Contract of CEO Pak-Iran Investment Company extended

Moin Khan

Islamabad: The government has given an extension in managing director Pak-Iran Investment Company Limited (PAIR) for a period of three years.

The Pak-Iran Investment Company Limited (PAIR) established in January 2007 as a Joint Venture between the Government of Pakistan through the Finance Division and the Government of Iran through the Iranian Foreign Investment Company (IFIC) shareholding basis.

Article 31 of the Memorandum and Articles of Association of PAIR provides that “the two Governments may alternately nominate the Chairman and MD/CEO and they may be removed or replaced by the respective Governments so desired.”

According to the Article, the previous MD (Mr. Hamid Eftekhar Kondelaji), from Iran, was appointed on 4th August 2017 for three (03) years. However, his visa for Pakistan expired on 24th October 2017, and he could not get a visa to return to Pakistan.

Resultantly, he had to look after the company matters while based in Iran. Because of the company’s difficulties in obtaining a visa for Mr. Hamid Eftekhari Kondelaji, IFIC nominated Mr. Abbas Daneshvar Hakimi Meibodl as the new MD/CEO of PAIR till August 13, 2020.

On July 9, 2019, the Finance Division ratified and approved his nomination as new MD/CEO, PAIR. However, he joined as the new MD/CEO on March 1, 2020. The State Bank of Pakistan cleared him under the Fit & Proper Test for a period of about five months.

Hassan Abghari, Managing Director, Iranian Foreign Investment Company (IFIC), requested to extend Haklmi Meibodi for three years. His current term will end on August 3, 2020. However, the current term of 5 months was too short of contributing to the development of an organization effectively.

It was pointed out that, Pakistan Government appointed two CEOs, i.e., Syed Iqbal Ashraf, for the period 2011-14 & Mr. Nadeem Karamat for 2014-17 for two consecutive terms of 3 years each. Hence there is precedence for a consecutive term of six years as Managing Director of PAIR. The Govt of Pakistan nominate such positions.

The Chairman of the PAIR board of directors will be the nominee of Pakistan’s government till the time MD from Iran continues on his post.

Finance Division had sought the Cabinet’s approval to extend the MD/CEO PAIR employment agreement with Mr. Abbas Daneshvar Hakimi Melbodi for another three (03) years w.e.f. 4 August 2020. The cabinet approved the proposal of extension in service.