Auditor General of Pakistan’s Special Audit of Toshakhana Exposes Major Irregularities

PressTonight reported on Tuesday that the Auditor General of Pakistan’s special audit of Toshakhana revealed significant irregularities in the management of state gifts. The key findings from the audit include:

  1. Unauthorized Amendments: Toshakhana Rules of 1973 were altered multiple times without federal cabinet approval. There were also instances where rules were relaxed specifically for the prime minister against established regulations.
  2. Financial Mismanagement: There was a failure to reconcile receipts collected through challans. Between 2002 and February 2023, Rs226.987 million was collected from gift assessments and auctions, yet no reconciliation was conducted with the Federal Treasury Office.
  3. Non-Production of Records: The Cabinet Division failed to produce a comprehensive list of gifts received between 1990 and 2002, claiming the records prior to 2002 were classified.
  4. Lack of Physical Verification: Mandatory physical verifications of gifts displayed in government buildings and the Toshakhana were not conducted.
  5. Irregular Auctions: The audit discovered irregularities in the auctioning process of the gifts.
  6. Unauthorized Disposal: Gifts were disposed of by officials who did not have the delegated powers to do so, leading to losses amounting to Rs42.505 million. Additionally, private appraisers enlisted in 2016 lacked the relevant expertise, further contributing to the mismanagement.

The audit report recommended:

  • Inquiries to establish accountability for these irregularities.
  • Proper reconciliation of receipts.
  • Necessary physical verifications to ensure compliance with established procedures.
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