Abuja – The University of Abuja seems to be in trouble over alleged mismanagement of N603 million from N2.4 billion generated internally.
The Auditor-General of the Federation had raised concern in 2017 report over alleged mismanagement of N603 million out of N2.4 billion generated internally by the institution.
The Senate Public Accounts Committee(SPAC) has, however, sustained the query of the Auditor- General of the Federation against the University of Abuja over alleged mismanagement of N603 million from N2.4 billion generated internally.
The University of Abuja was expected to remit the N603 million in to Consolidated Revenue Fund(CRF), which is 25 percent of the revenue generated in the institution.
However, the Vice Chancellor of UniAbuja, AbdulRasheed Na’Allah, while responding before Senator Matthew Uroghide led panel, claimed that the money generated internally was not enough to run the affairs of the institution, adding that they were forced to spend N603 million that was meant to be remitted to the federation account. Na’Allah said: “Peculiarity of the universities in Nigeria is clear and does not have enough IGR to remit to the consolidated revenue fund as adduced by the auditor-general. “The universities collect only third party revenues from students. “Revenue collected are for specific purpose such as union dues, ID card, medical fees, laboratory fees usually refers to other charges.
“Cost recovery concept is adopted by the university. “For instance, ID card charges were used to process ID cards for students.
These revenues are not enough for the purpose collected and therefore the capacity for the university to remit surplus is lacking.”
But Senator Urhoghide represented by the Vice Chairman of the Committee, Senator Ibrahim Hadejia, demanded for the refund of N603 million to the CRF.
The query read: “The federal circular reference no. BO/ REV/12235/259/VII/201 dated 11th November, 2011 issued by the Honorable Minister of Finance restricting expenditure on IGR to 75% while 25% is to be remitted to the CRF.
“During the review of financial records and documents, it was observed that the university generated the sum of N2,413,787,645.48 internally in 2016 and 2017.
“The yearly revenue generated internally was N1,463,097,604.13 in 2016 and N950,690,041.35 in 2017. “Meanwhile, the university failed to remit 25% of its IGR amounting to N603,446,911.37 to the Consolidated Revenue Fund (CRF).
“Non-remittance of the IGR shows lack of control in the expenditure of public fund. Furthermore, funds for developmental purpose sis tied down.
“The Vice Chancellor is required to remit the sum of N603,446,911.37 being25% of IGR to the CRF immediately and forward evidence of remittance to my office for confirmation.”
