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Civil
Service Corruption: Image source: stomachinfrastructure.com; ©BusinessDay
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Much has been written and massive exposures made of
the corruption of the political class but not much has been written, exposed or
known of the corruption in the civil service, perpetrated by the civil
servants, both at the State and Federal levels. It has a more
devastating effect and I tell you, Nigeria may not recover economically if we
fail to pay attention to that sector and save the country from total collapse.
I am sure that many
Nigerians have not forgotten that one of the cogent and compelling reasons why
a majority of Nigerians voted massively for President Muhammadu Buhari was the
fact that he promised to fight corruption in Nigeria to a standstill. His
promise was boosted by the fact that he possesses the capacity to nib
corruption in the bud. Not only does he possess the capacity, he had
demonstrated that he neither tolerated nor condoned corruption and corrupt
persons in the past. Though his assets are yet to be declared publicly, the
information at the disposal of some persons close to him indicate that he is a
man of moderate means, despite the positions of authority and lucrative
assignments he has carried out on behalf of the Nigerian state in the past.
Buhari was a governor,
a minister of petroleum, a head of state and chairman of the Petroleum Trust
Fund, under the Abacha’s regime. These are clearly lucrative positions that he
could have used for unjust enrichment. He chose otherwise, thereby endearing
himself to many Nigerians, young and old, who are tired of the embarrassment of
corruption in every facet of our national life. It got to a stage under the
last dispensation that another name for Nigeria was ‘corruption’. No serious
fight was waged by the last regime against corruption and corrupt practices.
Agencies like the Economic and Financial Crime Commission (EFCC), and the
Independent Corruption Practices & Other Related Offences Commission (ICPC)
that were created by law to fight and end corruption were purposely and
brazenly crippled and disabled to wage any war against the vice.
…a recent finding of
the House of Representatives Committee on Finance reveals that many ministries,
departments, and agencies (MDAs) have over the years failed to remit part of
their revenue to the Consolidated Revenue Fund of the Federal Government in
line with the Fiscal Responsibility Act and the Nigerian Constitution. The
revelation is to the effect that a total of 52 federal government agencies have
failed to remit about 9 Trillion Naira Independent Generated Revenue (IGR) to
the government between 2009 and 2012 and more than 10 Trillion Naira was
generated and not remitted between 2013 to 2015.
There is corruption in
the public and private sectors. In the public sector, we have the corruption of
the political class which is very pervasive, destructive and harmful and the
corruption of the civil servants which is more deadly and possesses the potency
for mass destruction of both living and non-living things in the polity. The
corruption by the civil servants remains the worst form of corruption in the
system.
Much has been written
and massive exposures made of the corruption of the political class but not
much has been written, exposed or known of the corruption in the civil service,
perpetrated by the civil servants, both at the State and Federal levels. It has
a more devastating effect and I tell you, Nigeria may not recover economically
if we fail to pay attention to that sector and save the country from total
collapse.
As analogy, a recent
finding of the House of Representatives Committee on Finance reveals that many
ministries, departments, and agencies (MDAs) have over the years failed to
remit part of their revenue to the Consolidated Revenue Fund of the Federal
Government in line with the Fiscal Responsibility Act and the Nigerian
Constitution. The revelation is to the effect that a total of 52 federal
government agencies have failed to remit about 9 Trillion Naira Independent
Generated Revenue (IGR) to the government between 2009 and 2012 and more than
10 Trillion Naira was generated and not remitted between 2013 to 2015. Is this
not worrisome considering that the country has been running a deficit budget
and had resorted to borrowing from both the domestic and external debt markets?
It is reported that 18 States are owing arrears of salaries, some upwards of 11
months, with Akwa-Ibom being the least with one month salary arrear.
The Fiscal
Responsibility Act 2007 provides that every Corporation shall establish a
Surplus and General Reserve Fund and shall allocate thereto, at the end of each
financial year, one-fifth of its operating surplus for the year. The balance of
the operating surplus shall be paid into the Consolidated Revenue Fund of the
Federal Government not later than one month, following the statutory deadline
for publishing each Corporation’s Accounts. Each Corporation shall not later
than three months after the end of its financial year cause to be prepared and
published its audited financial reports in accordance with such rules as may be
prescribed from time to time.
The List of Culprits
The above quoted law is
observed in breach by almost all government agencies and parastatals. The
biggest culprit is the Nigerian National Petroleum Corporation (NNPC) and its
subsidiaries. Between 2009 and 2012 their IGR was a total of N6 Trillion but
they did not remit a kobo of this amount to the Federation Account. I am in
doubt whether any has been remitted up till date. The Central Bank of Nigeria
(CBN), according to report, raked in N2 Trillion between the same time but only
remitted 7.5 percent of that amount to the Consolidated Revenue Fund.
A breakdown of
investigation showed that while in 2009 the agencies raked in IGR to the tune
of N3.06 Trillion, remittance to the treasury was N46.8 Billion or 1.53%; in
2010, N3.07 Trillion was generated but remittance was a paltry sum of N54.1
Billion or 1.76%. In 2011, N3.17 Trillion was generated but remittance was
N73.8 Billion or 2.33%.
The Federal Airports
Authority of Nigeria (FAAN) generated a total of N112 Billion and remitted only
0.04% of this to the government treasury; the Nigerian Maritime Administration
and Safety Agency (NIMASA) raked in a total of N122 Billion through IGR and
remitted 7.43%. In the same vein, the Nigerian Ports Authority (NPA) generated
a total of N442 Billion but paid in only 5.59% of this. Nigerian Communications
Commission (NCC) generated N141 Billion and remitted only 8.53% of the sum.
Bank of Industry (BOI), Joint Admissions and Matriculation Board (JAMB),
Corporate Affairs Commission (CAC), Federal Radio Corporation of Nigeria
(FRCN), National Agency for Food and Drug Administration and Control (NAFDAC),
West Africa Examinations Council (WAEC), National Pension Commission (PenCom),
Standards Organization of Nigeria (SON), Federal Mortgage Bank of Nigeria
(FMBN), Federal Inland Revenue Service (FIRS), National Broadcasting Commission
(NBC), and Nigerian Television Authority (NTA) are all guilty of this
non-remittance to the Consolidated Revenue Account of the Federation.
Why will government
agencies spend money that is not appropriated by the National Assembly you may
ask? It is pure impunity, simple.
A breakdown of
investigation showed that while in 2009 the agencies raked in IGR to the tune
of N3.06 Trillion, remittance to the treasury was N46.8 Billion or 1.53%; in
2010, N3.07 Trillion was generated but remittance was a paltry sum of N54.1
Billion or 1.76%. In 2011, N3.17 Trillion was generated but remittance was
N73.8 Billion or 2.33%. These Agencies have been exploiting the loophole in the
Fiscal Responsibility Act 2007 which allows agencies to remit to the treasury
based on an operating surplus framework. What agencies do is to spend as much
as possible, leaving little or no surplus for the treasury. As said earlier all
the agencies are in breach of this extant law.
Imagine, if all these
Internally Generated Revenues are properly accounted for and remitted to the
treasury, these funds could be used for capital projects to develop the country
and create jobs for the teeming jobless youths. Why will government agencies
spend money that is not appropriated by the National Assembly you may ask? It
is pure impunity, simple.
…the proceedings in
court against subsidy scammers of year 2012 have remained at the preliminary
stage till date with no serious attempt made to ensure successful prosecution
of the culprits.
It is reported that the
federal government borrowed money recently to pay monthly salaries and I was
shocked at this information. If you take into account that eighteen (18) out of
thirty-six (36) states are owing salaries for several months, you are further
shocked at these revelation since you are aware that things ought not to be so
in the light of the several trillions of naira generated by government
parastals and agencies but which are not remitted to the federal treasury.
Despite all the crocodile concerns shown by the previous government pertaining
to the pervasive corruption in the civil service, not much was achieved in
stopping it. When revelations were made of certain agencies that failed to
remit to the federal treasury, the government usually turned deaf ears and
blind eyes and failed to insist that they remit these sums as required by the
law or face sanctions.
If we go back to
records, there were many occasions when findings were made, either by the
outgone Seventh National Assembly, their committees and even by established
institutions against the Nigerian National Petroleum Corporation and its
subsidiaries of non-remittance to the Federation Account, yet those findings
were either ignored or at best snubbed at by the then Minister of Petroleum,
Mrs. Diezani Allison Madueke. Furthermore, the proceedings in court against
subsidy scammers of year 2012 have remained at the preliminary stage till date
with no serious attempt made to ensure successful prosecution of the culprits.
Suggestion and the Way
Forward
The President Muhammadu
Buhari must understand his position in the present history of Nigeria and
appreciate the burden Nigerians have entrusted on his shoulders, and on his
government. Nigerians desire a stop to corruption and/or its reduction to the
barest minimum. They also demand that he recovers all the stolen money from
corrupt political office holders and civil servants who have bled this country
to the adverse position we are in today. Not only must he recover all from
them, he must also punish them in order to send a clear message that the
country will no longer tolerate the level of impunity with which these
characters bled Nigeria’s treasury. This is the clear way for the incumbent
President to go in order to retain the confidence and trust of the citizens in
his new government. Anything short of this will signal the unfortunate end of
the romance this government enjoys with the majority of Nigerians, especially
the progressive elements in the country and in diaspora.
The time to act is now
Mr. President!
Monday Onyekachi Ubani, is a former Chairman of
Nigeria Bar Association, Ikeja Branch.
This was delivered as a
lecture at the recent Press Conference of Nigerians Unite For Democracy held in
Lagos, Nigeria.
Originally published in
PREMIUM TIMES BLOG
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