Malik admits failure in unearthing PSM corruption

The government’s trouble-shooter, Interior Minister Rehman Malik, for the first time in the last three years admitted a failure when he told the federal cabinet on Wednesday that “despite best efforts”, he had failed to catch corrupt elements in the Pakistan Steel Mills (PSM). Prime Minister Yousaf Raza Gilani had tasked the Federal Investigation Agency (FIA) in August 2009 to unearth corruption in the PSM.
A source told Pakistan Today that during the debate in the federal cabinet meeting over restructuring of the PSM, Malik said some “mafias” had occupied the mills and its labour unions were continuously sabotaging the government’s efforts to revive the entity.
“Rehman Malik said the labour unions of PSM were so headstrong that they were not allowing even sincere officers to work for the betterment of the mills and dictating their terms to the management,” the source said.
According to the source, Malik admitted that he had failed to unearth cases of corruption in the PSM through the FIA mainly due to the powerful “mafias” operating in the PSM.
“Despite my serious and sincere efforts to bring corrupt elements of the PSM to the book as directed by Prime Minister Gilani in 2009, I could not get transparent inquiry conducted by the FIA due to pressure tactics of such labour unions,” the source quoted Malik as saying.
In August 2009, Gilani had sacked then chairman of PSM Moeen Aftab Sheikh on graft charges and directed the FIA to investigate the alleged corruption in the PSM. The Supreme Court also took suo motu notice of the issue and has reprimanded the FIA several times in the past two years for its lack of progress in the case. The source said the PPP ministers vowed in the cabinet meeting that the government would revive the PSM, as it was founded by Zulfikar Ali Bhutto.
“Finance Minister Abdul Hafeez Sheikh told the cabinet that restructuring of the PSM was a must and bailout packages could not revive the sick mills. He (sheikh) told the cabinet that so far Rs 50 billion had been provided to the PSM, but to no avail,” the source said.
The source added that Federal Minister for Religious Affairs Syed Khurshid Shah and MQM ministers sought security for 20,000 PSM employees in case the mills were restructured.