ISLAMABAD: The Finance Ministry is waiting for response from the Attorney General of Pakistan on the issue of releasing development funds concerned departments for schemes initiated by the members of the parliament.
The Supreme Court‘s issued an order in May, 2014 which stated: “Let notice be issued to Secretary Finance and the Auditor General for Pakistan for 02-06-2014. In the meanwhile, no discretionary grant shall be granted either by the Prime Minister or the Minister. No funds shall be expended on any scheme at the behest of any MNA or MPA. However, the Federal Government may proceed to grant expenditure in terms of Article 84 of the Constitution, if it is a scheme of national or public interest. Notice shall also issue to all the applicants in the CMAs noted in the judgment under challenge”.
“Consequently, an amount of Rs. 7.7 billion allocated for development projects lapsed, however in December the last, the Cabinet Division and Finance Division jointly moved a reference to the Attorney General for guidance to proceed further in the matter and advice from the Attorney General is still awaited in this regard” a well placed source at Finance Ministry told this scribe here on Friday.
The Finance Ministry allocated budget under Demand of Cabinet Division for schemes under People Works Program-II (PWP-II) and funds under these programmes were released by the Cabinet Division after fulfilling all the codal formalities to the concerned executing agencies including the gas schemes.
However, PWP-II programme discontinued in previous financial because the Prime Minister approved the recommendations of Finance Ministry to conduct the third party audit after the retrieval of all the required information from the Provinces and other executing agencies.
The Prime Minister directed the detailed information regarding outstanding liabilities of the contractors against these schemes, if any, till the date of issuance of short order issued in June 2013 by the Supreme Court, also be furnished for his kind perusal.
Prime Minister also approved some more points of the summary moved by the Finance Ministry including total funds released against each scheme, physical work completed against each scheme as on 30th June, 2013, and payment made to the Contractors and fund drawn from Assignment Accounts by the Executing Agencies.
Outstanding liabilities of the contractors for schemes executed/completed in accordance with codal formalities/PPRA Rules. Observance of rules/regulations such as PPRA Rules, assignment of work in transparent manner and feasibilities etc. for payment of outstanding amounts to the contractor against the work completed.
PM also sought feasibility report of incomplete schemes of public interest along with percentage of work done or leftover as well as a certificate from the concerned Secretary regarding continuation or otherwise of the said scheme in the public interest.
Cabinet Division is gathering information on the above points, however funds in the assignment accounts lapse at the end of the financial year, but there is no concept of re-validation of funds. Funds can only be placed in the Demand of Cabinet Division through Supplementary Grant if so requested with the approval of Principal Accounting Officer.
Moreover, Cabinet Division has not moved any request for revival of lapsed amount of Rs. 7.7 billion so far. It may be noted that Prime Minister had approved the proposal for provision of funds subject to completion of exercise by the Cabinet Division and Supreme Court latest orders on the subject remaining incompliance.
