Gwadar Port Civic Centre Project: AGP concerned at irregularities

Auditor General of Pakistan (AGP) has shown concerns over irregularities, violation of rules and other malpractice, which caused delay in completion of Gwadar Port Civic Centre Project and inflicted Rs 70 billion loss on national exchequer.

The auditors carried out a performance audit report on 'Construction of Gwadar Port Civic Centre - Gwadar Port Authority' covering the period from financial year 2006-07 to 2011-12 which was laid in the National Assembly's session.

The project is located at Airport Road, Gwadar. This project has covered area of 44,767 sq ft. The building has 35 shops/ offices. The initial cost of the project as per approved PC-I was Rs 161 million. However, cost of the project was revised and it was increased up to Rs 231.352 million.

The project was required to be completed on September 25, 2008 but the project was completed on March 8, 2012.

In its recommendations, the auditor asked the relevant government departments to fix the responsibility upon the persons at fault for irregular award of consultancy contract to NESPAK without competitive bidding and wrong selection of site; and investigation the matter for non-completion of construction work on time and non-surrendering of unutilized funds.

The key audit findings say that contract to NESPAK was awarded irregularly without competitive bidding tendering Rs 11.2 million. Delay in construction work resulted into cost overrun Rs 32.8 million. Unutilized funds of Rs 62 million were not surrendered. Terms and conditions of contract and other rules and regulation were violated. Funds amounting to Rs 231.3 million remained non-utilized.