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Reps Summon FCT Area Councils Over ₦100 Billion Audit Infraction



The House of Representatives Public Accounts Committee has summoned the chairmen of all six Federal Capital Territory (FCT) Area Councils to appear before it over alleged financial irregularities exceeding ₦100 billion, as detailed in the Auditor-General's reports.


The councils involved are Abaji, Abuja Municipal Area Council (AMAC), Bwari, Gwagwalada, Kuje, and Kwali.The summons stems primarily from the Auditor-General's report for the year ended December 31, 2021, which uncovered widespread violations, including unremitted taxes and VAT deductions, failure to maintain updated Fixed Asset Registers, and unaccounted expenditures.


The report highlighted outstanding liabilities totaling ₦7.65 billion across the six councils as of the end of 2021. 


These liabilities encompass unremitted pension and Pay-As-You-Earn (PAYE) deductions, unpaid obligations for capital projects, unremitted Value Added Tax (VAT), and withholding taxes owed to entities such as the Nigeria Revenue Service, FCT Inland Revenue Service, Pension Fund Administrators, and contractors.


A breakdown of the liabilities shows AMAC leading with ₦2.19 billion, followed by Bwari (₦1.49 billion), Kwali (₦1.46 billion), Gwagwalada (₦1.01 billion), Kuje (₦892.2 million), and Abaji (₦593.8 million).The audit also criticized the councils for poor management of fixed assets. 


In Gwagwalada alone, non-current assets worth ₦336 million lacked proper documentation, raising risks of loss or misappropriation. 


Similar issues were noted in the other councils.Furthermore, the councils' total expenditure in 2021 reached ₦24.87 billion for personnel, overheads, and capital projects, an 89% increase (₦11.7 billion more) from 2020. 


However, 37% of funds allocated to capital projects could not be properly accounted for.Expenditure figures per council included AMAC (₦5.03 billion), Gwagwalada (₦4.66 billion), Kuje (₦3.85 billion), Kwali (₦3.84 billion), Bwari (₦3.74 billion), and Abaji (₦3.71 billion).


Additional audit findings from 2022 and parts of 2023 pointed to other breaches, such as understatement of Internally Generated Revenue (IGR), unauthorized disposal of assets, non-disclosure of statutory revenues, and failure to remit withholding taxes.


Committee Chairman Rep. Bamidele Salam confirmed receipt and review of the audit reports. 


He stated that separate letters had been sent to the council chairmen and their Directors of Finance, requiring them to appear and address the queries.


Salam described the February 11, 2026, appearance as a final opportunity, warning that non-compliance would lead the House to exercise its constitutional powers, including ordering arrests.


He further noted that the councils had failed to audit and submit financial accounts for 2023, 2024, and 2025, violating legal requirements.


 

 

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