Audit Report on the Accounts of Secretary Local Government Department Karachi Metropolitan Corporation & Karachi Water & Sewerage Board Audit Year 2013-14

AUDIT REPORT ON THE ACCOUNTS OF SECRETARY LOCAL GOVERNMENT DEPARTMENT KARACHI METROPOLITAN CORPORATION & KARACHI WATER & SEWERAGE BOARD AUDIT YEAR 2013-14

AUDITOR-GENERAL OF PAKISTAN

TABLE OF CONTENTS

ABBREVIATIONS AND ACRONYMS ...... i PREFACE ...... iv EXECUTIVE SUMMARY ...... v SUMMARY TABLES & CHARTS ...... ix Table 1: Audit Work Statistics ...... ix Table 2: Audit observations Classified by Categories ...... ix Table 3: Outcome Statistics ...... x Table 4: Table of Irregularities pointed out ...... xi CHAPTER-1 ...... 1 1.1 Introduction/profile of the entities ...... 1 1.1.1 Secretary Local Government ...... 1 1.1.2 Karachi Metropolitan Corporation ...... 1 1.1.3 Karachi Water & Sewerage Board ...... 1 1.1.4 Comments on Budget and Accounts (Variance Analysis) ...... 2 1.2 AUDIT PARAS ...... 10 1.2.1 Misappropriation / Fraud ...... 10 1.2.2 Non-Production of Record ...... 11 1.2.3 Irregularity / Non-Compliance ...... 12 1.2.4 Internal Controls Weaknesses ...... 36 ANNEXURE ...... 39

ABBREVIATIONS AND ACRONYMS

BPS Basic Pay Scale CDGK City District Govt. Karachi CE Chief Engineer Cft Cubic feet CPWA Code Central Public Works Accounts Code CPWD Code Central Public Works Department Code CSR Composite Schedule of Rates DAC Departmental Accounts Committee DDO Drawing & Disbursing Officer DG Director General DMD Deputy Managing Director E&M Electrical Mechanical F.A Financial Advisor FAO Field Audit Office FBR Federal Board of Revenue FD Finance Division / Department F&P Finance and Planning FY Financial Year GFR General Financial Rules GOS Govt. of Sindh GST General Sales Tax HBA House Building Advance H.R Hot rolled HRA House Rent Allowance HRM Human Resource Management IPC’S Interim Payment Certificate KMC Karachi Municipal Corporation KMDC Karachi Medical & Dental College KW&SB Karachi Water & Sewerage Board LG Local Govt. LGD Local Govt. Department MD Managing Director MEFDAC Memorandum for Departmental Accounts Committee

MS Medical Services MT&RI Municipal Training & Research Institute NEK North East Karachi PAO Principal Accounting Officer PS Personal Secretary PC-I Planning Commission Proforma-I PD Project Director P&F Purification and Filter P/L Providing and Laying P/F Providing and Fixing POL Petroleum, Oil and Lubricants PPRA Public Procurement Regulatory Authority MT&RI Municipal Training & Research Institute PWD Public Works Department RA Running Account R.E Resident Engineer Rft Running feet RO&DP Reverse Osmosis & Desalination Plant R&T Road & Transport SE Superintendent Engineer S.S (HTP) Special Secretary for Housing & Town Planning SCS&LGTA Sindh Civil Services & Local Govt. Training Academy S/F Supplying & Fitting Sft Square Feet SLGB Sindh Local Govt. Board SMH Sobhraj Maternity Hospital SO Section Officer SPPRA Sindh Public Procurement Regularity Authority SR Supplementary Rule SRC Standing Rates Committee SUV Sports Utility Vehicle TMA Town Municipal Administration T&C Transport & Communication TR Treasury Rules UA Union Administration

UC Union Council VOL Volume WD Water Distribution XEN Executive Engineer

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PREFACE

Articles 169 & 170 (2) of the Constitution of the Islamic Republic of Pakistan, 1973, read with Sections 8 and 12 of the Auditor General (Functions, Powers and Terms and Conditions of Service) Ordinance, 2001, require the Auditor General of Pakistan to conduct audit of the receipts and expenditure of the Secretary Local Govt. Department, Karachi Metropolitan Corporation, Karachi Water & Sewerage Board, Taluka / Town

Municipal Administrations and Union Councils. This report is based on audit of the accounts of various offices of the Secretary Local Govt. Department, Karachi Metropolitan Cooperation and Karachi Water & Sewerage Board for the financial year 2012-13. The Directorate General of Audit, Local Councils, Sindh, conducted audit during 2013-14 on test check basis with a view to reporting significant findings to the relevant stakeholders. The main body of the Audit Report includes only the systematic issues and audit findings having value of Rs 1 million or more. Relatively less significant issues are listed in the Annexure-1 of the Audit Report. The Audit observations listed in Annexure-1 shall be pursued with the Principal Accounting Officer at the DAC level and in all the cases where the PAO does not initiate appropriate action, the Audit observation will be brought to the notice of the Public

Accounts Committee through the next year’s Audit Report. Audit findings indicate the need for adherence to the regularity framework, besides, instituting and strengthening internal controls to avoid recurrence of similar violations and irregularities. Most of the observations included in this report have been finalized in the light of written response(s) and discussion(s) in the DAC meetings in case of paras related to audit year 2012-13. Principal Accounting Officer failed to convene DAC meetings for the audit year 2013-14, despite pursuance by audit. The Audit Report is submitted to the Governor of Sindh in pursuance of Article 171 of the Constitution of the Islamic Republic of Pakistan, 1973 read with Section 116 of the Sindh Local Government Act 2013, for causing it to be laid before the Provincial Assembly of the Sindh.

Islamabad (Muhammad Akhtar Buland Rana) Dated: Auditor-General of Pakistan

EXECUTIVE SUMMARY The DG Audit, Local Councils, Sindh, Karachi is responsible to carry out the audit of 119 Taluka / Town municipal Administrations. This Directorate General has a human resource of 33 officers and staff, resulting in 2,937 man days. Annual budget amounting to Rs 77.141 million was allocated to this office for the financial year 2012-13. The office has a mandate to conduct regularity audit (compliance with authority audit) on test check basis with a view to reporting significant findings to the relevant stakeholders. This office also conducts performance audit of programmes / projects.

Secretary Local Govt. Department performs his duties under the Sindh Rules of Business 1986. The funding of the local government department is sourced through Provincial Consolidated Fund for which Annual Budget Statement is authorized by the Provincial Assembly. Further, Karachi Metropolitan Corporation and Karachi Water & Sewerage Board conduct their operations under Sindh Local Government Ordinance, 1979 (as amended). Both entities have one Principal Accounting Officer (PAO). Karachi Metropolitan Corporation covers fifteen groups of offices i.e. Administrator, Finance & Planning, Revenue, Information Technology, Education, Health, Community Development, Agriculture, Enterprise & Investment Promotion, Karachi Mass Transit Cell, Municipal Services, Transport & Communication, Literacy, Law, and Parks & Horticulture. Karachi Water & Sewerage Board includes Managing Director, five Deputy Managing Directors and nine Chief Engineers. Financial provisions of the Ordinance describe the Government as District Local Fund and Public Account for which Annual Budget Statement is authorized by the Administrator in the form of budgetary grants while MD, KW&SB was provided budget on the basis of the estimated revenue receipts duly approved by Local Government Department, GoS. a. Scope of Audit

The combined expenditure of the Secretary Local Government Department, Karachi Metropolitan Corporation and Karachi Water & Sewerage Board (KW&SB) for the financial year 2012-13, was Rs 17,753.63 Million covering 01 PAO and 1,680 formations. Out of this, DGA, Local Councils, Sindh, audited an expenditure of Rs.7,101.452 Million, in terms of percentage, is 40% for the financial year 2012-13. Out of total 1,681 formations, 971 formations were planned and 512 formations were audited which, in terms of Percentage, is 52.7% achievement against the planned activities.

Annexure-2 (Audit Impact Summary) provides additional information regarding the audit impact.

The selection of the audited formations i.e. DDO wise was made keeping in view the significance and risk assessment, samples were selected after prioritizing risk areas by determining significance and risk associated with identified key controls. b. Recoveries at the instance of audit

Recoveries of Rs 1,770.807 Million were pointed out during the audit. However, recoveries of Rs 1.419 Million were affected till the finalization of this report. Out of the total, pointed out recoveries of Rs 2.055 Million were not in the notice of the executive before audit. c. Audit Methodology

Audit was performed through understanding the business process with respect to functions, control structure, prioritization of risk areas by determining their significance and identification of key controls. This helped auditors in understanding the systems, procedures, environment, and the audited entity before starting field audit activity. Audit used desk audit techniques for analysis of compiled data and review of permanent files / record. Desk Audit greatly facilitated identification of high risk areas for substantive testing in the field. The selection of audited formations was carried out on the basis of materiality / significance and risk assessment. Selections of samples were made on the basis of financial outlay, weaknesses in internal controls, non-compliance of laws, rules, regulations and prescribed procedures and then reporting and follow up.

d. Audit Impact On the pointation of audit, KW&SB has stopped the sanction of POL to the employees for their private vehicles. Besides, authority has started deduction of house rent and electricity charges on fixed rates from the salaries of employees residing in official accommodation. Moreover, KW&SB has issued directives for preparation of Log Books, History Sheets, and Petrol Consumption Accounts of each vehicle to justify the expenditure.

vi e. Comment on Internal Controls and Internal Audit Department Several loopholes in the internal control system were noticed during the audit year 2013-14. Major internal control weaknesses have been reported in Chapter 3. Moreover, other internal control weaknesses have been incorporated in Annexure-1. In all departments audited by Director General Audit, Local Councils, internal audit departments exist in KMC and KW&SB but are not functioning effectively, whereas the internal audit department did not exist in the Department of Secretary, LG.

f. The key audit findings of the report

i. Misappropriation / Fraud were pointed out in 02 cases amounting to Rs 2.201 Million1.

ii. Non-Production of Record was pointed out in 01 case amounting to Rs 573.461 Million2.

iii. Irregularities / Non-Compliance were pointed out in 36 cases amounting 3 to Rs 2,359.549 Million .

iv. Internal Control Weaknesses were pointed out in 04 cases amounting 4 to Rs 196.100 Million .

Audit paras for the audit year 2011-12 & 2012-13 involving procedural violations including internal control weaknesses and irregularities not considered worth reporting to the PAC are included in MFDAC (Annexure-1).

1 Para 1.2.1.1, 1.2.1.2 2 Para 1.2.2.1 3 Para 1.2.3.1,1.2.3.2,1.2.3.3, 1.2.3.4, 1.2.3.5, 1.2.3.6, 1.2.3.7,1.2.3.8,1.2.3.9, 1.2.3.10, 1.2.3.11, .2.3.12, 1.2.3.13, 1.2.3.14, 1.2.3.15, .2.3.16,1.2.3.17,1.2.3.18,1.2.3.19,1.2.3.20, 1.2.3.21,1.2.3.22,1.2.3.23, 1.2.3.24, 1.2.3.25, 1.2.3.26, 1.2.3.27,1.2.3.28, 1.2.3.29, 1.2.3.30, 1.2.3.31, 1.2.3.32, 1.2.3.33, 1.2.3.34, 1.2.3.35, 1.2.3.36 4 Para 1.2.4.1, 1.2.4.2, 1.2.4.3, 1.2.4.4,

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g. Recommendations

i. The Secretary, Local Government Department, KW&SB and Karachi Metropolitan Corporation should comply with the SPPRA Rules 2010 for procurement of goods and services.

ii. Recovery should be affected and disciplinary action be taken against the officials involved in cases of violation of rules and regulations.

iii. Inquiries should be held to fix responsibility for fraud, misappropriation, losses and wasteful expenditure. iv. There is need to strengthen internal controls to ensure that similar types of lapses reported are not repeated and fair value for money is obtained from public spending.

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SUMMARY TABLES & CHARTS

Table 1: Audit Work Statistics (Rupees in Million) Sr. Description No. Budget 1. Total Entities (PAOs) in Audit Jurisdiction 01 17,753.630

2. Total formations in Audit Jurisdiction 1,681 17,753.630

*3. Total Entities (PAOs) Audited 01 941.022

*4. Total formations Audited 512 7,101.452

*5. Audit & Inspection Reports 512 7,101.452

6. Special Audit Reports - - 7. Performance Audit Reports - -

8. Other Reports (Relating to District Government) - - * The figures at serial No.3, 4 & 5 represents expenditure

Table 2: Audit observations Classified by Categories (Rupees in Million) Monetary Sr. Description Value of Audit Para Reference Observations 1 Asset Management 5.665 1.2.3.25, 1.2.3.27, 1.2.3.31 Financial 2 2.201 Management 1.2.1.1, 1.2.1.2 Internal controls 3 196.100 1.2.4.1, 1.2.4.2, 1.2.4.3, 1.2.4.4 Weakness 1.2.3.1, 1.2.3.2, 1.2.3.3, 1.2.3.4, 1.2.3.5, 1.2.3.6, 1.2.3.7, 1.2.3.8, 1.2.3.9, 1.2.3.10, 1.2.3.11, 1.2.3.12, 1.2.3.13, 1.2.3.14, 1.2.3.15, 1.2.3.16, 1.2.3.17, 1.2.3.18, 2,353.884 Violation of rules 1.2.3.19, 1.2.3.20, 1.2.3.21, 1.2.3.22, 1.2.3.23, 1.2.3.24, 1.2.3.26, 1.2.3.28, 4 1.2.3.29, 1.2.3.30, 1.2.3.32, 1.2.3.33, 1.2.3.34, 1.2.3.35, 1.2.3.36 5 Others 573.461 1.2.2.1 Total 3,131.311

Table 3: Outcome Statistics

(Rupees in Million) Expenditure on Acquiring Receipts Total Total Civil Sr. Description Physical (Revenue Others current Last Works Assets Targets) year Year (Procurement) Outlays 1. 4,570.80 7,041.00 15,490.98 6,141.83 *33,244.610 37,728.50 Audited Amount Placed under Audit 2. 5.665 671.992 1,739.758 712.189 3,131.311 6,699.88 Observation/ Irregularities of Audit Recoveries Pointed Out 3. at the 1.980 0 1,728.958 39.869 1,770.807 1,371.80 instance of Audit Recoveries Accepted /Established 4. 0 0 855.384 46.858 902.242 970.068 at the instance of Audit Recoveries Realized at 5. 0 1.044 0 0.375 1.419 42.763 the instance of Audit

* The amount mentioned against serial No. 1 column of “Total current Year” is the sum of Expenditure and Receipt whereas the total expenditure for the current year was Rs 17,753.63 million

Table 4: Table of Irregularities pointed out

(Rupees in Millions) Amount Placed under Sr. Description Audit Observation Violation of Rules and regulations and violation of principle of 1 588.742 propriety and probity in public operations.

2 Reported cases of fraud, embezzlement, thefts and misuse of 2.201 public resources. Accounting Errors (accounting policy departure from NAM1, misclassification, over or understatement of account balances) that 3 0 are significant but are not material enough to result in the qualification of audit opinions on the financial statements.

4 Quantification of weaknesses of internal control systems. 196.100 Recoveries and overpayments, representing cases of 5 establishment overpayment or misappropriations of p u b l i c 1,770.807 money.

6 Non-production of record. 573.461

7 Others, including cases of accidents, negligence etc. 0

Total 3,131.311

1 The Accounting Policies and Procedures prescribed by the Auditor General of Pakistan which are IPSAS (Cash) compliant.

CHAPTER-1 1.1 Introduction/profile of the entities 1.1.1 Secretary Local Government Secretary, Local Government Department, Sindh, being the Principal Accounting Officer is the overall administrative head of Karachi Metropolitan Corporation / Municipal Corporations, Karachi Water & Sewerage Board (KW&SB), defunct Taluka / Town Municipal Administrations and Union Administrations etc.

1.1.2 Karachi Metropolitan Corporation Activities of KMC are managed through offices of Administrator and Senior Directors under Sindh Local Government Ordinance, 1979. Each group of Office consists of a Senior Director. The Senior Director, by means of a standing order, distributes the work among the officers, branches, or sections of each office. Following is the list of departments which manage the activities of KMC. 1. Administrator 2. Senior Director (F&P) 3. Senior Director (Revenue) 4. Senior Director (IT) 5. Senior Director (Education) 6. Senior Director (Health) 7. Senior Director (CDD) 8. Senior Director (Agriculture) 9. Senior Director (E&IP) 10. Director General (KMTC) 11. Senior Director (MS) 12. Senior Director (T&C) 13. Senior Director (Literacy) 14. Senior Director (Law) 15. Director General (P&H) table

1.1.3 Karachi Water & Sewerage Board The office of Managing Director, Water & Sewerage Board, Karachi, comprises five departments headed by Deputy Managing Directors. Following is the list of departments which manage activities of KW&SB.

1. Deputy Managing Director, Planning, 2. Deputy Managing Director, Technical Services

3. Deputy Managing Director, Finance 4. Deputy Managing Director, Revenue Resource Generation 5. Deputy Managing Director, Human Resource Development and Administration

1.1.4 Comments on Budget and Accounts (Variance Analysis)

i. Budget of Secretary Local Government (Rupees in Million) 2012-13 Budget Expenditure Excess (+) Saving (-) Salary 258.430 294.562 36.132 Non-salary 54.400 47.960 -6.44 Development 682.164 598.500 -83.664 Total 994.994 941.022 -53.972

Expenditure 2012-13

The original budget of Secretary, Local Government, during 2012-13 was Rs 994.994 Million, against which the total expenditure incurred was Rs 941.022 Million. There was overall saving of Rs 53.972 Million which was 5.42% of total budget.

Budget & Expenditure 2012-13

The comparative analysis of the budget and expenditure of current and previous financial year is depicted as under:

Comparison of Budget & Expenditure 2011-12 & 2012-13

There was 15% increase in the budget allocation and 14% increase in expenditure of financial year 2012-13 viz a viz financial year 2011-12. However overall saving during

3 the financial year 2012-13 remained Rs 53.972 million which was 36% more than the saving of financial year 2011-12.

Budget of Karachi Metropolitan Corporation

(Rupees in Million) 2012-13 Budget Expenditure Excess (+) Saving (-) Salary 8,475.396 8,004.765 -470.631 Non-salary 2,266.661 1,063.432 -1,203.229 Development 14,228.710 1,698.614 -12,530.096 Total 24,970.767 10,766.811 -14,203.956

Expenditure 2012-13

The original budget of Karachi Metropolitan Corporation during 2012-13 was Rs 24,970.767 Million the total expenditure incurred was Rs 10,766.811 Million. There was overall savings of Rs 14,203.756 Million which was 56.88% of total budget.

Budget & Expenditure 2012-13

The comparative analysis of the budget and expenditure of current and previous financial years is depicted as under:

Comparison of Budget & Expenditure 2011-012 & 2012-13

There was 0.14% decrease in the budget allocation and 31% increase in expenditure of financial year 2012-13 viz a viz financial year 2011-12. However overall saving during the financial year 2012-13 remained Rs 14,203.756 million which was 15.464% less than the saving of financial year 2011-12.

Revenue Collection 2012-13

Budget of Karachi Water & Sewerage Board

(Rupees in Million) 2012-13 Budget Expenditure Excess (+) Saving (-) Salary 3,907.253 3,366.591 -540.66 Non-salary 3,295.319 1,537.747 -1,757.57 Development 20,595.590 1,141.46 -19,454.13 Total 27,798.162 6,045.798 -21,752.4

Expenditure 2012-13

The original budget of Karachi Water & Sewerage Board during 2012-13 was Rs 27,798.162 Million against final budget the total expenditure incurred was Rs 6,045.798 Million. However, there was overall saving of Rs 21,752.400 Million which was 78 % of total budget. Budget & Expenditure 2012-13

The comparative analysis of the budget and expenditure of current and previous financial years is depicted as under:

Comparison of Budget & Expenditure 2011-12 & 2012-13

There was 14% increase in the budget allocation and 37.5% decrease in expenditure of financial year 2012-13 viz a viz financial year 2011-12. However overall saving during the financial year 2012-13 remained Rs 21,752.364 million which was 48% more than the saving of financial year 2011-12.

Revenue Collection 2012-13

1.1.5 Brief comments on the status of compliance with PAC Directives The audit report pertaining to financial year 2010-11 has been submitted to Governor of Sindh. Detail of PAC meeting is given below:

Sr. Audit Year No. of Paras Status of PAC Meetings 1. 2011-12 44 Held on 23-01-2013

1.2 AUDIT PARAS 1.2.1 Misappropriation / Fraud 1.2.1.1 Suspected misappropriation due to Non-Remittance of Training Fees - Rs 2.055 Million Rule 77 of CTR Vol-I, states that, “All money received on behalf of Govt. should, without undue delay, be credited into Government account”. Section 41 (a) of Sindh Financial Rules Volume I, states that, “The departmental controlling officers should see that all sums due to Govt. are regularly received and checked against demands and that they are paid into treasury. They should accordingly arrange to receive from their subordinates accounts and returns claiming credit for so much paid into the treasury and compare with the figures in the statements supplied by the comptroller.” DG, (SCS&LGTA), Tando Jam, conducted different trainings and collected an amount of Rs 2.055 million, during 2012-13, on account of fees from participants, but failed to deposit the same into Govt. treasury, in violation of the above rule. Detail provided in Annexure-A. Audit was of the view that due to non-deposit of collected fees into treasury, misappropriation of Rs 2.055 million cannot be ruled out, which constituted weak financial management. The matter was reported during August, 2013. DG, (SCS&LGTA) stated in their reply dated 14-10-2013 that the amount was spent on lunch / dinner for participants and there was no precedent to deposit the receipt into govt. account. The reply was not tenable since govt. receipt was to be deposited into treasury in accordance with rules. The PAO failed to convene the DAC meeting to discuss audit para despite pursuance by audit. Audit recommends holding of inquiry to fix responsibility on account of non-deposit of Govt. receipt. Further, recovery of receipt amount from concerned officials may be affected and deposited into Govt. treasury and the same practice may be stopped immediately, under intimation to audit. [AIR Para: 1]

1.2.1.2 Embezzlement on account of POL - Rs 0.146 Million Para-23 of General Financial Rules Volume – I, states that, “every government officer should realize fully and clearly that he will be held personally responsible for any loss sustained by Government through fraud or negligence on his part and that he will also be held personally responsible for any loss arising from fraud or negligence on the part of any other Government officer to the extent to which it may be shown that he contributed to the loss by his own action or negligence”. Secretary, Election Authority Sindh, incurred expenditure amounting to Rs 0.146 million, during 2012-13, on account of POL for the stolen and off road vehicles, in violation of the above rule. Detail provided in Annexure-B. Audit was of the view that expenditure shown incurred on vehicles stolen / off road on account of POL was embezzled, which constituted weak financial management. The matter was reported during December, 2013 but management failed to provide departmental point of view. PAO failed to convene the DAC meeting to discuss audit para despite pursuance by audit. Audit recommends investigation for fixing of responsibility and said amount may be recovered and deposited into Govt. Treasury, under intimation to Audit [AIR Paras: 6, 8]

1.2.2 Non-Production of Record 1.2.2.1 Non-Production of Record - Rs 573.461 Million Article 170(2) of the Constitution of the Islamic Republic of Pakistan, states that, “The audit of accounts of the Federal and of the Provincial Government and the accounts of any authority or body established by, or under the control of the Federal or Provincial Government shall be conducted by the Auditor General, who shall determine the nature and extent of such audit”. Further, the Constitutional provision was stressed upon by the Orders of the Honorable Supreme Court of Pakistan dated 07-05-2013 given in CMA No.2376/2013, “where the amount is charged on the Consolidated Fund or relates to the Public Accounts of the Federation or of the Provinces, the same may be audited by the Auditor- General without exception”.

Different offices of Secretary LGD, KMC & KW&SB, incurred an expenditure of Rs 573.461 million from various heads of accounts, during 2012-13, but failed to provide record to audit, in violation of the above rule. Detail provided in Annexure-C. Audit is of the view that non provision of record resulted into non-authenticity of expenditure from public funds which constituted non-transparency in public spending. The matter was reported between August to December, 2013, but managements failed to provide their departmental point of view. The PAO failed to convene the DAC meeting to discuss audit para despite pursuance by audit. Audit recommends fixing of responsibility on account of non-provision of record, and same may be produced to audit to justify the expenditure without delay. [AIR Paras: 1, 1, 1, 1, 5, 1, 1, 1, 1, 6]

1.2.3 Irregularity / Non-Compliance 1.2.3.1 Non-Recovery of Dues - Rs 862.707 Million Rule-28 of G.F.R. Vol.I, states that, “No amount should be left outstanding without sufficient reasons, and where any dues appear to be irrecoverable the orders of the competent authority for their adjustment must be sought”. Senior Director, Land Management II, auctioned different plots located in Cottage Industries Zone, during 2012-13, but failed to recover outstanding dues amounting to Rs 862.707 million, in violation of the above rule. Detail is as under: (Amount in Rupees) Amount Total No of Total No. of plots Expend recovery Outstanding dues Recovered upto Sectors in scheme in scheme upto 2012 upto 2013 2013 09 Nos 3,964 Nos 862,847,000 140,000 862,707,000 Audit is of the view that due to non-realization of dues authority was deprived of revenue which constituted weak financial management. The matter was reported during November, 2013 but management failed to provide departmental point of view. The PAO failed to convene the DAC meeting to discuss audit para despite pursuance by audit.

Audit recommends fixing of responsibility on account of laxity of management to recover outstanding dues and same may be realized, under intimation to audit. [AIR Para: 6]

1.2.3.2 Non-Realization of Receipts - Rs 825.322 Million Para 28 of GFR Volume-I, states that, “No government amount should be left outstanding without sufficient reason and where any dues appear to be irrecoverable, the order of competent authority for its adjustment must be obtained”. Director (Land Management-II), Senior Director (Local Taxes) and Senior Director (Charged Parking) failed to collect various outstanding recoveries amounting to Rs 825.322 million, during 2012-13, in violation of the above rule. Detail is as under: (Rupees in Million) Description of Targeted Recovered Sr. Name of Office Less Recovery Recovery Amount Amount Director land 1. Levied taxes 651.5 9.584 641.916 Management-ll Various Senior Director 2. outstanding 1,000 825.528 174.472 (Local taxes) Recoveries Various Senior Director 3. outstanding 124.300 115.364 8.935 Charged Parking Recoveries Total 825.322 Audit was of the view that due to non-realization of recoveries by managements, KMC was deprived of targeted revenue which constituted weak financial management. The matter was reported during September & December, 2013, Senior Director (Charged Parking) stated in their reply dated 03.12.2013 that action was taken against contractor who was blacklisted, besides, security deposit of contractor was also confiscated but no evidence was produced to audit to substantiate the departmental point of view. Remaining departments failed to provide their departmental point of view. The PAO failed to convene the DAC meeting to discuss audit para despite pursuance by audit. Audit recommends fixing of responsibility on account of non-recovery of outstanding dues and same may be realized at the earliest, under intimation to audit. [AIR Paras: 1, 5, 4]

1.2.3.3 Non-Adjustment of Grant-In-Aid Advances - Rs 123.050 Million Rule 668 of Treasury Rules, states that, “Advances granted under special order of the competent authority to Govt. officers for departmental or allied purpose may be drawn on the responsibility and receipt of the officers for whom they are sanctioned, subject to adjustment by submission of detailed accounts supported by vouchers or by refund, as may be necessary”. Secretary, LGD, paid advances of Rs 123.05 million to Sehwan and Larkana Development Authorities for executing development works, during 2012-13, but failed to obtain bills/vouchers to account for advances to justify the expenditure, in violation of the above rule. Detail is as under: (Rupees in Million) Amount Sr. Particulars S. Date in million 1 Larkana Development Authority 03-04-2013 73.050 2 Sehwan Development Authority 20-03-2013 50.000 Total 123.050 Audit was of the view that department failed to account for expenditure incurred from advances provided to authorities which constitutes non-transparency in public expenditure. The expenditure without availability of supporting vouchers/bills to justify the actual expenditure constitutes weak internal control. The matter was reported during December, 2013, but management failed to provide departmental point of view. The PAO failed to convene the DAC meeting to discuss audit Para despite pursuance by audit. Audit recommends fixing of responsibility for non-adjustment of advances. [AIR Para: 4]

1.2.3.4 Irregular Award of Auction without Inviting Tender Rs 118.320 Million SPPRA letter No.Dir(CB)/SPPRA/1-3(GEN)/08-09/011 dated 1st July 2010, states that, “All procurement opportunities over one Million rupees should be advertised on authority’s website as well as in print media / newspapers having wide circulation”. Senior Director (Charged Parking), KMC, auctioned charged parking sites amounting to Rs 118.320 million, during 2011-12, without inviting open tender and

14 advertising on authority’s website and print media, in violation of the above rule. Detail provided in Annexure-D. Audit was of the view that management’s failure to observe SPPRA rules resulted into non transparency in award of contract and non-achievement of competitive rates which constituted weak financial management. The matter was reported during September 2013. Senior Director (Charged Parking) in their reply received dated 03.12.2013 agreed to the Audit point of view. The PAO failed to convene the DAC meeting to discuss audit para despite pursuance by audit. Audit recommends for fixing of responsibility on account of non-achievement of competitive rates under intimation to audit. [AIR Para: 2]

1.2.3.5 Un-authorized Award of Contract - Rs 87.985 Million Rule 18 (2) of SPPRA 2010, states that, “Subject to sub-rule (1), the response time shall not be less than fifteen calendar days from the date of publication of Notice Inviting Tender in the newspapers or hoisting in the website, as the case may be, in case of National Competitive Bidding, and shall not be less than forty five days from the date of publication of Notice Inviting Tender in the newspapers or hoisting on the website, as provided in Rule 17 (6), in case of International Competitive Bidding;” Senior Director, Veterinary Services, KMC, awarded various contracts amounting to Rs 87.985 million to contractors, during 2011-12, after 7 days of publication of NIT instead of 15 days, in violation of the above rule. Detail provided in Annexure-E. Audit was of the view that insufficient time was provided to competitive bidders which constituted weak financial management. The matter was reported during October, 2013, management in their reply received dated 21-01-2014 replied that auctions were made after approval of CDGK, reply was not satisfactory. The PAO failed to convene the DAC meeting to discuss audit para despite pursuance by audit. Audit recommends fixing of responsibility on account of providing less time to competitive bidders, under intimation to audit. [AIR Para: 07]

1.2.3.6 Un-authorized Sanction - Rs 70.880 Million Rule 11 (1) of SPPRA 2010, states that, “Mandatory Provision of Procurement Plan - All procuring agencies shall devise a mechanism for planning in detail for all proposed procurements, determining the requirement of the procuring agency, within its available resources, and prepare an annual or a longer term rolling plan, detailing the procurement methods applicable for specific procurements”. Director, Store & Procurement, KMC, incurred expenditure by creating liability of Rs 78.266 million against available budget of Rs 7.386 million, in excess of the budget to the extent of Rs 70.880 million, during 2011-12 & 2012-13, on account of different purchases, in violation of the above rule. Detail provided in Annexure-F. Audit was of the view that sanction of expenditure over and above of the budget provision resulted into creation of liability which constituted weak financial management. The matter was reported during October 2013, management in their reply dated 21-01-2014 agreed to audit point of view. The PAO failed to convene the DAC meeting to discuss audit paras despite pursuance by audit. Audit recommends fixing of responsibility on unauthorized sanction of expenditure in excess of budget resulted into creation of liability, under intimation to audit. [AIR Para: 06]

1.2.3.7 Irregular Payment on Leave Encashment - Rs 37.668 Million Rule 18-A of Revised Leave Rules 1980, states that, “A civil servant may fifteen month before the date of superannuation or thirty years qualifying service on or after the 1st July, 1983, at his option, be allowed to encash his leave preparatory to retirement if he undertakes to in writing to perform duty in lieu of the whole period of three hundred and sixty five days or lesser period which is due and admissible”. Different offices of KW&SB, paid Rs 37.668 million, during 2012-13, to officials on account of leave encashment, in violation of the above rule. Detail provided in Annexure-G. Audit was of the view that undue benefit was extended to employees on account of leave encashment not due, resultantly payment of Rs 37.668 million stands irregular which constituted weak financial management.

Matter was reported between August to December 2013, but management failed to provide departmental point of view. The PAO failed to convene the DAC meeting to discuss audit Para despite pursuance by audit. Audit recommends fixing of responsibility on account of irregular payment and same may be stopped henceforth and recovery may be affected, under intimation to audit. [AIR Paras: 4,2,3,3,1,3,5,5,5,1,1,4,4,4,1,5,5,8,4,1,1,2,3]

1.2.3.8 Un-authorized Payment on account of Salaries to Regular & Contractual Staff Working on Detailment – Rs 36.017 Million S&GAD letter No. SO-1 (S&GAD) 92, Dated 26-05-1992 addressed to all administrative department, stated that the staff should only be posted at places for which these have been sanctioned and in no any case local office be allowed to work on detailment (deputation) basis to places other than their original place of posting otherwise the post may be abolished under the orders of Government of Sindh Finance Department. MS, Spencer Eye Hospital & MS Landhi Medical Complex, KMC, paid Rs 36.017 million on account of salaries to employees working on detailment to other offices, during 2012-13, in violation of the above rule. Detail provided in Annexure-H. Audit was of the view that posting of employees on detailment to other offices is a serious irregularity which resulted in poor public service delivery. The matter was reported during November, 2013, but managements failed to provide their departmental point of view. The PAO failed to convene the DAC meeting to discuss audit Para despite pursuance by audit. Audit recommends fixing of responsibility on account of incurrence of unauthorized expenditure. Further, the staff deputed on detailment may be immediately repatriated to their respective places of postings, under intimation to Audit. [AIR Paras: 4, 2]

1.2.3.9 Non-Recovery of Utility Charges from Contractor Rs 35.786 Million Clause-25 of Agreement made on 27-07-2007 between CDGK and M/s Multix International Corporation, states that, “the contractor shall be responsible to pay all Federal / provincial Governments and Municipal Charges, Utility bills as in accordance

17 with law regarding newly re-activated semi-mechanical abattoir except of those of manual abattoir working at present.” Senior Director, Veterinary, KMC, awarded the contract of city Abattoir to M/s Multix International Corp. in July, 2007, for the period of 15 years under the terms conditions duly agreed upon by the contractor on account of paying utility bills, but failed to perform, in violation of clause 25 of agreement. Audit was of the view that non-recovery of utility charges from contractor resulted into accumulated liability of Rs 35.786 million on KMC which constituted weak financial management. The matter was reported to management in October, 2013. Department in their reply dated 27-01-2014 stated that the matter is pending in Honorable High Court of Sindh and action will be taken in light of the court decision.The PAO failed to convene the DAC meeting to discuss audit Para despite pursuance by audit. Audit recommends fixing of responsibility on officers at fault and amount due to contractor may be recovered. Besides, action against contractor may be initiated which includes his blacklisting, under intimation to Audit. [AIR Para: 02]

1.2.3.10 Irregular Award of Contract - Rs 24.108 Million Rule 7 of SPPRA 2010, states that, “The procuring agency shall, with approval of its Head of the Department, constitute as many procuring committees, as it deems fit, each comprising odd number of persons and headed by the gazette officer not below the rank of BPS-18, or if not available, the officer of the highest grade, and shall ensure that at least one third of the members of a procurement committee are from the agencies or departments other than the procuring agency”. Various offices of KW&SB, awarded works amounting to Rs 24.108 million, during 2012-13, but failed to include 1/3rd members from other departments in procurement committee, in violation of the above rule. Detail provided in Annexure-I. Audit was of the view that non-compliance of the prescribed procedure resulted into non-transparency in public spending and constituted weak financial management. The matter was reported during August to December 2013, but managements failed to provide departmental point of view. The PAO failed to convene the DAC meeting to discuss audit Para despite pursuance by audit.

Audit recommends fixing of responsibility for non-constitution of committee in accordance with laid down procedure. [AIR Paras: 2,1,1,1,3,1,4,3,2,3]

1.2.3.11 Un-authorized Re-appropriation - Rs 20.00 Million Sindh Budget Manual, chapter-II, states that, “Re-appropriation: means the transfer of savings from one unit of appropriation to meet excess expenditure anticipated under another unit within the same item in the authenticated schedule.” Chairman office (KW&SB) re-appropriated development funds amounting to Rs 20.000 million, during 2012-13, to pay salary of the staff, in violation of the above rule. Audit was of the view that due to re-appropriation of funds specified for development work resulted into diversion of funds to pay & allowances, which constituted weak financial management. The matter was reported during November, 2013 but management failed to provide departmental point of view. The PAO failed to convene the DAC meeting to discuss audit para despite pursuance by audit. Audit recommends fixing of responsibility on account of unauthorized re-appropriation of funds, under intimation to audit. [AIR Para: 3]

1.2.3.12 Non-Recovery of Charged Parking Dues - Rs 18.308 Million Para 28 of GFR Volume-I, states that, “No amount due to Government should be left outstanding without sufficient reasons, and where any dues appear to be irrecoverable the orders of competent Authority for their adjustment must be sought” Senior Director (Charged Parking) KMC, failed to recover outstanding revenue amounting to Rs18.308 million, during 2011-12, on account of Charged Parking from contractors of different sites, in violation of the above rule. Detail provided in Annexure-J. Audit was of the view that non recovery of revenue resulted into short receipt which constituted weak financial management.

The matter was reported during September, 2013, Senior Director (Charged Parking) in their reply dated 03.12.2013 stated that the contractors were blacklisted and the security deposits were confiscated but no evidence was produced to audit to substantiate the departmental point of view. The PAO failed to convene the DAC meeting to discuss audit para despite pursuance by audit. Audit recommends fixing of responsibility on account of non-realization of dues from contractors and same may be recovered, under intimation to audit. [AIR Paras: 5, 6, 7]

1.2.3.13 Un-Authorized Technical Sanction - Rs 16.308 Million Delegation of Powers for according technical sanction issued by MD, KW&SB dated 3-06-1991, states that, “Technical Sanction for Original works/repairs/maintenance, to be sanctioned at the level of D.M.D (Tech. Services) Upto Rs 2.000 million.” XEN, Hub Division Civil and XEN Civil (E&M/Sewerage) KW&SB executed works by obtaining technical sanction from DMD (Tech. Services)/ CE against development work amounting to Rs 16.308 million, during 2011-12 & 2012-13, in violation of the above rule. Detail provided in Annexure-K. Audit was of the view that the technical sanction accorded by DMD (Tech. Services)/ CE was unauthorized being without delegation of powers which constituted weak financial control. The matter was reported during August and October 2013 but managements failed to provide departmental point of view. The PAO failed to convene the DAC meeting to discuss audit Para despite pursuance by audit. Audit recommends fixing of responsibility for not obtaining technical sanction from competent authority and the same may be regularized under intimation to audit. [AIR Paras: 1, 3]

1.2.3.14 Award of Contracts without Bank Guarantees - Rs 13.226 Million Local Govt. Department, GOS, Notification No.SOV/MC-V(25)/2000 dated 24-06-2002, states that, “the contractor shall furnish bank guarantee equal to fifteen percent of contractual amount before entering into contract agreement for proper performance of the contract”. Senior Director, Veterinary Services, KMC, awarded various contracts during

2011-12 & 2012-13 without obtaining Bank Guarantee @ 15% of the contractual amount, in violation of the above rule. Detail provided in Annexure-L. Audit was of the view that Govt. interests were not safeguarded by awarding contracts without obtaining bank guarantees which constituted weak financial control. The matter was reported to management during October, 2013. Department in their reply dated 21-01-2014 agreed to the audit point of view. The PAO failed to convene the DAC meeting to discuss audit Para despite pursuance by audit. Audit recommends fixing of responsibility on award of work without obtaining bank guarantee. [AIR Para: 09]

1.2.3.15 Outstanding Dues - Rs 10.867 Million Para 28 of GFR Volume-I, states that, “No government amount should be left outstanding without sufficient reason and where any dues appear to be irrecoverable, the order of competent authority for its adjustment must be obtained”. Senior Director, Local Taxes & Director, Land Management II, awarded contract for collection of advertisement charges and rent of huts amounting to Rs 10.867 million, during 2012-13, but failed to realize the receipt from contractor and tenants, in violation of the above rule. Detail provided in Annexure-M. Audit is of the view that due to non-realization of revenue authority was deprived of revenue resulted into loss of revenue which constitutes weak financial management. The matter was reported during June, 2013 but management failed to provide departmental point of view. The PAO failed to convene the DAC meeting to discuss audit para despite pursuance by audit. Audit recommends fixing of responsibility on account non-recovery of outstanding dues and same may be realized, under intimation to audit. [AIR Paras: 3, 7, 4]

1.2.3.16 Irregular Award of Advertisement Sites - Rs 10.800 Million As per directive of local government department, Government of Sindh, conveyed vide letter n. SOA/(LG)/1(102)/2010(Part) dated 18th June 2010, state that, “the contracts

21 have to be leased out by public auction for a period of one year corresponding to financial year”. Senior Director, Local Taxes, awarded contracts of advertisement sites to various contractors at the rate of Rs 10.800 million, during 2012-13, for three years period, in violation of the above letter. Detail is as under: (Amount in Rupees) Sr. Location Name of Agency Size Sq. Ft Amount Paid At Shahr e Faisal, Ehtshamia GB& GG 1 M/s Call Advertisers 15x45 2,300,000 School of Karsaz Flyover, PSO Pump Panel @ Tipu Sultan Flyover, facing from M/s Ad-city 2 150x10 1,300,000 Tipu Sultan roundabout. advertisers Sub Total 3,600,000 Total for three years (3,600,000X3) 10,800,000 The management failed to observe rules and procedures laid down by the government which constituted weak financial management. The matter was reported during November, 2013 but management failed to provide departmental point of view. The PAO failed to convene the DAC meeting to discuss audit Para despite pursuance by audit. Audit recommends fixing of responsibility for irregular award of advertisement sites beyond authorized period, under intimation to audit. [AIR Para: 09]

1.2.3.17 Non-Deposit of Instalment - Rs 7.976 Million Local Govt. Department, Govt. of Sindh, Notification No. SOV/MC-V(25)/2000 dated 24-06-2002 Clause (12) sub Clause (8), states that, “on failure to make contractual payment by the contractor as per prescribed schedule the contract will be liable to be cancelled immediately without any notice and the recovery will be started by the council forthwith”. Senior Director, Veterinary Services, KMC, awarded contract of City Abattoir to M/s Multix International Corporation @ 1.320 million per month, but failed to recover outstanding dues for the period January to June 2013, amounting to Rs 7.976 million, in violation of the above rule. Audit is of the view that non recovery of monthly share for six months period constituted weak financial management.

The matter was reported during October, 2013 Department in their reply dated 21-01-2014 agreed to the audit point of view. The PAO failed to convene the DAC meeting to discuss audit Para despite pursuance by audit. Audit recommends fixing of responsibility on account of inaction from the department, besides all efforts may be taken to recover the outstanding dues, under intimation to Audit. [AIR Para: 01]

1.2.3.18 Less Deduction of Income Tax – Rs 5.558 Million Sub Section (1) of Section-236-A of Income Tax Ordinance 2001, states that, “any person making sale by public auction shall collect advance tax at the rate of 5% specified in Division VIII of Part IV of First Schedule”. Senior Director, Veterinary Services, KMC, awarded various contracts by public auctions but deducted Income Tax less than 5%, consequently an amount of Rs 5.558 million was less deducted, during 2011-12 & 2012-13, in violation of the above rule. Detail provided in Annexure-N. Audit was of the view that less recovery of govt. taxes by management according to prescribed rule constituted weak financial management. The matter was reported during October 2013. Department in their reply dated 21-01-2014 stated that it was responsibility of the contractor to pay income tax. The Departmental point of view was not tenable since it was obligation of department to deduct income tax according to rate fixed by government. The PAO failed to convene the DAC meeting to discuss audit Para despite pursuance by audit. Audit recommends recovery of Govt. money along with fixing of responsibility on the persons at fault, under intimation to audit. [AIR Para: 8]

1.2.3.19 Non-recovery of House Rent and Maintenance Charges Rs 4.714 Million Para 07 of Finance Division Office O.M.No.F.1/7/IMP.II/87 dated 01-07-1987, states that, “All employees not provided with Govt. accommodation shall continue to be entitled to house rent allowance”.

Further, Para 11 of F.D, Govt. of Sindh’s O. M. No.FD (SR-IV)-I (12)/77 dated 13-05-1977, states that, “The H.R.A. is not admissible to whom accommodation is provided by Govt. and house rent maintenance charges shall be recovered @ 5% of the basic pay of an employee”. Various offices of KW&SB were provided residential accommodation and paid Rs 4.714 million, during 2012-13, on account of house rent. KW&SB also failed to deduct maintenance charges @ 5%, from the official(s), in violation of the above rules. The irregularity pointed out is only illustrative and not exhaustive, in case of KW&SB. Detail provided in Annexure-O. Audit was of the view that payment of house rent allowance to employees despite provision of official accommodation and non-deduction of 5% maintenance charges from allottees resulted in loss to public exchequer which constitutes weak financial management. The matter was reported between August to October, 2013 but management failed to provide departmental point of view. The PAO failed to convene the DAC meeting to discuss audit para despite pursuance by audit. Audit recommends fixing of responsibility on managements on account of deviation from prescribed procedure and recovery of overpayment from official(s) may be affected. Besides, recovery on account of overpayments related to all employees of KW&SB may be calculated and recovered, under intimation to audit. [AIR Paras: 17, 6, 7, 8, 3, 1]

1.2.3.20 Non-Transparency in Govt. Spending - Rs 4.100 Million Rule 15 of the Staff Car Rules 1980, as amended in 2001, states that, “The log book, History Sheet, and Petrol Account Register shall be maintained for each official vehicle”. Senior Director, Veterinary Services, KMC, incurred an expenditure of Rs 4.100 million, during 2012-13, on account of purchase of POL for official vehicles. Audit observed that the management consumed POL against official vehicles without maintaining log books, history sheets and petrol consumption account. In absence of above record, it could not be ascertained as to whether the vehicle performed official duties and the fuel was utilized within the ceiling. Non observance of prescribed procedure constituted weak internal control.

The matter was reported during October, 2013, Senior Director, Veterinary in their reply dated on 21-01-2014 replied that procurement is done by store department of KMC. Reply was irrelevant to the audit observation. The PAO failed to convene the DAC meeting to discuss audit Para despite pursuance by audit. Audit recommends that responsibility be fixed for non-maintenance of log books, history sheets and petrol consumptions register to justify the expenditure and same may be prepared and produced to audit for verification. [AIR Para: 10, 02]

1.2.3.21 Payment of House Rent Allowance at excess rate- Rs 3.549 Million Para 07 of Finance Division Office O. M. No.F.1/7/IMP.II/87 dated 01-07-1987, states that, “All employees not provided with Govt. accommodation shall continue to be entitled to house rent allowance @ 45% of the minimum of the relevant Basic Pay Scale”. Various offices of KW&SB were paid Rs 3.549 million on account of house rent @ 65% instead of 45%, during 2012-13. Detail provided in Annexure-P. Audit was of the view that over payment of house rent allowance to employees resulted into loss to public exchequer which constituted weak financial management. The matter was reported during August to October, 2013. Senior Director (Charged Parking) stated in his reply dated 03.12.2013 that increase was allowed as per approval of City Nazim, CDGK. Reply was not satisfactory as Nazim had no powers to amend the Provincial Government Rules. Remaining departments failed to provide their departmental point of view. The PAO failed to convene the DAC meeting to discuss audit para despite pursuance by audit. Audit recommends fixing of responsibility on managements on account of deviation from prescribed procedure and recovery of overpayment from official(s) may be affected under intimation to audit. [AIR Paras: 5, 3, 2, 10]

1.2.3.22 Non-Recovery of Link Road Toll Tax - Rs 3.778 Million Section 60 (1) of SLGO 1979, states that, “A council may levy in the prescribed manner any of the taxes, fees, rates, tolls, and fees mentioned in Schedule IV”.

Further, Para 28 of GFR Volume-I, states that, “No amount due to Government should be left outstanding without sufficient reasons, and where any dues appear to be irrecoverable the orders of competent Authority for their adjustment must be sought”. Senior Director (Charged Parking), KMC, failed to recover outstanding revenue amounting to Rs 3.778 million, on account of Link Road Toll Tax between Super Highway & National Highway, during 2011-12, in violation of the above rule. Detail is as under: (Amount in Rupees) Name of charged Auctioned Date of Recovery Collected Difference Parking Site Awarded Possession by Contractor Link Road Toll Tax between Super Highway & National 90,820,521 12-08-2011 87,042,291 3,778,230 Highway

Total Outstanding 3,778,230

Audit was of the view that non recovery of revenue resulted into short receipt which constituted weak financial management. The matter was reported during September, 2013, Senior Director (Charged Parking) in their reply dated 03.12.2013 stated that contractor only defaulted the last instalment but the same was adjusted in the security deposit but no evidence was produced to audit. The PAO failed to convene the DAC meeting to discuss audit para despite pursuance by audit. Audit recommends fixing of responsibility on the person(s) at fault and recovery be made under intimation to Audit. [AIR Para: 8]

1.2.3.23 Un-authorized Appointment in violation of ban - Rs 3.162 Million Senior Director Human Department, KMC letter no. Sr.Dir (HRM) Dir ® KMC/2012/3318 dated 03-10-2012, states that, “Ban was imposed on any type of appointment/hiring services on contractual engagement basis except Deceased Quota with immediate effect till further orders”. Director, Printing Press, Director, Store & Procurement, and MS, Landhi Medical Complex, KMC, incurred expenditure of Rs 3.162 million, during 2012-13, on the salaries of newly appointed contractual employees, in violation of the above letter.

Audit is of the view that appointment was made in clear violation of the ban which constitutes weak financial management. The matter was reported during November, 2013 but management failed to provide departmental point of view. PAO failed to convene the DAC meeting to discuss audit para despite pursuance by audit. Audit recommends investigation for fixing of responsibility for unauthorized appointment in violation of the ban. [AIR Paras: 2, 8, 1]

1.2.3.24 Technical Sanction in Violation of Financial Powers Rs 3.000 Million Director General (Technical) Local Government Department, Govt. of Sindh Hyderabad letter No. DB/ 329/ 2005 Hyderabad Dated. 16-08-2005, states that, “officers of grade-18 and above have the powers as under: 1. Assistant Engineer/ TO (I&S) No Powers (of B-17/ Below) 2. Executive Engineer/ TO (I&S) The work having A.A cost of Rs 0.6 M. (of B-18) 3. Superintending Engineer The work having A.A cost of Rs 3.0 M (of B-19) 4. Director General/ Chief Engineer No limit (full powers). (of B-20)” DG, (SCS&LGTA), Tando Jam, during 2012-13, obtained technical sanction of works worth Rs 3.000 Million from Taluka Officer (Infrastructure & Services) TMA (Defunct) Hyderabad (Rural), in violation of the above rule. Detail provided in Annexure-Q. Audit was of the view that exercise of powers by authority without delegation, constituted weak financial management. The Matter was reported during August, 2013. Management in their reply dated 14-10-2013 stated that their office presumed that the engineer would have awarded technical sanction after fulfilling the codal formalities and approval of seniors. Reply was not satisfactory since TO (I&S) had no powers to award technical sanction. The PAO failed to convene the DAC meeting to discuss audit para despite pursuance by audit.

Audit recommends fixing of responsibility on account of execution of work by DG without technical sanction of the competent authority, under intimation to audit. [AIR Para: 2]

1.2.3.25 Non-Utilization of Equipment - Rs 2.680 Million Para 154 (IV) of GFR Volume-I, states that, “the articles of the dead stock should be verified at least once a year and the result of the verification recorded on the inventory. All discrepancies noticed must be properly investigated and brought to account immediately so that the inventory may represent the true account”. Director, Printing Press, KMC, purchased heavy machinery amounting to Rs 2.680 million in 2005 but failed to make machinery functional till June 2013, in violation of the above rule. Detail provided in Annexure-R. Audit was of the view that management’s failure to utilize costly equipment resulted into wastage of govt. resources as equipment are still not functional to date even after passing so many years. Non-utilization of equipment resulted into loss of public funds which constituted weak financial management and internal control, besides, chances of theft and wear & tear cannot be ruled out. The matter was reported during October, 2013, but management failed to provide departmental point of view. The PAO failed to convene the DAC meeting to discuss audit paras despite pursuance by audit. Audit recommends fixing of responsibility for non-utilization of equipment purchased for management’s benefit, besides, same may be made functional, at the earliest, under intimation to audit. [AIR Para: 1]

1.2.3.26 Incorrect Calculation of Upset Price of Auction - Rs 2.357 Million Clause 1 of Notification No.SOV/MC-V (25)/2000 dated 24th June 2002 and re-circulated vide letter no. SOA/(LG)/1(102)/2010(Part) dated 18th June 2010, states that, “Reserve or upset price for auction will be fixed by adding 15% to the average of last three years income. Senior Director, Local Taxes awarded advertisement site to contractor on lower upset price than the benchmark set by Government, during 2012-13, in violation of the above notification. Detail is as under:

(Amount in Rupees) Upset price Contract Average of 03 Years Site Description Contractor set by Amount 2,050,000X1.15 Department Park view corner, Bilawal roundabout M/S traffic facing Bilawal Paramount 1,200,000 2,200,0000 2,357,500 roundabout to Boat advertising basin Audit was of the point of view that department calculated the upset price to Rs 1,200,000, which was much lower than the Upset Price calculated by Audit on the basis of approved Govt. criteria which constituted weak financial management. Matter was reported during November, 2013, but management failed to provide departmental point of view. The PAO failed to convene the DAC meeting to discuss audit paras despite pursuance by audit. Audit recommends fixing of responsibility for incorrect calculation of upset price, under intimation to audit. [AIR Para: 08]

1.2.3.27 Unauthorized Use of Vehicles - Rs 1.980 Million Rule 11 0f Staff Cars rules 1980 (Amended upto 2008), states that, “A staff car belonging to an Attached Department or a Subordinate Office of a Division shall not be used by the Administrative Department except (as provided) under rule 10 and every Department or office shall be responsible for any mis-use or irregularity committed in this behalf”. Chairman office (KW&SB) allotted four official vehicles of KW&SB along monthly POL quota to P.S to Ex-Minister Local Govt. Sindh/Ex-Chairman of KW&SB and spent Rs 1.980 million on POL from budget of the authority, in violation of the above rule. Detail provided in Annexure-S. Audit was of the view that staff cars of KW&SB are being used by unauthorized persons outside the jurisdiction of department which constitutes weak financial management and internal control. The matter was reported during November, 2013 but management failed to provide departmental point of view. The PAO failed to convene the DAC meeting to discuss audit paras despite pursuance by audit.

Audit recommends fixing of responsibility on person(s) at fault and also recover vehicles and amount on account of POL from unauthorized persons, under intimation to audit. [AIR Para: 2]

1.2.3.28 Unauthorized allowance of POL beyond Ceiling Fixed by Sindh Govt. - Rs 1.536 Million Finance Department, Government of Sindh, Circular No.F-D/B.I/ (15)/99-2000 (POL) dated 12-01-2000, states that, “The ceilings of POL to the heads of the subordinate offices have been fixed upto 180 litres per month”. The Senior Director (TCD) KMC, fixed the POL entitlement of officer in contravention to the POL ceiling allowed/fixed by Sindh Govt. which was unauthorized and unlawful resulting in loss to Govt. amounting to Rs 1.536 million, during 2012-13. Detail provided in Annexure-T. Audit was of the view that management extended undue favour to the officers on account of POL entitlement by breaching Sindh Govt. instructions which constituted weak financial control and loss to Government. Non-observance of govt. rules & procedures reflects weak internal control system in the department. The matter was reported during September, 2013 but management failed to provide departmental point of view. The PAO failed to convene the DAC meeting to discuss audit paras despite pursuance by audit. Audit recommends that the POL ceiling/entitlement should be observed according to Sindh Govt. notification and recovery of amount paid on account of excess POL consumption be affected, under intimation to audit. [AIR Para: 4]

1.2.3.29 Payment through Open Cheques - Rs 1.076 Million Rule 23 of GFR Vol-I, states that, “Every Government officer should realize fully and clearly that he will be held personally responsible for any loss sustained by government through fraud or negligence on his part and that he will also be held personally responsible for any loss arising from fraud or negligence on the part of any other government officer to the extent to which it may be shown that he contributed to the loss by his own action or negligence”.

Rule 147 of CTR, states that, “The cheques for more than Rs 200/- drawn in favour of Corporate of Local Bodies, firms, private persons or Government servants (in respect of their personal claims) shall always be crossed”. Director General (M&I) Cell, Local Govt. Department, paid an amount of Rs 1.076 million, during 2011-12 & 2012-13, to various suppliers on account of non-salary component through open cheques instead of crossed, in violation of the above rules. Detail provided in Annexure-U. Audit is of the view that management failed to observe the Govt. rules and procedures, which may result into fraud and constituted weak financial management. The matter was reported during December, 2013 but management failed to provide departmental point of view. The PAO failed to convene the DAC meeting to discuss audit para despite pursuance by audit. Audit recommends fixing of responsibility on account of deviation from prescribed procedure, under intimation to audit. [AIR Para: 06]

1.2.3.30 Loss to Government due to non-deposit of Income Tax into Govt. Treasury - Rs 1.044 Million Treasury Orders and the Subsidiary Rules (T.O.7), states that, “Except as provided in order 8, all moneys received by Government servants in their official capacity, other than moneys withdrawn from the public account under the provisions of section VIII below, shall without undue delay be paid in full into a treasury or into the Bank and shall be included in the general balances of Government. Departmental receipts shall not be appropriated to meet departmental expenditure except with the sanction of the Governor-General in Council” AND according to Sub. Rule R.78 A “Payment of an income-tax refund voucher may be made to the refundee himself or to a person duly authorized by him to receive payment”. Principal, Karachi Medical & Dental College (KMDC) deducted Rs 1.044 million, during 2012-13, from M/s Universal Enterprises, but failed to deposit the same into Govt. Treasury, in violation of the above rule. Audit was of the view that non-deposit of deducted income tax into Government treasury constituted weak financial management.

The matter was reported during November, 2013 but management failed to provide departmental point of view. The PAO failed to convene the DAC meeting to discuss audit paras despite pursuance by audit. Audit recommends fixing of responsibility on account of unauthorized retention of income tax, besides, same may be deposited into Government treasury, under intimation to audit. [AIR Para: 02]

1.2.3.31 Purchase of Vehicle during Ban Period – Rs 1.005 Million Finance Division (Expenditure wing), Government of Pakistan, O.M No.F.7(1) Exp. IV/ 2011, 18th march 2011, states that, “POL, TA/DA Stationery reduced to 50%. Total ban on Purchase of physical assets including all vehicles, and ban on recruitment. Moreover, no re-appropriation is authorized from above mentioned heads”. Special Secretary, House & Town Planning Wing (LGD), purchased the following vehicle amounting to Rs 1.005 million, during 2012-13, in violation of Govt. instructions. Detail is as under: (Amount in Rupees) Paid to S# & Date C.no & Date Amount Remarks M/S Pak Suzuki Cultus Euro-II on Nil/1-4-2013 1337148/3-4-2013 1,005,000 Motors Co. Pre-Receipt Bill Total 1,005,000 Audit was of the view that non-observance of Government instruction regarding the austerity measures constituted weak financial management. The matter was reported during December, 2013 but management failed to provide departmental point of view. The PAO failed to convene the DAC meeting to discuss audit Para despite pursuance by audit. Audit recommends fixing of responsibility for non-adjustment of advances. [AIR Para: 13]

1.2.3.32 Un-Authorized Retention of 49 KMC Vehicles by Officers / Private Persons Rule (20 & 23) of General Financial Rules Volume-I, states that, “Every Government officer should realize fully and clearly that he will be held personally responsible for any loss sustained by Government through fraud or negligence on his part

32 and that he will also be held personally responsible for any loss arising from fraud or negligence on the part of any other Government officer to the extent to which it may be shown that he contributed to the loss by his own action or negligence”. Director, Vehicles, KMC, allotted forty nine (49) KMC vehicles, during 2011-13, to unauthorized persons, in violation of the above rule. Detail provided in Annexure-V. Audit was of the view that failure of KMC’s management to retrieve official vehicles from unauthorized person(s) constituted weak financial management. The matter was reported during January, 2014 but management failed to provide departmental point of view. The PAO failed to convene the DAC meeting to discuss audit paras despite pursuance by audit. Audit recommends fixation of responsibility on management of KMC on account of their failure to retrieve official vehicles from unauthorized person(s), besides, recovery of rent for the period may also be worked out and affected, under intimation to Audit. [AIR Para: 03]

1.2.3.33 Poor Performance of Provincial Local Government Commission (IM&EC) Section 132 (a) of Local Government ordinance states that, “Provincial local government commission shall conduct annual and special inspections of the local governments and submit reports to the Chief Executive of the Province.” Director General, Provincial Local Govt. Commission (IM&EC), conducted inspections of 06 TMAs out of 119 TMAs, during whole year 2012-13, in violation of the above rule. Audit was of the view that commission’s failure to conduct the inspection of remaining 113 TMAs constituted inefficiency and weak financial control. The matter was reported during December, 2013 but management failed to provide departmental point of view. PAO failed to convene the DAC meeting to discuss audit para despite pursuance by audit. Audit recommends investigation for fixing of responsibility on account of conducting of inspections to the extent of 5.04%, under intimation to Audit [AIR Para: 01]

1.2.3.34 Un-Authorized Use of Green Number Plates Ministry of Interior, Government of Pakistan, O.M No. 12/16/2004-Public dated 20-06-2006, on the subject of “Registration of Vehicles / Display of Green Number Plate by Government Vehicles” states that, “It has been decided henceforth use of green number plates will be allowed only to the official / Governments vehicles belonging to the Ministries / Divisions; Attached Departments and Subordinate offices. All other Departments whether Autonomous or Semi-Autonomous, Corporations etc. will not be allowed to use green number plates”. It is also directed by the MOI to Government of Sindh to withdraw green number plates from Autonomous Bodies, Semi-Autonomous Bodies, and Corporations, etc.” Director, Vehicle, KMC, failed to remove unauthorized green number plates from vehicles, during 2012-12, in violation of the above rule. Detail provided in Annexure-W. Audit is of the view that non-removal of unauthorized number plates constituted weak administrative control and weak internal control. The matter was reported during January, 2014, but management failed to provide departmental point of view. The PAO failed to convene the DAC meeting to discuss audit Para despite pursuance by audit. Audit recommends fixing of responsibility on account of use of unauthorized number plates, besides, the same may be replaced immediately, under intimation to audit. [AIR Para: 09]

1.2.3.35 Purchase of Imported / Luxury vehicles (SUVs) Finance Department Letter No.FD (CTC)-20(25)/10, dated: 31-01-2000, on the subject of “Purchase of Vehicles” states that, “All Ministries / Divisions / Departments / Corporations / Autonomous / Semi-Autonomous Bodies of the Federal Government and the Provincial Governments shall not purchase imported vehicles for official use. They shall only purchase locally manufactured or locally assembled vehicles” AND as per Services, General Administration Department, Govt. of Sindh letter No. CTC(S&GAD)- 6(227)/87, dated: 05-04-1997 on the subject of “Entitlement of Vehicles to Government Functionaries” “ACS, Sr. Member BOR, Secretary, DC, IGP, DIGP, Head of Autonomous Bodies / Corporations in B-20 shall be allowed to use 1300 cc locally manufactured cars.”

Director, Vehicles, KMC, purchased and handed over 3000 cc (Toyota Vigo Champ) and 2700 cc (Toyota Land Cruisers) luxury vehicles / SUVs (foreign manufactured vehicles) to various officers, during 2012-13, in violation of the above rule. Detail provided in Annexure-X. Audit is of the view that purchase and use of imported luxury vehicles constituted weak financial management. The matter was reported during January, 2014, but management failed to provide departmental point of view. The PAO failed to convene the DAC meeting to discuss audit Para despite pursuance by audit. Audit recommends fixing of responsibility on account of purchase of luxury vehicles, under intimation to audit. [AIR Para: 10]

1.2.3.36 13,000 Illegal Appointments Para-2 of letter dated 12-02-2008, issued by Services General Administration & Coordination Department, containing the Chief Minister Directives, states that,” (i) all the posts shall be filled after completing codal formalities (ii) Written test for the post from BPS-5 and above shall be got conducted by engaging a credible third party i.e. IBA, Bahria University, Iqra University Cadet college and NTC etc. (iii) any deviation in this regard will be viewed seriously and ban shall not be lifted in case any department deviates and does not ensure written test through credible third party as above.” Further, according to Government of Sindh APT Rules 1974 (11) Initial appointment to the post in BPS 3 to 15 shall be made on the recommendation of the Departmental Selection Committee after the vacancies in these BPSs have been advertised in the newspaper. 12 (1) A candidate for appointment by initial recruitment must possess the educational qualification and experience and be within the age limit laid down for that appointment. Secretary, Local Govt. Department, Sindh, recruited 13,000 employees of various cadres of BPS 1 to 15, during 2012-13, in violation of the above rules. Audit was of the view that appointments without fulfilling the codal formalities constituted weak financial management.

The matter was reported during December, 2013, but management failed to provide departmental point of view. The PAO failed to convene the DAC meeting to discuss audit Para despite pursuance by audit. Audit recommends fixing of responsibility on account appointments without fulfilling the codal formalities, under intimation to audit. [AIR Para: 06]

1.2.4 Internal Controls Weaknesses 1.2.4.1 Unauthorized Purchases without Constitution of Purchase Committee - Rs 103.551 Million As per notification No. SOR-II(S&GAD)13-15/2002, Para (II) Dated 16-9-2002 issued from Services, General Administration & Coordination Department (Regulation Wing) Government of Sindh, states that, “the competitive rates & quality control shall be ensured by the purchase committee”. Director, Store & Procurement KMC, incurred expenditure to Rs 103.551 million, during 2011-12 & 2012-13, on account of purchases of material without constitution of purchase committee, in violation of the above rule. Detail provided in Annexure-Y. Audit was of the view that purchases were made without constitution of purchase committee which resulted into non-achievement of competitive rates which transpired weak internal control. The matter was reported during October, 2013 but management failed to provide departmental point of view. The PAO failed to convene the DAC meeting to discuss audit paras despite pursuance by audit. Audit recommends fixing of responsibility on account of unauthorized expenditure. [AIR Para: 5]

1.2.4.2 Non-Posting of Evaluation Report - Rs 87.570 Million Rule 10 of Sindh Public Procurement Rules 2010, states that, “The procuring agency shall, immediately upon award of contract, make the evaluation report of the bid, and the contract agreement to public through hoisting on the Authority’s website as well as on procuring agency’s website, if the procuring agency has such a website”.

Different office(s) of KMC & KW&SB awarded development schemes to various contractors amounting of Rs 87.570 million, during 2012-13, but failed to post evaluation report on SPPRA website, in violation of the above rule. Detail provided in Annexure-Z. Audit is of the view that non-posting of evaluation report resulted into non-transparency in public spending and non-achievement of competitive rates which constituted weak internal control. The matter was reported during December, 2013 but management failed to provide departmental point of view. The PAO failed to convene the DAC meeting to discuss audit paras despite pursuance by audit. Audit recommends fixing of responsibility on management for non-posting of evaluation report on SPPRA website. [AIR Paras: 4, 4, 4, 1]

1.2.4.3 Non-Reconciliation of Challans - Rs 2.477 Million A laid down is Para 34(d) of the Sindh Financial Rule Vol-I, states that, “receipts of Government need to be deposited into the bank and should be reconciled with the treasury”. Principal, KMDC, deposited an amount of Rs 2.477 million, during 2012-13, but the same was not reconciled / verified with the treasury / bank. Detail is as under: (Amount in Rupees) Sr. Head Amount 1 Dental OPD 146,520 2 Dental Treatment 2,330,750 Total 2,477,270 Audit was of the view that non-reconciliation of the receipts constituted weak internal control. The matter was reported during November 2013 but management failed to provide departmental point of view. The PAO failed to convene the DAC meeting to discuss audit paras despite pursuance by audit. Audit recommends fixing of responsibility on account of non-reconciliation of bank challans, besides, statement duly reconciled with the bank may be produced to audit for verification. [AIR Para: 03]

1.2.4.4 Irregular Award of Works - Rs 1.637 Million Rule 12 (1) of SPPRA 2010, states that, “Save as otherwise provided and subject to the regulations made by the Authority a procuring agency shall prepare in accordance with Rule 11 above all proposed procurements for each financial year and shall proceed accordingly without any splitting or regrouping of the procurements already grouped allocated and scheduled in the Procurement Plan”. XEN (Water) Saddar Town and XEN (Sewerage) Sadder Town (KW&SB), incurred Rs 1.637 Million, during 2012-13, without preparing Procurement Plan, in violation of the above rule. Detail provided in Annexure-AA. Audit was of the view that non-compliance of the prescribed procedure provided by SPPRA resulted into non-obtaining of competitive rates and non-transparency in public spending which constituted weak internal control. The matter was reported during December, 2013 but management failed to provide departmental point of view. The PAO failed to convene the DAC meeting to discuss audit para despite pursuance by audit. Audit recommends fixing of responsibility on account of failure to prepare annual procurement plan, under intimation to audit. [AIR Paras: 4, 2]

ANNEXURE ANNEXURE-1

Memorandum for Departmental Accounts Committee (MFDAC) Paras

(Amount in Rupees) Unit Sr. Para Caption Amount SLGD Director General Sindh Civil Services & Local Govt: Academy Tando Jam 1 4 Split up the work of avoid tenders 695,560 2 5 Non deposited utility 118,740 3 6 Non recovery of stamp duty 9,000 4 7 Payment of salaries without pay fixation in service books 1 5 8 Unauthorized retention of detailment staff 6 9 Non recovery of sales tax 22,258 7 10 Poor performance of training academy throughout the year 2012-13

8 11 Improper maintenance of cash book

9 12 Annual physical verification of stock and stores not conducted 2.055 (m) Assistant Director Local Government Karachi 10 1 Unauthorized expenditure without justification 80.100 (m) 11 2 Unauthorized appointment of UC's staff without prescribe procedure 4.536 (m) 12 3 Failure to conduct internal audit and inspection of union councils 13 4 Suspected embezzlement in funds 102,148 2 14 5 Unjustified award of deputation allowance 108,642 15 6 Unjustified award of allowance 1,080 16 7 Loss due to non-deduction of income tax 1,484 17 8 Loss due to non-deduction of sales tax 1,632 Assistant Director Local Government Mirpurkhas 18 1 Improper maintenance of cash book 5,844,604 19 2 Non production of bank statement 5,844,604 20 3 Saving not surrendered 1,897,969 21 4 Excess expenditure incurred over and above the budget allocation 333,973 Irregular expenditure without obtaining the necessary 22 5 11,350 acknowledgment receipt 3 Purchase of uniform & liveries without obtaining NOC from Jail 23 6 5,000 Department 24 7 Annual physical verification of stock and stores not conducted Internal audit & inspection not conducted by the controlling 25 8 authority

(Amount in Rupees) Unit Sr. Para Caption Amount Principal Training & Research Institute Karachi Wasteful expenditure due to poor performance of MTRI for 26 1 12,370,349 conducting training during 2012-13 27 2 Non remittance of Government fees into treasury 68,000 28 3 Payment through open cheques 1,064,314 Irregular maintenance of account balance in Habib Bank Limited 29 4 1,151,900 instead of Sindh Bank limited Non transparency in Government spending due to unmaintained 30 5 449,944 record of official vehicles Irregular / Unjustified payment on account of POL issued to vehicle 31 6 47,995 not pertain to MTRI 32 7 Suspected embezzlement on POL 360,908 4 33 8 Suspected payment on account of Transportation Goods 35,400 Doubtful / irregular appointment of Junior clerk (BS-7) for 34 9 Municipal training research institute. Undue fever shown to other department due to payment on account 35 10 625,000 of Electricity charges without charging share from other occupants. 36 11 Expenditure beyond financial power under various heads. 120,286 Suspected Embezzlement on account of conference/ workshop/ 37 12 135,510 Symposium Suspected embezzlement on account of POL charges due to irregular 38 13 102,522 drawn of POL and diesel on same vehicle Unjustified expenditure on account of pay & allowances to Mr. 39 14 192,264 Farooque Ahmed Siddiqui. 40 15 Non account of computer Hardware, vehicle and furniture 4,873,678

Secretary Election Authority Sindh Karachi 41 1 Payment through open cheques 955,920 42 2 Irregular purchase of vehicle 154,900 Non transparency in Government spending due to unmaintained 43 3 1,883,215 record of official vehicles. Splitting of sanction orders to avoid inviting open tender on account 44 4 103,847 of Hardware Expenditure without inviting open tender and payment made in haste 45 5 212,888 5 without removing fault on account of repair of transport. 46 6 Fraudulent payment on account of POL on stolen car 42,336 Fraudulent payment on account of POL issued to vehicles not pertain 47 7 64,460 to Election authority Fraudulent payment on account of POL issued to vehicle that was 48 8 103,284 not functional due to accident. Expenditure beyond the financial powers on account of stationery 49 9 222,599 and others.

(Amount in Rupees) Unit Sr. Para Caption Amount Loss to Government due to non-deduction of sales tax on account of 50 10 42,683 printing, stationery, furniture & uniforms Loss to Government due to suspected that of FS-7605 vehicle from 51 11 870,000 the parking area of the residence of member. Irregular and uneconomical repair of vehicle without codal 52 12 441,105 formalities Director General Monitoring & Evaluation Cell Karachi Poor performance of local Government's Monitoring & Evaluation 53 1 991.63 (m) cell in Peoples Works Program Poor performance of Local Government's Monitoring & Evaluation 54 2 cell for development schemes of the parliamentarians / Notable of 1636.2 (m) Sindh 55 3 Non maintenance of cash book 16,069 Doubtful appointment of Junior Clerk (BS-07) and posting senior 56 4 clerk (BPS-9) in Director General (M&I) cell Unjustified posting of instructor against the post of Assistant 57 5 6 Director 58 6 Payment through open cheques 1,076,319 Non transparency in Government due to unmaintained record of 59 7 810,624 official vehicles. 60 8 Non-accounting of purchase items in relevant Stock register 61 9 Expenditure beyond financial power under various heads. 203,915 Irregular and uneconomical repair of vehicle without codal 62 10 337,603 formalities 63 11 Expenditure incurred without maintaining contingent register 832,400 64 12 Non maintenance of dead stock register

Secretary Local Department & HTP Wing 65 1 Non production of record on account of grants (A05270- Others) Non production of record regarding new appointments and 66 2 promotion cases of officers/ officials of Local Government Department during 2012-136 67 3 Non recording of transactions into cash book 123.05 (m) 68 4 Non adjustment of Grant-in-aid advances 123.05 (m) 7 69 5 Payment through open cheques 975,857 Non removal of about 13000s fake / illegal appointments made in 70 6 Local Government Department without codal formalities after 30.6.2012 Expenditure without inviting open tender on account of various 71 7 1,290,422 heads Loss to Government due to non-deduction of sales tax on account of 72 8 340,599 various heads.

(Amount in Rupees) Unit Sr. Para Caption Amount 73 9 Non accounting of POL in the POL register 1,565,922 Doubtful payment on account of POL on vehicles not pertain to 74 10 401,246 department Irregular/ Unjustified posting of Mr. Muhammad Saleem Jehangir 75 11 (Secretary Public Safety Commission) in local Government Department as a section officer (Admn) 76 12 Non accounting of various items into relevant registers 2,719,030 77 13 Irregular purchase of vehicle 1,005,000 78 14 Payment through open cheque 165,013 Loss to Government due to non-deduction of sales tax on purchases 79 15 108,395 of taxable items Non transparency in Government spending due to unmaintained 80 16 763,743 record of official vehicles Doubtful payment on account of POL to vehicles not pertaining to 81 17 163,665 department Unauthorized retention of vehicle # GS-0067 and consumption of 82 18 40,784 POL Assistant Director, Local Government Naushahro Feroze 83 1 Non production of record 24.432 (m) 84 2 Irregular purchase of POL 0.017 (m) 85 3 Suspected payment of conveyance allowance 0.050 (m) 86 4 Saving not surrender Government well in time 6.375 (m) 8 87 5 Improper maintenance of cash book 88 6 Non maintenance of dead stock register 89 7 Annual physical verification of stock and stores not conducted Internal audit and inspection not conducted by the controlling 90 8 Officer KMC Senior Director (Transport & Communication) 91 3 Miss-appropriation of public money. 548,000 92 5 Irregular appointment of consultant. 6,122,000 9 93 7 Non reconciliation of figures of exp: from AG Sindh. 6,608,412 94 8 Non-surrendering of saving in time. 6,811,588 Assistant Director (Education) Lyari Zone Karachi Non production of record related of contingency of the ADOE 95 1 - Office. 10 Recoverable amount of conveyance allowance paid to Pasts during 96 2 18,400 Summer vacation.

(Amount in Rupees) Unit Sr. Para Caption Amount 97 3 Payment of salaries without pay fixation in service books. 148,360 98 4 Annual physical verification of stock and stores not conducted. - Assistant Director (Education) Liaquatabad Zone Karachi Recoverable amount of conveyance allowance paid to Pasts during 99 1 8,500 Summer vacation. 11 Non production of record related of contingency of the ADOE 100 2 - Office. 101 3 Non production of service books. 68,780 Assistant Director (Education) Gulberg Zone Karachi Non production of record related of contingency of the ADOE 102 1 - Office. 12 103 2 Annual physical verification of stock and stores not conducted. - 104 3 Payment of salaries without pay fixation in service books. - Assistant Director (Education) Site Zone Karachi Non production of record related of contingency of the ADOE 105 1 - Office. Recoverable amount of conveyance allowance paid to Pasts during 106 2 15,600 13 Summer vacation. 107 3 Payment of salaries without pay fixation in service books. 210,128 108 4 Annual physical verification of stock and stores not conducted. - Assistant Director (Education) Keamari Zone Karachi Recoverable amount of conveyance allowance paid to PSTs during 109 1 15,600 Summer vacation. Non production of record related of contingency of the ADOE 110 2 - 14 Office. 111 3 Annual physical verification of stock and stores not conducted. - 112 4 Non production of service books. 218,417 Assistant Director (Education) Shah Faisal Zone Karachi 113 1 Annual physical verification of stock and stores not conducted. - Recoverable amount of conveyance allowance paid to Pasts during 114 2 15,000 Summer vacation. 15 Non production of record related of contingency of the ADOE 115 3 - Office. 116 4 Non production of service books. 317,130 Assistant Director (Education) Orangi Town Karachi

117 1 Non production of service books. - 16 Non production of record related of contingency of the ADOE 118 2 Office.

(Amount in Rupees) Unit Sr. Para Caption Amount Recoverable amount of conveyance allowance paid to Pasts during 119 3 Summer vacation. 120 4 Annual physical verification of stock and stores not conducted. - Assistant Director (Education) Malir Zone Karachi Recoverable amount of conveyance allowance paid to PSTs during 121 1 9,500 Summer vacation. 122 2 Annual physical verification of stock and stores not conducted. - 17 123 3 Non production of service books. 298,288 Non production of record related of contingency of the ADOE 124 4 - Office. Director (Land Management-II) Recovery of house rent allowance paid over and above 45% from 125 2 304,126 various employees. 126 3 Irregular exp: on purchase of POL. 2,032,744 18 127 4 Expenditure on repair of govt. vehicle. 223,680 128 6 Non recovery of dues of plots under cottage industrial zone. 862,707,000 129 7 Non recovery of rent Hawks bay huts. 3,104,000 130 8 Challan not verified from the treasury. 9,584,000 MS Spencer Eye Hospital, Lyari Non recovery of electric charges from the occupants of govt. 131 1 277,200 residence. Loss due to non-recovery of conveyance, house rent allowance & 132 2 5% house maintenance charges from the occupants of govt. 261,492 residence. Wastage of govt. funds on a/c of yearly salary to director without 133 3 1,192,944 19 performance of any services. Irregular & unauthorized payment on a/c of salaries to regular staff 134 4 19,905,000 working on detailment. 135 5 Non reconciliation of challans from relevant authorities. 334,610 136 6 Annual physical verification of stock and stores not conducted. - 137 7 Non maintenance of cash book for financial transactions. - MS Landhi Medical Complex Unauthorized payment of salaries to newly appointed contractual 138 1 2,131,000 staff. Irregular & unauthorized payment on a/c of salaries to regular & 139 2 16,427,000 20 contractual staff working on detailment. 140 3 Non reconciliation of challans from relevant authorities. 726,510 141 4 Unauthorized occupied govt. residence irrelevant personnel. - 142 5 Unauthorized availability of expired medicines in main store. -

(Amount in Rupees) Unit Sr. Para Caption Amount 143 6 Annual physical verification of stock and stores not conducted. - 144 7 Non production of accounts record. - MS Landhi Medical Complex Non recovery of electric charges from the occupants of govt. 145 1 43,200 residence. 146 2 Non reconciliation of challans from relevant authorities. 2,247,102 21 147 3 Non accountal of medicines purchased in relevant stock register. 281,300 148 4 Annual physical verification of stock and stores not conducted. - 149 5 Non maintenance of cash book for financial transactions - 150 6 Non production of accounts record. - Director Printing Press Blockage of govt. funds due to non-functioning of costly machine 151 1 2,680,000 since 2005. Un-authorized payment of salaries to newly appointed contractual 152 2 875,000 staff without observing of codal formalities. Un-authorized payment of salaries to the staff who were appointed 153 3 2,360,112 over age without age relaxation. 22 Irregular & unauthorized payment on a/c of salaries to staff working 154 4 4,538,000 on detailment/deputation. Irregular & unauthorized exp: on purchase of POL in absence of log 155 5 189,797 book. Unauthorized drawl of special performance allowance without 156 6 530,905 approval from higher authorities. 157 7 Non accountal of material purchased in relevant register. 1,604,214 Senior Director veterinary Services, KMC Non recovery of utility charges against the contract, city abattoir 158 2 35,786,520 Landhi, KMC. 159 5 Award of Contract without Security Deposit 3,070,000 160 6 Loss to govt. due to non-depositing of installment. 1,458,440 161 7 Award to contract by ignoring response time for the bidders. 7,984,500 162 11 Non production of record on repair of govt. vehicle. 819,986 23 163 12 Loss to govt. due to non-depositing of installment. 36,500 164 13 Irregular award of works without preparing evaluation report. 87,984,500 Award of contracts by publishing auction notices "C" category 165 14 newspapers. 87,984,500 166 15 Loss to govt. on per day basis due to departmental collection. 1,352,620 Non production of utility charges against contract city abattoir 167 16 Landhi, KMC -

(Amount in Rupees) Unit Sr. Para Caption Amount Undue financial aid to the contractor by allowing marriage 168 17 - ceremonies and other functions in the premises of city abattoir. Senior Director veterinary Services, KMC Recovery of house rent allowance paid over and above 45% from 169 1 307,319 various employees. Unauthorized deduction of KCPT from the salaries of KMC 170 2 59,400 24 employees. 171 3 Non collection of govt. receipts from M/S philosophy advertising 506,250 172 6 Irregular exp: on POL. 1,680,000 173 7 Irregular exp: on repair & maintenance of govt. vehicle. 137,066 Principal, Karachi Medical & Dental College 174 4 Irregular Expenditure Incurred by way of Splitting 2,295,175 25 Undue Favor to the Supplier/Contractor by not obtaining 10% 175 5 171,000 Security Deposit Director Zoo, KMC, 176 1 Loss of Money due to non-collection of development work 6,000,000 177 2 Non production of record 39,736,709 178 3 Unauthorized award of work without securing bank guarantee 3,046,350 179 4 Non collection of Govt. Revenue 1,123,600 26 180 5 Award of work without executing contract agreements 4,185,000 181 6 Non maintenance of log book of Govt. Vehicles 182 7 Irregular expenditure without making payment 38,391,430 183 8 Challan not verified from the treasury 34,258,000 Senior Director Charged Parking 184 1 Undue Favor to contractor due to non-recovery of stamp duty 369,362 27 185 4 Poor performance due to non-achievement of targeted receipts 8,935,989 186 10 Improper maintenance of cash book

Senior Director HRM 187 1 Over payment of House Rent Allowance 1,073,000 188 2 Non-recovery of house maintenance charges 41,340 189 3 Overpayment of allowances 25,200 Unauthorized expenditure & non-accountal of POL in POL 28 190 4 consumption account, log book, vehicle transit register & history 969,959 sheet of vehicle 191 5 Irregular use of Government vehicle beyond entitlement 869,959 192 6 Non-surrendering of savings 1,287,886 193 7 Payment of salaries without pay fixation in service books -

(Amount in Rupees) Unit Sr. Para Caption Amount 194 8 Non-maintenance of cash book 144,933 195 9 Embezzlement on account of purchase of laptop 80,000 196 10 Embezzlement on account of purchase of toners & stationery 188,000 197 11 Hiring of consultant without following SPPRA Rules 680,000 198 12 Less-deduction of Income Tax on consultancy fee 5,100 Expenditure on repair of vehicle not belonging the office of Senior 199 13 129,300 Director HRM 200 14 Excess expenditure on purchase of newspaper 42,923 201 15 Un-authorized salaries paid to staff on irregular detailment - 202 16 Internal check not conducted - 203 17 Annual physical verification not conducted - 204 18 Non-production of record 208,300 Chief City Warden, Municipal Services Department 205 1 Overpayment of House Rent Allowance 9,967,000 Extra burden of salaries of drivers appointment in BPS-07 instead of 206 2 416,160 BPS-05 207 3 Overpayment of adhoc allowance 277,716 Unauthorized expenditure without maintaining history of sheet of 203 4 2,000,000 vehicle 204 5 Less recovery of stamp duty 15,500 29 205 6 Non-surrendering of savings 4,204,665 206 7 Payment of salaries without pay fixation in service books 538,560 207 8 Irregular expenditure without maintaining uniform register/liveries 12,540,000 208 9 Unjustified payment of liabilities pertaining to the Year 2008-09 8,100,150 Irregular expenditure without constitution of proper procurement 209 10 15,869,000 committee 210 11 Non-production of record 17,160,000 Senior Director Finance & Accounts Doubtful Expenditure of POL Rs. 4,300,000/- without supporting 211 1 4,300,000 vouchers. Non-production of record of monthly pension and commutation case 212 2 4,169,384 of retired offices/officials Expenditure without inviting open tender on account of 213 3 329,500 computerization. 30 Splitting of sanction orders to avoid inviting open tender on account 214 4 286,775 of furniture. Loss to Govt. due to less-deduction of Sales Tax on account of 215 5 86,349 various heads.

(Amount in Rupees) Unit Sr. Para Caption Amount Irregular & Uneconomical repair of vehicle amounting to Rs. 216 6 670,400 670,400/- without codal formalities. Overpayment due to un-authorized award of grades to staff Rs. 217 7 123,135 123,135/- Splitting of sanction orders to avoid inviting open tender on account 218 8 199,490 of computerization. Doubtful payment on account of R/M of Computer Hardware & 219 9 Software. 5,176,300 KW& SB Executive Engineer (WD) Keamari Town 220 2 Exp: in excess of budget grant. 4,571,376 31 221 3 Recovery on account of payment of over time allowance. 550,726 Executive Engineer (WD) Keamari Town 222 2 Exp: in excess of budget grant. 1,382,615 32 223 3 Non utilization of funds. 1,384,421 Executive Engineer (Sewerage) Keamari Town 224 2 Exp: in excess of budget grant. 5,586,051 33 225 3 Recovery on account of payment of over time allowance. 606,717 Resident Engineer Hub Filter Plant 226 2 Non posting of bid evaluation report on authority’s website. 674,300 227 3 Non utilization of funds. 18,578,054 34 228 5 Irregular exp: on repair of govt: vehicles. 190,700 Unauthorized payment house rent allowance along with 229 6 258,036 accommodation. Resident Engineer Hub Division Civil 230 1 Non utilization of funds. 148,776,405 231 4 Constitution of invalid procurement committee for works. 989,017 35 Unauthorized payment house rent allowance along with 232 5 176,737 accommodation. 233 6 Non deduction of retention money. 6,201,045 Resident Engineer, Nek K-II (P&F) Irregular NIT published without mentioning category of the 234 1 851,700 contractor. 235 2 Non posting of bid evaluation report on authority’s website. 978,770 36 Unauthorized payment house rent allowance along with 236 4 accommodation. 523,057

237 5 Irregular payment of overtime allowances. 812,209

(Amount in Rupees) Unit Sr. Para Caption Amount 238 6 Exp: on account of uniform without budget grant. 179,500 Executive Engineer (E&M) Korangi Town 239 1 Non utilization of funds. 102,507 37 240 2 Non surrender of saving. 1,016,879 Resident Engineer Hub Mechanical (Pumping) 241 1 Unauthorized exp: in excess of sanctioned estimate. 2,327,200 242 2 Unauthorized exp: without inviting open tender. 550,000 Irregular excess payment on account of excess rates above the 243 3 561,869 38 estimated rates despite of rate analysis. Recovery of overpayment of house rent allowance & maintenance 244 4 1,461,888 charges on govt: accommodation. 245 6 Irregular payment on overtime to employees. - Resident Engineer Dhabeji & Gharo 246 1 Agreement after Completion of Work 3,035,300 247 3 Non execution of performance security. 712,888 248 4 Irregular payment in excess rates above the estimates. 654,800 249 Less collection of quotation / tender fee. 39 5 19,100 Recovery of overtime of house rent allowance & maintenance 250 6 612,828 charges on govt: accommodation. 251 7 Irregular payment on account of outstation allowance. 177,348 252 8 Unauthorized payment of technical allowance to employees. 101,748 Executive Engineer Hub trunk Main Division 253 2 Irregular exp: on repair of leakages. 988,800 254 3 Irregular exp: without proper advertisement. 897,348 40 Recovery of overtime of house rent allowance & maintenance 255 4 566,826 charges on govt: accommodation. Superintending Engineer Gulshan-e-Iqbal Town 256 1 Non Surrendering of saving amount. 1,661,774 257 2 Non utilization of funds. 500,000 41 Over payment of house rent allowance without concurrence of 258 3 78,204 finance division Sindh. Executive Engineer (Water) Gulshan-e-Iqbal Town 259 1 Recovery on account of payment of overtime allowance. 527,483 42 260 2 Non Surrendering of saving amount. 1,513,874 261 3 Irregular payment on account of purchase of uniform and liveries. 211,381 Executive Engineer (Sewerage) Gulshan-e-Iqbal Town 43 262 1 Recovery on account of payment of overtime allowance. 182,882

(Amount in Rupees) Unit Sr. Para Caption Amount 263 2 Non Surrendering of saving amount. 3,089,580 264 3 Non utilization of funds. 250,000 Resident Engineer Gharo Division Civil Unauthorized exp: by execution of agreement after completion of 265 1 3,353,979 work. 266 2 Un-authorized exp: without inviting open tender. 2,422,000 Un-authorized payment without obtaining revised estimates and 267 4 2,202,822 44 revised technical sanction. 268 5 Non-execution of performance security amount. 159,740 269 6 Less collection of quotation tender fee amount. 40,500 Recovery of overpayment of house rent allowance & maintenance 270 7 812,400 charges on govt. accommodation. DMD Finance 271 1 Non production of auditable record. 18,020,374 272 2 Irregular payment on account of leave encashment. 1,110,560 273 3 Recovery on account of payment of overtime allowance. 690,509 274 Exp: on a/c of repair of vehicle without history sheet. 45 4 183,655 275 5 Non Surrendering of saving amount. 22,934,622 276 6 Non accountal of purchase of stationary in stock register. 783,373 277 7 Expenditure incurred in excess of budget grant. 1,392,909 278 8 Blockage of government funds. 3,432,890 Chairman Office 279 2 Un authorized use of KW&SB vehicles by Mr. Zulfiqar Dahar. 1,980,000 280 3 Un authorized irregular re-appropriation of appropriation accounts. 20,000,000 281 4 Irregular exp: on repair of govt. vehicles. 109,000 282 6 Doubtful exp: on accounts of imprest. 61,111 283 7 Irregular payment on overtime allowance. 843,311 284 8 Irregular exp: on accounts of imprest. 175,705 46 285 9 Non surrender of savings. 2,027,868 Recovery of house rent allowance paid over and above 45% from 286 10 63,090 employees. 287 11 Misclassification of fund. 97,300 288 12 Recovery on account of POL beyond prescribed ceiling. 12,300 289 13 Recovery on account of use of staff cars against entitlement. 220,320 290 14 Non deduction of GP-fund from salaries of govt. employees. 6,360 Director (A&E), KW&SB Un authorized exp: without allocation in the budget book of schedule 291 1 1,049,000 47 of authorized exp: 292 2 Transgression of delegated powers in sanction of water connection. 56,940,000

(Amount in Rupees) Unit Sr. Para Caption Amount 293 3 Irregular grant of rebate on new connection charges. 5,694,000 294 4 Non-maintenance of stock register. 500,000 Executive Engineer (E & M) New Karachi Town 295 1 Exp: incurred in excess of budget grant. 3,067,322 296 2 Non surrender of savings amount. 463,565 48 297 3 Non utilization of funds. 1,459,943 298 4 Non accountal of uniform liveries 156,793 Chief Engineer (E & M), KW&SB 299 1 Overpayment house rent allowance. 306,672 49 300 2 Irregular payment of leave encashment to officials / Officer. 192,010 301 3 Unjustified payment of mobile phone bills. 37,563 Executive Engineer (W) North Nazimabad 302 1 Non accountal of stationary. 14,500 303 2 Exp: incurred in excess of budget grant. 7,930,311 50 304 3 Irregular payment of overtime allowances. 33,250 305 4 Non utilization of funds. 4,487,614 Executive Engineer (Sewerage) Gulberg Town 306 1 Irregular payment of leave encashment to officers / Officer. 1,278,200 51 307 2 Exp: incurred in excess of budget grant. 1,103,157 308 3 Undue Payment of Permanent Travelling Allowance to Employees 6,557 Executive Engineer (Water) Gulberg Town 309 1 Irregular payment of leave encashment to officers / Officer. 1,257,750 52 310 2 Non-Utilization of Funds 515,000 311 3 Exp: incurred in excess of budget grant. 3,364,590 DMD (R & RG) 312 1 Non-recovery of Rs. 28,038,698/- from defaulters 28,038,698 313 2 Less realization of revenue target 2.295 (M) 314 3 Overpayment of House Rent 0.253 (M) Unauthorized Payment of H.Rent allowance along with 315 4 0.513 (M) 53 accommodation 316 5 Irregular payment of leave encashment to officers / Officer. 0.368 (M) 317 6 Irregular Use of Government vehicle Beyond Entitlement - 318 7 Irregular POL beyond prescribed ceiling limit per month 0.372 (M) 319 8 Unauthorized salaries paid to staff on irregular detailment 4.346 (M) Director Medical Services

(Amount in Rupees) Unit Sr. Para Caption Amount 320 1 Excess POL consumption beyond prescribed ceiling 1,292,000 321 2 Purchase of medicine availing less discount 1,306,032 322 3 Irregular expenditure without maintenance of log book 3,120,180 323 4 Un-authorized expenditure on hospital bills after expiry date 17,477,285 324 5 Unauthorized payment to medical store, specialists & laboratories 4,137,468 Unauthorized expenditure on laboratories bills submitted after expiry 325 6 3,142,785 date 54 326 7 Irregular expenditure on overstay at hospital 926,883 327 8 Irregular expenditure beyond entitlement for room facility 103,859 328 9 Irregular expenditure on repair of Govt. vehicle 193,500 Recovery of H.Rent & maintenance charges on Govt. 329 10 295,992 accommodation 330 11 Non-recovery of conveyance allowance 120,000 331 12 Recovery on electricity charges 90,000 332 13 Irregular payment on leave encashment 402,103 Managing Director 55 333 1 Overpayment due to un-authorized award of grades to staff 123,135 XEN (Water) Saddar Town Irregular NIT published without mentioning category of the 56 334 3 969,004 contractor. XEN (Sewerage) Saddar Town 57 335 3 Constitution of invalid procurement committee for works. 821,816 XEN (Water) Jamshed Town 58 336 2 Exp: in excess of budget grant. 7,186,688 XEN (E&M) Jamshed Town 59 337 1 Exp: in excess of budget grant. 1,373,378 Director Bulk Government Properties 338 1 Non Recovery from the defaulters 24,506,929 339 2 Overpayment of House Rent Allowance 391,735 Unauthorized payment of house rent allowance along with 340 3 278,136 accommodation 60 341 4 Non-recovery of house maintenance charges 62,490 342 5 Irregular payment on leave encashment to officers/officials 535,140 343 6 Unauthorized POL beyond prescribed ceiling (limit) per month 480,000 344 7 Unauthorized salaries paid to staff on irregular detailment 8,882,496

Annexure-2

Audit Impact Summary

1. Suspected misappropriation Due to Non-Remittance of Training Fees Rs 2.055 Million

DG, (SCS&LGTA), Tando Jam, conducted different trainings and collected an amount of Rs 2.055 million, during 2012-13, on account of fees from participants, but failed to deposit the same into Govt. treasury.

2. Embezzlement on account of POL - Rs 0.146 Million

Secretary, Election Authority Sindh, incurred expenditure amounting to Rs 0.146 million, during 2012-13, on account of POL for the stolen and off road vehicles.

3. Non-Production of Record - Rs 573.461 Million

Different offices of Secretary LGD, KMC & KW&SB, incurred an expenditure of Rs 573.461 million from various heads of accounts, during 2012-13, but failed to provide record to audit.

4. Non-Recovery of Dues - Rs 862.707 Million

Senior Director, Land Management II, auctioned different plots located in Cottage Industries Zone, during 2012-13, but failed to recover outstanding dues amounting to Rs 862.707 million.

5. Non-Realization of Receipts - Rs 825.322 Million

Director (Land Management-II), Senior Director (Local Taxes) and Senior Director (Charged Parking) failed to collect various outstanding recoveries amounting to Rs 825.322 million.

6. Non-Adjustment of Grant-In-Aid Advances - Rs 123.05 Million

Secretary, LGD, paid advances of Rs 123.05 million to Sehwan and Larkana Development Authorities for executing development works, during 2012-13, but failed to obtain bills/vouchers to account for advances to justify the expenditure.

7. Irregular Award of Auction without Inviting Tender Rs 118.320 Million

Senior Director (Charged Parking), KMC, auctioned charged parking sites amounting to Rs 118.320 million, during 2011-12, without inviting open tender and advertising on authority’s website and print media.

8. Unauthorized Award of Contract - Rs 87.985 Million

Senior Director, Veterinary Services, KMC, awarded various contracts amounting to Rs 87.985 million to contractors, during 2011-12, after 7 days of publication of NIT instead of 15 days.

9. Unauthorized Sanction - Rs 70.880 Million

Director, Store & Procurement, KMC, sanctioned expenditure of Rs 78.266 million against budget available to Rs 7.386 million, in excess of the budget to the extent of Rs 70.880 million, during 2011-12 & 2012-13, on account of different purchases.

10. Irregular Payment on Leave Encashment - Rs 37.668 Million

Different offices of KW&SB, paid Rs 37.668 million, during 2012-13, to officials on account of leave encashment.

Annexure-A Suspected Misappropriation NON-REMITTANCE OF GOVERNMENT FEES,

(Amount in Rupees) No. of Training Fee Sr. Name of Course Duration Participants Fees Received DG, (SCS&LGTA), Tando Jam [AIR Para-1] 2012-13 Departmental Training for 1 the members 0f SCUGS 01 to 26 Oct, 2012 51 15,000 720,000 (Administrative Branch) Departmental Training for 05 to 16, Nov, 2 the members 0f SCUGS 21 15,000 285,000 2012 (Accounts Branch) Departmental Training for 04 to 21, March, 3 the members 0f SCUGS 17 30,000 390,000 2013 (Accounts Branch) Departmental Training for 25-March to 10- 4 the members 0f SCUGS 28 30,000 660,000 April, 2013 (Engineering Branch) Grand Total 2,055,000

Annexure-B

Embezzlement

(Amount in Rupees) Cheque no & S. No & Vehicle Sr. Particulars Remarks Date Date amount POL claimed for the off road vehicle [AIR 8] Rex Service 1180325 1 02-10-2012 17,734 Station 23-10-2012 P.O.L claimed while 1186565 vehicle # GS-0303 was 2 ------do------02-11-2012 43,074 20-11-2012 off road due to 1193336 Accident 3 ------do------03-12-2012 42,476 12-12-2012 Sub Total 103,284 Expenditure on account of POL of stolen Vehicle # GS-7605 [AIR 6] Sr. Month P.O.L Rate Total 4 Mar-13 (After 10-3-2013 135 103.7 14,000 5 Apr-13 155 103.7 16,074 6 May-13 125 98.1 12,263 Sub Total 42,336 Grand Total 145,620

Annexure-C

Non-Production of Record

[Rupees in Million] Sr. Name of Office Year AIR Para # Amount 1 XEN (Water) Keamari Town 2012-13 1 46.855 2 XEN (Sewerage) Keamari Town 2012-13 1 0.892 3 XEN (E&M) Keamari Town 2012-13 1 18.11 4 Chairman 2012-13 1 51.14 5 Director Land Management-II 2012-13 5 95 6 KM&D College, KMC Karachi 2012-13 1 3.447 7 Senior Director (Transport & 2012-13 1 0 Communication) Dept. 8 Secretary Local Govt. Department 2012-13 1 352.349

9 Election Commission Authority 2012-13 1 2.870

10 The Senior Director (TCD) KMC 2012-13 6 2.798

Total 573.461

Annexure-D

Irregular Award of Auction without inviting Tender

(Amount in Rupees) Period of Sr. Work Description Contractor Amount Contract Contract to collection Toll 30-06-2011 Tax from Link Road between Mr. Mazhar To 1 90,820,521 Supper Highway and National Abbas 12-8-2011 Highway, Karachi M/S Shahid 1-3-2011 Contract of Bagh Ibn-e-Qasim 2 Khurshid to 3,850,000 Charged Parking Site" Rana 3-6-2012 Contract of Tariq Road 16-07-11 3 Bahadurabad & Allama Iqbal - to 11,825,000 Road 23-12-11 01-06-11 4 Beach Park - To 11,825,000 15-09-11 Total 118,320,521

Annexure-E

Unauthorized award of contract

(Rupees in Million) Auction Tender Sr. Name of Contract Date of NIT Date Amount Right to collect fee on license for keeping of 1 milk producing animals at the jurisdiction of 18-05-2011 25-05-2013 80.000 CDGK Right to collect fee on license for meat shop at 2 18-05-2011 25-05-2013 1.353 the jurisdiction of CDGK Right to collect fee on licensee for Poultry shop 18-05-2011 25-05-2013 1.100 3 at the jurisdiction of CDGK Right to collect fee on parking of vehicles in 4 18-05-2011 25-05-2013 0.084 the premises of North Karachi Slaughter House Right to collect fee on slaughtering of animals at 5 18-05-2011 25-05-2013 3.720 CDGK slaughter house North Karachi. Right to collect fee on raw skin brought to sale 6 18-05-2011 25-05-2013 0.085 at CDGK slaughter House North Karachi Right to collect fees on parking of vehicles 7 18-05-2011 25-05-2013 0.243 carrying animals at cattle piri Landhi Right to collect fee on parking of vehicle 8 18-05-2011 25-05-2011 1.400 carrying wheat straw boosa at cattle piri Landhi Total 87.985

Annexure-F

Unauthorized creation of liabilities

(Amount in Rupees) Income Net Amount Page No. Name of Gross Sales Tax Amount Sr. Description Deducted Tax Amount to be of Stock Supplier Amount Deducted Paid Deducted Payable Paid Register Director, Store & Procurement Detail of the Liability Created during the Financial Years 2011-12 & 2012-13 (DATA ABSTRACT FROM INCOME TAX REGISTER MAINTAINED BY STORE & PROCUREMENT DEPARTMENT) FY 2011-12 LCD, Photo Copier, Desk Top Computer, Fax Machine, Laser M/s Al Printer, S&F, Laser 1 Malik & 9,777,129 504,883 265,731 342,059 8,599,966 1,848,005 6,751,961 21-23 Printer, Electrical Sons Items, Non- Technical Items, Stationery, Furniture etc. M.T, Technical & M/s Ali 2 Non-Technical 3,155,916 121,000 87,059 110,458 2,837,396 942,956 1,894,440 24 Raza & Sons Items,E.Letc M/s ANGLE 3 Electrical Items 197,550 - 5,450 6,915 185,185 - 185,185 25 Enterprises A.G 4 Repair Copier 99,830 - 5,990 93,840 93,840 - 28 Enterprises M/s Danish Non-Technical 5 403,108 - 11,119 14,109 377,880 377,880 - 29 Corporation Items & S&F M/s Ishaq & Non-Technical 6 9,500 - 262 333 8,905 8,905 - 31 Co. Items Electrical Items, M/s Indus 7 S&F & Non- 595,335 - 16,521 20,839 557,975 243,833 314,142 32 Enterprises Technical Items

(Amount in Rupees) Income Net Amount Page No. Name of Gross Sales Tax Amount Sr. Description Deducted Tax Amount to be of Stock Supplier Amount Deducted Paid Deducted Payable Paid Register Computer, Laser M/s National 8 Printer, Furniture 1,995,765 - 55,406 69,856 1,873,203 755,039 1,118,164 34-35 Type Expert etc. M.T, E.L, N.T, M/s Rana S&F, Technical & 9 508,941 - 12,958 17,413 477,090 280,718 196,372 38 Enterprises non-technical tems etc. M.T, E.L,N.T, S&F, Technical 40-43 M/s Super 10 Items, Non- 29,253,303 1,972,417 763,069 1,060,477 25,453,997 2,835,037 22,618,960 & Trading Technical Items, 54-55 Furniture etc. M.T, E.L,N.T, S&F, Technical M/s Zafar 11 Items, Non- 1,402,791 30,352 38,698 49,104 1,295,019 - 1,295,019 44 Agencies Technical Items, Furniture etc. S&F, Technical, M/s Shamim 12 Non-Technical 1,644,852 35,536 45,375 57,573 1,496,061 - 1,496,061 46 & 57 Enterprises Items, Furniture etc. M/s Zakir & 13 National Flags 315,000 - - 11,024 303,976 - 303,976 47 Company Repair of Vehicles M/s Amin GL-8590,GS- 14 Electric 7311,GL-8241, 362,325 - 9,995 12,682 339,648 - 339,648 48 Store Supply of Toner etc. Lap Top, Desk Top 15 M/s I. Tech 650,500 - 17,945 22,768 609,807 - 609,807 49 Computer Technical Items, M/s O & U 16 Toner, Cartridge 478,388 31,071 13,197 16,743 417,377 - 417,377 50 Company etc.

(Amount in Rupees) Income Net Amount Page No. Name of Gross Sales Tax Amount Sr. Description Deducted Tax Amount to be of Stock Supplier Amount Deducted Paid Deducted Payable Paid Register M/s S.K. Office Automation 17 3,298,645 187,107 90,275 115,428 2,904,236 - 2,904,236 51-52 Traders 2011-12,, S&F etc. M/s 18 Trackiness Repair work 150,500 - - 9,030 141,470 - 141,470 53 Company M/s Sheraz 19 Generator/P+P 2,712,000 198,000 74,814 94,920 2,344,266 - 2,344,266 56 Trading M/s General Photocopier for 20 160,000 - 4,414 5,600 149,986 - 149,986 58 Traders Inspection Dept. M/s Wasti 21 S&F 34,400 - 4,998 1,204 28,198 - 28,198 59 Enterprises M/s M.A 22 Electrical Items 84,970 - 2,344 2,974 79,652 - 79,652 60 Enterprises FY 2012-13 S&F, line Printer, M/s Al Computer pager, 23 Malik & 7,087,263 494,204 195,511 248,056 6,149,488 - 6,149,488 2 M.T, Furniture, Sons Stationery M/s ANGLE 24 S&F 19,850 - 548 695 18,607 - 18,607 6 Enterprises M/s Ali 25 E.L, N.T, S&F etc. 292,820 8,078 10,249 274,493 - 274,493 7 Raza & Sons M/s EDGRO DELTA Mathrin 26 3,615,000 216,500 99,724 126,525 3,172,251 - 3,172,251 8 (PVT) LTD 1.5 EC M/s General 27 Photo Copier 175,000 - 4,825 6,125 164,047 - 164,047 9 Traders M/s National S&F, Repair of A/c, 28 298,200 - 2,745 15,405 280,050 - 280,050 10 Type Expert repair of Furniture M/s O U & 29 S & F 177,892 - 4,908 6,227 166,757 - 166,757 11 Company M/s Rana N.T, S&F,E.C,, 30 439,811 - 12,133 15,394 412,284 - 412,284 12 Enterprises Technical Items etc. M/s R.N.S 31 E.C etc. 234,658 - 6,473 8,213 219,972 - 219,972 13 Strikers

(Amount in Rupees) Income Net Amount Page No. Name of Gross Sales Tax Amount Sr. Description Deducted Tax Amount to be of Stock Supplier Amount Deducted Paid Deducted Payable Paid Register M.T,E.C,Technical M/s Super 32 & non-Technical 29,528,575 820,448 548,214 695,549 10,986,268 - 10,986,268 14-17 Trading Items, M.T, E.L,N.T, S&F, Technical M/s Shamim 33 Items, Non- 1,321,594 - 34,546 50,789 1,239,259 - 1,239,259 18-19 Enterprises Technical Items, Furniture etc. Cannon Photo M/s Sheraz 34 Copiers, Fax 1,438,760 - 39,690 50,357 1,348,713 - 1,348,713 20 Trading Co. Machines Panasonic Fax Machine, Photostat M/s S.K. 35 paper,S&F,Cabinet 423,682 - 11,136 15,330 397,216 - 397,216 21 Traders Divider, Repair of Computer M/s SDR 36 E.L etc. 100,000 - 2,759 3,500 93,741 - 93,741 22 System M/s Shadab 37 S&F Etc. 98,500 - 2,717 3,448 92,335 - 92,335 23 Engineering M/s Wasti 38 E.L & S.F etc. 221,410 - 30,783 7,747 182,878 - 182,878 24 Enterprises N.T, Technical M/s Zafar 39 Items, S&F, Non- 1,652,891 66,017 62,680 59,603 1,528,541 - 1,528,541 25 Agencies Technical Items M/s K Repair/Maintenance 40 Construction of Furniture, E.L 899,765 66,512 22,935 33,201 843,629 - 843,629 26 Company etc. Repair of A/C 41 M/s Taknies 19,200 1,152 18,048 - 18,048 27 Store M/s 42 Muhammadi Technical Items 109,440 3,019 3,830 102,591 - 102,591 28 Enterprises Grand Total 105,445,059 4,744,047 2,613,054 3,408,894 78,266,301 7,386,213 70,880,088

Annexure-G

Details of Payment on Leave Encashment

(Rupees in Million) Sr. Name of Office Year AIR Para # Amount 1 XEN K.D Civil-I, KW&SB 2012-13 4 2.257 2 XEN Hub Division Civil 2012-13 2 1.538 3 R.E NEK K-II (P&F) 2012-13 3 1.457 4 XEN (E&M) Korangi Town 2012-13 3 0.412 5 XEN (Sewerage) Korangi Town 2012-13 1 1.814 6 XEN (E&M) Gulshan.e. Iqbal 2012-13 3 1.976 7 XEN Purification Plant, Division 2012-13 5 2.660 8 XEN Hub Division Civil 2012-13 5 0.168 9 R.Engg. Hub Filter Plant 2012-13 5 1.627

10 XEN (Sewerage) Shah Faisal Town 2012-13 1 2.005

11 XEN (E&M) Shah Faisal Town 2012-13 1 1.035 12 XEN (Sewerage) Keamari Town 2012-13 4 0.828 13 XEN (Sewerage) Keamari Town 2012-13 4 1.942 14 XEN (E&M) Keamari Town 2012-13 4 0.842 15 XEN (Water) Shah Faisal Town 2012-13 1 2.419 R.E Hub Division mechanical 16 2012-13 5 1.488 (Pumping) 17 XEN, Hub Trunk Main Division 2012-13 5 1.7 18 R.E Gharo Division (Civil) 2012-13 8 4.369 19 Chairman 2012-13 4 0.132 20 XEN Meter Workshop Division 2012-13 1 1.617 21 XEN (Water) Jamshed Town 2012-13 1 2.571 22 XEN (Sewerage) Jamshed Town 2012-13 2 1.763 23 XEN (E&M) Jamshed Town, 2012-13 3 1.049 Total 37.668

Annexure-H

Unauthorized Payment on account of Salaries to Regular & Contractual Staff Working on Detailment

(Amount in Rupees) Gross Period Total Sr. Name Desig: Place of Posting Monthly in Irregular Salary Months Amount Detail of MS Landhi Medical Complex, KMC's Staff Who are working on Detailment Tahir Jamil Senior 1 F&A, KMC 136,817 12 1,641,804 Durrani Director

2 Md. Ali Shaikh SCUG 12 996,552 83,046

3 Dr. Aliya Jilani RMO SGCH N. Nazimabad 12 707,052 58,921 Dr. Mudasir 4 RMO CEC Shah Faisal 12 707,052 Hassan 58,921

5 Dr. Irfan Qazi RMO ASH 0 - 58,921

6 Dr. Salahuddin RMO SGCH N. Nazimabad 12 707,052 58,921

7 Dr. Aftab Ahmed RMO 5 D . Lal Market 12 707,052 58,921

8 Dr. Bilal Ahmed RMO 5 D . Lal Market 12 707,052 58,921 Dr. Mahrukh 9 RMO PIB Mat. Home 1 58,921 Fatima 58,921

10 Dr. Erum Doultana RMO SGCH N. Nazimabad 12 707,052 58,921 Dr. Shahzada 11 RMO 5 D . Lal Market 2 Days 3,928 Abbass 58,921

12 Dr. Dure Shahwar RMO PIB Mat. Home 1 58,921 58,921

13 Dr. Uzma Asif RMO 5 D . Lal Market 2 Days 3,928 58,921 Dr. Shaheen 14 RMO SMH 2 Days 3,928 Minhaj 58,921 Dr. Noureen Dental 15 PIB Mat. Home 58,921 1 58,921 Sarwat Surgeon Dental 16 Dr. Aisha Ali SMH 58,921 12 707,052 Surgeon 17 Ali Muhammad Staff Nurse CEC Landhi 29,208 12 350,496

(Amount in Rupees) Gross Period Total Sr. Name Desig: Place of Posting Monthly in Irregular Salary Months Amount 18 S. Saeeduddin Staff Nurse UHC 5C-3 North. Khi 29,208 12 350,496 Khadijat-ul- Kubra 19 Sonia Shafiq Staff Nurse Community Mid wife 33,180 3 99,540 School Site, Karachi 20 M.Kaleem Staff Nurse CEC Landhi 29,208 12 350,496 21 S.Amir Raza Rizvi ADO DO Health Drug 42,171 12 506,052 22 Haroon Babar D.P.O SGCH N.Nazimabad 28,008 12 336,096 23 M.Owais Theatre Tech SRS Hospital 18,293 0 0 24 Shahbaz Naseer Theatre Tech Jinnah Homeopath Hosp 18,293 0 0 25 Atif Mahboob Theatre Tech SGCH N.Nazimabad 18,293 12 219,516 26 Waqar Babu Theatre Tech 5-D Lal Market 18,293 12 219,516 27 Anis ur Rahman Theatre Tech UHC 5C-3 New Karachi 18,293 12 219,516 28 Muhammad Sajid Theatre Tech Landhi Cardiac 18,293 10 182,930 29 Muhammad Faisal E.C.G Tech 5-D Lal Market 18,293 12 219,516 O.T 30 Syed Ali Danish SGCH N.Nazimabad 17,073 12 204,876 Assistant O.T 31 Syed Ihsan Ali I.T Depart HGOO,KMC 17,073 12 204,876 Assistant O.T UHC 5-C 3 New 32 Muhammad Shakir 17,073 12 204,876 Assistant Karachi Assist: Lab 33 Asim Hussain 5-D Lal Market 17,073 12 204,876 Tech Assist: Lab 34 Nazim Ali 5-D Lal Market 17,073 12 204,876 Tech 35 M.Shakir Clerk Dir (Med-Services) 21,285 1 21,285 Asstt: X- 36 Amir Ali Siddiqui SGH Korangi 17,073 8 136,584 Ray 37 Hina Perveen Mid Wife 5-D Lal Market 16,521 12 198,252 UHC 5-C/3 New 38 Naseem Iqbal Mid Wife 16,521 3.5 57,824 Karachi UHC 5-C/3 New 39 Amanullah Driver 15,981 12 191,772 Karachi Pump 40 Waseem Raza 5-D Lal Market 15,454 12 185,448 Operator Pump 41 Syed Zulfiqar Ali 5-D Lal Market 15,454 12 185,448 Operator

(Amount in Rupees) Gross Period Total Sr. Name Desig: Place of Posting Monthly in Irregular Salary Months Amount Pump 42 Asif Saleem 5-D Lal Market 15,454 0 0 Operator 43 Zeeshan Allauddin Attendant 5-D Lal Market 14,492 0 0 44 Imran Khan Attendant SGCH N.Nazimabad 14,492 12 173,904 UHC 5-C 3 New 45 Sarfraz Attendant 14,492 12 173,904 Karachi 46 Jalil Ahmed Attendant 5-D Lal Market 14,492 12 173,904 47 M.Tauseef Attendant 5-D Lal Market 14,492 12 173,904 48 Irtaza Ali Attendant 5-D Lal Market 14,492 12 173,904 49 Nazeer Alam Attendant Director Budget 14,492 12 173,904 50 M.Irfan Attendant Director Pay Roll 14,492 12 173,904 51 Afzal Worker Sr.Dir (M&HS) KMC 16,773 0 0 52 Naseem Akhtar Aya SGCH N.Nazimabad 14,188 12 170,256 UHC 5-C 3 New 53 Jameela Naz Aya 14,188 12 170,256 Karachi UHC 5-C 3 New 54 Musharaf Bibi Aya 14,188 12 170,256 Karachi 55 Riffat Rani Aya 5-D Lal Market 14,188 12 170,256 56 Musarat Jahan Aya 5-D Lal Market 14,188 0 0 Sanitary 57 Nargis Bibi 5-D Lal Market 14,188 12 170,256 Worker Sanitary 58 Nusrat Bibi 5-D Lal Market 14,188 12 170,256 Worker Sanitary 59 Alice 5-D Lal Market 14,188 12 170,256 Worker Sanitary 60 Bushra Perveen 5-D Lal Market 14,188 12 170,256 Worker Sanitary 61 Khuram Munawar 5-D Lal Market 14,188 12 170,256 Worker Sanitary UHC 5-C 3 New 62 Sumaira 14,188 12 170,256 Worker Karachi Sanitary UHC 5-C 3 New 63 Khuram Frances 14,188 12 170,256 Worker Karachi 64 Karim Bux Chowkidar THO Baldia 14,188 7 99,316 65 Dr. Lata Devei Contractual ASH 30,361 3 91,083 Sub Total 16,111,973

(Amount in Rupees) Gross Period Total Sr. Name Desig: Place of Posting Monthly in Irregular Salary Months Amount Detail of MS Spencer Eye Hospital's Staff who are working on detailment Dy. District 67 Afaq Mirza Education Department 91,698 12 1,100,376 Officer Sikandar Lai 68 EX. Engr. Engineering Department 67,435 12 809,220 Malah Admin 69 Zulfiqar Ali Dahar Local Bodies 79,097 12 949,164 Officer Qazi Abdul 70 Town officer Awaiting for Posting 94,155 12 1,129,860 Rahman 71 Ram Chand EX. Engr. Engineering Department 69,655 12 835,860 Asst. District 72 S.Masood Hyder Engineering Department 49,899 12 598,788 Officer Asst. District 73 M.Asifuddin DMS office 43,220 12 518,640 Officer Dr. Majeed Gul Medical 74 Shah Faisal Town 103,994 12 1,247,928 Shaikh Officer Medical 75 Dr. Abdul Jabbar Shah Faisal Town 89,242 12 1,070,904 Officer Admin 76 Ahsanul Haq Rescue 1122 61,960 12 743,520 Officer District 77 Syed Asim Ali Estate Department 51,236 12 614,832 Inspector Asst. 78 Syed Akif Atta Accounts New Karachi Hospital 37,876 12 454,512 Officer Asst. District 79 Imran Qureshi DMS office 43,220 12 518,640 Officer Office 80 S.Mansoor Ali E&I.P Department 34,317 12 411,804 Assistant Sobhraj Maternity 81 Musarat Jahan Staff Nurse 42,091 12 505,092 Home 82 Pirsala Gulzar Staff Nurse Pak Colony Dispensary 42,681 12 512,172 Computer 83 Rehana Yasmin Municipal Services 39,281 12 471,372 Operator Ashiq Hussain Computer 84 DMS office 48,797 12 585,564 Shah Operator Computer 85 Noman Ali EDO Health office 40,711 12 488,532 Operator

(Amount in Rupees) Gross Period Total Sr. Name Desig: Place of Posting Monthly in Irregular Salary Months Amount Computer 86 Jamshed Akhtar A.S Hospital 44,555 12 534,660 Operator Muhammad Steno 87 Finance Department 41,629 12 499,548 Yakoob Grapher 88 Mujtaba Khan Steno Typist EDO Health office 54,463 12 653,556 S.Wajeh ur Medical & Health 89 Head Clerk 43,624 12 523,488 Rahman Department Office 90 Shakir Hussain M.P.H Department 30,997 12 371,964 Assistant 91 Asif Jamil Clerk Landhi Medical - 12 - 92 Shahid Ahmed Clerk Estate Department 23,150 12 277,800 Asst. X-Ray 93 Ali Akber Leprosy Department 22,478 12 269,736 Technician 94 Muhammad Aslam Driver DMS office 31,848 12 382,176 95 Qamaruddin Driver Rescue 1122 25,086 12 301,032 96 Habib ur Rahman Electrician KMC Old Building 27,680 12 332,160 97 Abdul Rahman Wireman Homeopathic Hospital 23,250 12 279,000 Senior 98 Sami Ul Hassan 24,282 12 291,384 Attendant Jahangir Road 99 Tashrifun Nisa Cook 20,333 12 243,996 Dispensary 100 Waseem Shah Mukkadam SRS Hospital 10,448 12 125,376 Muhammad Yasir 101 Attendant DMS office 15,678 12 188,136 Khan Senior 102 Kanwar Md. Irfan DMS office 15,409 12 184,908 Attendant 103 Ali Hassan Chowkidar Ghagar Phatak 16,754 12 201,048 104 Anwar Baig Worker Recovery KDA 21,527 12 258,324 105 M.Humair Rasheed Dhobi DMS office 15,253 12 183,036 Sanitary 106 Liaqat Nadeem PHCC Lyari 19,768 12 237,216 Worker Sub Total 19,905,324 Grant Total 36,017,297

Annexure-I

Irregular Award of Contract

(Amount in Rupees) Amount of Sr. Name of Work Name of Contractor Contract

XEN K.D Civil-I, KW&SB (AIR Para-02) Protection work on 140 mgd conduit and 48” dia M/s Farooq 1 2,141,956 trunk main in Malir river part-III Engineering Co Resident Engineer, Hub Filter Plant (AIR Para-01) Repair & Maintenance Work of HT & LT 2 system of Hub Filter Plant colony on Urgent M/s 674,300 Basis XEN, Hub Trunk Main Division (AIR Para-01)

3 M/s Ajmal 2,892,491 Enterprises R.E Dhabji & Gharo Division (P&F) (AIR Para-01)

R/M of 35MGD KSB Pump Type RDLB-700- 4 820A, Pump Set No-03 by Replacement of M/s Malik & Co. 2,223,427 Worn out Parts for k-3 Pump House Dhabji

R.E Gharo Division (Civil) (AIR Para-03)

Emergent Repair of Leakages in 72" dia PRCC M/s Hawan 5 Rising Main No.2 from Pump House Dhabji to 3,353,979 Construction Co. Forebay

XEN (Sewerage) Jamshed Town (AIR Para-01)

Replacement of 8" dia Sewerage Pipe by P/L 12" dia 15" & 18" dia Sewerage Line at 6 M/s 991,325 Bughdady Masjid Road, Clayton Quarters UC No.10 Jamshed Town.

XEN (E&M) Jamshed Town, (AIR Para-04) Dismantling & Refilling of 02 Nos DWT Pumps Type B-12 B/6 (100 HP) from Old Underground M/s United 7 Tank to Newly constructed Underground Tank 810,205 Commercial at Manzoor colony Water Pumping Station, Jamshed Town.

(Amount in Rupees) Amount of Sr. Name of Work Name of Contractor Contract

XEN Civil (E&M/Sewerage) (AIR Para-03)

Providing & Lying 36" RCC Sewerage Pipe for Bye Pass System for the Disposal of Sewerage 8 Through Gravity from Intake chambers (PS-1) to M/s R.Z Enterprises 9,375,000 Final Effluent chamber at STP-1 for Rainy Season

XEN (Water) Saddar Town (AIR Para-02)

Replacement of old rusted chocked and ruptured M/S Falcon 9 of 6" DIA AC line by 160 MM polyethylene 824,274 Construction Co. pipe at P.C hotel to Governor House boundary

XEN (Sewerage) Saddar Town (AIR Para-03)

P/L of 8" DIA & 12" DIA unserviceable & damaged sewerage line at Beaumont road Civil M/S Falcon 10 821,816 Lane Gizri colony, Gulshan-e-Faisal block-2 Construction Co. Clifton/ Saddar Town

Total 24,108,773

Annexure-J

Non Recovery of Government Dues on account of Charged Parking

(Amount in Rupees) Name of Recovery charged Auctioned Date of Departmental Collected by Total Difference Parking Awarded Possession Recovery Contractor Site Hill Park 1,965,000 19-07-11 207,769 224,960 432,729 1,532,271 Tariq Road Bahadurabad 1,825,000 16-07-11 2,150,000 1,691,820 3,841,820 7,983,180 & Allama Iqbal Road Beach Park 11,825,000 01-06-11 3,032,400 - 3,032,400 8,792,600 Total Outstanding 7,306,949 18,308,051

Annexure-K

Un-Authorized Technical Sanction

(Rupees in Million) Sr. Name of offices Name of works Amount

R/M Of Internal Damaged Portion From 1 XEN, Hub Division Civil 7.152 Chainage # 300 To 684 Of Hub Canal

P/L 36” Dia Rcc Sewerage Pipe For Arrangement Of Bye-Pass System For The Disposal Of Sewerage Through Gravity From XEN Civil (E&M/Sewerage) 2 Intake Chamber (Ps-I) To Final Effluent 9.156 KW& Chamber For Rainy Season As Well As During Any Major Breakdown At Sewerage Treatment Plant – I Shershah Site.

Total 16.308

Annexure-L

Irregular award of contracts without obtaining bank guarantee

(Amount in Rupees) 15 % Bank Name of Acceptance Letter Contractual Sr. Name of Contracts Guarantee Contractor No & Date Amount due Right to collect fee on license for keeping of M/S. Al-Habib DO/VS/CDGK/28/11 1 81,500,000 12,225,000 Milching Animal in the Enterprises 30/06/2011 jurisdiction of KMC Right to collect fee on M/S. Parking of vehicles at DO/VS/CDGK/30/11 2 Muhammad 90,000 13,500 Slaughter House North 30/06/2011 Imaran Karachi Right to collect fee on Parking of vehicles M/S. Jawed DO/VS/CDGK/26/11 3 245,000 36,750 carrying animal in and out Ahmed 30/06/2011 at cattle pri Landhi Right to collect fee on M/S. Raw Skin brought for sale DO/VS/CDGK/29/11 4 Muhammad 92,000 13,800 at Slaughter House North 30/06/2011 Ateeq Karachi Right to collect fee on M/S. Slauthing of animal at DO/VS/CDGK/289/11 5 Muhammad 3,760,000 564,000 Slaughter House North 30/06/2011 Zahid Karachi Right to collect fee on M/S. parking of vehicles at DO/VS/KMC/542/12 6 Muhammad 95,000 14,250 Slaughter House North 19/06/2012 Imran Karachi Right to collect fee on Parking of vehicles M/S. Jawed DO/VS/KMC/539/12 7 270,000 40,500 carrying animal in and out Ahmed 19/06/2012 at cattle piri Landhi Right to collect fee on License for Poultry shops M/S Iqbal DO/VS/KMC/540/12 8 1,000,000 150,000 in the jurisdiction of KMC Hassan 19/06/2012 2011-12 Right to collect fee on M/S. Multix License for Meat shops in DO/VS/CDGK/541/12 9 international 1,120,000 168,000 the jurisdiction of KMC 19/06/2012 corp. for 2011-12 Total 88,172,000 13,225,800

Annexure-M

Outstanding Dues

(Amount in Rupees) Due Sr. Site No Location Size Recovery Outstanding Amount Non collection of government receipts philosophy advertising- Local Taxes At Korangi road, Korangi 1 KRNT/046 15x45 253,125 Nil 253,125 Town At Korangi road, near 2 KRNT/050 Brooks R/A, Korangi 15x45 253,125 Nil 253,125 Town Sub- Total 506,250 Non Collection of government receipts from advertising agencies Rs 7,256,250/- (Dir. Local Taxes) Roof Top of Park view GULT/P- apart: NIPA flyover 3 90x30 506,250 Ni 506,250 002 University road, Gulshan Town Roof Top of city centre, GULT/P- 4 Shahar-e-Faisal Gulshan 90x30 1,687,500 Ni 1,687,500 078 Town Roof top of Al-Karam Centre, BC-1, Block-7, 5 ST/P-034 90x30 1,687,500 Ni 1,687,500 main Clifton road, Saddar Town Roof Top of Falak Naz Heights, Shah re Faisal, 6 SFT/P-001 90x30 1,687,500 Ni 1,687,500 opposite to Jinnah Terminal Roof top of Amber Plaza, 7 JMST/P- 90x30 1,687,500 Ni 1,687,500 Shah Faisal Town Sub- Total 7,256,250 Recovery of Huts at 8 - - 3104000 - 3,104,000 Hawksbay Grand Total 10,866,500

Annexure-N

Less deduction of Income Tax from Suppliers

(Amount in Rupees) Contractual Acceptance Balance Name of Amount Income Paid Letter No & Name of Contracts to Contractor during tax due Amount Date be Paid 2011-12 Right to collect fee DO/VS/CDGK on license for M/S. Al- /28/11 keeping of Milching Habib 81,500,000 4,075,000 407,500 3,667,500 30/06/2011 Animal in the Enterprises jurisdiction of KMC Right to collect fee DO/VS/CDGK M/S. on Parking of /30/11 Muhammad 90,000 4,500 450 4,050 vehicles at Slaughter 30/06/2011 Imaran House North Karachi Right to collect fee DO/VS/CDGK on Parking of M/S. Jawed /26/11 vehicles carrying 245,000 12,250 0 12,250 Ahmed 30/06/2011 animal in and out at cattle pri Landhi Right to collect fee DO/VS/CDGK M/S. on Raw Skin brought /29/11 Muhammad 92,000 4,600 460 4,140 for sale at Slaughter 30/06/2011 Ateeq House North Karachi Right to collect fee DO/VS/CDGK M/S. on Slaughtering of /289/11 Muhammad 3,760,000 188,000 0 188,000 animal at Slaughter 30/06/2011 Zahid House North Karachi M/S. Multix - City abattoir Landhi international 15,200,000 760,000 0 760,000 corp. Sub-Total 100,887,000 5,044,350 408,410 4,635,940

(Amount in Rupees) Acceptance Contractual Income Name of Name of Paid Balance Letter No & Amount during tax due Contracts Contractor Amount to be Paid Date 2012-13 5% Right to collect fee on parking DO/VS/KMC/5 M/S. of vehicles at 42/12 Muhamma 95,000 4750 Nil 4,750 Slaughter 19/06/2012 d Imran House North Karachi Right to collect fee on Parking DO/VS/KMC/5 of vehicles M/S. Jawed 39/12 carrying animal 270,000 13,500 Nil 13,500 Ahmed 19/06/2012 in and out at cattle piri Landhi Right to collect fee on License DO/VS/KMC/5 for Poultry M/S Iqbal 40/12 1,000,000 50,000 Nil 50,000 shops in the Hassan 19/06/2012 jurisdiction of KMC 2011-12 Right to collect fee on License M/S. DO/VS/CDGK/ for Meat shops Multix 541/12 in the 1,120,000 56,000 Nil 56,000 internationa 19/06/2012 jurisdiction of l corp. KMC for 2011- 12 M/S. City abattoir Multix - 15,953,250 797,663 Nil 797,663 Landhi internationa l corp. Sub Total 18,438,250 921,913 921,913

Grand Total 119,325,250 5,966,263 408,410 5,557,853

Annexure-O

Recovery of House Rent and Maintenance Charges

(Amount in Rupees) Maintenance House rent charges to be No. of Over- Sr. Name of the employee allowance paid @ deducted @ 5% months payment 45% per month per month Executive Engineer, Purification Plant Division [AIR Para-06] 1 Tauseef Jawaid 1,975 8,391 12 124,392 2 Tahir Shakoor 1,040 6,402 12 89,304 3 Khaliq Zaman 1,220 6,402 12 91,464 4 Haroon 1,180 3,939 12 61,428 5 Zeeshan 431 3,073 12 42,048 6 Mirza Rizwan Baig 975 2,706 12 44,172 7 Mohsin Ali Jaffery 491 2,550 12 36,492 8 Muhammad Khaild Mehmood 945 2,550 12 41,940 Sub Total 531,240 RE-NEK-II [AIR Para-04] 9 Sardar Ali Shah 1,975 8,391 12 124,392 10 Jamil Ahmed 2,200 8,391 12 127,092 11 Qaisar Raza 1,940 6,402 12 100,104 12 Muhammad Hanif 1,340 6,402 12 92,904 13 Muhammad Urs 1,100 6,402 12 90,024 Sub Total 534,516 RE-Hub Filter Plant [AIR Para-05] 14 Mazhar Uddin Hasan 1,460 6,402 12 94,344 15 Rehmutllah Magsi 1,880 6,402 12 99,384 16 Sadadat Ali 1,420 3,939 12 64,308 Sub Total 258,036 RE- Dhabeji & Gharo (P&F) [AIR Para-06] 17 Intkhab Ali 2,200 8,391 12 127,092 18 Mazhar Riaz 1,760 6,402 12 97,944 19 Azhar Iqbal Qazi 1,880 6,402 12 99,384 20 Abdul Aziz 1,340 3,939 12 63,348 21 Abdul Rauf 1,300 3,939 12 62,868 22 Muhammad Saqib 940 3,939 12 58,548 23 Ali Ahmed Zaidi 1,460 3,939 12 64,788 24 Muhammad Jaffar 880 2,358 12 38,856 Sub Total 612,828

(Amount in Rupees) Maintenance House rent charges to be No. of Over- Sr. Name of the employee allowance paid @ deducted @ 5% months payment 45% per month per month XEN Gharo Division Civil [AIR Para-07] 25 Syed Ahmed Ashraf 552 3,073 12 43,500 26 M. Juman 951 2,250 12 38,412 27 M. Usman 882 2,250 12 37,584 28 Imdad Ali 790 2,250 12 36,480 29 M. Suleman 556 2,250 12 33,672 30 M. Ashraf 861 2,358 12 38,628 31 Liaqat Ali 614 2,358 12 35,664 32 Ali Muhammad 576 2,358 12 35,208 33 Hameer 642 2,104 12 32,952 34 Shehzad Athar 1,000 2,706 12 44,472 35 M. Irfan 525 2,706 12 38,772 36 M. Rashid 894 2,358 12 39,024 37 Musran Hayat 894 2,358 12 39,024 38 Miss Suria 728 2,358 12 37,032 39 Gul Hassan 690 2,169 12 34,308 40 M. Sharif 754 2,169 12 35,076 41 Nisar Khan 706 2,169 12 34,500 42 Abdul Ghafoor 370 2,169 12 30,468 43 M. Moeen uddin 432 1,848 12 27,360 44 Miss Benush 287 1,973 12 27,120 45 Raju 390 1,805 12 26,340 46 Ratan 367 1,805 12 26,064 47 Seeta 390 1,805 12 26,340 Sub Total 798,000 Resident engineer Hub Mechanical (Pumping)(PARA 04 48 Ahmed Khan 1,060 3,939 12 59,988 49 Asghar Ali 1,010 3,073 12 48,996 50 Maqbool Hussain 858 3,072 12 47,160 51 Ali Hassan 445 4,550 12 59,940 52 Ghulam Tahir Sabir 887 2,440 12 39,924 53 Mian Khan 633 2,358 12 35,892 54 Zaheer Ahmed 804 2,358 12 37,944 55 Muhammad Ayoub 918 2,358 12 39,312 56 Ali Kausar 633 2,358 12 35,892

(Amount in Rupees) Maintenance House rent charges to be No. of Over- Sr. Name of the employee allowance paid @ deducted @ 5% months payment 45% per month per month 57 Muhammad Yousuf Khan 895 2,358 12 39,036 58 S.Nasir Ali Jaffery 614 2,358 12 35,664 61 Shaukat Khan 58 2,104 12 25,944 62 M.Javed 643 2,104 12 32,964 63 M.Ashraf 657 2,104 12 33,132 64 Khalid Abbas 657 2,104 12 33,132 65 M.Khalid 715 2,104 12 33,828 66 Suleman 570 2,104 12 32,088 67 Ameen Bhatti 744 2,104 12 34,176 68 Ahmed Shah 340 2,104 12 29,328 69 S.Aamir Nisar 657 2,104 12 33,132 70 Abdul Wahid 541 2,104 12 31,740 71 M. Ibrahim 582 2,046 12 31,536 72 Saleem Jahangir 699 2,046 12 32,940 73 M.Sheeraz 542 1,916 12 29,496 74 Basheer Ahmed 552 1,916 12 29,616 75 Naeem-ud-din Khan 552 1,916 12 29,616 76 Ansar Mehmood 492 1,916 12 28,896 78 Abdul Rahim 442 1,916 12 28,296 79 M.Hyder 462 1,916 12 28,536 80 Saif-ud-din 442 1,916 12 28,296 81 M.Arif 442 1,916 12 28,296 82 S.Nadeem Ahmed 302 1,916 12 26,616 83 Amir Shah 302 1,916 12 26,616 84 Kareemullah 302 1,916 12 26,616 85 Asim Ali 302 1,916 12 26,616 87 M.Owais 525 1,848 12 28,476 88 Mrs. 423 1,848 12 27,252 89 Atiq Hassan 423 1,848 12 27,252 90 Shahnawaz 398 1,848 12 26,952 91 Nasreen Basit 432 1,848 12 27,360 93 M.Javed 466 1,848 12 27,768 94 Fida Muhammad 287 1,848 12 25,620 95 Fareeda Bibi 279 1,848 12 25,524 Sub total 1417,404

(Amount in Rupees) Maintenance House rent charges to be No. of Over- Sr. Name of the employee allowance paid @ deducted @ 5% months payment 45% per month per month XEN Hub Trunk Main Division (PARa-04) 1 Sajid Mohsin 2,050 8,391 12 125,292 2 Tahir Ali 1,640 6,402 12 96,504 3 Muhammad Khateeb 979 3,073 12 48,624 4 Fariduddin 700 2,706 12 40,872 5 Jawaid Iqbal 542 1,848 12 28,680 6 Muhammad Mian 686 2,104 12 33,480 7 Noman Saleem 292 1,916 12 26,496 8 M.Matloob 302 1,916 12 26,616 9 Zeeshan 302 1,916 12 26,616 10 Naveed Khan 302 1,916 12 26,616 11 Saeed Khan 302 1,916 12 26,616 12 Khalid Badar 652 1,848 12 30,000 13 Muhammad Waqar 287 1,848 12 25,620 Sub Total 562,032 Grand Total 4,714,056

Annexure-P

Overpayment of House Rent Allowance

(Amount in Rupees) Rent HRA @ Recovery Difference Sr. Name of Employee Designation BPS Paid 45% Per Monthly 65% Admissible Annum Senior Director, Charged Parking 1 Abu Imran Pasha Dy. District Officer 18 8,392 5,810 2,582 30,984 Mohammad Bashir 2 Dy. District Officer 17 6,403 4,433 1,970 23,640 Siddiqui Syed Abdul Malik 3 Dy. District Officer 17 6,403 4,433 1,970 23,640 Zaidi 4 Waqar Akber Haris Dy. District Officer 17 6,403 4,433 1,970 23,640 5 Nasimuddin Dy. District Officer 17 6,403 4,433 1,970 23,640 6 Irshad Khan Lodhi Dy. District Officer 17 6,403 4,433 1,970 23,640 7 Jawaid Khan Jadoon Dy. District Officer 17 6,403 4,433 1,970 23,640 Syed Masroor Asst. District 8 16 3,939 2,727 1,212 14,544 Ahmed Officer Mohammad Khalid Asst. District 9 16 3,939 2,727 1,212 14,544 Khan Officer Asst. District 10 Kamran Subhani 16 3,939 2,727 1,212 14,544 Officer Asst. District 11 Manzoor Ahmed 16 3,939 2,727 1,212 14,544 Officer Mohammad Nasir Asst. District 12 16 3,939 2,727 1,212 14,544 Khan Officer S, Intizar Abbas Asst. District 13 16 3,939 2,727 1,212 14,544 Kafari Officer Asst. District 14 Syed Waseem Siraj 16 3,939 2,727 1,212 14,544 Officer Asst. District 15 Sher Mohammad 16 3,939 2,727 1,212 14,544 Officer Mohammad Tariq Asst. Accounts 16 16 3,939 2,727 1,212 14,544 Khan Officer 17 Mohammad Afazal Assistant Director 16 3,939 2,727 1,212 14,544 18 Waseem Khan Clerk 7 2,295 1,589 706 8,472 19 Syed Mutaqi Zaidi Clerk 7 2,295 1,589 706 8,472 20 Zahid Hussain Clerk 7 2,295 1,589 706 8,472 21 Nisar Ahmed Clerk 7 2,295 1,589 706 8,472 22 Adnan Ahmed Clerk 7 2,295 1,589 706 8,472 23 Faisal Iqbal Clerk 7 2,295 1,589 706 8,472 24 Jawaid Usman Clerk 7 2,295 1,589 706 8,472

(Amount in Rupees) Rent HRA @ Recovery Difference Sr. Name of Employee Designation BPS Paid 45% Per Monthly 65% Admissible Annum 25 Shakir Rehman Clerk 7 2,295 1,589 706 8,472 26 Nadeemuddin Clerk 7 2,295 1,589 706 8,472 27 Qaisar Jawaid Clerk 7 2,295 1,589 706 8,472 28 Pervez Khan Clerk 7 2,295 1,589 706 8,472 29 Muhammad Fahim Clerk 7 2,295 1,589 706 8,472 30 Khan Wazir Clerk 7 2,295 1,589 706 8,472 31 Hamid Murtaza Khan Clerk 7 2,295 1,589 706 8,472 322 Ali Talib Clerk 7 2,295 1,589 706 8,472 33 Gul Zaman Clerk 7 2,295 1,589 706 8,472 34 Muhammad Rashid Clerk 7 2,295 1,589 706 8,472 35 Hamid Raza Zaidi Clerk 7 2,295 1,589 706 8,472 36 Muhammad Asif Clerk 7 2,295 1,589 706 8,472 Mohammad Naeem 37 Clerk 7 2,295 1,589 706 8,472 Siddiqui 38 Jawaid Raza Clerk 7 2,295 1,589 706 8,472 39 Fayaz Hussain Clerk 7 2,295 1,589 706 8,472 40 Muhammad Abid Clerk 7 2,295 1,589 706 8,472 41 Mohib-ul-Haq Clerk 7 2,295 1,589 706 8,472 42 Muhammad Asif Clerk 7 2,295 1,589 706 8,472 Mohammad Amir 43 Clerk 7 2,295 1,589 706 8,472 Razzak Mohammad Sajid 44 Clerk 7 2,295 1,589 706 8,472 Khan 45 Mohammad Sohail Clerk 7 2,295 1,589 706 8,472 46 Ifthikhar Hussain Clerk 7 2,295 1,589 706 8,472 47 Mohammad uddin Clerk 7 2,295 1,589 706 8,472 48 Mohammad Taqi Clerk 7 2,295 1,589 706 8,472 49 Mohammad Siddiqui Clerk 7 2,295 1,589 706 8,472 50 Syed Asghar Imam Clerk 7 2,295 1,589 706 8,472 51 Muzaffar Ali Hashmi Clerk 7 2,295 1,589 706 8,472 52 Riaz Clerk 7 2,295 1,589 706 8,472 53 Humayon Mumtaz Clerk 7 2,295 1,589 706 8,472 54 Liaquat Hussain Clerk 7 2,295 1,589 706 8,472 55 S. Zahid Ali Clerk 7 2,295 1,589 706 8,472 56 Mohd Masroor Khan Clerk 7 2,295 1,589 706 8,472 57 Aslam Pervez Clerk 7 2,295 1,589 706 8,472 58 Tajuddin Clerk 7 2,295 1,589 706 8,472

(Amount in Rupees) Rent HRA @ Recovery Difference Sr. Name of Employee Designation BPS Paid 45% Per Monthly 65% Admissible Annum 59 Zakir Hussain Clerk 7 2,295 1,589 706 8,472 60 Mohd Yousuf Khan Clerk 7 2,295 1,589 706 8,472 61 Mohammad Ali Clerk 7 2,295 1,589 706 8,472 62 Mohammad Akram Clerk 7 2,295 1,589 706 8,472 63 Sanaullah Clerk 7 2,295 1,589 706 8,472 64 Mohammad Naseer Clerk 7 2,295 1,589 706 8,472 65 Mohammad Suhail Clerk 7 2,295 1,589 706 8,472 66 Khalid Hussain Clerk 7 2,295 1,589 706 8,472 67 Amir Masood Clerk 7 2,295 1,589 706 8,472 68 Khalid Masood Niazi Clerk 7 2,295 1,589 706 8,472 69 S. Khurshid Hussain Clerk 7 2,295 1,589 706 8,472 70 Syed Iqbal Manzar Clerk 7 2,295 1,589 706 8,472 Naeem Shahzad 71 Clerk 7 2,295 1,589 706 8,472 Khan 72 Aijaz Qaisar Clerk 7 2,295 1,589 706 8,472 73 Muhammad Tauheed Clerk 7 2,295 1,589 706 8,472 74 Mohammad Farooq Clerk 7 2,295 1,589 706 8,472 75 Mairaj Qaisar Clerk 7 2,295 1,589 706 8,472 76 Khalid Ahmed Khan Clerk 7 2,295 1,589 706 8,472 77 Salahuddin Clerk 7 2,295 1,589 706 8,472 78 Muhammad Farooq Clerk 7 2,295 1,589 706 8,472 79 Mohammad Shakil Clerk 7 2,295 1,589 706 8,472 80 Muhammad Irfan Clerk 7 2,295 1,589 706 8,472 81 Mohammad Asif Clerk 7 2,295 1,589 706 8,472 82 Mohammad Ahsan Clerk 7 2,295 1,589 706 8,472 83 Abdul Rehman Clerk 7 2,295 1,589 706 8,472 84 Muhammad Ismail Clerk 7 2,295 1,589 706 8,472 Nadeem Ahmed 85 Clerk 7 2,295 1,589 706 8,472 Khan 86 Mohammad Nawaz Clerk 7 2,295 1,589 706 8,472 87 Ajmal Khan Clerk 7 2,295 1,589 706 8,472 88 Mohammad Javed Clerk 7 2,295 1,589 706 8,472 89 Mohammad Faisal Clerk 7 2,295 1,589 706 8,472 90 Zahid Ali Clerk 7 2,295 1,589 706 8,472 91 Syed Zeeshan Ali Clerk 7 2,295 1,589 706 8,472 92 Sikandar Ali Clerk 7 2,295 1,589 706 8,472

(Amount in Rupees) Rent HRA @ Recovery Difference Sr. Name of Employee Designation BPS Paid 45% Per Monthly 65% Admissible Annum 93 Muneer Clerk 7 2,295 1,589 706 8,472 94 Khalid Saleem Ghori Clerk 7 2,295 1,589 706 8,472 95 Mohammad Kaleem Clerk 7 2,295 1,589 706 8,472 96 Saleem Clerk 7 2,295 1,589 706 8,472 97 Bilawal Clerk 7 2,295 1,589 706 8,472 98 Shaikh Adnan Akhter Clerk 7 2,295 1,589 706 8,472 99 Ashfaq Ahmed Clerk 7 2,295 1,589 706 8,472 100 Ashfaq Ahmed Clerk 7 2,295 1,589 706 8,472 101 Najaf Abbas Clerk 7 2,295 1,589 706 8,472 102 M. Tahir Khan Clerk 7 2,295 1,589 706 8,472 Sub-Total 281,275 194,743 86,532 1,038,384 Senior Director, Transport & Communication Department 1 Muhammad Athar Director 20 15,175 10505 4,670 56,040 Muhammad Tariq District Officer 2 19 12,792 8,856 3,936 47,232 Zafar Circle 3 Syed Haider Ali District Officer 19 12,792 8,856 3,936 47,232 4 Qazi Abdul Qadir District Officer 19 12,792 8,856 3,936 47,232 5 Aamir Hussain District Officer 19 12,792 8,856 3,936 47,232 6 Mirza Tariq Ali Add. Officer (F&A) 18 8,392 5,810 2,582 30,984 Asst. Research 7 Nizar Mehmood 18 8,392 5,810 2,582 30,984 Officer Asst. Research 8 Shaffat Ali Khan 18 8,392 5,810 2,582 30,984 Officer Muhammad Iqbal Senior Planning 9 18 8,392 5,810 2,582 30,984 Siddiqui Assistant Asst. Research 10 Syed Naeem Raza 18 8,392 5,810 2,582 30,984 Officer Senior Planning 11 Shabbir Ahmed 18 8,392 5,810 2,582 30,984 Assistant Asst. Research 12 Mahfooz Elahi 18 8,392 5,810 2,582 30,984 Officer Ashfaq Ahmed Deputy District 13 18 8,392 5,810 2,582 30,984 Mahessar Officer Syed Saeed Akhtar 14 Traffic Engineer 18 8,392 5,810 2,582 30,984 Rizvi Syed Ifthikhar 15 Traffic Engineer 18 8,392 5,810 2,582 30,984 Hussain 16 Mehmood ul Hassan Traffic Engineer 18 8,392 5,810 2,582 30,984

(Amount in Rupees) Rent HRA @ Recovery Difference Sr. Name of Employee Designation BPS Paid 45% Per Monthly 65% Admissible Annum Muhammad Yaqoob Senior Planning 17 18 8,392 5,810 2,582 30,984 Korejo Assistant Syed Hussain Raza Accidents 18 18 8,392 5,810 2,582 30,984 Rizvi Investigator Asst. Research 19 S. Tahir Sher 18 8,392 5,810 2,582 30,984 Officer Deputy District 20 Huma Hussain 18 8,392 5,810 2,582 30,984 Officer Rukhsana Zareen Asst. Research 21 18 8,392 5,810 2,582 30,984 Naqvi Officer Syed Muhammad Asst. Research 22 18 8,392 5,810 2,582 30,984 Shahid Officer Rehan Mehmood Deputy District 23 18 8,392 5,810 2,582 30,984 Siddique Officer Deputy District 24 Tehseen ur Rehman 18 8,392 5,810 2,582 30,984 Officer 25 Muhammad Ishaq Traffic Engineer 18 8,392 5,810 2,582 30,984 Ibrahim Khaleel 26 Private Secretary 18 8,392 5,810 2,582 30,984 Khan Asst. Research 27 Raisa Begum 18 8,392 5,810 2,582 30,984 Officer Accidents 28 Khalid Hafeez 18 8,392 5,810 2,582 30,984 Investigator Ashfaq Ahmed Asst. Research 29 18 8,392 5,810 2,582 30,984 Mahessar Officer Deputy District 30 Jawaid Ali Khan 18 8,392 5,810 2,582 30,984 Officer Muhammad Rafiullah Accident 31 18 8,392 5,810 2,582 30,984 Khan Investigator Asst. Research 322 Zaffaruddin 18 8,392 5,810 2,582 30,984 Officer Asst. Research 33 Feroz Rasheed Khan 18 8,392 5,810 2,582 30,984 Officer Asst. Research 34 Waseem Ahmed 18 8,392 5,810 2,582 30,984 Officer Senior Planning 35 Aqil Ahmed Siddiqui 18 8,392 5,810 2,582 30,984 Assistant Muhammad Jawaid Senior Planning 36 18 8,392 5,810 2,582 30,984 ull Mannan Assistant Accident 37 Syed Abdul Rahim 18 8,392 5,810 2,582 30,984 Investigator Muhammad Ahmed Deputy District 38 18 8,392 5,810 2,582 30,984 Chandan Officer

(Amount in Rupees) Rent HRA @ Recovery Difference Sr. Name of Employee Designation BPS Paid 45% Per Monthly 65% Admissible Annum Accidents 39 Irfanullah 18 8,392 5,810 2,582 30,984 Investigator Asst. Research 40 Shafi Muhammad 18 8,392 5,810 2,582 30,984 Officer 41 Muhammad Iqbal Accounts Officer 17 6,403 4,433 1,970 23,640 Jan Muhammad 42 Accounts Officer 17 6,403 4,433 1,970 23,640 Maqsood 43 Tariq Nadeem Computer Operator 17 6,403 4,433 1,970 23,640 Syed Muhammad Asst. Traffic 44 17 6,403 4,433 1,970 23,640 Azeem Engineer Asst. Traffic 45 Shahanshah Hussain 17 6,403 4,433 1,970 23,640 Engineer Syed Muhammad Asst. Traffic 46 17 6,403 4,433 1,970 23,640 Shakir Engineer Accident 47 Syed Ashraf Ali 17 6,403 4,433 1,970 23,640 Investigator Assistant Research 48 Jawaid Akhtar 17 6,403 4,433 1,970 23,640 Officer Divisional 49 Muhammad Yousuf 17 6,403 4,433 1,970 23,640 Accounts Officer Asst. Traffic 50 Mirza Zahid Ameen 17 6,403 4,433 1,970 23,640 Engineer Asst. Public 51 Talat Mehmood 17 6,403 4,433 1,970 23,640 Research Officer Asst. Public 52 Muhammad Siddique 17 6,403 4,433 1,970 23,640 Research Officer Asst. Public 53 Syed Mazhar Hussain 17 6,403 4,433 1,970 23,640 Research Officer 54 S. Umair ul Hassan Transport Officer 17 6,403 4,433 1,970 23,640 55 Salahuddin Superintendent 17 6,403 4,433 1,970 23,640 56 Abid Iqbal Ansari Superintendent 17 6,403 4,433 1,970 23,640 Sued Muhammad Asst. Traffic 57 17 6,403 4,433 1,970 23,640 Kabir Engineer Muhammad Irfan 58 Stenographer 17 6,403 4,433 1,970 23,640 Khan Syed Irshad Ali Asst. Research 59 17 6,403 4,433 1,970 23,640 Kazmi Officer Deputy District 60 Nazeer Ahmed 17 6,403 4,433 1,970 23,640 Officer 61 Shahzad Ahmed Research Officer 17 6,403 4,433 1,970 23,640 Asst. Traffic 62 Syed Tehseen Ahmed 17 6,403 4,433 1,970 23,640 Engineer

(Amount in Rupees) Rent HRA @ Recovery Difference Sr. Name of Employee Designation BPS Paid 45% Per Monthly 65% Admissible Annum Accident 63 Tauqeer Ahmed 17 6,403 4,433 1,970 23,640 Investigator Iqbal Ahmed Asst. Research 64 17 6,403 4,433 1,970 23,640 Siddiqui Officer Asst. Accounts 65 Liaquat Ali 17 6,403 4,433 1,970 23,640 Officer Asst. Traffic 66 M. Sajid Shamsher 17 6,403 4,433 1,970 23,640 Engineer Sub-Total 526,541 364,537 162,004 1,944,048 Sr. Director, Land Management-II Mr. M.Jawaid 67 Dy. District Officer 18 8,392 5,810 2,582 30,986 Raheem Mr. Imran Hassan 68 Ad: District Officer 18 8,392 5,810 2,582 30,986 Khan 69 Mr. Khursheed Dy. District Officer 18 8,392 5,810 2,582 30,986 70 Mr. Khalid Hameed Dy. District Officer 18 8,392 5,810 2,582 30,986 71 Mr. Imran Mirza Dy. District Officer 18 8,392 5,810 2,582 30,986 72 Mr. M. Moin Ad. Director 18 8,392 5,810 2,582 30,986 73 Mr. Aashiq Ilyas Ast: District Officer 17 6,403 4,433 1,970 23,642 74 Mr. Tajdar Hussain Astt District Officer 17 6,403 4,433 1,970 23,642 75 Mr. Ahmed Ali Astt District Officer 17 6,403 4,433 1,970 23,642 Mr. Syed Khalid 76 Dy. District Officer 17 6,403 4,433 1,970 23,642 Hussain 77 Mr. Syed M. Asif Dy. District Officer 17 6,403 4,433 1,970 23,642 Sub-Total 82,367 57,025 25,342 304,126 Meter Workshop Division-D 1600 & 1601 Asst. Executive 78 Nasir Jamal 17 Engineer 6,402 4,433 1,969 23,628 Asst. Executive 79 Sabhi Uddin Husaini 17 Engineer 6,402 4,433 1,969 23,628 Asst. Executive 80 Mujeeb Ul Hussain 17 Engineer 6,402 4,433 1,969 23,628 Asst. Executive 81 Tariq Qureshi 17 Engineer 6,402 4,433 1,969 23,628 Asst. Executive 82 Saleem Raza Bhatti 17 Engineer 6,402 4,433 1,969 23,628 Asst. Executive 83 Muhammad Asif 17 Engineer 6,402 4,433 1,969 23,628 Asst. Executive 84 Abdul Haq Shaikh 17 Engineer 6,402 4,433 1,969 23,628 Asst. Executive 85 Abdullah Imran 17 Engineer 6,402 4,433 1,969 23,628

(Amount in Rupees) Rent HRA @ Recovery Difference Sr. Name of Employee Designation BPS Paid 45% Per Monthly 65% Admissible Annum 86 Abdul Aziz SUB Engineer 16 3,939 2,727 1,212 14,544 87 Abdul Rehman SUB Inspector 14 3,198 2,214 984 11,808 88 Zulfiqar Ali SUB Inspector 11 2,675 1,852 823 9,876 89 Muzammil Hussain SUB Inspector 11 2,675 1,852 823 9,876 90 Zafar Iqbal SUB Inspector 11 2,675 1,852 823 9,876 Mirza Adnan Shujat 91 Junior Clerk 7 Baig 2,294 1,588 706 8,472 92 Arham Khan Junior Clerk 7 2,294 1,588 706 8,472 Sub-Total 70,966 49,137 21,829 261,948 Grant Total 3,548,506

Annexure-Q

Technical Sanction in violation of Financial Powers

(Rupees in Million) Name of TS Given Estimated T.S. Sr. Contract Contractor/ Work Order No. by Cost Power Supplier Repair & Renovation of M/S T.O(I&S) Sindh Civil Kamran TMA SCS&LGA/ACCT/684//2012 1 2.000 0.600 Service & Local Hyder & (Defunct) Dated: 18-06-2011 Govt. Academy Co. Hyd (Rural) Tando Jam Installation of Tub well and M/S T.O(I&S) Channel for Kamran TMA SCS&LGA/ACCT/683//2012 2 Sindh Civil 1.000 0.600 Hyder & (Defunct) Dated: 18-06-2011 Services & Local Co. Hyd (Rural) Govt. Academy, Tando jam Total 3.000 -

Annexure-R

Non-Utilization of Equipment

(Amount in Rupees) Dead Details of Requisition Date of Purchased Dead Stock Stock Sr. Qt Purchase No. & Date Purchase Price page No Sr. No Rolling Machine for printing 1 perfectly in good 18665 T-18 14-04-2005 1 1,780,000 128-129 40 condition (Reconditioned) Stationery Forms & Printing Machine, Folding 2 Machine perfectly 18665T-18 14-04-2005 1 900,000 128-129 41 in good condition (Reconditioned) Total 2,680,000

Annexure-S

Unauthorized Use of Vehicles

(Amount in Rupees) Annually Name of Employee / POL Admissible Average Vehicle No. Per Month Rs Rs (e ) * Design: /BS Liters Rate Rs 12 (a) (b) ( c ) (d) ( e ) ( f ) BD-1143 500 110/- 55,000 495,000 Mr. Zulfiqar Dahar BC-4155 500 110/- 55,000 495,000 PS/EX-Minister BF-0147 500 110/- 55,000 495,000 Local Govt. BF-0148 500 110/- 55,000 495,000 Total 220,000 1,980,000

Annexure-T

Unauthorized Entitlement of POL beyond Ceiling Fixed by Sindh Govt

(Amount in Rupees) Entitlement Entitlement Sr. Name of Employee Designation BPS Fixed in Fixed By Excess KMC Sindh Govt 1 Mr. Muhammad Athar Sr. Director (TCD) 20 350 300 50 2 Mr. Syed Hyder Ali Director (PPD) 19 300 180 120 3 Mr. Amir Hussain Director (RSE) 19 300 180 120 Mr. Qazi M. Abdul 4 Director (PTM) 19 300 180 120 Qadir 5 Mr. Tariq Zafar Director (I.T) 19 300 180 120 6 Mr. Tauqir Dy. Dir (TCO) 17 250 180 70 Addl. Dir 7 Mr. Rehan M. Siddiqui (Administrator 18 250 180 70 Sectt.) 8 Mr. Saeed Akhtar Rizvi Addl. Dir (PB&SP) 18 250 180 70 Mr. Syed Ifthikhar Addl. Dir (Surjani 9 18 250 180 70 Hussain bus Terminal) Addl. Dir 10 Mr. Mirza Tariq Ali 18 250 180 70 (Accounts) Addl. Dir (Land 11 Mr. Asif Siddiqui 18 250 180 70 Deptt) 12 Mr. Muhammad Ishaq Addl. Dir 18 250 180 70 Addl. Dir 13 Mr. Tahseen-ur-Rehman (Administrator 18 250 180 70 Sectt.) 14 Mr. Rafiullah Khan Addl. Dir (PTMOR) 18 200 180 20 15 Mrs. Raeesa Begum Addl. Dir (RSE) 18 200 180 20 16 Mr. Shahanshah Hussain Deputy Dir (RSE) 17 200 180 20 17 Mr. Umair ul Hassan Deputy Dir (Land) 17 200 180 20 18 Mr. Abdul ,Raheem Deputy Dir (Land) 17 200 180 20 Mr. Muhammad Ahmed 19 Deputy Dir (Signal) 17 250 180 70 Chandana 20 President CBA Deputy Director 17 200 180 20 Senior Clerk/ 21 Mr. Nazir Ahmed 10 60 - Un-entitled Dispatch Rider 22 Mr. Hasnain Akhter Helper 12 50 - Un-entitled 23 Mr. Baqar LDC (PTM) 12 50 - Un-entitled Un-authorized POL Utilization 1,280 Financial Impact per month 1,280*100 128,000 Financial impact for the year 128,000*12 1,536,000 Total recoverable amount (Amount in Rupees) 1,536,000

Annexure-U

Payment through Open Cheques

(Amount in Rupees) Sr. Date Description Instrument # Debit Director General (M&I) Cell of Local Govt. Department, Sindh Account # 001347-8, Current Account NBP-1053, Sindh Secretariat Karachi South 1 14-09-11 Cash 5453981 26,500 2 04-10-11 Cash 5453982 17,900 3 11-11-11 Cash 5453983 7,350 4 29-11-11 Cash 5453984 25,500 5 26-01-12 Cash 5453985 6,100 6 03-02-12 Cash 5453986 43,000 7 10-02-12 Cash 5453987 5,000 8 20-02-12 Cash 5453988 9,200 9 15-03-12 Cash 5453989 35,000 10 20-03-12 Cash 5453991 42,200 11 03-04-12 Cash 5453990 38,180 12 18-04-12 Cash 5453992 3,800 13 20-04-12 Cash 5453993 2,300 14 25-04-12 Cash 5453994 58,850 15 10-05-12 Cash 5453995 12,700 16 21-05-12 Cash 5453996 8,400 12-06-12 Cash 5453997 68,800

TOTAL (2012-13) 410,780 1 04-07-12 Cash 5454000 30,863 2 05-07-12 Cash 5665101 117,000 3 08-10-02 Cash 5665103 12,400 4 24-10-12 Cash 5665104 53,200 5 06-11-12 Cash 5665105 23,968 6 06-11-12 Cash 5665108 21,500 7 22-11-12 Cash 5665109 8,700 8 07-12-12 Cash 5665110 33,800 9 07-01-13 Cash 5665111 8,000 10 22-02-13 Cash 5665112 16,700

(Amount in Rupees) Sr. Date Description Instrument # Debit 11 26-02-13 Cash 5665113 13,900 12 04-03-13 Cash 5665114 59,800 13 21-03-13 Cash 5665115 13,000 14 22-04-13 Cash 5665118 41,000 15 07-05-13 Cash 5665119 21,800 16 09-05-13 Cash 5665121 15,708 17 28-05-13 Cash 5665122 7,500 18 07-06-13 Cash 5665125 13,300 19 20-06-13 Cash 5665126 4,400 20 02-07-13 Cash 5665128 35,000 21 05-07-13 Cash 5665129 100,000 22 23-07-13 Cash 5665130 14,000 Total (2012-13) 665,539 Grand Total 1,076,319

Annexure-V

Un-Authorized retention of 49 KMC Vehicles by officers / Private Persons

Sr. Name Designation Reg. No. Make Ex-Administrator, 1 Mr. Saquib Ahmad Soomro GL-4490 Toyota Corolla KMC 2 -do- -do- GL-4354 -do- 3 Syed Hashim Raza Zaidi -do- GS-9990 -do- 4 Mr. Agha Siraj Durani Minister GL-8190 Toyota Surf 5 -do- -do- GS-6395 Toyota Parado 6 -do- -do- GS-8699 -do- Toyota Land 7 Mr. Anees Qaimkhani ______GS-0212 Cruiser 8 Mrs. Nasreen Jaleel Ex-Naib Nazim GL-7878 Kiya Jeep Ex-Secretary to 9 Mr. Afaq GS-0585 Nissan Sunny Administrator 10 -do- -do- GS-8440 Suzuki Swift Toyota Land 11 Mr. Abdul Malik P.S. to Commissioner GS-5438 Cruiser 12 Mr. Zahid Hussain DDO GS-5155 Starlet 13 Dr. Saif-ur-Rehman D.C GS-7585 Honda City 14 Mr. Arshad Warsi A.C GS-0891 Suzuki Margala 15 Mr. Sirajuddin A.C GS-7179 Suzuki Jeep 16 Mrs. Naila Wajid Ex-EDO (F&P) GS-9465 Toyota Corolla 17 -do- -do- GS-7342 -do- 18 -do- -do- GS-9235 Suzuki Swift 19 Mr. Sajan Mallah Ex-EDO (Education) GS-5115 -do- 20 Mr. Shahab Imam Ex-EDO (Health) GL-4829 Suzuki Cultus 21 Mr. Agha Zaheeruddin Director Food GS-0130 Suzuki Car Ex-Secretary Local 22 Mr. Fazal-ur-Rehman GS-5421 Toyota Corolla Govt. 23 -do- -do- GL-9091 -do- 24 Mr. Sajjad Haider Forest Department GS-9023 -do- 25 Mr. Saif Abbas Deputy Director GL-3238 Suzuki Jeep 26 Mr. Roshan Shaikh Ex-Commissioner GS-6444 Toyota Premio Ex-Director (Planning 27 Mirza Anwar Baig GL-4470 Toyota Hi-Ace & Coord) KMTC Ex-DG Parks & 28 Mr. Saeed Ahmad Pirani GS-9070 Toyota Corolla Horticulture 29 Mrs. Rubina Asif Addl. Commissioner-II GL-8003 -do- 30 Mr. Kamran Shamshad Addl. Commissioner-I GL-4777 -do-

Ex-Director 31 Mr. Akhter Shaikh GS-4354 Toyota Corolla (Advertisement) KMC 32 -do- -do- GS-9999 -do- DG Parks & 33 Mr. Niaz Ahmad Soomro GSA-523 -do- Horticulture 34 Mr. Zafar Baloch Chief Engineer, KMC GL-4990 Suzuki Alto 35 Mr. Ghanwar Laghari D.C. West GS-5558 Toyota Corolla Ex-Consultant, City 36 Mr. Zakir Ali Council, Dy. Mayor, GL-9191 -do- Sectt. 37 Mr. Khalid Jawed Ex-Consultant, T.S GL-7713 Suzuki Cultus Ex-Consultant, 38 Mr. Iqbal Jang G:7258 Suzuki Mehran Administrator Sectt. Ex-Consultant, Dy. 39 Mr. Shakeel Ahmad Khan GL-7605 Suzuki Hiroof Mayor Sectt. Ex-Consultant, 40 Dr. Ashraf Siddiqui Medical Health GL-4451 Suzuki Alto Services, KMC 41 Mr. Abdul Sattar Jawed Ex-Consultant, TCD GL-4312 Suzuki Mehran 42 Mr. Salman Akhter Fareedi Consultant , KMC GS-6990 Suzuki Cultus Ex-Consultant, City 43 Mr. Hassan Imam Council, Dy. Mayor GL-7475 Suzuki Cultus Sectt. 44 Mr. Shamim Ghori Ex-Consultant , T.S GL-7259 Suzuki Mehran 45 Mr. Ghulam Rasool Ex-Consultant, KMTC GL-7481 Toyota Hi-Ace Ex-Consultant, 46 Mr. Atiq Baig GS7246 Toyota Corolla Administrator Sectt. Ex-Consultant, Chief 47 Syed Faisal Saud GL-7990 -do- Officer Sectt. Ex-Consultant, Dy. 48 Syed Wahid Ali GL-7990 -do- Mayor Sectt. 49 Mr. Rasheed Mughal Ex-Consultant, TCD GS-6742 -do-

Annexure-W

Un-Authorized Use of Green Number Plates

Sr. Registration No. Make

1 GL-4453 SUZUKI ALTO VXR

2 GL-5930 SUZUKI HI ROOF

3 GL-4444 SUZUKI MEHRAN

4 GL-4452 SUZUKI KHYBER

5 GL-0420 SUZUKI KHYBER

6 GL-0419 SUZUKI KHYBER

7 GL-0306 SUZUKI KHYBER

8 GL-0418 SUZUKI KHYBER

9 GL-0067 SUZUKI KHYBER

10 GL-0258 SUZUKI KHYBER

11 GL-0168 SUZUKI KHYBER

12 GL-4814 SUZUKI ALTO VXR

13 GS-8790 SUZUKI CULTUS

14 GL-5425 SUZUKI CULTUS

15 GSA-588 TOYOTA VIGO

16 GS-7030 TOYOTA COROLLA

Annexure-X

Purchase of Imported / Luxury vehicles (SUVs)

Sr. Registration No. Make Department 1 GS-8080 Toyota Prado Administrator Secretariat 2 GSB-388 Toyota Vigo -do- 3 GS-0748 Toyota Land Cruiser -do- 4 GSA-588 Toyota Vigo Metropolitan Secretariat 5 GS-8590 Toyota Prado -do- 6 GS-7744 Toyota Vigo Finance 7 GS-8888 Toyota Vigo Municipal Services 8 GS-5001 Toyota Land Cruiser Fire Brigade 9 GL-6190 Toyota Hilux -do- 10 X-67-4613 Toyota Land Cruiser Health 11 X-67-4602 Pajero -do- 12 GSB-5203 Toyota Land Cruiser -do- 13 GS-6692 Toyota Hilux -do- 14 X-67-4713 Toyota Land Cruiser -do- 15 GS-6693 Toyota Hilux -do- 16 GS-4171 -do- -do- 17 GS-6696 -do- -do- 18 GS-3126 -do- -do- 19 GS-6695 -do- -do- 20 GS-6670 -do- -do- 21 GS-6684 -do- -do- 22 GS-6671 -do- -do- 23 GS-6672 -do- -do- 24 GS-6674 -do- -do- 25 GS-6685 -do- -do- 26 GS-6675 -do- -do- 27 GS-6683 -do- -do- 28 GS-6679 -do- -do- 29 GS-6682 -do- -do- 30 GS-6686 -do- -do- 31 GS-6687 -do- -do- 32 GL-3510 Pajero -do- 33 GL-3140 -do- -do- 34 GS-6171 Toyota Hilux Katchi Abadi 35 GS-0146 Pajero E & IP 36 GL-5444 Toyota Hilux Technical Services 37 GL-3368 Pajero -do-

Annexure-Y

Unauthorized purchases without constitution of Procurement committee

(Amount in Rupees) Break Up of Gross Name of Amount Gross Sr. Description Page No. Supplier Tender Quotation Amount Amount Amount Sr. Director, Store & Procurement [AIR Para: 05] Detail of Purchases made without constitution of Purchase Committee for the Financial Year 2011-12 & 2012-13 ( DATA ABSTRACT FROM INCOME TAX REGISTER MAINTAINED BY STORE & PROCUREMENT DEPARTMENT ) FY 2011-12

LCD, Photo Copier, Desk Top M/s Al Computer, Fax Machine, Laser 1 Malik & Printer, S&F, Laser Printer, 7,004,403 2,772,726 9,777,129 21-23 Sons Electrical Items, Non-Technical Items, Stationery, Furniture etc.

M/s Ali M.T, Technical & Non- 2 Raza & 2,150,000 1,005,916 3,155,916 24 Technical Items,E.Letc Sons M/s 3 ANGLE Electrical Items - 197,550 197,550 25 Enterprises M/s Danish 4 Non-Technical Items & S&F - 403,108 403,108 29 Corporation M/s Indus Electrical Items, S&F & Non- 5 - 595,335 595,335 32 Enterprises Technical Items M/s Computer, Laser Printer, 6 National - 1,995,765 1,995,765 34-35 Furniture etc. Type Expert

M/s Rana M.T, E.L, N.T, S&F, Technical 7 - 508,941 508,941 38 Enterprises & non-technical Items etc.

M.T, E.L,N.T, S&F, Technical 40-43 M/s Super 8 Items, Non-Technical Items, 23,865,715 5,387,588 29,253,303 & Trading Furniture etc. 54-55

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(Amount in Rupees) Name of Break Up of Gross Gross Sr. Description Page No. Supplier Amount Amount

M.T, E.L,N.T, S&F, Technical M/s Zafar 9 Items, Non-Technical Items, 186,750 1,216,041 1,402,791 44 Agencies Furniture etc.

M/s S&F, Technical, Non-Technical 10 Shamim 437,884 1,206,968 1,644,852 46 & 57 Items, Furniture etc. Enterprises M/s Zakir & 11 National Flags - 315,000 315,000 47 Company

12 M/s I. Tech Lap Top, Desk Top Computer - 650,500 650,500 49

M/s O & U Technical Items, Toner, 13 388,388 90,000 478,388 50 Company Cartridge etc. M/s S.K. Office Automation 2011-12,, 14 2,338,840 959,805 3,298,645 51-52 Traders S&F etc. M/s Sheraz 15 Generator/P+P 2,520,000 192,000 2,712,000 56 Trading M/s General 16 Photo Copier for Inspection Dept - 160,000 160,000 58 Traders M/s M.A 17 Electrical Items - 84,970 84,970 60 Enterprises FY 2012-13 M/s Al S&F, line Printer, Computer 23 Malik & 6,177,591 909,672 7,087,263 2 pager ,M.T, Furniture ,Stationary Sons M/s Ali 24 Raza & E.L, N.T, S&F etc. - 292,820 292,820 7 Sons M/s 25 EDGRO DELTA Mathrin 1.5 EC 3,615,000 - 3,615,000 8 (PVT) LTD M/s General 26 Photo Copier - 175,000 175,000 9 Traders M/s O U & 27 S & F - 177,892 177,892 11 Company M/s Rana N.T, S&F,E.C,, Technical Items 28 - 439,811 439,811 12 Enterprises etc. M/s R.N.S 29 E.C etc. - 234,658 234,658 13 Strikers M/s Super M.T,E.C, Technical & non- 30 25,330,150 4,198,425 29,528,575 14-17 Trading Technical Items,

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(Amount in Rupees) Name of Break Up of Gross Gross Sr. Description Page No. Supplier Amount Amount

M/s M.T, E.L,N.T, S&F, Technical 31 Shamim Items, Non-Technical Items, - 1,321,594 1,321,594 18-19 Enterprises Furniture etc.

M/s Sheraz Cannon Photo Copiers, Fax 32 - 1,438,760 1,438,760 20 Trading Co. Machines

Panasonic Fax Machine, M/s S.K. 33 Photostat paper, S&F, Cabinet - 423,682 423,682 21 Traders Divider, Repair of Computer

M/s SDR 34 E.L etc. - 100,000 100,000 22 System M/s Shadab 35 S&F Etc. - 98,500 98,500 23 Engineering M/s Wasti 36 E.L & S.F etc. - 221,410 221,410 24 Enterprises

M/s Zafar N.T, Technical Items, S&F, 37 825,161 827,730 1,652,891 25 Agencies Non-Technical Items

M/s 38 Muhammadi Technical Items - 109,440 109,440 28 Enterprises

Grand Total 74,839,882 28,711,607 103,551,489

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Annexure-Z

Non-Posting of Evaluation Report

(Rupees in Million) Sr. No Name of work Contractor Expenditure EXN Sewerage Sadder Town KW&SB Prar-01 " Manufacturing and Supplying of Different Size RCC 1 M/S Lal Zada Khan & 0.494 Manhole Covers for Sadder Town Sewerage" Co. EXN Civil (E&M/ Sewerage)KW&SB) Prar-04

P/L 36" RCC Sewerage Pipe for bye-Pass system for the disposal of sewerage through gravity from intake 2 M/S R.Z Enterprises 9.375 chamber PS-I to final effluent chamber at STP-I for rainy season

EXN Water Distribution, Jamshed Town Para-4 Replacement of Chocked 6" Dia AC pipeline by P/L M/S. Ali Muhammad 3 160mm pipe line near Hill Town, UC No. 02 Jamshed 0.998 & Sons Town

Replacement of Chocked 6" Dia AC pipeline by P/L M/S. Ali Muhammad 4 160mm pipe line near Hill Town, UC No. 04 &02 0.993 & Sons Manzoor Colony Jamshed Town

Director Store & Procurement KMC Para-04

LCD, Photo Copier, Desk Top Computer, Fax Machine, 5 Laser Printer, S&F, Laser Printer, Electrical Items, Non- M/s Al Malik & Sons 7.004 Technical Items, Stationery, Furniture etc.

6 M.T, Technical & Non-Technical Items, E.L, etc. M/s Ali Raza & Sons 2.150

M.T, E.L,N.T, S&F, Technical Items, Non-Technical 7 M/s Super Trading 23.866 Items, Furniture etc. M.T, E.L,N.T, S&F, Technical Items, Non-Technical 8 M/s Zafar Agencies 0.187 Items, Furniture etc. M/s Shamim 9 S&F, Technical, Non-Technical Items, Furniture etc. 0.478 Enterprises 10 Technical Items, Toner, Cartridge etc. M/s O & U Company 0.388 11 Office Automation 2011-12,, S&F etc. M/s S.K. Traders 2.339 12 Generator/P+P M/s Sheraz Trading 2.520

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(Rupees in Million) Sr. No Name of work Contractor Expenditure S&F, line Printer, Computer pager, M.T, Furniture, 13 M/s Al Malik & Sons 6.177 Stationary M/s EDGRO (PVT) 14 DELTA Mathrin 1.5 EC 3.615 LTD 15 M.T,E.C, Technical & non-Technical Items, M/s Super Trading 25.330 16 N.T, Technical Items, S&F, Non-Technical Items M/s Zafar Agencies 0.825 M/s K Construction 17 Repair/ Maintenance of Furniture, E.L etc. 0.831 Company Total 87.570

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Annexure-AA

Irregular Award of works

(Amount in Rupees) Name of Sr. Name of Work W.O No. and date Amount Suppliers XEN (Water) Saddar Town (AIR-Para-04) Replacement of old rusted chocked and ruptured of 6" DIA AC line by 160 MM polyethylene pipe at P.C hotel M/s Akhtar 1. to Governor House boundary Not Provided 969,004 Muhammad Khan wall for the Improvement of Water Supply Position in Governor House, Clifton/Saddar Town. XEN (Sewerage Saddar Town) (AIR Para-02) Replacement of Old Unserviceable/Damaged 8” DIA, 12” DIA & 15” DIA M/s Daniyal 2. Sewer Line in Clifton Block- Not Provided 667,528 Enterprises 2,4,5 & Hijrat Colony, Clifton/Saddar Town (SEW)”. Total 1,636,532

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