By Secrets Reporters
Precision may be at the heart of mathematics, but financial records of the National Mathematical Centre have revealed contract and expenditure irregularities involving ₦1,078,786,372.08 during the 2022 and 2023 financial years.
The findings, contained in a review of the Centre’s financial activities for the two-year period, covered six separate issues involving contract awards, payment for works and supplies, empowerment programmes, budgetary expenditure and the distribution of procured items.
The largest finding involved ₦612,150,068.04 in contracts awarded in violation of due process. The Public Procurement Act 2007, particularly its provisions on procurement methods and fundamental principles, requires procuring entities to comply with prescribed procedures, including competition, transparency and accountability in the award of public contracts. The contracts identified in the finding were therefore reported as having been awarded without compliance with the required procurement process.
Similarly, ₦227,198,751.04 was paid for works and supplies for which there was no evidence that the underlying works or supplies had been executed. The Financial Regulations 2009 require government expenditure to be supported by appropriate documentation and evidence of the goods, works or services for which payment is made. The absence of evidence of execution therefore constituted a breach of the financial control requirements governing government payments.
Additionally, ₦86,745,250.00 was linked to irregularities in another cluster of contract awards. The Public Procurement Act 2007 establishes procedures governing the solicitation, evaluation and award of public contracts and requires procuring entities to conduct procurement in accordance with the statutory framework. The finding consequently concerns non-compliance with the prescribed procurement procedures.
Moreso, ₦62,997,742.00 involved irregularities in the award and payment of a youth and women empowerment contract. Under the Public Procurement Act 2007, contracts financed with public funds are subject to the prescribed procurement procedures irrespective of the nature or intended beneficiaries of the programme. The finding therefore relates to irregularities in the procurement and payment process for the empowerment contract.
However, ₦60,051,061.00 was spent on expenditure that was not provided for in the Appropriation Act. Under the Constitution of the Federal Republic of Nigeria 1999 (as amended), Section 81, no money may be withdrawn from the Consolidated Revenue Fund or other public funds of the Federation except as authorised by an Appropriation Act or other legislation. The expenditure identified was therefore outside the approved budgetary provision.
Furthermore, ₦29,643,500.00 in supplies and distributed items was not accounted for. The Financial Regulations 2009 require government stores, supplies and expenditure to be properly recorded and supported by appropriate documentation. The failure to account for the identified supplies therefore constituted a breach of the prescribed financial and stores-control procedures.
