ISLAMABAD: The National Accountability Bureau (NAB), Rawalpindi has conducted AI-Based audit of housing societies and found gaps in existing audit practices.
NAB regional office conducted a consultative session with the managements of cooperative housing societies, cooperative housing department and the relevant auditors for comprehensive review of audit reports of selected housing societies.
The main objective of the review was a significant and innovative step towards promoting transparency and accountability in the housing sector, particularly within cooperative housing societies. For the first time, NAB’s AI-enabled system has been employed to conduct a digital and analytical examination of these audit reports.
Through the use of AI, various financial, administrative, and legal irregularities and deficiencies have been identified. The analysis revealed that several audit reports lacked depth and failed to comprehensively examine critical aspects.
It was observed that many reports were limited to the mere recording of land acquisition, membership deposits and development expenditures, without undertaking a holistic assessment of project progress, financial risks, and the effective utilization of funds.
In light of these findings, and under the directions of Director General NAB Islamabad/Rawalpindi, Waqar Ahmed Chauhan, the detailed consultative meeting which found deficiencies in audit reports, their underlying causes, and practical measures to establish a more effective, transparent, and comprehensive audit framework.
It is pertinent to mention that the audit of cooperative housing societies is conducted by firms registered/nominated with the Institute of Chartered Accountants of Pakistan (ICAP), under the directions of the Circle Registrar Cooperative Societies.
“The primary objective of such audits is to ensure the accuracy and transparency of financial affairs, compliance with applicable rules and regulations, protection of members’ funds, and timely identification of any financial irregularities or fraud,” said an official press release issued by NAB Rawalpindi.
During the meeting, it was emphasised that the audit process should not remain confined to a mere procedural or documentation exercise, but rather be conducted as a comprehensive financial, legal, and administrative review to ensure genuine transparency in the affairs of housing societies.
It was decided that NAB will issue comprehensive guidelines and standardised procedures to enhance audit quality, ensure uniformity in practices, and strengthen oversight mechanisms.
These measures aimed to enable effective monitoring of the audit process and ensure timely prevention of irregularities.
According to NAB officials, an effective and accountable audit system not only improves financial governance but also plays a critical role in ensuring the sustainability of housing projects, safeguarding the interests of members, and facilitating the timely completion of development activities—thereby enhancing public trust and promoting transparency in the housing sector.
Published in Dawn, March 19th, 2026
