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PAC to probe irregularities in NOC

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KATHMANDU, Jan 31: The Public Accounts Committee (PAC) of legislature-parliament has formed a seven-member sub-committee to probe into irregularities and mismanagement at Nepal Oil Corporation (NOC).



The panel led by PAC member Dhan Raj Gurung has been entrusted with the investigating into procedures of appointing dealers, licensing LPG refilling companies and hiring transporters, among others. It has been asked to submit a report within a month.[break]



“We have formed a sub-committee to look into alleged irregularities at NOC. The panel has been asked to conduct thorough investigation on mismanagement in determining prices of petroleum products, selecting transporters, storage arrangements and auditing system and submit report within a month,” said PAC Chairman Ram Krishna Yadav.



During the meeting on Monday, most of the lawmakers raised concern on internal management system and the overall process from procurement to price fixation, distribution and storage of petroleum products.



PAC had recently summoned Commerce Secretary Purushottam Ojha and NOC Managing Direction Digambar Jha to discuss on different issues pertaining to pricing and distribution of petroleum products.



The government has recently decided to lend Rs 1.3 billion to NOC, which has been facing loss of over Rs 700 million every month.



“NOC has been jacking up prices of petroleum products time and again, despite the government lending it huge amount many a times. We need to conduct in-depth investigation on NOC,” said Usha Gurung, a PAC member.



Along with NOC, the lawmakers are also for investigating into irregularities and mismanagement in Nepal Telecom and Nepal Electricity Authority as well.



The PAC has also decided to summon officials of the Ministry of Physical Planning and Works (MoPPW), representatives from Federation of Nepalese Chambers of Commerce and Industry (FNCCI), Federation of Contractors´ Associations of Nepal (FCAN) and Nepal Engineers Association to seek further clarification on the estimated cost and resource management for Kathmandu-Tarai Fast Track Road.



Similarly, the parliamentary panel has decided to summon officials of Home Ministry on Wednesday to seek clarification on the delay in implementation of the committee´s direction to restrict entry of Nepalis in casinos.



Raising concern on the transfer of Ram Kumar Lamsal, director general of Department of Roads (DoR), who was recently lauded by the PAC for introducing e-bidding in construction tenders and saving more than Rs 4 billion for the government, the parliamentary committee decided to furnish clarification from the MoPPW within three days.



“Lamsal was transferred right after the PAC lauded his efforts in effectively implementing e-bidding. This is an insult to PAC,” lawmaker Rabindra Adhikari said.



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