The Office of the Auditor-General for the Federation has revealed significant financial irregularities totaling at least N3.62 billion at the National Power Training Institute of Nigeria, located in Abuja. This alarming discovery includes N2.77 billion in unremitted tender fees, questionable contract payments, and purchases of items without proof of delivery, as detailed in the Auditor-General’s 2024 Annual Report on Non-compliance.

The report, which covers the period from January 1, 2022, to December 31, 2023, highlights nine key findings that amount to the staggering figure of N3.62 billion. Notably, the largest discrepancy involves N2,771,731,464.25 generated from the sale of bid documents and tender fees, which were not remitted to the Consolidated Revenue Fund (CRF) as mandated by government regulations. The auditors noted a lack of evidence supporting bid purchase transactions through Remita, as relevant documentation was not provided for examination.

In addition to the unremitted tender fees, the audit identified N547.21 million paid for various store items across 11 transactions, where no evidence of delivery or Store Receipt Vouchers was available. This absence of documentation raises concerns about potential payments for goods that were never supplied, indicating a risk of public fund diversion. The report recommended that the Director-General of the institute be held accountable for these funds and that they be recovered and remitted to the Treasury.

The audit also scrutinized N196.59 million allocated for three constituency projects involving the supply and installation of electricity transformers and solar streetlights in Ogun, Lagos, and Osun states. The report stated that the institute failed to provide evidence of contractor eligibility as required by the Bureau of Public Procurement, and there was no documentation to confirm that the supplied items were received.

Furthermore, N29.65 million spent on allowances and honoraria was flagged for being charged to the constituency project account without proper approval for fund transfers. The auditors recommended recovery of this amount and warned that sanctions could be imposed under Financial Regulations if the recommendations are not acted upon.

The report also highlighted an under-remittance of N4.12 million in Value Added Tax from contracts worth N136.86 million. The auditors emphasized the need for compliance with tax regulations, stating that the expected VAT of N10.26 million was not fully remitted to the relevant tax authority.

Other notable findings include N24.4 million in administrative charges lacking proper documentation, N10.68 million for certification without supporting evidence, and N22.45 million allocated for a youth and women training program that reportedly did not take place.

The auditors criticized the institute for failing to provide essential documents such as its trial balance and general ledger, which limited audit verification and undermined accountability. The absence of management responses to these findings has left the audit observations unresolved, pending the implementation of the recommendations.

In light of these findings, the Auditor-General has called for the Director-General to justify the lack of documentation before the National Assembly’s Public Accounts Committees and to submit the outstanding records for verification. The report warns of significant risks, including loss of public funds and inadequate internal controls, if these issues are not promptly addressed.