The House of Representatives has uncovered N63.6 billion worth revenue under-remitted revenue by the Federal Airport Authority of Nigeria (FAAN) between 2014 and 2019.
The House discovered this Tuesday during an investigative hearing meeting between the Committee on Finance and FAAN at the National Assembly Complex, Abuja.
Chairman, House Committee on Finance, James Faleke disclosed that out of total sum of N74.663 billion expected revenue from FAAN between 2014 to 2019, the sum of N9 billion was remitted within the period under review.
Faleke explained that out of total sum of N9.48 billion expected revenue from FAAN, it remitted N500 million in 2014; remitted N2.15 billion out of N10.89 billiin in 2015 and N1.565 billion remitted out of N11.6 billion expected revenue in 2016.
He said, FAAN remitted the total sums of N1.511 billion, N1.778 billion and N1.539 billion against N13.19 billion, N14 billion and N15.49 billion expected revenues for 2017, 2018 and 2019 fiscal years respectively.
The Committee queried the FAAN management over the discrepancies between the internally generated revenue realized by FAAN and the records provided by the Auditor General of the Federation and demanded for original copies of all the receipts of payments.
Thus, the Committee directed the FAAN Managing Director to provide relevant documents of remittances made so far and reasons why the agency defaulted in meeting its financial obligations as provided by the financial regulations within one week.
It further directed that all outstanding revenue should be paid into government coffer without further delay and expressed dismay over the level of disregard and impunity by previous FAAN management.
Responding to various allegations on the under-remittances, FAAN Managing Director, Rabiu Yadudu declined that the agency cannot afford to comply with the extant financial regulations on remittance of 25% operating surplus.
Yadudu explained that out of the 23 existing airports, 18 are not viable while the revenue accruing from the three viable airports are used to subsidize the others.
He stated that relevant documents which highlights various constraints facing the agency have been submitted to the supervisory Ministry of Aviation for onward transmission to the President.
James Kwen, Abuja
