The Senate has indicted the Office of Accountant General of the Federation over its failure to refund short term loans given to Ministries, Departments and Agencies, MDAs of the federal government from Special Funds Accounts totalling N910 billion.
This was even as the Red Chamber ordered that all outstanding loans be recovered by the Accountant General and evidence of recovery presented to the Auditor General for the Federation, AuGF and Senate Public Accounts Committee, SPAC within 60 days.
The indictment was sequel to the investigation carried out by the SPAC, chaired by Senator Mathew Urhoghide following the submission of a 2017 report by the Office of Auditor General for the Federation, OAuGF.
According to the query by the OAuGF, loans and debts arising from Special Funds Accounts totalling N910,039,557,742 showed that the balances remained unpaid throughout the year under review even though they were meant to be short term.
But the OAuGF, in its response, claimed that several letters have been written to the Minister of Finance, Budget and National Planning to authorize the settlement of the loans granted against allocations of various MDAs affected.
The request to include the loans repayment in the 2017 budget, it added, had been forwarded to the minister’s office.
However, the Senate panel said it observed continuous abuse of the Special Funds by the Executive as the withdrawals are continually made for political expediency outside the purpose for which the funds were meant .
“There is continuous abuse of the Special Funds by the Executive as the withdrawals are continually made for political expediency outside the purpose which the funds were meant,” the report stated.
Meanwhile, Senate has directed the Executive Chairman of Imo state Universal Basic Education Board, SUBEB to account for N482million paid to companies that were not financially capable contrary to requirement of extant rules
Chairman of the board failed to appear before the committee to defend the allegation of payment without due process.
