PHRC paid employees millions for six years
Council maintained independent account despite SC declaring it a government dept
Council maintained independent account despite SC declaring it a government dept. PHOTO: FILE
ISLAMABAD:
Employees of the Pakistan Health Research Council (PHRC) were paid as much as Rs276.798 million as health allowance for nearly six years, even though they were not entitled to the allowance.
This was revealed in a report by the Accountant General of Pakistan (AGP) which was submitted to the Parliament recently.
The Audit Report 2016-17 noted that the health allowance is meant for health personnel serving in hospitals and clinics run by the federal government and is not meant for employees working in ministries, divisions or departments.
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Moreover, the Ministry of National Health Services, Regulations and Coordination (NHSR&C) was advised to write to AGPR to stop the allowance being drawn by its departments.
The report, thus, observed that the council continued to pay health allowance to its employees from 2011 to 2016. These payments, the report noted, were irregular and against the rules.
“The scrutiny recommends to stop the payment and amount already paid should be recovered and deposited into government accounts,” the report read.
The council, while responding to the recommendation of the auditors, maintained that it had written to the ministry to asking it to urge the Finance Division to stop the allowance in light of a judgement by the Federal Services Tribunal.
Moreover, the council said it had also requested the ministry of health that if there was any subsequent decision of the tribunal or the apex court on a review petition or appeal respectively on the issue to be intimated for implementation.
However, the PHRC maintained that the health ministry never replied to its letter. It further noted that since the matter is currently being processed by the ministry and the finance division, the council will take necessary action over the health allowance as and when it receives instructions on the subject.
But the AGP’s report rejected the response, stating that the management of PHRC did not discontinue the payment despite instructions from the health ministry and the Finance Division.
Unauthorised retention of funds
The audit report further revealed that the management of PHRC maintained three funds worth Rs44.104 million in various bank accounts even though the Supreme Court had declared the council as a government department – and hence it can only maintain accounts in government owned banks.
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The report objected that after the declaration of the department as a government functionary, these funds should have been surrendered to the government. Instead, the council’s management retained the accounts and continued to spend money from it which was irregular and for which it did not have due authority.
The council, in its response to the objections raised by the AGP’s office, told auditors that instructions of the audit regarding the Bio-ethics Fund and Revolving Fund, which were maintained in separate accounts, had been noted and due process has been initiated for closing these accounts.
“In future, all the recoveries on account of the loan shall be deposited in government treasury,” the PHRC said.
However, the PHRC defended its third account, Medical Research Fund.
The council maintained that it had been reconstituted by providing it administrative and financial autonomy and according to the new rules, the council is required to set up the fund to carry on its research activities.
Published in The Express Tribune, September 5th, 2017.
Employees of the Pakistan Health Research Council (PHRC) were paid as much as Rs276.798 million as health allowance for nearly six years, even though they were not entitled to the allowance.
This was revealed in a report by the Accountant General of Pakistan (AGP) which was submitted to the Parliament recently.
The Audit Report 2016-17 noted that the health allowance is meant for health personnel serving in hospitals and clinics run by the federal government and is not meant for employees working in ministries, divisions or departments.
People working on PSDP-funded projects get pay rise
Moreover, the Ministry of National Health Services, Regulations and Coordination (NHSR&C) was advised to write to AGPR to stop the allowance being drawn by its departments.
The report, thus, observed that the council continued to pay health allowance to its employees from 2011 to 2016. These payments, the report noted, were irregular and against the rules.
“The scrutiny recommends to stop the payment and amount already paid should be recovered and deposited into government accounts,” the report read.
The council, while responding to the recommendation of the auditors, maintained that it had written to the ministry to asking it to urge the Finance Division to stop the allowance in light of a judgement by the Federal Services Tribunal.
Moreover, the council said it had also requested the ministry of health that if there was any subsequent decision of the tribunal or the apex court on a review petition or appeal respectively on the issue to be intimated for implementation.
However, the PHRC maintained that the health ministry never replied to its letter. It further noted that since the matter is currently being processed by the ministry and the finance division, the council will take necessary action over the health allowance as and when it receives instructions on the subject.
But the AGP’s report rejected the response, stating that the management of PHRC did not discontinue the payment despite instructions from the health ministry and the Finance Division.
Unauthorised retention of funds
The audit report further revealed that the management of PHRC maintained three funds worth Rs44.104 million in various bank accounts even though the Supreme Court had declared the council as a government department – and hence it can only maintain accounts in government owned banks.
400 Radio Pakistan employees paid below minimum wage
The report objected that after the declaration of the department as a government functionary, these funds should have been surrendered to the government. Instead, the council’s management retained the accounts and continued to spend money from it which was irregular and for which it did not have due authority.
The council, in its response to the objections raised by the AGP’s office, told auditors that instructions of the audit regarding the Bio-ethics Fund and Revolving Fund, which were maintained in separate accounts, had been noted and due process has been initiated for closing these accounts.
“In future, all the recoveries on account of the loan shall be deposited in government treasury,” the PHRC said.
However, the PHRC defended its third account, Medical Research Fund.
The council maintained that it had been reconstituted by providing it administrative and financial autonomy and according to the new rules, the council is required to set up the fund to carry on its research activities.
Published in The Express Tribune, September 5th, 2017.