Attributes anomaly to ‘weaknesses in internal control systems’
BY VICTORIA ONU, ABUJA
An audit conducted by the Office of the Auditor-General for the Federation on the account of Ministries, Departments and Agencies of government has revealed how President Muhammadu Buhari illegally approved the withdrawal of N60bn from the Consolidated Revenue Fund Account to fund some expenses not approved by the National Assembly.
The discovery was made by the Office of the Auditor-General for the Federation in its 2019 Audit Report for MDAs.
The report, which was obtained by The Point, was submitted to the Public Account Committee of the National Assembly in September this year.
It revealed that the spending was done from funds not specified for such purpose.
The spending, which was captured in the section of the report, titled, “Issue 14: Irregular withdrawal from public funds-N60,832,040,370.72,” detailed how the amount was illegally withdrawn in contravention of the provisions of the 1999 Constitution (as amended).
The withdrawal of the funds is also a violation of the provisions of the Financial Regulations of the Federal Government.
Section 80(4) of the Constitution of the Federal Republic of Nigeria, 1999 (as amended) states that “no money shall be withdrawn from the Consolidated Revenue Fund or any other public fund of the Federation, except in the manner prescribed by the National Assembly.”
Also, paragraph 417 of the Financial Regulations states, “Expenditure shall strictly be classified in accordance with the estimates, and votes must be applied only to the purpose on which the money is provided. Expenditure incorrectly charged to a vote shall be disallowed.”
“The Audit report also revealed that about N8bn was withdrawn and used for the payment of earned allowance to non-teaching staff of Nigerian Universities while N9.05bn was “Borrowed from 15 per cent Wheat Grain to finance 2019 recruitment of Police Officers approved by Mr. President
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But the Audit observed from the review of the 2019 Revenue and Investment Analysis file, the Consolidated Statement of Financial Position and Note 43 (Public Funds), that the sum of N13.77bn was withdrawn from the Consolidated Pool Account while N47.05bn was withdrawn from 15 per cent Wheat Grain Levy Pool Account, totaling N60.83bn for purposes outside the aim for the establishment of the respective funds.
Giving a breakdown of how the fund was withdrawn, the Report noted that the sum of N9.89bn was borrowed by the Accountant General of the Federation from the Consolidated Pool Account and given to the Court of Appeal for 50 per cent of Fund for 2019 elections.
In addition, the report revealed that another sum of N3.88bn was taken from the Pool Account for subsequent release to the Court of Appeal to cater for the requirement fund for the expectation of the 2019 election.
The Audit report also noted that about N8bn was withdrawn and used for the payment of earned allowance to non-teaching staff of Nigerian Universities while N9.05bn was “borrowed from 15 per cent Wheat Grain to finance 2019 recruitment of Police Officers approved by Mr. President.”
Furthermore, it was stated in the Audit Report that the President approved the withdrawal of N30bn to the Ministry of Defence for the procurement of Military Equipment.
The Report stated, “There was no evidence that the purpose for which the funds were withdrawn were Appropriated for by the National Assembly as provided by the Constitution. The above anomalies could be attributed to weaknesses in the internal control system in the consolidation process.
“The funds may not achieve the purpose intended. The Accountant-General of the Federation is requested to ensure that payments are made in line with the purposes for which the Funds are established.
Ensure adherence to the provision of both the Constitution and Appropriation Act, and apply sanctions relating to irregular payments in Paragraph 3106 of the Financial Regulations.”
