ISGSL MD’s 3rd consecutive appointment raises eyebrows

ISLAMABAD: Nepotism is allegedly ruling the roost in Petroleum Division of the Energy Ministry, as Mobin Saulat is appointed as Inter State Gas System Company Limited (ISGSL) MD and CEO for the 3rd time has raised many eyebrows.

Interestingly, Mobin Saulat has been working in ISGSL as Managing Director and Chief Executive Officer for the last seven years and has so far remained successful in maintaining his position despite the expiry of the 3-year job contract. The changing governments do not seem to matter as he remained in the position during Pakistan Peoples’ Party’s (PPP) and Pakistan Muslim League-Nawaz’s (PML-N) government. Lately, he has been working as acting MD even after the expiry of his job contract in November 2016.

According to a notification of the Establishment Division, “Federal Government is pleased to appoint Mobin Saulat as Chief Executive Officer and Managing Director, Inter State Gas System Company Limited (ISGSL) under the Ministry of Energy (Petroleum Division) on contract basis for a period of three (03) years with immediate effect and until further orders.”

Official sources at petroleum division on condition of anonymity reportedly claimed that Mobin Saulat is a blue-eyed of Prime Minister Shahid Khaqan Abbasi and is involved in LNG business. In recent past, premier despite making a permanent appointment on the top slot (MD) of Government Holding Private Limited (GHPL) and Pakistan LNG Company has set aside the principle of merit and transparency and has appointed Saulat as acting MD. They said the premier while holding the portfolio of Petroleum Minister had earlier made him acting MD of ISGSL despite the expiry of his job contract.

Sources also claimed that PPP’s government former petroleum minister Dr Asim had earlier appointed Mobin Saulat as the top man of the ISGSL. Sources further added that former prime minister Nawaz Sharif had ordered an inquiry over the delay in shareholding agreement of Turkmenistan-Afghanistan-Pakistan-India (TAPI) gas pipeline project, however, contrary to the reports of the inquiry which recommended severe action against Mobin Saulat, have since been dismissed with the alleged help of PM Abbasi.

“Since, Mobin Saulat is actively involved in $ 2 billion worth ENGRO LNG Terminal scandal and NAB has speeded up its inquiry into the matter, the PM does not want to lose Saulat during such critical situation,” said sources.

It is relevant to mention here that NAB Karachi has once again initiated an inquiry against PM Abbasi, former petroleum secretary Abid Saeed ISGSL Managing Director Mobin Saulat, Sui Southern Gas Company Limited former Managing Director Zuhair Ahmed Siddiqui, and Engro Pvt Ltd CEO Emranul Haq in $ 2 billion worth ENGRO LNG Terminal scandal.

Misuse of authority in awarding LNG terminal by violating the Pakistan Procurement Regulatory Authority (PPRA) Rules, and billions rupees payment to the ETPL for LNG gasification is estimated to have caused a loss of $ 2 billion (approximately) over 15 years, said the NAB report.

The NAB report revealed that Shahid Khaqqan Abbasi has played a significant role in the award of the tender to the ETPL and also in the execution of tender through the ISGSL, instead of state-owned gas utilities. “Active role of the minister in the execution of tender through ISGSL, instead of Sui Northern Gas Pipelines Limited (SNGPL) or Sui Southern Gas Company Limited (SSGCL) has been identified,” the report reads.

Similarly, Mobin Saulat also played a vital role in changing the integrated tender into tolling tender; issued tender without the approval of ISGSL Board or SSGCL Board and announced the ETPL as a qualifier on draft and unsigned “Technical Evaluation Report” of the QED.

It is worth mentioning that tender for LNG terminal was awarded without getting approval from the board of directors of ISGSL and SSGCL, while changes were made after the issuance of tenders and without the approval of SSGCL board. Similarly, the ISGSL while setting aside the rules and procedures has done the entire job on mere verbal orders though billion rupees worth projects require transparency and special measure.

When contacted ISGSL MD Mobin Saulat to get his version over his 3rd-time appointment, he refused to entertain questions.

Ahmad Ahmadani
Ahmad Ahmadani
The author is a an investigative journalist at Profit. He can be reached at [email protected].

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