Absence of legislation causes millions rupees loss to exchequer.

ISLAMABAD, November 17, 2009 (Balochistan Times): Absence of proper legislation for recovery of funds in federally administered tribal areas (FATA) has caused millions of rupees loss to the national exchequer, it was revealed before Public Accounts Committee (PAC), on Tuesday. Recovery of more than two million rupees pending to contractors and other entities was not possible due to existing laws. The government is working on FATA reforms and in it a full financial chapter has been included to deal with such matters in the future, Additional Chief Secretary FATA, Habibullah Khan said while responding to different audit paras. FATA reforms preparation was a time-taking matter and in the next four months, its fundamentals would be finalized, he said, adding that presently political agent were using powers conferred upon them by the Viceroy at the time of partition and no amendments were made in the law during the last 62 years. He told the committee that in FATA, contracts were nominated and not given on open bidding. In Khyber agency, two or three development projects sponsored by internal donors could not be launched as the donor agencies want open bidding for the said projects while tribal leaders seek nomination, he added. Additional Secretary FATA told the committee that Frontier Crimes Regulations were only being implemented in one percent of FATA. While debating on another audit objection of loss of Rs 24.479 million due to non-imposition of penalties on the contractors for delay in completing the projects, Additional Secretary told the committee that there was ban on the transportation of construction material NWA, SWA and Kurram Agency. Due to law and order situation, contractors are unable to complete development projects in the stipulated time, he observed. Earlier, Auditor General of Pakistan pointed out loss of Rs 2.598 million to government exchequer due to non-recovery of annual registration fee from the contractors during audit year 2006-07. The Public Accounts Committee met here at the Parliament House with Yasmeen Rehman in the chair.

(THROUGH ASIA PULSE)