SC shoots down plea to halt Steel Mills corruption case
FIA ordered to conduct fresh probe into the matter and report to SC in a month.
ISLAMABAD:
The Supreme Court on Thursday shot down a Pakistan Steel Mills (PSM) plea to halt inquiry into a corruption case involving the nation’s largest industrial undertaking.
Chief Justice Iftikhar Muhammad Chaudhry, who presided over the three-member SC bench hearing the case, remarked that while the apex court is protecting public money, it is being requested to stop proceedings in the case.
Fakhruddin G Ebrahim, counsel for the PSM, informed the court that because of ongoing corruption investigation, the mill is facing Rs1 billion loss per month and that its production has declined by up to 40 per cent of its average output.
Since the registration of FIR against the mills contractor, the required raw material – 0.2 million tons – is not being provided to the mill. Instead, only 0.1 million tons is being supplied due to which the PSM is facing a huge loss, the counsel pointed out.
“Even Scotland Yard cannot trace white collar crime. I am afraid if the investigations continued, the mill would be closed soon,” FG Ebrahim submitted.
To this contention, the chief justice made a withering reply: “This is a scam of Rs26 billion and you want us to leave the case”.
The CJ asked, rhetorically, as to how many people have been arrested to-date by the FIA, and then pointed out himself that only watchmen and canteen people have been taken into custody.
FIA Director-General Waseem Ahmed contended that three officers have already been transferred from his department and he would be the fourth one (if he pursued the case). He added that they do not have legal authority to recover the looted money as only NAB is authorised to do this job.
“Go and arrest the influential accused and submit the progress report. The entire world is crying that massive corruption was committed in the Steel Mill ... we are protecting the public money but are being asked to halt the proceedings,” the chief justice remarked.
The FIA boss informed the court that assets valued at Rs400 million have been frozen in the case.
He told the bench FIA investigation about Al-Abbas Group which supplies 20 per cent of raw material to the PSM is not correct.
“You are not even satisfied with your own investigation report?” the chief justice asked in wonderment, to which the FIA man replied: “This report was compiled before my joining and that’s why I am not satisfied”.
“Then send the then director-general and officials concerned to jail for making a false report,” the chief justice remarked, adding, “The case would be concluded if you are not satisfied with your own report”.
Waseem Ahmed submitted that without corruption the Pakistan Steel Mill is facing Rs1 billion loss per month.
“The reason is that people are incompetent. What the agencies are doing? Is it the responsibility of the court to investigate the matter?” Justice Chaudhry inquired. “Before denying the report, register an FIR against the former DG and officials,” he advised.
The chief justice recalled that the ministry of interior had constituted an investigation committee to probe the case upon which “we served them contempt of court notice” for meddling in court matters.
“No one is ready to arrest the influential people ... the Supreme Court took a suo motu notice of the scam and no one knows better than us about the case,” Justice Chaudhry observed.
The court gave a go-ahead to the FIA boss to conduct a fresh probe into the scam and submit a report within a month.
Published in The Express Tribune, November 5th, 2010.
The Supreme Court on Thursday shot down a Pakistan Steel Mills (PSM) plea to halt inquiry into a corruption case involving the nation’s largest industrial undertaking.
Chief Justice Iftikhar Muhammad Chaudhry, who presided over the three-member SC bench hearing the case, remarked that while the apex court is protecting public money, it is being requested to stop proceedings in the case.
Fakhruddin G Ebrahim, counsel for the PSM, informed the court that because of ongoing corruption investigation, the mill is facing Rs1 billion loss per month and that its production has declined by up to 40 per cent of its average output.
Since the registration of FIR against the mills contractor, the required raw material – 0.2 million tons – is not being provided to the mill. Instead, only 0.1 million tons is being supplied due to which the PSM is facing a huge loss, the counsel pointed out.
“Even Scotland Yard cannot trace white collar crime. I am afraid if the investigations continued, the mill would be closed soon,” FG Ebrahim submitted.
To this contention, the chief justice made a withering reply: “This is a scam of Rs26 billion and you want us to leave the case”.
The CJ asked, rhetorically, as to how many people have been arrested to-date by the FIA, and then pointed out himself that only watchmen and canteen people have been taken into custody.
FIA Director-General Waseem Ahmed contended that three officers have already been transferred from his department and he would be the fourth one (if he pursued the case). He added that they do not have legal authority to recover the looted money as only NAB is authorised to do this job.
“Go and arrest the influential accused and submit the progress report. The entire world is crying that massive corruption was committed in the Steel Mill ... we are protecting the public money but are being asked to halt the proceedings,” the chief justice remarked.
The FIA boss informed the court that assets valued at Rs400 million have been frozen in the case.
He told the bench FIA investigation about Al-Abbas Group which supplies 20 per cent of raw material to the PSM is not correct.
“You are not even satisfied with your own investigation report?” the chief justice asked in wonderment, to which the FIA man replied: “This report was compiled before my joining and that’s why I am not satisfied”.
“Then send the then director-general and officials concerned to jail for making a false report,” the chief justice remarked, adding, “The case would be concluded if you are not satisfied with your own report”.
Waseem Ahmed submitted that without corruption the Pakistan Steel Mill is facing Rs1 billion loss per month.
“The reason is that people are incompetent. What the agencies are doing? Is it the responsibility of the court to investigate the matter?” Justice Chaudhry inquired. “Before denying the report, register an FIR against the former DG and officials,” he advised.
The chief justice recalled that the ministry of interior had constituted an investigation committee to probe the case upon which “we served them contempt of court notice” for meddling in court matters.
“No one is ready to arrest the influential people ... the Supreme Court took a suo motu notice of the scam and no one knows better than us about the case,” Justice Chaudhry observed.
The court gave a go-ahead to the FIA boss to conduct a fresh probe into the scam and submit a report within a month.
Published in The Express Tribune, November 5th, 2010.