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Tag: MDAs

  • Group drags Buhari, others to court over ‘missing N106bn in 149 MDAs’

    Group drags Buhari, others to court over ‘missing N106bn in 149 MDAs’

    Socio-Economic Rights and Accountability Project (SERAP) has filed a lawsuit against President Muhammadu Buhari “over his failure to probe allegations that N106bn of public funds are missing from 149 ministries, departments and agencies (MDAs), and to ensure the prosecution of those suspected to be responsible, and the recovery of any missing public funds.”

     

    The suit followed the grim allegations by the Office of the Auditor-General of the Federation in his 2018 annual audited report that N105,662,350,077.46 of public funds are missing, misappropriated or unaccounted for across 149 MDAs.

     

    In the suit number FHC/ABJ/CS/903/2021 filed last week at the Federal High Court in Abuja, SERAP is seeking: “an order of mandamus to direct and compel President Buhari to promptly investigate the alleged missing N106bn of public funds, ensure prosecution of anyone suspected to be responsible, and the full recovery of any missing public money.”

     

    In the suit, SERAP is arguing that: “Recovering the alleged missing public funds would reduce the pressure on the Federal Government to borrow more money to fund the budget, enable the authorities to meet the country’s constitutional and international obligations, and reduce the growing level of public debts.”

     

    According to SERAP: “Directing and compelling President Buhari to ensure the investigation and prosecution of the alleged grand corruption documented by the Auditor-General would be entirely consistent with the government’s own commitment to fight corruption, improve the integrity of MDAs, and serve the public interest.”

     

    SERAP is also arguing that, “The alleged missing public funds have hampered the ability of the indicted MDAs to meet the needs of average citizens, as the missing funds could have helped the government to invest in key public goods and services, and to improve access of Nigerians to these goods and services.”

     

    Joined in the suit as Respondents are Mr Abubakar Malami, SAN, Minister of Justice and Attorney General of the Federation; and Mrs Zainab Ahmed, Minister of Finance, Budget and National Planning.

     

    SERAP is arguing that, “It is in the interest of justice to grant this application, as it would improve respect for the rights of Nigerians, and improve their access to essential public goods and services. The suit is in keeping with the requirements of the Nigerian Constitution 1999 [as amended]; anti-corruption legislation, and the country’s international obligations including under the UN Convention against Corruption; and the African Union Convention on Preventing and Combating Corruption to which Nigeria is a state party.”

     

    SERAP is also seeking an order to compel the president “to publish full details of the yearly budgets of all MDAs, and issue regular updates that detail their expenditures, including by making any such information easily accessible in a form that can be understood by the public.”

     

    The suit filed on behalf of SERAP by its lawyers Kolawole Oluwadare and Ms Joke Fekumo, read in part: “The failure to investigate the allegations of grand corruption in the 2018 annual audited report constitutes a grave violation of the duty placed on the Nigerian government to take appropriate measures to promote transparency and accountability in the management of public finances.”

     

    “President Buhari’s constitutional responsibility to ensure the investigation and prosecution of allegations of corruption, as well as recovery of any missing public funds is contained in Section 15[5] of the Nigerian Constitution, which provides that ‘the State shall abolish all corrupt practices and abuse of power’, and in the Oath of Office in the Seventh Schedule of the Constitution.”

     

    “The Oath of Office of the President is considered of such importance that section 140 of the 1999 Constitution provides that the President cannot perform his or her respective official functions as President without taking the oath of office.”

     

    No date has been fixed for the hearing of the suit.

     

  • Reps move to probe 10 years of non-release of retention funds by MDAs

    Reps move to probe 10 years of non-release of retention funds by MDAs

    Disturbed by the non-release of retention funds by Ministries, Departments and Agencies of Government, MDAs in the last ten years, the House of Representatives on Tuesday resolved to dig into the matter.

    In a motion promoted by Hon. Abubbakar Makki Yalleman, the House: noted that in the last ten years, Ministries, Departments and Agencies have held unto retention funds running into billions of naira meant for contractors despite issuing Certificates of Completion, taken over the projects and the expiration of the mandatory defect liability period as prescribed by law.

    It observed that the practice is inimical to the growth of Small and Medium Scale Enterprises (SMEs) as it denies contractors the needed capital to stay afloat while part of those funds formed part of the N1.2 trillion the Fiscal Responsibility Commission accused about 122 MDAs of failure to remit in 2020.

    The members also stated hat the global best practice in Retention Fund is to release half of the fund after the issuance of the certificate of completion, while the balance is released upon the attainment of the defect liability period which is usually twelve (12) months after completion and handover of the projects.

    Also observes that with the harsh economic climate in the country, low–profit margins, runaway inflation, high lending rates and difficulty in accessing funds by MSMEs, the 5%–10% retention fees oftentimes constitute a significant portion of the contractors’ profit, especially as payment schedule is skewed in favour of the MDAs;

    To this end the House resolved to setp an Ad-hoc Committee to investigate the failure of Ministries, Departments and Agencies (MDAs) to release Retention funds and report back within six (6) weeks for further legislative action.

    When it was put to a voice vote by the presiding officer, Rep Femi Gbajabiamila, the House unanimously passed the motion.

  • Buhari to revenue-generating MDAs: Deliver on targets in 2021 or get sanctioned

    Buhari to revenue-generating MDAs: Deliver on targets in 2021 or get sanctioned

    President Muhammadu Buhari has challenged Ministries, Departments and Agencies (MDAs) saddled with the responsibility of generating revenues for government to work hard to meet targets or be sanctioned.

    The President issued the warning after he signed the 2021 Appropriation Bill of N13.588 trillion and the 2020 Finance Bill into law at the State House, Abuja, on Thursday.

    He said: “We are intensifying our domestic revenue mobilisation efforts so that we can have adequate resources to fund the 2021 Budget.

    “Revenue generating agencies and all MDAs must work very hard to achieve their revenue targets, control their cost-to-revenue ratios, as well as ensure prompt and full remittance of revenue collections.

    “Relevant agencies are to ensure the realisation of our crude oil production and export targets. Heads of defaulting Agencies are hereby warned that they will be severely sanctioned.

    “I also appeal to our fellow citizens and the business community to fulfil their tax obligations promptly.’’

    Buhari expressed delight that despite disruptions occasioned by the Coronavirus pandemic, 2020 Budget implementation passed previous thresholds.

    “In spite of the adverse impact of the Coronavirus pandemic on the nation’s economy and government’s revenues, we have made appreciable progress in the implementation of the 2020 Budget.

    “As at Dec. 2020, we had released about N1.748 trillion out of a total of the N1.962 trillion voted for the implementation of critical capital projects, representing a performance of about Eight-Nine-Point-One Percent (89.1%).

    “The overall performance of the 2020 Budget currently stands at an impressive rate of 97.7 per cent.

    “This commendable outcome underscores the importance of our efforts, together with the Legislature, to return to the discipline of a January-to-December fiscal year,’’ he added.

    He announced that the Minister of Finance, Budget and National Planning would provide further details on the 2020 Budget’s performance, in due course.

    The president commended the National Assembly for completing “the important appropriation process in good time.”

    According to him, the passage of the 2021 Federal Budget before the commencement of the 2021 fiscal year is in confirmation of his administration’s resolve to maintain a predictable January-December fiscal year, as provided for, in the Constitution.

    Speaking to State House correspondents shortly after the president signed the budget, Senate President Ahmad Lawan assured Nigerians that the National Assembly would approve any loan request made by the president in as much as it would be for the overall interest of the nation.

    He said that the National Assembly would continue to partner with other arms of government toward providing dividends of democracy to the citizens.

    “Let me thank the Almighty God for making it possible for the National Assembly to work on the 2021 Appropriation Bill and pass it before the end of December.

    “Alongside the Appropriation Bill 2021, we also passed the 2020 Finance Bill amendment.

    “Today, the President signed both the Finance Bill 2020 which is now an Act as well as the Appropriation Bill 2021 which is also now Appropriation Act 2021.

    “It is very important that the members of the National Assembly, Senators, members of the House of Representatives are commended for keeping this January to December budget cycle alive.’’

  • 2021 Budget Defence: You must remit 25% of IGR or no deal, Reps Cttee tells MDAs

    2021 Budget Defence: You must remit 25% of IGR or no deal, Reps Cttee tells MDAs

    …turn down proposals by defaulting agencies

    The House of Representatives has declared that revenue generating agencies of government must remit the correct amount of their internally generated revenues which is 25 percent as stipulated by extant laws into the federation account.

    TheNewsGuru.com, (TNG) reports that the House made the declaration while attending to MDAs defending their 2021 budget estimates on Monday.

    The chairman of the House committee on Healthcare Services, Rep. Yusuf Tanko Sununu, (APC, kebbi), made this declaration while addressing agencies at the resumed budget defence session in Abuja.

    The lawmaker who noted the charge given by President Muhammadu Buhari that the Legislature must assist the Executive in compelling MDAs to remit IGR, stressed that it is only through such remittances that government can effectively finance the 2021 budget.

    He said: “Let’s also try to emphasize that revenues generated by MDAs are supposed to be remitted to the Federal government in their right percentage.”

    “With that the amount of revenue needed to finance the budget every year will be drastically reduced. That is if all revenue generating MDAs remit what’s due to government in all honesty and truth — and as and when due.

    “So this committee will do its due diligence in looking at the revenues of agencies under our purview and ensure that the right amount is remitted before consideration for their 2021 budget proposals.”, chairman Sununu said.

    In keeping faith with the committee resolution, budget proposals from four different agencies were rejected following discovery that they could not provide records of 25 percent remittance of their IGR.

    While the Medical Science Laboratory Council of Nigeria, Radiographers Registration Council of Nigeria, the Nigeria Pharmaceutical Research Institute (NIPRI) as well as the Community Health Practitioners Registration Board, all fell short of this requirement and were sent packing on Monday, the Dental and Medical Council of Nigeria was turned away due to the absence of its chief executive.

    The agencies given a clean bill of health with a budget approvals were the Nursing and Midwifery Registration Council, as well as the Nigeria Institute of Medical Research, Yaba Lagos.

    Tosan Erhabor, Registrar and chief executive officer of Medical Laboratory Science Council of Nigeria, had irked the lawmakers when he disclosed that the council’s IGR was used to offset the running cost.

    He said: “the sum of N136m was generated so far this year but we are unable to remit the 25 percent as laid down by the rules due to covid-19 which led to putting on hold our inspection and accreditation of training courses from where more money comes in.”

    He however expressed optimism that something tangible could still be done before the end of the year, saying that if not that the calibration pit wasn’t put in place as expected, Nigeria would have been able to test for covid-19.

    Members observed that despite covid-19, the shortfall in revenue generation shouldn’t have been across board like the Registrar reported.

    But the committee chairman noted that the agency though hampered by covid-19 should still have generated more revenue beyond what it got.

    He asked, “apart from inspection and accreditation, weren’t there any other services to private organisations that generated funds?”

    “Because you are an agency that’s really short of N20m remittance to the Federal government,” he said, just as he ruled that “the registrar liaise with the deputy chairman on Friday by providing evidence of remittances to the Federal Government.”

  • Reps raise alarm over alleged plans by MDAs to pad revised 2020 Budget

    Reps raise alarm over alleged plans by MDAs to pad revised 2020 Budget

    The House of Representatives has warned Ministries, Departments and Agencies (MDAs) of government against tampering with the 2020 budget.

    Chairman of the House Committee on Appropriation, Rep. Muktar Aliyu Betara, said in a statement yesterday in Abuja that there were reports of some MDAs trying to adjust the budget to fit into the revised budget following the reduction of the 2020 budget from N10.59 trillion to N10.52 trillion as a result of revenue shortfall occasioned by the Covid 19 pandemic.

    He said the National Assembly is the organ constitutionally empowered to tinker with the budget document, adding that the lawmakers would not condone the act of tampering with the document by any agency of government.

    President Muhammadu Buhari had requested the National Assembly to consider and approve the revised budget in line with current reality occasioned by Covid 19.

    Batera said no MDA has powers to tinker with the budget as only the National Assembly is statutorily empowered to review, adjust, consider and pass budget.

    The statement reads: “There were reports that following the downward review of the budget from N10.59 trillion to N10.52 trillion due to the COVID-19 crisis and the dwindling oil prices, some MDAs were already adjusting the budget proposal to suit their needs.

    “Such acts will not be condoned by the National Assembly as any MDA or official found to be engaged in such illegal practices will be made to face the music.

    “I want to warn that no other arm or department of government has any power over budget, except the legislature which is the National Assembly. It is only the National Assembly that can review the budget and we have begun the process.

    “I would like to refresh the memory of those erring MDAs or officers of the executive that sections 80- 84 of the 1999 constitution (as amended) confers appropriation powers on the parliament as well as its responsibilities over the national purse. So, nobody should engage any unlawful act concerning the budget”.

    He said further that both the 1999 Constitution and Fiscal Responsibility Act, 2007 provide for no limitations on the National Assembly’s power to amend the Appropriations Bill.

    According to him, “Section 80 (4) specifically provided 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’, therefore, we shall not shirk our responsibilities and we will also not hesitate to wield the big stick on whoever goes beyond his brief to tamper with the budget”

  • Ex-Speaker Charges Lawmakers to Stop MDAs Oversight Visitation

    Ex-Speaker Charges Lawmakers to Stop MDAs Oversight Visitation

    From Jonas Ike, Abuja

    Former Speaker of the House of Representatives Hon.Ghali Na’Abba has called on the lawmakers in the green chamber of the parliament to stop oversight visitation of Ministries Departments and Agencies MDAs they oversight.
    Na’Abba who spoke during the inauguration of the 104 Standing Committees of the House and five special committees by the Speaker Hon. Femi Gbajabimilla said that something is wrong when the lawmakers visit MDAs they oversight.
    He told the lawmakers that the legislature is a unique institution and added that as a former presiding officer of the parliament he is embarrassed seeing lawmaker visiting parastatals and ministries of government.
    He also said that the various committees of the parliament the world over is the engine which drives its lawmaking functions.
    The Kano born ex-lawmaker said that Nigeria is presently facing numerous security challenges more than any other time in history and called for strengthening of the House Committees
    He therefore called on the incumbent House Speaker Hon. Gbajabimilla to use his intellectual endowment to move the entire country forward and not only the South-West where he hails from.
  • Reps receive 2010 PAC Report on auditor’s queries to MDAs

    Reps receive 2010 PAC Report on auditor’s queries to MDAs

    The House of Representatives on Thursday received the 2010 Public Accounts Committee (PAC) Report on queries issued to Ministries, Departments and Agencies (MDAs) by the Office of the Auditor General of the Federation.

    Laying the three-volume report on the floor of the House at plenary presided over by Speaker Yakubu Dogara in Abuja, Chairman of PAC, Kingsley Chinda (PDP-Rivers), said the 2011 and 2012 reports would be presented in no distant time.

    The PAC is the House committee that is charged with the responsibility of carrying out an oversight on the auditor general’s office.

    The 2010 PAC Report was the first in the history of the 4th Republic of the country’s democracy the House would witness.

    Chinda said the absence of reports by previous assemblies was unacceptable, and as such would not be seen as a legacy to be emulated by PAC of the the 8th assembly.

    ”Reports covering 2011 and 2012 would be ready for consideration before the end of the 8th assembly as a foundation for the incoming assembly to build on,” he said.

    A breakdown of the report obtained by TNG showed that in 2010, the committee received and treated 966 queries brought against 142 MDAs of government.

    Out of the total, 417 queries were heard and upheld with various degrees of sanctions recommended against erring MDAs.

    While 406 queries were closed for satisfactory defence by affected MDAs, a total of 143 were stepped down for lack of supporting documents.

  • Move to IPPIS or face consequences, Accountant General warns MDAs

    Move to IPPIS or face consequences, Accountant General warns MDAs

    The Accountant General of the Federation (AGF) Ahmed Idris has advised Ministries, Departments and Agencies (MDAs) of Government to comply with the directive to move their payroll to the Integrated Personnel Payroll Information System (IPPIS) or be ready for the consequences.

    Ahmed warned the Treasury will leave no stone unturned in ensuring that President Muhammadu Buhari’s directive is fully complied with.

    A statement from the Office of the AGF issued on Friday and signed by Oise D. Johnson, Head Press and Public Relations (OAGF) said the AGF gave this advice while receiving the Ag. Inspector General of Police Mr. Abubakar Adamu who was at the Treasury House on a courtesy visit.

    Ahmed was said to have commended the Police for showing example by complying with the directive of President Bubari.

    He was quoted to have said: “The Nigerian police has been fully integrated into the IPPIS platform and their successful enrollment has paved way for the enrollment of the Nigeria Military, which has further demonstrated the robustness of the platform and our avowed commitment to a transparent, accountable and efficient management of the Nation’s funds in line with global best practice.”

    The AGF underscored the enormous roles the Nigeria Police played in maintaining peace and security in the country, saying there was need for the Police to be supported with adequate funding.

    He assured the continued support of the Office of the Accountant-General of the Federation in ensuring that all approvals due to the Nigeria police are timely released to enable them effectively deliver on their mandate to the Nigeria people .

    The Ag Inspector-General of Police, Mr. Abubakar Adamu, extolled the cordial relationship existing between the Nigerian Police and the OAGF, describing it as “a very strategic partnership in the business of policing the nation”.

    He commended Idris for his exemplary leadership, which has culminated in the effective implementation of the various financial reforms which has helped the Nigeria police in meeting most her financial challenges.

  • FG releases N820b to MDAs from 2018 Budget

    …promises to increase it to N1.1 trillion before end of year

    Federal Government on Thursday announced the release of over N820.57 billion to Ministries, Departments and Agencies (MDAs) as capital expenditure from 2018 Budget, saying that it would soon increase it to N1.1 trillion before the end of the year.

    Minister of Finance, Mrs Zainab Shamsuna Ahmed who disclosed this, during the 2019 Budget breakdown, in Abuja, said the N820.57 billion represents 43 per cent of the MDA capital.

    This was contained in a statement issued by the Minister’s Special Adviser on Media and Communication, Mr Paul Ella Abechi on Thursday.

    She explained that the government has equally made releases that go to the statutory transfer agencies which are released to them en block and that amount includes both their personnel, recurrent as well as capital.

    “Let me first of all say that the N820.57 billion that has been released is just for MDA capital because we have releases also that go to the statutory transfer agencies that are released to them en block and that amount includes both their personnel, recurrent as well as capital.

    “There are also capital releases that are done as part of the capital supplementation. That is to say it’s service wide that is not in the 820.57 billion. The 820.57 billion is 43 per cent of MDA capital. We are working to push this to 1.1trillion by the end of December and that would be including the statutory transfers” she said.

    The Minister also explained the reason for the depletion of the Excess Crude Account (ECA) from $2.319 billion as at last month to $631 billion this month, saying that about $1 billion was withdrawn for security purposes.

    Similarly, she said, about N50 billion was refunded on Wednesday into the account.

    “The excess crude account was refunded yesterday (Wednesday) and we had sent another 50 billion savings into the excess crude account. Recall that NEC had authorised the use of $1billion from the excess crude account for security. So, the performance of that instruction is what has produced what we have in the excess crude account.

    “So it’s been largely depleted but we are still saving to it and this is the third month that we have been saving consistently into the excess crude oil account” she said.

     

  • Buhari warns MDAs against breaching FG’s IT Clearance policy

    Buhari warns MDAs against breaching FG’s IT Clearance policy

    President Muhammadu Buhari on Monday declared open the 2018 e-Nigeria International Conference and Exhibition, with a warning that the Federal Government would sanction public establishments found to have breached its IT Clearance policy.

    The President gave the warning in Abuja at the e-Nigeria International Conference and Exhibition, organised by the National Information Technology Development Agency (NITDA) at the International Conference Centre (ICC).

    It will be recalled that in April 2006, the Federal Government directed that all MDAs planning to embark on any IT project should obtain clearance from the National Information Technology Development Agency (NITDA) for proper guidelines on the purchase of local IT products and services.

    NITDA, therefore, has a mandate to clear IT projects and procurement of IT products and services in MDAs for quality service delivery.

    Buhari said that the warning became necessary in view of his administration’s determination not to fail in its quest to eliminate corruption in government businesses and in the wider society.

    He noted that NITDA’s initiative focused on the Registration of IT Contractors and Service Providers in collaboration with other regulatory bodies with special emphasis on competencies.

    According to him, this will ensure the delivery of quality IT projects, as well as facilitate the development of indigenous IT companies in line with global best practices.

    “You may also recall the remark about NITDA’s efforts at enforcing Federal Government’s directive on ensuring that all ICT projects in the country are cleared by it before implementation.

    “This will ensure that government’s ICT procurements: Are transparent; Aligned with government’s IT shared vision and policy; Lead to cost savings through promotion of shared services; avoid duplication; ensure compatibility of IT systems and improve efficiency in government business; enforce the patronage of indigenous companies where capacity exists and uphold the highest standards for service delivery.

    “In this administration’s efforts at ensuring full realisation of these objectives, a new circular was issued in August this year, to reiterate this directive.

    “NITDA is expected to work with all relevant government agencies to ensure full compliance with this directive. Defaulters of IT Clearance among the public establishments are to be reported to government.

    “We are serious about fighting corruption. We must not fail in our quest to eliminate corruption in government businesses and in the wider society.’’

    The President lauded NITDA’s work on the Nigerian ICT Innovation and Entrepreneurship Vision that focuses on the development of Digital Infrastructure, Education Reform, Skills Development and Research and Development as well as supporting the ecosystem.

    He stressed the need for the public service to be highly competitive, innovative and digitally-enabled to deliver public services and effectively drive government programmes and policies.

    Buhari observed that NITDA and other relevant government agencies had taken this up by creating the enabling environment through the development of policies, frameworks, standards and guidelines.

    He said, “I am aware that some of these regulatory instruments have been subjected to critical scrutiny and revision through a series of stakeholder engagements.”

    He, however, maintained that efforts should be intensified to make them public and to sensitise the public about the value of the regulatory instruments.

    The President noted with delight the enforcement of the use of the policy on Treasury Single Account (TSA), the Integrated Payroll and Personnel Information System (IPPIS) and the Bank Verification Number (BVN) and the impact they had made on the administration’s public financial management reforms.

    Buhari added that the consolidation of accounts and elimination of ghost workers that resulted in a combined monthly savings of about N24.7 billion, the TSA facilitated the recovery of huge sums of money, including the N1.6 billion that was recently recovered from a single account.

    He said the policy initiatives had reinforced his administration’s fight against corruption by ensuring transparency and accountability in government business transactions.

    According to the President, the success of his administration’s Social Investment Programme, which is seen in many quarters as the largest and most ambitious social safety net programme in recent history, relies heavily on the application of ICT.

    He observed that the components of programmes such as the N-Power, Government Enterprise and Empowerment Programme (GEEP), the Home Grown School Feeding Programme (HGSFP) and the Conditional Cash Transfer (CCT) all leverage on ICT.

    He disclosed that the programmes had so far benefited over nine million Nigerians.

    The president revealed that the NITDA, in collaboration with the National Social Investment Office (NSIO), was coordinating federal government’s initiative of establishing eight Innovation Hubs.

    He added that the eight Innovation Hubs would be sited one in each of the six geo-political zones and one each in Lagos and Abuja.

    President Buhari explained that the purpose of establishing these hubs was to facilitate digital capacity building for immediate employment, entrepreneurial skills development, job and wealth creation.

    “All these are aimed at promoting the digital economy in an era of disruptive technology through effective regulations,’’ he said.

    The president, therefore, enjoined the Conference to come up with “innovative ideas, workable and implementable recommendations that would help and enhance government’s efforts at creating the enabling environment for the promotion of the digital economy in an era of disruptive technologies, considering our peculiarities as a country.’’

    In his remarks, the Director-General of NITDA, Dr Isa Pantami, lauded President Buhari for the issuance of the Presidential Executive Order 003 and 005.

    The Executive Order 003 mandates all ministries, departments and agencies to give preference to locally manufactured goods and services in their procurement of information technology services, in order to strengthen its implementation as well as provide clear policy directions.

    Presidential Executive Order 005 which was also issued in February, is part of the administration’s deliberate efforts and strong commitment at strengthening the role of Science, Technology and Innovation in the country’s socio-economic development.

    Pantami disclosed that over N30billion had so far been saved by the federal government following the implementation of its IT and ICT policies and programme.

    The conference has “Promoting Digital Economy in an Era of Disruptive Technologies through Effective Regulation” as its theme.