PHC declares bureaucrats’ appointment as sanitation companies CEOs illegal

PESHAWAR, Jun 17 (APP):The Peshawar High Court has declared the provincial government’s decision to appoint civil servants as Chief Executive Officers (CEOs) of Water and Sanitation Services Companies illegal and directed authorities to complete the recruitment process in accordance with the law within three months.

A bench comprising Justice Syed Arshad Ali and Justice Babar Sattar announced the decision while hearing a writ petition filed by Engineer Muhammad Naeem Khan.

During the proceedings, the petitioner argued that Water and Sanitation Services Companies operate as public sector companies responsible for water supply, sanitation, waste management and disposal, and are regulated under the Local Government Act 2013.

Counsel for the petitioner submitted that through a notification issued on October 11, 2024, civil servants listed as respondents were appointed to CEO positions under Section 10 of the Civil Servants Act, 1973, which was contrary to the legal framework governing public sector companies.

The Additional Advocate General maintained before the court that the provincial government had the authority to appoint civil servants to these positions.

In its written judgment, the court observed that while Section 10 permits civil servants to serve in government corporations or public bodies, it does not authorize appointments through transfers without considering eligibility criteria and relevant professional experience.

The court further noted that the Civil Servants Rules 1989 and Public Sector Companies Guidelines 2015 clearly define the procedure and qualifications for such appointments and emphasized that discretionary powers must be exercised within the limits of the law.

Declaring the appointments unlawful, the court ordered that recruitment to the CEO positions be carried out strictly in accordance with the applicable legal provisions within three months.