Procurement rules violation?: Rules don’t apply to us, says AIOU
Varsity management justifies payment of around Rs68 million to private printers.
PPR are applicable only if the procuring agency invites tenders. The pre-qualification of firms is not mandatory under these rules, says Official AIOU statement. PHOTO: FILE
ISLAMABAD:
The top management of the Allama Iqbal Open University’s (AIOU) has violated Public Procurement Rules (PPR) on account of payments made to private printers amounting to Rs67.87 million in 2010-11, according to a report by the Auditor General of Pakistan (AGP).
According to PPR, a procuring agency should engage in pre-qualification of bidders for services and civil works prior to tender floating or invitation to proposals.
The rules also say that bids for cases pertaining to the procurement of expensive and technically complex equipment should be submitted only by technically and financially-capable firms.
Furthermore, procurement planning specifications should allow the greatest possible competition and should not favour any single contractor or supplier, nor put others at a disadvantage.
The AGP observed that the government was kept out of the loop during the invitation of proposals and deprived of the benefits of an open auction.
To this, the AIOU management responded that the executive council exercised powers under Section 19 of the University Act and approved printing of university publications by private printers.
The university management further said that bidders from across the country were not considered because work to private publishers was assigned on scheduled rates, which did not require a competitive process.
They also claimed that their tight mailing schedules necessitated immediate printing.
“PPR are applicable only if the procuring agency invites tenders. The pre-qualification of firms does not appear to be mandatory under these rules,” said an official AIOU statement.
The AGP maintained that PPR were meant to ensure that all public purchases are transparent and provide no undue benefit to any single participant.
The principal accounting officer was also informed about these regulations in January 2012, but a Departmental Accounts Committee was not convened till the audit report was finalised.
The AGP has directed the AIOU management to form a body to probe and address this irregularity.
Unauthorised encashments for unavailed leave
In a separate development, the AIOU was found to have paid Rs12.67 million to its employees on account of unavailed leave during 2010-11.
According to the audit report, the university’s leave rules were not approved by the Finance Division.
The university responded that the case had been placed before the AIOU executive council, whose decision would be revealed in due course.
The AGP stated that the said council did not have the competence to handle the matter.
The audit report recommended that leave encashment to employees be discontinued and the money already paid out be recovered.
Published in The Express Tribune, June 4th, 2013.
The top management of the Allama Iqbal Open University’s (AIOU) has violated Public Procurement Rules (PPR) on account of payments made to private printers amounting to Rs67.87 million in 2010-11, according to a report by the Auditor General of Pakistan (AGP).
According to PPR, a procuring agency should engage in pre-qualification of bidders for services and civil works prior to tender floating or invitation to proposals.
The rules also say that bids for cases pertaining to the procurement of expensive and technically complex equipment should be submitted only by technically and financially-capable firms.
Furthermore, procurement planning specifications should allow the greatest possible competition and should not favour any single contractor or supplier, nor put others at a disadvantage.
The AGP observed that the government was kept out of the loop during the invitation of proposals and deprived of the benefits of an open auction.
To this, the AIOU management responded that the executive council exercised powers under Section 19 of the University Act and approved printing of university publications by private printers.
The university management further said that bidders from across the country were not considered because work to private publishers was assigned on scheduled rates, which did not require a competitive process.
They also claimed that their tight mailing schedules necessitated immediate printing.
“PPR are applicable only if the procuring agency invites tenders. The pre-qualification of firms does not appear to be mandatory under these rules,” said an official AIOU statement.
The AGP maintained that PPR were meant to ensure that all public purchases are transparent and provide no undue benefit to any single participant.
The principal accounting officer was also informed about these regulations in January 2012, but a Departmental Accounts Committee was not convened till the audit report was finalised.
The AGP has directed the AIOU management to form a body to probe and address this irregularity.
Unauthorised encashments for unavailed leave
In a separate development, the AIOU was found to have paid Rs12.67 million to its employees on account of unavailed leave during 2010-11.
According to the audit report, the university’s leave rules were not approved by the Finance Division.
The university responded that the case had been placed before the AIOU executive council, whose decision would be revealed in due course.
The AGP stated that the said council did not have the competence to handle the matter.
The audit report recommended that leave encashment to employees be discontinued and the money already paid out be recovered.
Published in The Express Tribune, June 4th, 2013.