The House of Representatives has recommended that the Ministry of Environment HYPREP’s Account in Stanbic IBTC Bank Plc be frozen, pending investigations on the status of the account.
This is contained in a report by the House ad hoc Committee on Treasury Single Account (TSA) which was adopted by the Committee of the Whole on Thursday, May 9, 2019.
The ad hoc committee was set up to investigate the TSA and ascertain the proceeds, to enhance transparency, accountability and good governance.
The report recommended that the Ministry of Finance (MOF) and Office of the Accountant General of the Federation (OAGF) should immediately commence full reconciliation on the TSA.
It charged the agencies to determine the actual outstanding and defray all financial obligations due to the TSA services providers (Systemspecs and Collection Banks).
The report stated that MOF, OAGF and the Central Bank of Nigeria (CBN) should collaborate with the Systemspecs to activate the Foreign Currency Component of the TSA so as to ensure that the full gains of the policy is achieved.
It charged the agencies to mitigate against any loophole that may jeopardise the TSA policy.
The report said that payments of outside TSA such as sending manual payment mandate to CBN and transfer of large funds to a transit account at CBN or Data Base Management System (DBMS) accounts not belonging to the Federal Government and making payment from thereon should be suspended as it is seen as an attempt to circumvent the TSA Policy.
It said that applications for exemptions and waivers from all or any MDA’s fund and accounts must follow the guidelines on TSA implementation, dully approved and signed by the President only.
The report recommend that all existing exemptions and waivers granted to MDAs that do not conform with the guidelines should be declared illegal and the transactions carried out fraudulent;
It said that the OAGF should henceforth carry out a quarterly appraisal and reconciliation of the TSA and Consolidated Consolidation Account and publish reports on the performance and effectiveness of the TSA policy.
The report also stated that the Office of the Auditor General for the Federation (OAUGF) should carry out performance and financial audits on quarterly and annual basis and publish same for transparency and accountability.
It recommended that issues bordering on the Nigerian Ports Authority fund totaling 6.6 million Euros seized by the Economic and Financial Crimes Commission (EFCC) should be resolved immediately and the funds released to the appropriate owner.
The report stated that the EFCC should be informed in writing to immediately refund the same amount into the TSA account with CBN.
It recommended that the Nigerian National Petroleum Company (NNPC) should make full disclosure on the nature and status of the fund held in its Pension Fund domiciled in Aso Savings and Loans Plc and Unity Bank with immediate effect.
The report also stated that the MOF, OAGF and the Revenue Mobilisation, Allocation and Fiscal Commission (RMAFC) should make a definite and appropriate categorisation of the BRASS LNG Dividends as a Federation Account item or as an Independent Revenue of the federal government.
It recommended that the revenue collection arrangement entered into by the Industrial Training Fund with Puzzle Technologies Limited be suspended and the MOF, OAGF should immediately investigate the circumstance of the arrangement.
The report stated that there should be immediate takeover of the assets used for the Asset Swap for the Aso Savings & Loans Plc debt owed various MDAs.
It recommended that the MOF and OAGF should be communicated to immediately inform the affected MDAs to take advantage of the offer.
The report stated that subsequent funding and expenditure of the BRASS LNG Project be done based on approved budgetary provisions by Appropriations Acts and the funding shall be done through the FAAC and CRF Account.
It stated that MDAs that relate with Foreign Bodies, Development Banks and Corporate Entities should be noted for their peculiarities and recommend waivers and exemptions to the TSA Policy.
The MDAs include, Nexim Bank, Bank of Industry, Federal Mortgage Bank, Bank of Agriculture, West African Examinations Council (WAEC) Nigeria Football Federation and Nigerian Foreign Missions.
By EricJames Ochigbo
