Senate uncovers loss of N478m in Bank for power project, indicts NYSC over N180m

The Senate has raised the alarm over possible loss of N478 million meant for Zungeru power project in Aso Savings and Loans PLC.

The deposit in the bank was meant for payment of compensation to displaced persons under the Zungeru power project and for securing housing facilities for staff of the Ministry of Power.

This was even as Senators sustained the indictment report of the Auditor General of the Federation against the National Youth Service Corps for the mismanagement of N180 million.

The Senate Committee on Public Account, chaired by Senator Matthew Urhoghide, relied on the 2015 Auditor General Report to uncover the mismanagement of the money deposited in Aso Savings and Loans Plc.

The query reads: “The examination of various bank statements belonging to the Ministry of Power revealed that the sum of N2 billion was deposited into a savings and loans Account since December, 2013.

“The Ministry should provide the backing document to enable you put proper audit checks on the operation of this account, particularly the interest accrued on the deposit.

But the Ministry of Power in a written response said the money was deposited in Aso Savings and Loans PLC under the Zungeru Power Project.

Further findings revealed that the Ministry wrote the Accountant General of the Federation in a letter dated December 20, 2012 for the approval and the Office of the Accountant General gave the approval on January 14, 2013 to open the Account

The Account number was 0013465399, with a deposit of N2 billion.

But in 2015, the Bank failed to honour mandates issued by the Ministry of Power to collect the money due.

READ  Saraki, Ahmed crippled LGs in Kwara, not Buhari – APC

The Ministry has collected about N1.6 billion from the Bank, remaining the balance of N478 million to be paid.

The balance of N478 million in the bank is expected to accommodate M/S Alagbe, N11 million; Ministry of Lands and Housing, Niger State, N378.8 million; and Federal Inland Revenue Service, N88 million.

The Chairman of the Committee on Public Account however demanded for the bank statement and how much the Ministry made from the transaction.

Meanwhile, the Senate has sustained 2015 indictment report of the Office of the Auditor General of the Federation against the NYSC, which is the mismanagement of about N180 million.

Series of invitations extended by the Senate Committee on Public Account to the NYSC to defend the indictment report by the office of Auditor General of the Federation were ignored by the NYSC.

The query reads: “Examination of sampled payment vouchers of NYSC revealed that vouchers totaling N65,414,535.54 (Sixty-five million, four hundred and fourteen thousand, five hundred and thirty-five naira, fifty-four kobo) were not supported with relevant documents such as receipts, invoice, etc.

“This is contrary to Financial Regulation 603 which states that ‘all vouchers shall contain all particulars of each service, such as dates, numbers, quantities, distances, rates, as to enable them to be checked without reference to any other documents.’

“They are to be supported by relevant documents such as local purchase orders, invoice, special letters of authority, time sheets etc

“The Director-General has been requested to explain why payments should be made without relevant supporting documents and also forward the supporting documents to my Office, otherwise the expenditure will not be accepted as a legitimate charge to public funds.

READ  YWC promises liberation of Yorubaland, celebrates National Day

“It was observed that some state offices of NYSC made several payments totaling N115,778,287.28 (One hundred and fifteen million, seven hundred and seventy-eight thousand, two hundred and eighty-seven naira, twenty-eight kobo), but the associated payment vouchers were not presented for examination.

“It was not possible to confirm whether the payments were in public interest.

“Refusal to make the payment vouchers available for audit examination is an indication that the expenditures may not have been in the interest of the public.

“The Director-General has been requested to explain why the payment vouchers were not made available for audit examination and also forward them to my Office, otherwise the expenditure will not be accepted as a legitimate charge to public funds.”


Leave a Reply

This website uses cookies. By continuing to use this site, you accept our use of cookies.  Learn more