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The recent revelation that the Nigeria Social Insurance Trust Fund (NSITF) could not account for how it spent N17.158billion in 2013 is mind-boggling. Consequently, the Senate Committee on Public Accounts is probing the audit queries issued against the NSITF as contained in the 2018 report of the Auditor-General of the Federation (AuGF). The explanation by officials of the NSITF that “termites ate” some of the documents is bizarre.
Also, the feeble response by agency’s Managing Director, Michael Akabogu, who, in any case, was not chief executive of the agency at the period under probe, underscores the rising financial malfeasance in some Federal Government’s Ministries, Departments and Agencies in recent times. The alleged misappropriation of funds in the NSITF is an indication that the government’s avowed war against graft is waning. The inability of the NSITF to account for the missing N17.158billion is a violation of Financial Rule 601, which states that “all payment entries in the cashbook/accounts shall be vouched for on one of the prescribed treasury forms…and that vouchers shall be made in favour of the person or persons to whom the money is actually due.”
It is cheering that the Senate Public Accounts Committee, led by Sen. Matthew Urhoghide, is probing the alleged misappropriation of funds. The report of the probe should be made public. On no account should the matter be swept under the carpet. The audit report had raised about 50 different queries bordering on alleged malfeasance by the management of the agency.
Besides, the Senate Committee on Public Accounts was irked that payment vouchers relating to the transfers from some banks, together with their supporting documents, were not provided for audit during the hearing to authenticate the purpose(s) for the transfers. Both past and current management of the agency failed to offer satisfactory explanations on the undocumented multiple transfers.
While the previous management of Umar Munir Abubakar and Mr. Adebayo Somefun claimed that vouchers containing the details of the expenditures were left behind, the present management said it could not find such documents in the office. The Committee, however, ordered that all the documents must be made available before it at the next hearing slated for September 22, 2022. It is disturbing that a time the government is in financial distress, some of its agencies are riddled with corruption. For instance, in its 2017 Audit Report, the Office of the AuGF discovered that many MDAs did not remit hundreds of billions of naira to the central government. This happened despite the introduction of the Treasury Single Account (TSA) and other measures put in place to rid the MDAs of corruption. Unfortunately, only a few of those involved in the rot have been prosecuted. The current case against the Accountant General of the Federation, Ahmed Idris, by the Economic and Financial Crimes Commission (EFCC) for alleged misappropriation of over N80billion is a pointer to the rot in the system.
Many government agencies are enmeshed in one financial allegation or the other. In 2018, a “mysterious snake” allegedly swallowed N36 million cash in the account office of the Joint Admissions and Matriculation Board (JAMB), Makurdi, Benue State. Recently, the Federal Ministry of Agriculture and Rural Development claimed it spent N18.9billion on bush clearing and land preparation and restoration of soil plant laboratories during the 2020 COVID-19 lockdown. The ministry officials disclosed this during a Public Accounts Committee of the House of Representatives investigation of how it spent allocation voted for the ministry. Other ministries and parastatals, like the Niger Delta Development Commission (NDDC), have made similar bogus claims that are still under investigations.
The opaqueness in some of these agencies could be responsible for the recurring graft. It is sad that official corruption is still high in the country despite efforts by the government to curb it. Lack of proper supervision and diligent monitoring could be responsible for corruption in the MDAs. Therefore, there is need for severe sanctions against those involved in the malfeasance.
The government should tighten the noose on these agencies, while the EFCC and ICPC should step up its prosecution processes. Nigeria’s ranking on corruption index perception is rising. Stiffer measures are needed to rein in corruption. The National Assembly needs to enact more stringent laws against corruption.
In 2020, the House of Representatives commenced investigation into unspent funds in MDAs. The outcome of the probe is yet to be made public. Early this year, the ICPC blocked unspent money in MDAs totaling N189billion earmarked for the 2019/2020 financial year. The amount was reportedly hidden and marked “spent” to short-change the government. All non-remitted funds must be recovered.
