Weak control over financial issues of MoC, NHA AGP's help sought for strengthening mechanism

Public Accounts Committee (PAC) showing its serious concerns over weak internal financial control of the Ministry of Communication and National Highway Authority (NHA) and has sought help from Auditor General of Pakistan (AGP) for strengthening the control. The Committee, which met here with Syed Khurshid Shah in the chair, took up the audit accounts of the ministry of communication for the financial year 2010-11.
The chairman observed that ministries and their attached departments including the NHA have very weak control over financial matters and sought help from auditor general for strengthening the mechanism. He further directed his secretariat to write letters to federal ministries and direct them to take advice from Auditor General of Pakistan for strengthening their internal audit system.
The audit observed that Project Director, Construction of Musa Pak Bridge at the River Sutlej at Aimanwala, Multan included 14 vehicles in the bill of quantities (BOQ) of the work against five vehicles provided in the PC-I. A total of 11 vehicles were purchased for Rs 22.06 million during 2009-10, resulting in excess/ unjustified expenditure of Rs 10.06 million.
The NHA awarded the work 'construction of Khiali Flyover at Gujranwala' to m/s KNK Private Ltd and incurred expenditure of Rs 140.92 million during the year 2009-10 without approval of PC-I. The committee directed to take the revised PC-I to National Economic Council for approval and if it is unable to get approval from the competent forum than it would be taken back to the ministry.
The committee also directed the ministry to complete an inquiry within 30 days. Project Director, Gwadar-Ratodero Road Project (M-8), Section-I, Package-IIA, Package-IIB and Section IIA, paid escalation on skilled labour contrary to the contract provisions. Inadmissible payment of escalation resulted in an overpayment of Rs 121.74 million.