Islamabad: A three member bench headed by the Honourable Mr. Justice Iftikhar Muhammad Chaudhary, Chief Justice of Pakistan and comprising other two members namely Honourable Mr. Justice Khilji Arif Hussain and Honourable Mr.Justice Tariq Parvez heard Steel Mills’ Case. After hearing the counsel for the petitioners and respondents, the Bench passed the following order:-
“It may be noted that as per Forensic Audit Report for year 2008-2009, prepared by M/s Avais Hyder Liaqat Nouman (AHLN), accumulative losses of 26.5 billion have been identified in the Pakistan Steel Mills (PSM) under the following headings:-
Business Losses: Rs.4.68 billions.
Losses due to corrupt Practices: Rs.9.99 billions.
Losses due to mismanagement/: Rs.11.84 billions.
Total: Rs.26.526 billions.
2. In view of above report, which only pertains to the financial year 2008-2009, it is not known that up till now how much loss has been occurred in this organization.
3. As per admission of Mr. Gul Muhammad Rind, Secretary Industries (present in Court) the above Forensic Audit Report was received by the Ministry about six months back; we are surprised to note that no steps so far have been taken by the Ministry despite the fact that the Pakistan Steel Mills is not being run properly. However, Mr. Fakhr-ud-Din G. Ibrahim learned Sr. ASC for Pakistan Steel Mills pointed out that five enquiries have been initiated by the FIA in the matter but no case so far has been registered.
4. In view of such pathetic situation about the affairs of the Pakistan Steel Mills, we have asked the Secretary Industries as to why action has not been taken immediately after receipt of the Forensic Audit Report by the Ministry; he has explained that the Ministry is contemplating to refer the matter to the National Accountability Bureau regarding all the cases, which have been earlier registered by the FIA and regarding the enquiries, which are pending with the FIA.
In above view of the matter, let the Ministry of Industries itself take decision in this behalf. The Secretary Industries shall explain the reasons about failure of the Ministry for not initiating action promptly on receipt of the Audit Report on the next date of hearing because, prima facie, it has been established that huge loss has been caused to Pakistan Steel Mills, which is mother industry of the country, on account of corruption and corrupt practices, business losses and mismanagement. Undoubtedly all these three components are interlinked and end up on corruption and corrupt practices in the organization. Adjourned to 15.03.2012″.
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