Mohammad Ishaq Khan was terminated as director of supply chain at Hayatabad Medical Complex (HMC) following an “open audit” by the Anti-Corruption Establishment (ACE) into alleged irregularities in the hospital’s recent recruitment process.
The ACE audit found HMC Board of Governors (BoG) chairman Dr Noorul Iman “prima facie responsible” for allegedly abusing and misusing statutory authority, interfering in the recruitment and selection process and failing to safeguard public funds.
The report recommended criminal, departmental and other legal proceedings against Dr Iman, BoG members and other officials concerned.
However, Dr Iman rejected the audit findings, describing them as based on assumptions and hearsay and lacking concrete evidence. He said condemning anyone without giving them an opportunity to be heard was contrary to established principles of justice.
The 27-page audit report also held BoG members responsible for inadequate oversight of the board’s administrative and financial resources and failure to ensure compliance with relevant statutory and regulatory requirements.
According to the termination order, Ishaq Khan, who was serving his probationary period, was directed to immediately relinquish all administrative, financial, procurement and managerial authority at HMC and complete the required handover, clearance and exit formalities.
The ACE audit, initiated on a complaint by Mardan Medical Complex auditor Mushtaq Ahmad, said its review of available records indicated that the BoG chairman had allegedly used his authority and official position to facilitate the appointment of preferred candidates to various administrative posts at HMC in violation of the Medical Teaching Institution Act, 2015, and MTI Regulations.
The report recommended cancelling appointments, redesignations, upgrades and additional assignments found to have been made in violation of the MTI Act, regulations or prescribed recruitment procedures.
It also called for the recovery of Rs32.87 million, incurred up to July 2026, from individuals found to have benefited from or been unlawfully appointed, promoted or upgraded.
Pending a final determination, the ACE recommended measures to prevent further financial losses, including reviewing or suspending disputed salaries, enhancements, incentives, contract extensions and additional remuneration, while ensuring that essential hospital and clinical services remained unaffected.
An HMC spokesperson declined to comment on the matter.
The latest development comes amid months of controversy surrounding hiring and termination decisions at HMC, raising concerns over the implementation of the provincial PTI-led government’s flagship Medical Teaching Institutions healthcare reforms.
Last month, the BoG ordered an inquiry against the hospital director, a matter currently pending before the courts. The board subsequently suspended the director despite a court order. However, the court overturned the suspension on Aug 4 and reinstated him, while the main petition challenging the inquiry remains pending.
A separate case concerning HMC’s recruitment process, including the appointment of the now-dismissed head of the supply chain department, is also sub judice.
