Federal Minister for Finance, Dr. Abdul Hafeez Shaikh here on Monday was informed that National Logistic Cell (NLC) has paid all of its loans, liabilities and become a debt free organization.
A meeting of the National logistic Board Members (NLB) held here and discussed various financial matters of the organization, said a statement issued by the Ministry of Finance.
Director General NLC gave a detailed presentation to the meeting, highlighting the key performance, budget requirements and other issues facing by the NLB.
He informed that currently NLC has paid all of its loans, liabilities and since July 3 NLC has been become a debt free organization and earned 11.2 percent net profit to revenue in 2011-12.
The revenue and capital budget of NLB for fiscal year 2012-13 was also presented in the meeting, which was approved with a guideline that NLC will make a good balance between realism and motivation and will not proliferate or unnecessarily exaggerate its projects.
A detailed discussion was held on closure of joint ventured Karachi Financial Tower Project. NLB presented a settlement plan with its joint venture companies working on the projects.
The meeting discussed different aspects of settlement plan and decided to gave in principle approval. However, NLB was asked to evaluate further on the other options for settlement.
The meeting was also discussed and approved the proposal of NLB regarding sale of Gwadar Port shares, sale of Blue Area Plot, Accounts for financial year 2009-10 and matters on already approved purchase of prime movers and agreement with KORAIL.
On the matter of paying Rs 700 million to NLB for repair of Pakistan Railway Locomotive by Pakistan Railway, Finance Minister asked Secretary Finance to hold a separate meeting of Pakistan Railway, NLB and Finance Division Representative to resolve the issue.
The meeting also did a lengthy deliberation on the proposal of NLB regarding closure of joint venture agreement of NLC with other company on construction project in Qatar and to get full management and financial control of the said project.
The Finance Minister approved one part of the proposal of QR. 10 million to pay off liabilities of the company and to inject fresh capital to start work independently.
On the proposal to pay off QR. 8.5 million to other company for closure of joint venture agreement with NLB, meeting decided that NLB should work further on different other aspects of financial arrangements with its joint ventured company.
The meeting also in principle approved the acquisition of Ultimate Building Machine from Military Engineering Services (MES) at a cost of Rs 250 million and the cost of machine will be adjusted by MES on construction contracts, it offers to NLC.