According to a report by the Paradigm Leadership Support Initiative, the Federal Government lost N557 billion between 2013 and 2017 due to non-compliance with financial regulations and the Public Procurement Act by ministries, divisions, and agencies.
The money was lost due to misappropriation and misapplication of funds, virements of funds without the approval of the National Assembly, payment for contracts that were not executed, payment without vouchers and supporting documents, and non-collection of appropriate taxes by MDAs, according to the ‘Achieving Accountability and Development in Nigeria’ report presented in Abuja on Friday.
PLSI Executive Director, Segun Elemo, urged the FG to speed up the process of enacting modern audit law to prevent wastage and inefficiency in the management and utilisation of public monies during the report presentation, which also celebrated the group’s 5th anniversary. According to him, the research looked at how federal ministries, departments, and agencies followed the Public Procurement Act, Financial Regulations, and other applicable regulations over a five-year period to see how much waste and inefficiency there was.
He disclosed that the PLSI since its establishment in 2016 had analysed 12 audit reports; delivered 23 policy briefs; engaged with 32 institutions; published 693 infographics; adding that 7.5 million people had benefitted from its services.
The civil society group has also monitored 216 projects, submitted 108 petitions to anti-graft agencies and published seven research documents.
The lead researcher, Mr Adedeji Osonuga highlighted some observations, including contravention of provisions of Financial Regulations (2009) and some treasury circulars by many MDAs, adding that the research report discovered various other infractions by MDAs.
He said the report found that the Nigerian National Petroleum Corporation illegally deducted N5.6 trillion from the federation account between 2013-2017.
He said, “Between 2013-2017, NNPC engaged in unauthorised deductions from the federation account; that is deductions without approval, N5.6 trillion. Under-remittance of revenue from domestic invoices N13.2 billion.”
The PLSI board chairman, Rev Polycarp Gbaja, said the organisation has worked hard in the last five years to ensure accountability in the use of public funds in the country.
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