NHA Audit Reveals Massive Revenue Mismanagement

In a recent audit, serious concerns have been raised regarding the performance of the revenue section of the National Highway Authority (NHA) in Pakistan. The audit revealed a staggering non-recovery of Rs29.80 billion, highlighting significant financial mismanagement within the authority.

The revenue section, overseen by Member Finance, is responsible for collecting revenue from various sources such as toll tax, weigh stations, and fines. However, the audit found that private contractors owed a substantial amount to the NHA, leading to the massive outstanding receivables. Weak financial controls and oversight were identified as key factors contributing to the failure to recover this significant sum.

According to the audit report, the NHA Code mandates the authority to collect revenues directly or through legally executed contracts with Corridor Management Contractors. The audit noted a receivable amount of Rs29,808.096 million in the financial statements, primarily stemming from toll collection and weigh station operations.

The audit report emphasized the urgent need for the early recovery of NHA dues and suggested imposing delay charges on the outstanding amount. Despite efforts to seek clarification from NHA officials, including Member Finance Syed Mazhar Hussain Shah and General Manager Revenue Taimoor Hassan, no response was provided.

Given that the NHA heavily relies on toll tax and weigh stations for revenue generation, the revelation of such substantial non-recovery raises concerns about the financial management practices within the authority. Transparency and accountability in handling public funds are crucial for ensuring the efficient operation of infrastructure projects and services.