The House of Representatives on Wednesday expressed displeasure over the non-compliance by revenue-generating agencies of the government on standard operating procedures and other allied service-level agreements signed among deposit money banks, the Office of the AGF, Nigeria Interbank Settlement System (NIBSS), and the Central Bank of Nigeria (CBN).
The House also resolved to investigate revenue leakages through the Remita platform.
The House directed the House Committee on Public Accounts, chaired by Hon. Bamidele Salam, to conduct a comprehensive investigation into the Remita platform’s activities and report back for further legislative action.
The resolution followed the adoption of a motion titled “Call to Investigate Revenue Leakages and Non-Remittance of Revenues Generated through the Remita Platform,” sponsored by Rep. Jeremiah Umaru (APC, Nassarawa), and Rep. Jafaru Gambo (APC, Bauchi) respectively during the Plenary session.
While leading the debate on the motion, Rep. Umaru noted that Nigeria “is not experiencing an expenditure issue but rather a revenue issue.”
He pointed out that the House also noted that “Remita is a software cum financial service platform owned by System-Specs, a private company in charge of managing government revenues. It has served as a gateway for the Treasury Single Account (TSA) of the Federal Government since 2012, though fully adopted in 2015 and used in the collection of government revenues over the years.
According to him, “over 8.7 trillion naira had been processed through the platform before the deployment of the software. The Nigerian government had over 15,000 bank accounts operated by Ministries, Departments, and Agencies (MDAs).
“The proliferation of accounts has moved from deposit money banks to the Central Bank of Nigeria, allowing MDAs to create multiple sub-accounts, thereby negating the TSA Policy of the Federal Government.
He further explained that “the TSA system has created a cashless economy, transparency, and effective tracking of cash assets with attendant accountability. It has not indeed fully blocked leakages and abuses by the proliferation of CBN Sub-Accounts.
Again, the lawmaker noted that 1% of the funds collected is charged as commission for making use of the platform and shared among the stakeholders and Deposit Money Banks (processor) and the Central Bank of Nigeria (License issuer) in the ratio of 50:40:10 respectively. This is alarming and unacceptable.
Consequently, he expressed concern that “despite the benefits and reasons for onboarding the Remita Platform, the rate of revenue leakages is worrisome, apart from non-compliance substantively with standard operating procedures and other allied service-level agreements signed by parties.
“Disturbed that if this scenario continues unabated, the government will continue to experience a revenue shortfall, and this will prevent the government from meeting the rising demand for good governance and infrastructural development from citizens.
Concerned that a larger percentage of deposit money banks has formed the habit of delay in onward remittance or sweeping of revenues collected to the Central Bank of Nigeria.”
When it was unanimously supported by other members, the motion was put to a voice vote by Speaker Hon. Tajudeen Abbas, who presided over the Plenary session.
READ ALSO FROM NIGERIAN TRIBUNE
As part of efforts to combat malaria and improve healthcare delivery in Ondo State, Governor…
She only realized it might be hers nearly a year later
"This unfortunate incident is a slap in the face of the Nigerian education system and…
...JAMB to subject the candidates to “another round of mental torture, stress and risk”
A food systems specialist, Azubike Nwokoye, has revealed that Nigeria can generate $50.4 billion annually…
The CCB is based on several factors, including the number of children in your care,…
This website uses cookies.