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EXPOSED: NNPCL inflated subsidy claims by N3.3 trillion – Audit Report
A forensic audit conducted by KPMG, a global accounting firm, has uncovered a significant discrepancy in the fuel subsidy claims made by the Nigerian National Petroleum Company Limited (NNPCL).
The audit revealed that NNPCL inflated its fuel subsidy claims by a staggering N3.3 trillion, according to a report done by iWitnessLive.
Initially, NNPCL reported spending N6 trillion on fuel subsidy, with the government of former President Muhammadu Buhari paying a substantial portion.
However, NNPCL’s Group CEO, Mele Kyari, claimed that the company was still owed N2.8 trillion. Just hours after President Bola Tinubu’s announcement that fuel subsidy had been eliminated, Kyari stated that the federal government still owed NNPCL N2.8 trillion for petrol subsidy payments, which the company had covered from its cash flow.
The government has yet to reimburse NNPCL for this amount, the May 2024 report said.
“Since the provision of the N6tn in 2022, and N3.7tn in 2023, we have not received any payment whatsoever from the Federation.
“That means they (the Federal Government) are unable to pay and we’ve continued to support this subsidy from the cash flow of the NNPC. We are waiting for them to settle up to N2.8tn of NNPC’s cash flow from the subsidy regime and we can’t continue to build this,” he said.
Meanwhile, the Nigerian Government plans to conduct a fresh audit of the N2.8 trillion fuel subsidy claim made by NNPC Limited, following a reconciliation by KPMG that reduced the claims to N2.7 trillion.
The audit, which will cover 2015-2021, aims to verify the authenticity of NNPC’s claims. The Office of the Auditor-General for the Federation (OAuGF) will lead the audit, with the option to engage an external firm for additional support.
The decision was made during a Federal Account Allocation Committee (FAAC) meeting in March 2024, where members discussed the need for an independent audit to prevent conflicts of interest.
The Minister of Finance and Coordinating Minister of the Economy, Wale Edun, emphasised President Tinubu’s commitment to the forensic audit, while commissioners from various states shared their perspectives on the matter.
According to the minutes, the Ogun State Commissioner for Finance suggested engaging an independent auditor to ensure a conflict-free exercise, benefiting all tiers of government. The Niger State finance commissioner supported this stance, emphasizing inclusiveness and objectivity.
Rivers State, however, noted that an independent auditor doesn’t guarantee success, recommending a combined approach with OAuGF and external firms.
The Federal Commissioner, Revenue Mobilization, Allocation and Fiscal Commission/Chairman, Indices and Disbursement explained that the audit aims to resolve outstanding claims, including the reduced N2.7tn claim against NNPC Limited.
KPMG’s initial audit recommended further investigation. The meeting concluded that OAuGF will lead the audit, with external support as needed.
“Contributing, the Federal Commissioner, Revenue Mobilization, Allocation and Fiscal Commission/Chairman, Indices and Disbursement observed that the proposed audit was in respect of some outstanding claims which include the N6tn against NNPC Limited that was subsequently reduced to N2.7tn after initial reconciliation. He informed members that KPMG which carried out the earlier audit exercise of NNPC had looked at some of the claims and recommended further audit to resolve them.
“Concluding, the meeting agreed that OAuGF would be considered first and an external audit firm would be engaged when necessary to provide additional support,” the minutes read in part.
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Enugu Govt, Landmark Africa Group seal deal to revamp, reposition Nike Lake Resort
….We’ll make you proud, restore Nike Lake’s past glory – Landmark
…Plans N10bn investment in first phase
The Enugu State Government and the Landmark Africa Group have sealed a deal to revamp and further develop the potentials of Nike Lake Resort, Enugu.
The deal is a joint venture in which the state government has given Nike Lake Resort as an asset, while Landmark is going to provide the management and operations of Nike Lake Resort to return it to its former glory, investing up to N10bn in the first phase of the partnership.
Governor Peter Mbah described the Public Private Partnership (PPP) deal as another step that would bring the state closer to his administration’s ambition of growing the state’s economy to $30bn in the next six years.
This was even as the Landmark Group pledged to not only invest the initial N10bn, bring in up to two million visitors into Enugu, annually as well as create jobs, and ramp up the state’s Internally Generated Revenue, IGR.
Speaking during a brief deal-signing ceremony at the Government House, Enugu, Mbah who described Nike Lake Resort as iconic, said his administration was intentional in the choice of Landmark Africa Group, given its superlative pedigree and experience in the hospitality industry.
“Landmark Group is a known name in the hospitality sub-sector. Your reputation and experience preceed you. So, I was glad when I became aware that you indicated interest to come and manage and run the Nike Lake Resort.
“The entire country can identify with Nike Lake. Therefore, the optimisation of the activities of the Resort is quite consistent with what we call connecting the dots in line with ambition to grow our economy to $30bn in the next six years. So, we hope that this size of investment you mentioned is going to happen immediately,” he stated.
The governor reiterated his administration’s commitment to doing everything within its powers to build infrastructure, including the Enugu-Opi-Nsukka Road on the Resort’s corridor, to boost business and investment.
“For us, we are intentional and deliberate on attracting investors here and we will do everything as government to see you have your return on investment.
“This year alone, we have earmarked N800bn to provide infrastructure of various forms – the physical infrastructure, the social infrastructure and the digital infrastructure. We are spending hugely to ensure that this place becomes the premier destination for investment, business, tourism, and living. This is in line with our governance philosophy.
“We have awarded and indeed flagged off the dualisation of Enugu-Opi-Nsukka Road. That means another ease of doing business and we will continue to build and create more infrastructure that will see other investors of Landmark’s pedigree come here.”
He advised prospective investors, who are still skeptical to come on board as Enugu was open for business.
In his remarks, the Founder and CEO of Landmark Group, Paul Onwuanibe predicated Landmark’s interest in Nike Lake Resort on Mbah’s infrastructural strides, improved security as well as the facility’s and Enugu’s potential as a tourism hub. He assured that they would restore the Resort to its past glory.
“I know this is one of the states that not only has the position as a good governance state, but also one that has also made great progress in a short period of time under the administration. We want to be greatly part of it and part of that transition that takes Nike Lake to its past glory.
“We will make you proud of the decision you have made today. We will make sure that this is going to be a very big win. We are going to increase the number of jobs here. We intend to invest over N10bn in the first phase of the partnership. And we believe from the employment perspective, from the supply chain, and value chain, from taxes and from visiting numbers, including international visitors, it is going to be a big win for Enugu State,” he stated.
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Pope Francis suffers injury after fall at his Vatican residence
Pope Francis has suffered his second fall in as many months and bruised his forearm, the Vatican said Thursday, adding that he was wearing a sling.
The 88-year-old, who has been in increasingly fragile health in recent years, fell at the Santa Marta residence where he lives in the Vatican but did not break any bones, the press office said in a statement.
“This morning, due to a fall at the Santa Marta house, Pope Francis suffered a contusion on his right forearm, without fractures. The arm was immobilised as a precautionary measure,” it said.
In December 2024, the Argentine sported a large bruise on his right jaw caused by a fall from his bed.
The pope, who took over as head of the Catholic Church in 2013, suffers recurring health issues, from pain in his knee and hip to various recent episodes of bronchitis, and has relied on a wheelchair since 2022.
But Francis remains very active, completing in September a four-nation trip, the longest of his papacy in terms of duration and distance.
Pope escaped two attempts on his life during his historic trip to Iraq in March 2021, according to excerpts from his forthcoming autobiography, according to Italian media.
The pontiff’s Vatican security detail received an urgent warning from the British secret services, Francis wrote.
“A woman packed with explosives, a young suicide bomber, was heading towards Mosul to blow herself up during the papal visit,” he wrote in “Hope,” which goes on sale in over 80 countries in January.
“And a van had also set off at great speed with the same intention,” he added, according to excerpts from the book published by the Italian daily Corriere della Sera daily. (AFP)
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Anambra govt shuts brothel, evacuates 10 sex workers
Operation Clean and Healthy Anambra (OCHA Brigade), an agency of the Anambra State government has shut down a brothel in Amawbia, Awka South Local Government Area.
The brothel, Happiness Guest House is said to be notorious for harbouring sex workers, drug peddlers and other criminals.
No fewer than ten sex workers were rescued by the enforcement team, including underaged girls during the visit.
A press release by the Managing Director of the agency, Chief Celestine Anere stated that the operation was embarked upon, after due monitoring of the place.
He said, “This operation was carried out after intelligence report showed that their illegal activities has aided all kinds of crimes, ranging from drug trafficking, under-aged sex workers.
“The brothel is also a hideout for armed robbers and all sorts of criminal activities.”
He vowed to ensure that the operators of the facility are arrested and prosecuted to serve as deterrent to others who might be running similar illegal activities in the State.
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