Rs329.92bn payments to IPPs declared unconstitutional by AGP

Is it not what so called Raja rental was doing? If yes what is the explanation of those who carried on ugly campaign against previous PM for the same reason?

Rs329.92bn payments to IPPs declared unconstitutional by AGP - Pakistan - DAWN.COM

ISLAMABAD. The Auditor General of Pakistan (AGP) has declared payments amounting to Rs329.92 billion, made to Independent Power Producers (IPPs) by the Federal Consolidated Fund on the advice of the finance division, as ‘unconstitutional’ and against treasury rules.

The present regime paid the amount to IPPs, to overcome the energy crisis prevailing in the country, without consulting the Auditor General and without pre-audit checks, according to a report compiled by the AGP for the fiscal year 2014-15.

The report says that irregular direct payments were made from the Federal Consolidated Fund on the advice of the finance division.

The audit has observed that article 170 (1) of the constitution states that the account of Federation and Provinces shall be kept in such form and in accordance with such principles and methods as the Auditor General may, with the approval of the president, prescribe.

Section 5(b) of Controller General of Accounts (Appointment, Functions and Powers) Ordinance, 2001 states that it is the function of the Controller General of Accounts to authorise payments and withdrawals from the Consolidated Fund and public accounts of the federal and provincial accounts against approved budgetary provisions.

Other relevant rules also emphasise that unless the government ─ after consultation with the Auditor General ─ directs, money may not be withdrawn from the Federal Consolidated Fund or the public account of the federation without written permission of the Treasury Officer or of an officer of the Pakistan Audit Department authorised in this behalf by an Accountant General.

The Manuscript of Appropriation Accounts of Federal Government for 2013-14 revealed that payments amounting to Rs329.92 billion were directly made from the Federal Consolidated Fund on the advice of the finance division.

According to the report, the auditor observed that the payments were made without consultation with the Auditor General and without pre-audit checks as required under Section 5(b) of Controller General of Accounts (Appointment, Functions and Powers) Ordinance, 2001 which was a violation of Article 170(1) of the Constitution and resulted in financial indiscipline.

Finance division management has not made any reply on the matter, the report says.

Re: Rs329.92bn payments to IPPs declared unconstitutional by AGP

What is this amount in Dollar terms?

Re: Rs329.92bn payments to IPPs declared unconstitutional by AGP

About $3.3 billion.

Funnily enough, the AGP in 2013, Akhar Bulund Rana wanted to conduct an audit as well, but was sidelined, and then fired by the PMLN govt. As a matter of fact, audit responsibilities were taken away from him and given to the finance ministry itself, which was laughable. PMLN appointed a yes man to the AGP post, hoping he would tow their line. 2.5 years later, that $3.3 billion payout is coming back to haunt them.
Look out for IShaq Dar to come out guns blazing, targeting this audit with munshi style arguments.

Re: Rs329.92bn payments to IPPs declared unconstitutional by AGP

Did the do any background checks on this AGP? he might be from PTI :)
worry not, PMLN knows how to handle such crooks, example of NADRA cheif. and couple more :)

Re: Rs329.92bn payments to IPPs declared unconstitutional by AGP

The MD of Nandipur who was given Sitar e Imtiaz by PMLN for making a project that didn't even run for a day also belonged to PTI. :)

Imran set up poor PMLN for Nandipur fall.

Re: Rs329.92bn payments to IPPs declared unconstitutional by AGP

The most corrupt political party in the history of Pakistan is PML(N) which is also illegitimate progeny of a general. It is quite surprising that this corrupt to core party is winning elections in Punjab since decades. Perhaps majority of Punjaibs like to vote for their own corrupt kith and kins.

Re: Rs329.92bn payments to IPPs declared unconstitutional by AGP

I, for once, agree with you. its one of the most corrupt parties. well they win elections on the basis of system that they have developed/hijacked like patwaris, teachers, police. Not until we get rid of these cronies first we can't really go forward. just look at the powers CM has, he can appoint bureaucracy according to his own wishes, thus only giving power to those who can be his Yes-Men. After almost 30 years in power these ppl still don't know that governments don't work on taking notices but by building institutions and strict accountability.