Omololu Ogunmade in Abuja  

The Senate wednesday said it had uncovered the rot in the recently concluded transfers of the federal government’s funds to the treasury single account (TSA) domiciled with the Central Bank of Nigeria (CBN).

Consequently, the chamber ordered its committees to immediately begin the probe of the alleged abuse of the transfers.
According to the parliament, the transaction was contracted to an e-collection agent, REMITA, which collected 1 per cent of the entire N2.5 trillion moved to the TSA.

This 1 per cent commission, the Senate added, translated to a whopping N25 billion earned by REMITA from the transfers in gross violation of Section 162(1) of the 1999 Constitution.

It also added that the N25 billion paid to the company was not all that had so far been paid to REMITA, disclosing that payments to the company has remained a continuous process.

Section 162(1) of the constitution provides that “the federation shall maintain a special account to be called the federation account into which all revenues collected by the government of the federation except the proceeds from the personal income tax of the personnel of the Armed Forces of the Federation, the Nigeria Police Force, the ministry or department of government charged with foreign affairs and the residents of the FCT, Abuja”.

The Senate held that going by this provision, all revenues accruable to the federal government ought to be paid directly to the TSA as the case may be and not shared with anybody.

The Senate mandated its joint Committee on Finance, Banking and Other Financial Institutions and Public Accounts to carry out a holistic investigation into the transfers and report its findings within four weeks.

The upper parliamentary chamber also asked the Ministry of Finance and the CBN to forthwith suspend payments to the consulting firm, REMITA, until the outcome of the investigation is made public.

The chamber which however commended President Muhammadu Buhari for the enforcement of transfers to the TSA, added that the essence of the initiative was to prevent keeping government revenues or their spread in various accounts outside the CBN.

The mover of the motion, Senator Dino Melaye (Kogi West), said he was aware that by the policy directive, all agencies generating revenues for the government such as the Nigeria Customs Service (NCS), Federal Inland Revenue Service (FIRS), Nigerian National Petroleum Corporation (NNPC) and Bureau of Public Entreprises (BPE), among others, were to pay all revenues they generated to the consolidated revenue fund.

He added: “The Senate observes that in the course of the operations of the TSA, the federal government on the 15th of September, 2015 mopped up the sum of N2.5 trillion through its e-collection agent called REMITA which charges 1 per cent of all monies passing through it, the implication of which 1 per cent of the N2.5 trillion mopped up on 15th September, 2015 alone amounted to N25 billion largesse to REMITA for doing nothing.”

Melaye further added that the appointment of REMITA as operations agent for the TSA was illegal because it contravened the provision of Section 162(1) of the constitution.

Furthermore, Melaye said given the constitutional provision, “the CBN is the sole institution that is mandated to collect and disburse monies on behalf of the federal government and where it has no branch, it may appoint another bank as agent to perform the function of collections and disbursement of revenue on behalf of the government of the federation, so using REMITA which is not a registered bank completely offends the CBN Act”.

He also described the development as a violation of BOFIA Act of 2007 which according to him, provides that no person(s) shall carry out any banking business in Nigeria unless the company is incorporated in Nigeria and holds a valid licence under the Act.

Melaye further argued that anyone who transacts business without a valid licence as stipulated by the Act is guilty of an offence and upon conviction liable to 10 years imprisonment or a fine of N2 million or both.

He added: “The activities of REMITA is a gross violation of the BOFIA Act and another attempt at ripping Nigerians of task payers’ money that would have been channelled to other sectors of the national economy.”

The motion generated a heated debate in the chamber as senators condemned the development and demanded its thorough probe.
In his contribution, Senate Leader, Ali Ndume, described it as sabotage and advocated the need to compel the culprits to refund the money. “I do not believe that this could happen under this government. However, if it is true, the people involved are saboteurs and must be compelled to return the money and face the wrath of the law,” he said.

Ndume, who also said he had asked the CBN Governor, Mr. Godwin Emefiele, about the scam, told his colleagues that Emefiele denied knowledge of it.

While supporting the motion, Senator Enyinnaya Abaribe (Abia South) sarcastically mocked the All Progressives Congress’ (APC) claim of change.

“Is this the change we are looking for? I will not ask the question. Somebody made the decision. Who gave the order? Somebody then must be made responsible. In matters like this, we must not be partisan. I fully support the motion. It is beyond the party,” he said.

Also speaking, the Deputy Senate Leader, Ibn Na'Allah, called on his colleagues to ensure that the right step is taken to address the unwholesome development. “The Eighth Senate is distinct and must do what is right and in accordance with the law. We will do what is right at all times.
“The Eighth Senate will not subject itself to public referendum through the social media,” he said.

In his contribution, Senator Shehu Sani (Kaduna Central) said whereas, the TSA is a good idea designed to move the economy forward “it is clear that the idea is being abused and exploited. We have to investigate the matter”.

In the same vein, Senator Bassey Akpan (Akwa Ibom North-east) said: “If nothing is done on this matter, it will lead the youth of this country on a nationwide protest against this government.

“There is a total collapse of the road network and other infrastructure facilities in the country.”

On his part, Senator Kabiru Gaya (Kano South) said everything possible must be done to recover the funds.

He said: “This is a government of change and the Eighth Senate should not leave any stone unturned in bringing the N25 billion back to the treasury.”

In his contribution, Senate President Bukola Saraki said the “committee has to quicken investigation because it is no longer acceptable for Nigeria to lose money to private organisations”.

http://www.thisdaylive.com/articles/senate-uncovers-rot-in-tsa-remittances-begins-probe/225391/

Lalasticlala

Lol! And they called GEJ incompetent and blind to everything going on around him...

I was nearly convinced too !!

Are you kidding me? See scam in broad day light. Who agreed and signed this deal? The person should be checked. I'm sure the person has a share in the 1% of the monies passing through REMITA. Jeez!!!

REMITA....REMI Tinubu Ahmed.....LOL!

PRYCE:
Lol! And they called GEJ incompetent and blind to everything going on around him...

I was nearly convinced too !!

Go & read the background story about how the contract was drawn up, beneficiaries, clauses & come edit this post..

Thx...

dearpreye:
REMITA....REMI Tinubu Ahmed.....LOL!

@Akaebube that was touting it on twitter has retreated & gone silent after the real yam eating "goats" behind both Remita & systemspecs were unearthed..

& have you asked yourself how unwise Jonathan really was if he indeed he gave a Fed government job to the face of opposition

Do an introspection & draw up your own conclusions..

modath:



Go & read the background story about how the contract was drawn up, beneficiaries, clauses & come edit this post..

Thx...

Still Miss Modath! A local government Chairman Whom GEJ has never seen, infact in an APC state; Steals and you lot blame GEJ for it!

I only generalised! He's the president... and whomever holds him responsible for the everything that happens in Nigeria ISN'T WRONG!

Chai!! This change people no go kill pesin!! N25 billion ni under just 1 month? Kai Buhari has finished us

PRYCE:
Lol! And they called GEJ incompetent and blind to everything going on around him...

I was nearly convinced too !!

Devil and APC graduated from the same lying school.

PRYCE:
Still Miss Modath! A local government Chairman Whom GEJ has never seen, infact in an APC state; Steals and you lot blame GEJ for it!

I only generalised! He's the president... and whomever holds him responsible for the everything that happens in Nigeria ISN'T WRONG!

If you know anything about the civil service you'd consider things from a different perspective. ...

When Perm Secrs & Ministers "contribute" to PCO & the "power that be" does not deem it fit to ASK from which account of the MDAs it was sourced from like the heads of MDA have side businesses.. ... said more than enough, deduce the rest...

We are all partisan but some are more objective than some..

modath:



@Akaebube that was touting it on twitter has retreated & gone silent after the real yam eating "goats" behind both Remita & systemspecs were unearthed..

& have you asked yourself how unwise Jonathan really was if he indeed he gave a Fed government job to the face of opposition

Do an introspection & draw up your own conclusions..

You see the LOL! na. ......good morning.

dearpreye:


You see the LOL! na. ......good morning.

Morning to you too...

REMI TINUBU AHMED

USELESS GOVERNMENT.

dearpreye:
REMITA....REMI Tinubu Ahmed.....LOL!

Hmmm

It's a shame that some people are too lazy to do little research before jumping at conclusion on any issue.

akin7686:
It's a shame that some people are too lazy to do little research before jumping at conclusion on any issue.

The jumping to conclusion fits right into their bias & sentiments, no need preaching to the choir..

Leave them be, dem go rest soon, dem don dey tire .

[s]

modath:



@Akaebube that was touting it on twitter has retreated & gone silent after the real yam eating "goats" behind both Remita & systemspecs were unearthed..

& have you asked yourself how unwise Jonathan really was if he indeed he gave a Fed government job to the face of opposition

Do an introspection & draw up your own conclusions...

[/s]

borrow me your pucccy for one night


@Op

apc is scam headed by a kunu drinker with fura d'nunu brain.

Buhari is a Hopeless gworo chewing terrorist - Nasir Elrufai

[s]

modath:



The jumping to conclusion fits right into their bias & sentiments, no need preaching to the choir..

Leave them be, dem go rest soon, dem don dey tire .

[/s]
trash trash trash