Senate Demands Answers Over ₦200trn Discrepancy”

The Nigerian Senate Committee on Public Accounts has launched a scathing attack on the Nigerian National Petroleum Company Limited (NNPCL) over a staggering ₦200 trillion discrepancy in its audited financial statements.

The committee, chaired by Senator Aliyu Wadada, has given the NNPC’s finance team an ultimatum of one week to provide detailed explanations and justifications for the massive legal and auditing fees, as well as the contradictory receivables worth over ₦210 trillion between 2017 and 2023.

During an investigative session on Wednesday, the Chief Financial Officer of NNPC, Dapo Segun, was grilled by the committee over the absence of detailed records and documentation regarding the legal services rendered and the auditing fees.

The panel expressed concern over the lack of transparency and accountability in the company’s financial dealings, describing the revelations as “mind-boggling and worrisome”.

Senator Wadada stated that the main concern is with the receivables, which he said do not match the figures presented in the audited report.

“Trillions of naira are in question, and the new document they presented this afternoon doesn’t match what’s already in their audited report. It’s completely independent and contradictory,” he said.

The committee’s concerns are based on a thorough analysis of NNPC’s audited financial statements spanning 2017 to 2023, which revealed discrepancies and contradictions that raise serious questions about the company’s financial management and accountability.

The committee has handed over a list of 11 queries to NNPC’s finance team, which must be answered within a week.

The Senate’s investigation into NNPC’s financial dealings is a significant development in the country’s efforts to promote transparency and accountability in the management of public resources.

The NNPC, as a state-owned enterprise, is expected to operate with the highest level of transparency and accountability, and the Senate’s findings suggest that the company may have fallen short of these expectations.

The implications of the Senate’s findings are far-reaching and could have significant consequences for the NNPC and its management.

The company may face further scrutiny and investigation, and its management may be held accountable for any wrongdoing or mismanagement. The Senate’s investigation is also likely to have implications for the country’s oil and gas industry, which is a critical sector of the economy.

As the NNPC’s finance team works to respond to the Senate’s queries, the company’s management must take immediate action to address the concerns raised by the committee.

This includes providing detailed explanations and justifications for the legal and auditing fees, as well as the contradictory receivables. The company must also take steps to improve its financial management and accountability, including implementing more transparent and robust financial reporting systems.

Ultimately, the Senate’s investigation into NNPC’s financial dealings is a wake-up call for the company and its management. It highlights the need for greater transparency and accountability in the management of public resources and underscores the importance of effective oversight and scrutiny in ensuring that state-owned enterprises operate in the best interests of the Nigerian people.