The Pakistan Economy Watch (PEW) on Sunday lauded government for not bowing to the pressure of the influential Gilgit-Baltistan oil mafia. The government known for bowing to pressure to different interest groups and market forces took a firm stand to confront the oil mafia, which had planned to achieve goals by creating artificial shortage of oil in Gilgit-Baltistan (GB).
The powerful mafia that has embezzled billions by misusing petroleum freight subsidy since a decade was brought to lime light in January this year in a PEW report.
Some influential politicians, oil marketing companies (OMCs), officials of petroleum ministry, OGRA and carriage contractors were involved in the plunder, said Dr Murtaza Mughal, President of the PEW.
After the publication of report, some steps by Ogra and other departments controlled the activities of oil mafia to some extent, however they were smart enough to find novel ways, he said.
Dr Murtaza Mughal said that some private companies undeterred by the actions of government and notice by the GB courts have granted licences for some two dozen filling stations in last ten months.
The step was taken despite the fact that filling stations in GB are already in access of demand and their sole purpose was to earn profit by misusing freight subsidy, he said. Few days back, GB oil mafia, uneasy over reduced profits, planned a strike by carriage contractors, believed to be backed by some marketing companies.