Reps probe N600bn spent by MDAs outside approved budgets

The house of representatives committee on public accounts says it has commenced an investigation into N600 billion spent by ministries, departments and agencies (MDAs) outside their approved budgets on salaries and allowances.

The auditor general’s office for the federation (OAuGF) issued a query on the illegal expenditure spent between 2018 and 2022 by 115 MDAs.

“Audit observed that 203 MDAs exceeded their personnel cost budget by N641,757,455,172,” the OAuGF said in its report.

“While 115 MDAs had zero personnel cost, even though there was a budget allocation for them, the sources of extra funds for salaries and wages in 103 were not disclosed.

“Also, the reasons for zero personnel budget allocation for the 115 MDAs were not stated even though the MDAs under defence had annual budgets approved for them.”

The OAuGF also advised the office of the accountant general of the federation to investigate the sources of the extra-budgetary expenditures and reasons for non-compliance with financial regulations.

According to the office, “the officers in charge should be held responsible” if they fail to justify the sources and reasons for the expenditures totalling N641.75 billion.

Responding to the committee, Sylva Okolieaboh, acting accountant general of the federation, said some of the expenditures were made based on existing circulars and directives.

Okolieaboh also appreciated cooperation being extended to his office by the parliament since he assumed office.

He said all invitations from the lawmakers would receive prompt responses from his office in the national interest.

Oluwole Oke, chairman of the committee, said what the MDAs did was illegal.

“This is an aberration of the Constitution of the Federal Republic of Nigeria. It is clear rape of Financial Regulation and Public Procurement Act,” he said.

“Nobody has the power to appropriate any money to any MDAs except the National Assembly through the budget from Mr President. Before the passage of Mr President’s Appropriation Bill, it has to pass through stages, and after the passage, it has to be returned to the Mr President for his assent.

“But we have discovered a situation where some ministers and heads of MDAs are fond of appropriating funds and approving several millions of naira for spending without such coming to the parliament, but relying on circulars and directives. This is illegal, and we are going to stop it.”

Oke, therefore, directed the accountant general of the federation to make available the list of the 115 MDAs involved in the flagged expenditures to the committee by Wednesday to continue the investigation.

He added that there would be a fair hearing to allow erring MDAs summoned to explain the allegation against them in the audit query.