THE Auditor-General of the Federation (AGF) has accused the Vice-Chancellor of Michael Okpara University of Agriculture, Umudike (MOUAU), Prof Professor Maduebibisi Ofo Iwe, of paying for jobs that were not executed.
In the 2022 AGF Report seen by Economy Post, the AGF said, “Two contracts for the rehabilitation of the Vice-Chancellor’s Lodge amounting to N87,657,729.88 were awarded and fully paid to each of the contractors by the University on 16th August, 2021. The first contract was awarded at a contract sum of N37, 806, 748,92, while the second was awarded at the contract sum of N49,850,980,96. Physical examination of the first contract revealed that items in the Bill of Quantities such as window and nets, Panasonic 2HP split air conditioner, replacement of gate, finishing, boys’ quarters, garage and maintenance of existing windows amounting to N25,584, 460 were not supplied by the contractor.”
Similarly, the report also alleged that physical examination of the second contract revealed that “items in the Bill of Quantities such as furnishing of lounge/living room, imported leather of seven (7) seaters, main sitting room, children’s room, electronics, and visitors room, amounting to N5,006,000 were not supplied at the time of physical verification, amounting to N30, 590,000.”
The report attributed the anomalies to the weak internal control system of Michael Okpara University of Agriculture, Umudike, highlighting that that the situation risked resulting in the diversion of public funds.
The university and its VC did not respond to the AGF’s query over the whereabouts of the money, prompting the nation’s chief auditor to recommend that the VC account for the N30.590 million to the publuc account committees of the National Asssembly, while recovering and remitting the money to the treasury. Failure to do so would attract sanctions relating to jobs not executed and irregular payment specified in paragraphs 3104 and 3106 of the Financial Regulations (2009).
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Non-remittance of IGR
The report further alleged that the sum of N2.316 billion was the internally generated revenue (IGR) of the university in 2021, “and 25 percent of the IGR, amounting to N578,957, 098 was not remitted to the Consolidated Revenue Fund as at the time of of the audit in 2022.”
Neither the VC nor the management of the university provided any explanation as to why it happened and the whereabouts of the money, prompting the AGF to recommend that the VC account for the N578.957,098 to the publuc account committees of the National Asssembly, while recovering and remitting the money to the treasury. Failure to do so would attract sanctions relating to the failure to remit the government revenue as specified in Paragraph 3112 of the Financial Regulations (2009).
Spending of public funds on Christmas, Salah gifts
The report also indicted the VC of irregular spending of public funds through monetiation of festival gifts. “Nine payments totalling N64,020, 310 were made to the staff of the university between February and December, 2021. The staff purpotedly received the payments for the purpose of Christmas gifts, Salah gifts, etc and there was no budgetary provision for the monetisation of festival gifts.”
The report described the situation as misappropriation of public funds, urging the VC of the institution to recover and remit the money to the treasury. Failure to do so would attract sanctions relating to poor management of cash and irregular or wrong payment as specified in paragraphs 3115 and 3106 of the Financial Regulations (2009).
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Contract award without due process,payment of overseas trips without approval
The report equally accused the VC of paying N6.131 million for overseas trips without approval. The report also indicted the VC for awarding N1.882 billion contracts without due process.
“Sixty-two contracts totalling N1,882,696,235.65 were awarded to various contractors to carry out construction, perimeter block wall, etc between February and December 2021. Evidence of advert placement on at least two (2) National Newspapers as required under Section 15 (ii) of the Public Procurement Act, 2007, was not provided. No bill of quantity to determine the scope of work carried out and materials used, and minutes of Tender Board’s meeting to show evidence of approval for the contracts was not presented for audit.”
Neither the VC nor the management of the university provided any explanation as to why it happened, prompting the AGF to recommend that the VC account for the N1.882 billion to the publuc account committees of the National Asssembly, while recovering and remitting the money to the treasury. Failure to do so would attract sanctions relating to irregular payment as specified in Paragraph 3106 of the Financial Regulations (2009).
