Public Accounts Committee by Shahid Rehman

PRESENTATION ON PRESENTATION ON PUBLIC ACCOUNTS PUBLIC ACCOUNTS

COMMITTEECOMMITTEE

ByBy SHAHID REHMANSHAHID REHMAN

ASSISTANT SECRETARY- PACASSISTANT SECRETARY- PAC

Core Functions of Legislatures:Core Functions of Legislatures:

1.1. Electoral RepresentationElectoral Representation

2.2. Legislation Legislation

3.3. Budget AuthorizationBudget Authorization

4.4. OversightOversight

Electoral Representation:Electoral Representation:

• Members of the Parliament or legislatures are the representatives of the People and are responsible for establishing a linkage between constituents i.e. the people and Institutions of the State.

• Act as a bridge b/w people and institutions.• They are responsible for making decisions that will

be responsive to the wishes and needs of the people/taking decision on behalf of their people or constituents.

• For assisting constituents in resolving problems that they may have with the Government.

• Represent his People/Province/Country on various National or International forums/conferences.

Legislation:Legislation:

A Parliament or Legislature is responsible for enacting new laws as well as amendment in old laws that address and correct problems.

These laws are created to provide best possible quality of life and ensure safety to the people/society.

That enables the democratic system to operate openly and freely.

Budget Authorization:Budget Authorization:

In a very simple manner, a budget is a In a very simple manner, a budget is a Financial DocumentFinancial Document used to project used to project future future IncomeIncome and and Expenses.Expenses.

An estimate of An estimate of CostsCosts, , RevenueRevenue and and ResourcesResources over a specified period over a specified period which reflecting a reading of future which reflecting a reading of future financial conditions and goals.financial conditions and goals.

So this is the authority/responsibility So this is the authority/responsibility of Legislatures to approve budget for of Legislatures to approve budget for departments of the Province.departments of the Province.

Oversight:Oversight:

1.1. Monitoring of implementation Monitoring of implementation process relating to the process relating to the laws and laws and GovernmentGovernment policiespolicies..

2.2. To ventilate the abuses, To ventilate the abuses, misuse of misuse of power or irregularitiespower or irregularities of of Government functionaries.Government functionaries.

3.3. It improves the It improves the quality and quality and effectivenesseffectiveness of the Government of the Government services.services.

OVERSIGHT TOOLS:OVERSIGHT TOOLS:

Direct QuestioningDirect Questioning Special CommitteesSpecial Committees Standing Committees Standing Committees [Rule 152(1)] [Rule 152(1)]

There shall be a Standing Committee of the There shall be a Standing Committee of the Assembly for each Department of the Government.Assembly for each Department of the Government.

1. Judicial Committee1. Judicial Committee2.Privilage Committee2.Privilage Committee

3. Public Accounts Committee (PAC)3. Public Accounts Committee (PAC)So PAC is one of these tools which is responsible for the So PAC is one of these tools which is responsible for the

Financial Oversight of the Government funding to Financial Oversight of the Government funding to various Departments.various Departments.

INTRODUCTION TO PAC:INTRODUCTION TO PAC:

A committee of considerable power to make sure that A committee of considerable power to make sure that any any government fundinggovernment funding to the various departments to the various departments of government is used in the of government is used in the correct mannercorrect manner and and according to the according to the government guidelinesgovernment guidelines..

The legislature can further enhance oversight of the The legislature can further enhance oversight of the financial operations of the Government via PAC.financial operations of the Government via PAC.

The role of the Public Accounts Committee is to assess The role of the Public Accounts Committee is to assess the efficiency and effectiveness of government the efficiency and effectiveness of government financial management.financial management.

To examine the statement of accounts showing the To examine the statement of accounts showing the income and expenditure of autonomous and income and expenditure of autonomous and semi-autonomous bodies.semi-autonomous bodies.

Formation of PAC:Formation of PAC:

The Standing Committee including the Public Accounts The Standing Committee including the Public Accounts Committee are constituted under Committee are constituted under Rule 154 and 193Rule 154 and 193 of the of the Provincial Assembly of Khyber Pakhtunkhwa, Procedure Provincial Assembly of Khyber Pakhtunkhwa, Procedure and Conduct of Business Rules, 1988 which says that:-and Conduct of Business Rules, 1988 which says that:-

“Each Committee shall consist of not more than nine Members, who shall be elected by the Assembly. The election shall be held, as far as possible, in accordance with the procedure agreed to by the leaders of the parties in the Assembly, failing which by non-transferable vote”. (Rule #154)

““The Assembly may by a verbal resolution moved by any Member, empower the Speaker to constitute Committees, without holding elections keeping in view the educational qualifications and experience of the Members”. (Rule #193)

CompositionComposition of PAC: of PAC: (Rule # 159) (Rule # 159)

The standing Committee on Public Accounts The standing Committee on Public Accounts consists of the following 11 members:consists of the following 11 members:

1.1. The Speaker as ex-officio chairmanThe Speaker as ex-officio chairman

2.2. Minister for Finance as ex-officio Minister for Finance as ex-officio membermember

3.3. Nine other elected membersNine other elected members

Functions of PAC:Functions of PAC: (Rule # 160)(Rule # 160)

The Committee shall examine/scrutinize matters The Committee shall examine/scrutinize matters regarding: regarding:

Under Article 171 of the Constitution of Islamic Republic of Under Article 171 of the Constitution of Islamic Republic of Pakistan, the Auditor General of Pakistan submit its Report to the Pakistan, the Auditor General of Pakistan submit its Report to the Governor, who refer it to Provincial Assembly through Finance Governor, who refer it to Provincial Assembly through Finance Minister and then the House refer it to PAC.Minister and then the House refer it to PAC.

Report of the Auditor General of PakistanReport of the Auditor General of Pakistan which includes the which includes the following volumes :following volumes :

1.1. Audit ReportAudit Report2.2. Appropriation AccountsAppropriation Accounts3.3. Finance Accounts (Financial Statements)Finance Accounts (Financial Statements)4.4. Audit Report on Revenue ReceiptsAudit Report on Revenue Receipts5.5. Audit Report on Public Sector Enterprises (Commercial Accounts) Audit Report on Public Sector Enterprises (Commercial Accounts)

Reports of the Auditor General of Pakistan on District Reports of the Auditor General of Pakistan on District Governments of Khyber Pakhtunkhwa.Governments of Khyber Pakhtunkhwa.

Such other matters as the Minister for Finance or the Such other matters as the Minister for Finance or the Chairman may refer to it.Chairman may refer to it.

Report of the Committee: (Rule # 161)Report of the Committee: (Rule # 161)

The report of the Committee shall be The report of the Committee shall be presented within a period of one year from presented within a period of one year from the date on which reference was made to it the date on which reference was made to it by the Assembly unless the Assembly, on a by the Assembly unless the Assembly, on a motion being made, directs that the time for motion being made, directs that the time for the presentation of the report be extended to the presentation of the report be extended to a date specified in the motion.a date specified in the motion.

Unfinished Work of the Committee: (192)Unfinished Work of the Committee: (192)

Committee unable to complete its work Committee unable to complete its work before the expiration of its due period of before the expiration of its due period of time may report to the Assembly. Any time may report to the Assembly. Any preliminary report or evidence that the preliminary report or evidence that the Committee may have prepared, be made Committee may have prepared, be made available to the succeeding Committee. available to the succeeding Committee. (Rule # 192)(Rule # 192)

SUB COMMITTEES:

PAC may constitute one or more Sub-Committees, each having the powers of the whole Committee, to examine any matter that may be referred to them. [Rule 188 (1)]

REPORT OF THE SUB-COMMITTEE:

The order of reference to a Sub-Committee shall clearly state the point or points for investigation. The report of the Sub-Committee shall be considered by the whole Committee and when approved by the whole Committee, be deemed to be the report of that Committee. [Rule 188(2)]

Detail of PAC’s & Ad-hoc PAC’s:

Name of the Name of the CommitteeCommittee

Date of Date of ConstitutionConstitution

ChairmanChairman

11stst PAC (Ad-hoc) PAC (Ad-hoc) 29-04-197929-04-1979 Justice (Retd) Qaisar KhanJustice (Retd) Qaisar Khan

22nd nd PAC PAC 01-07-198501-07-1985 Mr. Raja Aman Ullah KhanMr. Raja Aman Ullah Khan

33rdrd PAC PAC 26-07-198926-07-1989 Mr. Masaud KaosarMr. Masaud Kaosar

44thth PAC PAC 02-12-199202-12-1992 Mr. Habib Ullah Khan TareenMr. Habib Ullah Khan Tareen

55thth PAC PAC 04-08-199404-08-1994 Mr. Abdul Akbar KhanMr. Abdul Akbar Khan

66thth PAC PAC 08-05-199708-05-1997 Mr. Hidayat Ullah Khan ChamkaniMr. Hidayat Ullah Khan Chamkani

7th7th PACPAC ( (Ad-hocAd-hoc))

08-06-200208-06-2002 Mr. Mir Naeem UllahMr. Mir Naeem Ullah

88thth PAC PAC 28-01-200328-01-2003 Mr. Bakht Jehan KhanMr. Bakht Jehan Khan

99thth PAC PAC 20-08-200820-08-2008 Mr. Kiramat Ullah KhanMr. Kiramat Ullah Khan

CHALLENGES: CHALLENGES:

Implementation of PAC directives.Implementation of PAC directives. Lack of interest on the part of Lack of interest on the part of

Principal Accounting Principal Accounting Officers/Secretaries. Officers/Secretaries.

Inter Departmental Committees.Inter Departmental Committees.

THANK YOUTHANK YOU