The Senate has ordered the Accountant-General of the Federal (AGF) to recover and pay back the N665.8 billion Solid Minerals Development and Stabilisation Funds it misappropriated in form of loan to individuals and organisations to the Special Funds Accounts within 60 days.
The Auditor General’s report in its query against depletion of Special Funds said, former President Goodluck Jonathan, his deputy, Namadi Sambo, Independent National Electoral Commission (INEC), Nigerian Army, Federal Airports Authority of Nigeria (FAAN) and some Ministries, Departments and Agencies benefitted from alleged diversion of N665.8 billion.
The revelation is contained in the report of Senate Committee on Public Accounts on the Federation Account.
The committee had been investigating expenditures of federal government agencies from 2015-2018 based on an audit report by the Auditor-General for the Federation.
The panel presented the report of its six-month investigation on the Federation Account for the year 2015, which was approved by the Red Chamber before proceeding on annual recess.
The AGF’s report in its query said, “Amount totaling N455 billion were withdrawn from Development of Natural Resources as loans to various beneficiaries between 2004 and 2015, contrary to the established objectives of the funds.
“The purpose of the Development of Natural Resources Fund is to provide financial resources to development alternative mineral resources Development. The Development of Natural Resources Fund belongs to the federal government,” it said.
“Also, various amounts totaling N210.3 billion were withdrawn from stabilisation fund as loans to various beneficiaries, between 2004 and 2015 contrary to the established objectives of the funds.
The purpose of the stabilisation fund is to provide for unforseen contingencies and economic downturn and the beneficiaries are the 36 states and Federal Capital Territory (FCT). The stabilisation fund belongs to three tiers of government.
The breakdown of how the money was shared to the beneficiaries showed that N1.5 billion from the fund to former President Goodluck Jonathan and Vice President Namadi Sambo asnseverance allowance on June 11, 2015, while the INEC, collected N20 billion from Development of Natural Resources Fund apart from N17.9 billion it received from Brown Rice Levy and Comprehensive Import Supervision Scheme (CISS) Pool Levy.
Another N30 billion was released by the AGF to INEC in 2014 and 2015 for the conduct of the 2015 general election with the breakdown showing that N10 billion was released on July 3, 2014, while N20 billion was released on January 12, 2015, apart from N93 billion appropriated by the National Assembly in 2015 for the conduct of the elections nationwide.
Other beneficiaries of the diverted Solid Mineral Development Funds included Ministry of Foregin Affairs: N3.6 billion, N50 billion to fund budget deficit in 2004; Ministry of Works:N2 billion; Federal Airport Authority of Nigeria: N13 billion; Ministry of Sports: N500 million; Monetization arrears due to PHCN staff: N57.5 billion; N70 billion to accelerate capital budget in 2010; loan to facilitate the funding of Capital budget in 2010: N80 billion;loan to facilitate 2013 Capital budget 4th quarter: N80.7 billion; Loan to Nigerian Electricity Regulatory Commission: N6 billion in 2014.
The report also revealed that N15 billion was released to one Lucius Nwosu as hudgement debt of N37 billion for Genocide at Odi in Bayelsa State while N14 billion was released to Ministry of Power for Kasshibilla Hydropower Transmission Projects, among others.
The withdrawals from the Stabilisation fund also included N847 million paid to Ghana, Sao Tome and Pricipe for an unspecified purpose, the Independent National Electoral Commission (INEC) also collected N87 billion to commence the fresh voters registration, but paid back N21 billion and yet to balance N66.7 billion.
There was also N32 billion for the completion of 4th quarter and 3rd quarter of 2013 capital projects, N2 billion for the funding of Army operation in 2013, another N3 billion loan to INEC to speed up Electoral process in 2013, and N3.5 billion as loan to Nigerian Army for recruitment of 9,000 recruit in 2013.
Flowing this the Senate further directed that henceforth AGF should ensure that payments from these special funds were strictly applied for the purpose they were created.
It also warned the AGF to desist forthwith from further withdrawal from the Dedicated Accounts without a resolution of the National Assembly.
