Audit reveals Rs200bn financial irregularities in Khyber Pakhtunkhwa

Audit uncovers massive mismanagement and suspected embezzlement in KP government spending

PESHAWAR:An audit report for the financial year 2024–25 has revealed shocking financial irregularities and suspicious expenditures worth Rs200bn in Khyber Pakhtunkhwa.

According to the report, financial discrepancies were found across multiple fronts, including administrative weaknesses, failure in service delivery, disorganised budgeting, suspected embezzlement, and illegal recruitments across various provincial departments.

The report states that in just seven cases, suspicious transactions worth Rs9.2678bn were recorded due to administrative lapses and failure to provide services. In twenty-two cases of alleged fake payments, bogus expenses, and suspected embezzlement, nearly Rs982.8mn worth of irregular activities came to light.

Three more cases were reported involving disorganised budgeting and non-transparent fund releases, amounting to Rs14.644bn in suspicious spending.

In addition, twenty-three cases documented unauthorised and illegal expenditures, in which more than Rs4.32bn in unjustified financial payments were made.

The most startling disclosure surfaced in eight cases related to illegal and non-transparent award of contracts. These involved suspicious financial transactions totalling Rs147bn. Financial irregularities and excessive payments were also identified in construction and development projects, causing a reported loss of Rs11.64bn to the government in forty separate cases.

A total of 17 cases involving excess payments in salaries and allowances and illegal appointments led to irregular disbursements of approximately Rs950mn.

These findings point to a clear lack of transparency in the handling of public funds in Khyber Pakhtunkhwa. The audit authorities have recommended immediate investigations and action against those responsible. However, the provincial government has yet to issue an official response.

Monitoring Desk
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