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KMC cancels allotment orders of petrol pumps on its land

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Web Desk
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News Stories Posted by ARY News Digital Team

KARACHI: Karachi Metropolitan Corporation (KMC) has cancelled allotment orders of all petrol pumps on its land, ARY NEWS reported quoting Commissioner and Administrator Karachi Iftikhar Shallwani.

“The fresh auction process for the petrol pumps will be held after the cancellation of allotment orders,” said the administrator Karachi, who also holds a portfolio of commissioner Karachi.

He said that the petrol pumps earn millions from the KMC land and only pay a minimal amount to the corporation in return.

“The KMC is facing financial crunch and therefore they have to adopt this process to increase its revenue,” Iftikhar Shallwani said adding that the notices regarding cancellation of allotment letters have been sent to the petrol pumps, which would be enforced immediately.

It is pertinent to mention here that on October 07, the Anti-Corruption Establishment (ACE) Punjab has launched a crackdown against ‘illegal petrol pumps’ across the province that are responsible for losses worth billions of rupees to the exchequer.

According to the DG ACE Punjab, 495 illegal petrol pumps have been unearthed, out of which checking of 202 has already been completed and 154 have been sealed.

He said various violations of rules including lack of safety equipment and location of pumps near schools and hospitals were unearthed. These pumps have neither any agreement with Oil Marketing Companies (OMCs) and were selling diesel after mixing kerosene oil.

In addition to the above violations, these pumps were also found selling smuggled oil, which remains outside the sales tax net and results in vast losses for the government.

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