ISLAMABAD: The National Assembly’s Standing Committee on Petroleum and Natural Resources directed the Federal Investigation Agency (FIA) on Thursday to reopen investigation into the payment of Rs266 million out of the OGDCL Workers Profit Participation Fund to non-entitled employees.

Committee chairman Chaudhry Bilal Ahmad Virk told the management of the Oil and Gas Development Company Limited (OGDCL) to formally lodge a complaint in this regard and provide relevant information to the FIA.

The committee members discussed complaints received from different sources about financial misconduct in the OGDCL, including the payment made from the Fund, misuse of medical facility and even theft of oil from the fields.

The committee was told by OGDCL Managing Director Zahid Mir that Rs98 million and Rs238m had been paid in cash to employees in years 2006-7 and 2007-8, respectively.

“The payment was made by the office-bearers of the OGDCL workers union but its record is not available with the company,” he said.

This irked the committee members and Akram Khan Durrani questioned the powers of the OGDCL management and union to distribute official funds without placing details on record.

NA committee discusses complaints about financial misconduct in the company

The chairman directed the OGDCL management to conduct an internal inquiry into the matter and identify the people who had received the money for its subsequent disbursement among the employees.

The managing director said that the FIA had conducted an inquiry in 2010 on a complaint lodged by third-party employees who had received funds lesser than they deserved. But the inquiry was closed due to non-availability of concrete evidence.

The members of the committee also expressed concern over the disclosure that a huge amount was being spent on medical treatment of OGDCL employees.

They were told that Rs890m had been spent on treatment of the employees over the past five years.

Taking cognisance of the massive expenditure, an inquiry was conducted which identified involvement of 77 employees in the misuse of the funds at the head office and field establishments.

The managing director told the committee that further inquiry was in progress and disciplinary action would be taken against those found responsible for misuse of the funds.

“Even if you do not have the proof (of the embezzlement) or record (of the expenditure), I have it,” the committee chairman told Mr Mir.

Mr Virk directed the FIA to assist the OGDCL management in recovery of medical funds embezzled by the employees and medical facilities on the panel of the company.

The committee also directed the management to take disciplinary action against officials involved in oil theft during movement of oil from the fields. This case was also referred to the FIA for an investigation.

OGDCL officials admitted that around 700 litres of diesel was stolen on a daily basis during the past 10 years and said that after action was taken against employees involved in the theft, the company had started saving 50,000 litres of diesel every month.

The committee discussed the logistic operations, budget and spending of the OGDCL and directed the National Accountability Bureau to submit an update on the case of theft of diesel worth Rs328m from Tando Adam field in next meeting.

Published in Dawn, February 3rd, 2017