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Home News

How Health Ministry officials allegedly mismanaged N5.7bn donor funds –Senate

by FirstNews
July 13, 2022
in News
Reading Time: 3min read
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The Senate has discovered how some officials in the Ministry of Health allegedly mismanaged over N5.7 billion from donor agencies.

It was revealed that the action of the ministry’s officials forced some of the donors to suspend the assistance due to unsatisfactory reports that came up from the agencies about the Ministry of Health.

The mismanagement of funds was uncovered by the Senator Matthew Urhoghide-led Senate Committee on Public Accounts, which relied on the 2016 Auditor General’s report currently under the consideration of the Senate.

The Chairman of the committee, Senator Urhogbibe, expressed his dissatisfaction over failure of the Permanent Secretary of the Ministry of Health and officials to account for the fund.

A source said four invitations were sent separately to the ministry’s officials who didn’t honour them.

The first letter, dated February 1, stated that the meeting was scheduled for February 8 and another meeting was scheduled for March 16.

One of the donor agencies is Global Alliance for Vaccines and Immunisation, GAVI, an international NGO that is specialised in bringing together public and private sectors with the objective of creating equal access to new and under-used vaccines for children living in the world’s poorest countries.

Reacting to the failure of the ministry to give account of the money spent, Urhoghide warned that the committee was left with no other option than to Issue warrant of arrest on the officials of the Ministry to appear before the committee and give explanations.

He said: “The Ministry of Health has consistently refused to come and give account before this committee. We have sent invitations to them to appear with no response from the Ministry, this is very unfortunate.”

The query read: “First in 2015, by a donor named Global Alliance for Vaccines and Immunisation, GAVI, an international NGO specialising in bringing together public and private sectors with the objective of creating equal access to new and under-used vaccine for children living in the world’s poorest countries.

“The NGO, with headquarters in Geneva, Switzerland, accused NPHCDA of mis-management of funds released by the organisation and invited my Office to observe the appointment of an audit firm to carry out extended cash programme audit of GAVI funds released to NPHCDA from 2010 to 2015.

“Non-adherence to laid down procedures stipulated in Public Procurement Act, 2007 in the procurement of Goods, Services and Works valued at N4,987,958,621.00.

“Expenditures made by the NPHCDA between 1st January, 2010 and 31st March, 2015 amounted to N8,599,291,949.00 out of which N187,725,160.00 was not supported with relevant statutory and third party documents, such as payment vouchers, receipts, invoices, delivery notes, store receipt vouchers, contract completion certificates, etc.

“The sum of N18,804,865.00 was also reported to be ineligible expenditures as it comprised payments to suppliers who did not deliver the procured goods or services as per contract.

“Inadequately supported expenditure amounted to N619,999,383.00 .. This was mostly attributed to photocopied documents, inconsistencies in supporting documents, lack of contracts with suppliers and lack of evidence of delivery for procured goods.”

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