Irregularities, misuse of authority: audit paras of defence ministry discussed

The Public Accounts Committee (PAC) Wednesday held an in-camera meeting on the audit paras of Ministry of Defence worth Rs 40 billion, for the year 2013-14. Media was barred from witnessing the proceedings of the meeting on the request of the incumbent Secretary Defence. However, audit report available to Business Recorder disclosed a number of irregularities and misuse of authority by the departments administrated by the Ministry of Defence.
Audit officials said the performance of the ministry could be judged from the fact that it could not sell three helicopters which had been grounded in 2005. Unnecessary delays caused devaluation of helicopters and resulted in a Rs 350 million loss. The audit report indicated that land acquired for residential proposes in cantonment area of Karachi was misused for commercial activities and national exchequer had to face a loss of Rs 250 million. The matter is still under investigation, the defence official informed the committee.
The committee further directed to regulate the payment made to six contractors who were awarded contracts of Rs 100 million in violation of the PPRA rules. No open bidding was held and contracts were awarded in 15 days. In another case, the officials of Ministry of Defence awarded Rs 64 million repair work in Malir Cantt against the rules. Rules allow the ministry to spend Rs 1 million. The PAC directed to amend the rules and regulations.