Reps probe recall of capital funds released to MDAs

The House of Representatives on Wednesday resolved to set up an Ad Hoc Committee that will probe Budget Office of the Federation over the recall of funds released to ministries, departments and agencies (MDAs) for implementation of capital projects in the 2016 Appropriations Act.

The resolution was passed following the adoption of the motion which seeks to checkmate the activities of Director General of the Federation, who allegedly breached the Appropriations Act signed into law in May 2016 by Mr. President.

Agbedi Frederick (PDP-Bayelsa) who led the debate on the motion under urgent national importance, out of the sum of N21,816,546,653 approved by National Assembly for FERMA, only N10.3 billion was released as at October 2016.

He however frowned at the directive of the Director General of Budget Office, compelling Federal Road Management Agency (FERMA) to remit to the Treasury the sum of N8 billion out of N10.3 billion already released to it vide warrant No. W01/00006938 for the execution of capital projects, leaving it with only N2.3 billion.

The lawmaker noted that the directive has impeded the agency to repair and maintain dilapidated roads across the country.

“FERMA has already prioritise its capital projects while it has advertised in line with the procurement Act 2007 and that contractors desirous to work for the agency have spent hard earned monies to buy Tender documents, which they are now bound to lose by the directive from Director General, Budget Office of the Federation.”

He maintained that the Director General of Budget Office has no justification to vire funds without the approval of the National Assembly.

“The House is worried that if the action of the Director General, Budget Office of the Federation is not curbed and nip in the bud, he planned execution of capital projects by FERMA and agencies of government will be crippled,” Frederick said.

To his end, Yussuff Lasun, Deputy Speaker who presided over the plenary session assured that the Adhoc Committee will be set up to investigate the allegation.