Commerce Division refers TCP Rs100 m TDR encashment case to NAB for recovery

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ISLAMABAD, May 23 (APP):Trading Corporation of Pakistan (TCP) is the principal trading organ functioning under the administrative control of Commerce Division.

It undertakes market operation of essential commodities such as wheat, pulses, urea etcetera to ensure their availability at affordable prices. Besides, the corporation invests its surplus funds with banks and government securities, a press release Thursday said.

The TCP had invested Rs100 million as Term Deposit Receipts (TDR) with Trust Investment Bank Limited (TIBL) on April 13, 2009 for a period of three months at13.25%.

On maturity of the investment, the TCP decided to encash the TDR and requested the bank for payment. However, the bank failed to make the payment.

In pursuance to the civil suit filed by the TCP in the Sindh High Court, the bank refunded an amount of Rs12.5 million.

Commerce Division has noticed that M/s TIBL had defaulted in repayment of investment of Rs100 million in 2010. Since the fund involved is owned by the federal government and is a national loss, therefore, on the recommendation of the Commerce Division Departmental Accounts Committee has referred the matter to the National Accountability Bureau (NAB) for assistance in the recovery of the outstanding amount from M/s TIBL along with the profit till date.

Commerce Division attaches highest priority to safeguarding the national interest and public monies.