The audit report for the audit year 2011-12 says that management of Inspector General Frontier Corps (Headquarters), Peshawar, Khyber Pakhtunkhwa, incurred an expenditure of Rs 148.7 million on payment to relatives of martyrs and injured persons during 2011-12. According to the report, the management of FC despite repeated requests did not provide approved list of martyrs or injured personnel or their nominees and proofs of payments to the auditors.
The record of FC revealed that Rs 49.350 million were paid to widows of martyrs and injured persons through cheque No. 2439318 dated 01-10-2010 and similarly Rs 99.35 million were paid via cheque No. 65/PLA dated 07-03-2011.
Auditors viewed that in the absence of the record audit was not in a position to ascertain the authenticity of claims and payments. The management of FC, in response of the objection, stated that the expenditure would be got verified from the Ministry of Interior, however, the auditors rejected the reply on the plea that the record was required to be produced for audit.
The principal accounting officer (PAO) was also informed on 16-12-2011 but departmental accounts committee (DAC) was not convened till the finalization of audit report. Audit reporter recommended that responsibility should be fixed for hindering the auditorial functions of the Auditor General of Pakistan. Similarly, in another audit para, the audit reports say the management of FC (Headquarters) Peshawar deducted an amount of Rs 139,762,108 from the pay of jawans on account of Scouts Saving Scheme at the rate of Rs 50 and medical deduction at the rate of Rs 30 per person per month.
Audit observed that the amount was deducted and retained without any authorisation of the Ministry of Finance. The audit report viewed that the amount deducted irregularly was a financial loss to the jawans and retention was susceptible to misappropriation.
The FC management, in reply to audit objection, stated that the matter for preparation of draft rules was under process and has been forwarded to the Auditor General of Pakistan, Controller General of Accounts and Finance Division.
The management accepted the audit observation but has not taken any remedial measures, says the report. Audit recommended that the unlawful deduction might be immediately stopped, proper rules and authorisation might be got approved from the Ministry of Finance for future deduction, the deducted amount might be refunded and the details of the utilization of the deducted amount be provided.