Federal govt accounts: Top auditors point out irregularities of over Rs213 bn

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The country’s top auditors have pointed out wrongdoings, corruption, weak financial control, mismanagement and irregular spending of over Rs213 billion of public money in accounts of the federal government.

The supreme audit body — Auditor General of Pakistan (AGP) — has scrutinised accounts of some three dozen federal ministries and divisions for the audit year 2019-20 of the federal government, exposing weak control of Pakistan Tehreek-e-Insaf’s government over its accounts involving public money as compared to the previous financial year.

The AGP, following constitutional requirement, has laid this report before the parliament (Senate and National Assembly), bringing its conclusive findings on scrutiny of public funds of federal ministries, divisions and its subsidiary organisations.

The detailed audit findings also revealed that supplementary grants not printed was Rs164.3 billion, expenditure not charged to capital account was Rs20.7 billion, delayed surrendering resulting in non-utilisation of funds is Rs8.9 billion and un-reconciled expenditures after closure of accounts remained Rs8.9 billion. Audit coverage relating to expenditure for the current audit year comprises 325 formations of 40 principal accounting officers/ministries having a total expenditure of Rs346.754 billion for the financial year 2018-19. In terms of percentage, the audit coverage (compliance audit) was 19.34pc of the auditable expenditure.

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The auditors pointed out irregularities of some Rs250 million in accounts of public management departments, Rs746 million in accounts of Board of Investment, Rs1.2 billion in expenditures of Cabinet Division, Rs122 million in Commerce Division, Rs129 million in Communication Division, Rs92 million in Defence Division, Rs107 million in National Highway and Motorway Police and irregular spending of Rs680 million was found in accounts of Defence Production, reveals audit reports analysed by Geo News.

The teams of AGP also found irregular expenditures of over Rs11.2 billion in institutions associated with the Establishment Division. Life Insurance could not arrange Rs8.2 billion of employees; it also came across an irregular expenditure of Rs4.2 billion from GIF Account without covering insurance.

The auditors pointed out irregularities of Rs1.3 million in Works and Services Department of KPK, Rs565 million in Home Department of KPK, Rs650 million in Health Department of KPK, Rs365 million in FATA accounts, Rs375 in Agriculture Department of KPK, Rs850 in Education Department of KPK, Rs60 million in Pakistan Girls Guide Association, Rs210 million in Sports and Culture Department of KPK, Rs965 million in accounts of Federal Education and Professional Training where an un-authorised expenditure on procurement of 130 Isuzu buses i.e. Rs.842 million was noted where handing over/taking report of some buses was missing.

Estimated Federal Judicial Academy’s irregular spending was Rs60 million, Rs294 million in Federal Board of Intermediate and Secondary Education Islamabad, Rs110 million in Pakistan Boy Scouts Association, Rs81 million in National College of Arts, Rs7.7 billion in Ministry of Finance where over-deduction of collection charges and less payment to the provinces under the NFC was Rs7.259 billion.

The auditors have also pointed out irregular spending of Rs188 million in accounts of Military’s Finance Division, Rs440 million in National Savings, Rs346 million in Pakistan Mint, Rs837 million in Securities and Exchange Commission of Pakistan and major irregularities of some Rs32 billion were pointed out in accounts of Financial Monitoring Unit where non-recovery of fees and charges levied by regulatory agencies were Rs10.1 billion and non-recovery of long outstanding penalties of Rs.21.5 billion.

Irregular spending of Rs25.8 billion was pointed out by the top audit body in accounts of Higher Education Commission, Rs16.5 million in COMSATS University, Islamabad, Rs355 million in Federal Urdu University, Rs41 million in Allama Iqbal Open University, Rs410 million in Quaid-i-Azam University,Rs2.1 million in Housing and Works Division, Rs9 million in Human Rights Division, Rs149 million in Ministry of Industries and Production, Rs217 million in Pakistan Industrial Technical Assistance Centre, Rs8.1 billion in Ministry of Information Technology and Telecom, Rs65 million in Electronic Government Department, Rs1.8 billion in Virtual University Pakistan, Rs72 million in accounts of Inter-Islamic Network on Information Technology.

The AGP in its report also found irregularities of Rs20 million in National Information Technology Board, Rs14.7 billion in Ministry of Information and Broadcasting, Rs8.1 billion in Press Information Department, Rs112 million in Gun and Country Club, Rs3.1 billion in National Internship Program, Rs230 million in Ministry of Interior, Rs240 million in Directorate General Immigration and Passport, Rs76 million in Federal Investigation Agency, Rs670 million in Islamabad Capital Territory Police, Rs1.6 billion in Islamabad Administration, Rs40 million in Inspector General Frontier Corps (South), Rs24 million in Gilgit Baltistan Scouts, Rs530 million in Inspector General Frontier Corps (North) KPK, Rs100 million in Frontier Constabulary KP Peshawar, Rs13 million in Directorate General Civil Defence, Rs2.1 billion in Pakistan Rangers Sindh Karachi, Rs600 million in Kashmir Affairs and Gilgit Baltistan Division, Rs200 million in Law and Justice Commission of Pakistan, Rs35 million in Law and Justice Division.

The Pakistan Maritime Affairs Division also witnessed huge irregularities of estimated Rs60 billion where accounts of Karachi Port Trust came under scrutiny, involving non-production of record of Rs9.30 billion, non-reconciliation of closing balance with bank accounts of Rs2 billion, loss of Rs8.1 billion due to allotment of KPT Land to housing societies at lower rate, non-deposit of sales tax and federal excise duty of Rs3.9 billion for tax period 2012 & 2013, non-reconciliation of investments in ledger and annual accounts of Rs48.8 billion, delay in encashment of TDRs of Rs23.2 billion, non-deposit of interest accrued on PIB of Rs10.1 billion, non-recovery/adjustment of rent from SAPT of Rs8.3 billion, wasteful expenditure on repair of non-operational BHD Ali Dredger Rs1.3 billion, loss due to supply of 300,000 liter POL to non-operational Dredger BHD Rs25.769 million, unauthorised expenditure on repair of Ship TSHU ABUL from KS&EW Rs724.013 million, non-recovery of storage charges of unclaimed 1,400 lots Rs12.2 billion, non-maintenance of separate GP Fund Account of Rs5.1 billion, non/maintenance of separate Pension Funds of Rs5 billion and numerous other irregularities.

The irregular spending of Rs222 million was found in accounts of Government Shipping Office, Karachi, Rs.6 billion in Pakistan Marine Academy, Rs12 million in Prime Minister’s Program for Prevention of Hepatitis, Gilgit, Rs50 million in Federal Government General Hospital, Islamabad, Rs29 million in Khyber Institute of Child Health and

Children Hospital, Hayatabad, Rs210 million

in Pharmacy Council of Pakistan, Islamabad, Rs41 million in Pakistan

Medical and Dental Council, Islamabad, Rs35 million in Federal Government Polyclinic, Islamabad, Rs187 million in National History and Literary Heritage Division, Rs10 million in Pakistan National Council of the Arts, Islamabad, Rs92 million in Iqbal Academy, Lahore, and other irregularities worth around Rs13 billion in the Urdu Science Board, Lahore, and more than a dozen other federal institutions.

Government officials said these things appeared in the audit and the same reconciled afterward and did not mean embezzlement took place.

 

 

 


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