Pakistan’s Public Accounts Committee (PAC) has uncovered millions of rupees in alleged financial irregularities at Pakistani embassies in Austria and Bulgaria. During a meeting at Parliament House on Wednesday, the committee, chaired by Syed Naveed Qamar, reviewed audit objections involving the Ministry of Foreign Affairs for the financial year 2023-24.
Audit officials informed the committee that an accountant at Pakistan’s Embassy in Austria allegedly embezzled Rs. 165.6 million by transferring the money into personal bank accounts belonging to himself and his wife. While the accused was referred to the Federal Investigation Agency (FIA) and two FIRs were registered, PAC Chairman Naveed Qamar criticized the lack of progress, noting that six years had passed since the case emerged. FIA officials told the committee that the accused had been arrested but was later released on bail. Consequently, the committee summoned the FIA director general to the next meeting to explain the investigation's progress.
The Foreign Secretary informed the committee that the employee had been dismissed and that the Foreign Office had initiated legal proceedings before audit authorities identified the irregularities. She stated the amount involved was around 170,000 euros. The PAC directed the Foreign Secretary to conduct a fresh investigation and submit a report within one month.
The committee was also informed of an alleged embezzlement of Rs. 29 million at Pakistan’s Embassy in Bulgaria. Although an inquiry committee was formed on September 10, 2026, it had not traveled to Bulgaria due to government restrictions on foreign travel under austerity measures. The PAC expressed concern over this delay and recommended allowing officials to travel abroad when necessary to investigate financial irregularities. The Foreign Secretary told the committee that the employee initially admitted to the allegations but later challenged his dismissal in court and was reinstated following a court order.
Auditor General officials highlighted a shortage of qualified accounting staff at Pakistani diplomatic missions, noting that assistants were sometimes assigned accounting responsibilities despite lacking required experience. The PAC directed the Foreign Office to ensure experienced accountants are appointed at overseas missions and that reported irregularities are properly investigated.
The committee also questioned the use of more than Rs. 17.2 million from the Community Welfare Fund by the Pakistan Community Welfare School in Abu Dhabi. Naveed Qamar asked how spending community funds on the school benefited the wider Pakistani community and whether the expenditure had received proper approval. The Foreign Secretary stated the school charges low fees, follows the Pakistani curriculum, and has a student population of 98 percent Pakistani children. She maintained that fee collections were insufficient to cover operating costs, requiring financial assistance, and that the expenditure had been approved through the required process.
Regarding funds for students studying abroad, audit officials told the committee that Pakistan’s Embassy in Berlin had withdrawn more than 360,000 euros from education funds and had not replenished the amount. The Foreign Secretary said the embassy faced financial difficulties and that heads of missions sometimes borrowed funds to meet essential expenses. Naveed Qamar objected to this practice, while Auditor General officials stated the money belonged to the Higher Education Commission (HEC) and should be returned if not spent for its intended purpose. The committee directed the HEC to recover the amount within three months.
In another instance, audit officials revealed that Pakistan’s Embassy in the United States was holding more than Rs. 1.22 billion in HEC funds that had not been distributed to students. The Foreign Secretary stated the HEC is responsible for identifying eligible students and that the embassy had not received instructions from the commission to release the funds. The PAC referred this matter to the Departmental Accounts Committee for further examination.
The committee examined several other audit objections. Audit officials said Pakistan’s mission in Dhaka had maintained a bank account since 1986 without providing required approval documents from the Ministry of Finance or relevant bank statements. The Director General Finance informed the committee that two accounts existed, holding approximately $98,000 and $1 million. The PAC referred this matter back to the Departmental Accounts Committee.
Additionally, rental income from Pakistan’s mission in Vienna had been deposited into an unauthorised account, and the committee directed the Ministry of Finance to regularise it. Audit officials also reported that funds allocated for construction work in Australia had not been surrendered. The PAC settled several audit objections during the meeting and directed relevant departments to address remaining issues and improve financial oversight at missions abroad.
