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Increase in irregularities: PAC report

July 6, 2010
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Presenting the Annual Audit Report 2009 in the joint sitting of the Parliament yesterday, the Public Accounts Committee (PAC) indicated an increase in irregularities this year comparing to the last three years.

It has also made a strong indication of fraud, corruption and embezzlement.

According to the report, over Nu. 20 million have been squandered in fraud, corruption and embezzlement. The Ministries are responsible for the 77 percent percent of the total irregularities under the category of fraud, embezzlement and corruption.

The Ministry of Labour and Human Resources tops the list, with over Nu. 10 million being misused.

According to the report, the Ministry has grossly mismanaged money for the basic skill development project funded by the Asian Development Bank. The project manger and the accountants have manipulated accounting transaction, made false and various illegitimate payments from the accounts.

The Ministry of Agriculture and Forests has misused over Nu. 5 million, according to the report.

Dzongkhags are responsible for 9 percent of the total irregularities while Geog accounts for three percent. Autonomous and the Corporations accounted for 5 and 6 percent respectively.

Among the Dzongkhags, Pemagatshel has the highest irregularities of some Nu. 900,000 and Chenmari Geog in Samtse accounted for over Nu. 100,000 among the Geogs.

Bhutan Post and Food Corporation of Bhutan have irregularities of over Nu. 800,000 and Nu. 300,000 respectively among the Corporations.

Mismanagement, violation of laws and rules and shortfalls, lapses and deficiencies accounted for over 35, 66, and Nu. 225 million respectively.

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