LESCO Exposes Insolvency of Govt Bodies Worth Billions

LESCO Exposes Insolvency of Govt Bodies Worth Billions

What does LESCO’s recent revelation about government bodies’ insolvency mean?

In a startling revelation, the LESCO has disclosed a long list of government bodies facing severe financial insolvency. This situation has brought to light the massive amounts owed to LESCO by various federal and provincial institutions, summing up to billions of rupees in arrears.

Alarming Level of Defaults Among Key Entities

A statement from a LESCO spokesperson highlighted the financial crises of several major entities. The Water and Sanitation Agency (WASA) Lahore tops the list with a staggering debt of over 5 billion rupees. Following closely are the Town Municipal Authorities with defaults exceeding 4 billion rupees.

Notably, the Punjab Police, Punjab Irrigation and Power Department, and Lahore Ring Road Authority are also significant defaulters, owing 58 crore, 53 crore, and 40 crore rupees respectively.

Also, you may need to know, lesco’s rs2.23 billion setback and remedial measures.

District and Health Departments in Financial Turmoil

The district government of Lahore is struggling with defaults exceeding Rs. 36 crore, while the Punjab Health Department owes more than Rs. 35 crore. The Lahore Development Authority and Basic Endoural Health Lahore are also caught in the web of financial defaults, owing 23 crore and 17 crore rupees, respectively. Additionally, the LESCOsays, that the District and Tehsil Headquarters Hospital Lahore and Kasur owe more than 13 crore and 12 crore rupees, respectively.

LESCO Exposes Insolvency of Govt Bodies Worth Billions

Broad Spectrum of Insolvent Bodies

The list of insolvent entities extends to various other sectors. However, the Parks and Horticulture Authority and Punjab Health and Welfare Department are each facing defaults of over 12 crore and 10 crore rupees. The Supreme Court, P&W Corporation, and Pakistan Broadcasting Corporation, with debts exceeding 8.5 million790 million, and 390 million rupees, highlight the widespread nature of this financial crisis. Even the Geological Survey of Pakistan and the Central Excise Land Customs are not spared, facing insolvencies of over 3 million and 3 crore rupees, respectively.

Additional Government Bodies Owing to LESCO

LESCO officials have also pointed out defaults by the National Highway Authority, Cabinet Secretariat, and Punjab Safe City Authority, with each owing more than 3 crore rupees. Tehsil Headquarters Hospital Sheikhupura and Statistics Punjab are similarly insolvent, each with debts exceeding 5 crore rupees.

King Edward University, Department of Transport District Government Lahore, and Department of Livestock District Government Kasur are also on the list, each grappling with defaults of more than 3 crore 90 lakh rupees.

FAQs: LESCO Exposes Insolvency of Government Bodies Worth Billions

How much does WASA Lahore owe to LESCO?

WASA Lahore is one of the top defaulters, owing more than 5 billion rupees to LESCO.

Which government bodies are the major defaulters according to LESCO?

Major defaulters include WASA Lahore, Town Municipal Authorities, Punjab Police, Punjab Irrigation and Power Department, Lahore Ring Road Authority, Lahore Development Authority, and various health and education departments among others.

What are the implications of these government bodies being insolvent?

The insolvency of these bodies has serious implications, including financial strain on LESCO, potential disruptions in power supply, and a broader impact on the financial stability and credibility of government institutions.

Has LESCO taken any steps to recover the dues from these government bodies?

LESCO has been actively pursuing the recovery of these dues. The exact measures being taken may include negotiations, payment plans, and possibly legal action, although specific details might vary case by case.

What is the total amount owed to LESCO by these government bodies?

The total amount owed to LESCO by various government bodies runs into billions of rupees, with some individual entities owing sums in the range of several crores to over 5 billion rupees.

How will this financial situation affect the regular consumers of LESCO?

While direct effects on regular consumers are not immediate, there could be indirect consequences such as tariff adjustments or power supply issues if the situation is not resolved.


The revelation by LESCO sheds light on the alarming financial situation of numerous government bodies. This situation not only affects LESCO’s operations but also raises concerns about the overall financial health and governance of these entities. The need for immediate remedial measures and stricter financial oversight is imperative to address this widespread issue of insolvency. As Lahore Electricity navigates through these challenging times, the revelation serves as a wake-up call for all involved government bodies to reassess and restructure their financial management practices.

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