Monday, August 22, 2011
Earthquake Reconstruction and Rehabilitation Authority (Erra) made payments against rules
Earthquake Reconstruction and Rehabilitation Authority (Erra) paid more than Rs 8 billions for the reconstruction of wrecked houses, bypassing the transparent accounting and payment mechanism laid down for the development of earthquake-affected areas, AGP reports.
Report of the Auditor General for year 2010-11 says that Rs3.34 billion were paid to 26,757 households – at the rate of Rs125,000 each – in two tranches under the ‘Rural Housing Reconstruction Programme’. but the money was released by Erra’s rural housing strategy unit ‘without inspection’ of the under-construction houses.
It further reveals : “To conceal its inefficiency, Erra got the payments written off.”
The report said these payments were to be released after verification of the buildings after ensuring that the reconstruction work was carried out in accordance with the specified ‘seismic-resistant designs’ as laid down in the procedure.
Physical ground checking was mandatory at all stages of reconstruction before making any payments.
However Erra ignored the rules and made payments, rendering the release of both the tranches ‘doubtful’.
at 8:59 AM