Audit Report Reveals Rs4 Billion Recovery Gap, Rs2.58 Billion Irregularities in Interior Ministry

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Auditor General flags missing fees, arms licence data flaws and weaknesses in financial controls during 2025-26 audit

Islamabad: The Ministry of Interior and its attached departments have faced audit objections involving billions of rupees, with the Auditor General of Pakistan (AGP) identifying more than Rs4 billion in unrecovered dues and Rs2.58 billion worth of procurement irregularities in its latest audit report.

The Audit Report for the financial year 2025-26 highlighted financial management issues within the ministry, including failure to recover mandatory fees from security companies, arms licences and vehicle permits.

According to the report, the Ministry of Interior failed to collect renewal fees from security companies, permit charges and arms licence fees, resulting in significant losses to the national exchequer.

The audit findings revealed that fees and penalties amounting to Rs22.4 million related to bulletproof vehicle permits were not recovered. The annual NOC fees for 164 bulletproof vehicles were also not deposited into the government treasury.

The report further stated that fees worth Rs56.2 million for 3,421 arms licences remained unpaid.

Serious Flaws Found in Arms Licence Data

The Auditor General also raised concerns over weaknesses in the management and record-keeping of arms licences.

The report revealed that out of 25,516 registered arms licences, more than 16,000 were prohibited bore licences, while serious inconsistencies were found in the data related to their issuance.

Audit officials also objected to the continued use of manual records for arms licences, stating that the failure to shift the system to a machine-readable digital database increased the risk of errors and weak oversight.

Rs2.58 Billion Procurement Irregularities Identified

The audit report highlighted major irregularities in procurement activities carried out by the Ministry of Interior, amounting to Rs2.58 billion.

It also pointed out weaknesses in internal controls and monitoring mechanisms, with audit objections worth more than Rs410 million linked to deficiencies in the ministry’s internal checks.

Additional financial irregularities amounting to Rs290 million were also identified during the audit process.

Auditor General Rejects Ministry’s Response

In response to the audit objections, the Ministry of Interior maintained that the collection of certain fees did not fall under its responsibility.

However, the Auditor General’s office rejected the explanation, stating that the recovery of these dues was the responsibility of the ministry and its relevant departments.

The findings have raised fresh questions over financial oversight, digital record management and accountability mechanisms within key government departments.

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