Audit reveals serious financial irregularities in PCB for FY23-24

• Report reveals unauthorised payments, irregular appointments. 
• PCB management says these expenditures not in violation of law.
• PCB official says previous chairmen may be asked for response. 

ISLAMABAD: The Auditor General of Pakistan has flagged serious financial irregularities in the Pakistan Cricket Board (PCB) for the fiscal year 2023-24, revealing unauthorised payments, irregular appointments and questionable contract awards amounting to over Rs6 billion.

The audit report raises concerns about governance, transparency and financial controls within the country’s top cricketing body.

Following are the highlights of the Auditor General’s report on PCB for the financial year 2023-24:

The PCB management, however, replied to the audit that these expenditures are not in violation of the law — Federal Ministers and Ministers of State (Salaries, Allowances and Privileges) Act, 1975. The PCB argued that the law does not mention that, in case of additional responsibilities, benefits cannot be extended. 

“Chairman PCB is authorised for utility expense as per bye-laws,” the audit report quoted the PCB management as saying. However, the audit did not accept the PCB’s stance. Audit recommended that the amount may be recovered and the record be produced to audit for verification.

Irregular appointment of Director Media — Rs8.1 million. The PCB, in October 2023, appointed a Director Media for two years with gross pay of Rs900,000 per month. Audit pointed out that the post was advertised on August 17, while the candidate submitted the application for the post on October 2, 2023 — the day of appointment. The day of application, approval of appointment, issuance of appointment letter, signing of agreement, and even joining the office was the same — October 2, 2023. 

The PCB management replied to the audit that the record was available and a response would be furnished upon receipt of the audit and inspection report. The DAC meeting was held on January 30-31, 2025. The DAC directed for a thorough fact-finding inquiry. Audit also recommended that an inquiry be held on the issue.

The audit also documented unauthorised payment of meal charges to police officials — Rs63.39 million. The PCB paid this amount as meal charges to police and law enforcement agencies deployed at different events of the international cricket matches during fiscal year 2023-24. 

The PCB management replied that visiting cricket teams were provided VVIP security protocol which required heavy deployment of police. The PCB was told to share the growing costs on account of meals for the policemen. The audit did not accept this reason and stated that provision of security is the responsibility of the respective governments.

Irregular appointment of Regional Age Group Cricket Coach Under-16 Karachi — Rs5.4 million. Audit observed that three coaches were hired without following the eligibility criteria. The PCB management replied that the record was available and response would be furnished upon receipt of the audit and inspection report. The DAC was held in January 2025 and directed to conduct a fact-finding inquiry. Audit recommended that responsibility may be fixed for the irregularity.

Audit also documented irregular award of ticketing contract without open competition — $120,000; Overpayment to match officials on account of match fee — Rs3.8 million; Wasteful expenditure on hiring of coasters — Rs22.5 million; Diesel used for bulletproof vehicles provided by the Punjab government — Rs19.8 million; Irregular award of contract for surface travel without open competition — Rs198 million; Loss due to award of media rights at less than reserve price — Rs439.9 million; Unauthorised payment of ground rent — Rs5.5 million; Illegal payment of rent for office on fictitious lease agreement — Rs3.9 million; Irregular award of international broadcasting rights without open competition — $99,999 (Rs27.4 million); Non-recovery of outstanding sponsorship amount — Rs5.3 billion.

Talking to The News correspondent in Lahore, the PCB director (Media) said the previous chairmen may be approached for their version because none of this happened during Mohsin Naqvi’s tenure.

Originally published in The News