The senate has commenced an investigation of officials of the Nigeria Social Insurance Trust Fund (NSITF) over alleged diversion and mismanagement of N61.1 billion.
To this end, the senate has asked NSITF’s management to appear before its Committee on Public Accounts today.
The committee, which is chaired by Mathew Urhoghide (Edo) is investigating the 2018 auditor general’s report.
The auditor general’s report had queried the NSITF over alleged diversion of N5.5 billion from its account to Zenith bank.
Also in another query, NSTIF was said to have paid N38.2 billion as personnel cost from 2012 till 2017 which was not approved by the National Salaries Income and Wages Commission and payment of N17.1 billion was transferred to some persons and companies from the same accounts.
The chairman of the committee, Mathew Urhoghide, while speaking, said the agency has over 50 queries to respond to before the committee which is the highest in 2018 Auditor General’s report.
However, the newly appointed director-general of NSTIF, Dr Michael Akabogu, appealed to the committee to go through the report and see if they can invite the former managing director to respond to.
The query reads,” Audit observed that the fund had been implementing a salary structure that is not approved by the National Salaries, Income and Wages Commission. As a result, irregular payment of N 38,219,919,530.32 by way of personnel cost was made to the staff of the Fund from 2012 to 2017.
“Risk Implementation of an unapproved salary structure may result in wastage of public funds, as remuneration may be higher than the productivity level of staff. Recommendation
“The managing director is required to provide the approval of the National Salaries, Income and Wages Commission for the implementation of the Fund’s salaries structure.”