Appointment of SNGPL board’s head: PAC directs Petroleum Division to hold inquiry

ISLAMABAD: The Public Accounts Committee (PAC) on Wednesday termed the appointment of Chairperson of Sui Northern Gas Pipeline Limited (SNGPL) Roohi Raees Khan in violation of rules and directed the Petroleum Division to hold an inquiry.

Noor Alam Khan chaired the meeting of the PAC which examined the audit report on the accounts of the Petroleum Division and the Oil and Gas Regulatory Authority (Ogra) for the year 2019-20.

The Board of Directors of the SNGPL on July 12, 2020, elected Roohi Raees Khan as the SNGPL Board of Directors chairperson. Earlier on July 3, 2020, 11 directors were elected to the SNGPL BoD, who elected Roohi as the BoD chairperson for a period of three years. Roohi was last elected as the SNGPL BoD chairperson in November 2019 following the death of former SNGPL BoD chairperson Syed Dilawar Abbas.

Quoting the Services Rules under the Company Act, he revealed that the appointment of the chairperson on the SNGPL was in violation. He directed the additional secretary Petroleum Division to hold an inquiry. He further said that she had to surrender the amount given to her in salary and other perks and privileges since her assuming charge as chairperson.

The committee was informed that the federal cabinet had appointed the chairperson SNGPL Board as the board had both bureaucrats and private members.

The SNGPL was a private limited Company in 1963 and was converted into a public limited company in January 1964 under the Companies Act 1913, now The Companies Act 2017, and is listed on the Pakistan Stock Exchange (PSX).

Earlier, on Tuesday, Managing Director SNGPL Ali Javaid Hamdani informed the Senate Standing Committee on Petroleum that the BoD of the SNGPL comprises 11 members and some members have been working since 2013. The committee was further apprised that one member was appointed on the recommendations of businessman Mian Muhammad Mansha.

The PAC has sought details of salaries and other perks and privileges of chief executive officers (CEOs) / managing directors (MDs) and members of the Board of Directors of public sector companies and autonomous bodies. Only the SNGPL submitted details.

The company was briefed that the present MD is drawing Rs 5.3 million as salary and other perks and the gross salary of the previous MD was Rs 4 million.

Noor reiterated that the government should revisit its decision of appointment of foreign qualified candidates on lucrative packages on top positions in the public sector as the performance of such public companies could not improve since their appointments.

Earlier, Rashid Mahmood Langrial, Secretary Power also expressed his concern over the performance of the BoDs of the Discos. He said they had been taken from the private sector and had no contribution in the improvement of the Discos performance.

Copyright Business Recorder, 2022