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October 4, 2024

The Hidden Strategy of Pakistan Army: Unveiling the Misuse of Defence Funds

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By: Lt Col JS Sodhi (Retd), Editor, GSDN

Pakistan Army and money: source Internet

For years, the Pakistan Army has ventured far beyond its primary role of national defence, entrenching itself in sectors that have little to do with its core responsibilities. One glaring example is its involvement in the Special Investment Facilitation Council (SIFC), where the military secured nearly five million acres of land across provinces for corporate farming under the Green Pakistan initiative. These army-owned companies now control massive swaths of fertile land, leaving little room for civilian entrepreneurs and small farmers. The military’s penchant for expanding its influence, especially when it comes to financial gains, knows no bounds.

Time and again, the establishment seizes any opportunity to secure more funds under the banner of national security. One such instance is the recent PKR 60 billion ‘Special Allotment’ for the floundering counterterrorism operation ‘Azm-e-Istehkam’, aimed at combating groups like the Tehreek-e-Taliban Pakistan (TTP), Balochistan Liberation Army (BLA) and Balochistan Liberation Front (BLF). Far from achieving its objectives, the operation has been a spectacular failure, with the recent Balochistan attack laying bare its ineffectiveness and tarnishing the government’s reputation.

In the fiscal year 2022-23, Pakistan’s defence services were allocated a staggering PKR 1,563 billion, later revised to PKR 1,592 billion. Despite this colossal sum, the military boasted of saving PKR 379.848 million, as proudly announced by Lt Gen Ahmed Sharif during a recent DG ISPR press conference. What truly stood out in this conference was the army’s suggestion that other institutions should follow its lead in “serving the nation.” But one must ask: Is this really the path to follow? A path marred by the misuse of defence funds, secret land grabs and a disturbing history of corruption?

A recent audit of the Pakistan Army’s finances for 2023-24 has exposed yet another instance of public funds being misused under the guise of national security. The report reveals a troubling pattern of financial irregularities, including unauthorized transactions, extravagant spending and manipulation of documents to siphon off taxpayer money. Procurement irregularities alone amounted to a staggering PKR 2,845.310 million with PKR 2,429.073 million spent beyond authorized limits. High-priced contractors were hired over lower bidders without justification, causing substantial losses to the state.

Additionally, PKR 1,506 million from the Al-Mizan fund, intended for operational areas, was diverted to non-operational regions a clear violation of financial regulations. Military land meant for defence purposes was used for unauthorized commercial projects, with profits pocketed while rent remained unpaid to the government.

The audit also uncovered luxurious perks enjoyed by the military elite, including officers living in high-end apartments while still receiving house rent allowances, costing PKR 41.813 million in unauthorized payments. Meanwhile, contracts for items like “Bhoosa” (fodder) were awarded repeatedly to the same contractor, further fuelling personal extravagances.

Despite detailed evidence of these fraudulent activities, accountability remains elusive. While the military thrives in luxury funded by public money, Pakistan’s economy continues to suffer, weighed down by debt and a struggling population.

Who will dare to forget the Dubai based military mighty properties revealed by ‘Dubai Leaks’. This revealed that several high-ranking military officers had acquired properties abroad, including luxury real estate in Dubai. These revelations have further fuelled suspicions that military officials are enriching themselves at the expense of the state. This exposed the financial impropriety of military officials who had amassed vast wealth far beyond their official earnings. These revelations not only raised questions about the source of these funds but also about the military’s role in facilitating corruption. For a military that presents itself as the custodian of national security, the sight of its officers accumulating foreign assets raises serious concerns about priorities.

The military’s involvement in large-scale corruption is not confined to a few individuals. Over the years, numerous reports have surfaced about military officials engaged in illicit activities, from embezzling public funds to manipulating contracts for personal gains like former Pakistan Army chief General Qamar Javed Bajwa. These “military millionaires” have built fortunes through corrupt practices, often exploiting their positions of power and influence. The lack of transparency in military affairs has only compounded the problem, with whistleblowers silenced and investigations into corruption either stifled or derailed.

Recent press conference once again echoed one of the most high-profile cases i.e. the court martial of General Faiz Hameed, former head of Pakistan’s intelligence agency, the Inter-Services Intelligence. Hameed, once a rising star in the military establishment, was charged with pursuing political agendas during his tenure as ISI chief. His downfall underscores the dangerous intersection of military power and political influence in Pakistan. He was accused of manipulating political outcomes, aligning himself with certain political factions, and using his position to shape the political landscape in Pakistan. His actions reflected the broader problem of military interference in civilian governance, a trend that has plagued the country for decades. Hameed’s court martial, while a step toward accountability, is only a small piece of a much larger puzzle.

The allegations against Hameed also highlight the military’s role in undermining democratic institutions in Pakistan. His involvement in political manoeuvring, particularly in the context of the Faizabad sit-in done by TLP party and other significant political events, demonstrates the extent to which the military seeks to control the political narrative in the country. While Hameed may have been singled out, his actions are emblematic of a military establishment that routinely interferes in civilian matters to maintain its grip on power.

In light of these issues, the suggestion that other sectors follow the military’s example appears misguided at best. Instead of copying an institution riddled with financial scandals and political meddling, Pakistan’s other institutions should prioritize transparency, accountability, and the public good—values that seem glaringly absent from the military’s current approach.

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