Peshawar — The National Accountability Bureau (NAB) has revealed alarming irregularities in the auction and operations of placer gold mining along the Indus and Kabul rivers in Khyber Pakhtunkhwa (KP), suggesting the province has incurred losses amounting to trillions of rupees.The News InternationalProPakistani
Key Findings:
Artificially low auction reserves: NAB alleges the minimum price for gold mining blocks was deliberately undervalued to favour specific bidders.The News InternationalProPakistani
Abusive subletting of mining rights: Leaseholders are reportedly subletting operations and charging Rs 500,000 to Rs 700,000 per excavator per week. With over 1,500 excavators active, weekly revenue is estimated at Rs 750 million to Rs 1.05 billion, while the government gains only a token payment.The News InternationalProPakistani
Suppressed reserve studies: A crucial 2015 geological survey (indicating gold reserves of 0.21–44.15 grams per ton) was ignored, and a 2022 resource mapping project was abruptly halted in November 2023—pointing to deliberate cover-up.
Violations in auction rules and oversight:
Contracts were issued despite delays and even after a PHC stay order, violating KP Auction Rules and procedural timelines.
Environmental and operational regulations were flagrantly broken—no environmental assessments, NOCs, or proper processing infrastructure; mercury was used recklessly, and records of production and sales were not maintained.
Government Response:
CM Ali Amin Gandapur defended the auctions, noting that the minimum prices set (Rs 1.1 billion per block) and auction revenue (totaling Rs 4.6 billion for four blocks over ten years) represented an improvement over the previous two decades.
However, NAB’s findings indicate systemic mismanagement and the need for greater oversight and transparency.
