KARACHI: The Federal Investigation Agency (FIA) in Islamabad has sought a report from the Sindh director of the agency regarding allegations against some FIA and police officials that they had been influencing an investigation into the multimillion rupees fraud in Pakistan Steel Mills funds, official sources confirmed to Dawn on Wednesday.

They added that a letter from FIA’s Economic Crime Wing (ECW) deputy director to the Sindh director of the agency also sought reply from the senior officials being blamed for “influencing” the investigations.

The letter carried a written request from the complainant who showed his concern over the alleged involvement of senior FIA and Sindh police officials in influencing the investigation into the fraud. “In the second week of December 2016, an FIR was registered and later three of the five suspects were arrested and consequently interim challan for the same was filed in a court,” said the complainant’s request attached with the FIA letter.

“But sadly on the very same day once again the case has been moved to another sub-inspector of another crime circle under the influence of a senior Sindh police official, Ahmed Yaar Chohan, FIA Karachi director Asim Qaimkhani and an FIA assistant director currently working as deputy director, Saeed Memon.”

The complainant approached the higher authorities in Islamabad to take notice of the happenings while expressing concern why the case had attracted the attention of such officials only “for the sake of protecting alleged persons.”

The FIA had arrested the senior PSM officers for allegedly misappropriating millions of rupees in the procurement and contracts of medicine supplies for the hospital of the country’s largest industrial complex after months of probe into the scam. The FIA arrested general manager Nusrat Islam Butt, manager Dr Mustansar Gillani and senior officer of accounts section Fahad Khan at their homes.

During the course of inquiry, it was established that after scrapping the tenders, the suspects got a budget approved for purchase through imprest account. At first instance they got Rs10 million of which Rs3m was used for purchase through imprest account and Rs7m was used through the spot purchase cell of the PSM.

Later, this provision of budget rose to Rs26m and most purchases were made from unregistered sellers of medicines and from “freelancers” who were originally engaged in supply of hardware, tools and general items. Even “bogus vouchers” were used to show supply and payments.

“With fresh intervention from Islamabad, a transparent investigation into the fraud can be expected,” said an official when asked about any impact on the case of the notice by authorities over alleged influence of senior officials.

Published in Dawn, January 12th, 2017