Monday, July 23, 2018

2016 Audit Report: Presidency Illegally Moved N14bn to Establish Army Barracks

Image result for 2016 Audit Report: Presidency Illegally Moved N14bn to Establish Army Barracks     The evaluated report of the central government for the 2016 budgetary proclamation from the Office of the Auditor-General for the Federation (OAuGF), Mr. Anthony Mkpe Ayine, has uncovered that the administration illicitly pulled back N14 billion from the Stabilization Fund for the foundation of an Army sleeping shelter.

The report, which is posted on the OAuGF's site additionally demonstrated that one of the imperfections among the offices of government pointed was poor accounting hones, particularly in the oil mineral division, in the administration of income age and use, and portrayed it as a noteworthy test in the counter unite war out in the open back expenditure.The review report refered to one instance of inconsistency by the significant government organizations, which finished in the over-installment of two income creating offices, including the Department of Petroleum Resources ( DPR) and the Federal Inland Revenue Service ( FIRS).

As per the report, the excessive charge remained at N837.082 billion as cost of income accumulation by the two bodies.

It stated: "Our examination of the Accountant-General's Transcript and FAAC figures uncovered that the FIRS and DPR were over paid cost of gathering in the long stretch of August 2016 in the measures of N305,922,200.48 and N531,160,436.78 individually totaling N837,082,637.24.

" It was watched that what was caught in the Accountant-General's Transcript as installments for the long stretch of August for FIRS and DPR as cost of gathering varies from what FAAC affirmed in the FAAC record. It is normal that lone figures affirmed by FAAC are to be paid by the Accountant-General of the Federation. The distinction brought about excessive charges of N837,082,637.24 by the Accountant-General to the two gathering organizations."

Likewise contained in the report was the way that joint wander (J V) money calls ( stores infused into JVs by the NNPC for the benefit of the Federation couldn't be represented in the books of the OAGF and the FAAC.

"These assets are gotten out of incomes collecting to the Federation that would somehow or another have been paid onto the Federation Account for designation to the three levels of government. Right off the bat, it is indistinct how and where the benefit estimations of these interests in Joint Ventures in the interest of the Federation are resolved and detailed.

"Besides, from the examination and survey of the Revenue and Account records introduced by the Crude Oil Marketing Department (COMD) of the NNPC in regard of Sales of unrefined petroleum and gas and installment of JV Cash Call subsidizing, it was watched that exclusive a minimal whole was returned as income from Export of Crude Oil and Gas income inflows to the Federation Account for January to December, 2016," the report said.

"From the aggregate receipts by NNPC of $2,399,642,012.90 (N569,143,803,033.21 from trade offers of unrefined petroleum and gas for the year, an aggregate sum of $2,348,880,056.93(N517,354, 153,159.77) was paid out to finance JV Cash Calls, leaving just $72,875,099.00 (N22,423,859,671.82) which was paid to the Federation Account.

"It ought to be noticed, that the above JV Cash Calls deducted from the returns from send out oil and gas deals did exclude a measure of N355,173,305,887.21 likewise paid from the receipts from Domestic Crude oil deals as JV money calls," the report expressed.

It additionally called attention to is that the "examination of records and reports exhibited to the Audit Team in regard of the Excess Crude Account (ECA), uncovered that a total of N361,230,422,517.15 abridged underneath and delegated PPT/Royalty was deducted from add up to oil and gas income gathered before the adjust was paid to the Federation Account.

"These derivations would seem to negate the arrangements of Section 162 (1) of the Constitution of the Federal Republic of Nigeria, 1999 which states as corrected," it focused.

There was additionally the issue of zero gathering of oil income for some period.

As per the report, " It was seen from the CBN Components Statements that no accumulations were accounted for into the Federation Revenue Account by some income gathering Agencies for specific long stretches of the year. It was uncertain from accessible records why these months recorded no income accumulations and no clarification was accommodated this.

"The Accountant-General has been asked for to get a clarification from the Group Managing Director of NNPC and Director DPR for the non-gathering of income amid these significant months," and in addition "guarantee that any income found due for these months is dispatched to the Federation Account, and proof sent for review confirmation."

Then, no less than 324 Ministries Departments and Agencies (MDAs) of the national government neglected to present their records for review in 2016, as per the report.

This figure appears differently in relation to the 215 MDAs which did not present their records in 2015.

There are more than 900 MDAs at the government level. The Auditor-General called attention to that the broad infringement of statutory monetary revealing commitments by parastatals is of extraordinary concern. As per the report, as at April 2018, 109 MDAs had not presented their records past 2013, while 76 offices submitted keep going for the 2010 budgetary year even as 65 others never presented any record since origin. The report was anyway quiet on at fault organizations. "The broad infringement of statutory budgetary revealing commitments by Parastatals is of extraordinary concern.

Just 51 inspected money related articulations for 2016 and 149 for 2015 were submitted to the workplace of the Auditor-General as at December 27, 2017.

The report noticed that the advancement runs foul of the Financial Regulation 3210 (v), which orders the CEOs of offices to submit reviewed records to the Office of the Auditor-General of the Federation, OAuGF "not later than 31st May of the next year of Account."

Area 85 (5) of the Constitution of the Federal Republic of Nigeria 1999 (as corrected), engages the Auditor-General to present a give an account of the review of the Accountant-General's Financial Statements to the National Assembly inside 90 long stretches of receipt of the announcements from the Accountant-General of the Federation.

Be that as it may, the Auditor-General saw in the 2016 review report that the budgetary proclamations of the government for the year finished December 31, 2016 were first submitted to him by the Accountant-General of the Federation on June 30, 2017.

"Following my starter perceptions," he noticed, "the Statements were essentially corrected and resubmitted on 29th September, 2017. Encourage corrections to the Financial Statements prompted another re-accommodation on 29th December, 2017 and sixteenth January, 2018 preceding the last form was inevitably submitted on twentieth March, 2018.

"The Financial Statements of Government Statutory Corporations, Companies, Commissions, and so forth, generally called Parastatals are not evaluated by my Office, in accordance with Section 85(3) (an) of the 1999 Constitution. Nonetheless, as per Section 85(3) (b) of the Constitution, their Annual Accounts and Auditor's reports subsequently will be submitted to me for remarks.

"A large portion of the administration Corporations, Companies and Commissions have not presented their evaluated represents 2016 to me. Just 51 evaluated Financial Statements for 2016 and 149 for 2015 have been submitted to my Office as at 27th December, 2017, in spite of the arrangement of Financial Regulation 3210(v) which urges the Chief Executive Officers of these bodies to submit both the Audited Accounts and Management Report to me not later than 31st May of the next year of Account," the Auditor-General included the report.

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