KARACHI, June 28: The Pakistan Steel Mills, has clarified a news item “PS supplied aluminium without documentation” published in the June 28 issue of Dawn.

The clarification says: “As per routine procedure tenders for supply of aluminium, opened on Jan 3, 2002, were won by M/s Faisal Metal Works for supply of 415 MTN of aluminium ingots of 95 per cent purity.

The purchase order in this regard was to be issued after financial approval / concurrence of the chairman and the director (finance) respectively.

The supplier on a misunderstanding that purchase department had issued them verbal orders for supply of the material approached the stores department on Feb 15, 2002, but since they had no purchase order in writing they were not entertained by the stores department.

On this the supplier vide a letter dated Feb 15, 2002 to the chairman complained that on the verbal instructions of the purchase department, they had provided/transported the material which had been awaiting unloading at the Pakistan Steel premises at Gate No 4 for three days, and they were facing a loss of about Rs 3,000 per truck per day.

In the letter it was further requested to allow unloading. Subsequently as per the chairman’s directive to the director (TS), the trucks were unloaded and the complaint was looked into.

However, after financial concurrence from the finance directorate on March 4, 2002, the purchase order was to be issued after seeking extension in the offer of validity from the supplier. But the supplier having refused to extend the offer of validity, the material was returned”.

Our staff reporter adds: The clarification of the Pakistan Steel has only confirmed the contents of the news item. The news item says that the Faisal Metal Works was the lowest bidder. No Purchase Order was issued. The FMW supplied aluminium without the purchase order.

The relevant department did not allow the unloading of the trucks in the mills. The supplier approached the steel mill chairman who ordered that material be unloaded. The steel mills has confirmed these facts in the clarification.