March 18, 2026
PAC questions Rs4.95 billion payments to flood affectees, flags audit violations
Panel raises procedural violations, missing records in payments to over 28,000 households
March 18, 2026

A sub-committee of Public Accounts Committee (PAC) has questioned the legality of over Rs4.95 billion disbursed by Earthquake Reconstruction and Rehabilitation Authority (ERRA) to urban affectees, deferring the audit matter pending approval from ERRA Council.
According to a news report, the committee reviewed audit objections related to fiscal years 2010–11 and 2013–14 and raised concerns over procedural violations and weak documentation. Officials informed the panel that 28,319 households were paid Rs175,000 each between 2006 and December 2009.
Audit findings indicated that payments were made without mandatory technical inspections, raising questions about compliance with prescribed procedures. Members were also told that documentation gaps persisted across multiple cases.
The panel noted that none of the audit observations showed satisfactory compliance. It highlighted absence of proper record as a key issue affecting verification of disbursements.
Audit officials stated that the matter would require formal approval from ERRA Council after submission of a detailed case. The audit objection will remain pending until such approval is obtained.
The committee directed that the issue be taken up again once the required approval is secured.
Separately, the audit pointed to financial irregularities in post-earthquake school reconstruction projects. An allocation of Rs66.33 million for schools in Bagh district resulted in a reported loss of Rs10.209 million due to administrative lapses.
In another project valued at Rs35 million, an additional Rs4 million was reported as waste, indicating gaps in oversight and project management.

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