Nigeria To Investigate Banks Over False Remittance

The Federal Government of Nigeria has begun investigating commercial banks for irregularities in remittances of revenue by some of them engaged in the collection of non- oil revenue for the federation account.

Money deposit banks across the country would be scrutinized as their activities concerning the receipt and remittances to the federation account of taxes and duties from the Federal Inland Revenue Service (FIRS) and the Nigerian Customs Service (NCS) have come under question to ascertain the extent of diversion by the banks.

The Revenue Mobilization, Allocation and Fiscal Commission (RMAFC) had earlier revealed that it discovered a wide range of irregularities and will work transparently to recover every excess deduction and stop further leakages.

At a news conference in Abuja, the chairman of RMAFC, Elias Mbam said the Federation Accounts Allocation committee (FAAC) has authorized it to carry out an investigation of the bank’s activities beginning from January 2008 to June 2012.

A total of 21 banks in the country have been contracted by the FIRS and the NCS to collect taxes and duties for the country.

Federal, state and local governments share N621 billion for February

The Federal, state and the local government areas in Nigeria will share the sum of N621 billion for the month of February, 2012.

This was disclosed by the Minister of state for finance, Yerima Ngama after the Federation Account Allocation Committee (FAAC) meeting in Abuja on Monday.

Mr Ngama said that the federal government got a total of N260 billion while the states and local government areas got a total of N131 billion and 111 billion respectively.

He said that the thirteen per cent mineral derivations accruing to oil producing states stood at over N60 billion for the month of February.

According to the Minister, the amount shared in February shows an increase of over N6 billion of the funds shared in January 2012.

There were fears that the three tiers of governments may not have enough money to share for the month of February because as at last week the Nigerian National Petroleum Corporation, Federal Inland Revenue Service and the Nigerian Customs Service had not remitted revenues for the month of last month into the Federation Account.

This according to sources was the reason why the FAAC meeting did not hold last Friday.

Last year, the monthly FAAC meeting was postponed several times because of NNPC’s N450 billion indebtedness to the Federation Account. The corporation later agreed to pay the debt in instalments.

Last month, the Federal, states and local governments shared N614 billion for the month of January as against N616.93 shared in December, 2011.