The Nigerian Governors’ Forum (NGF) has called on the National Assembly to engage the services of an audit firm to conduct what it described as a ‘comprehensive independent forensic audit into the alleged unremitted $10 billion crude oil revenue to the Federation Account.
The demand followed a meeting chaired by the forum’s chairman, Rivers State Governor Chibuike Rotimi Amaechi, in Abuja on Wednesday, January 15, 2014.
The dispute arose from an allegation by Central Bank of Nigeria Governor Sanusi Lamido Sanusi that the NNPC had failed to remit $49.8 billion in oil revenue to the Federation Account.
Although the petroleum corporation maintained that it had accounted for the disputed funds, the governors said the explanation did not establish that the money had been properly deposited or appropriated.
Amaechi, reading the forum’s communiqué, said the National Assembly should commission an independent examination of the transactions.
“We accordingly call on the National Assembly to institute a comprehensive independent forensic audit by an international reputable firm,” he said.
The governors compared the disputed $49.8 billion, which they valued at approximately N8.5 trillion, with two years of Nigeria’s national budget.
They also raised concerns about declining allocations to state governments, suggesting that the reduction in revenue could be connected to the disputed oil proceeds.
“We fear that the recent decline of state revenues is not unconnected with the financial diversion,” the communiqué stated.
The governors’ position was a call for further investigation, rather than a determination that the entire amount alleged by the Central Bank governor had been misappropriated.
Forum Accuses Federal Government of Breaching Budget Consultation Requirements
The governors also criticised the federal government’s preparation of the 2014 budget, alleging that state governments had not been consulted before the Medium-Term Expenditure Framework and Fiscal Strategy Paper for 2014 to 2016 were submitted to the National Assembly.
They cited Section 11, Part II of the Fiscal Responsibility Act, 2007, which they said required the federal government to consult states before presenting the expenditure framework.
According to the communiqué, the required consultations had not taken place.
The forum further complained that the National Economic Council, where federal and state officials could discuss fiscal matters, had not met for four months.
The governors linked the absence of regular meetings of statutory institutions to difficulties in addressing financial and security matters.
They called for the resumption of meetings of the National Economic Council, the Council of State, the Nigeria Police Council, and the Federation Account Allocation Committee.
The forum urged the federal government to observe the established constitutional arrangements for consultations between federal and state authorities.
Governors Condemn Police Action at Rivers Rally
The forum also addressed the disruption of a Save Rivers Movement rally in Rivers State, condemning the conduct of police officers during the gathering.
Senator Magnus Abe was reportedly injured during the incident and subsequently hospitalised.
The governors alleged that police officers had used excessive force against participants in the rally, including firing rubber bullets.
They condemned the disruption and expressed concern about the security situation in the state.
The allegations concerning the police response were presented in the forum’s communiqué.
