Reps summons NNPC’s GMD, heads of 17 subsidiaries over mismanagement of funds

 

Oredola Adeola

The House of Representatives’ Committee on Public Accounts has written a letter requesting Mr. Mele Kyari, Group Managing Director of the Nigerian National Petroleum Company Limited, to produce all the 17 heads of its  subsidiaries  this week to answer to audit queries issued them.

Oluwole Oke, Chairman, Public Accounts Committee (PAC) , issued the summon in a letter to Kyari, dated March 16, 2022, and titled, ‘Consideration of the Auditor General for the Federation’s Annual Report on Federation Account 2014-2019 Financial Year and Non-Rendition of Audited Account by the NNPC Subsidiaries Covering the Period 2014-2019 to the Auditor General Office.’

The Committee had earlier indicted the GMD NNPC of being complicit and shielding the 17 subsidiaries from responding to the queries on their expenses from 2014 to 2019
 
The Committee said, “Pursuant to section 85, 88 and 89 of the 1999 Constitution as amended and Order XX Rule 6 of the House of Representatives Standing Order, I write to, again, request you to provide all the managing directors of the following 17 NNPC subsidiaries with their accounting officers to appear before the committee and answer all issues raised against them in the above subject matter.”

The subsidiaries include the Nigerian Petroleum Development Company Limited, Kaduna Refining and Petrochemical Company Limited, Pipeline and Products Marketing Company Limited, Duke Oil Company Inc, West Africa Gas Limited, and Nidas Marine Limited, which are to appear on Wednesday, March 23, 2022. Also, Hyson (Nigeria) Limited, Nigeria Gas Company, National Engineering and Technical Company, National Petroleum Exchange, NNPC Pensions Limited, and Warri Refining and Petrochemical Company are billed to appear on Thursday, March 24, 2022, while the Port Harcourt Refining Company, the NNPC Retail Limited, Integrated Data Service Limited, National Petroleum Investment & Management Services, and Petroleum Products Pricing Regulatory Agency are expected to appear before the Committee on Friday, March 25.

They are required by the summon to provide copies of their audited accounts from 2015 to 2021 in compliance with Financial Regulation No, 3210(v), and evidence of submission of copies to the Office of the Auditor-General Office for the Federation.

The Committee is also asking for evidence justifying non-cooperation in respect of constitutional checks conducted based on Section 85(4) of the Constitution of the Federal Republic of Nigeria.

The committee had earlier accused the group managing director of the NNPC of shielding its subsidiaries from honoring summons to appear before it and answer audit queries issued against them.

Hon. Oke, had on Tuesday during the investigative hearing, accused the NNPC and its subsidiaries of mismanagement of public funds running into several trillions of naira over the years.

While threatening that the Committee will no longer accommodate the resentment to summons by the agencies of the Federal Government, the PAC chairman revealed plan by the committee to extract the queries from the audit reports before it and publish them in the national dailies for the general public as well as the Presidency to see how the people saddled with the responsibility of running the concerned bodies were doing so.

Hon Oke further instructed GMD to personally lead the heads of the 17 subsidiaries to the hearing this week to respond to the queries.

Meanwhile, Umar Ajiya, Chief Financial Officer, CFO, who represented the Group Managing Director, GMD, Mele Kyari in his response to the summon claimed the GMD would never shield the heads of its subsidiaries.

He further assured the legislature that the GMD of the nnpc  would appear at the next scheduled dates this week.

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