Rs 25 billion irregularities found in Armed Forces accounts by AGP
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ISLAMABAD – The Auditor General of Pakistan (AGP) has found Rs25 billion irregularities in the armed forces’ accounts for the year 2021-22.
An audit report has pointed out irregularities worth Rs21 billion in Pakistan Army’s financial affairs and Rs1.6 billion each in the financial matters of the Pakistan Air Force and the Pakistan Navy.
Inter-services organisations incurred Rs66 million and the Military Accountant General Rs203 million in irregularities. Irregularities to the tune of Rs2 billion were found in Military Lands and Cantonments' accounts, according to the report.
The AGP report said the Pakistan Army sustained around Rs18 billion in irregularities due to flaws in procurement of various items as the tendering process lacked open competition and other rules.
It said that procurement of goods and services was made in violation of the Public Procurement Rule, resulting in irregularities of Rs2 billion.
According to the audit report, Combined Military Hospital (CMH) Peshawar incurred Rs290 million in irregularities due to flaws in award of contract and mis-procurement of medicines.
The AGP found irregularities of Rs10 million in procurement while scrutinising records of PMA Kakul.
The report says the Pakistan Air Force violated PPRA Rules 2004 and Rs610 million irregularities were found in gas supply for power generation.
Irregularities to the tune of Rs481 million occurred due to unauthorised payment of overtime and conveyance allowances. Unnecessary procurement of sports items resulted in irregular expenditure of Rs181 million. The AGP found Rs102 million irregularities in money spent on construction of a sports complex and Rs83 million irregularities in procurement of a cruise boat. As much as Rs52 million irregularities were found in supply of electricity to Air Force Officers Housing Scheme (AFOHS).
The report pointed out Rs38 million irregularities in hospital development fund, Rs15 million doubtful expenditure on maintenance of grounds, Rs12 million irregular benefit awarded to a contractor and Rs4 million unauthorised expenditure on a fitness club.
According to the report, Rs1.6 billion irregularities were found in Pakistan Navy's accounts. They include “non-imposition of liquidated damages reflecting the failure of the management to safeguard government interest”.
In inter-services organisations, the audit report found Rs40 million irregularities in procurement of gifts and Rs26 million expenditure on purchase of stationary items from non-participant suppliers.
