NAB recovers Rs 13 million from NFML officials

National Accountability Bureau (NAB) has recovered Rs 13 million from the officials of National Fertilizer Marketing Limited (NFML), a subsidiary of Industries Ministry and private parties involved in urea scam, well informed sources told Business Recorder.
The sources said former caretaker Federal Minster for Industries and Production, Shahzada Ahsan Ashraf Sheikh had submitted an application with NAB and requested a thorough investigation into alleged massive malpractices in NIFL in transportation, stocks, distribution and weight of bags. Minister for Industries and Production, Ghulam Murtaza Jatoi and Secretary Industries, Shafqat Naghmi are well aware of the current status of NFML scam.
NAB investigators, sources said, had conducted raids on godowns at different locations and found massive irregularities in stocks. Officials of Ministry of Industries and Production were also questioned. It was also revealed from investigations that 'a gang' of NFML officials headed by a person from its Accounts Group were involved in fleecing transporters on the plea that this amount is being paid to the Minister and Secretary Ministry of Industries and Production. NAB had also been informed about dumping of around 400 MT of urea from Eminabad store of NFML. On May 2, 2013, Deputy General Manager (Distribution) Uzair Abu Bakar wrote a letter to the then Managing Director in which he accused a senior official of involvement in the scam.
On March 26, 2013, NMFL Store Incharge Multan, Waqar in a written application had admitted receiving 1208 sweeps mix and short weight urea bags. NFML had also accused Naeem Ullah- Naib Tehseeldar of being involved in the following activities under different names at different periods: (i) cartage contractor under the name of Rahat Goods Forwarding Agency;(ii) labour handling contractor at Karachi godowns under the name of Fazal Enterprises (iii) tally contractor under the name of Fazal enterprises; and (iv) quality Pakistan System Registrar (FMC-Pvt) Limited. The sources said there is no let-up in corruption in the organisation despite NAB's actions.
"Corrupt elements have fixed prequalification rate of Rs 2 million for existing transporters and Rs 50 million for new transporters," the sources continued. According to sources, NFML's real players have also allowed urea dumping to their blue eyed parties. "Officials are receiving Rs 120 per bag as commission, of which, according to their claim Rs 100 per bag are for high-ups in the Ministry and Rs 20 for the NFML officials," the sources continued.
The sources further claim that imported urea meant for poor farmers is also being supplied to a chemical factory in Karachi. Pakistan Kissan Ittehad has also lodged a complaint against NFML for not implementing urea distribution policy in letter and spirit. According to the policy, 70 percent urea will be sold through dealers' network whereas 30 per cent is to be distributed to the farmers directly.
When contacted, former caretaker Minister for Industries and Production, Shahzada Ahsan Ashraf Sheikh claimed that he had provided documentary evidence of plunder of the national exchequer to NAB. "I fought bravely with corrupt elements in the attached departments of MoI&P during my two months stay," he continued. Minister for Industries and Production Ghulam Murtaza Jatoi also issued a press release a couple of weeks ago and claimed that he recovered millions of rupees from NFML transporters and directed the concerned department to deposit it in the official account. NAB spokesman told Business Recorder that case is in at inquiry stage and action will be taken all corrupt under the law. He is further stated that NAB investigation team has recovered total 7809 under weight urea bags from NFML godowns.

News Source: Business Recorder   News Collected : agrinfobank.com Team

Ministry seeks to justify urea import

Friday, 19 July 2013

Ministry of Industries and Production has reportedly declared an ''emergency'' to justify import of 0.3 million tons of urea through a gallop tender. Official documents available with Business Recorder, Secretary Industries and Production, Shafqat Naghmi wrote a letter to the Finance Minister in which background of urea import was reported.
The documents further disclosed that Ministry of Industries and Production had moved a summary for the ECC vide No 11(3)/2005/P-1dated July 2, 2013 which was considered in the ECC meeting held on July 2, 2013. The summary contained two proposals: (i) the condition laid down under Rule 13 of PPRA Rules 2004 regarding international tendering response time of 30 days for gallop tender may be reduced to response time of 7 to 12 days and ;(ii) import of 500,000 tons urea for Kharif season 2013 may be approved. The decision of the ECC conveyed by the Cabinet Division shows that the ECC approved import of 0.3 million tons of urea. However, instead of reduction in tendering time under rule 13 of PPRA Rules, the following decision was conveyed that Ministry of Industries and Production should approach the competent authority regarding exemption from PPRA Rules in accordance with the provisions of Section 21 and 6 of PPRA Ordinance 2002 for import of urea."
Secretary Industries was of the view that even though the Ministry of Industries and Production is of the considered opinion that the decision was incorrectly recorded, yet in pursuance of the recorded decision, a letter was sent to Chairman PPRA Board/Secretary Finance for exemption from PPRA Rules. On July 10, 2013, the Finance Minister chaired a meeting of Price Monitoring Committee in which he enquired about the latest position regarding import of urea.
The Finance Minister was apprised of the position including Ministry of Industries and Production''s view that the minutes had been incorrectly recorded. The Finance Minister directed that the Ministry of Industries and Production may declare emergency under PPRA Rules 13 as per its request contained in the summary and request the Ministry of Commerce to float an international tender with one week response time.
The directives were conveyed to the Ministry of Commerce and the tender was scheduled to be opened on July 17, 2013. This position was also placed before the ECC in its subsequent meeting held on 11th July, 2013. "We have, however, received letter from the Cabinet Division conveying that the minutes of the meeting dated July 2, 2013 were correctly recorded and the decision should be implemented as recorded which entails seeking the exemption from PPRA Rules 13," the sources quoted Industries Secretary as saying in his letter.
Keeping in view the problems, Secretary Industries submitted the following options are available ;(i) to inform Ministry of Commerce that MoI&P is withdrawing its request for procurement of 300,000 tons of urea on emergency basis and accordingly call off the tenders to be opened on 17-07-2013, or; (ii) Chairman ECC may endorse the contention of MOI&P as stated at para 3 above that ECC in its meeting dated July 2, 2013 had approved declaration of emergency and reduction of response time to 7 days under Rule 13 of PPRA Rules. In this case the Cabinet Division may also be directed to record the decision correctly. The ECC, in its meeting on July 18, 2013 approved the recommendations of the Industries Ministry and directed the TCP to open first tender of 50,000 tons of urea on July 22, 2013.

Source: Business Recorder