Recommendation: FIA should probe OGDC corruption cases: NA panel

Expresses displeasure over huge spending on medical treatment of employees

ISLAMABAD: A parliamentary panel has recommended that corruption cases involving over Rs1.5 billion in the country’s largest oil and gas explorer - Oil and Gas Development Company (OGDC) - should be referred to anti-corruption watchdogs in order to recover the embezzled money.

The National Assembly Standing Committee on Petroleum and Natural Resources in a meeting, chaired by Chaudhry Bilal Ahmad Virk on Thursday, directed the Federal Investigation Agency (FIA) to reopen a probe into the cash payment of Rs266 million out of OGDC’s Workers Profit Participation Fund to those company employees that were not entitled.

The committee also told OGDC to formally lodge a complaint and provide required information to the investigating agency.

It directed the company management to hold an internal inquiry and identify the persons that received the money for subsequent disbursement to the employees.



OGDC Managing Director Zahid Mir pointed out that Rs98 million and Rs238 million were paid in cash to the employees in financial years 2006-07 and 2007-08 respectively by office-bearers of the company’s Collective Bargaining Agent (CBA) and its record was not available with the company.

He revealed that the FIA had conducted an investigation in 2010 on a complaint of employees about the disbursement of Workers Profit Participation Fund as they had either received less payment or the money was paid to the staff that was not entitled.

However, the investigation was closed because of unavailability of concrete evidence.

Expressing its displeasure over huge spending on the medical treatment of OGDC employees, the panel told the management to undertake an inquiry into the misuse of medical facility at different offices of the company.

It also said the FIA should assist OGDC in the recovery of embezzled and misused medical funds.

Over the past five years, Rs890 million had been spent on the medical treatment of company employees. The massive expenditure prompted an investigation that identified 77 employees for misusing the medical facility at the head office and field offices.

“The inquiry is in progress and disciplinary action will be taken against the persons found responsible,” the OGDC MD said.

The committee also took up the issue of oil theft during its transportation from the fields. It told the FIA to investigate and recover the money.

According to OGDC, an average 700 litres of oil was stolen every day over the past 10 years. After taking measures, the company was able to save 50,000 litres in a month. It is conducting an inquiry into the conduct of company officer Malik Akhtar.

The committee directed the National Accountability Bureau (NAB) to present latest update in the next meeting on a case of diesel theft at the Tando Alam field amounting to Rs328 million against Hussain Bux Narejo and others.

The OGDC managing director claimed that the company had saved a substantial amount after initiating stringent measures to check fuel theft.

The NA panel directed Sui Southern Gas Company (SSGC) management to complete its gas pipeline for Sanghar and adjoining areas by the end of March.

The SSGC managing director apprised lawmakers of the steps taken to address the problem of low gas pressure in Sindh and assured them that the situation would improve in coming days.

Published in The Express Tribune, February 3^rd, 2017.

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