caused by a Russian anti-aircraft missile.
Moscow has declined to comment on reports the plane could have been accidentally shot down by its air defense.
Russia has said that Grozny, the Chechen capital where the plane was meant to land, was being attacked by Ukrainian drones that day.
It crashed near the Kazakh city of Aktau Wednesday, killing 38 of the 67 people on board.
Turkmenistan Airlines — the national carrier of the reclusive Central Asian state — was the latest airline to announce cancelations Saturday.
It said that “regular flights between Ashgabat-Moscow-Ashgabat were canceled from 30/12/2024 to 31/01/2025,” without giving an explanation.
The decision came after UAE airline flydubai suspended flights between Dubai and the southern Russian cities of Mineralnye Vody and Sochi that were scheduled between December 27 and January 3.
Kazakhstan’s Qazaq Air has suspended its flights to Russia’s Urals city of Yekaterinburg until the end of January.
Earlier this week, Israeli airline El Al said it was suspending its flights to Moscow for a week.
The Azerbaijan Airlines Embraer 190 crashed near the western Kazakh city of Aktau, on the shores of the Caspian Sea.
It was carrying out a flight between Azerbaijan’s capital Baku and the city of Grozny in Russia.
For several days, some Western experts have been pointing to a crash caused by a Russian anti-aircraft missile.
Citing preliminary results of an investigation, Azerbaijan’s transport minister said Friday that the crash suffered physical “external interference.”
Statements from Azerbaijan citing the investigation into the incident suggest Baku believes the plane was hit mid-air.
On Friday, White House spokesman John Kirby said Washington has “indications” Russia may have been responsible, without giving details.

Cyber attack on Italy's Foreign Ministry, airports claimed by pro-Russian hacker group

Updated 26 min 40 sec ago
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Cyber attack on Italy's Foreign Ministry, airports claimed by pro-Russian hacker group

  • The pro-Russian hacker group Noname057(16) claimed the cyberattack on Telegram

MILAN: Hackers targeted around ten official websites in Italy on Saturday, including the websites of the Foreign Ministry and Milan’s two airports, putting them out of action temporarily, the country’s cybersecurity agency said.
The pro-Russian hacker group Noname057(16) claimed the cyberattack on Telegram, saying Italy’s “Russophobes get a well deserved cyber response.”
A spokesperson for Italy’s cybersecurity agency said it was plausible that the so-called “Distributed Denial of Service” (DDoS) attack could be linked to the pro-Russian group.
In such attacks, hackers attempt to flood a network with unusually high volumes of data traffic in order to paralyze it.
The spokesperson said the agency provided quick assistance to the institutions and firms targeted and that the attack’s impact was “mitigated” in less than two hours.
The cyberattack has not caused any disruptions to flights at Milan’s Linate and Malpensa airports, a spokesperson for SEA, the company which manages them, said.
While the websites were inaccessible, the airports’ mobile apps continued to function, the SEA spokesperson added.


Finland moves tanker suspected of undersea cable damage closer to port

Updated 43 min 28 sec ago
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Finland moves tanker suspected of undersea cable damage closer to port

  • BBaltic Sea nations have been on high alert after a string of outages of power cables, telecom links and gas pipelines since Russia invaded Ukraine in 2022

OSLO: Finnish authorities said on Saturday they are moving an impounded tanker closer to port after boarding the vessel carrying Russian oil earlier this week on suspicion it had damaged an undersea power line and four telecoms cables.
Baltic Sea nations have been on high alert after a string of outages of power cables, telecom links and gas pipelines since Russia invaded Ukraine in 2022, and NATO said on Friday it would boost its presence in the region.
The Cook Islands-registered ship, named by authorities as the Eagle S, was boarded on Thursday by a Finnish coast guard crew that took command and sailed the vessel to Finnish waters, a coast guard official said.
Finnish police believe the Eagle S may have caused the damage to undersea cables the previous day by dragging its anchor along the seabed.
“The police begin an operation to transfer the Eagle S tanker from the Gulf of Finland to Svartbeck, an inner anchorage near the port of Kilpilahti,” the Helsinki police department said in a statement on Saturday.
This would be a better place to carry out investigations, it added.
Finland’s customs service believes the ship is part of a “shadow fleet” of aging tankers being used to evade sanctions on the sale of Russian oil.
The Kremlin said on Friday Finland’s seizure of the ship was of little concern to it. In the past, Russia has denied involvement in any of the Baltic infrastructure incidents.


France asks Indonesia to transfer national on death row

Updated 28 December 2024
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France asks Indonesia to transfer national on death row

  • Indonesia has in recent weeks released half a dozen high-profile detainees
  • French diplomats have acknowledged that talks were underway for the transfer of Serge Atlaoui

JAKARTA: France has sent Indonesia an official request for the transfer of a French death row inmate who has spent nearly 20 years in prison, an Indonesian minister said on Saturday.
Indonesia has in recent weeks released half a dozen high-profile detainees, including a Filipino mum on death row and the last five members of the so-called “Bali Nine” drug ring.
French diplomats have acknowledged that talks were underway for the transfer of Serge Atlaoui, a 61-year-old Frenchman arrested in 2005 at a drugs factory outside the capital Jakarta.
The Indonesian government has now confirmed it received the official transfer request, which will be discussed in early January.
“We have received a formal letter requesting the transfer of Serge Atlaoui,” senior law and human rights minister Yusril Ihza Mahendra said.
The French embassy in Jakarta declined AFP’s request for comment.
Father-of-four Atlaoui has maintained his innocence, claiming that he was installing machinery in what he thought was an acrylics plant.
He was initially sentenced to life in prison, but the Supreme Court in 2007 increased the sentence to death on appeal.
Atlaoui was held on the island of Nusakambangan in Central Java, known as Indonesia’s “Alcatraz,” following the death sentence, but he was transferred to the city of Tangerang, west of Jakarta, in 2015 ahead of his appeal.
That year, he was due to be executed alongside eight other drug offenders but won a temporary reprieve after Paris stepped up pressure, with Indonesian authorities agreeing to let an outstanding appeal run its course.
In the appeal, Atlaoui’s lawyers argued that then-president Joko Widodo did not properly consider his case as he rejected Atlaoui’s plea for clemency — typically a death row convict’s last chance to avoid the firing squad.
The court, however, upheld its previous decision that it did not have the jurisdiction to hear a challenge over the clemency plea.
Atlaoui’s lawyer, Richard Sedillot, said last month that there was still “considerable hope” for a transfer.
Together Against the Death Penalty (ECPM) said the official request is the “penultimate step in a long fight” for those at the Paris-based organization who have campaigned for years to prevent Atlaoui’s execution.
“We are now waiting for this transfer to become a reality,” ECPM director Raphael Chenuil-Hazan said.
Earlier this month, Filipino inmate Mary Jane Veloso tearfully reunited with her family after nearly 15 years on Indonesia’s death row. She was transferred to a women’s prison in Manila where she awaits a hoped-for pardon for her drugs conviction.
Indonesia has some of the world’s toughest drug laws and has executed foreigners in the past.
At least 530 people were on death row in the Southeast Asian nation, mostly for drug-related crimes, according to data from rights group KontraS, citing official figures.
According to Indonesia’s Immigration and Corrections Ministry, more than 90 foreigners were on death row, all on drug charges, as of early November.
Despite ongoing negotiations for prisoner transfers, the Indonesian government recently signaled that it would resume executions — on hiatus since 2016 — of drug convicts on death row.


India’s former PM Manmohan Singh cremated with state honors

Updated 21 min ago
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India’s former PM Manmohan Singh cremated with state honors

  • Singh’s body, draped in Indian flag, was carried through the capital on a flower-decked carriage pulled by a ceremonial army truck
  • Modi, who called Singh one of the nation’s ‘most distinguished leaders,’ attended the funeral, along with President Droupadi Murmu

NEW DELHI: The body of Manmohan Singh, the former Indian prime minister whose death has spark outpourings of grief at home and accolades from abroad, was cremated on Sunday on the banks of the Yamuna River in New Delhi with full state honors.
The funeral was conducted in the Sikh tradition as priests chanted hymns, after Singh’s body, draped in the Indian flag, was carried through the capital on a flower-decked carriage pulled by a ceremonial army truck.

Officers lead the coffin of India’s late former Prime Minister Manmohan Singh, for a state funeral ceremony in New Delhi, India, on December 28, 2024. (AFP)

The flag was removed and the body covered with a saffron cloth before it was placed on the pyre.
Since Singh died on Thursday at 92, many have taken up his comment near the end of his 10-year rule that “history will be kinder to me than the contemporary media.”
He was referring to a perception of weak leadership as he headed a coalition government facing numerous charges of corruption, which was thrown out of office in the 2014 election won by his successor Narendra Modi.
Modi, who called Singh one of the nation’s “most distinguished leaders” after his death, attended the funeral, along with President Droupadi Murmu and representatives of various countries. Modi’s government has decided to allocate land for Singh’s memorial.

In this handout photograph taken and released by the Indian Press Information Bureau (PIB) on December 28, 2024, India’s President Droupadi Murmu (front, 2L) pays her last respects to the late former Prime Minister Manmohan Singh, as Bhutan’s King Jigme Khesar Namgyel Wangchuck (5R), India’s Prime Minister Narendra Modi (6R) and other leaders stand during the state funeral ceremony in New Delhi, India. (Photo Courtesy: Indian Press Information Bureau/AFP)

Singh, considered the architect of India’s economic liberalization, had criticized Modi’s economic policies such as demonetization and introducing a goods and services tax.
Singh is survived by his wife and three daughters.

Rahul Gandhi (2R), a senior leader of India’s main opposition Congress party, accompanies the family of Manmoohan Singh on ceremonial army truck to the Nigambodh Ghat cremation site after funeral procession in New Delhi, India, on December 28, 2024. (REUTERS)

Congress Leader Rahul Gandhi accompanied Singh’s family on the truck to the Nigambodh Ghat cremation site after the procession from party headquarters in New Delhi, where people joined Congress party leaders and members to pay their last respects.
The leaders of the US, Canada, France, Sri Lanka, China and Pakistan were among those expressing grief at Singh’s death and highlighting his international contributions.