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Shahbaz defers NAB briefing to PAC

By Our Correspondent
January 01, 2019

ISLAMABAD:The Public Accounts Committee (PAC) Chairman Shahbaz Sharif on Monday deferred the briefing from the National Accountability Bureau (NAB) over its 168 pending cases referred to the Bureau by the previous PACs.

He said Energy Minister was giving a briefing to the committee on Tuesday so the meeting of the NAB has been deferred. Shahbaz also announced formation of six sub-committees to examine the pending audit paras including those related to the PML-N tenure. He formed a sub-committee chaired by Syed Fakhar Imam for logical conclusion of cases of corruption of billions of rupees in the New Islamabad Airport project, Grand Hyatt Hotel and Royal Palm Golf Club with the direction to submit the report to main committee within one month.

Another sub-committee was formed to be headed by Shahida Akhtar Ali, to examine the performance of government departments and formulate recommendations for the main PAC within two months. The PAC meeting was given a detailed briefing on the working and tasks of the department by the Auditor General of Pakistan. During the meeting, the AGP officials complained that many departments have not formulated their rules and do not follow the PPRA rules either. They told the PAC that several government departments have a weak system to recover their dues and in many cases the government land was encroached upon due to their incompetence and absence of the system while the Principle Accounting Officers of the government ministries and departments do not take action on the past deeds. They said some departments do not respond to the audit objects and even fail to produce record for the audit officials.

They sought the assistance of the PAC for legislating to make the AGP an independent organisation and told the committee that despite protection by the constitution of Pakistan through the 18th Amendment, no legislation for AGP's autonomy was made and it continues to work as an attached department of the Finance Ministry. Seeking help of the PAC for the legislation, the AGP said the bill to amend the Auditor General of Pakistan Ordinance 2002 was passed by the National Assembly and it went to the Senate which sent the amendments back to the National Assembly for approval but by then the tenure of the National Assembly had expired and subsequently the bill lapsed.

They also told the committee that the AGP has recovered Rs160 billion. When the PAC questioned about the action taken against those from whom the recovery was made, the audit officials failed to satisfy the committee.

The PAC member Riaz Fatiyana remarked that it seems there are governance issue that caused delay in the completion of projects. The PAC Member Noor Alam questioned as to who audits the AGP. The AGP Javed Jehangir said the President of Pakistan appoints a government officer to audit the department. He told the committee there are some departments which generate their own revenues and his department also audits them. “The Supreme Court of Pakistan in its verdict in Hamid Mir case in 2013 gave a clear mandate to the Auditor General of Pakistan,” he said.

During the briefing, the audit officials told the committee that out of 56 public sector companies, audit of 40 was completed that includes Metro Bus Projects in Multan, Rawalpindi and Lahore, Orange Line, Pakistan Cricket Board, Pakistan Super League, circular debt, E-ticketing project of Pakistan Railways. In 2018-19, the audit of Billion Tree Tsunami, Central Power Purchase Authority, Orange Line Electrical component, forensic audit of the EOBI, Sustainable Development Goals (SGDs) audit of PSO, Benazir Income Support Programme, EMDFs, Hajj Directorate, Punjab Revenue Authority, Malaria Control Project, Skill Development Programme, and Sindh Solid Waste Management Corporation was going on. The audit officials pointed out irregularities and corruption in the New Islamabad Airport, Grand Hyatt Hotel and Royal Palm Golf Club and the committee sent these cases to NAB and FIA.

The officials of the AGP told the committee that PC-1 of Rs37 billion New Islamabad Airport was approved on March 2008 and it was revised in April 2014. They said its cost went up to Rs81.17 billion while in the second revision in March 2018 the cost jumped to Rs105.911 billion. So far Rs85.554 billion have been spent on it, they told. The PAC member Shiekh Rohail Asghar told the committee that two parallel runways were constructed with the gap of 400 meters instead of 1200 meters which is the international standard. The audit officials said the names of those responsible are lying with the PAC Secretariat and this information could be taken from there. Shahbaz Sharif directed the secretary PAC to provide details of the inquiry report to all members of the PAC.

About the Grand Hyatt Hotel, they briefed that the building was converted into flats. The PAC member Brig (retd) Ijaz Shah questioned as to who was responsible for the change in the masterplan. The PAC member Shaikh Rohail Asghar sarcastically remarked “it was Pervez Musharraf, who gave the permission and will you catch him? Whether the PAC has guts to fix the responsibility on him (Musharraf),” he said.

While briefing the PAC on Royal Palm Golf Club scam, the audit officials told the committee that this issue was pointed out by the audit department in 2006.