ISLAMABAD: The Auditor General of Pakistan has raised serious concerns over the whereabouts of a Rs40.414 million grant received from Unicef for a child labour survey after the department concerned failed to produce records relating to the receipt of funds, bank account details, expenditure or utilisation reports.

Audit observed that the non-availability of financial and operational records raises serious doubts about the utilisation of foreign-assisted funds and the achievement of the project’s objectives.

According to the report, the Department of Labour and Industries, Islamabad Capital Territory (ICT), received Rs40.414 million from Unicef during the financial year 2023-24 for conducting a Child Labour Survey under a PSDP-funded project titled “Elimination of Child Labour through Survey and Policy Development Initiative.”

The funds were released under a Government-Unicef collaboration aimed at supporting evidence-based policymaking on child labour in Islamabad.

AGP raises concerns over unauthorised issuance of stamp papers, unreconciled revenues and retention of public funds in bank accounts

Audit observed that the funds were routed through the Punjab Bureau of Statistics, which was also an implementation partner of the project. However, the department failed to produce records relating to the receipt of funds, bank account details, expenditure or utilisation reports.

No expenditure vouchers, survey reports or reconciliation with the Accountant General Pakistan Revenues (AGPR) or Unicef were available on record.

The management replied that the funds were routed and managed through the Punjab Bureau of Statistics under Unicef’s transfer policy. The reply was not accepted as records of disbursement and expenditure were also unavailable.

The Departmental Accounts Committee (DAC), in its meeting held on February 11, 2026, directed the management to probe the matter and produce all relevant records before the audit authorities and the ministry.

The Auditor General also reported the illegal issuance of stamp papers worth Rs290 million to cancelled vendors.

Audit observed that despite the cancellation of their licences, vendors managed to obtain official stamp papers from the Federal Treasury by submitting fake and fabricated challans.

These stamp papers were subsequently used for property registrations, transfers and other legal instruments in the Land Revenue Department, Islamabad, rendering such transactions invalid and illegal.

The report further stated that the Market Committee, ICT, collected market fees amounting to Rs100.489 million during the financial year 2024-25.

Audit observed that the committee retained the entire amount in its own account instead of depositing the mandatory 10 per cent share, amounting to Rs10.049 million, into the government treasury.

The Auditor General further reported that the Islamabad Food Authority maintained Bank Account No. 000305714219 in a commercial bank, where a closing balance of Rs138.285 million remained as of June 30, 2025, instead of being deposited into the government treasury.

Audit observed that the management neither obtained approval from the Finance Division for operating the account in United Bank Limited nor transferred the accumulated receipts to the government account, thereby violating provisions of the Public Finance Management Act, 2019.

Responding to the audit observations regarding the deputy commissioner office’s alleged irregular retention of Rs138.285 million in a commercial bank account, Deputy Commissioner Islamabad Irfan Nawaz Memon said the funds had been received from the government and utilised, while the remaining amount had stayed in the account.

Regarding the non-reconciliation of mutation fees and the cost of unutilised stamp papers with the Federal Treasury Office, Mr Memon said he had not yet received the audit report.

“We will produce the record and provide details to the concerned authority,” he said.

On the Islamabad Food Authority’s commercial bank account, the deputy commissioner said it had been opened after obtaining permission from the Finance Division.

He further said that during his tenure, the capital administration had not received any grant from Unicef and that the Department of Labour and Industries did not fall under his office.

According to Mr Memon, the Unicef funds were not received by the Labour Department, ICT. Instead, they were directly credited to the account of the Punjab Bureau of Statistics, which was the executing partner for the Child Labour Survey project.

Regarding the Market Committee’s revenue, he said it was an independent entity and did not fall under his office.

Responding to the audit observation regarding the illegal issuance of stamp papers to cancelled vendors, Mr Memon said the stamp papers had been issued by the government treasury and his office had no role in the matter. He added that an individual had obtained the stamp papers by using a fake licence and that a case had already been registered against him with the Federal Investigation Agency.

Published in Dawn, June 28th, 2026