Anambra Audit Report Uncovers Over N725Million In Unretired Funds, Missing Vehicles, Fraudulent Contracts

NIGERIA — Anambra State Audit Report for the year ended December 31, 2024, has uncovered several unresolved financial queries across multiple ministries, revealing alleged fiscal indiscipline, unretired funds, missing government vehicles, and possible diversion of public resources.

The report, released by the Office of the State Auditor-General, flagged irregularities totalling over N725 million, spanning the Ministries of Commerce and Industry, Transport, Environment, and Information, as well as parastatals like the Anambra State Sports Development Commission and Anambra Broadcasting Service (ABS).

The audit revealed that N263 million released to the Anambra State Investment Promotion and Protection Agency (ANSIPPA) was not retired.

“The sum of two hundred and sixty-three million naira (N263,000,000.00) released through the ministry to Anambra State Investment Promotion and Protection Agency (ANSIPPA) was not retired by the recipients,” it said.

According to the report, the money was approved based on the governor’s approval as consultancy fees for a “mixed use industrial city master plan and development application for special economic zone licence for the state provided by Artelia Consulting Engineers Limited.”

“Request for release of two hundred and forty-three million naira (N243,000,000.00) was written by former Managing Director ANSIPPA and the Head of Department PPP/Business Development ANSIPPA who pledged through written undertaken to retire the money… Both releases were signed and collected by one Okoye Loretta for the Managing Director/Chief Executive Officer ANSIPPA,” the report said.

However, the auditors found no evidence of the master plan or the licence for which the funds were supposedly released.

“The purpose for the release of the sum of N243,000,000.00 could not be verified in the audit because no Master Plan was produced for audit sighting and inspection neither was the licence obtained by paying N10,000,000.00 out of the N20,000,000.00 produced for audit inspection and verification,” it said.

“This observation of non-retirement of capital releases negates the principles of financial accountability and fiscal responsibility. The Honourable Commissioner was directed to as a matter of urgency to cause the officers concerned to retire the amount or refund same to government coffers failing which the Honourable Commissioner should refund the money.”

In addition, three government vehicles, a Peugeot Panther (AN 339-E01) and two Ford Rangers (AN 40-A03 and AN 30-A03), could not be accounted for by the ministry.

It said, “The three vehicles were allocated to the Ministry from the Office of the Secretary to the State Government for official use.

“The Chief Driver of the Ministry did not respond to Audit invitation to answer questions pertaining to the missing vehicles.

“The Head of Department in charge of Administration could not provide any valuable information on this issue neither could the Permanent Secretary. Audit directed that the Ministry carry out further investigation with the view of recovering these vehicles and furnish me their findings for further necessary actions. Their response is yet to be received.”

The report also revealed N29.6 million in unretired imprests within the Ministry of Transport.

“The total sum of twenty-nine million, five hundred and ninety two thousand four hundred and seventy five naira (N29,592,475.00) was unretired imprests by various officers and payees of the Ministry,” it said.

“These observations were brought to the attention of the Honourable Commissioner who was directed to ensure that the payees concerned retire the amounts listed against their names or refund same to government treasury… Their response is yet to be received.”

One of the most striking findings involved a suspected fraudulent contract worth N158.36 million purportedly paid to one Victor Udegbunam of Paul Endwell Capital for the supply of 246 iron truck waste bins.

“Audit observed that the sum of one hundred and fifty-eight million, three hundred and sixty-two thousand five hundred naira (N158,362,500.00) was paid to one Victor Udegbunam… between March and December 2021… being the cost for production and procurement of two hundred and forty-six (246) pieces of iron truck waste bins,” it said.

However, auditors found no evidence of execution.

The report said, “Audit verification in the Ministry revealed that there is no record of this transaction… no evidence that the contract was executed.

“Further enquiry by audit… yielded no fruit… Audit suspects that the contract was not executed and the payments deliberately made to siphon fund from government coffers.

“The Honourable Commissioner was directed to obtain from the officers of the Ministry that facilitated the payments the necessary records and documents to support the payments, show the evidence of procurement and show the procured iron truck waste bins failing which, the money should be recovered and evidence of recovery forwarded for verification.”

The report also cited N5.1 million in unaccounted releases within the Ministry of Information and Public Enlightenment.

“The total sum of five million, one hundred thousand naira (N5,100,000.00) was released unaccounted for by various payees of the Ministry within the period under review,” it said.

“The Honourable Commissioner was directed to compel the concerned payees to account for and retire the amounts listed.”

The Anambra State Sports Development Commission was flagged for N131.89 million in unretired expenditures.

It said, “The total sum of N131,893,500.00 was unretired expenditures by various payees of the Anambra state Sports Development Commission.

“This observation was brought to the attention of the Chairman who was directed to compel the payees to retire the amounts listed against their names.

“Audit observed that the sum of one hundred and thirty-eight million, three hundred thousand, six hundred and eighty-three naira (N138,300,683.00) was released to Anambra Broadcasting Service (ABS) for restructuring and sustainability of the Media station.

“The former Managing Director of ABS claimed to have spent the sum of one hundred and twenty-nine million, seven hundred and twelve thousand, eight hundred and forty-seven naira (N129,712,847) on project executions, office maintenance and purchases leaving a balance of eight million, five hundred and eighty-seven thousand, eight hundred and thirty-six naira (N8,587,838.00) unaccounted for.

“Further verification of the disbursements of the N129,712,847.00 showed that the former managing director awarded contracts without following due process; no evidence of tender advertisement; no evidence of contract companies registration with State government; no evidence that the payments to the various payees were not either retired, retired with fictitious receipts, receipts attached not related to particulars of payment, item purportedly purchased not taken on store ledger and job purportedly done not clearly stated.

“Audit was not allowed access to the project sites neither were the items purchased produced for audit inspection. The former Managing Director was directed to clearly explain these observed breaches with verifiable evidence and also account for the sum of N8,587,836.00 being balance unaccounted for or refund the amount to government coffers and furnish me evidence for verification.”

“The response is yet to be received,” it added.

This development comes amid calls for accountability across states in Nigeria and in the face of quoted inadequate revenue for developmental needs.

* Saharareporters