Senate: 25 agencies withheld N1.6trn from FG
According to a report by the senate ad hoc committee, 25 government agencies failed to remit N1.695 trillion revenue to the consolidated revenue fund.
The committee also disclosed that the Nigerian National Petroleum Corporation (NNPC) was running on a deficit of about N3.115 trillion between 2012 and 2016.
NAN reports that the committee said more than 600 agencies were involved but listed 92 of them.
The committee, led by Olamilekan Adeola, was mandated by the senate to investigate all agencies and institutions of government charged with the responsibility of generating, collecting, accounting and remittance of internally generated revenue.
According to the committee, the total revenue generated by the agencies between 2012 and 2016 was N21.5 trillion.
The ad-hoc committee also said the ministry of finance had not been adequately carrying out its statutory oversight on NNPC account.
The committee said the revenue generating agencies did not have resident treasury officers posted by the accountant general of the federation.
“Almost all the government agencies, fully funded or partially funded from federal government appropriations, complain of short-fall in their funding. This affects both capital and recurrent cost.
“In some cases salaries have to be supplemented from internally generated revenue.”
In its recommendation, the committee urged the senate to amend laws and make it mandatory for all revenue generating agencies to accommodate resident auditors to be posted by the auditor general of the federation that will have access to all financial records and books.
“The Fiscal Responsibility Act should be amended in a way to compel all agencies and institutions of government on compliances with financial regulations regarding income generation, accounting and remittances.”
Kudos to the senate, a nice move
Basic finance principle will tell you that expenditure is paid for from revenue generated, or else those agencies will be operating in the debt. It is after then you can report and remit the excess, which the so-called memo is saying.
It is necessary the Senate performs it oversight functions, but when the country needed them the most they turned the other way. The nation went through months of recession when we so much needed to reduce recurrent expenditure and manage resources, in spite of the gargantuan amount used to run our bicameral legislature, the Senate till date won’t fully divulge their emoluments nor at any point volunteer to reduce the unbelievable amount they earn.
Maybe the Senate should first and foremost tidy its house before looking elsewhere. If you are a source that haemorrhages the income of a set-up, why make the job of those bringing in bread harder?