SC issues stay order in LNG import contract case

More on this   Dar rejects demand to reduce defence budget WB, NHA discuss matters Senators oppose giving FBR access to bank accounts Pakistan asks India to remove duties on LNG export Double taxation: Gas consumers to bear the brunt PIA, Railways, Steel Mills to be made profitable entities Rs 6.167b for development of agriculture sector

ISLAMABAD: The Supreme Court on Monday issued a stay order in the liquefied natural gas (LNG) import award contract case and directed the National Accountability Bureau (NAB) to expedite the probe into the matter.

The Supreme Court issued the stay order against all the proceedings at all the forums for the award of LNG contract till the final judgement in the case. A three-member bench headed by Chief Justice Iftikhar Muhammad Chaudhry heard the suo motu case initiated on the note of the Supreme Court Registrar. The chief justice said that the court’s main concern is transparency in awarding the contract. He added that the Public Procurement Rules, 2004 rules should be adhered strictly in the matter.

The counsel for the Ministry of Petroleum and Gas, SSGC, Ministry of Finance secretary, PEPRA managing director and representative of Engro Pakistan appeared before the bench and sought time for filing reply. The court issue notice to economic affairs secretary and former SSGC chairman Waqar A Malik as they could not appear in person or through their counsels. In 2010 in a judgment in suo motu case the court had observed that the Ministry of Petroleum and SSGCL had not followed the process for awarding contract for LNG supply by Mashal Project.

The court said that according to the media the ECC had failed to take a decision on award of a multi-billion dollar contract for import of 400 million cubic feet of LNG and left the matter to the federal cabinet to take the difficult decision. An immediate meeting of the cabinet was likely to be convened early next week to resolve the controversy after some members of the ECC questioned the summary submitted by the Petroleum Ministry to declare Pakistan Gasport consortium as the lowest bidder by declaring another bidder as non-compliant. Waqar A Malik, chairman of the SSGC Board, had tendered his resignation on March 7, 2013.

End.