ISLAMABAD: The Public Accounts Committee (PAC) on Tuesday directed the Ministry of Finance to ensure full protection to the investment and profits earned by pensioners, widows, and senior citizens under the national saving schemes of the Central Directorate of National Savings (CDNS). The PAC, chaired by Naveed Qamar, rejected an audit objection raised by the Auditor General of Pakistan (AGP) against the Central Directorate of National Savings (SDNS)regarding an irregular transfer of funds involving an amount of Rs 18 billion lying in dead accounts into the government account. The audit objection has been settled by the PAC. During the review of accounts of the Finance Division (2018-19), the PAC meeting, chaired by Naveed Qamar, the Auditor General of Pakistan, explained the irregular transfer of funds of Rs 18 billion lying in dead accounts into the government account. The PAC Chairman stated that even after a period of two years had passed, the old people and senior citizens have the right to obtain due profits and protection for their investments in the NSS scheme. If any of the senior citizens did not come to claim the profit during the last two years, this does not mean to deprive the senior citizens of their matured investments. “I am unable to understand the nature of the audit objection raised by the AGP,” Naveed Qamar questioned. The objection raised by the AGP revealed that the CDNS had identified several accounts and certificates in which no transactions had taken place since April 2015, rendering them unclaimed. Investors were requested to carry out transactions in the relevant accounts or certificates to avoid their classification as “dead accounts” before June 15, 2017. During the audit, it was noted that the CDNS management transferred an amount of Rs 18 billion to the government account. The Audit is of the view that management transferred the amount on June 30, 2017, without notifying the amendments in rules and without calculating the amount lying in dead accounts. The Audit recommends inquiring into the matter to fix the responsibility. The CDNS responded that the rules were properly approved by the Federal Government and conveyed by the Cabinet Division. The CDNS officials responded that the rules were properly approved by the Federal Government and conveyed to the Cabinet Division before 30th June 2017. The Dead Account Activity in question was not only huge but also the first of its nature. Therefore, the branch staff, despite their best efforts, hard work, and commitment, made some unintentional mistakes coupled with incomplete computerization of NSS data, which were mainly due to non-encashment of investments in the system in the NSCs, where a parallel system (manual & on computer) was in place as a test run. As the mistakes have been made at almost all NSCs across the country, fixing responsibility on anyone would be highly unjustified and against the spirit of a good working environment in the department. The management apprised the DAC that, as per the instruction of the Finance Division issued on 30.06.2011, a certificate is not encashed by the purchaser for two years from the date of MATURITY, the certificate shall be declared as a dead certificate and shall be transferred to the Federal Consolidated fund under the head Miscellaneous Receipt Account. The DAC recommended transferring the amount in particular head and providing the record for verification to the Audit. Copyright Business Recorder, 2025