Ordinance LXXXVII of 2002 · 10 pages
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THE PAKISTAN POSTAL SERVICES MANAGEMENT BOARD
ORDINANCE, 2002
CONTENTS
1. Short title, extent and commencement
2. Definitions
3. Establishment of the Pakistan Postal Services Management Board
3A. Application of SOE Act
4. Chairman
5. Appointment and term of office of members
6. [Omitted]
7. Resignation by a member
8. [Omitted]
9. Filling of a casual vacancy
10. Meetings of the Board
11. Powers and functions of the Board
12. Secretary of the Board
13. Executive Committee
13A. Powers and functions of the Director General
14. Delegation of powers
15. Preparation of plans
Page 1 of 10
16. Postal tariffs
17. Sale of assets and services
18. Budget
19. Audit and accounts
20. Internal audit
21. Pakistan Postal Services Fund
22. Appointment of officers, employees and advisers
23. Submission of yearly reports
24. Rates of profit and bonus
25. Directives of the Federal Government
26. Power to make rules
27. Power to make regulations
28. Removal of difficulties
29. Savings
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THE PAKISTAN POSTAL SERVICES MANAGEMENT BOARD
ORDINANCE, 2002
ORDINANCE No. CXXVI OF 2002
[15th November, 2002]
AN
ORDINANCE
to provide for the establishment of the Pakistan Postal Services Management Board
WHEREAS it is expedient to provide for the establishment of the Pakistan Postal Services
Management Board and for matters connected therewith or incidental thereto;
AND WHEREAS the President is satisfied that circumstances exist which render it necessary
to take immediate action;
NOW, THEREFORE, in pursuance of the Proclamation of Emergency of the fourteenth day of
October, 1999, and the Provisional Constitution Order No.1 of 1999, read with the Provisional
Constitution (Amendment) Order No. 9 of 1999, and in exercise of all powers enabling him in that
behalf, the President of the Islamic Republic of Pakistan is pleased to make and promulgate the
following Ordinance:―
1. Short title, extent and commencement.―(1) This Ordinance may be called the Pakistan
Postal Services Management Board Ordinance, 2002.
(2) It extends to the whole of Pakistan.
(3) It shall come into force at once.
2. Definitions.―1[(1)] In this Ordinance, unless there is anything repugnant in the subject
or context,―
(a) “Auditor General” means the Auditor General of Pakistan ;
(b) “Board” means the Pakistan Postal Services Management Board established
under section 3;
(c) “Chairman” means the Chairman of the Board;
(d) “Director General” means the Director General of the Pakistan Post Office
Department;
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(e) [* * * * * * *]
(f) “Fund” means the Pakistan Postal Services Fund;
(g) “member” means a member of the Board and includes the Chairman;
(h) “Pakistan Post Office Department” means the Pakistan Post Office Department
established under the Post Office Act, 1898 (VI of 1898); 1[*]
1
Numbered and omitted by Act No. VIII of 2024, s.2.
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(i) “Secretary” means the Secretary of the Board; 1[and]
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[(j) “SOE Act” means the State-Owned Enterprises (Governance and Operations) Act,
2023 (VII of 2023).]
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[(2) The words and expressions used but not defined in this Ordinance shall have the same
meaning as assigned thereto in the SOE Act.]
3. Establishment of the Pakistan Postal Services Management Board.―(1) For the
management of the Pakistan Post Office Department, there is hereby established a board to be known
as the Pakistan Postal Services Management Board.
(2) The Board shall be a body corporate having perpetual succession and a common seal, with
power, subject to the provisions of this Ordinance, to acquire, hold and dispose of its property, both
movable and immovable, and shall by its name sue and be sued.
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[(3) The Board shall consist of following members, namely:―
S.No. Membership Status
(1) (2) (3)
(a) a suitable person to be appointed by the Federal Chairman
Government from among the independent members
(b) Director General or Chief Executive Officer of Pakistan Member
Post Office Department ex-officio
(c) a Joint Secretary or equivalent of the division to which Member
business of finance of the Federal Government stands ex-officio
allocated
(d) a Joint Secretary or equivalent of the division to which Member
business of the Pakistan Post Office Department stands ex-officio
allocated
(e) two senior technical officers of Postal Group not below Member
the BPS-21 or equivalent ex-officio
(f) six suitable persons of eminence and known integrity to Members
be appointed by the Federal Government (independent)]
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[3A. Application of SOE Act.—Notwithstanding anything contained in this Ordinance, the
SOE Act, including sections 12, 15 and 22 thereof, shall apply to the provisions of this Ordinance and
in case of any inconsistency between the provisions of this Ordinance and the SOE Act, the provisions
of the SOE Act shall prevail.]
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[4. Chairman.―(1) Subject to the provisions of this Ordinance, the rules and regulations
made thereunder, the Chairman shall be appointed by the Federal Government from amongst the
independent members of the Board.]
(2) 1[* * * * * * *]
1
Added, subs., ins. and omitted by Act No. VIII of 2024, ss. 2-4.
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[5. Appointment and term of office of members.―(1) A member other than an ex-officio
member shall be appointed by the Federal Government in accordance with the provisions of the SOE
Act and shall be entitled to such perks and privileges as the Board may determine.
(2) A member other than an ex-officio member may be removed from office in accordance
with the provisions of the SOE Act.]
6. 1[Omitted].
7. Resignation by a member.__ A member, other than an ex-officio member may, by giving in
writing to the Federal Government a notice of not less than sixty days, resign his office:
Provided that his resignation shall not take effect until accepted by the Federal Government.
8. 1[Omitted].
9. Filling of a casual vacancy.__ A causal vacancy in the office of a member shall be filled by
the appointment of another member for the remaining term of office of his predecessor.
10. Meetings of the Board.―(1) The Board shall meet at least once during a quarter.
(2) The meetings of the Board shall be held at such time and at such places as the Chairman
may determine.
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[(3) Not less than fifty percent of total membership of the Board including not less than three
independent and one ex-officio members shall constitute quorum for a meeting of the Board.]
(4) The Chairman and, in his absence, a member authorised by him in this behalf, shall preside
at the meetings of the Board.
(5) Each member shall have one vote and, in the event of an equality of votes, the Chairman
shall have a casting vote.
(6) No act or proceedings of the Board shall be invalid merely on the ground of the existence
of any vacancy in, or any defect in the constitution of the Board.
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[11. Powers and functions of the Board.―(1) Subject to the provisions of this Ordinance,
the Board shall have complete independence and autonomy to discharge its functions in accordance
with the provisions of the SOE Act:
Provided that the following powers shall vest in the Federal Government, namely.―
(a) international agreements, contracts, treaties signed/committed by Pakistan
Post Office Department on behalf of Government of Pakistan and ancillary
issues thereto;
(b) ratification of conventions and treaties under Universal Postal Union, an agency
of the United Nations;
1
Subs., and omitted by Act No. VIII of 2024, ss. 5-9.
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(c) issues pertaining to employees working in Pakistan Post Office Department
regulated under the Civil Servants Act, 1973 (LXXI of 1973); and
(2) Without prejudice to the generality of the powers under sub-section (1), the Board shall
have the following powers and functions, namely:―
(a) to advise the Federal Government on matters relating to postal, financial and
allied services;
(b) to frame overall market oriented postal policies, products, projects and to
introduce flexible tariff regime;
(c) to conduct and assist research and experiments for the improvement of postal
products and services;
(d) to enhance skills of officers, employees and workers by education, training and
to promote their welfare;
(e) to enter into contracts with Federal Government, provincial governments and
corporate entities to act as their partner or agent;
(f) re-organization of Pakistan Post Office Department;
(g) establishment and maintenance of extraterritorial offices of exchange for
reduction of cost and better quality of services;
(h) re-designation of any post;
(i) transfer of posts from one office to any other office;
(j) to approve plans for utilization of postal properties i.e. buildings and lands for
revenue generation including but not limited to public private partnership;
(k) to make strategic decisions regarding restoration and launching of financial
services including but not limited to post bank and life insurance to ensure
financial inclusion in line with policies of the State Bank and the Federal
Government;
(l) constitution of committees including audit committee in accordance with the
provisions of the SOE Act;
(m) timely preparation and publication of the financial statements, annual reports
and half yearly reports m accordance with the provisions of the SOE Act;
(n) to authorize utilization of non-revenue receipts for specific purposes;
(o) creation, maintenance of revolving funds for any special purpose;
(p) to authorize opening and maintenance of bank accounts for any specific purpose
subject to the provisions of the Public Finance Management Act, 2019;
(q) to generate special funds for grant of honorarium, cash award, bonus to
employees of Pakistan Post Office Department; and
(r) design, approve and grant incentives to employees on various services of
Pakistan Post Department.]
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12. Secretary of the Board.―(1) There shall be a Secretary of the Board who shall be a senior
officer of the Postal Group.
(2) The Secretary shall―
(a) be responsible for the administration of the Board’s offices;
(b) be responsible for recording all decisions of the Board and monitoring progress
thereon; and
(c) perform such other functions as the Board may, from time to time, assign.
Explanation.― For the purposes of this section, Postal Group means the Postal Occupational
Group as constituted vide the Establishment Division’s O..M. No. 7/2/15-ARC, dated the 30th May,
1975.
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[13. Director General.—(1) There shall be a Director General of the Pakistan Post Office
Department who shall be its chief executive officer and shall be appointed by the Prime Minister on
recommendation of the Board.
(2) The Board shall devise a mechanism for selection of panel of candidates for appointment
of CEO by the Authority.
(3) The Director General may be removed from office by the Prime Minister on
recommendation of the Board owing to his unsatisfactory performance.]
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[13A. Powers and functions of the Director General.—Subject to the provisions of this
Ordinance and the SOE Act, Director General shall be responsible for —
(a) the management of the Pakistan Post Office Department and for its procedures
in financial and other matters under delegation from the Board and subject to
the oversight and directions of the Board;
(b) ensure the proper implementation of strategies and policies approved by the
Board;
(c) put in place appropriate arrangements to ensure that funds and resources are
properly safeguarded and are used economically, efficiently and effectively and
in accordance with the state-owned enterprise business plan, the primary
objective and all statutory obligations; and
(d) to exercise all administrative and financial powers already delegated as head of
department.]
1
Subs. and ins. by Act No. VIII of 2024, ss. 10-11.
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14. Delegation of powers.―The Board may, by order in writing, direct tht any of its powers,
shall, in such circumstances and under such conditions, if any, as may be specified in the order be
exercisable also by a member or the 1[Director General].
15. Preparation of plans.―The Board shall, from time to time, prepare plans and, if
necessary, prospective plans, for the development of postal and other services and for the furtherance
of its purposes and functions under this Ordinance and matters incidental thereto.
16. Postal tariffs.―1[(1) Rates of postage to be charged in respect of postal articles sent by
inland post shall be fixed by the Board.]
(2) Rates of postage to be charged in respect of postal articles sent abroad shall be fixed by the
Board according to the relevant provisions of the Convention adopted by the latest Congress of the
Universal Postal Union or in accordance with its international obligations.
(3) Fees to be charged in respect of postal articles requiring special treatment and for remittance
of money shall be fixed by the Board.
(4) The Board may, from time to time, settle with foreign postal authorities rates at which
accounts shall be settled with such authorities in respect of postal traffic between Pakistan and other
countries.
17. Sale of assets and services.― The Board may, in a transparent manner, enter into joint
ventures, concession contracts and management contracts for operation or expansion of its services or
functions including out-sourcing its services:
Provided that the Board shall, with the prior approval of the Federal Government, enter into
contracts for leasing and selling its assets.
18. Budget.― (1) The Board shall submit to the Federal Government a statement of the
estimated receipts and expenditure for next financial year for approval in principle.
(2) The annual budget shall be approved by the Board.
(3) The Board may, within the budgetary allocations, authorise any expenditure considered
necessary for the efficient performance of the functions of the Pakistan Post Office including re-
appropriation from one head of account to another.
19. Audit and accounts.― (1) The accounts of the Board shall be maintained in such forms
as may be determined by the Controller General Accounts.
(2) The Auditor General shall have the power to audit or cause to be audited, the accounts of
the Pakistan Post Office Department.
(3) The Board shall cause the Pakistan Post Office Department to produce such accounts and
books and connected documents, and furnish such explanation and information, as the Auditor
General, or any officer authorized by him in this behalf, may require for the purpose of the audit.
(4) Copies of the audit report shall be sent to the Board and to the Federal Government.
1
Subs. by Act No. VIII of 2024, ss. 12-13.
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(5) The Board shall cause compliance from the Pakistan Post Office Department with any
directive issued by the Federal Government, the Auditor General or the Public Accounts Committee
of National Assembly for rectification of an audit objection.
20. Internal audit.― The Board shall, in addition to the audit under section 19, cause to be
carried out internal audit of the accounts of the Pakistan Post Office Department for submission
to the Board through the Chairman.
21. Pakistan Postal Services Fund.―(1) There shall be a fund to be known as the Pakistan
Postal Services Fund which shall vest in the Board.
(2) The Fund shall consist of―
(a) grants made by the Federal Government;
(b) loans obtained by the Board with the approval of the Federal Government;
(c) grants made by local bodies;
(d) receipts for services rendered, sale proceeds from movable property and, with
the prior approval of the Federal Government, receipts of immovable property;
(e) loans obtained with the special or general prior sanction of the Federal
Government;
(f) foreign aid and loans obtained from any source outside Pakistan with the sanction
of, and on such terms as may be approved by, the Federal Government; and
(g) proceeds of all charges and recoveries made under the Pakistan Post Office Act,
1898 (VI of 1898); and
(h) all other sums receivable by the Board.
(3) The Board shall have power to meet charges from the Fund in connection with its functions
under this Ordinance including payment of salary or remuneration of the Chairman, members, officers,
employees and advisers of the Board.
(4) All surplus money and profits earned by the Pakistan Post Office Department shall be
deposited in the Government Treasury according to the prescribed procedure.
22. Appointment of officers, employees and advisers.―(1) Subject to sub-section (2), the
Board may appoint such officers, employees and advisors as it may consider necessary for the efficient
performance of its functions on such terms and conditions as may be prescribed by regulations:
(2) All appointments shall be made in accordance with the prescribed educational, technical or
professional qualifications and experience and age limits, against posts sanctioned by the Government
and all initial appointments shall be made after advertisement of the vacancies in the prominent
newspapers.
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23. Submission of yearly reports.―(1) The Board shall submit to the Federal
Government, as soon as possible after the end of every financial year but before the 30th September a
report on the conduct of its affairs for the year.
(2) The Federal Government may require the Board to furnish to it with any report, return,
statement, estimates and statistics on any subject and any other document or any other information
regarding any matter under the control of the Board.
24. Rates of profit and bonus.―(1) Rates of profit payable to depositors and investors of the
savings schemes operated by the Pakistan Post Office Department shall be determined by the Federal
Government.
(2) Rates of bonus payable on the Postal Life Insurance shall be fixed by the Board on the
advice of the actuary conducting the valuation of the Postal Life Insurance Fund.
25. Directives of the Federal Government.― For furthering the functions and objectives of
the Pakistan Postal Services Management Board, the Federal Government may, as and when it
considers necessary, issue directives to the Board on matters of policy, and such directives shall be
binding on the Board and if a question arises whether any matter is a matter of policy or not, the
decision of the Federal Government shall be final.
26. Power to make rules.―The Federal Government may, by notification in official Gazette,
make rules for carrying out the purposes of this Ordinance.
27. Power to make regulations.― The Board may, with the prior approval of the Federal
Government, by notification in the official Gazette, make regulations, not inconsistent with this
Ordinance and the rules made thereunder, for carrying out the purposes of this Ordinance.
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[28. Removal of difficulties.—If a difficulty arises in giving effect any of the provisions of
this Act, the Federal Government may make such order, not inconsistent with the provisions of the
Pakistan Postal Services Management Board Ordinance, 2002 (CXXVI of 2002) and the State-Owned
Enterprises (Governance and Operations) Act, 2023 (VII of 2023), as may appear to be necessary for
the purpose of removing the difficulty.]
29. Savings.―Nothing in the Ordinance shall derogate from or affect the provision of the Post
Office Act, 1898 (IV) of 1898), the Government Saving Bank Act, 1873 (V of 1873), the Post Office
Cash Certificates Act, 1917 (XVIII of 1917), the Post Office National Savings Certificates Ordinance,
1944 (XLII of 1944), and the Wireless Telegraphy Act, 1933 (XVII of 1933), or any enactment
amending or extending the same, provided that reference to the Pakistan Post Office therein shall
hereafter be read and constitute as reference to the Board.
_________
RGN Date: 16-08-2024
1
Subs. by Act No. VIII of 2024, s.14.
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Source: Pakistan Code, Ministry of Law and Justice (pakistancode.gov.pk). Text on this page is reproduced verbatim from the official PDF and is provided for reference only. For the authoritative version, always consult the source document or a current reported edition.
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