ISLAMABAD: The Auditor General of Pakistan (AGP) claims to have completed its audit of the KP government’s mega scam - commonly known as the Rs40 billion Kohistan scandal - as far back as February 2025, but asserts that its officers are not involved.
In a formal response to The News, a spokesperson for the AGP’s office said, “The Rs40 billion scandal was audited in February 2025. Audit of public sector organisations is our routine matter. We are not bound to reveal our audit findings to the media as FIA or NAB do. According to Article 171 of the Constitution, we complete the audit process and submit our reports to the President of Pakistan or the respective governor.”
When asked whether the AGP took action against the officials allegedly involved in the scam, he clarified that the officers belonged to the accounts department and therefore, questions regarding inquiries or disciplinary action should be directed to the authority concerned.
NAB is presently investigating the scandal, seen as one of the most systematically orchestrated frauds in recent history, involving collusion between government departments, contractors, and banking institutions.
According to NAB sources, the scam involved unauthorised withdrawals from the Contractors’ Security Deposit Head G-10113, with falsified documentation enabling the misappropriation of over Rs36 billion from public funds between 2019 and 2024. The fraud was carried out through more than 1,200 treasury cheques and laundered through a network of over 100 bank accounts spread across 13 banks.
One of the central figures is a dumper driver, whose bank accounts alone witnessed transactions worth more than Rs16 billion. Investigators say his accounts were used as parking channels for government officials’ illegal earnings.
NAB has so far frozen over Rs5 billion in balance amounts, pay orders, and banker’s cheques; seized luxury properties purchased from crime proceeds, including one worth Rs4.5 billion; arrested seven accused, including two government officials, two bankers, and three contractors; and confiscated a number of high-end vehicles bought using stolen public funds.
