AGP detects irregularities worth billions in KP departments

Irregularities include '42 cases of provision of funds, wasteful expenditure on a rest house and delays in claim insurance.'



The Auditor General of Pakistan (AGP) has noticed irregularities worth billions in Khyber Pakhtunkhwa’s public appointments. According to the reports, irregularities worth Rs. 7.44 billion in accounts of public sector enterprises (PSEs) of Khyber Pakhtunkhwa (KP) came under notice, as reported by a media outlet.

As per the details available, irregularities include ’42 cases of provision of funds, wasteful expenditure on a rest house and delays in claim insurance.’ There are also 13 cases of irregular retention of development funds, less/non-recovery, the irregular award of contract, non-depositing of interest, non-deduction of tax and 11 cases of irregularities of miscellaneous nature during the financial year 2015-16.

Funds to PEDO illegal:

The auditor report also revealed that the funds that were released to PEDO (Pakhtunkhwa Energy Development Organization) were in violation of KP Energy and Power Development Fund Ordinance 2016.

During the audit of EPD (Energy and Power Development) Fund Peshawar for the year 2015-2016, AGP noticed that the provincial authorities released Rs. 6,977.13 million from 2012-13 to 2014-15 to the organization for 7 projects.

”The non-recovery of outstanding dues worth Rs.66.70 million from allottees of industrial plots by Sarhad Development Authority (SDA)”.

EDO could only make use of Rs. 490.49 million during 2012-13 and 2014-15 on the mentioned projects. The release of such a massive fund to EPD was done without any assessment, which ultimately resulted in a Rs. 421.62 million massive loss of interest income.

PEDO also noticed an irregular expenditure of Rs. 14.88 million incurred in the appointment of CA (Chartered Accountants). The auditors are required to be appointed in consultation with the office of the AGP.

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