Home NEWS Senate Orders Refund of N692 Million Spent by Works Ministry on “Fictitious...

Senate Orders Refund of N692 Million Spent by Works Ministry on “Fictitious Contracts”


According to the 2018 report of the Auditor General for the Federation (AuGF), the Federal Ministry of Works was ordered by the Senate to return N692 million that was allegedly spent on fictitious contracts to the national coffers.

The Red Chamber made its decision after carefully examining the report from its Committee on Public Accounts, which revealed that a contract worth N343 million was improperly and without justification awarded for the purchase of project monitoring vehicles.

According to the report, a further contract was made for services and the purchase of computer accessories, photocopy machine parts, and for designing the nation’s

bridges and roads worth N139 million.

According to the report, N210 million that was intended for a documentary was allegedly divided into N130 million and N80 million and paid into a staff account, in violation of financial rules.

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The Senate panel, led by Senator Mathew Urhoghide (PDP Edo South), claimed it sent multiple invitations to the Ministry of Works to respond to the claims made by the Auditor General for the Federation but received no response from the concerned parties, which, in his opinion, kept the questions alive.

The questions said, “Audit found that N343 million was paid for 36 project monitoring vehicles without following the proper procedures.

“Additional investigation showed that the 36 vehicles weren’t brought into the store as

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There was no record to support this delivery.

The audit found that N139 million in advances had been given for the service and direct purchase of computer accessories, photocopy machine parts, and vehicle spare parts for the design of Nigerian roads and bridges.

“There was no record in the store proving that those items had been bought.

“Audit found that N210,000,000 intended for a documentary was divided into N130,000,000 and N80,000,000 paid into a staff account in violation of FR 713.

“Further investigation showed that the sum of N130 million was allegedly used to fund development projects, including those for the ministries of finance, agriculture, transport, petroleum resources, mines and steel, trade, and investment.

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“The payment was not accompanied by a receipt or retirement information.”

receipts to support the payments.

“The Director of Finance and Accounts received approval for a sum totaling N80 million, which was in excess of his allowed amount.

“Neither the identity of the documentary’s producer nor the existence of a competitive selection process were supported by any evidence.

“There was no proof that the work was actually completed,”

As a result, the Senate upheld the inquiries as recommended by its committee and directed the ministry to account for the money and return it to the Consolidated Revenue Fund (CRF) through the Permanent Secretary.


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