CEO Hascol Petroleum detained on bail refusal by trial judge

February 21, 2023 (MLN): The Cheif Executive Officer (CEO) of Hascol Petroleum Limited (PSX: HASCOL) Aqeel Ahmed Khan has been detained along with several others following the Trial Judge's decision to refuse confirmation of bail applications in the matter of FIA Enquiry No. 127/2021, the company filing on PSX showed today. 

Although legal counsel is advising that post-arrest bail should be granted, the board of the company has authorized the CFO, Amad Uddin, to assume the authority of the CEO until the issue is resolved or further decisions are made by the board.

This move aims to ensure that the company's affairs continue to operate without disruption during this uncertain time. HPL has yet to release an official statement on the matter.

To recall, last year in January, FIA arrested Mumtaz Hasan, founder of HASCOL in Rs54 billion scam.

According to the FIA's document available with MG, a total of 30 suspects including present and former top officials of the National Bank of Pakistan (NBP), HASCOL, and other organizations had been involved in a scam and efforts are being made to arrest them.

As per the document, from 2015 to 2020, funded and non-funded financial facilities were granted in the shape of bank loans to HASCOL by the NBP in violation of prudent banking laws and practices, which amounts to criminal breach of trust causing wrongful loss to the NBP/National Exchequer and wrongful gain to HASCOL.

HASCOL's first significant borrowing relationship was initiated with Summit Bank in 2009, which remained its main Banker until the entry of NBP.

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