Why Tariq Bajwa was removed as SBP governor?

ISLAMABAD: The reasons behind the removal of the former governor of the State Bank of Pakistan (SBP), Tariq Bajwa, came forth as the high-up was found involved in the number of irregularities by the federal government, sources told ARY News on Sunday.

Sources said that Tariq Bajwa was removed from the key position of SBP governorship for causing interruption into the implementation of government orders and leakage of sensitive information.

Bajwa has neglected instructions given by the Prime Minister Imran Khan on economic matters many times as he rejected to release vouchers to businesspersons for the payment of dues.

It is pertinent to mention here that the federal cabinet, in a meeting, approved to release Rs400 billion vouchers to the businesspersons for clearance of unpaid payments.

Sources said that the former SBP governor was also involved in leaking sensitive information, which was apparently pointed by Pakistan Muslim League Nawaz (PML-N) leader Marvi Memon in her tweet on May 3.

Following Bajwa’s resignation, Memon had tweeted that she hoped for a stop in leakage of reports to London.

The former SBP governor was called as very close to the former finance minister Ishaq Dar, whereas, he was also named for playing his part in the devaluation of Pakistani rupee without informing the federal government regarding the development.

PM Khan had earlier told journalists that the increase in the US dollar’s value came into his knowledge through the television reports.

Moreover, Bajwa had jacked up the interest rate on the day of issuance of Pakistan Banau certificates, which also brought the anger of many ministers and PM Khan, sources said.

The high-up had sent a summary based on the wrong fact and figures to the Parliament in 2013 which showed the existence of $200 billion in Swiss bank accounts belonging to Pakistanis.

The situation had turned suspicious when he suspended his visit to Switzerland with his team to investigate bank account details there during 2014’s sit-in, sources said.

It is noteworthy to mention here that the then chairman of the Federal Board of Revenue (FBR) had been appointed as head of the team constituted to bring details of Swiss bank accounts. However, Bajwa had sent a junior officer to Switzerland.

In 2014, Swiss Bank officials had expressed consent to providing complete details of bank accounts belonging to Pakistanis.

The change of plan raised many questions against Tariq Bajwa for avoiding Switzerland’s visit which he had blamed for complications created by Swiss Bank officials. After signing an agreement by the FBR’s junior officer, Bajwa had written a letter to Ishaq Dar that told him for unfeasibility of an accord with the Swiss Bank, sources revealed.

The alleged nexus of Tariq Bajwa and Ishaq Dar had pushed the investigation into the suspicious Swiss Bank accounts into the delay. A show cause notice had been sent to the head of probe team, Ashfaq Ahmed Khan, that visited Switzerland which questioned him for his authority to leave for Switzerland. Moreover, the probe team head had also faced an inquiry despite being sent by Bajwa, it was revealed.

On May 3, the federal government had removed the Federal Board of Revenue (FBR) Chairman Dr Jahanzeb Khan from his post whereas the Governor State Bank of Pakistan (SBP) Tariq Bajwa tendered his resignation on Friday night.

Sources say the fragile economic condition triggered the latest development.

It was learnt that Prime Minister Imran Khan was unhappy with the Governor State Bank due to continuous devaluation of rupee, and with Chairman FBR due to a stall in reforms process in the revenue board.

Sources privy to the matter told ARY News that the prime minister had also asked then finance minister Asad Umar to remove both the officials, but due to the minister’s own resignation, the matter got delayed.