Alleged fake claims by oil marketing companies have sparked major concerns in the Senate Standing Committee on Cabinet Secretariat.
The committee, chaired by Rana Mahmood ul Hassan, was informed about serious irregularities in claims submitted by several OMCs.
Senate Hearing on Oil Fraud
OGRA Chairman revealed that certain companies demanded billions of rupees from the government despite having no oil stock at all. This disclosure raised alarms about potential misuse of public funds in the energy sector.
Massive Financial Exposure
The Secretary of the Establishment Division told the panel that the government still owes oil marketing companies between 50 and 55 billion rupees for the past three weeks.
Committee members expressed grave concern over the lack of proper verification in processing these claims. Reports indicate a potential exposure of up to Rs125 billion, with nearly 40% of payments already disbursed in some cases.
Lawmakers demanded immediate accountability to protect taxpayer money.
OGRA has decided to hire an independent auditor to verify price differential claims (PDCs) submitted by the companies.
This audit aims to identify false or inflated submissions that may have burdened the national exchequer. Senator Aimal Wali Khan also highlighted the ongoing gas shortage issue in Khyber Pakhtunkhwa during the meeting.
The committee directed OGRA to submit a detailed report on gas load-shedding in KP within three days. Experts believe such alleged fake claims undermine trust in the regulatory framework governing the oil industry.
Strict legal action against companies found guilty of submitting misleading information has been strongly recommended. The scandal highlights weaknesses in monitoring mechanisms for subsidy-related and price differential payments.
Transparency and robust oversight are now being emphasized to prevent recurrence of such incidents. This development comes at a time when the energy sector already faces multiple challenges including supply chain issues and pricing pressures.