House Invites NNPC GMD Over N1.93bn On Charter Hire

The House of Representatives has summoned the Group Managing Director of the Nigeria National Petroleum Corporation (NNPC) Mele Kyari over the payment of about N1.93 billion for charter hire without necessary documents.

The House Committee on Pubic Account is investigating the circumstances surrounding the expenditure of about N1.93 billion by the Nigeria National Petroleum Corporation (NNPC) on charter service without any document to back up the expenditure.

The investigation stems from the 2019 report of the Auditor General for the Federation being investigated by the Public Accounts Committee of the House.

The report said that the NNPC, now NNPC Limited spent the said amount on 17 charter hire service without payment vouchers and adequate supporting document to back up the expenditure.

It also said that there was no supporting document like evidence of vessels transshipment of products, clearance certificates from appropriate inspection agency among others to show that the payments were valid and charged against public funds.

The AuGF report indicted the management of the NNPC for what it called weakness in the internal control system, adding that this could have led to illegitimate payment and payment for services not rendered.

It stated further that the Management of the NNPC failed to provide any response to the audit query issued to them, demanding that the Group Managing Director be asked to provide reasons why payments were made without adequate supporting documents.

They are also to account for the N1.93 billion paid to 17 contractors for the charter hire without adequate supporting documents and provide evidence of vessel trans shipments of products, clearance certificate from appropriate inspection agencies.

Chairman of the Public Account Committee of the House, Rep. Oluwole Oke (PDP, Osun) asked the Group Managing Director of the NNPC Limited, Mele Kyari to appear before the Committee to defend the audit query.

He said Kyari should provide the list of all the 17 contractors who benefited from the contract, their legal status and the contract document and all other relevant documents.