According to a letter that is also sent to the NAB chief, TIP said that it received a complaint that HBL was awarded a 20-year contract for the digitisation of financial services with an investment portfolio of Rs 118 billion without any prior bidding.
As per the contract, "The bank will provide investment in form of technology, infrastructure and capacity enhancement to the Pakistan Post Office Department, with the objective of enabling technology-based and regulatory compliant digital, financial services in far-flung areas of Pakistan and to help propel Pakistan Post into ta modern logistic company in the long run."
The letter said: "HBL will assist to distribute pension of the federal government by the Pakistan Post Office Department through HBL Konnect, the bank’s branchless banking platform which is about Rs 465 billion annually. If ten days pension circulates through HBL, at a 6 percent profit rate, it will get an annual income to HBL of about Rs116 million which will be about Rs2 billion in 20 years contract period."
The evaluation report required under Rule 35 and contract document under Rule No-47 are also not posted on the PPRA website, it said, adding that as soon as a contract has been awarded the procuring agency shall make all documents related to the evaluation of the bid and award of contract public.
If these allegations are proved to be correct action may be taken to cancel the contract and public tenders may be invited under PPRA rules to allow all banks to participate in the bidding process.