Sindh’s Zakat, Ushr committees: Rs2.33bn irregularities uncovered

KARACHI: The Auditor General of Pakistan (AGP) has revealed significant financial irregularities amounting to Rs 2.33 billion in Sindh’s Zakat and Ushr committees, raising concerns about the management and distribution of funds meant for poverty alleviation.

According to the audit report, the Provincial Zakat Administration (PZA) of Sindh had access to Rs 4.63 billion for the fiscal year 2021-22. However, only Rs 859 million was released for disbursement, representing 18.5% of the total available funds. The section 9 (1) of the Sindh Zakat and Ushr Act 2011, stated that the Council might from the Sindh Zakat Fund make disbursement and transfer funds to the Personal Ledger Accounts to the District Zakat Fund based on population. However, the audit observed that PZA, Karachi had not released Zakat funds to Karachi but five districts - Hyderabad, Kamber, Tando Muhammad Khan, Naushahro Feroz, and Ghotki without the constitution of District Zakat Committees in the respective districts.

On the contrary, the audit revealed that the PZA, Sindh, Karachi had not utilized Zakat Fund amounting to Rs. 2.19 billion during the financial year 2021-22 in Karachi, despite the allocation of Rs. 2.64 billion Zakat Fund for disbursement among Mustahiqeen-e-Zakat during the same financial year.

Furthermore, the audit recommended the authorities, conduct an inquiry and fix the responsibility against the person (s) at fault besides adopting remedial measures and a proper mechanism for the disbursement of Zakat funds among the eligible beneficiaries promptly and added that non-utilization of funds not justified as the poor beneficiaries of the Province were deprived of Zakat, indicating institutional responsibility for disbursement of Zakat as per the requirements of Sindh Zakat and Ushr Act, 2011.

Copyright Business Recorder, 2024