permanent file - finance dept

8/3/2019 Permanent File - Finance Dept.

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AUDITOR-GENERAL OF PAKISTANPERMANENT FILE

PERMANENT FILE INDEX/ CHECKLIST

MainReferen

ce

Supporting

Schedules

Standard Material Doneby:

Date:

PF Update Control Sheet IzzatUllah 17.07.2011

PF-I Status of Entity

PF-II Background Information

PF-III List of AuditableLocations

PF-IV List of Bank Accounts

PF-V Delegationof Powers1962

List of AuthorisedSignatories

PF-VI External Factors

PF-VII Accounting Records andAccounting System

PF-VIII Page No. Key Contacts

PF-IX Significant Audit Areas

PF-X Significant Accountingpolicies

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SUPPORTING DOCUMENTS LIST

MainReferen

ce

Supporting

Schedules

Standard Material Doneby:

Date:

Corporate Plan( Mission,Vision and Objectives)

IzzatUllah

17.07.2011

GFR, FTR,DDO HandBook etc.

Financial Rules/ Laws &Regulations/ Service Rules

Page No. Organisation Chart

Accounting policies

Chart of Accounts

Environment laws andregulations

Long term contracts andLeases

Loan agreements,Mortgages and debtinstruments

Amortisation Schedule ofMajor Assets

Extracts of minutes

Previous years auditedFinancial statements

Auditors report toManagement andManagement ResponsesOthers

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PERMANENT FILEUpdate Control Sheet

Name of Entity/Organisation: Finance Department, Government of Balochistan

Original file prepared by: Muhammad Ilyas, AAO

M. Jawaid Raisani, Senior Auditor

Date: 05-03-2008

File updated by: M. Jawaid Raisani Date 26-03-2008

File updated by: IzzatUllah ________________ Date: 17-07-2009_____

File updated by: ___________________________ Date: _______________

File updated by: ___________________________ Date: _______________

File updated by:___________________________ Date:_______________







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AUDITOR-GENERAL OF PAKISTANPERMANENT FILE

Form PF- I

Understanding of Entitys Business Status of Entity


Principal Address:

The Office of the Secretary Finance is situated in Block No. 5, Balochistan CivilSecretariat, Quetta.

Status of the Entity:

The Finance Department is a part of Provincial Government of Balochistan.The department is an Accounting and Budgeting entity for Provincial Government. Itreceives budgetary grants from the Provincial Government and accounts of thedepartment forms a part of the financial statements of the Provincial Government.

Inter-Governmental Relationship:

The department being Accounting and Budgeting entity of Government ofBalochistan has thirty-one subordinate offices, each headed by a DDO reportable toSecretary. The detail is given in the Form PF-III.

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AUDITOR-GENERAL OF PAKISTAN

PERMANENT FILE

Form PF- II

Understanding of Entitys Business Background Information


Size of Entity

Total asset NA

Total liabilities NA

Total revenue NA

Total Non-Development expenditure Rs.489,981,291

Total Development Grant. Rs.8,577.646 million

Receipt Govt of Balochistan through Finance Department in Different Headsfor the FY 2009-110

Rs in million

Share Texas Rs.28961.796

Straight Transfer Rs.10,988.550

Loan (Principal) Rs.2889.914

Interest on Loan Rs. 775.339

Special Grant Rs.14,338.413

Grant-IN-AID Rs.8,582.377

Development Grant under Demand No: 138 of Finance Division Islamabad

For the year 2009-10 Rs.8, 577.646

Core Operational Activity/Corporate Plan/ Vision Statement

The budget of a government is a summary or plan of the intended revenues and

expenditures of that government. In Pakistan, the federal budget is prepared by theMinistry of Finance, and submitted to National Assembly for consideration. Invariably,Parliament makes many and substantial changes. Nearly all Provinces are required tohave balanced budgets, but the federal government is allowed to run deficits. Similarly,the Budget of Government of Balochistan is prepared by Finance DepartmentGovernment of Balochistan. Besides, Provincial Investments, debt management, annualbudget compilation allocation and management / monitoring thereof is the primaryresponsibility of Finance Department of Balochistan.

(Admn. Section FD)

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http://en.wikipedia.org/wiki/Governmenthttp://en.wikipedia.org/wiki/Government


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District Accounts

It was the intention to provide in each of the District Profiles a comprehensive overviewof the flows of public funds within and in and out of the districts. Given the timeconstraints, such an overview did not prove to be possible. The figures collected were

fragmentary. For Quetta district this exercise was all the more complicated because ofthe many institutions involved with collection of revenue and with public expenditures.Thus District Account Offices / Treasury Offices are rendering the services as a sub-ordinate office of the Finance Department. All the figures of Federal, Provincial andDistrict Accounts are submitted to AGPR and AG respectively.

Development FundsThe most important source for Development Funds is the provincial Public SectorDevelopment Programme (PSDP). The PSDP is essentially financed by money from theprovincial development budget and by contributions from donor agencies. The Planningand Development Department each year compiles the PSDP; then the PSDP has to be

approved by the government and the Provincial Assembly.

Functions of Entity / Department

Finance department renders public services through its following sections:SECTION, BUDGET-IThis section deals with the budgets of following departments\agencies:Justice Law CourtsPolice, Levies & JailsCivil Defense & Narcotics ControlCommunication & WorksPublic Health Engineering

Balochistan Water and Sanitation Authority

Besides, matters relating to Foreign Exchange, Pension, Coordination / Preparation ofAnnual Budget are subject of this section. Overall evaluation of the entire provincialbudget is also the responsibility of this section.SECTION, BUDGET-IIThe departments/directorate whose budgets are handled by this section are:Animal HusbandryFisheriesForestryCooperative Societies

Irrigation & PowerLocal Government Directorate/Rural DevelopmentIndustriesMineralsPrinting PressSECTION, BUDGET -IIIThis section manages budget affairs of the following departments:Population Welfare;

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Labour & Management/Labour Welfare Activities;Sports;Social Welfare and Community Centers;Auqaf;Agriculture; andHealth.

SECTION, (BUDGET -IV)Budget-1V Section has a diverse nature of budget affairs of departments and officesdispensing with a variety of services. These departments/offices are:Provincial AssemblyGovernor SecretariatLaw DepartmentChief Minister/Ministers officesServices & General Administration DepartmentCivil Estate OfficeService TribunalPublic Service Commission

Home DepartmentLocal Government SecretariatDistrict Coordination OfficersRevenue BoardProvincial Inspection TeamFinance Department & TreasuriesLocal Fund AuditPlanning and Development DepartmentPublic RelationLand Management and Land Revenue.

SECTION, (BUDGET-V)This section is entrusted the duties of taking care of budgets of Education & Archives,

Provincial Excise, Stamps, and Electric Inspectorate.

DEVELOPMENT SECTIONReleases of Development budget received from Federal Government within PSDP oroutside PSDP including Population Welfare Programme, Chief Ministers Special Fund,Governors Special Fund, Public Feed Programme (M.P.As), Schemes in Agricultureand Irrigation Sector (M.P.As) are processed by this section.RESOURCES SECTIONDebt servicing of Federal governments and foreign loans, Civil Accounts, Cash BalanceReports, budget of State Trading/Food department are the subject of this section.

ADMINISTRATION SECTIONThis section disposes of all administrative affairs of Finance Department. Besides, groupinsurance of government servants, pay and Travel Allowance (T.A.) bills of gazetted andnon-gazetted establishment, contingent bills, budget and account, reconciliation ofaccount, pension cases of gazetted and non-gazetted establishment, transfer andpostings within the department, maintenance of service books, leave cases of gazettedand non-gazetted establishment, and training cases are being managed by this section.

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SECTION, REGULATION-IPay Scales/Revision thereof up-gradation and re-designation of posts, indexation in pay& pension, dearness allowance, ad-hoc relief/increase, advanced increments, proformapromotion, arrears and all regular/other allowances, and deputation cases are processedby this section.

SECTION, REGULATION-IIAll cases pertaining to Pension rules, T.A. rules, delegation of financial powers rules,E&D rules, permanent advance, G.P. fund rules, all employment/contract appointmentcases, and waving of recoveries/overpayment are dealt in Regulation-II section of theFinance department, government of Balochistan.

SECTION, MISCELLANEOUSBenevolent Fund Housing Scheme, Maintenance Allowance out of Benevolent Fund,Rent Assessment/Housing Requisitioning, Opening of Tenders, Mobilization Advance,Auction of Vehicles etc. Policy for Loans and Advances to Government Servant, TaqaviLoans Inter Provincial Transfers.

TREASURY/LOCAL FUNDS AUDIT SECTIONAll matters relating to Treasuries and Local Funds Audit, Drought Relief and GhostEmployees fall under the purview of this section.

COORDINATION SECTIONEconomy measures i.e. ban on appointment/purchase, ceiling on POL, telephones,electricity, and gas etc., demands of various associations/unions/federations,sanctioning of new official telephone connection/conversion of private telephoneconnection into official, directives from the Chief Executive of Islamic Republic ofPakistan, the Governor Balochistan, the Chief Minister Balochistan, Head Quarter 12Corps and the Chief Secretary Balochistan, Cabinet Meeting/Secretaries Committee

Meetings, Coordination of National Accountability Bureau /Regional AccountabilityBureau, coordination of court cases, the Provincial Assembly questions pertaining toFinance Department.RECONCILIATION SECTIONAudit reports; advance paragraphs, draft Paragraphs of the provincial governmentdepartment/offices, reconciliation of expenditures / receipts of the provincial government,WAPDAs dues, Public Account Committee Meeting, Fiscal Monitoring CommitteeMeeting, Departmental Accounts Committee Meetings andPIFRA Project File etc.PROGRAMMING /COMPUTER SECTIONThis section assists in preparation of the provincial budget electronically, in addition to

making presentation/brief on computer for high level meetings.

Major Beneficiaries

General Public, Employees of Provincial and District Government Various Departments of Government of Balochistan Federal Government AG Balochistan

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Major Cost Centres

Employee Related Expenses Operating Expenses

Reporting Authority

Accountant General Balochistan is responsible for the accounting and reportingof the transactions of the department.

Principal Accounting Officer (PAO) Secretary Finance is its PAO and isresponsible for maintaining complete record of transactions and reconcilingdepartments record with AG.

Drawing and Disbursing Officer (DDO) is the basic accounting unit and isresponsible for accounting, cash and personnel function of specific offices, whichcan be the main or treasury office of the department.

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PERMANENT FILE

Form PF- III

Understanding of Entitys Business List of Auditable Locations

Name of Entity/Organisation:Finance Department, Government of Balochistan

Principal Accounting OfficeSecretary, Finance Department, Government of Balochistan

District Accounting Offices (DAO) / Drawing and Disbursing Offices (DDO)The department carries out its activities through its subordinate offices. Each DDO of thedepartment is an auditable location; all of them are being audited by Directorate GeneralAudit.

1 District Account Office Quetta

2 District Account Office Pishin

3 District Account Office Killa Abdullah

4 District Account Office Killa Saifullah

5 District Account Office Zhob

6 District Account Office Loralai

7 District Account Office Sibi

8 District Account Office Kalat

9 District Account Office Khuzdar

10 District Account Office Awaran

11 District Account Office Lasbela

12 District Account Office D. M. Jamali

13 District Account Office Dera Allah Yar

14 District Account Office Turbat

15 District Account Office Nushki

16 District Account Office Chaghi

17 District Account Office Mastung

18 District Account Office Kharan

19 District Account Office Washuk

20 District Account Office Gawadar

21 District Account Office Panjgoor22 District Account Office Dalbandin

23 District Account Office Musakhel

24 District Account Office Barkhan

25 District Account Office Sherani

26 District Account Office Dera Bugti

27 District Account Office Kohlu

28 District Account Office Harnai

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29 District Account Office Dhader

30 District Account Office Gandawa

31 District Account Office Ziarat

32 DD Local Fund Audit Quetta

Location(s) of computer-based accounting systems database(s)

Computerized accounting record is maintained by AG Balochistan in SAP R/3.Transactions are entered in to the system at Provincial level; however data is storedin the AG Balochistan Server located at provincial headquarters Quetta.

Budgeting is the major function of Department of Finance, to solve the purposeAnnual Budget is compiled by the Department in SAP R/3 in collaboration withPIFRA. All budgetary transactions are entered in to the system at Provincial level;however data is stored in the Server of Finance Department.

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PERMANENT FILE

Form PF - IV

Understanding of Entitys Business List of Bank Accounts


Finance Division / Ministry of Finance

All funds allocated to Government of Balochistan through NFC Award are releasedby Finance Division Islamabad according to the following structure:

Shared Taxes / Divisible Pool: 5.11%

General Sales Tax: 5.22%Special Grant / Subvention: 33%

Provincial Accounting LevelSecretary Finance Department is responsible for allocating Budgetary grants to all theDepartments of Government of Balochistan. These grants are reconciled with AGBalochistan through respective Departments.

Government of Balochistan has following bank accounts maintained by State Bank ofPakistan:

1. Non-Food Account I

2. Food Account II3. Zakat Fund Account III

Besides Finance Department operated bank account at National Bank of Pakistan, CivilSecretariat Branch Account No. Of 4305-9 Opening Balance Rs.1,250,800/- ClosingBalance Rs.890,750/-..

District Accounting LevelFunds allocated to Districts are reconciled through District Accounts Offices with AGBalochistan monthly to keep an updated record of expenditure over allocated budget.

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PERMANENT FILE

Form PF- V

Understanding of Entitys Business List of Authorised Signatories


Secretary of the department being its Principal Accounting Officer has theadministrative and financial powers appointments to authorization of paymentsrelating to the operation of the Department. The Secretary of the Department hasfurther delegated these powers to other officials as per Delegation of FinancialPowers 1962 for better Management and Administration.

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PERMANENT FILE

Form PF- VI

Understanding of Entitys Business External Factors


Inaccurate and irrational budget estimates prepared by field officesadversely affects the working of the Department. Following events also lead toincrease in original budget proposals:

National Disasters

Emergency Situations Political Pressure

Any change in Government Pay Scales or Allowances

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PERMANENT FILE

Form PF- VII

Understanding of Entitys Business Accounting Records and AccountingSystem


Principal Accounting OfficeSecretary Finance Department Balochistan Quetta

Accountant General Balochistan

AG Balochistan has the primary responsibility for centralized accounting and reporting of

the transactions of the Department. The discretionary power to incur expenditure, withinallocated budget, rests with the Department whereas AG Balochistan is responsible forthe pre-audit and making payments. Drawing and Disbursing Officer of Secretariat Officeforward all vouchers to AG Balochistan for payment where these are pre-audited beforemaking any payment. AG Balochistan is also responsible for the preparation of monthlypayroll of employees and other employee related payments. Personnel files of Gazettedemployees are also maintained by the AG Balochistan.

AG Balochistan is using SAP Software for Accounting. All documents are forwarded toAG Office for payment where voucher is prepared in FI module of the Software and thenpayment is made.

Following auditable record is available at Secretariat Office of Finance Department:-

Cashbook Appropriation Register Vouchers Monthly payroll Stock Registers Employee GP Fund record Employee advances record Personnel file of employees Reconciliation statements with the Treasuries Other record related to department activities

District Offices/ Drawing & Disbursing Officers (DDOs)

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Each office of the department or more particularly each drawing and disbursing officereceives annual budgetary grant against which it incurs expenditure. DDO is thebasic audit unit and although AG Balochistan is responsible for accounting, followingrecord is maintained by each DDO:-

Cash Book Appropriation Register Vouchers/ Detail of expenditure Stock Register Reconciliation Statements with AG Office Advances Register Personnel files of Non-Gazetted employees Other financial record related to departments activities

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PERMANENT FILE

Form PF- VIII

Understanding of Entitys Business Key Contacts


S.No Name of Officers and Designation Official

Telephone No.1 Mr.Dostain Khan Jamaldini

Secretary Finance

9201272

Fax 92022952 Mr.Hafiz Abdul Majid

Additional Secretary (Budget)

9202911

3 Mr. Abdul Mansoor Kakar

Additional Secretary (R/A)

9202347

4 Mr. Muhammad Siddique Sherani,

Additional Secretary (Monitoring)

9203404

5 Mr. Muhammad Rahim Kakar

Deputy Secretary (R/A)

9202850

6 Mr. Riaz Ahmed Baloch

Deputy Secretary (Budget)

9202036

7 Mr. Muhammad Khalid Sarpara

Deputy Secretary (Dev)

9202930

8 Mr. Ghulam Nabi Marri

Deputy Secretary (Fund)

9201163

9 Mr. Nouroz Ali

Deputy Secretary (Trg /LFA)

9202199

10 Mr. Rehmatullah

Section Officer-I (Budget)

9202286

11 Mr. Muhammad Anwar Kakar

Under Secretary-II (Budget)

9202167

12 Mr. Ghulam Sakhi

Section Officer-III (Budget)

9202901

13 Mr. Ghulam Mustafa

Section Officer IV (Budget)

9202470

14 Mr. Nisar Ahmed

Section Officer V (Budget)

9202254

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15 Mr. Syed Akram Shah

Section Officer (Dev)

9202693

16 Mr. Raz Muhammad

Section Officer (LG-I) (Additional Charge)

9202351

17 Mr. Muhammad Sabir

Chief Accounts Officer (Revenues)

9202917

18 Mr. Sanaullah Khan

Section Officer (Reg-I)

9201130

19 Mr. Aurangzaib Kasi

Section Officer (Reg-II)

9202195

20 Mr. Haji Saifullah Khan

Section Officer (Codification)

9201545

21 Mr. Syed Muhammad

Section Officer (Coordination)

9202140

22 Mr.Raz Muhammad Kakar

Section Officer (Treasury/LFA)

9202915

23 Mr.Ajab Khan

Computer Programmer

Section (Performance Grant Cell)

9203086

24 Mr. Muhammad Younas

Section Officer(LG-II)

9203809

25 Mr.Syed Ali

Section Officer(Monitoring)

9203501

26 Mr.Asadullah

Section Officer(Pension)

9203502

27 Mr. Khuda Bakhsh

Section Officer-VII(Budget)

9202370

28 Mr.Abdul Khaliq

Assistant System Analyst

(Computer Section)

9202453

29 Mr.Haji Muhammad Hassan

Assistant Fund Manager

9202471

30 Mr. Abdul Ghaffar Ackakzai

Section Officer(Admn)

9202208

31 Mr. Azizullah Garsheen

Section Oficer-VI(Budget)

9202918

LIST OF SUBORDINATE OFFICES AND TELEPHONE NOS.

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S.No District

Accounts

Officers

Name

DAO Names ADAO Name Sub

Treasury

Officer

Phone No.

1 Awaran Vacant Mr.Pir

Muhammad

0856-511175

2 Barkan Mr.Ajab Noor 0829-6685103 D.M Jamali Vacant Mr. Basheer

Ahmad Charag

0838-710630

4 Dera Allah

Yar

Mr.Muhammad Zahir Vacant Usta

Muhammad

0838-510248

Dalbandin Vacant Mr. Muhammad

Yaqoob

0825-211755

6 Dhadar Vacan Mr. Abdul

Ghafar

Bagh 0832-415412

7 D.Bugti Vacant Moti Lal 0835-4102108 Gandawa Mr.Syed Ahmed Nawaz

Shah

Vacant 0837-430158

9 Gawadar Mr.Abdul Samad Vacant Pasni 086-421004610 Harnai vacant Mr.Jumma Khan Sharag 0833-52006711 Killa

Abdullah

Vacant Mr.Jaffar Shah 0826-612644

12 Kalat Mr.Saifullah Vacant Sorab 0844-210660

13 Kharan Vacant Mr.AbdulRazaque

Ladgusht 0847-510207

14 Khuzdar Mr. Abdul Aziz Vacant Mashkal 0848-41221015 K. Saifullah Mr.Fazal Muhammmad Vacant Muslim

Bagh

0823-610517

16 Kohlu Mr. Fazal Muhammad

Addl: Charge

Vacant 0829-506897

17 Loralai Mr.Fazal Muhammmad Vacant Duki 0824--4108818 Lasbela Mr. Abdul Khalil Vacant Hub 0853-61026919 Mastung Mr. Abdul Wahab Vacant 0843-89542320 Musakhail Vacant Vacant Drug 0828-611129

21 Nushki Vacant Punal Khan 0825-87233522 Pishin Mr. Amanullah Vacant 0826-42053223 Panjgur Vacant Mr.Fazal

Muhammad

0855-642454

24 Quetta Mr.Parvez Ayub Vacant 081-920168125 Sibi Vacant Ghulam Haider Lehri 0833-92301126 Sherani Mr.Nazar Khan

Addl: Charge

Vacant

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27 Turbat Vacant Mr.Muhammad

Hanif

0852-413637

28 Washuk Vacant Mr.Abdul Razaq 0847-51070829 Zhob Mr.Nazar Khan Vacant 0822-41294330 Zairat Mr.Zahid Iqbal Vacant 0833-560341

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PERMANENT FILE

Form PF- IXUnderstanding of Entitys Business Significant Audit Areas


Significant Financial StatementComponents

Critical Audit AreaY/N

Physical Assets

Repair and Maintenance

Employee related expenses/ payments

Operating expenses/payments

Budget Distribution to other Departments

Financial Resources / Receipts

Y

Y

Y

Y

Y

Y

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AUDIT PLANNING-PERMANENT FILE

Form PF- X

Understanding of Entitys Business Significant Accounting Policies


Revenue recognition On cash basis.

Accounting for expenditure On cash basis.

Fixed Assets valuation and depreciation Assets are recorded at historical cost basis.

Investments

Investments are recognised on historical cost basis not on fair value.

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