Corruption of Rs250m in Utility Stores Corporation unearthed

KARACHI: Fraudulent officials have deprived the Utility Stores Corporation (USC) of at least Rs250 million through fake cash deposit invoices, sources said on Thursday.
The officials at the account section of the USC Quetta region had been sending the forged reconciled cash deposit details for many years to the Islamabad-based head office of the government-run organisation, which offers discounted products.
“This year, a head office audit team headed by Allah Nawaz detected the fraudulent activities of the officials,” said an official source at the Utility Stores Corporation Karachi region.
The sources said around eight different outlets of the Utility Stores Corporationwere involved in submitting fake cash deposit invoices, which were subsequently reconciled by the account section with the concerned banks and the report was sent to the head office every quarter.
The preliminary investigation proved Rs250 million worth of scam. “The amount may further rise to Rs450 to Rs500 million after the detailed investigation, the official said.
Those who were involved in the rip-off had allegedly stolen the record of detection from the Quetta regional office. Computers, reconciliation ledgers and other evidences were removed, the sources said.
Most of the fraudsters have fled to some foreign country, they added.
A fact finding committee, comprising of senior USC officers, including regional manager Karachi, are presently in Quetta to ascertain the actual losses.
When contacted, Allah Nawaz, Audit Manager USC, declined to comment on the issue.
“The investigation is underway. The fact finding committee will come up with its report in two days,” he said. “The report will be made public.” —Shahnawaz Akhter