May 24, 2021: Apropos media reports about the Plant & Machinery valuation conducted by M/s Joseph Lobo, third party valuer appointed by the Pakistan Steel Mills Corp (PSMC) and the role of Privatisation Commission (PC), its staff members, and the Financial Advisor (FA) appointed by the PC, it is categorically denied that PC and any of its staff members or FA has held any independent meeting with the PSMC appointed valuer i.e. M/s Joseph Lobo.

However, the subject valuation remained under discussion during the weekly progress review meetings co-chaired by Minister for Industries & Production and Minister for Privatisation, during the period Feb-April, 2021. It is also clarified that a visit by the PC officials, consultant, and the FA to Karachi on April 02, 2021, to hold a meeting with PSMC and its appointed valuer i.e. M/s Jospeh Lobo was made on the specific request and invitation of the MoIP & PSMC and as was decided in the weekly progress review meetings, besides the fact that the said meeting was held in the presence of the Joint Secretary-MoIP, CEO-PSMC, A/CFO-PSMC, Company Secretary-PSMC and other concerned officials.
 
PC also denies the assertion of making any attempt to influence the MoIP, PSMC and/or its appointed valuer i.e. M/s Joseph Lobo, to reduce the valuation conducted by it. Nevertheless, upon receipt of the said report and in the exercise of the powers conferred upon PC pursuant to section 5(h) of the PC Ordinance 2000, which provides that the Commission shall issue directions and instructions to the management of a business undertaking falling within the purview of the privatization programme approved by the Cabinet on all major important administrative, financial, reporting and policy matters, M/s Jospeh Lobo was called in the weekly progress review meetings to explain and justify the valuation report. PC comments and views in this regard are part of the official record as well as communicated to MoIP, PSMC, and the valuer. However, PSMC appointed valuer has time and again failed in its professional duty to provide satisfactory justifications to the queries raised.
 
On its part, the PC and its assigned staff member’s along with the appointed FA have been conducting the official business well within the legal framework by exercising due diligence towards the transaction of reviving the Pakistan Steel Mill. It is, therefore, strongly refuted that any influence to have the valuation revised was ever exerted by the Privatisation Commission or the FA on the valuer, M/s Joseph Lobo. Any negative aspersions cast in this respect are unfortunate and appear to be a feeble attempt by vested groups to derail the process of Revival of Pakistan Steel Mills, which is at an advanced stage.

Press Release

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