The Senate Public Accounts Committee has again, summoned the Governor of Central Bank of Nigeria (CBN), Godwin Emefiele, giving him up till Thursday, to appear before it over the alleged disappearance of about $9.5 million interest, which accrued to the Federation Account from the Petroleum Profit Tax Investment.
The committee, which is currently scrutinising the reports of the Auditor General of the Federal (AuGF), alleged during its sitting on Monday that the principal sums deposited, the tenor and rate of interest, were covered in secrecy.
The Chairman of the committee, Senator Matthew Urhoghide, explained that Emefiele was being invited to clarify some figures in the statements of account.
He said the CBN governor had till Thursday this week to appear before the committee and address the issues.
The committee had two weeks ago summoned the officials of the apex bank over alleged disappearance of the fund, but no management staff of CBN honoured the lawmakers’ invitation.
The summon was sequel to the consideration of the AuGF’s report, which probed the spendings of the Federal Government’s agencies.
The report read: “During the examination of transfers to Foreign Excess PPT/Royalty and Foreign Excess Crude Accounts, it was observed that during the year 2016, amount totalling $6 million and $3.5 million were credited to the Foreign PPT/Royalty and Foreign Excess Crude Account as interest on funds investments.
“The authority for placing the funds which yielded the above interests totaling $9.5 million in deposit account, the principal sums deposited, the tenor and rate of interest were not made available for audit verification.
“This observation had also been a subject of my reports since 2017 without any positive response from Central Bank of Nigeria.
“Records made available for audit further revealed that the balance in the foreign PPT/Royaltt and Foreign Excess Crude accounts as at 28th December 2016 were USD0.00 and USD251,826 respectively. This suggest the foreign PPT/Royalthy was depleted before the year end.
“The Accountant General has been requested to provide the authority for the funds invested, tenor of the investment, rate unrest payable, certificate for the funds invested and forward same for audit verifications.”
Meanwhile, the Petroleum Profit Tax (PPT) is applicable to upstream operations in the oil industry. It is particularly related to rents, royalties, margins and profit sharing elements associated with oil mining, prospecting and exploration leases.
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