Audit Report on the Accounts of District Government Attock Audit Year 2016-17

AUDIT REPORT ON THE ACCOUNTS OF DISTRICT GOVERNMENT ATTOCK AUDIT YEAR 2016-17

AUDITOR GENERAL OF PAKISTAN

TABLE OF CONTENTS

ABBREVIATIONS & ACRONYMS ...... I PREFACE ...... III EXECUTIVE SUMMARY ...... IV SUMMARY TABLES & CHARTS ...... VII TABLE 1: AUDIT WORK STATISTICS ...... VII TABLE 2: AUDIT OBSERVATIONS ...... VII TABLE3: OUTCOME STATISTICS ...... VIII TABLE 4: IRREGULARITIES POINTED OUT ...... IX TABLE 5 COST BENEFIT ...... IX CHAPTER 1 ...... 1 1.1 DISTRICT GOVERNMENT, ATTOCK ...... 1 1.1.1 INTRODUCTION OF DEPARTMENTS ...... 1 1.1.2 COMMENTS ON BUDGET AND ACCOUNTS (VARIANCE ANALYSIS) ...... 1 1.1.3 BRIEF COMMENTS ON THE STATUS OF COMPLIANCE ON MFDAC PARAS OF AUDIT YEAR 2015-16...... 3 1.1.4 BRIEF COMMENTS ON THE STATUS OF COMPLIANCE WITH PAC DIRECTIVES ...... 3 1.2 AUDIT PARAS ...... 5 1.2.1 NON-PRODUCTION OF RECORD ...... 6 1.2.2 IRREGULARITY AND NON-COMPLIANCE ...... 8 1.2.3 PERFORMANCE ...... 32 1.2.4 INTERNAL CONTROL WEAKNESS ...... 39 ANNEXES ...... 44 ANNEX-A ...... 45 ANNEX-B ...... 50 ANNEX-C ...... 51 ANNEX-D ...... 52 ANNEX-E ...... 53 ANNEX-F ...... 54

ANNEX-G ...... 55 ANNEX-H...... 56 ANNEX-I ...... 57 ANNEX-J ...... 58 ANNEX-K ...... 59 ANNEX-L ...... 60 ANNEX-M ...... 61 ANNEX-N ...... 62 ANNEX-O ...... 63 ANNEX-P ...... 64 ANNEX-Q ...... 65 ANNEX-R ...... 66 ANNEX-S ...... 67 ANNEX-T ...... 68 ANNEX-U ...... 70

ABBREVIATIONS & ACRONYMS

AIR Audit Inspection Report ALC Adult Literacy Centers B&R Building & Road BHU Basic Health Unit CD Community Development DAC Departmental Accounts Committee DRTA District Regional Transport Authority DCO District Coordination officer DDO Drawing and Disbursing Officer DEO (EE-M) District Education Officer (Elementary Education-Male) DEO (EE-W) District Education Officer (Elementary Education- Women) DHO District Health Officer DO District Officer DTL Drug Testing Lab DHQ District Headquarters EDO Executive District Officer FD Finance Department FTF Frogh-e-Taleem Fund F&P Finance and Planning GBHS Govt. Boys High School GGHS Govt. Girls High School GPS Govt. Primary School HRA House Rent Allowance LG & CD Local Government & Community Development MB Measurement Book MS Medical Superintendent NFBE Non Formal Basic Education NAM New Accounting Model NSB Non Salary Budget OFWM On Farm Water Management i

PAC Public Accounts Committee PAO Principal Accounting Officer PESRP Punjab Education Sector Reform Programme PDG Punjab District Government PFR Punjab Financial Rules PLGO Punjab Local Government Ordinance POL Petroleum Oil and Lubricants PPPRA Punjab Public Procurement Regulatory Authority RTA Regional Transport Authority RHC Rural Health Center SDA Special Drawing Account SMC School Management Council SMO Senior Medical Officer TS Technical Sanction THQ Tehsil Headquarters W&S Works and Services

PREFACE Articles 169 and 170 of the Constitution of the Islamic Republic of Pakistan, 1973 read with Section 115 of the Punjab Local Government Ordinance, 2001 require the Auditor General of Pakistan to audit the accounts of the Provincial Governments and the accounts of any authority or body established by, or under the control of the Provincial Government. Accordingly, the audit of all receipts and expenditure of the District Government Fund and Public Account of District Government is the responsibility of the Auditor General of Pakistan. The report is based on audit of the accounts of various offices of the District Government, Attock for the financial year 2015-16. The Directorate General of Audit District Governments Punjab (North), Lahore conducted audit during 2016-17 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 systemic issues and audit findings carrying value of Rs1.00 million or more. Relatively less significant issues are listed in the Annex-A of the Audit Report. The Audit observations listed in the Annex-A shall be pursued with the Principal Accounting Officer at the DAC level. In all cases where the Principal Accounting Officer (PAO) does not initiate appropriate action, the audit observations will be brought to the notice of PAC through next year audit report. The audit results indicate the need for adherence to the regularity framework besides instituting and strengthening internal controls to prevent recurrence of such violations and irregularities. The observations included in this Report have been finalized in the light of discussion of DDO. In spite repeated efforts, executive authorities could not arrange meeting of Departmental Accounting Committee (DAC). The Audit Report is submitted to the Governor of the Punjab in pursuance of Article 171 of the Constitution of the Islamic Republic of Pakistan, 1973 to cause it to be laid before the Provincial Assembly of Punjab.

Islamabad (Rana Assad Amin) Dated: Auditor General of Pakistan

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EXECUTIVE SUMMARY The Directorate General Audit (DGA), District Governments, Punjab (North), Lahore is responsible to carry out the audit of District Governments, Tehsil / Town Municipal Administrations and Union Administrations of three City District Governments and sixteen District Governments. Its Regional Directorate of Audit, Rawalpindi has audit jurisdiction of District Governments, Tehsil / Town Municipal Administration and Union Administrations of one City District Government i.e. Rawalpindi and three District Governments i.e. Jhelum, Chakwal and Attock. The Regional Directorate has a human resource of 15 officers and staff, total 1,292 man-days and the annual budget of Rs 18.063 million for the financial year 2016-17. It has the mandate to conduct Financial Attest, Regularity Audit and Compliance with Authority & Performance Audit of entire expenditure including programmes / projects & receipts. Accordingly, Regional Directorate of Audit Rawalpindi carried out audit of the accounts of various offices of the District Government, Attock for the financial years 2015-16. District Government Attock conducts its operations under Punjab Local Government Ordinance, 2001. It comprises one Principal Accounting Officer (PAO) i.e. the District Coordination Officer (DCO) covering six groups of offices i.e. Finance & Planning, Works & Services, Education, Health, Community Development and Agriculture. The financial provisions of the Punjab Local Government Ordinance, 2001 require the establishment of District Government fund comprising Local Government Fund and Public Account for which Annual Budget Statement is authorized by the Nazim / Council / Administrator in the form of budgetary grants. Audit of District Government, Attock was carried out with the view to ascertain that the expenditure was incurred with proper authorization, in conformity with laws / rules / regulations, economical procurement of assets and hiring of services etc. Audit of receipts / revenues was also conducted to verify whether the assessment, collection, reconciliation and allocation of revenues were made in accordance with laws and rules, there was no leakage of revenue in the Government Account / Local Fund. iv

a. Scope of Audit Total expenditure of the District Government Attock for the financial year 2015-16 was Rs 6,712.389 million covering 595 formations. Out of this DG District Audit (N) Punjab audited an expenditure of Rs 2,236.63 million which in terms of percentage was 33.32% of total expenditure. Out of this DG District Audit (N) Punjab, audited 25 formations i.e. 100% achievement against the planned audit activities. Total receipts of the District Government Attock for the financial year 2015-16, was Rs 74.182 million. Out of this DG District Audit (N) Punjab audited receipts of Rs 10.120 million which in terms of percentage is 13.65% of auditable expenditure. b. Recoveries at the instance of audit Recoveries of Rs 42.878 million were pointed out, which were not in the notice of the executive before audit. c. Audit Methodology The audit year 2016-17 witnessed intensive application of Desk Audit techniques in this directorate. This was facilitated by access to live SAP/R3 data, internet facility, and availability of permanent files. Desk review helped auditors in understanding the systems, procedures, and environment, and the audited entity before starting field activity. This greatly facilitated in the identification of high risk areas for substantive testing in the field. d. Audit Impact. A number of improvements as suggested by audit in maintenance of record and procedures have been initiated by the concerned departments, however audit impact in shape of change in rules has been less materialized due to non-convening of regular PAC meetings. Had PAC been regularly convened, audit impact would have been manifold. e. Comments on Internal Control and Internal Audit Department. Internal control mechanism of the District Government Attock was not found satisfactory during audit. Many instances of weak internal control have been highlighted during the course of audit, which includes some serious lapses like withdrawal of public funds against the entitlement v

of employees. Negligence on the part of District Government authorities may be captioned as one of important reasons for weak internal controls. Section 115-A (1) of PLGO, 2001, empowers District Administration to appoint an internal Auditor but the same was not appointed in District Administrations. f. The Key Audit Findings of the Report i. Non Production of record of Rs 4.065 million noted in one case1. ii. Non Compliance of Rules of Rs 519.451 million noted in twenty six cases2. iii. Performance related issues of Rs 155.774 million noted in seven cases3. iv. Internal Control Weaknesses of Rs 46.431 million noted in four cases4. g. Recommendations i. Head of the District Government needs to conduct physical stock taking of fixed and current assets. ii. Departments need to comply with the Public Procurement Rules for rational purchases of goods and services. iii. Inquiries need to be held to fix responsibility for misappropriation, wasteful expenditure and unauthorized payment. iv. The PAO needs to make efforts for expediting the realization of various Government receipts. v. The PAO and his team need to ensure proper execution and implementation of the monitoring system. vi. The PAO needs to take appropriate action for non-production of record. vii. The PAO needs to rationalize its budget with respect to utilization.

______1 Para 1.2.1.1 2 Para 1.2.2.1 -1.2.2.26 3 Para 1.2.3.1 -1.2.3.7 4 Para 1.2.4.1 -1.2.4.4 vi

SUMMARY TABLES & CHARTS Table 1: Audit Work Statistics (Rs. in million) Sr. No. Description No. Budget 1 Total Entities (PAOs) under Audit Jurisdiction 1 6,714.193 2 Total formations under Audit Jurisdiction 595 6,714.193 3 Total Entities (PAOs) Audited 1 2,371.849 4 Total formations Audited 25 2,371.849 5 Audit & Inspection Reports 25 2,371.849 6 Special Audit Reports Nil Nil 7 Performance Audit Reports Nil Nil 8 Other Reports Nil Nil

Table 2: Audit observations (Rs. in million) Amount Placed under Sr. No. Description Audit Observation 1 Unsound Asset management 0 2 Financial management 675.22 3 Internal controls 46.431 4 Others 4.065 TOTAL 725.716

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Table3: Outcome Statistics (Rs. in million) Total Sr. Physical Civil Total Last Description Receipts Others current No. Assets Works year year Outlays 1 65.00 270.93 10.120 1,900.70 2,246.752* 1,158.577* Audited Amount Placed under Audit 2 20.22 200.90 2.00 502.60 725.716 485.669 Observation/ Irregularities of Audit Recoveries Pointed Out 3 at the 0 6.34 0 36.53 42.878 58.501 instance of Audit Recoveries Accepted/ Established 4 0 6.34 0 36.53 42.878 57.695 at the instance of Audit Recoveries Realized at 5 0 0 0 0 0 1.331 the instance of Audit * The amount mentioned against serial No 1 in column “total current year” is the sum of expenditure and receipts, whereas the total expenditure audited for the current year was Rs2,236.63 million

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Table 4: Irregularities Pointed Out (Rs. in million) Sr. Description Amount Placed under No. Audit Observation 1 Violation of Rules and regulations and principle of 632.342 propriety and probity. 2 Reported cases of fraud, embezzlement, theft and 0 misappropriations and misuse of public funds. 3 Quantification of weaknesses of internal control 46.431 systems 5 Recoveries, overpayments or unauthorized payments of 42.878 public money. 6 Non-production of record to Audit. 4.065 7 Others, including cases of accidents, negligence etc. 0 Total 725.716

Table 5 Cost Benefit (Rs. in million) Sr. No Description Amount 1 Out lays Audited (Items1of Table3) 2,246.752 2 Expenditure on Audit 1.603 3 Recoveries realized at the instance of Audit 0 Cost Benefit Ratio 0

CHAPTER 1 1.1 District Government, Attock 1.1.1 Introduction of Departments Activities of District Government are managed through offices of District Coordination Officer and Executive District Officers under Punjab Local Government Ordinance, 2001. Each group of District Offices consists of an Executive District Officer (EDO). The EDO by means of a standing order distributes the work among the officers, branches and / or sections of each district office. Following is the list of Departments which manage the activities of District Government. 1. District Coordination Officer (DCO) 2. Executive District Officer (Agriculture) 3. Executive District Officer (Community Development) 4. Executive District Officer (Education) 5. Executive District Officer (Finance & Planning) 6. Executive District Officer (Health) 7. Executive District Officer (Works & Services) Under Section 29(k) of the PLGO 2001, Executive District Officer (EDO) acts as Departmental Accounting Officer for his respective group of offices. 1.1.2 Comments on Budget and Accounts (Variance Analysis) Total budget of District Government Attock was Rs6,714.193 million including Salary component of Rs 5,505.63 million, Non Salary component of Rs537.13 million and Development component of Rs671.419 million. Expenditure against Salary component was Rs 5,504.159 million, Non Salary component was Rs536.991 million and Development component was Rs 671.23 million. Overall savings were Rs1.8 million which was 0.02% of total budget. (Rs. in million) Financial Year Excess (+)/ Budget Expenditure % Saving 2015-16 Saving (-) Salary 5,505.63 5,504.159 -1.47 0.02% Non Salary 537.13 536.991 -0.13 0.02% Development 671.419 671.23 -0.18 0.03% Total 6,714.179 6,712.38 -1.78

As per the Appropriation Account 2015-16 of District Government Attock, the original budget was Rs 6,815.071 million, supplementary grant was Rs 574.194 million whereas Rs 675.073 million were surrendered/ withdrawn and the final budget was Rs 6,714.193million. Against the final budget, total expenditure incurred by District Government during 2015-16 was Rs 6,712.389 million, as detailed at Annex-B The Salary, Non Salary and Development Expenditure comprised 82%, 8% and 10% respectively of the total Expenditure.

The overall saving of Rs 1.8 million was 0.02% of the final budget. The comparative analysis of the budget and expenditure of current and previous financial year is depicted as under:

There was increase of 16.90% and 16.93% in Budget Allocation & Expenditure incurred respectively for the financial year 2015-16 as compared to the previous year. 1.1.3 Brief Comments on the Status of Compliance on MFDAC Paras of Audit Year 2015-16. Audit paras reported in MFDAC of last year audit report which have not been attended in accordance with the directives of DAC have been reported in Part-II of Annex-A. 1.1.4 Brief Comments on the Status of Compliance with PAC Directives The Audit Reports pertaining to following years were submitted to the Governor of the Punjab.

Status of Previous Audit Reports

Sr. Status of PAC Audit Year No. of Paras No. Meetings 1 2002-03 31 Not convened 2 2003-04 10 Not convened 3 2004-05 10 Not convened 4 * Special Audit Report 129 Not convened 5 2009-10 31 Not convened 6 2010-11 15 Not convened 7 2011-12 25 Not convened 8 2012-13 8 Not convened 9 2013-14 10 Not convened 10 2014-15 7 Not convened 11 2015-16 33 Not convened * It is Special Audit Report for the period 01/07/2005 to 31/03/2008 and also the title of the Audit Report reflects the financial year instead of the audit year which was 2008-09.

1.2 AUDIT PARAS

1.2.1 Non-Production of Record

1.2.1.1 Non-Production of Record – Rs 4.065 million According to Section 14(1)(b) of Auditor General’s (Functions, Powers and Terms and Conditions of Service), Ordinance, 2001, “The Auditor-General shall have authority to require that any accounts, books, papers and other documents which deal with, or form, the basis of or otherwise relevant to the transactions to which his duties in respect of audit extend, shall be sent to such place as he may direct for his inspection”. Further, section 115(5) & (6) of PLGO, 2001 stipulates, inter alia, that auditee organization shall provide record for audit inspection and comply with requests for information in as complete form as possible and with all reasonable expedition. Various formations of District Government Attock did not produce auditable record of Rs 4.065 million for Financial Year 2015-16. In the absence of record, authenticity, validity, accuracy and genuineness could not be verified as detail given at Annex-C Audit holds that due to defective financial discipline and weak internal controls, relevant record was not produced to Audit by the auditee in violation of constitutional provisions. The matter was reported to the DCO / PAO in December 2016. Neither DAC meeting was held nor DDO submitted any reply till finalization of this report. Audit recommends fixing responsibility for non-production besides ensuring submission of record under intimation to audit.

PDP No 01, 01, 01

1.2.2 Irregularity and Non-Compliance

1.2.2.1 Irregular Payment of Pay and Allowances Under Head A01270-Others - Rs 12.035 million According to NAM, the budgetary allocation is made according to the chart of accounts/classification approved by the Auditor General of Pakistan. As per Article 30 of Audit Code, all financial transactions are required to be properly recorded and allocated to proper heads of account, Furthermore according to Rule 12 of General Financial Rules; the expenditure may be incurred for the purpose for which the budget allocation is made. Certain offices of District Government Attock had drawn Rs 12.035 million on account of Pay and Allowance of the officials/officers for different allowances under head “A01270-Others” without mentioning actual nomenclatur of the allowance during Financial Year 2015-16 in violation of Govt., instructions. Negligence resulted in irregular payment of different allowances of Rs 12.035 million as detailed at Annex-D. Audit is of the view that due to financial mismanagement, expenditure was incurred under wrong head of account. The matter was reported to the DCO/PAO in December, 2016. Neither DAC meeting was held nor DDO submitted any reply till finalization of this report. Audit recommends regularization of misclassified expenditure besides fixing responsibility of the person(s) at fault under intimation to Audit. (PDP No. 07, 9, 3, 11, 28, 8, 3, 5, 2, 11) 1.2.2.2 Non-supply of Medicines – Rs 4.685 million According to condition No.04 of Rate Contract awarded by the Government of the Punjab Health Department vide No.SO(P-I)1-1/2015- 16 dated 16.10.2015 “ all lowest bidders are bound to abide by all terms and condition of bidding documents. In case of failure to comply with any term & condition, District Health Department can initiate legal action against the firm or they may refer the case to Health Department for lawful action”. Audit of accounts of following Offices of District Government Attock revealed that supply orders for purchase of medicines were placed

but the firms were failed to deliver the medicines amounting to Rs 4,684,704. District Health Department neither initiated legal action against the defaulting firm nor the case was referred to Health Department Punjab for lawful action or for black listing the firms. Detail of medicines not supplied is as below. Sr. Name of office PDP Description Amount No No. (Rs) 1 DO(Health) Attock 8 Non supply Medicine 367,598 2 DHQ Hospital Attock 9 Non supply Medicine 1,705,555 3 THQ Hospital Hasanabdal 4 Non supply Medicine 1,872,251 4 THQ Hospital Hazro 12 Non supply Medicine 632,624 5 RHC Chab 08 Non supply Medicine 106,676 Total 4,684,704 Audit is of the view that due to mismanagement and negligence, no legal action was initiated against the defaulting firms. The matter was reported to the DCO/PAO in December, 2016. Neither any reply was furnished by DDO nor DAC meeting was held till finalization of this report. Audit recommends fixing responsibility of the person(s) at fault besides black listing of firm under intimation to audit (PDP No. 8, 9, 4, 12 & 8) 1.2.2.3 Irregular & Unauthorized Expenditure on Bulk Purchase of Medicines – Rs 140.540 million Rule 12(1) of Punjab Public Procurement Rules, 2014 states that Procurements over one hundred thousand rupees and up to the limit of two million rupees shall be advertised on the PPRA’s website in the manner and format specified by regulation by the PPRA from time to time. These procurement opportunities may also be advertised in print media, if deemed necessary by the procuring agency. Further, according to Government of the Punjab, LG&CD Department notification No.SO.D.G(Dev) (LG)9-7/2009 dated 23.12.2010, District Tender Board comprising the following is hereby constituted in all the Districts of Punjab for issuing, receiving and opening of tender “EDO of client department as Chairman, Representative of Commissioner, DCO, EDO(F&P), EDO(W&S) members and DO of the executing agency will

be the Secretary of the board. All works shall also be awarded within the District through this board. During audit of different offices of Health Departments, Attock, it was observed that the medicines (Bulk Purchase) amounting to Rs 140.540 million had been purchased from the firms and rate contract was awarded by the health Department Govt. of the Punjab. Audit noticed the following irregularities which made expenditure irregular. Detail is given at Annex-E. 1. Neither any advertisement for procurements by Procuring agency was made nor any record regarding Tender proceedings was produced. 2. Record of earnest money @ 2% amounting to Rs 2.80 million was not produced against the supply orders. 3. Record of stamp duty @ 0.25% amounting to Rs 0.351 million was not produced against the supply orders issued. Non production of record showed that stamp duty was not deducted by the DDOs concerned. 4. Performance Security @ 5% amounting to Rs 7.027 million was neither obtained from the suppliers nor record was produced to Audit as directed by Health Department Govt., of the Punjab vide Notification No.SO(P-1)1-1/2015-16 dated 16.10.2015, at the 2nd Paragraph. Non production of record implies that performance security was not obtained from firms/suppliers. 5. Procurement as per rate contract of Health Department Govt., of the Punjab was unauthorized, unlawful and in violation of PPRA Rules 2014 where in rate contract did not fall under any specified methods of procurement. 6. Tendering process was not carried out by the “District Tender Board” in violation of above mentioned letter of LG & CD Department. Audit is of the view that due to financial mismanagement, the irregular expenditure of Rs 140.540 million was incurred on bulk purchase of medicine.

The matter was reported to the DCO/PAO in December, 2016. Neither any reply was furnished by DDO nor DAC meeting was held till finalization of this report. Audit recommends regularization besides fixing responsibility of the person(s) at fault under intimation to Audit. (PDP No. 20, 01, 01, 10, 01, 03, 01, 10, 01, 01, 01, 01 & 01) 1.2.2.4 Non-conducting of Post Audit – Rs 4.160 million As per FD letter No-SO(TT)6-1/2007, dated 11.09.2007 and AG office Lahore letter No.TM-1/88, dated 26.03.2014 the post audit is required to conduct for payment from SDA account which should be submitted 7th of each month. According to Rule 2.3(a) & (b) of Government of the Punjab Finance Department letter No.SO(TT)6-1/2007 Dated 11th September, 2007 “REVISED PROCEDURE OPERATION OF PLAs” “the drawing authorities will submit monthly account of expenditure supported with copies of paid vouchers to the concerned AG/DAO/TO for post audit by 15th of each month. The DAOs will carry out 100% post audit themselves, whereas TOs will submit these accounts to the concerned Accountant General for requisite post” DCO Attock had drawn a sum of Rs 4.160 million from SDA and paid to Secretary Market Committee in lump sum through cross cheque during financial year 2015-16, but the post Audit as directed by Finance Department Govt. of the Punjab and AG Punjab, Lahore was neither conducted by the District Accounts Office Attock at the time to drawl from SDA nor at the time of incurrence of expenditure by market committee. The heavy expenditure was still not accounted for as the vouched account was not available with DCO office. In the absence of mandatory vouched record, it was impossible to certify the incurrence of expenditure. Audit was apprehensive that the amount might had been misappropriated as detailed below. Sr. Description CHQ. No Amount No (Rs) 1 Fair price shops 479807 1,160,000 2 -do- 479808 300,000 3 -do- 479809 300,000 4 -do- 479810 600,000 5 -do- 479811 600,000 6 -do- 479812 600,000 12

Sr. Description CHQ. No Amount No (Rs) 7 -do- 479813 300,000 8 -do- 479814 300,000 Total 4,160,000 Audit is of the view that due to internal control failures and financial mismanagement, the amounts were drawn and paid without post audit. The matter was reported to the DCO/PAO in December, 2016. Neither any reply was furnished by DDO nor DAC meeting was held till finalization of this report. Audit recommends regularization besides fixing responsibility of person(s) at fault under intimation to Audit. (PDP No. 01, 06) 1.2.2.5 Un-justified Allocation of Budget and Irregular Expenditure from District Account-IV- Rs 3.876million As per Section 7 (iv) )(d) Rules of Business of PLGO, 2001 “The budget would be prepared by Regional Transport Authority (R.T.A) and after preparation would be forwarded to Provincial Transport Authority”. During audit of Secretary DRTA Attock, it was observed that district government Attock allocated un-justified budget of Rs 5.191 million against which Secretary DRTA incurred expenditure of Rs 3.876 million on account of contingency and pay and allowance for Financial Years 2014-16 without performing any duty for district government. This resulted in unjustified allocation of budget and irregular incurring expenditure of Rs 3,876,406 as detailed below. Financial Year Type Budget Expenditure (Rs) (Rs) 2014-15 Salary 2,012,000 1,687,835 2014-15 Non Salary 471,000 210,595 Total 2014-15 2,483,000 1,898,430 2015-16 Salary 2,172,000 1,826,797 2015-16 Non Salary 536,000 151,179 Total 2015-16 2,708,000 1,977,976 G. Total 2014-2016 5,191,000 3,876,406

Audit is of the view that due to internal control failures and financial mismanagement, unjustified budgeting and irregular expenditure was incurred from District Govt. Funds. The matter was reported to the DCO/PAO in December, 2016. Neither any reply was furnished by DDO nor DAC meeting was held till finalization of this report. Audit recommends regularization of matter besides fixing responsibility of the person(s) at fault under intimation to Audit. (PDP No. 05) 1.2.2.6 Irregular Transfer of Funds – Rs 9.812 million According to Rule 29 of PLG (Accounts) Rules 2001, every Drawing and Disbursing Officer signing and authorizing the payment for salary and bonus, Contingent account, work bill, grants bill and traveling allowance bill shall be personally responsible for any erroneous payment and claim of bill. Scrutiny of record of EDO (Education) Attock revealed that EDO (Finance) Attock released amount of Rs 9.812 million against “Miscellaneous grants” for “Provision of Missing facilities” for onward transfer to School Councils of different Govt. Schools. After getting administrative approval of District Coordination Officer Attock, the said amount was transferred to School Councils into their bank accounts without issuing any directions regarding provision of Technical Sanction of the work and getting necessary approval of non-schedule items from the Authority. Due to this, chances of overpayment cannot be ignored. It was also noticed that bank accounts statement of concerned school councils were not produced to ensure the amount had been credited or not. In the absence of which, chances of misappropriation of funds cannot be ignored. Audit is of the view that due to internal control failures and financial mismanagement, irregular transfer of funds to school Council was made. The matter was reported to the DCO/PAO in December, 2016. Neither any reply was furnished by DDO nor DAC meeting was held till finalization of this report.

Audit recommends fixing responsibility of the person(s) at fault, besides regularization under intimation to Audit. (PDP No. 03) 1.2.2.7 Non-utilization of Funds – Rs 17.998 million According to Rule 64(1)(iv) of the PDG & TMA (Budget) Rules, 2003 “Each local government shall efficiently and effectively manage the resources made available to the local government”. Further, according to rule 17.16 and 17.20 of PFR Volume-I, the anticipated saving must be surrendered by 31st March of the financial year so that the amount surrendered might be utilized for some other purpose. Scrutiny of records revealed that literacy wing under EDO (Education) Attock did not utilize funds of Rs 17.998 million which were provided under development grant for Literacy Projects working in District Attock. These funds were neither utilized for improvement of literacy projects nor surrendered well in time in violation of the criteria as detailed below: Non Sr. DDO PDP Release Expenditure Office/ Type Utilization No Code No (Rs) (Rs) (Rs) 1 AK-6697 Development- 2,391,000 864,000 1,527,000 2 AK-6698 Literacy 06 976,000 399,668 576,332 3 AK-6696 31,725,588 15,830,583 15,895,005 Total 35,092,588 17,094,251 17,998,337 Audit is of the view that due to failure of internal control and financial mismanagement, development funds of Rs 17.998 million were not utilized. The matter was reported to the DCO/PAO in December, 2016. Neither any reply was furnished by DDO nor DAC meeting was held till finalization of this report. Audit recommends regularization besides fixing responsibility of the person(s) at fault, under intimation to audit. (PDP No. 06)

1.2.2.8 Irregular and Misclassified Expenditure on account of Salaries of NFBE Teachers and Other Items – Rs 14.178 million According to NAM, the budgetary allocation be made according to the chart of accounts/classification approved by the Auditor General of Pakistan. As per Article 30 of Audit Code, all financial transactions are required to be properly recorded and allocated to proper heads of account. Further, according to Rule 12 of General Financial Rules, the expenditure may be incurred for the purpose for which the budget is allocation is made During audit of EDO (Education) Attock, it was observed that Literacy wing working under EDO (Education) paid salaries of teachers of Non Formal Basic Education (NFBE) and Adult Literacy Center ALC Project amounting to Rs 14.178 million during 2015-16 from head A03970-others instead of actual head of account of pay & Allowances in violation of above rule. This resulted in irregular expenditure of Rs 14.178 million as detailed below. Sr. PDP DDO Nature of Expenditure Expenditure Project Name No No Code Expenditure booked in (Rs) 07 NFBES & Punjab Accelerated A03970- 01 AK6522 ALC Teachers, 14,085,000 Functional Literacy Others & Remuneration & Non Formal 04 AK6696 Computer 02 Basic Education A0-3942 92,524 items Total 14,177,524 Audit is of the view that due to internal control failures and financial mismanagement, irregular expenditure of Rs 14.178 million was incurred under wrong head. The matter was reported to the DCO/PAO in December, 2016. Neither any reply was furnished by DDO nor DAC meeting was held till finalization of this report. Audit recommends regularization besides fixing responsibility of the person(s) at fault, under intimation to Audit. (PDP No. 07, 04) 1.2.2.9 Inexplicit Acknowledgment –Rs 2.418 million According to Rule 43 of the Punjab Local Government (Accounts) Rules 2001, “signature or thumb impression of each recipient shall be

taken against his name on acquaintance roll in evidence of payment”. According to rule 2.22 of PFR Volume-I read with note 2 under Subsidiary Treasury Rule 4.3, “every payment voucher should be supported with acknowledgement of payment”. Following offices of District Government Attock made payments of Rs 2.418 million for Financial Years 2014-16 but the acknowledgment of payment was not shown to Audit which resulted in inexplicit acknowledgement. The detail is as under. Sr. PDP Amount Name of Office No No (Rs) 1 DO (Health) Attock 15 1,557,157 2 DY DEO(W-EE) Pindi gheb 09 591,949 3 DY DEO(W-EE) Fateh jang 06 269,107 Total 2,418,213 Audit holds that due to non compliance of rules and negligence on part of the management, acknowledgment of payment was not under taken therefore was not shown to Audit. The matter was reported to the DCO/PAO in December, 2016. Neither any reply was furnished by DDO nor DAC meeting was held till finalization of this report. Audit recommends that needful may now be done under intimation to Audit. (PDP No. 15, 09, 06) 1.2.2.10 Irregular Drawl of Pay & Allowances during General Duty - Rs 1.826 million As per Government of the Punjab Finance Department No.FD.SR 4-8-1/76 (Prov.) dated 16.03.1988, shifting of head quarter of a government servant for the period exceeding three months without approval of the government is a financial irregularity. The staff of different offices of District Government Attock had been posted on general duty outside their original place of posting for a period of more than three months in violation of above rules but they were drawing pay from their parent office. This resulted in irregular expenditure of Rs 1.826 million on pay and allowances as detailed at Annex-F

Audit is of the view that due to weak internal controls and financial mismanagement, payment was made on account of pay and allowance of staff deputed on general duty outside of their original place of posting. The matter was reported to the DCO/PAO in December, 2016. Neither DAC meeting was held nor DDO submitted any reply till finalization of this report. Audit recommends regularization of expenditure besides fixing responsibility of the person(s) at fault under intimation to Audit. (PDP No. 07, 06, 10, 02) 1.2.2.11 Irregular and Doubtful Consumption of Diesel - Rs 2.244 million According to Rule 20 of West Pakistan Staff Vehicle (Use and Maintenance) Rules, 1969, “Log book, history sheet and petrol consumption account register is required to be maintained for each government owned vehicle”. During audit it was noticed that following offices of District Government Attock had consumed diesel amounting to Rs 2.244 million in ambulances, generators and other vehicle for the Financial Year 2015- 16. The expenditure was held irregular and consumption of POL was held doubtful due to the following reasons. 1. Average consumption certificate of generator No 2 was not on record. 2. Schedule of load shedding was not enclosed along with the bill to confirm actual requirement and use of the Generator. 3. Average consumption certificate of vehicles No 3630 & 4701 were also not available. 4. 100 liters was drawn but it was not entered in log book. 5. 196 liters was drawn against vehicle not on the pool of DHQ Hospital Attock. 6. Log Book of vehicle under control of DO(Roads) was not maintained (Rs. in million) Sr. No Name of Office Para No POL Consumed 1 DHQ Hospital Attock 08 2.0297 2 DHQ Hospital Attock 16 0.021

3 DO(Roads) Attock 07 0.193 Total 2.2437 Audit is of the view that due to non compliance of rules and negligence, POL was consumed without obtaining average consumption certificate. The matter was reported to the DCO/PAO in December, 2016. Neither any reply was furnished by DDO nor DAC meeting was held till finalization of this report. Audit recommends that action be taken against the concerned under intimation to Audit. (PDP No. 08, 16, 07) 1.2.2.12 Irregular Payment Against Erratic Posting – Rs 6.551 million According to the Health Department Government of the Punjab No.PO(P&E-I) 19-113/2004 dated 13.04.2007 post of SMO (BPS-18) was not sanctioned in THQ Hospitals. Scrutiny of accounts of THQ Hospital Hazro revealed that there was no sanctioned post of SMO BPS-18 but following doctors were posted as SMO of BPS-18 on 01.07.2015. This resulted in irregular payment of Rs 6.551 million on account of pay & allowances as detailed below. Salary from Salary from Salary Sr. PDP 01.07.2015 to 01.12.2015 to Drawn Name Designation No. No 30.11.2015 30.06.2016 2015-16 (Rs) (Rs) (Rs) 1 Dr. Mohsin 02 SMO 103,893 100,663 1,227,336 2 Dr. Adnan Ghani 02 SMO 67,419 67,802 811,326 3 Dr. Abdul Rasheed 02 SMO 72,836 71,066 863,412 4 Dr. Asad Abbas 02 SMO 105,088 129,404 1,431,268 5 Dr Ishtiaq Hussain 01 SMO 97,557 109,304 1,240,325 6 Dr NaeemAkhtar 01 SMO 0 78,836 114,439 7 Dr Saleem Abbas 01 SMO 63,538 86,677 199,357 8 Dr GulnazFarooq 01 SWMO 69,042 70,739 663,911 Total 6,551,074 Audit is of the view that due to poor managerial controls, SMOs were posted without sanctioned post in an irregular payment of Rs 6.551 million.

The matter was reported to the DCO/PAO in December, 2016. Neither any reply was furnished by DDO nor DAC meeting was held till finalization of this report. Audit recommends for regularization and needful may now be done under intimation to Audit. PDP No.02, 01 1.2.2.13 Irregular Purchase of Medicines Against Contract Agreement Without Approval of Zila Nazim / Administrator – Rs 1.097 million According to Rule 29 of PLG (Accounts), Rules, 2001, “every DDO will be personally responsible for any erroneous payment or claim of the bill”. Further, subject to the provision of PLGO, 2001, and any other rules framed there under all contract on behalf of a local government shall be made by the Nazim concerned or any other officer authorized by the Nazim on his behalf according to section 191 of the Ordinance read with Rule 4 of Punjab Local Government (Contracts) Rules, 2003. During audit of SMO RHC Magian Tehsil Pindi Gheb District Attock for the financial year 2015-16, it was revealed that contract for purchase of medicines was executed without authorization of Administrator/Nazim. This resulted in unauthorized contract involving expenditure of Rs 1.097 million on purchase of medicines. Audit is of the view that due to waek internal control, irregular expenditure of Rs 1,096,685 was incurred on purchase of medicines. In response to above no reply was submitted. The matter was reported to the DCO/PAO in December, 2016. Neither any reply was furnished by DDO nor DAC meeting was held till finalization of this report. Audit recommends regularization by provision of authorized sanction besides fixing responsibilities of the persons at fault under intimation to Audit. (PDP No. 03, 02)

1.2.2.14 Non-recovery of Penalty due to Delay in Completion of Work – Rs 2.332 million According to Clause 39 read with Clause 37 of contract agreement “if a contractor fails to complete the work within stipulated period, he is liable to pay compensation @ 1% to 10% of amount of the agreement or any smaller amount as decided by the Engineer in-charge to be worked out per day but not exceeding maximum of 10% of the construction of contract. The contractor shall have to apply within one month for extension in time limit before the expiry of scheduled shall have to apply within one month for extension in time limit before the expiry of scheduled time of completion”. During audit of DO (Buildings), Attock for the Financial Year 2015-16, it was observed that the different developmental works costing about Rs 23.320 million were allotted to different contractors but the works could not be completed within stipulated time. The contractors neither applied for time extension to the Engineer-in-charge nor any extension was granted resulting in doubtful progress of work. Consequently, neither penalty was imposed nor contractors were declared blacklist on account of delay/abandoning of works. This resulted in non- imposition of penalty besides delaying the desired benefits due to non- completion of the schemes within the stipulated period as detailed at Annex-G. Audit is of the view that due to non compliance of rules, work could not be completed within the due time. The matter was reported to the DCO/PAO in December, 2016. Neither any reply was furnished by DDO nor DAC meeting was held till finalization of this report. Audit recommends for the recovery of penalty from the concerned contractors due to delay in completion of works under intimation to Audit. PDP No.03 1.2.2.15 Irregular Droppage of Schemes – Rs 3.960 million Wasteful Expenditure – Rs 0.173 million According to Rule 1.58 of B&R Code, “Divisional Officers are immediately responsible for the proper maintenance of all works in their

charge and for the preparation of projects and of designs and estimates, whether for new works or repairs. It is also part of their duties to organize and supervise the execution of works and to see that they are suitably and economically carried out with materials of good quality.” During audit of accounts of DO (Buildings) Attock it was observed that a no. of scheme costing about Rs 3.960 million of District Officer (Buildings) Attock were approved during financial year 2015-16 but the schemes had been withdrawn before execution except the scheme at serial No.08. Expenditure of Rs 0.173 million was incurred against said scheme and withdrawn later on. This resulted in irregular dropage of schemes Rs 3.960 million and wasteful expenditure of Rs 0.173 million as detailed at Annex-H. Audit is of the view that due to non compliance of rules, and negligence on part of the management, schemes were dropped without undertaking the proceedings for substitution. The matter was reported to the DCO/PAO in December, 2016. Neither any reply was furnished by DDO nor DAC meeting was held till finalization of this report. Audit desires that justification of substitutions be intimated to Audit, along the fixing of responsibility under intimation to Audit. PDP No. 04 1.2.2.16 Un-authorized Tendering Without Funds –Rs 17.999 million According to note to para 2.4 read with 2.17 of B&R Code “No work shall be started without Administrative Approval, Technical Sanction and allotment of funds. The actual execution of work must in every case be dependent on the necessary funds being specifically sanctioned by the competent authority. During audit of DO(Roads) Attock it was noticed that tenders were called and works were allotted for the eight (08) development schemes costing Rs 17.999 million during financial year 2015-16, but the same could not be started within the approved period because funds were not released against these schemes. Approval of schemes without release of funds and considerable lapse of time resulted in un-authorized tendering. Detail given at Annex-I 22

Audit is of the view that due to weak financial control, the schemes were approved and tenders were called without availability of budget. The matter was reported to the DCO/PAO in December, 2016. Neither any reply was furnished by DDO nor DAC meeting was held till finalization of this report. Audit recommends matter be justified besides action against the responsible person(s) under intimating to Audit. PDP No. 04 1.2.2.17 Un-justified Revision of Estimates /Change in Scope of work without Approval of Finance Department - Rs 13.593 million According to para 1(iii) of Finance Department’s letter No.FD(R)11-2/89 dated 24th June, 1996 read with paras 1.59 & 2.89 of Buildings & Roads Code, “during the execution of work, neither the specification nor the quantity of different items / any additional item scheduled / Non-scheduled approved in the Technical Sanction be changed and executed without prior approval of such change / new addition by the authority who has issued Technical Sanction. Such authority will record reason if any. District Officer (Roads) Attock had executed different development schemes costing Rs 13.593 million up to June 2016. The expenditure of Rs 11.499 million was held irregular because scope of work of these schemes were changed without obtaining prior approval of the authorities in revised Admin Approval. This resulted in irregular revisions of estimates of Rs 13.593 million as detailed at Annex-J. Audit is of the view that due to weak managerial controls, scope of work was changed without approval of Competent authority. The matter was reported to the DCO/PAO in December, 2016. Neither any reply was furnished by DDO nor DAC meeting was held till finalization of this report. Audit recommends regularization besides taking action against the person(s) at fault under intimating to audit. (PDP No. 05)

1.2.2.18 Irregular Expenditure in Violation of Govt. Instruction - Rs 12.198 million As per Chief Minister Punjab’s instructions the photo graph before and after completion of schemes must be taken for authenticity of work executed. During scrutiny of record of DO (Roads) Attock, it was observed that a sum of Rs 12.198 million was incurred for execution of the following schemes for the financial year 2015-16 but photo graphs before execution and after completion of work were not taken and attached with the bills. This resulted in doubtful execution valuing Rs 12.198 million as detailed at Annex-K. Audit is of the view that due to non compliance of rules and negligence, works were executed without taking photographs as a provision of proof. The matter was reported to the DCO/PAO in December, 2016. Neither any reply was furnished by DDO nor DAC meeting was held till finalization of this report. Audit recommends regularization and matter be investigated under intimation to Audit. (PDP No. 11) 1.2.2.19 Irregular and Doubtful Expenditure on Execution of Soil Conservation Works – Rs 1.408 million According to Rule 29 of PLG (Accounts) Rules 2001, every Drawing and Disbursing Officer signing and authorizing the payment for salary and bonus, Contingent account, work bill, grants bill and traveling allowance bill shall be personally responsible for any erroneous payment and claim of bill. During audit it was noticed that DO (Soil Conservation) Attock had incurred expenditure of Rs 1.408 million on account of embankment and drainage works for the financial years 2014-16. The payments were held irregular and doubtful due to following reasons. i. Original Invoices were not available in record on behalf of which subsidy was granted.

ii. Copies of CNIC of Sr. No.03, 07, 08 & 11 were not attached with files concerned. iii. “Fard” of land of Sr. No.09 & 10 was not available in files concerned. iv. Actual payee Receipts / acknowledgment were not attached with Files Concerned. This resulted in irregular expenditure and doubtful payments of Rs 1.408 million as detailed at Annex-L. Audit is of the view that due to internal control failures and financial mismanagement, an irregular expenditure of Rs 1,.408 million was incurred. The matter was reported to the DCO/PAO in December, 2016. Neither any reply was furnished by DDO nor DAC meeting was held till finalization of this report. Audit recommends fixing responsibility of the person(s) at fault besides justification and regularization under intimation to Audit. (PDP No. 01) 1.2.2.20 Irregular Payment due to Un-authorized Hiring of Consultancy Services Rs 2.709 million According to Rule 12 (1) & (2) of Punjab Procurement Rules, 2014 procurements over one hundred thousand rupees and up to the limit of two million rupees shall be advertised on the PPRA’s website in the manner and format specified by regulation by the PPRA from time to time. In case of procurements valuing above rupees 2.00 million, advertisement in two national dailies, one English and other Urdu, will appear in addition to advertisement on PPRA website. Further, chapter-VII “Procurement of Consultancy Services” of PPRA rules 2014 states about the process of hiring of consultancy Services in detail”. During audit it was noticed that DO (Buildings) Attock had awarded a contract of Consultancy Services to M/S SAMPAK International (Pvt.) Ltd, for resident supervision for construction of dangerous schools buildings in District Attock and made payment of Rs 2.709 million from development grant during financial year 2015-16. The services were not hired through tenders as no tender proceedings were 25

shown to audit in according with the process laid down in Chapter VII of PPRA Rules 2014. This resulted in un authorized payments of Rs 2.709 million as detailed below. Sr. No Voucher No & Date Payment (Rs) 1 04 dated 5.5.16 434,885 2 76 dated 20.5.16 494,785 3 217 dated 26.6.16 434,885 4 99 dated 26.2.16 178,133 5 130 dated28.3.16 329,670 6 72 dated 13.6.16 499,500 7 73 dated 13.6.16 203,274 8 218 dated26.6.16 134,500 Total 2,709,632 Audit is of the view that due to non compliance of rules and regulations along with financial management, irregular expenditure of Rs 2.710 million was incurred. The matter was reported to the DCO/PAO in December, 2016. Neither any reply was furnished by DDO nor DAC meeting was held till finalization of this report. Audit recommends regularization of the matter besides fixing responsibility of the person(s) at fault under intimation to Audit. PDP No.11 1.2.2.21 Irregular Utilization of Closing Balance of Development Budget of Previous Year – Rs 1.929 million According to section 6.18(a) of The Punjab Budget Manual (Seventh Edition) 2008, as the closing balance of the Provincial Government, at the end of a financial year, will be its credit, in the books of the State Bank as composite cash balance, including the balances of the District Governments in A/C Number IV as on the last day of that year, i.e. 30th June no Inter-Government adjustments, relating to that financial year, can be carried out, after the 15th of July of the next financial year, on which date the books of the State Bank are closed for the month of June. Every endeavor must, therefore, be made to settle, as far as possible, all book transactions relating to a financial year before the close of that year, and reduce the number of the outstanding to the minimum, as the transactions that remain un-adjusted will be taken against the balance of the Government in the accounts of the subsequent financial year. Further, 26

as per rule 13.8 of Punjab Budget Manual, anticipated savings should be surrendered in 2nd Excess & Surrender Statements so that the same could be utilized for any other purpose where required. DO (OFWM) Attock had incurred an expenditure of Rs 20.215 million out of development budget amounting to Rs 22.144 million for the financial year 2015-16 but the un-utilized balance of Rs 1.929 million was neither refunded nor revalidate/ reauthorized for next financial year. Audit is of the view that due to internal control failures and financial mismanagement, unspent funds had not been reauthorized for the utilization in next Financial Year. The matter was reported to the DCO/PAO in December, 2016. Neither any reply was furnished by DDO nor DAC meeting was held till finalization of this report. Audit recommends an intensive inquiry of the matter, its regularization besides fixing responsibility of person(s) at fault under intimation to audit. PDP No.05 1.2.2.22 Un-Authorized Expenditure In Excess Of Budget Allocation - Rs 62.591 million According to Rule 66(5) of (Budget) Rules 2003, Drawing and Disbursing Officer shall not authorize any payment in excess of the funds placed at his disposal. Different offices of the District Government Attock incurred expenditure amounting to Rs 62.591 million in excess of the budgetary allocation for the financial years 2015-16 as detailed in Annex-M. Audit is of the view that due to defective financial management, funds were utilized in excess of the allocated budget. The matter was reported to the DCO / PAO in December 2016. Neither DAC meeting was held nor DDO submitted any reply till finalization of this report. Audit recommends regularization besides fixing responsibility of person(s) at fault under intimation to Audit. PDP No 09, 03, 02, 06, 16, 08, 02, 03, 02, 06, 03, 03, 06, 02, 02, & 03

1.2.2.23 Non-surrendering of Savings – Rs 91.279 million According to Rule 17.16 and 17.20 of PFR Volume-I, the anticipated savings must be surrendered by 31st March of the financial year so that the amounts surrendered might be utilized for some other purpose. Following offices of the District government Attock did not surrender anticipated savings amounting to Rs 91.279 million for the financial year 2015-16. Neither these funds were utilized against the object appropriation nor surrendered in time in violation of the criteria as detailed given in Annex-N Audit is of the view that due to financial mismanagement, funds were not utilized and were going to lapse at the end of financial year. The matter was reported to the DCO / PAO in December 2016. Neither DAC meeting was held nor DDO submitted any reply till finalization of this report. Audit recommends regularization besides fixing responsibility of person(s) at fault under intimation to Audit. PDP No 02, 01, 01, 01, 05, 05, 04, 03, 07, 05, 01, & 04 1.2.2.24 Irregular Purchase and Doubtful Consumption of Medicine - Rs 2.273 million According Rule 8 of PPRA Rules 2014, a procuring agency shall, within one month from the commencement of a financial year, devise annual planning for all proposed procurements with the object of realistically determining the requirements of the procuring agency, within its available resources, delivery time or completion date and benefits that are likely to accrue to the procuring agency in future. According to Rule 15.5 of PFR Volume-I, “when materials are issued from stock for departmental use, the Government servant in charge of the stores should see that an indent in P.F.R. Form 26 has been made by a properly authorized person”. During scrutiny of record of DO (Livestock) Attock for the financial year 2015-16 it was observed that payment of Rs 2.273 million was made for purchase of medicines. The Department did not work out annual requirement of medicine through taking annual demand from veterinary hospitals & dispensaries. Further, consumption of medicines 28

was held doubtful as no indent duly authorized by District Officer (Livestock) was on record. This resulted in irregular purchase and doubtful consumption of medicine. Audit is of the view that due to non compliance of rules, purchase was held irregular and consumption doubtful. The matter was reported to the DCO / PAO in December 2016. Neither DAC meeting was held nor DDO submitted any reply till finalization of this report. Audit recommends for regularization of expenditure besides fixation of responsibility on person at fault under intimation to Audit. PDP-07 1.2.2.25 Irregular Purchase in violation of PPRA Rules & Mentioning without Specifications – Rs 4.884 million Non verification of GST – Rs 0.746 million According to Rules 10(1) & (2) of PPRA Rules 2014 “a procuring agency shall determine specifications in a manner to allow the widest possible competition which shall not favour any single contractor nor put others at a disadvantage. The specifications shall be generic and shall not include references to brand names, model numbers, catalogue numbers or similar other classifications but if the procuring agency is satisfied that the use of, or a reference to, a brand name or a catalogue number is essential to complete an otherwise incomplete specification, such use or reference shall be qualified with the words “or equivalent”. Further, according to the (Central Board of Revenue (Revenue Wing), Islamabad letter No.4(47)STB/98 (Volume-I) dated 4th August, 2001) “the purchasing departments / organizations may forward an intimation together with copies of sales tax invoices to the concerned Collectorate of Sales Tax for the purpose of verification of deposits of tax by the suppliers” During audit it was noticed that DO (Live Stock) Attock incurred expenditure on purchase of various items under Cost Centre AK-6528 Grant No-20(AK21020) during financial year 2015-16. It was noticed that an expenditure was incurred without floating tender advertisement on three news papers. Further, specifications of furniture were not also specified. Department paid amount of Rs 4,884,208 including GST amounting to Rs 746,475. Written intimation was also not forwarded to 29

Collectorate of sales tax to verify the deposit of GST by suppliers. This resulted in an irregular expenditure of Rs 4.884 million on purchase of furniture as detailed below. Object Head of account Suppliers Expenditure GST (Rs) (Rs) A09701-Purchase of (TEVTA) Light Engineering 3,394,208 493,175 Furniture Services Centre A-09602 Storage Zain Enterprises 940,000 159,800 Equipment/ Refrigerators A09201Computer Zain Enterprises 550,000 93,500 Equipment Total 4,884,208 746,475 Audit is of the view that due to weak internal control and financial mismanagement, expenditure on purchase of different items ignoring codal provisions of PPRAs and non-verification of GST was undertaken. The matter was reported to the DCO / PAO in December 2016. Neither DAC meeting was held nor DDO submitted any reply till finalization of this report. Audit recommends regularization of expenditure and verification of GST deposit under intimation to Audit. PDP-04 1.2.2.26 Irregular Procurement without Tendering – Rs 79.935 million According to Rule 12 (1) & (2) of PPRA Rules, 2014, procurements over one hundred thousand rupees and up to the limit of two million rupees shall be advertised on the PPRA’s website in the manner and format specified by regulation by the PPRA from time to time. In case of procurements valuing above rupees 2.00 million, advertisement in two national dailies, one English and other Urdu, will appear in addition to advertisement on PPRA website. Further, as per Section.153 (1)(a) & (1)(b) of income Tax Ordinance 2001 “the requisite deduction of Income Tax at source on the prescribed rate in required to be made at source while making payment on accounts of purchase of stores/ supplies and services rendered @ 4.5% and 10% respectively. DO (Buildings) and DO (Roads) Attock had incurred an expenditure of Rs 79.935 million on account of procurement of different 30

items (mentioned in table against each amount) for the Financial Year 2015-16. The expenditure was incurred without calling tenders as required under PPRA Rules 2014. Moreover, income tax at source was deducted @ 4.0% instead of 4.5% on purchase of fans by DO (Buildings), Attock which resulted in less deduction of Income Tax of Rs 21,568 and irregular procurement as detailed at Annex-O. Audit is of the view that due to negligence, irregular procurement was made alongwith less-recovery of Income Tax. The matter was reported to the DCO / PAO in December 2016. Neither DAC meeting was held nor DDO submitted any reply till finalization of this report. Audit recommends regularization of expenditure besides recovery of income tax from supplier amounting to Rs 21,568 under intimation to Audit.

1.2.3 Performance

1.2.3.1 Non-accountal of Items in Stock Registers – Rs 1.585 million As per rule 15.4 (a) & 15.7 of PFR Volume-1, all material must be examined, counted, weighed or measured as the case may be and recorded in an appropriate stock register and signatures from the issuing persons and acknowledgement from the receiving persons be made. Further, according to Finance Department letter No. FD (M&R)/MW/I-4-/92 dated 26th September 1999, if stock register is not maintained/shown at the time of audit, the entries made and record shown afterwards would not be accepted. Various offices/formations of District Government Attock had paid an amount of Rs 1.585 million on purchase of various items during financial year 2015-16. Scrutiny of record revealed that the items purchased were not accounted for in stock register as detailed at Annex-P. Audit is of the view that due to negligence on part the management, stock register of fans had not been provided / maintained. The matter was reported to the DCO/PAO in December, 2016. Neither any reply was furnished by DDO nor DAC meeting was held till finalization of this report. Audit recommends fixing responsibility of the person(s) at fault under intimation to Audit. PDP No. 07, 04, 05 1.2.3.2 Un-lawful Purchase of Medicines without DTL Reports – Rs 7.155 million According to the instructions laid down in the Government of the Punjab Health Department letter No.SO(P-I)H/RC/2001-02/01 dated 25.09.2001, testing at Drug Testing Laboratory was a pre-requisite for acceptance of the medicines purchased. As per provisions of the Drugs Act 1976, the medicines / drugs including medical / surgical items declared substandard by the Drugs Testing Laboratory Lahore are required to be destroyed / got replaced or / and its cost recovered from the supplier. Various Health institutions of District Government Attock paid an amount of Rs 7.155 million to different suppliers on account of purchase of medicines without obtaining DTL reports during 2015-16 as detailed at Annex-Q 33

Scrutiny of record revealed that the bills were received from the suppliers without mentioning batch numbers, which were very important for DTL test. It was further noticed that DTL reports of the Drugs/medicine were also not available in record. Non-availability of DTL reports showed that payments were made and medicines were used without obtaining DTL reports. Therefore, purchase of medicines of Rs 7.155 million was held irregular. The above irregularity occurred due to weak financial controls of the management which resulted in risk of health of the patients deprived them from quality medicines. The matter was reported to the DCO / PAO in December 2016. Neither DAC meeting was held nor DDO submitted any reply till finalization of this report. Audit recommends regularization besides fixing responsibility of the person(s) at fault under intimation to Audit. (PDP No.03, 06, 04, 02, 07, 06 & 05) 1.2.3.3 Non-utilization of NSB/SMC/FTF Funds – Rs 34.352 million According to SMC Policy 2013, “SMC funds were provided by the government to the schools to spend over the infrastructure of the schools and to enhance the educational skills of the students”. Further, according to para 2.1 of Booklet of guide lines for NSP (Non-salary Budget) issued by Education Department Govt., of the Punjab “NSB funds is provided to fulfill the daily needs of school and to facilitate the education activities”. According to rule 64(iv) of PDG & TMA (Budget) Rule 2003 District Government should utilize its resources effectively & efficiently. Following officers mentioned below of Education Department of District Government Attock did not utilize the available funds for required purpose. A sum of Rs 34.352 million was lying unspent under head of NSB/SMC/FTF accounts of schools which was not utilized on the betterment of the schools and students as detailed below: Sr PDP Amount Name of Office Description No. No. (Rs) 1 DDEO M EE Pindi Gheb 03 FTF/NSB 2,290,353 2 DDEO W EE Pindi Gheb 08 NSB/SMC 8,902,367 3 DDEO W EE Fateh Jang 05 NSB/SMC 5,161,166 34

4 EDO Education Attock 06 Development Fund 17,998,000 Total 34,351,886 Audit is of the view that due to weak financial discipline and lack of interest, funds were not utilized for the purpose thus intended. The matter was reported to the DCO / PAO in December 2016. Neither DAC meeting was held nor DDO submitted any reply till finalization of this report. Audit recommends that the funds be utilized where needed over the betterment of the students observing the SMC policy guidelines besides fixing responsibility of person (s) at fault under intimation to Audit. (PDP No. 03, 08, 05, 06) 1.2.3.4 Non verification of Deposit of General Sales Tax and Government Receipts – Rs 9.969 million According to the (Central Board of Revenue (Revenue Wing), Islamabad letter No.4(47)STB/98 (Volume-I) dated 4th August, 2001) “the purchasing departments / organizations may forward an intimation together with copies of sales tax invoices to the concerned Collectorate of Sales Tax for the purpose of verification of deposit of tax by the suppliers”. Further, according to rule 2.4 of PFR Volume-I, all deposits into government account are required to be reconciled with the record of District Accounts Officer concerned. Various offices of District Attock made different payments including GST amounting to Rs 0.810 million on account of various procurements. But no written intimation was forwarded to the Collectorate of Sales Tax for verification of deposit by the suppliers. This resulted in non-verification of GST. Similarly, Government receipts amounting to Rs 9.159 million were shown deposited in to the Govt., treasury where as reconciliation/verification with treasury was not carried out as detailed at Annex-R. Audit is of the view that due to non compliance of rules; verification for deposits was not carried out.

The matter was reported to the DCO / PAO in December 2016. Neither DAC meeting was held nor DDO submitted any reply till finalization of this report. Audit recommends regularization besides verification of sales tax/receipts deposit under intimation to Audit. (PDP No.02, 04, 07, 05, 10, 08, 03, 06) 1.2.3.5 Non-maintenance of Cash Book – Rs 7.753 million According to Rule 2.2 of PFR volume-I “A simple Cash Book in P.F.R. Form I should be kept in every office receiving or disbursing money on behalf of Government regularly or frequently for recording all transactions of moneys received by Government Servants in their official capacity, their subsequent disbursement. All cash transactions should be entered in the Cash Book as soon as they occur and attested in token of check. During audit of following offices of District Government Attock, it was observed that an expenditure of Rs 7.753 million had been incurred during Financial Years 2014-15 and 2015-16 against different heads but the cash book for said period was not maintained in violation of above rule. The detail of expenditure incurred is as under. Sr. Financia Expenditure Name of Formation Expense Type No l Year (Rs) District Regional 2014-15 Pays and contingency 1,898,430 01 Transport Authority 2015-16 -do- 1,977,976 DO (Soil Conservation) 2014-15 Pays and contingency 1,898,430 02 Attock 2015-16 -do- 1,977,976 Total 7,752,812 Audit is of the view that due to lack of managerial control, cash book was not maintained in violation of rules. The matter was reported to the DCO / PAO in December 2016. Neither DAC meeting was held nor DDO submitted any reply till finalization of this report. Audit recommends fixing responsibility of the person(s) at fault besides maintenance of cash book under intimation to Audit. (PDP No.02, 02)

1.2.3.6 Un-authentic Completion of Work without Satisfactory End Users Certificate – Rs 82.160 million As per Finance Department Govt., of the Punjab letter No.RO(Tech)1-2/83-iv dated 29.03.2009 “a certificate should be obtained from end user that the repair / execution has been carried out satisfactory before releasing the final payment to the contractor”. Rule 2.115(1) of B&R Codes states that “a detailed Completion Report or a completion statement must be prepared on the completion of works. Further according to Government of the Punjab Community & Works Department Notification No.SOB-1(C&W)1-21/85(Vol.III) “final payments will be made to contractor by checking of work & issuance of payment certificate by representatives of District Development Committee (RDDC)”. DO (Roads) & DO (Buildings), Attock had executed different development schemes costing Rs 82.160 million during Financial Year 2015-16 but satisfactory completion certificates from end users were neither obtained nor shown to Audit for authenticity of expenditure. Without obtaining the completion certificate from end users/institutions, incurrence of expenditure and release of securities was doubtful. Detail is given at Annex-S. Audit is of the view that without end users certificates, completion of works was un-authentic and could not be admitted by the Audit. The matter was reported to the DCO / PAO in December 2016. Neither DAC meeting was held nor DDO submitted any reply till finalization of this report. Audit desires that satisfactory completion certificates from end users be obtained and provided to Audit. (PDP No. 01 & 10) 1.2.3.7 Non-achievement of Targets of Drip and Sprinkler Schemes - Rs 12.800 million According to Director General Agriculture (Water Management) minutes of meeting dated 24.07.2015 No.34434-72 a target for drip and sprinkler irrigation schemes for District Attock was fixed at 800 acre land. During audit of DO (OFWM) Attock for the Financial year 2015- 16, it was noticed that Director General Agriculture (Water management), Punjab Lahore had fixed target of 800 acre land for cultivation in District 37

Attock during Financial Year 2015-16. DO (OFWM) Attock had achieved target for cultivation of 544 acre. This resulted in less achievement of 256 acre land of target costing Rs 12.800 million as detailed below. Per acre Total Target Achieved Non Achieved Cost of Non Cost (Acre) acre acre Achievement (Rs) (Rs. in million) 50,000 800 544 256 12.800 Audit is of the view that due to weak managerial control and lack of interest, targets for irrigation schemes for cultivation of 800 acre was not achieved. The matter was reported to the DCO / PAO in December 2016. Neither DAC meeting was held nor DDO submitted any reply till finalization of this report. Audit recommends that said target for irrigation schemes should be achieved and the responsibility for non-achievement to be fixed. PDP No. 03

1.2.4 Internal Control Weakness

1.2.4.1 Non recovery of Overpayments and Charges – Rs 33.921 million According to Rule 2.31 (1) of the PFR Vol-I, a drawer of a bill of pay and allowances, contingent charges and other expenses the DDO will be held personally responsible for any over charges, fraud and misappropriation read with the Rule 7-A of Sub Treasury Rules, the Conveyance Allowance is not admissible during leave period and the Qualification Pay admissible to the teaching staff of the Education Department or to the department notified by the government. Moreover According to Government of Punjab Health Department Order No.SO(ND)2-26/2004(p-II) the Non Practicing Allowance @ Rs 4,000 P.M (BPS-17 & 18) and Rs 6,000 for (BPS-19 & 20) is admissible only for those doctor who do not avail option for private practices. Various offices of the District Government Attock made payments of Rs 33.921 million on account of Pay & Allowances during financial year 2015-16 to different incumbents at higher rates and beyond entitlement which resulted in overpayment. Detail is given in Annex-T Audit is of the view that due to weak internal control and defective management overpayment on account of pay and allowances was made. The matter was reported to the DCO / PAO in November 2015. It was replied that the concerned officers/ officials had been directed for recovery. DAC in its meeting convened on 22.12.2015 directed for recovery. No compliance was reported till finalization of this report. The matter was reported to the DCO/PAO in December, 2016. Neither any reply was furnished by DDO nor DAC meeting was held till finalization of this report. Audit recommends fixing responsibility of the officers / officials at fault besides early recovery of Rs 2.607 million under intimation to Audit. PDP No 03, 07, 10, 01, 02, 03, 04, 08, 01, 02, 03, 05, 06, 07, 02, 04, 05, 06, 07, 10, 11, 12, 13, 14, 05, 10, 11, 12, 13, 01, 06, 07, 08, 09, 10, 11, 13,05, 06, 10, 07 & 09 1.2.4.2 Difference Between Financial Information and Verified Expenditure Statements – Rs 4.490 million According to Rule 29 of PLG (Accounts) Rules 2001, every Drawing and Disbursing Officer signing and authorizing the payment for salary and bonus, Contingent account, work bill, grants bill and traveling 40

allowance bill shall be personally responsible for any erroneous payment and claim of bill. Following Formations of District Government Attock according to FI Data, had withdrawn an amount of Rs 33.170 million from government treasury during financial year 2015-16 but as per verified expenditure statement for the months upto June, 2016, only expenditure of Rs 28.680 million was shown incurred during financial year 2015-16. This resulted in difference in figure valuing Rs 4.490 million as detailed below. As per As per FI Sr. PDP Name of Head of Expenditure Difference Data No. No. Formation Account Statement (Rs) (Rs) (Rs) THQ Total 1 09 Hospital 32,657,641 28,512,220 4,145,421 Expenditure Jand Repair of 217,995 168,365 49,630 RHC Transport 2 04 Domail Encashment 295,260 0 295,260 of LPR Total 33,170,896 28,680,585 4,490,311 Audit is of the view that due to internal control failures and financial mismanagement, difference of Rs 4,490,311 was found between FI data and expenditure statement. The matter was reported to the DCO / PAO in December 2016. Neither DAC meeting was held nor DDO submitted any reply till finalization of this report. Audit recommends fixing responsibility of the person(s) at fault besides justification and rectification under intimation to Audit. PDP-09, 04 1.2.4.3 Non-obtaining of Additional Performance Security - Rs 1.100 million According to clause 18 of the agreement and notification issued by Finance Department vide No.RO (Tech) FD 1-2/83 (VI) (P) dated 06.04.2005, In case the total tendered amount or the contracting agency quoting the rates (cost) of tender below 5% to 10% of cost of estimates, the difference amount i.e. below 5% of estimated cost would be deposited in cash within 7 days of the issuance of acceptance letter as additional 41

performance security otherwise his contract will be rescinded and earnest money forfeited in favour of Government in public interest along with black listing of firm. Scrutiny of record of DO (Roads) Attock, revealed that the work costing Rs 7.864 million was awarded to M/S Malik Construction during Financial Year 2015-16. The contractors quoted the lowest bids @ 19% below of the TS Estimate. The contractors were bound to produce/ deposit cash performance security to the Department under the rule @ 19% amounting to Rs 1.100 million. The proof of deposit of performance security was show to Audit verification. In absence of the said record, the correctness of the contract awarded could not be ascertained. Rs in million Amount Additional %age Estimated Quoted by Performance Name of Work below Amount the security Quoted Contractor Required Rehabilitation of PCC road in village Nartopa 10.00 7.864 19% 1.100 Tehsil Hazro L-1.18 Km Audit is of the view that due to internal control failures and financial mismanagement, additional performance security was not obtained from the contractor. The matter was reported to the DCO / PAO in December 2016. Neither DAC meeting was held nor DDO submitted any reply till finalization of this report. Audit recommends fixing responsibility of the person(s) at fault besides recovery of additional performance securities Rs 1.100 million from the contractor concerned. PDP No. 06 1.2.4.4 Abnormal Flow of Expenditure During Month of June 2016 – Rs 6.920 million Para No.2(b) of Finance Department, Government of the Punjab Notification No.FD(FR) 11-2/89 (P) dated 11.10.2000, stipulates that purchases should be reasonably rationalized to be made into 3-4 installments spread over the whole year. Further according to Finance Department Letter No.IT(FD)3-95 dated 25.03.1997, “the expenditure

should be uniform as far as possible and not postponed towards the end of financial year as a matter of convenience. As per rule 8.9 (b) of PFR- Volume-I, if in any month the monthly proportion of the appropriation in contingent expenditure had been exceeded, a report of special circumstances should be sent to countersigning authority for approval. Scrutiny of expenditure statements and paid vouchers of certain formations of District Government Attock, revealed that average of expenditure incurred upto May, 2016 was Rs 511,010 per month under the different heads during financial year 2015-16. Vouched account showed that amount of Rs 6,920,337 was incurred only in the month of June 2016. This showed abnormal flow of expenditure incurred during the month of June, 2016 in violation of the above rule as detailed at Annex-U. Audit is of the view that due to financial mismanagement, abnormal high flow of total expenditure was found during month of June, 2016. The matter was reported to the DCO / PAO in December 2016. Neither DAC meeting was held nor DDO submitted any reply till finalization of this report. Audit recommends fixing responsibility of the person(s) at fault besides regularization under intimation to audit. PDP 06, 07, 03

ANNEXES

Annex-A Part-I Memorandum for Departmental Accounts Committee (MFDAC) Current Audit Year 2016-17 Rs in million Sr. Name of Nature of Title of Para Amount No. Formation Para Dy DEO Non achievement of Objectives Due to Non 1 (W-EE) Shelter Less School compliance - Pindigheb of rule Dy DEO (W- Permanent Loss Due to Poor Performance of 2 DO - EE) Pindigheb Low Result Schools 3 Dy DEO (EE- Unjustified / Doubtful payment of GST DO - M) Pindi Gheb Non reconciliation of sanctioned Post and Pay 4 DO 53.625 & Allowances 5 EDO Health Schedule of Payments not obtained DO 9.776 6 EDO Health Non reconciliation of Expenditure DO 44.358 THQ Hospital Non auction of Un-Serviceable Store Article 7 DO - Pindigheb and X-Ray Waste Water 8 DO (Health) Non-verification of GST DO - Attock Non formulation for Performing Prescribed 9 DO - Duties Schedule of Payment/ Deposit not Obtained & 10 Non maintenance / Non-reconciliation of DO 36.500 expenditure with DAO THQ Jand Irregular Expenditure Beyond Prescribed 11 (Attock) Limit of 15% Local Purchase (LP) of DO 0.485 Medicines Non auction of Un-Serviceable Store Article 12 DO - and X-Ray Waste Water THQ Hospital Non-verification of GST 13 DO - Hassanabdal 14 Non-verification of GST DO - THQ Hospital 15 Defective supply of Injections DO 0.016 Fathejang 16 Schedule of Payment not Obtained DO 36.348 17 RHC Bahtar Non-verification of GST DO - DO (Soil Non completion of Service Books 18 DO - Conservation) RHC Chhab Late Purchase of Medicine Due to Late 19 DO 0.710 District Attock Award of Rate Contract 20 Defective Supply of Substandard Medicines DO 0.075 Loss of Million Rupees due to Non realization 21 DCO Attock of Rent of Government Land, Canteen and DO - Shops 22 DCO Attock Non-obtaining of Schedule of Payments & DO 32.915 45

Sr. Name of Nature of Title of Para Amount No. Formation Para Non-reconciliation of Expenditure of SDA 23 RHC Bahtar Loss due to Non utilization of Property DO 24 Defective Supply of Injections DO .009 Dy DEO (EE- Un authorized payment of Conveyance 25 W), Hassan Allowance During Leave DO 0.015 Abdal, DDEO (W-EE) Non reconciliation of Sanctioned Posts and 26 DO 260.953 Hassan Abdal Pay & Allowances DHQ Hospital Loss to Government due to Non recovery of 27 DO 0.070 Attock Private Room Charges - 28 THQ Hospital Non deposits of Hospital Receipt - DO 0.009 Hazro Non Auction of Un-Serviceable Store Article DO 0.037 - THQ Hospital Un-authorized Payment of Non Practicing 29 DO 0.104 Jand Allowance (NPA) THQ Hospital Un authorized Drawl of Incentive Allowance 30 DO 0.176 Pindigheb - 31 Non recovery of Private Room Charges - DO 0.003 RHC Chhab Overpayment on account of Practice 32 DO 0.060 Compensatory Allowance (PCA) RHC Domail Unjustified Heavy Expenditure on Repair of 33 DO 0.294 Vehicle RHC Domail Unauthorized Payment of Allowances under 34 DO 0.015 District Attock Head ARA-2011 and ARA-2012 35 RHC Mgian Non obtaining of Schedule of Payments DO 16.592 DO (Buildings) Non-recovery on account of Use of Sub- 36 DO 0.309 standard Mild Steel 37 Non-deduction of General Sales Tax DO 0.733 Excess Payment without Provision in TS 38 DO 0.114 Estimate Non-crediting of Lapsed Securities to 39 DO 0.331 Revenue Unauthorized Payment on account of Weather 40 DO 0.298 Shield Non recovery of Penalty for Delay in 41 DO 0.803 Completion of Works District Officer Overpayment Due to Non-deduction of 6% 42 DO 0.103 (Roads) Attock Shrinkage on Earth Work Schedule of Payment/Deposit not obtained, 43 DO 239.359 Non reconciliation of expenditure with DAO D O Non recovery of Conveyance Allowance 44 (Agriculture During Leave DO 0.008 Extension) 46

Sr. Name of Nature of Title of Para Amount No. Formation Para Attock 45 DO Non-deposit of Purchee Fee DO 0.063 (Livestock) Non reconciliation of Receipts 46 DO 1.752 Attock DO (OFWM) Overpayment On Account of Procurement of 47 DO 0.053 Attock Accessories

Part-B MFDAC Paras for the Previous Audit year 2015-16 Rs. in million S. Nature of Formation Description Amount No Para 1 DO Excise & No Non reconciliation of expenditure Taxation compliance 12.932 statement of Rules 2 -do- Irregular expenditure on account of rent --do-- 0.387 of building. 3 -do- Non accountal of stationary worth . --do-- 0.124 4 Non obtaining of actual payees receipts. --do-- 0.200 5 EDO Education Non imposition of penalty due to late --do-- 0.123 Supply of Vehicles 6 ---do---- Irregular drawl of TA without approved --do-- 0.007 tour programme. 7 DHQ Attock Non deposit of X-Ray developer fixer --do-- 0.059 waste water charges –. 8 ---do---- Misappropriation of Syringes. --do-- 0.068 9 THQ Hospital Irregular drawl of TA/DA without --do-- 0.185 Hassan Abdal approved tour programs 10 EDO(EDU) Irregular drawl of TA/DA without --do-- 0.228 approved tour programs 11 THQ Hospital --do-- Unjustified / Doubtful payment of GST 0.099 Fateh Jhang 12 ---do---- Irregular Procurement without Proper --do-- 0.275 planning 13 DOH Substandard supply of Susp Ibuprofen- --do-- 0.385 14 ---do---- Irregular purchase of injections in --do-- 0.255 violation of rate contract – 15 ---do---- Illegal occupation on 2 Civil Veterinary --do-- 0 Dispensaries. 16 DO Live Stock Reduction of efficacy of vaccine/ --do-- medicines amounting to due to non 0 maintenance of cold chan for vaccine and proper temperature for medicines 17 THQ Jhand Unjustified expenditure without --do-- 0.092 quotation 18 Dy.DEO (EE-M) --do-- Unjustified/Uneconomical expenditure. 0.201 Jhand 19 Dy.DEO (FEE) Non-production of record. --do-- 0 20 Jhand Irregular sale of old material of GMS- --do-- 0.064 Jaba 21 DO Social Welfare Irregular payment of bills in cash --do-- 0.083 22 Irregular expenditure --do-- 0.094 48

23 ---do---- Doubtful expenditure. --do-- 0.063 24 Dy.DEO(EE-M) Non provision of award list of PST CM --do-- 1.256 Jhand Packag,2012 and irregular Payment 25 Dy.DEO (EE-M) Irregular drawl of pay and allowances --do-- 1.008 Pindi Gheb due to excess teachers. 26 Dy. DO (SW) --do-- Irregular expenditure 0.061 F.jhang 27 Manager District --do-- Irregular expenditure on POL. 0.102 Industrial Home 28 Secretary RTA None obtaining of schedule of payments --do-- / Non maintenance/ reconciliation of 2.096 Expenditure Statement 29 Secretary RTA Non maintenance of log book irregular --do-- 0.050 drawl of POL– 30 DO Excise Non surrendering saving --do-- 0.202 31 THQ Hospital --do-- Non deposit of hospital receipt into Govt. 0.060 Hassan abdal 32 Non obtaining of additional performance --do-- DO Buildings security due to quoting of rates below 0.736 5% MRS. 33 Doubtful release of securities without --do-- DO Buildings 0.079 completion certificate from end users

Annex-B

SUMMARY OF APPROPRIATION ACCOUNT DISTRICT ATTOCK 2015-16 Variation No. & Name of the Original Supplementary Actual Final Grant (+) Excess Grant / Appropriation Grant Grant Expenditure (-) Saving Rs Rs Rs Rs Rs Rs Provincial Excise. 10,897,000 - 10,897,000 8,667,058 (- ) 2,229,942 Forests. 8,354,000 - 8,354,000 7,544,629 (-) 809,371 Charges on A/c of M. V. Act. 3,335,000 - 3,335,000 2,621,794 (-) 713,206 Other Taxes & Duties 5,522,000 - 5,522,000 4,959,093 (-) 562,907 General Admin 241,610,000 - 241,610,000 144,736,852 (-) 59,873,148 Education 3,931,200,000 400,540,000 4,331,740,000 4,330,591,947 (-) 1,148,053 Health Services 844,331,000 38,873,000 883,204,000 882,978,566 (-) 225,434 Agriculture 119,238,000 - 119,238,000 109,463,080 (-) 9,774,920 Fisheries 1,913,000 - 1,913,000 1,693,916 (-) 219,084 Veterinary 104,387,000 12,599,000 116,986,000 116,966,547 (-) 19,453 Co-operative 21,223,000 2,963,000 24,186,000 24,180,276 (-) 5,724 Industries 2,702,000 - 2,702,000 1,801,474 (-) 900,526 Misc Departments 3,975,000 - 3,975,000 2,766,814 (-) 1,208,186 Civil Works 62,067,000 - 62,067,000 58,363,362 (-) 3,703,638 Communications 169,265,000 - 169,265,000 168,222,743 (-) 1,1,042,257 Miscellaneous 41,413,000 - 41,413,000 27,878,058 (-) 13,534,942 Civil Defcence 10,993,000 - 10,993,000 3,426,495 (-) 7,566,505 Increase in Pay 230,000,000 - 230,000,000 0 (-) 230,000,000 Total Non- Development 5,812,425,000 454,975,000 6,267,400,000 5,896,862,704 (-) 370,537,296 Development. 229,451,177 32,467,823 261,919,000 261,870,425 (-) 48,575 Roads & Bridges 434,347,000 - 434,347,000 128,139,656 (-) 306,207,344 Govt. Buildings 338,848,000 86,752,000 425,600,000 425,516,815 (-) 83,185 Total Development 1,002,646,177 119,219,823 1,121,866,000 815,526,896 (-) 306,339,104 Grand Total : 6,815,071,177 574,194,823 7,389,266,000 6,712,389,600 (-) 676,876,400 Surrender /Withdrawal 0 - 675,073,000 0 (+) 675,073,000 Net Total 6,815,071,177 574,194,823 6,714,193,000 6,712,389,600 (-) 1,351,949,400

Annex-C Para 1.2.1.1 Detail of Non Production of Record Sr Name of PDP Amount Description No Office No (Rs) Sui Gas Charges 45,833 Traveling Allowance 31,400 1 DRTA Attock 01 Sui Gas Charges 81,530 Printing & Publication 7,839 Purchase of Medicine 56,000 -do- 14,520 -do- 45,080 -do- 183,000 THQ hospital -do- 48,510 2 01 Jand TA/DA 10,425 -do- 12,510 POL 42,292 Cost of other store 28,080 Others 63,519 Supply of gas to premises of THQ Hospital 3 DO Buildings 01 3,239,000 Jand Repair of vehicle 49,630 - 5,600 TA/DA 9,150 Others 25,272 4 RHC Domail 01 POL 10,097 Electricity 11,368 Purchase of Medicine 20,707 -do- 20,709 Publicity & Advertisement 2,500 Total 4,064,571

Annex-D Para-1.2.2.1

Irregular Payment of Pay and Allowances From Head A01270-Others Sr G/L G/L Acc PDP Amount Formation Cost Center Description No Account Description No (Rs) 1 Sec Distt Reg Transport Secretary RTA A01270 Other 07 20,880 Authority 2 Dy DEO Male Dy D O Education Male A01270 Other 09 2,258,090 Pindigheb Pindigheb 3 Dy DEO Male Dy DEO Male A01270 Other 03 1,265,070 Hassanabdal Hassanabdal 4 DO (health) A01270 Other 11 DO Health 1,531,289 5 THQ Hospital A01270 Other 02 1,871,841 Pindigheb THQ Hospital Pindigheb 6 DO Roads A01270 Other 08 DO (Roads) 183,218 7 DO Agriculture A01270 Other 03 DO(Agriculture) 394,413 8 DO Live stock A01270 Other 05 DO (live stock) 261,402 9 RHC Maghian A01270 Other 02 SMO RHC Maghian 2,545,074 10 MS THQ Hzro A01270 Other 11 MS THQ Hzro 1,704,000 Total 12,035,277

Annex-E Para 1.2.2.3 Irregular Expenditure on Bulk Purchase of Medicines Rs. In million Sr PDP 2% Earnest 0.25% Performance Type Amount No No Money Stamp Duty Security @ 5% 1 DOH Attock 20 26.020 0.520 0.065 1.301 2 DHQ Attock 1 19.143 0.383 0.048 0.957 3 THQ Hazro 1 5.706 0.114 0.014 0.285 4 THQ Jand 10 2.548 0.051 0.006 0.127 5 THQ Fatehjang 1 2.794 0.056 0.007 0.140 6 THQ Pindigheb 3 3.192 0.064 0.008 0.160 7 RHC Maghian 1 1.097 0.022 0.003 0.055 8 RHC Domail 10 1.420 0.028 0.004 0.071 9 RHC Bahtar 1 0.700 0.014 0.002 0.035 10 DO Health BHUs 1 23.500 0.470 0.059 1.175 11 SMO I/C RHC Bahtar 1 1.100 0.022 0.003 0.055 12 SMO RHC Rango 1 1.100 0.022 0.003 0.055 13 SMO PHC Chab 1 1.100 0.022 0.003 0.055 14 SMO RHC Domail 1 1.200 0.024 0.003 0.060 15 THQ Hospital Fateh Jhang 1 2.720 0.054 0.007 0.136 16 THQ Hospital Hazro 1 5.800 0.116 0.015 0.290 17 T.H.Q. Hospital Jand 1 2.700 0.054 0.007 0.135 18 DHQ Hospital attock 1 26.000 0.520 0.065 1.300 19 THQ Hassan Abdal 1 2.900 0.058 0.007 0.145 20 RHC Magian 1 1.100 0.022 0.003 0.055 21 DO Health GRDs 1 2.200 0.044 0.006 0.110 22 THQ Pindi Gheb 1 5.800 0.116 0.015 0.290 23 Others Disp rural 1 0.700 0.014 0.002 0.035 Total 140.540 2.811 0.351 7.027

Annex-F Para-1.2.2.10 Irregular Drawl of Pay & Allowances during General Duty

PDP Average Amount Name & Designation Place of Working No Pay/ Month (Rs) DCO Attock

Mr. Abdul Malik Driver for the Officer of AC Jand 07 25,000 600,000 Period 2014-15 & 2015-16 THQ Hassan abdal Mr. Khalid Hussain (Homeo THQ Hospital 06 - 98,700 Dispenser) Fatehjang Mr. Muhammad Shahzad 06 GRD Mohwra - 181,236 Sanitary Worker

Zia Ur Rehman Hashmi HT (BHU Chakki) to 10 42,000 504,000 DDHO office P.Gheb Atif Ullah computer Operator BHU Jaba to THQ 10 25,373 304,476 Jand RHC Bahtar Waqar Azam Senior Clerk Senior Clerk 23,347 Muhammad Ishaque DP DP 21,539 Mammad Imtiaz DP DP 17,655 Abdul Sattar W/S 02 W/S 26,027 Adnan Farooqe W/C WC 16,347 Imran Shahzad SP SP 17,109 Sanwar Masih SW SW 15,756 Total 1,826,192

Annex-G Para-1.2.2.14

Non-recovery of Penalty due to Delay in Completion of Work Amount Penalty Sr. Name of Name of Work (Rs in @ 10% No Contractor million) (Rs) Provision of missing facilities i/c construction of Muhammad B/wall=740Rft, B/wall = 540Rft on existing Sheraz & 1 foundation and R/wall 8' high=240Rft, 10' Brothers 3.531 353,100 high=300Rft with gate and gate pillars in GBHS Kali Dilli Tehsil Jand. UP-Gradation of Govt. Gilrs High School to Sarfaraz Khan 2 5.359 535,900 Higher Secondary School Haji Shah Khattak Repair /Renovation of existing C/rooms in GBHS Alam Khan & 3 4.635 463,500 Nilhad Tehsil Pindigheb Co Provision of missing facilities i/c Construction of Noor B/wall=747Rft with gate and gate pillar,4-Nos Muhammad 4 2.120 212,000 toilets, septic tank, Hand pump and super tuff Awan water tank 300-gallons in GGES Dhaboola. Provision of missing facilities i/c B/wall=250Rft, Haji Safi ud R/wall=175Rft with gate and gate pillars, earth Din 5 1.899 189,900 filling, hand pump, super tuff water tank 300 gallon in GBPS Jargar. Up-Gradation of GBES from Elementary to High Aulia Khan Level i/c 03-Nos C. rooms (28’x18’), science lab 6 (18’x35’), Library (28’x18’), office (13’x12’), 5.776 577,600 Staff room (17’-3”x12’), 2-Nos stores, corridor 7’ wide in village Noshera. Total 23.32 2,332,000

Annex-H. Para-1.2.2.15

Irregular Droppage Of Schemes (Rs in million) Sr. Admn Expenditure Name of Schemes No Approval upto June, 16 Provision of missing facilities i/c 2 no toilets, hand 1 pump, super tuff water tank 300 gallon, septic tank in - 0 GGPS Chakrala FJ P/o missing facilities i/c raising of boundary wall 500 2 0.483 0 Rft with razor wire in GGHS Sundki Missing facilities and i/c reconstn of b/wall 100rft with 3 0.381 0 razor wire in GGPS Pindmali Missing facilities i/c fixing of razor wire in GGPS 4 0.380 0 Kewan P/o missing facilities i/c raising of boundary wall 320 5 0.90 0 Rft with razor wire in GGPS shahbazpur P/o missing facilities i/c constn of 4 toilets in GBHS 6 0.463 0 Dakhnair P/o missing facilities i/c constn of 4 toilets in GBHS 7 0.463 0 Haddowali P/o missing facilities i/c drinking water facility 8 0.890 0.173 external wapda connection in GBPS Bhatta Tehsil Jand Total 3.960 0.173

Annex-I Para-1.2.2.16 Un-authorized Tendering Without Funds Rs in million Sr. Name of Scheme Tehsil Date A. A Date T.S No Pavement of streets in village 1 Faqirabad Tehsil & District Attock Attock 14.07.2015 2.5 16.07.2015 2.5 Length = 3200 Rft Rehabilitation / Construction of of P.C.C. Road in Village Golra 2 Attock 14.07.2015 2.5 16.07.2015 2.5 Tehsil and District Attock Length = 2300 Rft Pavement of streets i/c drain in Fateh 3 village Tarbethi Tehsil & District 14.07.2015 2 16.06.2015 2 Jang Attock Length = 2243 Rft Construction of P.C.C. road in village Majhia (By Pass) Tehsil Fateh 4 14.07.2015 2 16.07.2015 2 Fateh Jang District Attock L = 705 Jang Rft Construction of P.C.C. Road and pavement of streets i/c drains in Fateh 5 Dhoke Nathian (Dakhli Sidhrial) 14.07.2015 1.999 16.07.2015 1.999 Jang Tehsil Fateh Jang District Attock L = 1065 Rft Construction of P.C.C. Dhulian link Fateh 6 road Tehsil Pindi Gheb District 14.07.2015 2.5 16.07.2015 2.5 Jang Attock Length = 0.4 Km Pavement of streets in Dhoke Bhussi (Dakhli Moorat) & Dhoke Fateh 7 14.07.2015 2.5 16.07.2015 2.5 Dihloo Tehsil Fateh Jang L = 2205 Jang Rft Pavement of streets and drains in village Burj and Hastal Tehsil Fateh 8 14.07.2015 2 16.07.2015 2 Fateh Jang District Attock Length = Jang 2159 Rft Total 17.999

Annex-J Para-1.2.2.17 Change in Scope of work without Approval of Finance Department Rs. In million Revised Name of TS Scope of Amount Date Scope on Expenditure Work Estimates work excluded 02.03.2016 Rehabilitation 10.000 22.09.2015 22.12.15 PCC 1:7:20 of P.C.C. 15.07.2015 22.12.2015 was not in road in Revised T.S tender but Village 10.00 executed in Nartopa 31.12.2015 revised Tehsil Hazro estimates District Rs2.648 Attock million. Length = 1.67 const. of Km 7.600 slab over 1.024 nullah in front of gate was in tender but excluded in revised estimates Rs1.024 million Pavement of 3.593 22.08.15/ 26.03.16 Const. of street/Road in 21.11.15 drain type village V Salikaabad Rs135,600 Hassanabdal was excluded in 3.899 0.135 revised estimates without mentioning in A.A revised. Total 13.593 11.499 1.159

Annex-K Para-1.2.2.18 Irregular Expenditure in Violation of Govt. Instruction Rs. in million Date of Sr Admn Technical Name of Schemes start and Expenditure No Approval Sanction Completion 6.153 6.153 Construction of P.C.C. road from 10.07.2015 14.07.2015 Dhoke SHikra to Bakhwal Tehsil 30.09.2015 1 Revised Revised T.S 5.014 Pindi Gheb District Attock Length = 29.12.2015 6.153 6.153 1.25 Km 29.02.2016 02.03.2016 Construction of P.C.C. road from 0.922 0.922 2 main road to Mirwal Tehsil Jand 12.09.2015 0.750 10.07.2015 14.07.2015 District Attock Length = 0.25 Km 10.11.2015 Construction of P.C.C. road from (remaining portion) from Tahli Adda 6.312 6.312 3 5.175 Chajjimar road to Kisran Tehsil Jand 10.07.2015 14.07.2015 29.09.2015 District Attock Length = 1.30 Km 27.12.2015 Construction of street and Drain Type-II=75rft. Type-I=2630rft from H/O Muhammad Riaz to H/O 1.265 1.265 06.05.2016 4 1.259 Mumtaz Khan in village nara near 26.03.2016 30.03.2016 17.06.2016 Jangle Hotel Tehsil Jand, Attock. length=1370rft Total 12.198

Annex-L Para-1.2.2.19

Irregular and Doubtful Expenditure on Execution of Soil Conservation Works

Sr. Cash Book Voucher No. / Amount Name of vender No. Date Year Paid (Rs) 26.09.2014 9/C / 2014-15 Sher Bhadar S/O Dost Muhammad 1 102,074 Garyala Attock 26.09.2014 9/C/ 2014-15 Malik Abdullah Khan S/O Malik Lal khan 2 153,490 Attock 26.09.2014 10/C/ 2014-15 Malik Rab Nawaz S/O Malik Muhammad 3 102,877 Ali R/O Humak Fateh Jang 26.09.2014 10/C/ 2014-15 Sardar Iqbal Malik S/O Noor Zaman R/O 4 147,237 Garyala Attock 28.10.2014 13/C/ 2014-15 Liaqat Khan S/O Muhammad Khan R/O 5 159,136 akhori Attock 28.10.2014 15/C / 2014-15 Asghar Khan S/O Muzaffar Khan Tehsil 6 113,711 Hzro 28.10.2014 15/C/ 2014-15 Amanat Khan S/O Behram Khan Tehsil 7 134,748 Hassan Abdal 17.09.2015 12/C/ 2015-16 Dost Muhammad S/O Noor Muhammad 8 128,700 R/O Boota Attock 18.03.2016 47/C/ 2015-16 Ahsan Khan S/O Shahenchi Khan R/O 9 232,370 Malik Mala Hazro 22.03.2016 46/C/ 2015-16 Afsar Khan S/O Bostan Khan R/O Qibla 10 113,880 Bandi 22.03.2016 46/C / 2015-16 Tariq Mehmood Khan S/O Gohar Rehman 11 20,160 Khan R/O Hazro Total 1,408,383

Annex-M Para 1.2.2.22

Excess Expenditure over Sanctioned Budget Sr Name of PDP Budget Expenditure Excess Year Description No Office No (Rs) (Rs) (Rs) 1 2015-16 DCO Attock 9 Fixed TA - 12,480 12,480 2014-16 3 Pay and DRTA 1,379,000 1,464,245 85,245 allowance 2015-16 EDO 2 Pay and 6,304,000 8,508,817 2,204,817 (Education) allowance 11 2015-16 DDEO M 6 Pay & 5,520,000 5,736,668 216,668 Pindi Gheb Allowances 2015-16 DO(Health) 1 Pay & 177,976,000 202,549,709 24,573,709 Attock Allowances 2015-16 MS THQ 8 Allowances 20,586,000 22,104,597 1,518,597 Hazro 2015-16 2 Pay & MS THQ Jand 4,561,000 5,090,539 529,539 Allowances 2015-16 MS THQ 3 Pay & 30,646,000 42,027,152 11,381,152 Hassan Abdal Allowances 2015-16 MS THQ 2 Pay & 24,965,000 29,958,236 4,993,236 Fateh jang Allowances 2015-16 6 Pay & RHC Chab 4,024,000 5,298,999 1,274,999 Allowances 2015-16 3 Pay & RHC Domail 5,258,000 6,447,589 1,189,589 Allowances 2015-16 Pay & RHC Bahtar 5,311,000 7,099,468 1,788,468 6 Allowances 2015-16 2 Pay & DO Agri Ext 7,456,000 8,297,693 841,693 Allowances 2015-16 DO Live 2 Pay & 86,719,458 97,564,618 10,845,160 Stock Allowances 2015-16 DO. Soil 3 Pay & 2,811,000 3,946,209 1,135,209 Conservation Allowances Total 383,516,458 446,107,019 62,590,561

Annex-N Para 1.2.2.23 Non Surrender of Savings

Financial PDP Budget Expenditure Savings Name of Formation Description Year No (Rs) (Rs) (Rs) 2014-15 DO (Soil Salary & 9,873,000 8,207,284 1,665,716 2015-16 2 Conservation) Non Salary 13,590,000 11,419,416 2,170,584 23,463,000 19,626,700 3,836,300

Salary & 2015-16 1 5,627,547 4,307,191 1,320,356 DO OFWM Attock Non Salary DO Live Stock 2015-16 1 29,482,500 20,607,834 8,874,666 Attock do 2014-15 DO (Agriculture do 9,198,960 8,305,550 893,410 1 2015-16 Extension) Attock do 1,477,000 1,466,270 10,730 10,675,960 9,771,820 904,140

2015-16 Non Salary 2,214,000 1,894,970 319,030 2014-15 5 SMO RHC Bather Salary 15,409,000 13,920,539 1,488,461 2014-15 Non Salary 2,288,493 1,643,859 644,634 19,911,493 17,459,368 2,452,125

SMO RHC Domail Salary & 2015-16 1 12,626,000 11,367,030 1,258,970 Non Salary 2015-16 5 RHC Chab DO 9,957,000 8,012,315 1,944,685 2015-16 4 THQ Pindi Gheb Salary 46,473,600 44,357,805 2,115,795 Salary & 2015-16 3 33,098,000 23,441,681 9,656,319 THQ Jand Non Salary 2015-16 7 THQ Hazro DO 22,508,000 19,231,412 3,276,588 2015-16 17 DO Health Attock DO 85,416,460 50,506,717 34,909,743 DDEO MEE Pindi 2015-16 5 133697000 115578925 18,118,075 Gheb DO 2015-16 1 EDO Education DO 7,920,000 6,046,018 1,873,982 2014-15 DO 1,003,000 305,700 697,300 4 DRTA Attock 2015-16 DO 1,568,000 1,527,637 40,363 2,571,000 1,833,337 737,663 Gramd Total 443,427,560 352,148,153 91,279,407

Annex-O Para-1.2.2.26 Irregular Procurement without Tendering Amount in Rs. Name of PDP Name of Amount Less Income Tax @ Qty Remarks Formation No Suppliers (Rs) 4.5%-4%= 0.5% 2 M/s Wahid 1,348 The expenditure Fan fans @ was incurred Rs3,200 without calling DO each tenders income (Buildings) 4,313,600 21,568 tax at source @ Attock 4.0% was deducted instead of 4.5% --- DO --- 07 --- DO --- -- DO -- --- DO --- - No stock entry Name of PDP Financial No of Amount Remarks Formation No Year scheme 3 2015-16 15 incurred funds without floating tenders on PPRA’s web sites as well as in two leading DO (Roads) 72,165,000 national newspapers to ensure the lowest Attock (Competitive Rates) rates in violation the above rules Name of PDP Name of Excess Name of Items Rate Remarks Formation No Scheme Amount Earth work in soft rock additional items, dressed to design 4977.90% 226,992 initially not section grades 45600 approved / Providing & lying Chapri to included in the DO (Roads) RCC pipe 18” Dia 04 Kora Rawal original estimates, 10 Attock Nos Tehsil Jand were executed L=1.58 Km 57,380 229,520 without adopting tendering process resulting in non- competitive rates Total 456,512 Grand Total 76,935,112

Annex-P Para-1.2.3.1 Non-accountal of Store Items in Stock Registers

Sr PDP Amount Name of Office Description No No (Rs) 1 Dy DEO (M EE) Pindi

Ghjeb GBPS Dandi Furniture Desk/Benches etc 111,560 GBPS Dk Inayat Stationary = Various Material 30,700 etc GPS DK Kumhar 0 GPS bharaki 04 Q Tab 31,000 GPS Bakhwala Store items 0 GPS Aman Pur ….do….. 205,415 GPS Rawal Chairs 43,577 GPS Mahlowalio Various Material 25,460 GPS Hajri Various Material 47,635 GPS Sipyal Various Material 115,125 2 Dy DEO W EE Hassan

Abdal GGES Kohlia Furniture etc 170,700 GGPS No 03 Hsnabdal 50 plastic Chairs + 10 tables 05 295,200 Stationary etc GGPS DhoK kallu Pind Furniture etc 242,680 GGES pathar Grah Stationary items etc 126,500 GGPS Bafahad Store items 135,200 3 RHC Domail 05 100 IV Cannula Size 24 4,141 Total 1,584,893

Annex-Q Para 1.2.3.2 Non obtaining of DTL Reports Amount Sr. No Financial year Name of Formation PDP No. (Rs) 1 2015-16 THQ Hospital Jand 03 788,680 2 2015-16 DHQ Hospital Attock 06 2,348,195 3 2015-16 RHC Mgian 04 160550 4 2015-16 RHC Chab 02 119,700 5 2015-16 RHC Domail Ak 07 160,320 6 2015-16 DO Live stock Attock 06 2,273,070 7 2015-16 THQ Hospital Pindi Gheb 05 1,304,000 7,154,515

Annex-R Para-1.2.3.4

Non verification of Deposit of General Sales Tax and Govt., Receipts Rs. in million Sr GST Deposit in Name of Formation Description No Paid Treasury DDEO W EE Pindi Deposit of Double drawl of 1 0 0.403 Gheb salary DDEO W EE Pindi Non verification of GST 2 0.123 0 Gheb 3 DDEO W EE Fateh Jang Non verification of GST 0.312 0 DCO Attock Non-verification of refund in 4 0 8.325 A/C-IV from SDA 5 EDO Education Non verification of GST 0.029 0 6 (Literacy Wing) Attock Non verification of Receipts 0 0.051 7 RHC Mgian Non verification of Receipts 0 0.195 8 RHC Chab Non verification of Receipts 0 0.185 10 DO OFWM GST 0.346 0 Total 0.810 9.159 Grand Total 9.969

Annex-S Para-1.2.3.6

Completion of Work without Satisfactory End Users Certificate Rs. in million Sr. Due Date of Name of work Expenditure No Completion DO(Roads) 1 Special repair of Road from Domail, Jand 19.05.2016 2.450 Special repair of road const of 15’ high R/wall of 2 bridge nullah kati at Bhedian link road Hassan 19.05.2016 2.881 Abdal Special repair of road with PCC 1:2:4 from Saqa 3 19.05.2016 2.128 Abad to village Dourdad, Attock Rehabilitation of sanjwal sangjani road fom village 4 08.10.2015 22.697 sanjwal to siqaabad 5 const. of road from amanpura to barwala 12.01.2015 34.813 Pavement of street/roads in village sultanpur, 6 12.12.2015 3.025 shareen abad and gawaran Hassanabdal Total DO(Roads) 67.994 DO(Buildings) Re-Const: of 4 No. C/room 24x16 External 1 25.01.16 3.410 WAPDA Electric connection in GGES Gondal Re-construction of 02.Nos C/rooms 21x14 with 2 25.01.16 1.292 verandah 7' wide in GBPS Ghoramar Re-const: of 01.No C/room 24x16 with verandah 7' 3 30.01.16 0.986 wide in GBPS Surg Provision of missing facilities i/c construction of 02-No. toilets, super tuff water tank 200-gallons, 4 septic tank, manholes and B/wall=418Rft along 05.04.16 1.486 with Razor wire in GGPS Dhok Banaras Tehsil & District Attock Provision of missing facilities i/c const: of B/wall 372 Rft with razor wire, gate & gate pillar, boring 5 15.03.16 1.448 with submersible pump, super tuff water tank 200 gallon in GBPS Pir Kot Provision of missing facilities i/c Const: of retaining wall 6' ht 63 Rft 8' ht 106 Rft, Const: of 6 B/wall over existing foundation 169 Rft & B/wall 15.03.16 1.234 228 Rft with razor wire, gate & gate pillars in GBPS Sheen Bagh Kalan Provision of missing facilities i/c Const: of B/wall 586 Rft, B/wall over 6ft high R/Wall 250 rft with 7 05.03.16 2.490 razor wire, gate and gate pillar & earth filling in GBES Karima. 67

Sr. Due Date of Name of work Expenditure No Completion Provision of missing facilities i/c Const: of B/wall 632 Rft, B/wall with deeper foundation 59 rft with 8 15.02.16 1.820 razor wire, gate and gate pillar & earth filling in GBPS Kissan. Total DO(Buildings) 14.166 Grand Total 82.160

Annex-T Para 1.2.4.1 Non recovery of Overpayments and Charges

Sr. Amount Formations Description No (Rs) 1 DCO Adhoc Relief 2011 & 2012 42,210 2 DCO Tax Branch Non-recovery of Licence Fee 5,000,000 3 …do…. Outstanding Shop Rent - 65,501 4 …do… Rent of Shops 1,293,054 5 DDEO M EE Non-recovery of SSB After regularization 225,000 6 Pindi Gheb Increment 76,000 7 Conveyance Allowance 36,301 8 DDEO W EE Charge Allowance 245,500 Hassan Abdal 9 DDEO W EE Over Payment Of Pay & Allowances 380,000 10 Pindi Gheb Drawl of Salaries by Retired Officials 245,470 11 deduction of Conveyance Allowance During 72,827 Leave 12 Non-deduction of Income Tax 6,794 13 DDEO W EE Overpayment of SSB @ 30% Allowance 454,140 14 Fateh Jang Non-deduction of Pay & Conveyance Allowance 71,689 15 Unlawful Drawl of Salaries by Retired Officials 76,677 16 Overpayment of Pay & Allowances 339,141 17 Un-authorized payment of Charge Allowance 368,393 18 Non recovery of Overpayment On Account Of 204,000 Health Sector Reform Allowance 19 Non recovery of Conveyance Allowance 1,483,776 20 Non recovery of Licence Fee 10,000,000 DO Health Attock 21 Over Drawl On Account Of HSRP & Conveyance 149,473 Allowance 22 Non recovery Of Conveyance Allowance & 2,577,000 House Rent Allowance 23 Inadmissible Payment of NPA 48,000 24 DHQ Attock Unauthorized Drawl of Adhoc Relief Allowance 1,361,000 25 ----do---- Over payment of Health Sector Reform 1,356,000 68

Sr. Amount Formations Description No (Rs) Allowance 26 ------do---- Un authorized Drawl of Incentive Allowance - 2,016,000 27 ------do---- Excess Payment on account of Health Sector 185,000 Reform Allowance - 28 ------do---- Non deduction of Conveyance Allowance During 186,705 Leave 29 ------do---- Un-authorized payment of Non practicing 820,000 Allowance - Rs0.820 million 30 ------do----- Loss to Government due to Non recovery of 70,000 Private Room Charges - --31 -----do----- Non deduction of Mess Allowance and HSRA 376,467 Allow during Leave 32 -----do------Non deposit of income Tax 76860 33 -----do---- Over payment of PCA 30,000 34 -----do---- Non deposit of receipt 40,314 35 THQ Hazro Unauthorized Drawl of Adhoc Relief Allowance 155,580 2010 36 ------do------5% HRA and CA 56,991 37 ------do------Un-authorized Payment of Stopped Allowances 158,119 38 THQ Jand Non deduction of CA during Leave 83197 39 -----do----- Inadmissible Pay & allowance 192,000 40 ------do------Unauthorized Drawl of Adhoc Relief Allowance 27,264 2010 41 THQ Pindigheb UN-authorize drawl of pay and allowances of 645,696 Drug Inspector without sanction Post 42 ------do------Non deduction of 5% HRA 180,405 43 ------do------Outstanding recovery of HRA,HSRA,HR & 325,820 dental Charges 44 ------do------Non deduction of CA for leave period 75,633 45 ------do------Non deduction of Mess Allowance and Dress 117,000 Allowance 46 Loss to Government due to Excess Drawl of 135,000 Allowances 47 RHC Maghian Un-authorized Payment of Stopped Allowances 1,446,000 48 ------do------Non-recovery of 5% Standard Rent 80823 49 RHC Chab Irregular Payment of Punjab Health Sector 80,448 Reform Programme Allowance 50 Non-recovery of Conveyance Allowance During 181,713 leave Total 33,920,981

Annex-U Para-1.2.4.4

Abnormal Flow of Expenditure during Month of June Amount in Rs. Average Expenditure Sr. Name of Head of Expenditure /month upto during June No Formation account upto May, 2016 May 2016 2016 POL 370,329 33,666 581,494 THQ Other 511,432 46,493 261,220 01 Hospital Medicines 1408,210 128,019 4,297,362 Hazro Repair of 29,610 2,691 295,595 Machinery THQ Pay & 1,821,516 799,475 02 Hospital Contingency 151,793 Jand Bedding 0 67,718 76,872 RHC Clothing 03 Mgian Medicines 744,901 40,315 351,784 Medicines 443,465 40,315 256,535 Total 5,329,463 511,010 6,920,337