Pakistan State Oil (PSO) has rejected thousands of barrels of substandard fuel brought by Midstar and has decided to impose a penalty on the vessel, well-informed sources told Business Recorder. Federal Investigation Agency (FIA) is also investigating the matter on the complaint of the national fuel supplier.
"Midstar brought substandard fuel which was rejected by PSO and Hydrocarbon Development Institute of Pakistan (HDIP) Karachi. There is no liability on PSO. Supplier will be reprimanded," the sources added. Insiders claim that during inspection it was found that a lot of water was mixed in the fuel and PSO imported the fuel on C&F instead of FOB. "FIA is already monitoring all shipments so this is also under their review. We are taking it up with the supplier and will be imposing liabilities/penalties and have asked for replacement," said PSO spokesperson.