The Nigerian National Petroleum Company Limited’s failure to transfer funds to the federation account will be the subject of inquiries by the House of Representatives.
This came after the plenary on Tuesday approved a resolution by Uduak Odudo titled “Need to investigate the non-remittance of due taxes by the Nigerian National Petroleum Company Limited into the Federation Account.”
Odudo, a PDP member from Akwa Ibom State’s Ikot Abasi/Eastern Obolo Federal Constituency, moved the resolution. He cited Section 162(1) of the Constitution of the Federal Republic of Nigeria, 1999 (as amended), which establishes “The Federation Account,” which is responsible for receiving all monies collected by the federal government of Nigeria, with the exception of those that are exempted therein.
He also noted that the said “Federation Account” belonged to the entire federation with the Federal Government tasked with keeping same in trust for the three tiers of government.
According to Odudo, the distribution of revenue between Nigeria’s federal, state, and local governments is based on the criteria established in the allocation of revenue.
“The NNPCL averred that the Federal Government owed it over N4trn of subsidy payments, power debt and other sundry charges and therefore would not remit until the debts are recovered.
“Note that the non–remittance accusation and counter accusation are tantamount to a calculated attempt to disrespect and downplay the collective intelligence of Nigerians,” the motion reads.
According to the lawmaker, “The fate of the national development largely depends on how transparent and accountable relevant government agencies and corporate entities are in the collation, remittance and distribution of revenues solely acquired.
“Section 6 of the Allocation of Revenue (Federation Account, etc) Act, established the Federation Account Allocation Committee to among other functions, report annually to the National Assembly in respect of the function under the Act,” he said.
