Thursday, September 21st, 2017
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Pakistan Steel Mills (PSM) Board of Directors (BoD), scheduled to meet on Wednesday (today), will discuss follow-up action on fixation of cost of 930 acres of land handed over to NIP for development of an Industrial Park at Bin Qasim. To be presided over by Engineer Jabbar Memon, the meeting will also discuss establishment of Special Economic Zone (SEZ) near Pakistan Steel Mills, Karachi, under the umbrella of the China Pakistan Economic Corridor (CPEC).

Chairman Board argues that NIP has already allotted about 600 acres of land out of 712 acres for setting up industrial units in total area of 930 acres. However, the organisation is not responding to PSM letters in which information has been sought in respect of sale proceeds collected, to be collected as balance along with other details to include party name, area, rate and date of sale and other terms and conditions. He alleged that NIP has committed many violations of the agreement.

Secretary Privatisation Sardar Ahmad Nawaz Sukhera added that PSM board should take a firm stand and give a cut-off date to NIP to finalise the long pending issue. He suggested that if NIP does not resolve this issue at the earliest against given cut-off date, then case for swap of NIP land for settlement of PSM''s liabilities may be discussed by Chairman and CEO with the PC.

The valuation of land has become a source of contention between the federal government and PSM management due to which the former acting CEO Mohsin Haqqani went on Leave Prior to Retirement (LPR).

PSMC, stakeholders group which has to recover above Rs 65 billion from PSM and is supporting the revival of the mills, has written letters to Chairman BoD, CEO and CFO PSMC offering land price of Rs 30 million to Rs 40 million per acre subject to NoC from Government of Sindh.

The Group''s Convener has demanded a transparent accountability in the mills reflecting losses in books of account. He further stated that cases of corruption must be referred to FIA/NAB by the PSMC/Ministry as complainant because no recovery has materialized in favour of PSMC from cases from 1996 to 2017.

The Board will also discuss the case of M/s Sociedade-de-Fomento Industrial Private Limited (India) vs M/s Pakistan Steel Mills Corporation (Private) Limited (Pakistan), arbitration case between M/s Sesa Goa and Pakistan Steel Mills before sole arbitrator appointed by ICC, hot preservation of COB-1 & payment of outstanding dues of M/s Concord and appointment of CEO on contract basis till privatization.

Promotion of General Manager (PSMC-III) to PEO (PSMC-II) and consideration of associated matters including with regard to looking after contract arrangement period by / through available experience in PSM and Pakistan Steel Mill Corporation (PSMC) as well as liability settlement plan are also on the agenda.

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