The Senate has directed the Bureau of Public Enterprises (BPE) to remit the sum of N8.7 billion into the Consolidated Revenue Fund (CRF).
The development was sequel to 2015 Audit Report by the Office of Auditor General of the Federation where the lawmakers fingered the BPE in series of financial infractions from 2014 and 2015 totaling N8, 757, 353, 089.09billion.
The committee disclosed that one of such infractions was the alleged non-remittance of N4,736,932,467.67billion dividends which was received by the Bureau on behalf of the Federal Government Holdings, but was not duly remitted to the Consolidated Revenue Fund ( CRF) as required by law.
The Senate report said:”The committee observed that there was no evidence provided by BPE to show that the dividend was remitted to TSA.Consequently, the Committee recommends that the Bureau remit the sum of N4, 736, 932, 467. 67billion to the CRF , evidence of which must be submitted to Auditor General of the Federation and Senate Public Accounts Committee.”
The Senate,in another query accused the BPE of alleged diversion of N2.5billion proceeds of the defunct Power Holding Company of Nigeria from Access and FCMB banks to Aso Savings and Loans for financing of Staff Housing Scheme, contrary to financial regulation 3205.
According to the query as adopted by the Senate, the Bureau indulged in “unauthorized transfer of N2.5billion representing PHCN proceeds in Access Bank and FCMB Accounts were diverted to ASO Savings and Loans Plc, as a condition precedent to the Staff Cooperative Mortgage , contrary to Financial Regulation 3205.The Committee observed that there was no approval from Debt Management Office ( DMO) for the Bureau to secure loan from ASO Savings just as it was also observed that there was collusion between ASO Savings and BPE.
“Consequently , the sum of N2.5billion with all accrued interest be remitted to the CRF by BPE with evidence of remittance forwarded to the Auditor General of the Federation and Senate Public Accounts Committee.All officers involved in the transaction should be surcharged for the loss of government revenue in line with Financial Regulations 3106 and 3115.”
The N1.135billion interest as explained in the query and adopted report ,originated from N19, 774, 272, 998.55billion deposited in various commercial banks which BPE management in its response , said it was used to settle PHCN Staff severance benefits .
The committee in its report , accused the BPE of breaching financial regulations and recommended for remittance of the N1.135billion to the Consolidated Revenue Fund.
It added: “The Commitee recommends that the Bureau pay the sum of N1, 135, 139, 199.77billion to the Consolidated Revenue Fund , in accordance with relevant Financial Regulations and submit evidence of remittance to the Auditor General of the Federation and Senate Public Accounts Committee.”
Also included in the query,was the alleged non remittance of N387, 771, 741.82million incidental taxes to the Federal Inland Revenue Service ( FIRS) by BPE from the mandatory 10% WHT collected as service charge from different investors in the year under review .
The report said: “The Committee observed that withholding tax totaling N387, 771,741.82million , was not paid to FIRS despite BPE’s promise 5 years ago that all incidental taxes shall be deducted and remitted to Federal Inland Revenue Service .The committee therefore recommends that the sum of N387, 771, 741.82million be remitted into the CRF by the Bureau and evidence of remittance submitted to the Auditor – General for Federation and Senate Public Accounts Committee.”
The BPE was also alleged of non-remittance of N1,135,139,199.77billion earned interest on fixed deposit in various commercial banks .
The BPE in its reply to the first query said all dividends received on Federal Government Holdings in the year under review totaling N6, 819, 388, 791.00billion were transferred to Treasury Single Account ( TSA) in September 2015.
