The Kano State Public Complaints and Anti – Corruption Commission, Northwest of the country, says it has uncovered 100 million naira Local Government Fund diverted by former Accountant General of Kano State, Mrs. Aisha Bello.
Consequently, the Kano State Governor, Abdullahi Ganduje directed the Chairman of the Commission, Muhuyi Magaji Rimin Gado, to take all necessary steps to recover all funds that have been diverted by the former Accountant General, Mrs Aisha Bello.
The Chairman, Muhuyi Magaji Rimin Gado, who announced to have recovered about twenty million Naira so far, assured that every kobo belonging to the Government will be retrieved for the development of the State.
The Commission, whose interim report into the activities of the former Accountant – General of the State, Mrs Aisha Bello led to her removal from office, discovered the fund which was corruptly diverted from the State Joint Local Government Account, domiciled at Unity Bank PLC to Grassroot Micro Finance Bank,in gross contravention of the Central Bank of Nigeria regulations barring placement of funds with micro finance banks.
The Former Accountant General was also accused of unilateral payment of contractors and short paying the civil servants, which almost led to a strike by the civil servants hence her removal from office by Governor Abdullahai Ganduje following incessant complaints bothering on financial indiscipline.
He subsequently ordered Alhaji Muhuyi Magaji, the chairman of the commission to conduct a forensic audit of the Accountant – General Office. The audit led to the discovery of the N100 million corruptly placed with the bank.
The deposit was placed in 2016 by the former Accountant General for a period of One month with the Grassroots Micro Finance Bank. So far the money has generated only 11million naira interest.
The Kano State anti corruption commission, in line with the placement agreement asked that the transaction be broken and forfeit the interest to the bank, but the Bank bluntly refused to return the entire “captured” funds. So far only 20 million naira has been refunded to the Kano State government by the Grassroots Microfinance Bank.
Efforts by the commission to recover the balance has been rebuffed by the Bank, which to avoid paying up the balance dragged the commission before Justice Mohammed Yahaya of the Kano State High Court Gezawa, alleging intimidation. The high court in its ruling however ordered the commission to stop further investigations into the matter.
In a counter affidavit, the commission denied all the depositions of Hajiya Farida Thair, the managing director of the Bank.
The commission noted that when the Applicant acknowledged the existence of the funds with her, she did not disclose to the 1st Respondent that it was an investment that was distributed to customers. Hence, a suggestion was made and mutually agreed by both the Applicant and the 1st Respondent’s to meet at the 2nd Respondent’s office to perfect the recovery process of the amount belonging to the Government of Kano State.
That the whole arrangement in respect of the one hundred million naira was carried out and perfected only between the Applicant and the former Accountant General of Kano State. There was no evidence of any instruction or commitment from Kano State Government whatsoever that suggests any existing contract between the Applicant, the Government of Kano State and the 44 Local Government Councils.
That the 2nd Respondent had a sound conviction that the one hundred million naira was illegally diverted by the former Accountant General and the Applicant using the Grassroot Micro Finance Bank as a corporate vehicle.
It was discovered that one of the signatories of the account in the person of Magaji Sule Labbo (former Director Treasury) who claimed to have acted on the instructions of the former Accountant General informed the 2nd Respondent that the fund was meant to be with the Applicant’s Bank for one month. A copy of his voluntary statement is annexed and marked Exhibit 2.
It was also observed that the investment certificate raised by the Applicant on the 29/12/2016, the value date of the fixed deposit plus was 29/12/2016, while the maturity date was 23/1/2017, which was approximately one month. Copies of the correspondence detailing the nature of the Applicant’s relationship with the former Accountant General supplied to the 2nd Respondent are annexed and marked Exhibit 3(a), (b), (c) (d), (e), (f), (g), (h), and (I).
That the Ministry for Local Governments intended to use the money to finance the projects meant to cater for the general welfare of the people of Kano State. The Applicant is holding public funds under the guise of investment in her own volition.
https://www.africaprimenews.com/2018/05/24/news/nigeria-reps-to-issue-arrest-warrant-on-dg-nema-for-evading-investigative-hearing/
