Pakistan Steel Mills hit by massive organized theft scandal

KARACHI: A major corruption and theft scandal has surfaced at Pakistan Steel Mills, involving the alleged embezzlement of machinery, cables, and scrap worth billions of rupees, ARY News reported.

The probe was initiated by the Federal Investigation Agency (FIA) following a formal complaint by the Ministry of Industries and Production. According to investigators, valuable equipment and materials were systematically removed from the Pakistan Steel Mills without official gate passes over an extended period.

The scandal in Karachi came to light after authorities recovered a 22-wheeler trailer loaded with 36 tons of government-owned material, exposing what officials described as a well-organized network. The FIA stated that the operation involved a coordinated group comprising employees, security personnel, and scrap dealers.

Officials further revealed attempts to suppress the case by converting the First Information Report (FIR) into a “C Class” report, a move that effectively weakens prosecution. Data shows that more than 101 theft cases have been registered at Port Qasim Police Station, with at least 68 reportedly downgraded to C Class.

The FIA has now expanded its investigation to include the alleged cover-up, identifying key suspects and facilitators involved in the scheme. Authorities indicated that further arrests are expected as the probe deepens.

Also Read: Police allegedly involved in theft from Pakistan Steel Mills

Earlier in February, Bin Qasim police were accused of being involved in the large-scale theft of valuable goods from Pakistan Steel Mills.

According to union representatives, stolen items are transported and sold through scrap dealers with the alleged collusion of police personnel.

A video circulating on social media reportedly shows stolen goods being carried in a police mobile. The workers’ union leader claimed that Bin Qasim police officers were directly collaborating with thieves and scrap dealers.

Some time ago, the Special Branch Malir also submitted a report alleging that the Station House Officer (SHO) of Bin Qasim Police Station, along with other police personnel, were involved in stealing valuable items.

The long-dormant Pakistan Steel Mills has become a soft target for organised gangs stealing goods including iron, silver, copper, electrical equipment, and other materials.