Tag: Anthony Ayine

  • No more excuses

    The disclosure by Auditor-General of the Federation, Mr. Anthony Ayine, that the National Assembly has failed to act on reports sent to it since 1999 by his office is an admission of the failure of politicians to promote accountability and good governance. All that public officials have pointed to as evidence of success is the sheer length of civilian leadership. They are quick to attribute the slow progress being made to what they describe as nascent democracy. In recent times, government has come up with a “war against corruption” mantra that starts and ends with probing the past, with a view to recovering stolen assets. Little is being done to strengthen institutions of state and putting in place adequate structure to deter graft.

    The 1999 Constitution and public service regulations are clear on the need for regular audit of ministries, departments and agencies of government as a way of deterring corrupt practices. It is unfortunate that, in 20 years, the National Assembly, to which the Auditor-General of the Federation is mandated by section 85 (3) of the constitution to submit an annual report, is yet to fully consider any of the reports.

    We are constrained to ask, what have the public accounts committees of the two chambers of the federal legislature been doing? Too engrossed in base politicking to have time for primary assignments? We recall that the various audits laid before the law makers have raised serious issues for which directors of ministries, departments and agencies (MDAs) ought to have been summoned. The same practices have continued over the years because no one had offered the checks and balances envisaged by the grundnorm. Impunity, arrogance and avarice reign freely in the public sector as a result of this failure of the National Assembly.

    But, whither the executive, too? Financial Regulation 3210(v) is clear in providing that every agency shall forward its financial statement early enough to the Accountant-General of the Federation for scrutiny and onward transmission to the Auditor-General before May 31 of the following year. As pointed out by Mr. Ayine, the last report received from the Office of the Accountant-General was with respect to 2016, and it captured returns for 323 agencies. He said 65 agencies have submitted nothing since the inception of the Fourth Republic.

    As the buck for actions and inactions of the executive stops on the President’s table, we are surprised that these infractions have escaped his attention so far. Accountability should be scrupulously adhered to by all in a government that lays claims to fighting sleaze and graft in the public sector.

    The 8th National Assembly, like others before it, has failed the nation in raising the standards. So, the 9th assembly should take note and put an end to this odious practice. The next Senate President and Speaker of the House of Representatives should commence work by ensuring that only legislators of impeccable character and vast experience in the public and private sectors serve in the public accounts committees. The committees’ work is too important to be left for professional politicians.

    Where audit observations were made in the past, the agencies should be made to respond. Chief executive officers of the 65 agencies that have so far subverted the system by ignoring constitutional requirements should be brought to book as soon as possible. Those still in service, even if serving in other departments, should be punished as stipulated in the rules and regulations. We cannot keep doing the same thing the same way and expect a different result.

    President Muhammadu Buhari owes Nigerians who have reposed confidence in him by renewing his mandate the duty of ensuring discipline in the executive arm of government, while lawmakers cannot continue to demonstrate contempt for work, hoping that Nigerians will continue to excuse their aberrant behaviour on the ground of executive-legislature tiff. It is time for serious business.

  • Lawmakers shun audit reports

    No auditor-general’s report has been fully considered by the National Assembly since 1999, it was learnt at the weekend.

    The Auditor-General of the Federation (AGF), Anthony Ayine, urged members of the National Assembly to clear backlogs of audit reports submitted to them.

    In a paper titled: “The role of National Assembly in promoting public accountability”, which he presented at the ongoing orientation programme for senators-elect/members-elect of the Ninth National Assembly in Abuja.

    Ayine said that to the best of his knowledge, none of reports submitted to the National Assembly for consideration since 1999 has been fully attended to.

    He explained that for audit report to be seen to have been treated after submission, a resolution of the National Assembly must be transmitted to the Executive for necessary action.

    Ayinye explained that for audit report to be submitted to the National Assembly, “we work with the financial report of the Accountant-General of the Federation’s financial report.”

    According to him, his office has started work on the 2017 financial report for submission to the National Assembly for consideration, adding that the last report submitted was for 2016.

    “Good governance”, he said, “will remain a mirage in the country, without transparency (openness) and accountability.”

    Ayine said: “Corruption has stifled economic growth and development in our country. I am therefore optimistic that collaborative effects of efforts of the three arms of government in ensuring openness and accountability can put Nigeria on a good pedestal and enable her attain her place in the comity of nations where corruption is despised.

    “The two Public Accounts Committees (PACs) (of the National Assembly) should draw up time table for clearing backlogs of audit reports.

    Read also: Promissory Notes: NASS approved figures sent by Executive for Delta, Taraba States, says Saraki

    “Accountability has to do with stewardship while openness is important because nothing is hidden, a situation that makes corruption impossible.”

    Ayine, who stressed the need for a paradigm shift in the country, noted that the National Assembly could lead the way in being transparent through a demonstration of public accountability in handling its affairs, including finances.

    He noted that “transparency allows access to information, reinforces accountability and makes corruption difficult to be successfully perpetrated because corruption is usually a hidden affair.”

    The AGF insisted that the Public Accounts committees should ensure timely consideration of audit reports as well as take a dim view of late responses to audit queries by ministries, departments and agencies.

    For the AGF, public accountability will be greatly enhanced, if those in public positions begin to see governance as a social contract for the people they represent and realise that they are responsible to the public.

  • AGF raises alarm over untreated audit reports by NASS

    The Auditor General for the Federation (AGF), Anthony Ayine, has asked members of the National Assembly to take steps to clear mounting backlogs of audit reports submitted to them.

    Ayine said that there was no doubt that corruption has stifled economic growth and development in the country.

    The AGF stated this in a paper “The role of National Assembly in promoting public accountability” which he presented at the ongoing orientation programme for Senators-elect/members-elect of the 9th National Assembly, in Abuja.

    Ayine noted that to the best of his knowledge, there is no Auditor-General’s report that has been fully considered by the National Assembly since 1999.

    He explained for audit reports to be seen to have been fully considered after submission, a resolution of the National Assembly on the audit report must be transmitted to the Executive arm for necessary action.

    He explained that for audit report to be submitted to the National Assembly, “we work with the financial report of the Accountant General of the Federation financial report.”

    The AGF said that they were already working on the 2017 financial report for submission to the National Assembly for consideration.

    He said that the last report submitted to the National Assembly was for year 2016.

    Read Also: Our decision on NASS leadership supreme – APC

    Good governance, he said, will remain a mirage in the country, without transparency (openness) and accountability.

    Ayine said: “Corruption has stifled economic growth and development in our country. I am therefore optimistic that synergistic effects of efforts of the three arms of government in ensuring openness and accountability can put Nigeria on a good pedestal and enable her attain her place in the comity of nations where corruption is despised.

    “The two Public Accounts Committees (PACs) (of the National Assembly) should draw up time table for clearing backlogs of audit reports.”

    The AGF noted that accountability has to do with stewardship while openness is important because nothing is hidden, a situation that makes corruption impossible.

    Ayine, who stressed the need for a paradigm shift in the country, noted that the National Assembly could lead the way in being transparent through a demonstration of public accountability in handling its affairs, including finances.

    He noted: “Transparency allows access to information, reinforces accountability and makes corruption difficult to be successfully perpetrated because corruption is usually a hidden affair.”

    He insisted that the Public Accounts committees should ensure timely consideration of audit reports as well as take a dim view of late responses to audit queries by ministries, departments and agencies.

    For the AGF, public accountability will be greatly enhanced, if those in public positions begin to see governance as a social contract for the people they represent and realize that they are responsible to the public.

     

  • AuGF urges government on implementation of recommendations

    The Auditor-General of the Federation, Mr. Anthony Ayine, has identified the non-implementation of audit recommendations as a major challenge to good governance and winning the noble fight against corruption and pervasive malfeasance in the public sector.

    Mr. Ayine, made this known in his keynote address on Tuesday at the 48th bi-annual conference of the body of federal and state Auditors-General in Abuja.

    According to him, “The work of the auditor is to produce or come up with report. The next level is for the National Assembly to discuss these reports and take action.

    “What have been happening in the past is that people are not aware of the work of the auditors.

    “We are emphasizing about the issues of audit recommendations. When you make recommendations, and the recommendations are not implemented, then it will be difficult for our impact to be felt.

    “There are recommendations that should produce deterrent actions, but once not implemented, nobody will know the work of the auditor. This is one of the areas where we are also trying to enlighten the public.

    “We are working with public account committees, not only at the federal level, but also at the state level to ensure implementation. We are looking at best practices in other climes.

    “We also work closely with the executive arm. We are also taking steps to engage Ministries, Departments and Agencies (MDAs) of government to appreciate the fact that audit recommendations are for their own good; once implemented, they will bring improvement in the system.”

    The auditor-general therefore urged government at all levels to ensure the implementation of audit recommendations as this would not only block leakages, but also engender accountability, transparency and effectiveness of our economy.

    In line with the theme of the conference: “The role of supreme audit institutions in value creation”, Mr. Ayine urged states auditors-general on the need to create and add value even as they examine the financial activities of state actors and comment on their performances.

    According to him, “Quite often, some will give reasons why despite the existence of Audit offices across the three tiers, governance has been so weak across Nigeria. Reasons usually given include poor pay of the Auditors, lack of resources, lack of political will to do the right thing, etc.

    “These reasons may be valid and may have an impact on the ability of each audit office to function, but, there is also a responsibility on all of us to be able to show some value no matter how small the level of resources, or no matter how low the level of political will to do the right thing.”

    He encouraged the auditors to be innovative even as they carry out their very important roles of auditing in clear and well articulated findings and recommendations that would bring about growth and development in the polity.

    The Chairman, Body of Federal and State Auditors-General, Alhaji Abdu Usman Aliyu, urged participating auditors to be above board in their business and commercial relations.

    According to him, “This conference will not only facilitate knowledge sharing, improve quality performance and update your technical kills but also satisfy the conditions required to keep abreast with assigned responsibilities.”

  • AGF overpaid FIRS, DPR by N837bn in 2016 – OAuGF

    The recent report of the year 2016 Federal Government Financial Statement submitted by the Auditor General for the Federation, Mr. Anthony Ayine, to the National Assembly has revealed discrepancies in the amount payable to the Federal Inland Revenue Service ( FIRS) and Department of Petroleum Resources ( DPR).

    The whooping amount of N837,082,637.24 was paid in lump sum to the Federal Inland Revenue Service ( FIRS) and Development of Petroleum Resources ( DPR).

    The Report said:” Our examination of the Accountant-General’s Transcript and FAAC figures revealed that the FIRS and DPR were over paid cost of collection in the month August 2016 in the amounts of N305,922,200.48 and N531,160,436.78 respectively totaling N837,082,637.24.

    “It was observed that what was captured in the Accountant-General’s Transcript as payments for the month of August for FIRS and DPR as cost of collection differs from what FAAC approved in the FAAC file.

    “It is expected that only figures approved by FAAC are to be paid by the Accountant-General of the Federation. The difference resulted in overpayments of N837,082,637.24 by the Accountant-General to the two collecting agencies.”

    Read Also: NNPC, DPR to explain zero collection of revenue – AuGF

    Statutorily, the Federal Inland Revenue Service (FIRS) receives 4% of the monthly revenue as its cost of collection. Also, the Department of Petroleum Resources (DPR) receives 4% of monthly revenue it generates from Royalties on crude oil and gas concessions, rentals, gas flaring penalties, among others.

    Also, concerning the maintenance of excess crude oil/ppt/royalty account without legal authority, the report by the OAGF has shown that the Excess Crude Account (ECA), revealed that a sum of N361,230,422,517.15 was deducted from total Oil and Gas revenue collected before the balance was paid to the Federation Account.

    The report said: “Examination of records and documents presented to the Audit Team in respect of the Excess Crude Account (ECA), revealed that a sum of N361,230,422,517.15 summarized below and classified as PPT/Royalty was deducted from total Oil and Gas revenue collected before the balance was paid to the Federation Account.

    “These deductions would appear to contravene the provisions of Section 162 (1) of the Constitution of the Federal Republic of Nigeria, 1999 which states as amended.

  • NNPC, DPR to explain zero collection of revenue – AuGF

    The Auditor General for the Federation, Mr. Anthony Ayine, in his Annual Audit Report for 2016 has said that the Nigerian National Petroleum Corporation ( NNPC ) and the Department of Petroleum Resources (DPR) have cases to answer concerning the non-remittance of revenues for some months into the Federation Account.

    According to the report, “It was observed from the CBN Components Statements that no collections were reported into the Federation Revenue Account by some revenue collecting Agencies for certain months of the year. It was not clear from available records why these months recorded no revenue collections and no explanation was provided for this.

    “The Accountant-General has been requested to: Obtain an explanation from the Group Managing Director of NNPC and Director DPR for the non-collection of revenue during these relevant months. Ensure that any revenue found due for these months is remitted to the Federation Account, and evidence forwarded for audit verification.”

    Ayine added that another abuse of financial regulation of the 2016 budget was found in the illegal movement of monies from two dedicated funds to purposes other than for the mandates of the funds.

    He pointed out that monies were moved from the Stabilization Account for States and the Federal Government by the Presidency for the establishment of an Army Barracks and another sum as investment in the Sovereign Wealth Fund.

    The two acts, according to him, apart from not being tidy on framework of recovery, are illegal. Just as another case of lending out the Ecological Funds meant to strictly check ecological challenges without records to track recovery.

    “From available records, a total of N17,108,583,681.78 accrued from the Federation Account into 0.5% Stabilization Fund from January – December 2016.

    Read Also: AGF overpaid FIRS, DPR by N837bn in 2016 – OAuGF

    “During the examination of Central Bank, Bank Statements for the year, we observed that the sum of N2,812,694,928.36 was funds released to the Nigerian Sovereign Investment Authority (NSIA), and N14,374,728,817.20 to the Federal Ministry of Defense from the Stabilization Fund.

    “The Accountant-General has been requested to: Provide the authority for the Funds Invested, tenor of the investment, rate of interest payable, certificate for the funds invested and forward same for audit verification; Explain the utilization of N14,374,728,817.20 for the purpose of funding a new division contrary to the purpose for which the Fund was created; Provide evidence of refund of this sum of N17,187,423,745.56 back to the Stabilization Fund,” the report said.