Over Rs418m corruption unearthed in SNGPL

ISLAMABAD: In an alarming disclosure, corruption of Rs418.356 million in certain store items has been spotted in the Sui Northern Gas Pipeline Company (SNGPL), showing the fact that all is not well in SNGPL. The FIA has stepped into the matter and started a probe into the corruption.

According to an official document available with The News, misappropriation of Rs413.235 million by some unscrupulous elements of SNGPL in certain store items has been detected in the Central Base Manga Store at Misri Shah, Lahore. The company booked Rs418.356 million in the financial statements against the theft of pipes.

“Senior officials have been found involved in this wrongdoing. Pipes of Rs418.356 million have been stolen from the store. The top management of the company has initiated a probe,” the SNGPL spokesman confirmed it to The News.

The spokesman said that in October 2023, an incident of misappropriation and theft of line-pipe was reported at the Manga Base Store. The In-Charge of Manga Stores, along with certain staff members, was apprehended during a raid conducted by the CIA police at Misri Shah/Badami Bagh, Lahore. The company responded swiftly, launching a comprehensive investigation to assess the extent of the theft and shortage. The matter was promptly referred to the FIA for further investigation, resulting in the registration of an FIR against the identified culprits following an exhaustive inquiry.

The spokesman said, “The ongoing investigation has uncovered collusion among certain executives and staff members who facilitated the theft by falsifying transactions and recording incorrect information in the system.” While criminal proceedings are advancing, the FIA has already submitted an interim challan to the court.

The company has also initiated disciplinary action against numerous executives and staff members implicated in the wrongdoing. “This process has so far led to termination and other disciplinary measures as per the company policy.”

To a question, he explained that within the organizational structure, the Stores department is managed by a head of department General Manager who is responsible for operations and controls as outlined in the departmental manual. “Senior General Manager (SGM) and Deputy Managing Director (DMD) only provide a supervisory layer over and above HOD, overseeing multiple departments while providing policy level input to relevant departments.”

When asked if the loss incurred due to theft would be recovered from consumers, he said that crucially, the financial impact of the theft is not included in the revenue requirements determined by Ogra, ensuring that consumers are not burdened by this loss. “Additionally, the company has initiated a detailed forensic audit to uncover further details and implications of the matter which is under process.”