The Nigerian Railway Corporation is facing further scrutiny by the House of Representatives over disputed financial transactions, including N6.62bn transferred to its outstations and alleged revenue under-remittances of N1.71bn.
The House Public Accounts Committee ordered further examination of the transactions at an investigative hearing on Monday after reviewing audit queries in the 2023 report of the Auditor-General for the Federation.
The committee also questioned a N2.86bn difference between revenue recorded in treasury receipt booklets and the amount recognised in the corporation’s audited accounts.
Lawmakers directed the reconciliation of the disputed figures and requested additional records from the NRC to establish the actual amounts involved and determine whether any liabilities remained outstanding.
The corporation’s Managing Director, Dr Kayode Opeifa, represented the agency at the hearing.
On the transfers to outstations, the committee examined the utilisation of N5.16bn reportedly sent to various districts. Although the NRC presented evidence of diesel purchases, lawmakers sought further explanations on the remaining transactions and constituted a reconciliation committee to review the records.
The committee also demanded supporting documents on the alleged N1.71bn shortfall in internally generated revenue remittances to the Consolidated Revenue Fund.
Beyond the three major queries, the audit findings identified other transactions requiring clarification, including 26 contracts valued at N858.6m allegedly awarded without appropriate authorisation and N410m in investment income reportedly not remitted to the Consolidated Revenue Fund.
The findings also flagged N19.6m spent on a chartered flight without sufficient evidence of utilisation, N221.8m in store-item expenditure without ledger charges and N136.3m spent on residential buildings without corresponding rental income.
Other questioned transactions included N39.45m in unretired cash advances, N28.13m spent on foreign trips without the required approvals and N4.64m in training fees allegedly paid in breach of the Federal Government’s e-payment policy.
The committee warned that public agencies found responsible for financial irregularities would face appropriate sanctions.
The ongoing review is intended to establish the actual financial position of the NRC and provide a basis for further decisions on the outstanding audit queries.
NRC Faces Reps Scrutiny Over N6.62bn Transfers, Revenue Remittances
