PAC Flags Rs 13.4M in Irregular Medical Allowances at NIP, Orders Early Finalization of Uniform Policy
Nadeem Tanoli
ISLAMABAD – The National Institute of Psychology (NIP), affiliated with Quaid-i-Azam University, is under Public Accounts Committee (PAC) scrutiny after an audit revealed excess medical allowance payments totaling Rs 13.433 million over a five-year period from 2008 to 2013.
According to the audit findings, the institute paid allowances at rates of 30% of basic pay for unmarried staff and 60% for married staff, far above the prescribed government limits of Rs 1,000 per month or 15% of basic pay. The audit deemed these payments irregular and unauthorized, noting they exceeded the rates approved by the Finance Division.
The management informed the PAC that in 2021, the Higher Education Commission (HEC) had formed a high-profile committee to create a uniform policy on medical allowances for all such institutions. However, the audit expressed concern that no substantive progress had been made in the three years since its formation.
The PAC has now directed the HEC to expedite the completion of the uniform medical allowance policy, finalize its approval process, and share the progress with the audit department for verification. The committee stressed that delays in implementing standardized policies contribute to financial mismanagement and inequality across institutions.
