PAC wants end to third party contract

ISLAMABAD: The Public Accounts Committee (PAC) Tuesday recommended end to the practice of third party contractor for hiring human resource and regularising all employees of the attached departments of the Petroleum Division of Ministry of Energy.

The committee declared that the third party contractor was a wrong practice that caused losses to the national exchequer. The committee also sought the details of payments made to the third party contractors.

Chaired by Syed Khursheed Shah, the committee examined the audit paras of Petroleum Division for the financial year 2016-17. The committee had taken notice of extension in the contract of M/s Human Resources services for 11 years without break in violation of PPRA rules to hire human resource causing a loss of Rs422.870 million to the national exchequer.

Managing director PSO told the committee that extension in the contract of M/s Human Resources services was in accordance with the rules.

He said the company had not revised rates for the services due to which the extension continued to be granted.

He said the other two companies were substandard and one of them had even gone bankrupt.

PAC member Sardar Ashiq Gopang remarked that PPRA rules were devised in 2004 and the PSO had been following them since 2010 then why the company contract was extended. Secretary Petroleum Division said he also supported direct hiring.