The House of Representatives has given the chairmen of the six Area Councils in the Federal Capital Territory (FCT) a February 11 deadline to appear before its Public Accounts Committee over alleged financial irregularities totaling over N100 billion.
The Auditor-General’s report, covering the year ended December 31, 2021, indicted the Abaji, Abuja Municipal, Bwari, Gwagwalada, Kuje, and Kwali area councils of widespread financial mismanagement, including unremitted tax and VAT deductions, poor asset management, and unaccounted expenditures.
*ALLEGED INFRACTIONS:*
– Outstanding liabilities of N7.65 billion as of December 2021
– Unremitted pension deductions, Pay-As-You-Earn (PAYE), Value Added Tax (VAT), and withholding taxes
– Failure to properly maintain Fixed Asset Registers
– Understatement of Internally Generated Revenue (IGR)
– Unauthorised disposal of assets
– Non-disclosure of statutory revenue
– Failure to remit withholding taxes to relevant authorities
The report also raised concerns over the councils’ expenditure of N24.87 billion in 2021, with 37% of funds allocated to capital projects unaccounted for. The implicated councils are Abaji, Abuja Municipal, Bwari, Gwagwalada, Kuje, and Kwali ¹ ² ³.
The House Committee has warned that failure to appear on the specified date will result in the invocation of constitutional powers to compel their appearance ¹.
