Islamabad: The Public Accounts Committee (PAC) expressed strong concern over the failure to recover more than Rs 12 billion from contractors operating toll plazas on national highways and directed that all recoveries be completed by June 2026.
PAC member Shahida Akhtar Ali criticized rampant corruption and irregularities within the National Highway Authority (NHA), noting that inquiries were conducted but no one was held accountable.
The PAC meeting was held on Tuesday under the chairmanship of Acting Chairman Moeen Amir Pirzada, with participation from members of the committee, the Auditor General of Pakistan, Secretary Communications, DG Pakistan Post, and other officials. The meeting reviewed the audit objections of the Ministry of Communications for fiscal year 2023-24.
Audit officials revealed that the NHA had failed to recover Rs 26.4 billion from 313 contractors. Senator Bilal Ahmed Mandokhel questioned why entities like NLC or FWO had not contributed their dues. NHA officials responded that the issue dated back to the COVID-19 period, prompting the chairman to remark that 'many years have passed and nothing has been done.'
Committee member Hina Rabbani Khar questioned why contracts of non-paying contractors had not been terminated, warning that failure to act would lead to repeated losses. Shahida Akhtar Ali asked whether these contractors had been awarded contracts again. The chairman instructed that FWO and NLC be summoned in the next meeting.
The Secretary Communications assured the committee that all recoveries would be completed by June 2026, and PAC directed private contractors to finalize recoveries within 60 days.
Audit officials also highlighted a loss of over Rs 16 billion due to NHA's failure to recover fines from overloaded vehicles on National Highway N-5, and 17 lakh vehicles were not penalized. The Secretary Communications disputed these figures, saying the system started in November 2023 and the actual number of vehicles was 6 lakh, not 17 lakh. PAC chair criticized the delay in raising this objection.
The committee was informed of multiple irregularities in NHA contracts, and the chairman emphasized accountability for such violations. The Secretary Communications noted that inquiries had been conducted by the Establishment Division, but PAC insisted these reports be reviewed by audit authorities and committee members.
Other issues discussed included late payment surcharges of over Rs 18 crore in the Lowari Tunnel project, incomplete work on three projects in Multan, and the ongoing Islamabad-Lahore Motorway repair and construction works by a private company, which is expected to be completed by February 2026.
PAC directed that all recoveries and project accounts be thoroughly verified and follow-up actions taken against defaulting contractors.