LAHORE: A division bench of the Lahore High Court (LHC) on Monday denied stay to two oil marketing companies (OMCs) against an order of a single bench directing the federal government to ensure recovery of “illegal” gains the companies made by creating an artificial shortage of petroleum products.

The impugned verdict said the government must culminate legal action against those involved in malpractices of whatsoever nature or found responsible for creating the artificial shortage.

The bench also issued notices to the government and other respondents for a date to be fixed later.

Earlier, the counsel for the Hascol Petroleum and Byco Petroleum companies urge the bench to suspend the order passed by the single bench as an immediate relief.

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The bench observed that stay could not be granted without hearing the point of view of the federal government.

On June 25 last, former LHC chief justice Muhammad Qasim Khan had issued the impugned decision on several public interest petitions.

He had directed the government to form a committee for the recovery of unlawful gains from the OMCs.

The government was also directed to take steps for the audit of all OMCs and in the light of such an audit report, a committee or subcommittee shall be constituted if required, to examine the existing rules and regulations, which in the facts and circumstances may propose amendments/ recommend new legislation.

Copyright Business Recorder, 2021