Audit Finds Rs. 18.46 Billion Irregularities in KP Economic Zones Company
Meanwhile, an audit has discovered irregularities and losses worth Rs.
Meanwhile, an audit has discovered irregularities and losses worth Rs.
Article outline
- What happened
- The key numbers
- Official response
- The bottom line
Key points
- In Haripur, plots 185, 186, 187, and 190, spread over 10 acres, were allotted to Al-Hadeed Engineering.
- According to the Auditor General of Pakistan's report, the losses to the public exchequer were caused by poor planning, subdued management, and financial irregularities at the business.
- The auditors discovered that the business did not obtain land vacated in Buner, Mohmand, and Jalozai, resulting in a loss of Rs.
- The report raised questions regarding the company's governance, land allotments, recovery of dues, and financial affairs.
- An audit has discovered irregularities and losses worth Rs.
Meanwhile, an audit has discovered irregularities and losses worth Rs. 18.46 billion in the Khyber Pakhtunkhwa Economic Zones Development and Management Firm (KPEZDMC) during the fiscal year 2024-25.
According to the Auditor General of Pakistan's report, the losses to the public exchequer were caused by poor planning, subdued management, and financial irregularities at the business. Lease Funds Not Recovered Despite Court Orders.
For context, the report remarked the business failed to recover Rs. 2.08 billion in lease payments from industrial owners for allotted land, even though court orders were in place.
It additionally failed to renew agreements for commercial land. It caused a loss of Rs. 629.8 million to the exchequer. Land Problems in Buner, Mohmand, Jalozai, and Haripur.
Notably, the auditors discovered that the business did not obtain land vacated in Buner, Mohmand, and Jalozai, resulting in a loss of Rs. 1.08 billion. Another Rs. 174.1 million was lost since commercial land was illegally allotted for industrial apply.
In Haripur, plots 185, 186, 187, and 190, spread over 10 acres, were allotted to Al-Hadeed Engineering. Nevertheless, the payment was not collected. It caused a loss of Rs. 497.8 million.
In practice, the findings come days after another audit discovered Rs. 16.94 billion in irregularities in the KP Minerals Department. Liabilities Threaten Company's Future.
As the report notes, the company's contingent liabilities have reached Rs. 14 billion, which poses a serious risk to the continuity of its business operations.
In practice, the report raised questions regarding the company's governance, land allotments, recovery of dues, and financial affairs. It remarked poor administrative decisions and alleged steps to benefit favored individuals caused serious damage to public resources. KPEZDMC manages the province's economic zones, including the Rashakai Economic Zone. Stay Connected with ProPakistani. Obtain the latest news and stories wherever you prefer. Follow on Google Discover. Follow on Google News Join WhatsApp. See more ProPakistani stories in Google Search and Top Stories.
Taken together, the developments around audit Finds Rs. 18.46 Billion Irregularities in KP Economic Zones Company point to a situation that is still moving, and the coming days should bring more clarity.
