LPG quota: FIA probes JJVL-SSGCL quota deal

Committee to submit its report to the SC within 30 days.

ISLAMABAD:

A five-member team of the Federal Investigation Agency has initiated investigation into Jamshoro Joint Venture Limited (JJVL) and Sui Southern Gas Company Limited (SSGCL)’s dubious deal regarding Liquefied Petroleum Gas (LPG) quota.

FIA, in compliance with the Supreme Court’s orders, had formed a five-member committee directing them to submit a detailed report within a minimum stipulated time, The Express Tribune has learnt.

The apex court on December 4 had cancelled the LPG agreement, saying that it was a ‘gross violation’ of the bidding process and overlooked the Implementation Agreement between the JJVL and SSGCL.



“The project was awarded by SSGCL in a highly non-transparent manner with the object of giving undue benefit to JJVL,” the court stated in its order.

The Supreme Court declared the project unfair and unlawful and cancelled the dubious deal.

Five-member committee

The committee, headed by FIA’s acting Additional Director General Economic Crime Wing (ECW) Zaheer Ahmed, will inquire into matters noted and highlighted in the court’s orders.

Based on the findings of the committee, the FIA will submit a report that will identify all those involved in negligence, corruption and other offences.

The report has to be submitted before the Supreme Court on January 4, 2013.



Records related to the LPG quota agreement between the JJVL and SSGCL, have been sought by the committee. Meanwhile, the committee is also examining the Supreme Court’s judgement thoroughly to comply with the court’s orders, a senior committee member told The Express Tribune.

He added that after the orders were examined, notices will be issued to all those who were involved in negligence or other malpractices.

The official source said that another two-member committee, formed by the apex court, is also calculating the royalty payments on the basis of the Saudi Aramco reference price plus freight and other issues, for the full period during which the Implementation Agreement has been operational.

Members of the committee include M H Asif, former member Oil and Gas Regulatory Authority (OGRA) and Shabbar Raza Zaidi, partner of M/s A F Ferguson and Co, Chartered Accountants.

Published in The Express Tribune, December 23^rd, 2013.