FWMC faces scrutiny over expenditure

Audit reveals daily wage workers were hired without proper recruitment procedures

JARANWALA:

The Auditor General of Pakistan has uncovered unauthorized expenditure amounting to Rs579.074 million in the annual accounts of the Faisalabad Waste Management Company (FWMC).

During the audit for the financial year 2022-23, it was revealed that the CEO incurred this expenditure on wages for 3,432 daily wage employees, including waste workers, helpers, drivers, office boys, and cleaners, without following the prescribed procedures.

The audit highlighted that these daily wage workers were hired without proper recruitment procedures, with 44 of them exceeding the sanctioned posts and 150 being paid without marking attendance through the iris attendance system.

Additionally, 88 employees were found performing duties in various offices outside their designated roles. Weak internal controls led to the hiring of temporary staff and expenditure on wages in violation of prescribed procedures, resulting in unauthorised spending.

The audit report emphasised that temporary appointments should adhere to specific conditions outlined by the finance department, including proper advertisement, recruitment based on merit, and adherence to Punjab financial handbook rules.

Despite the matter being reported to the principal accounting officer of FWMC in November 2023, management claimed to have hired staff after advertisement and walk-in interviews. Furthermore, FWMC hired 500 waste workers without following proper procedures, leading to objections from the audit department.

In a meeting held in January, the Departmental Accounts Committee directed the FWMC CEO to conduct an inquiry focusing on sanctioned strength, recruitment procedures, and action against absentee employees within 30 days. However, the audit concluded that no progress was made until the finalisation of the audit report.

This issue of non-compliance was also highlighted in previous audit reports, underscoring the seriousness of the recurring irregularity, with financial impacts of Rs42.34 million reported in the audit years 2022-33 and 3019-20, respectively.

Published in The Express Tribune, June 4^th, 2024.