Time To Check The Recurring Payroll Fraud

The latest revelation by the Independent Corrupt Practices and Other Related Offences Commission (ICPC) on the discovery of 908 suspected ghost workers across more than 50 federal ministries, departments and agencies (MDAs) has once again exposed one of the most enduring forms of corruption in Nigeria’s public service.

The ICPC’s findings should concern every public-spirited Nigerian. The Nigeria Police Force reportedly accounted for the highest number of suspected ghost workers, with 570 names, while the National Water Resources Authority, the Federal Ministry of Works, the Ministries of Foreign Affairs, Defence, Power, Health, Industry, Trade and Investment, the Office of the Head of the Civil Service of the Federation, and several other agencies also featured in the investigation.

Ironically, the police force which is supposed to fight all manner of crime and enforce the country’s laws is the worst culprit in this crime.

Sadly, these are institutions that provide essential public services and consume substantial public resources. That they could become breeding grounds for payroll fraud exposes glaring weaknesses in governance and oversight.

According to the anti-graft agency, the fraud thrived because of loopholes in the Integrated Payroll and Personnel Information System (IPPIS), weak verification processes, abuse of privileged access by payroll administrators and poor oversight.

Even more disturbing is the revelation that some officials inserted the names of relatives, associates and even non-existent persons into the payroll, diverting salaries into personal and company accounts. One suspect allegedly enrolled his wife, son and mother-in-law as government workers while also collecting the salaries of 12 other employees. Such brazen abuse of office amounts to economic sabotage.

The ICPC’s recovery of nearly ₦942 million in fraudulent salary payments is commendable and demonstrates that anti-corruption institutions can still uncover leakages in government finances.

However, the responsibility does not rest solely with anti-corruption agencies. The Office of the Accountant-General of the Federation, the Office of the Head of the Civil Service of the Federation and the leadership of the affected MDAs must conduct comprehensive reviews to identify officials who facilitated or condoned these fraudulent activities.

Corruption on this scale rarely occurs through the actions of one individual. It usually thrives because of negligence, complicity or deliberate connivance. Supervisory officials who failed to detect the manipulation, or knowingly looked the other way, must also be held accountable.

Nigeria’s experience with ghost workers is not new. Successive administrations have attempted to tackle payroll fraud through various technology-driven reforms and verification exercises. During the administration of former President Goodluck Jonathan, the introduction of the Integrated Personnel and Payroll Information System (IPPIS) was intended to sanitise the federal payroll and eliminate fictitious workers. The exercise reportedly uncovered thousands of ghost workers and generated significant savings for the government.

The campaign continued under former President Muhammadu Buhari. In February 2016, a Bank Verification Number (BVN)-based audit removed 23,846 ghost workers from the federal payroll, reducing the monthly wage bill by about N2.29 billion. Later that year, the Continuous Audit Team announced the discovery of more than 43,000 ghost workers across federal MDAs, with estimated savings of between N50 billion and N51 billion.

Subsequent verification exercises and payroll reforms also led to the removal of thousands of fictitious names and savings running into hundreds of billions of naira at both the federal and state levels.

What the latest discovery demonstrates, however, is that technology alone cannot defeat corruption. Payroll fraud will persist unless those responsible face meaningful consequences.

Strengthening systems, though necessary, is not enough. Dishonest officials will always seek new ways to exploit weaknesses unless they know that detection will be followed by swift and certain punishment.

That is why, as a newspaper, we urge the government to move beyond periodic discoveries and adopt a sustainable strategy that combines technology, accountability and enforcement. Payroll databases should undergo regular independent forensic audits. Biometric verification should be continuous rather than occasional, while access to payroll systems must be tightly controlled and monitored through transparent digital audit trails.

There is also a need to integrate personnel records with national identity databases to prevent impersonation and multiple identities. More importantly, heads of government institutions must bear responsibility for breaches that occur under their watch. Agency heads cannot continue to plead ignorance whenever large-scale fraud is uncovered within their organisations.

The Tinubu administration has repeatedly pledged to block financial leakages, strengthen governance and promote fiscal discipline. The latest ICPC report presents an opportunity to demonstrate that these commitments are backed by action. Only thorough investigations, speedy prosecutions and exemplary punishment will convince Nigerians that the government is serious about ending this recurring form of fraud.

Nigeria has conducted several payroll clean-ups and recovered billions of naira, yet the persistence of ghost workers shows that the missing ingredient has been deterrence. The country must make an example of those who manipulate public payrolls for personal gain.

Coming on the heels of the scandal surrounding the discovery of the fake Presidential Foreign Intervention Promotion Council (PFIPC), this latest payroll fraud presents the government with another opportunity to identify, expose and publicly prosecute those responsible for stealing public funds. Doing so would send a clear message that impunity will no longer be tolerated within the public service.

It is only when perpetrators are exposed, stripped of their illicit wealth and punished in accordance with the law that Nigeria will begin to win the long battle against payroll fraud and ghost workers.