•NNPCL faces N514bn queries over crude sales, revenue deductions • INEC to explain N288.19bn audit queries
ABUJA, Nigeria — The House of Representatives Public Accounts Committee will today summon officials of the Nigerian National Petroleum Company Limited (NNPCL) and the Independent National Electoral Commission (INEC) to explain alleged financial breaches totalling more than N802.19 billion.
The queries are contained in reports of the Auditor-General for the Federation covering the 2021, 2022 and 2023 financial years, which raised concerns over procurement procedures, revenue management, payments and compliance with financial regulations by government institutions, reports The PUNCH.
The committee, chaired by Bamidele Salam, representing Ede North/Ede South/Ejigbo/Egbedore Federal Constituency of Osun State, is empowered by Sections 85, 88 and 89 of the 1999 Constitution, as amended, and Order 20, Rule 6 of the House Rules to examine public accounts and investigate issues relating to revenue losses, non-remittance of statutory funds and breaches of financial regulations.
A member of the committee, who spoke exclusively with our correspondent on condition of anonymity because he was not authorised to speak on its behalf, said NNPCL and INEC would appear before the panel as part of its ongoing examination of audit queries.
The lawmaker said the Auditor-General’s 2021 report raised alleged financial infractions of about N514 billion against NNPCL, while INEC was expected to provide explanations on alleged breaches amounting to about N288.19 billion contained in the 2022 audit report.
He said the committee expected the accounting officers and subject-matter experts from both institutions to appear before it at the National Assembly Complex.
NNPCL faces N514bn queries
The N514 billion queried against NNPCL reportedly includes alleged irregular deductions of N343.64 billion from domestic crude oil sales.
The Auditor-General’s report also flagged N83.66 billion allegedly warehoused from miscellaneous revenue in a sinking fund account, alongside N82.95 billion in alleged unauthorised deductions from Federation revenue.
Another N3.75 billion was reportedly flagged as a shortfall arising from the sale of petroleum products.
The committee is expected to demand supporting documents and explanations from NNPCL officials on the transactions and the responses to the Auditor-General’s queries.
INEC to explain N288bn audit queries
INEC, on its part, is expected to respond to questions relating to procurement processes, payments to contractors and alleged failure to remit statutory deductions.
The queries reportedly cover transactions during the tenure of former INEC Chairman, Prof Mahmood Yakubu, who has since been appointed an ambassador.
“There are several audit queries concerning procurement procedures, payments made to contractors as well as failure to remit statutory deductions by the commission during the administration of the former INEC Chairman (Prof Mahmood Yakubu) who is now an ambassador,” the lawmaker said.
Asked about the specific allegations against INEC, the lawmaker said the commission would be required to answer questions over expenditure associated with the 2019 general election.
The Auditor-General’s 2022 report stated that more than N5.31 billion was allegedly paid for the supply of smart card readers for the 2019 general election without prior approval from the Bureau of Public Procurement.
The smart card readers were deployed by INEC during the 2019 election before the commission introduced the Bimodal Voter Accreditation System for the 2023 polls.
The PAC’s proceedings form part of its constitutional responsibility to examine the Auditor-General’s findings and require public institutions to account for expenditure and resolve outstanding audit queries.
However, an audit query does not, on its own, establish financial wrongdoing. The affected institution is entitled to respond to the allegations and provide supporting documents or explanations before the committee reaches any conclusion.
Other agencies scheduled to appear before the Salam-led committee today include the National Mathematical Centre, National Power Training Centre, National Research Institute for Chemical Technology and the National Biotechnology Research and Development Agency, among others.
Salam could not be reached for comment as calls made to his telephone were unanswered, while he did not respond to messages sent to him on WhatsApp.
