Tk5.32cr financial irregularities found in NBR, tax offices

The Revenue Audit Directorate (RAD) has found financial irregularities of around Tk 5.32 crore in an audit of the FY20 accounts of the National Board of Revenue (NBR) and eight tax offices.

The irregularities involve illegally spending government funds on procuring cars, computers, and other accessories as well as crossing the annual expenditure limits.

The eight offices involved in the irregularities are tax zones 01, 02, 03, and 06 in Dhaka, tax zones 01, 02, and 03 in Chattogram, and the Gazipur tax zone.

In a recent letter, the RAD asked the NBR and the eight offices to submit re-explanations and proof concerning the irregularities as it deemed the previous explanation unsatisfactory. The Business Post has obtained a copy of the letter.

The RAD asked the NBR to explain why around Tk 1.95 crore was spent on procuring computer accessories violating the Delegation of Financial Power 2015 and the Public Procurement Rules 2008.

It asked the NBR to explain why around Tk 60.56 lakh was spent on hotel rents without vouchers during foreign trips.

The directorate also asked the revenue board to explain why around Tk 22.85 lakh was spent on paying a consultancy and also renewing the contract with it ignoring the approval authority’s instructions.

Of the eight tax offices, six were found to be involved in irregularities of around Tk 72.13 lakh by exceeding the annual expenditure limits, which is a violation of the Public Procurement Rules 2008.

Tax zones 02, 03, and 06 in Dhaka, tax zones 01 and 03 in Chattogram, and the Gazipur tax zone were found to be involved in irregularities of around Tk 69.64 lakh by procuring goods under own financial jurisdiction to avoid approval from the higher authorities.

The tax zone 01 in Chattogram was found to be involved in irregularities of around Tk 35.38 lakh by spending more than the budget, which is a violation of the Delegation of Financial Power 2015.

The tax zone 02 in Chattogram was found to be involved in irregularities of around Tk 55.55 lakh by procuring cars from private companies instead of the state-run Pragoti Industries.

The Gazipur tax zone was found to be involved in irregularities of around Tk 15.32 lakh by spending more than the annual ceiling on direct procurements.