PSL News

Audit reveals massive corruption in first two editions of PSL

In the special audit report on the first two editions of the Pakistan Super League (PSL), Auditor General of Pakistan pointed out massive irregularities and corruption that resulted in the loss of millions of rupees.

The audit report of the year 2017-18 highlighted irregular payments to franchises, irregular advance payment to vendors, non-recovery of due from franchise, TA/DA to journalists and the members of Board of Governors.

The report, which was presented before the National Assembly on Monday stated that Pakistan Cricket Board (PCB) had to face a loss of for Rs 248.615 million due to irregular payments to franchises in excess of agreed share of central pool.

Najam Sethi has served as Chairman of Pakistan Cricket Board and PSL in that tenture. Photo: PSL

According to audit report, PCB also faced loss due to irregular award of compensation to the PSL franchises of Rs 54.490 million while unjustified auction of franchise caused loss of US$11 million.

The report also revealed that PCB did not recover amounts due from franchises worth Rs32.050 million. The report said that there was irregular excess expenditure on production of PSL-II Final without proper estimation of Rs18.880 million.

It also said that PCB made unauthorised and unlawful transfer of PSL funds of Rs145.148 million into third party bank accounts outside Pakistan. The report also pointed out that PCB faced loss of Rs13 million due to non auction of commercial broadcast rights.

It said that PCB also did wasteful expenditure of Rs12.646 million on account of TA/DA of journalists and Rs2.772 million on TA/DA and accommodation charges of members of BOG.

The report also pointed out, irregular and non transparent award of franchise rights resulted in loss of US $ 57 million while irregular award of contract for Pakistan media rights to M/S Blitz is a loss of US$8.650 million. The auditors also revealed that PCB made irregular expenditure of Rs126 million on marking campaign of PSL.

In its key findings, the audit report highlighted 39 paras. Though, PCB in its reply to auditors tried to justify its position, the auditors rejected their replies made the irregularities part of the audit report.

Last Year, Pakistan Cricket Board (PCB) released all the details of Najam Sethi’s expenses incurred during his term from 2014 to 2018 as the board’s chairman and head of executive committee.

According to a document released by the PCB, Najam Sethi pocketed Rs70.19 million during his tenure from 2014 to 2018.

The former PCB chairman received Rs 10.5 million under Pakistan Super League (PSL) allowance, while Rs8.3 million were received under car, fuel, personal security and driver expenses.

Najam Sethi received Rs 3,651,636 under vehicle allowance, Rs 952,995 under Fuel cost of owned vehicle, Rs 942,647 under Fuel & Maint of Escort Security Vehicle and Rs 1,011,539 for driver cost as Chairman of PCB from 2017 to 2018.

Sethi also spent Rs 980,541 on Utility & Mobile Phone bills, Rs 1,680,867 on Security Guards & Servants and Rs 1,604,267 on Medical Treatment. ( From 2017 to 2018 as Chairman of PCB)

Sethi also pocketed Rs20.36 million under foreign tours, while Rs19 million under Domestic Travelling Expenses.

Apart from this Sethi spent Rs 11,796,940 on Vehicle Allowance & cost on security from 2014 to 2017 as Chairman of Executive Committee. 

Photo: PCB

A special allowance was authorised for payment retrospectively to Mr. Najam Sethi for the period he was chairman of the Executive Commitee.

(Originally Published in Dawn, September 18th, 2019)

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