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CBN, NSITF yet to pay 50% equity in FMBN
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CBN, NSITF yet to pay 50% equity in FMBN 

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The House of Representatives yesterday frowned at the failure of the Central Bank of Nigeria (CBN) and the Nigeria Social Insurance Trust Fund (NSITF) to pay up their equity capital as shareholders of the Federal Mortgage Bank of Nigeria (FMBN).

Managing Director, Federal Mortgage Bank of Nigeria (FMBN), Ahmed Dangiwa, who appeared before the House Public Accounts Committee, said Federal Government owns 50 per cent equity stake, while the CBN and NSITF own 30 per cent and 20 per cent respectively.

Chairman of the Committee, Hon Oluwole Oke, wondered why the CBN and NSITF have not paid up their equity shareholding as stipulated by FMBN Act.

Oke directed the Clerk to write to the appropriate authorities asking them to do so. Oke, who led other members of the committee at an investigative hearing on audit queries by Auditor-General of Federation on Ministries Departments and Agencies (MDAs), was also upset that FMBN and the Tertiary Education Trust Fund (TEFFUND) have five years of unaudited accounts.

The House described this as worrisome and gross violation of the constitution.

Oke lamented that the audit queries raised by the Office of Auditor-General of the Federation on the MDAs had shown that the revenue profile of the agencies was on the decline as earlier pointed out by the Ministry of Finance.

He was displeased with the non-compliance of the agencies to the extant provision of the laws on audited accounts despite having made previous appearances to the Committee on the contentious issue.

Dangiwa informed the committee that the audited accounts were ready but was only awaiting agency’s board approval.

He said the present management of the bank had inherited the five years of unaudited accounts from their predecessors in office, adding that they have made efforts to clear the outstanding.

Earlier, the Committee had turned down the presentation one Mr Idris Alkali, a representative of the Executive Secretary of TETFUND Prof Suleiman Bogoro, who asked he be excused for attending official duties.

 

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