ISLAMABAD – A recent audit by the Auditor General of Pakistan (AGP) has raised serious concerns over how public money was handled during the fiscal year 2023–24. The report points to financial irregularities and poor oversight across several federal ministries and departments, with the total questionable amount exceeding a staggering Rs1,100 billion.
One of the most alarming revelations was the import of 3.59 million tons of wheat, even though there was already a surplus in local stocks. This move caused an estimated Rs300 billion loss, hurt local farmers, and disrupted market balance.
The report dives into various problem areas, such as ministries spending money without proper budget approval, overpayments to Karachi Port Trust employees, and unauthorized payments within the Civil Armed Forces. Financial mismanagement also surfaced in regulatory bodies, where officials received excessive salaries and allowances—particularly in the Private Educational Institutes Regulatory Authority.
The Pakistan Cricket Board (PCB) was also flagged for irregular contracts, unauthorized payments, and lack of financial discipline. Additionally, there were troubling findings of land encroachments under the Evacuee Trust Property Board, KPT, and Jammu & Kashmir state properties—pointing to weak asset management.
Tax-related issues were also identified, including failures to deduct taxes on several payments, leading to significant revenue losses.
Beyond these, the AGP found:
Rs1.69 billion in embezzlement and fictitious payments
107 cases requiring recovery of Rs689.48 billion
39 instances of weak internal controls involving Rs160.39 billion
The report also noted that many other internal control lapses were included in a supplementary document but were not presented to the Public Accounts Committee (PAC), as they were considered less significant.
To address these issues, the AGP has put forward a series of strong recommendations—urging government departments to avoid spending without prior approval, improve internal audits, deposit all unused funds into the treasury, and maintain proper asset records with annual checks. Most importantly, serious cases of fraud should be sent to investigation agencies.
Responding to the findings, a government spokesperson said these are not final judgments. “Audit observations go through the Departmental Accounts Committee (DAC), chaired by the Principal Accounting Officer, before they reach the PAC. Most irregularities are resolved at the DAC level, and those recommendations are typically accepted by the PAC,” the official stated.
Despite that, the audit paints a concerning picture of how public funds are being managed and signals an urgent need for greater accountability and financial discipline across federal institutions.
