ISLAMABAD: The sub-committee of Public Accounts Committee (PAC) has taken notice of irregularities in Pakistan Steel Mills [PSM] and was not happy with the administration’s decision to utilize Rs 7 billion employees’ gratuity and provident fund.
Chaired by convener of the committee Sardar Ashaq Gobang, the sub-committee ordered the PSM administration to take action against those officials who were involved in utilizing the workers funds to cover the deficit.
During the proceedings, officials of Auditor General of Pakistan informed the committee that PSM had sold Rs 25 billion worth material in only Rs 18 billion and faced Rs 7 billion loss in 2008-2009.
In order to cover the deficit, the PSM used the Rs 7 billion of workers.
The Chairman PSM informed the committee, during the briefing, that PSM faced Rs 26 billion loss in 2008 and the administration utilized Rs 7 billion of workers fund for opening the L/C but has returned Rs 4 billion while the remaining amount would also be returned soon.
He said that all those former heads of the PSM were facing cases for utilizing the gratuity fund and the National Accountability Bureau (NAB) is also investigating these cases.
The Chairman told the committee that the government has given Rs 18 billion bailout package to Steel Mill, however; a request of Rs 4 billion has been made to address all the financial issues.
He said that that the issues of PSM would be resolved with raising its production to 77 percent.
The NAB officials informed the committee that on the direction of apex court, the Bureau had started the investigation of Rs 7 billion corruption case.
However, investigations have not been completed yet.
The committee ordered the NAB to speed up the investigation on this case and bring all those involved in the scam to book.
