ISLAMABAD: Cabinet Secretary Kamran Ali Afzal informed the Public Accounts Committee (PAC) on Wednesday that the government was exploring options regarding the future of Toshakhana, including the potential abolition of the longstanding and often-debated practice of allowing government officials to accept gifts.

“A committee constituted by the cabinet researched laws of other countries regarding official gifts. Some countries have liberal regimes — the US and the UK have thresholds while some do not allow it at all. In the case of Pakistan, other countries can be politely informed not to gift government functionaries, including private individuals accompanying official delegations,” the cabinet secretary informed the PAC under the chairmanship of PTI leader Junaid Akbar Khan.

The meeting was held to review audit objections related to the cabinet division.

The committee expressed dissatisfaction over the absence of the cabinet secretary in the departmental accounts committee meetings, questioning how a joint secretary could head the proceedings.

PAC reviews audit objections related to cabinet division, PCB and Nepra performance

The PAC chairman stated that DAC meetings must not proceed without the presence of secretaries. “What was the emergency that the secretary could not attend [the meeting]?” he questioned. Due to this issue, the committee deferred its review of grants related to the cabinet division.

Toshakhana rules

The committee also reviewed audit objections regarding unauthorised amendments to the Toshakhana rules since 1973. According to audit reports, Toshakhana rules were changed multiple times without cabinet approval, including modifications in 2001, 2004, 2006, 2007, 2011, and 2017.

However, the cabinet division secretary clarified that amendments made after 2023 had cabinet approval and that new rules under the Toshakhana Act, 2024 were being developed. Under the new rules, government officials will be bound to deposit into the Toshakhana, even insignias and shields.

The PAC chairman raised concerns over the frequent changes in procedures and sought justification. “Why was it necessary to amend the rules repeatedly?” he inquired.

The committee also questioned whether Toshakhana was meant exclusively for civilians, to which the secretary responded that the term “public office holders” was used in the new Act. The cabinet division was directed to submit a report within 15 days.

Pre-1990 record sought

The PAC examined objections regarding the non-provision of Toshakhana records from 1990 to 2002. While records from 2002 onwards were available online, the committee pressed for older data.

“We requested records from 1947,” PAC Chairman Khan asserted, questioning if classified information was being withheld. “Is the Toshakhana storing nuclear secrets?” he remarked sarcastically.

Audit officials also raised concerns over the irregular auctioning of Toshakhana items, stating that required regular public auctions were not conducted. “There’s an old saying: ‘Blindly distributing favours among friends,’ which seems to apply here,” said committee member Syed Aminul Haque.

The PAC directed the relevant ministry to respond within 15 days.

Market valuation

The cabinet secretary stated his office lacked the specialised expertise and technological tools required to verify the authenticity of gifts received. As a result, the cabinet division relied on the Federal Board of Revenue (FBR) for market valuation. Despite multiple public advertisements inviting private sector experts to assist in the authentication process, there was little to no response from the industry.

Nepra’s performance

The committee criticised the National Electric Power Regulatory Authority (Nepra) for failing to conduct a performance audit. Auditor General Muhammad Ajmal Gondal accused the power regulator of undermining parliamentary supremacy. “Nepra has cost most to the supremacy of parliament,” Mr Gondal said.

Senator Afnanullah Khan pointed out that Nepra had obtained a court stay order to avoid scrutiny. The committee decided to revisit the issue after Eid.

PCB audit

The PAC also reviewed audit objections related to the Pakistan Cricket Board (PCB), expressing anger over the absence of its chairman Mohsin Naqvi, who holds the portfolio of interior ministry. “Shouldn’t the PCB Chairman be here?” asked PAC Chairman Khan.

PAC member Sanaullah Khan Mastikhel criticised Mr Naqvi’s absence.

Discussions also covered the financial aspects of the Champions’ Trophy. The committee questioned reports that Rs29 billion was spent while revenue stood at only Rs1.7 billion. However, PCB officials refuted these claims, stating that the event was organised by the ICC, and expenses were covered accordingly.

Due to Mr Naqvi’s absence, the Public Accounts Committee refused to proceed with PCB-related audit discussions and summoned him for the next session.

Published in Dawn, March 20th, 2025