-->

AuGF Indicts, Orders NPA To Refund N40.13bn, $921.64m, £289,931.82m To FG

Bello Koko

The Office of the Auditor-General of the Federation has indicted the Nigeria Port Authority (NPA) for failure to recover and remit N40.126 billion, $921.636 million and £289,931.82 to government treasury from various revenue sources in the 2019 financial fiscal year.

 

This was contained in 13 audit queries for the NPA signed by the Auditor-General, Adolphus Aghughu and submitted to the National Assembly for further legislative action.

 

The report disclosed that agreements signed between NPA and various terminal operators stated that: “A fixed annual payment of a sum as specified in the schedule be paid in 12 equal instalments in each operating year, the first instalment to be paid on the first day of the month after the effective date and then, on the same date of every month thereafter.”

 

It stated that if the terminal operators failed to comply with the lease agreements in terms of their obligations relating to the payment of fixed and throughput fees over the period, thereby holding back $852,093,730.77 and N1,878,560,509.57 that should have been remitted to the NPA for the period.

 

It said further that Estate Tennant’s, shipping companies and service boats operating from the ports were hugely indebted to NPA to the tune of $67.425 million and N32.266 billion outstanding as estate rent, shipping due and service boats.

It said that sizeable percentages of these debts were non-performing or dormant due to a long period of non-settlement, leading to loss of revenue to the government and possible diversion of government revenue to unauthorized users.

 

It frowned at the inability of the NPA to determine the status of about N5.260 billion and $1.250 million long outstanding debt, adding that all efforts to know their current status was not successful as relevant information was not provided.

 

It also queried the award of contract for the shore erosion control works at Akipelai, Ayakoro and Otuoke towns in Bayelsa State.

 

The particular contact was said to have been awarded to a company and mobilization fees paid without a performance guarantee which was a pre-condition for the award of any procurement contract upon which “mobilization fee is required.”

 

The Audit report also queried the irregular payment for rehabilitation of Port Harcourt port road network and water distribution system to the tune of N1.847 billion, irregular payment for the restoration of power supply to Tin Can Island Port.

 

It also frowned at the irregularity in the award of contract for the construction of delivery and commissioning of MDPE channel marking buoys in foreign currency, irregular payment for the supply for fire alarms communication and office equipment for Lagos port complex and irregular payment for the supply of fire alarms communication and office equipment for Ikorodu lighter terminal.

 

 

The Public Accounts Committees of both Chambers of the National Assembly are expected to grill the Management of the NPA on resumption from the Yuletide break with a view to recovering the missing funds as advised by the Auditor General of the Federation. Tribune

 

 

Leave A Reply

Your email address will not be published.

%d bloggers like this: