The Civil Aviation Authority (CAA) has failed to retrieve assets from the contractor while taking over New Terminal Complex Lahore Building, causing a loss of $7.906 million and Rs 231.41 million, said Audit Report for 2004-05.
According to the report, which has been placed before the National Assembly, the CAA also failed to make any recovery from various airlines and licensees on account of landing, housing charges, embarkation fee and lease money, amounting Rs 1.138 billion.
Wasteful expenditure was incurred due to deletion of items of work at the New Terminal Complex Lahore at later stage which involved an amount of Rs 66 million.
The report said that extra payment was made to a contractor for supply of spare parts, included in the rates quoted for various works, at the New Terminal Complex Lahore which involved amounts of Rs 3.007 million and US $345,189.
NATIONAL HIGHWAY AUTHORITY:
The Audit Report said that rent of machinery, cost of insurance premium and income tax were not deducted in highway/motorway construction project involving an amount of Rs 751.579 million.
Contract of Karachi Northern Bypass Project was awarded at rates higher than the fixed criteria, which involved a misappropriation of Rs 398.798 million.
Extra expenditure was incurred due to revision of rate and compound interest on account of late announcement of land awards (M-3 and additional carriage way Multan-Mian Channu section projects), which involved a misappropriation of funds amounting to Rs 406.2 million.
Overpayment of Rs 184.901 million was made due to higher rates on various accounts in eight projects. Irregular payment of Rs 183.482 million was made in Barian-Nathiagali-Abbotabad Road Construction project. Rebate deducted from the bill of contractor was released to him in violation of PC-1 provisions in Islamabad-Muzaffarabad Dual Carriage way project which involved an amount of Rs 122.183 million.
CAPITAL DEVELOPMENT AUTHORITY:
As per terms of a loan agreement for a project being executed by CDA, its management was required to recover from beneficiary agencies their share of the cost of the project, which was not done, and this caused a huge loss of Rs 2.338 billion. The Audit Report did not mention the exact name of the project.
The CDA also failed to make recoveries on account of cost of plot with its delayed payment charges due to which losses of Rs 276.025 million were suffered by the exchequer. Tampering was done in a number cases. There was non-accountal of cash receipts in cash book and a cheque was not accounted for in the monthly account, which caused a loss of Rs 5.183 million.
EVACUEE TRUST PROPERTY BOARD:
The board gave away contract for maintenance and operation of its building in Islamabad without tendering which caused a loss of Rs 26.880 million. Undue payment was made to a consultant hired for providing services relating to board''s property at the federal capital which involved an amount of Rs 2.524 million.