The special audit report has pointed out financial irregularities in the Zero Point Interchange project observing that the project was undertaken without carrying any feasibility study.
The special audit report prepared by the Auditor General of Pakistan says the bid (Rs2.345 billion) was accepted at 72% above the NIT cost of Rs1.371 billion which was beyond the permissible limit of 15% over the administrative approval.
The report says that
the projects of infrastructure sector costing more that Rs300 million should be based on proper feasibility study as per instructions of the planning commission.
But no feasibility study was carried out for this mega project involving an estimated PC-1 cost of Rs2.273 billion and later revised to Rs4.148 billion — 82.5% above the original cost.
The audit report observed that extra expenditure of Rs117.8 million was incurred due to change in design without any technical justification.
There was also extra payment of Rs91.4 million for not taking cross-sections of earth-work prior to commencement of work while there was also over payment of Rs22.6 million because of non-deduction of volume of earth structures.
The report also finds unfavourable impact on the effectiveness of the project due to closure of Khyaban-e-Suharwardy.
The report observes
there was also violation of Master Plan of Islamabad
due to provision of intersectional link on Islamabad Highway with I-8 service road north, and construction of Pakistan Monument on western ridge of Shakarparian.
In the recommendations, the audit report says that proper planning based on accurate survey and feasibility studies be undertaken to avoid unnecessary delays involving revisions and changes in designs.