M/s JWD Sugar Mills Ltd of Jehangir Khan Tareen has withdrawn its offer to sell 20,000 tons of sugar to Utility Stores Corporation (USC) at Rs 67 per kg all inclusive due to criticism from the media.
This was intimated by M/s JWD's General Manager (Sales and Marketing) Zaman Khan in a letter to Chairman Utility Stores Corporation, Zulquirnain Ali Khan, who is said a close friend of Prime Minister Imran Khan and one of the key fund raisers for the PTI in Saudi Arabia. Insiders in the Ministry of Industries and Production claim that his selection as Chairman USC Board is under pressure.
M/s JWD while citing its earlier letter of February 12, 2020 on supply of sugar, states that the sugar mill had offered to USC 20,000 tons of sugar at reduced price of Rs 67 per ton inclusive of all taxes in good faith but media is misinterpreting it and creating the impression that through special approval of Economic Coordination Committee (ECC) of the Cabinet, a favour is being given to JWD whereas actual facts are otherwise.
"We would like to withdraw our offer to sell this quantity directly to USC," said, Zaman Khan in his letter to the Chairman USC.
M/s JWD has suggested the USC to make necessary arrangements for issuance of tender to procure 20,000 tons of sugar.
USC, time and again raised its voice at different forums - from Cabinet to ECC and Standing Committees - that since USC is a public sector organisation it should be exempted from PPRA Rules as due to such rules the organisation faces collusion by sugar mills.
The sources said USC wants to purchase sugar from sugar mills on a negotiation basis instead of PPRA rules, but the government believes that there are chances of corruption/bribes in case deals are made on the basis of negotiations.
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