The House of Representatives Committee on Finance has uncovered over N65 billion of unpaid revenue remittances from Federal Airports Authority of Nigeria (FAAN).
Chairman of the committee, Rep. Abiodun Faleke made this known during an investigative public hearing with the leadership of FAAN led by the Managing Director, Captain Rabiu Yadudu on Tuesday.
Faleke said that the total sum of expected revenue remittance was N74.66 billion from FAAN from 2014 to 2019, but only N9 billion was remitted.
“We have given you information that 2014 we expected N9.48 billion from the actual money collected but you remitted ₦500 million.
“In 2015 we expected N10 .89 billion was expected but you remitted only N2.151 billion. This is according to your records. We are not even dealing with Accountant-General’s records; even your remittances do not tally with Accountant-General’s record.
“In 2016, we expected N11.6 billion. You remitted N1.565 billion. 2017, we expected N13.19 billion; you remitted N1.511bn.
“In 2018, the government expected N14 billion; you remitted N1.788 billion. 2019, you were expected to remit N15.49 billion but you remitted N1.35 billion.
“Between 2014 and 2019 the government, by our law, should have earned N74.663 billion from FAAN but what was earned was just N9 billion. You are part of the system that underpaid the government.”
The committee chairman emphasised that what the federal government borrowed to finance the agency’s budget was “not up to the amount you under remitted”.
“You did not build new airports; even if you had built new airports, you do not have the authority to spend that money. You have to seek the approval of the National Assembly,” he said.
The committee gave the management of FAAN three weeks to report back with relevant documents.
“I just want you to have records when you are coming back; the records we need from you.
“We expect all original receipts from 2014 to 2019 for your remittances; the list of invoices you issued to your customers and the value; the reason for the difference between your remittance and the actual collection; your internal auditor’s report; comprehensive details of contracts awards from 2014 till date showing tax deducted and the original treasury receipts of those remittances, and your bank statements for First Bank and Zenith Bank and any other bank.
“We need the documents four days before our meeting date.”
