FRC to probe NNPC, banks over ‘financial infractions’

The Financial Reporting Council (FRC) of Nigeria says it has reviewed the financial statements of the Nigerian National Petroleum Corporation (NNPC), banks, pension fund administrators (PFAs) and custodians.

Shuaibu Ahmed, executive secretary of FRC, disclosed this while speaking with journalists in Abuja on Wednesday.

He said the need for the review was based on the fact that the council uncovered alleged financial infractions in the audited financial statements of these entities.

He said the review, which the council undertook over the last couple of weeks, prompted it to invite the auditors of these agencies for clarification.

“The review has been completed, and we’ve written both the NNPC and the three auditors auditing them to provide us with the management letters for NNPC,” he said.

The FRC boss said the council is expecting to get the management letters for NNPC within the next one week, after which the council will look at them and invite the party to appear before it to clear some of the infractions that have been noticed.

“At the end of the day, we will let the press know the outcome of that review,” he added.

Ahmed also explained that the council had undertaken the review of the financial statements of banks and PFAs over the last couple of weeks.

He said they would be invited for inspection meetings with auditors.

According to him, the processes are the only way to enhance the quality of financial reporting and make entities and individuals compliant with the FRC Act.