Theft Allegations and Claim of Quiet Offer to Russia
The National Assembly Standing Committee on Industries and Production has raised serious alarm over alleged large-scale theft and administrative failures at Pakistan Steel Mills (PSM). In a meeting chaired by Syed Hafeezuddin, members directed the Mill’s Chief Executive Officer to appear before the committee and explain the worsening situation at the state-owned enterprise.
During the session, committee member Naz Baloch presented a subcommittee report on Pakistan Steel Mills and made a series of strong allegations. She claimed that theft was taking place on a large scale within the Mill’s premises and that the overall situation had deteriorated sharply in recent months. According to her, PSM was quietly offered for sale to Russia nearly six months ago, raising fresh questions about transparency and the future of the once-flagship industrial complex.
Baloch also briefed the committee about a visit to the Steel Mills’ hospital, where she alleged that management had put up a ‘staged arrangement’ for inspection. Facilities and equipment were reportedly set up temporarily to impress the visiting team and then removed afterwards, suggesting an attempt to mislead lawmakers about the actual condition of services available to employees and their families.
Committee Summons CEO and Security Agencies
Taking notice of these claims, the Standing Committee decided to summon the CEO of Pakistan Steel Mills to its next meeting. Members want a detailed briefing on both the reported theft incidents and ongoing electricity-related issues at the plant. The CEO, who also serves as an additional secretary in the Ministry of Industries and Production, told the committee that action had been taken against individuals involved at senior levels, but members remained unconvinced.
The committee also called in the Defence Security Force (DSF), which is responsible for security at PSM and operates under the Ministry of Defence. Lawmakers said the DSF must explain how repeated thefts continue despite its presence on site. Officials informed the committee that scrap dealers were often aware of individuals involved in theft, indicating serious enforcement gaps and a possible nexus between internal staff and external buyers.
Committee chairman Syed Hafeezuddin remarked that all relevant institutions, including government bodies, had so far failed to curb theft at Pakistan Steel Mills. He ruled that officials who return to their posts through court stay orders after being accused of wrongdoing would not be allowed to participate in committee proceedings. He also urged the media to highlight the issue to ensure public accountability.
Development Projects and Ministry Oversight Under Scrutiny
Separately, the Ministry of Industries and Production briefed the committee on its development portfolio for the current fiscal year. Officials reported that 10 development projects had been initiated during the year, of which five have been completed so far. The total estimated cost of these projects exceeds Rs 20 billion.
An allocation of more than Rs 1.19 billion has been made for ongoing projects in the current year. Out of this amount, over Rs 666 million has been released during the first two quarters, while more than Rs 420 million has been spent to date. The ministry has also proposed the inclusion of 14 new development schemes in the upcoming Public Sector Development Programme (PSDP).
Despite these figures, committee members expressed strong displeasure over continued theft and mismanagement at Pakistan Steel Mills. Member Abdul Hakim Baloch noted that officials accused of involvement in theft often return to service after obtaining stay orders from courts, which undermines disciplinary action and sends a negative signal to honest employees.
What the Controversy Means for the Future of Pakistan Steel Mills
Pakistan Steel Mills has long been seen as a symbol of the country’s industrial ambitions, but years of losses, mismanagement, and stalled privatisation efforts have left it largely idle. The latest allegations of theft, staged inspections, and a quiet offer to a foreign buyer have deepened concerns about governance and transparency at the facility.
The Standing Committee’s decision to summon the CEO, the Defence Security Force, and other relevant officials suggests that the issue will remain on the parliamentary agenda. The matter is expected to be taken up again in the committee’s next meeting, where lawmakers are likely to seek concrete answers and clearer timelines for reform. For now, Pakistan Steel Mills remains under intense scrutiny as policymakers debate how to stop losses, protect public assets, and decide the long-term future of the country’s largest steel complex.
