The Khyber Pakhtunkhuwa Government hails the launch of its own internal audit system, while Punjab is really still thinking of it. KPK, the only province after Sindh, which has developed its own Internal Audit Systems. The idea is to do it right the first time.
The Internal Audit Cells (IAC) are to be established in each Government Department to ensure on regular basis that compliance to processes is maintained at the point of operation. As a result there will be less objections for the year end audit. This is rather a proactive approach to abstain from problems, rather than trying to find an cure after a mistake/irregularity has taken place. This will increase the performance and progress of the government departments as procedural mistakes will be corrected right inside the department.
The Idea is inspired by The British System of Internal Audit. Furthermore, the project was completed with a technical support from UK’s Department for International Development (DFID) funded Sub-National Governance Programme (SNG).
Provincial Internal Audit Cell (PIAC)
The PIAC is headed by Provincial Coordinator Internal Audit (BS-19) and report to the Secretary Finance.
Provincial Coordinator Internal Audit BPS 19 = 1
Deputy Provincial Coordinator Internal Audit BPS 18 =1
Assistant Provincial Coordinators Internal Audit BPS 17 = 2
Functions of PIAC
These shall include the following:
- Formulation and implementation of Policies and Procedures
- Encouraging Compliance with Ethical Standards
- Receiving, Compiling, Consolidating and Presenting Annual Audit Plan to the Chief Secretary
- Receiving, Compiling,Consolidating and Presenting Progress Reports
- Receiving, Compiling, Consolidating and Presenting Annual Audit Report to the Chief Secretary
- Conducting Quality Control Reviews of audits conducted by the Departmental Internal Audit Cells (DIACs)Reviewing and updating IA Framework, where required
- Ensuring DIACs update their IA Toolkits, where required
- Managing IA Human Resource
- Conducting internal audit of Finance Department itself
- Ensuring compliance of notifications/directives, austerity measures etc. issued by Finance Department
It is envisaged that the roll out of this system will be made in phases. In the first phase, 13 out of 34 departments will have the Provincial Internal Audit Committee. The jurisdiction of the internal audit will include all payments made out of the provincial consolidated fund, contract award, and management- its processes and record, recruitment, risk and asset management. This policy shall be applicable to all departments, directorates, attached departments, attached offices, and autonomous/semi-autonomous bodies, authorities and boards working under the administrative departments.
So What do you think of the new milestone achievement of KPK Government? Let us know in the comments box below