Audit officials informed the committee that Rs 26.4 billion were pending toll tax collection.
ISLAMABAD:
The Public Accounts Committee (PAC) on Tuesday flagged massive financial irregularities involving the National Highways Authority (NHA), revealing that Rs 26.4 billion in toll taxes remain unpaid, while another Rs 16 billion could not be recovered from overloaded trucks, causing significant losses to the national exchequer.
The PAC meeting, chaired by Moeen Amir Pirzada, reviewed audit objections related to the Ministry of Communications for the financial year 2023-24.
National Highway Authority Audits
During the session, the committee held a detailed discussion on 15 audit objections related to the NHA.
The audit officials informed the committee that Rs 26.4 billion remained outstanding against the NHA as toll tax collection.
Responding to the objection, the NHA secretary said the matter had already been taken up with the National Logistics Cell, Border Works Organization and private contractors, adding that the amount was being utilized against allocations under the Public Sector Development Program (PSDP).
PAC member Bilal Mandokhail questioned why NLC and FWO representatives were not present at the meeting and sought clarity on where accountability would be set.
NHA officials responded that interested institutions had been invited but did not attend, prompting Mandokhail to comment that the meeting had not been called at short notice.
PAC member Hina Rabbani Khar said the problem reflected weak law enforcement and called it alarming that companies that failed to meet their contractual obligations were being awarded new contracts.
Toll tax rates
He asked if the contracts of companies that had not paid their dues had been cancelled. Committee member Shahida Begum also expressed concern over the continued increase in toll tax rates.
NHA officials informed the committee that 33 lawyers representing private companies had already approached court in connection with the matter. Directing a quick solution, the PAC president ordered that the issue be resolved as soon as possible.
The committee gave private contractors 60 days to clear their dues, while state-owned companies were given time until June. The president warned that legal action would be taken if payments were not made within the stipulated time.
During the meeting another big revelation emerged about the losses caused by overloading on the roads. Audit officials said Rs 16 billion could not be recovered from the overloaded trucks, resulting in substantial losses to the national exchequer.
