ISLAMABAD: Pakistan's federal government has expanded its scrutiny of vaccine procurement for Hajj and Umrah pilgrims after a meningitis vaccine reportedly supplied to the Ministry of Religious Affairs in 2025 was priced nearly twice as high as the rate approved by the country's drug regulator.
The Ministry of National Health Services, Regulations and Coordination constituted a high-level inquiry committee to examine vaccine supplies and pricing arrangements from 2022 to 2026, amid mounting concerns over procurement practices, regulatory oversight and the possible misuse of public funds.
According to the ministry's reported findings, a meningococcal vaccine carrying a Drug Regulatory Authority of Pakistan (DRAP)-approved price of Rs1,356 was supplied to the Ministry of Religious Affairs for Rs2,555 in 2025 — a difference of Rs1,199, or approximately 88%.
The inquiry comes as the Federal Investigation Agency (FIA) separately investigates alleged irregularities in a five-year vaccination services contract awarded through Border Health Services-Pakistan (BHS-P), a case in which three serving and former officials have been arrested.
Although both investigations concern vaccines for religious pilgrims, they involve different procurement arrangements, suppliers and allegations. No final finding of criminal liability has been established in either case.
Federal inquiry to examine vaccine supplies dating back to 2022
The new inquiry committee, headed by an Additional Secretary of the federal health ministry, has been directed to submit its findings by October 29, 2026.
Its members include the Vice Chancellor of Shaheed Zulfiqar Ali Bhutto Medical University, Islamabad; the ministry's Director General of Health; and a representative of the Intelligence Bureau. The Joint Secretary for Hospitals will serve as member-secretary.
The committee will examine the prices of meningitis vaccines supplied to the Ministry of Religious Affairs between 2022 and 2025, particularly those associated with M/s Sindh Medical Store (Pvt) Ltd and M/s Lab Diagnostic System (Pvt) Ltd.
According to the reported terms of reference, investigators will determine whether the suppliers charged more than the prices fixed or approved by DRAP and examine the circumstances surrounding the disputed increase in 2025.
The panel will also assess whether regulatory failures, administrative negligence or weaknesses in price verification allowed potentially excessive charges to pass through the government procurement system.
DRAP's role is expected to receive particular attention, with the committee tasked to identify whether failures in monitoring or enforcing approved pharmaceutical prices contributed to the alleged overcharging.
The inquiry is also required to identify responsible departments and officials, recommend corrective action and propose measures to prevent similar irregularities.
The price discrepancy has been identified for investigation, but the public record does not yet establish whether the full amount charged represented an unlawful excess over the applicable regulated price.
That determination will depend on the examination of procurement documents, contracts, invoices, product specifications and any legally permissible additional charges.
Earlier Hajj procurement records come under scrutiny
The investigation covers a period during which the Ministry of Religious Affairs conducted vaccine procurement exercises for pilgrims travelling to Saudi Arabia.
An official tender issued in February 2025 sought approximately 170,000 doses each of meningococcal, seasonal influenza and oral polio vaccines, with an additional 5% quantity to be supplied free of charge.
The ministry invited bids from eligible pharmaceutical manufacturers, registered importers and authorised agents, requiring compliance with DRAP registration and approval requirements.
The tender specified delivery to the Expanded Programme on Immunization warehouse at the National Institutes of Health in Chak Shahzad, Islamabad, followed by distribution to Hajj directorates across Pakistan.
Bids were scheduled to close on February 25, 2025.
While these documents establish the scope of the ministry's vaccine procurement arrangements, the publicly available tender notice does not identify which supplier was responsible for the specific meningitis vaccine transaction now under investigation.
The new inquiry is expected to examine the underlying supply and payment records to establish how the disputed price was determined and approved.
The two companies identified in the inquiry's terms of reference have not been found guilty of wrongdoing. Their inclusion in the investigation does not, by itself, establish deliberate overcharging or collusion with government officials.
Three Border Health Services officials arrested in separate investigation
The latest inquiry follows a series of developments in a separate investigation involving Border Health Services-Pakistan and the award of a five-year contract for meningococcal and influenza vaccination services.
The FIA has arrested Dr Abid Hussain Shah, Director of Border Health Services-Pakistan; Dr Pardeep Kumar, a former director; and Dr Syed Ghulam Murtaza Shah, a medical officer, in connection with alleged irregularities in the procurement process.
The officials were produced before Judicial Magistrate Shaista Kundi in Islamabad on October 21.
The court granted the FIA seven days of physical remand, with the suspects scheduled to be produced again on October 28.
According to reported FIA documents, the case, registered under FIR No. 61/2026, concerns the award of a five-year contract to M/s Pharma Connect for supplying meningococcal and influenza vaccines and providing vaccination services.
Investigators allege that the contract was awarded without an adequate market survey, independent cost estimates or a comparative assessment of vaccine prices.
The FIA has also raised concerns over the constitution of the procurement committee, the approval of bidding documents and the evaluation process leading to the contract award.
According to the agency's allegations, Dr Pardeep Kumar replaced an earlier procurement committee, assumed its chairmanship and approved bidding documents that lacked essential evaluation criteria.
Dr Syed Ghulam Murtaza Shah is alleged to have facilitated the contractor's selection, while Dr Abid Hussain Shah allegedly sought retrospective approval of the procurement proceedings.
The FIA has sought access to original procurement records and further evidence to establish whether collusion occurred and whether other individuals were involved.
These allegations remain under investigation and have not been established through a final judicial determination.
Rs2.445 billion financial impact under examination
The Border Health Services contract has attracted particular scrutiny because of the potential financial implications of its pricing arrangements.
According to the FIA's reported assessment, the procurement price was fixed at Rs3,475 per vaccination package, compared with a combined DRAP-notified maximum retail price of Rs2,660 for the vaccines.
The difference of Rs815 per package formed the basis of an estimated Rs2.445 billion in potential excess expenditure over the five-year contract.
The figure represents an investigative projection rather than an audited or judicially established loss to the national exchequer.
Its accuracy will depend on several factors, including the number of vaccinations actually administered, contractual payment arrangements and whether the service package included legitimate costs beyond the vaccines themselves.
The contract's financial structure and the basis for comparing vaccine retail prices with vaccination service charges are among the matters requiring examination.
Prime minister's committee recommends fresh procurement
The growing controversy prompted Prime Minister Shehbaz Sharif to order a separate high-level inquiry into Border Health Services' procurement arrangements.
A five-member committee, constituted on October 16 and headed by the Cabinet Secretary, was tasked with examining the tender process, vaccine prices, financial arrangements and compliance with applicable procurement rules.
Its members included the Director General of the Intelligence Bureau, the Chief Executive Officer of DRAP, a representative of the Attorney General's Office and the Managing Director of the Public Procurement Regulatory Authority (PPRA).
On October 22, The News reported, citing a member of the committee, that the panel had recommended cancelling the meningococcal and influenza vaccine procurement and initiating a fresh process after identifying deficiencies in compliance with procurement requirements.
The reported recommendation does not, by itself, establish that the contract has been formally cancelled or that criminal misconduct has been proved.
Pharmaceutical companies challenge contract in Islamabad High Court
The disputed procurement has also become the subject of proceedings before the Islamabad High Court.
Seven pharmaceutical and vaccine companies have challenged the Border Health Services tender and its award to Pharma Connect, alleging violations of procurement rules and inadequate competitive opportunity.
The petitioners include Gesundheit Concerns, Amson Vaccines and Pharma, Immuno Well, Hoffmann Human Health Pakistan, Hospital Services and Sales, 3A Diagnostics, and Immunonet Pharma.
They have questioned the tender's publicity, evaluation procedures and the legal basis for the public-private partnership arrangement.
The companies also alleged that the procurement attracted only one bidder, raising concerns about competition and the transparency of the process.
An official PPRA electronic record shows that the Border Health Services tender was advertised on June 19, 2026, with a closing date of July 6.
The existence of the electronic listing does not establish compliance with every applicable publication and procurement requirement, which remains among the issues requiring scrutiny.
Federal Health Minister Syed Mustafa Kamal and Border Health Services previously maintained that the procurement rules had been followed and indicated that their position would be presented before the court.
The Islamabad High Court has sought responses and relevant procurement records. The allegations remain subject to judicial determination.
Vaccination disruption adds to concerns for pilgrims
The controversy has also affected vaccination services for travellers.
Border Health Services temporarily suspended vaccination arrangements for Umrah pilgrims at its facility near Karachi's old airport following the investigation and arrests, according to reports confirmed by officials and a notice displayed at the site.
The disruption has raised concerns about the continuity of services for pilgrims requiring vaccination documentation before travelling to Saudi Arabia.
Meningococcal vaccination is an important safeguard against invasive meningococcal disease and forms part of Saudi Arabia's applicable health requirements for religious pilgrims.
The procurement controversy has therefore brought two issues into focus: the need for transparent and competitive purchasing of vaccines, and the importance of ensuring that administrative investigations do not interrupt legitimate access to essential preventive healthcare.
Accountability questions remain as investigations advance
The widening investigations have placed the Ministry of Religious Affairs, Border Health Services, DRAP and private vaccine suppliers under scrutiny at different stages of the procurement chain.
The inquiry into historical meningitis vaccine supplies must establish how the 2025 price discrepancy arose, whether regulated prices were breached and whether failures occurred in procurement approval or regulatory enforcement.
The separate FIA investigation must determine whether the five-year Border Health Services contract involved criminal misconduct, irregular procurement decisions or improper financial arrangements.
The findings may also have wider implications for public-sector procurement controls, pharmaceutical price monitoring and the oversight of public-private healthcare contracts.
The arrested officials remain entitled to due process, while responsibility on the part of the named private companies has yet to be established.
With the FIA suspects due back in court on October 28 and the federal health ministry's new inquiry report expected on October 29, the next phase of the investigations could clarify the extent of any procurement irregularities and identify whether regulatory or administrative failures enabled questionable vaccine pricing.
For a public health system responsible for protecting thousands of religious travellers, the outcome will be closely watched for its implications for accountability, pharmaceutical price enforcement and confidence in government vaccine procurement.
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