Financial institutions have appeared reluctant to extend financial support to Port Qasim Authority (PQA) for its ongoing projects, following the non-compliance of statutory audit requirement since 2007, it was learnt here. According to sources, PQA, which was a statutory body and formed under PQA Act 1973, was required to audit its accounts on regular basis. However, ministry of ports and shipping in its letter revealed that this requirement has not been fulfilled by PQA since 2007.
The letter, which is exclusively available to Daily Business Recorder, stated: "Non-compliance of statutory audit requirement has created doubts on proprietary of financial operations of the authority besides discouraging financial institutions to extend financial support to PQA for its ongoing projects".
The ministry through letter also asked the chairman PQA to look into the matter and fix the responsibility on the officials who are responsible for this lapse. The ministry has directed the authority to complete the audit of the accounts from tax year 2007 to 2015 within two months. It also advised the PQA to strengthen its institutional mechanism to ensure the completion of audit exercise every year in August/September and submit audit report to the ministry by November along with budget of next financial year for approval.
When contacted, official in PQA, on a condition of anonymity confirmed to have received letter from ministry, saying that authority in response to the said letter has constituted a three-member committee to ascertain the facts behind the failure of the PQA officials for non-compliance of statutory audit requirement since 2007.
He said that committee would also initiate inquiry to charge the officials found responsible for this lapse. Moreover official said that committee would not only identify grey areas but would also submit its recommendation for timely audit within two weeks.