Rs10 billion material theft at Pakistan steel mills alarms Senate Panel as FIA inquiry pending Since 2020

The Senate Standing Committee on Industries and Production expressed serious concern after learning that material worth around Rs10

Islamabad: The Senate Standing Committee on Industries and Production expressed serious concern after learning that material worth around Rs10 billion had reportedly been stolen from Pakistan Steel Mills, while an inquiry into the matter has been pending with the Federal Investigation Agency since 2020. The committee also noted that no culprit had been convicted despite repeated theft incidents at Pakistan Steel Mills, which has remained non operational for the past eleven years.

The matter was discussed during a meeting of the Senate Standing Committee on Industries and Production held at Parliament House. In the absence of Committee Chairman Senator Aon Abbas Buppi, the members unanimously nominated Senator Khalida Ateeb to preside over the meeting. During the meeting, the committee reviewed Pakistan Steel Mills’ affairs in detail. Officials informed the committee that employees’ salaries had been released two months earlier. These payments also included amounts for guarantors who had stood surety for their colleagues.

Senator Saleem Mandviwalla observed that Pakistan Steel Mills has remained non operational for the past eleven years. He said there had been no meaningful progress on privatization of the Mills. He called for a thorough investigation into theft incidents at Pakistan Steel Mills and recommended forming a sub committee to examine the matter. The committee learned that theft incidents have increased since Pakistan Steel Mills closed.

Officials told the committee that personnel from the DSF, local police and some PSM security staff had been implicated in theft cases. The CEO of Pakistan Steel Mills informed the committee that the Head of Security had been replaced. He also informed the committee that 83 suspects had been arrested in connection with theft-related offences during the past three months. However, the committee expressed serious concern that no culprit had been convicted despite repeated theft incidents.

Chairperson Senator Khalida Ateeb noted that material worth around Rs10 billion had reportedly been stolen from Pakistan Steel Mills. Officials informed the committee that an inquiry into the matter has remained pending with the FIA since 2020. The committee observed that such a delay raises serious questions about the accountability, security and protection of national assets. The committee also reviewed the problems faced by retired employees of Pakistan Steel Mills.

The chairperson took notice of the case of retired employee Saadat Ali, who was allegedly implicated in a theft case without justification. She directed the Ministry to examine the matter on merit and ensure the clearance of his post retirement dues. The committee also discussed the case of another retired employee, Nazar Alam, whose outstanding dues remain unpaid. Officials informed the committee that the Ministry had not yet released the required funds.

However, they assured members that payment would be made once the allocation is received. The committee was informed that approximately Rs15 billion in employee related liabilities of Pakistan Steel Mills remain pending with the Finance Division. Members said the rights of employees and retired workers must not be ignored while the Mills remains closed and its future remains uncertain.

The committee also adopted the report of a sub committee titled “To examine overall problems faced by Pakistan Steel Mills.” The committee further constituted a sub committee to examine increasing theft incidents and the operational and administrative issues being faced by PSM employees. The sub committee will review the matter in detail and submit its report to the main committee.

The committee made it clear that the matter needs proper investigation, accountability and urgent action because Pakistan Steel Mills is a national asset and public money is involved.