{"id":3476,"date":"2024-11-25T20:16:01","date_gmt":"2024-11-25T20:16:01","guid":{"rendered":"https:\/\/panoramanews.com.ng\/?p=3476"},"modified":"2024-11-25T20:16:01","modified_gmt":"2024-11-25T20:16:01","slug":"agf-uncovers-n197-72bn-fraudulent-contracts-scandal-cbn-rea-others","status":"publish","type":"post","link":"https:\/\/panoramanews.com.ng\/index.php\/2024\/11\/25\/agf-uncovers-n197-72bn-fraudulent-contracts-scandal-cbn-rea-others\/","title":{"rendered":"AGF uncovers N197.72bn fraudulent contracts scandal CBN, REA, others\u00a0"},"content":{"rendered":"<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-3477\" src=\"https:\/\/panoramanews.com.ng\/wp-content\/uploads\/2024\/11\/images-7.jpg\" alt=\"\" width=\"193\" height=\"261\" \/><\/p>\n<p>Wale Edun, Finance Minister<\/p>\n<p>Kindly share:<\/p>\n<p>The Auditor-General of the Federation, AGF, has uncovered irregular payments for contracts amounting to N197.72 billion in Rural Electrification Agency, Nigerian Bulk Electricity Trading Plc, a subsidiary of Central Bank of Nigeria, the Nigerian Security Printing and Minting Company and other ministries, departments, and agencies, MDAs, in the country.<\/p>\n<p>The AGF made this known in his Annual Report on Non-Compliance and Internal Control Weaknesses between 2020 and 2021.<\/p>\n<p>These include irregular payment for contracts, and payment for jobs partially executed or not executed at all, which was contrary to financial regulations and procurement laws.<\/p>\n<p>The report noted that REA topped the chart of 32 MDAs, which made irregular payments on the award of contracts worth a total of N7.386 billion.<\/p>\n<div dir=\"auto\">\n<div dir=\"auto\">\nThe company recorded N2.12 billion while NSPM spent the least with N11.7 million.<\/p>\n<p>According to the report: \u201cThe sum of N7,386,551,051.09 (seven billion, three hundred and eighty-six million, five hundred and fifty-one thousand, fifty-one naira, nine kobos) was the number of irregularities in the award of contracts by 32 ministries, departments and agencies.<\/p>\n<p>\u201cThe Rural Electrification Agency, Abuja, has the highest amount of N2,117,143,168.09 (two billion, one hundred and seventeen million, one hundred and three thousand, one hundred and sixty-eight naira, nine kobo), while the Nigerian Security Printing and Minting Company Plc (NSPM) has the least amount of N11,720,000 (Eleven million, seven hundred and twenty thousand.\u201d<\/p>\n<p>It further disclosed that the sum of N167.59 billion was paid for jobs or contracts that were either not executed or partially executed contrary to Paragraph 708 of the Financial Regulations, which bars agencies from paying for services or goods not yet delivered.<\/p><\/div>\n<div dir=\"auto\">\nThe Nigerian Bulk Electricity Trading Plc, an agency in the country\u2019s power sector, led the pack in this respect, accounting for N100 billion of these irregular payments while the National Centre for Women Development recorded the lowest irregularity at N2.17 million.<\/p>\n<p>\u201cThe sum of N167,592,177,559.40 (one hundred and sixty-seven billion, five hundred and ninety-two million, one hundred and seventy-seven thousand, five hundred and fifty-nine naira, forty kobos) was the number of payments for jobs\/contracts not executed by 31 ministries, departments and agencies,&#8221; the report added.<\/p>\n<p>\u201cThe Nigerian Bulk Electricity Trading Plc., Abuja, has the highest amount of N100,000,000,000.00 (one hundred billion naira), while the National Centre for Women Development has the least amount of N2,171,766.44 (two million, one hundred and seventy-one thousand, seven hundred and sixty-six naira, forty-four kobo).\u201d<\/p>\n<p>It also unearthed due process breaches in contract awards, totalling N20.33 billion across 24 MDAs.<\/p>\n<p>These contravened Section 16(21) of the Public Procurement Act (PPA) 2007.<\/p><\/div>\n<div dir=\"auto\"><\/div>\n<div dir=\"auto\">The Act prescribes strict adherence to procurement plans and mandatory approvals before contract awards, requirements that were not complied with.<\/div>\n<div dir=\"auto\"><\/div>\n<div dir=\"auto\">\u00a0The CBN&#8217;s subsidiary, NSPM, was singled out by the report as being responsible for the highest amount of due process violations, which totalled N14.14 billion.<\/div>\n<div dir=\"auto\"><\/div>\n<div dir=\"auto\">Conversely, the Corporate Affairs Commission had the least, at N8.98 million.<\/p>\n<p>\u201cThe sum of N20,334,104,016.27 (twenty billion, three hundred and thirty-four million, one hundred and four thousand, sixteen nairas, twenty-seven kobo) was the number of contracts awarded in violation of due process by 24 ministries, departments and agencies,&#8221; the report noted.<\/p>\n<p>\u201cThe Nigerian Security Printing and Minting Company Plc Abuja has the highest amount of N14,136,472,333.16 (fourteen billion, one hundred and thirty-six million, four hundred and seventy-two thousand, three hundred and thirty-three naira, sixteen kobos) while the Corporate Affairs Commission has the least amount of N8,980,603.72 (eight million, nine hundred and eighty thousand, six hundred and three naira, seventy-two kobo).\u201d<\/p><\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Wale Edun, Finance Minister Kindly share: The Auditor-General of the Federation, AGF, has uncovered irregular payments for contracts amounting to&hellip;<\/p>\n","protected":false},"author":1,"featured_media":3477,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[54],"class_list":["post-3476","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business-economy","tag-central-bank-of-nigeria"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.8 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>AGF 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