ISLAMABAD: A damning external audit report for the financial year has exposed widespread financial mismanagement, unauthorised payments, and systemic monitoring failures within the National Vocational and Technical Training Commission (NAVTTC).
The findings centre on the Prime Minister’s Youth Skill Development Programme (PMYSDP) Batch 1, reveal a pattern of “doubtful” monitoring and disbursement of hundreds of millions of rupees to partner institutes despite high levels of trainee absenteeism and unverified identities.
The audit revealed that NAVTTC overpaid third-party monitoring firms by Rs 9.084 million. While the commission selected 907 partner institutes for the project, it obtained rates and made advance payments for 1,080 institutes. Auditors described this as a “weak financial management” issue, where 80pc advance payments were disbursed without proper verification of the actual number of functioning centres.
The “Ghost Trainee” crisis has put Rs 682 million at risk, the report indicates. In one of the most alarming findings, auditors flagged the irregular release of Rs 682.613 million in second-tranche payments to partner institutes.
Monitoring results submitted by the third-party firms themselves showed that over 15,700 trainees were absent during physical inspections. Another 10,504 trainees present at the time could not be identified via their CNICs. Despite these red flags, NAVTTC proceeded with the disbursement, which the audit characterised as a “misuse of funds” and a violation of contract agreements.
The report uncovered instances of blatant fraud where monitoring firms submitted “real-time” reports for courses that had already ended. In 27 institutes, one-month courses were completed in March 2024, yet monitoring reports were filed in April and May. This led to an unauthorised payout of Rs 78.560 million based on what auditors termed “false monitoring reports.”
Internal controls allegedly collapsed when NAVTTC management released Rs 96.158 million to various trades despite explicit recommendations from the monitoring firms not to release them due to non-compliance with training standards. Furthermore, Rs 122.800 million was released to institutes where absenteeism reached as high as 100pc in some trades.
To prevent “ghost trainees,” the programme required biometric attendance and live CCTV monitoring. However, the audit found: 61 institutes failed to install biometric machines. 53 institutes operated without CCTV cameras. As much as 70pc of those who installed biometric systems were not synchronised with the National Attendance Management System (NAMS), rendering them completely ineffective for real-time oversight.
The audit has recommended a high-level inquiry to fix responsibility and called for the immediate recovery of over Rs 73 million related to “dropout” trainees and millions more from the third-party firms. As of the report’s finalisation, NAVTTC management had reportedly failed to provide a formal response to these irregularities. Former head of NAVTTC, Zulfiqar Cheema, is alarmed by rampant corruption and bribery within the agency. Highlighting the loss of donor trust and prestige since his tenure, he is calling on the PM to appoint reputable leadership to fix the institution.
Chairperson, NAVTTC, Gulmina Bilal Ahmad, when contacted to get the version, said, “A Third-Party Inspection system has been established so that corruption can be completely eliminated through this transparent mechanism. The Audit Report is an operational matter, which will be reviewed in accordance with the law and regulations to ensure that corruption is eradicated at every level and in every form within the institution. This is aimed at fulfilling the Prime Minister’s vision of equipping the country’s youth with skills and enabling them to be sent abroad with dignity, so that they can play a significant role in the country’s development.”
Executive Director, Aamer Jan, however, avoided responding despite repeated calls to seek his version.
