PSM suffered Rs164.4m loss due to negligence, theft: AGP report

The state-owned Pakistan Steel Mills (PSM) had suffered a massive financial loss of Rs164.4 million in the fiscal year 2020-21 due to administrative negligence and thefts, ARY News quoted AGP report on Tuesday.

The Auditor General of Pakistan (AGP) issued the PSM financial report 2020-21, highlighting the major causes of the massive losses to the state-owned entity.

It stated that the steel mills suffered Rs164.4 million loss in FY2020-21 due to administrative negligence. The theft of copper, brass, electric instruments and cable caused a loss worth over Rs6.49 million to the steel mills.

The top auditor stated in the report that the electricity poles and expensive three high-tension (HT) wires were also stolen from the PSM. The stolen materials also include a 132-KV transmission line and tracks for freight trains.

It added that the PSM administration had failed in security arrangements. Additionally, another financial dent worth Rs5.62 million was given to the PSM by the illegal hiring of retired officers’ services.

The state-owned entity also suffered Rs4.33 million loss in terms of insurance services from a private company.

Probe into theft cases

Last year, the Federal Investigation Agency (FIA) had expedited a probe into theft cases worth billions in the Pakistan Steel Mills (PSM).

According to the FIA officials, the agency will collect details of PSM theft cases from Sindh police. The FIA officials will collect complete records of the PSM offices and scrap. A list of PSM CEOs from 2010 was also compiled in connection with the investigation into the theft cases.

Moreover, another list was compiled containing 208 contractual and 592 daily wage employees.

The agency had also collected store records of the steel mill from 2017 to 2022. The FIA officials had recorded statements of 12 officers and employees.