Twenty on states have asked the Federal Government to reimburse them N535 billion expended on the rehabilitation of federal roads in their respective states.
Of the amount, the federal government has already refunded N13 billion to 13 states that had applied for reimbursement on the rehabilitation they had undertaken on federal roads, while eight states which were yet to fully comply with needed requirements for refund could not be attended to, according to the National Economic Council, NEC, ad hoc committee probing remittances into the federation account.
“Another issue discussed is on refund of expenses incurred on repair of federal roads by states. As listed here, we have 13 states that have fully complied with the re-imbursement requirements, we have 8 states that have partially complied, and the total sum of claims to be re-imbursed is N535.5 billion.
“Then we have N13 billion that has been disbursed to the states already as at 2013. The challenges they face had to do with inadequate funding in the ministry,” Oyo state governor, Isiaka Abiola Ajimobi, who briefed the media after the meeting chaired by Vice President, Prof. Yemi Osinbajo, said.
NEC also indicted revenue-generating agencies like the Nigeria National Petroleum Corporation, NNPC, Federal Inland Revenue Service, FIRS, Nigeria Ports Authority, and Nigeria Customs Service among others, for lack of accountability and transparency in their remittances into the federation account.
It further disclosed the confirmation of the Accountant-General of the Federation that Nigeria’s Excess Crude Account as at September 15, 2015, stood at $2.25 billion.
In a preliminary report submitted to NEC during Thursday’s meeting, the Governor Adams Oshiomhole-led ad-hoc committee explained that there were no checks and balances in the manner the agencies remitted their revenues into government treasury, thereby paving way for all forms of corruption.
“First, it was in agreement with all of them that they confirmed that the committee interacted with revenue generating agencies of the federal government, and it was established among others that there was lack of transparency and accountability in the operation of the federation account, and they also noted that there were no checks and balances in the operation.
“Secondly, they also told the Council that the work of the committee is ongoing, so we still have more reports to receive from them.
“That in its interaction with the revenue generating agencies, it was revealed that a number of issues with rope to accruals into the federation account and the management of it necessitated the forensic audit.
“That the engagement of the audit firms is essential and the terms of reference have already been finalized with the audit firms.”
The ad hoc committee had appointed KPMG and Price Copper Water House as consultants to carry out forensic audit on the agencies.
He also disclosed that the Debt Management Office, DMO briefed council that about N500 billion is involved in the debt rescheduling for state governments seeking financial bailout from the federal government.
Ajimobi explained that so far, 26 states applied for the debt rescheduling out of which 11 had completed the requirements; while 13 states were in the 2nd phase.
Other members of the five-man Ad-Hoc Committee are Gombe State Governor, Alhaji Ibrahim Dankwambo; Kaduna State Governor, Mallam El Rufai; (who presented the report to Council today) Akwa Ibom State Governor, Mr. Emmanuel Udom and Lagos State Governor, Mr. Akinwunmi Ambode.