A recent audit by the Auditor-General for the Federation has revealed financial irregularities totaling over ₦4.64 billion in the Federal Ministry of Works (Housing Sector) during Babatunde Fashola’s tenure as Minister. The report, covering activities from 2020 to 2021, highlights violations of financial regulations, procurement laws, and internal control lapses.
Key findings include:
- Undocumented Payments: ₦1.08 billion disbursed from the Government Integrated Financial Management Information System (GIFMIS) without payment vouchers.
- Extra-Budgetary Spending: ₦2.89 billion expended without legislative approval.
- Unauthorized Transfers: ₦546 million moved to project accounts without proper documentation.
- Questionable Contracts: Over ₦1 billion paid to contractors for projects not covered by current appropriations, violating Section 80(4) of the 1999 Constitution.
The report also flagged irregularities in contract awards, including payments to companies not registered with the Corporate Affairs Commission (CAC) and contracts exceeding mobilization fee limits.
In Edo State, ₦40.83 million—88% of the contract sum—was paid for a classroom project without adhering to procurement guidelines, while in Oyo State, 22.61% of a contract sum was disbursed as mobilization fees, surpassing the 15% regulatory limit.
The Auditor-General recommended recovering unauthorized funds, sanctioning responsible officials, and enforcing compliance with financial regulations. The report has been submitted to the National Assembly’s Public Accounts Committees for further action.
Senator Garba Madoki, Chair of the Senate Committee on Legislative Compliance, warned that parliamentary sanctions would be applied to any federal agency head implicated in financial infractions. The findings underscore the need for urgent reforms to enhance accountability and safeguard public resources.
News Editor