Senate Queries SEDC Spending, Demands Full Details of N16.6 Billion Allocation

• As Public Accounts Committee gives BOA, NSPMC, REA one week to answer audit queries

Sunday Aborisade in Abuja

The Senate on Tuesday intensified its oversight of key government agencies, directing the South East Development Commission (SEDC) to provide detailed records of expenditures from the N16.6 billion it has received from its 2025 budget allocation, while also giving several federal agencies a one-week ultimatum to respond to outstanding audit queries.

The Senate Committee on South East Development Commission, chaired by Senator Orji Uzor Kalu, asked the commission to submit comprehensive financial records, including contract documents, payment schedules and supporting expenditure details, following a review of its financial report.

During an investigative session with the commission’s management, lawmakers raised questions over certain expenditure items contained in documents presented to the committee and requested additional clarification on the utilisation of funds released to the agency.

Kalu said the committee expected a clearer breakdown of expenditures made from the allocation received by the commission and stressed the need for transparency and accountability in the management of public funds.

According to him, information available to the committee indicated that the commission had received N16.6 billion in December last year, while a substantial balance remained in its account.

“The committee is not satisfied with the level of detail provided in the report before us. We expect a comprehensive account of all expenditures made from the funds released to the commission,” Kalu said.

Other members of the panel, including Senators Enyinnaya Abaribe, Victor Umeh and Austin Akobundu, also sought further explanations on specific expenditure categories and urged the management of the commission to furnish the committee with all relevant documentation.

Responding, Managing Director of the SEDC, Mr. Mark Okoye, maintained that expenditures undertaken by the commission were in line with its mandate and guided by available resources.

He explained that the commission had adopted a cautious approach to project execution to ensure that contracts awarded were backed by actual cash releases rather than budgetary provisions alone.

According to him, the commission was determined to avoid the accumulation of unfunded obligations that could hinder project delivery in the future.

“Our approach has been to ensure that available resources are directed towards priority projects. We want allocations to guide the procurement process so that contracts awarded can be backed by available funding,” he said.

Okoye added that budgetary allocations did not necessarily translate into immediate cash availability and that prudent financial management required expenditure decisions to be tied to actual releases.

However, after considering the submissions, the committee directed the commission to submit all requested documents on or before June 23.

Kalu said the committee would review the materials and determine the date for the commission’s next appearance before the panel.

“By the 23rd, we want to have the complete documentation. Once we receive and review the documents, we will determine the date for your next appearance before the committee,” he said.

The committee subsequently adjourned the hearing, reiterating its commitment to ensuring accountability and effective utilisation of resources earmarked for the development of the South-East region.

Meanwhile, the Senate Committee on Public Accounts has issued a one-week ultimatum to the Bank of Agriculture (BOA), Nigerian Security Printing and Minting Company (NSPMC) and the Rural Electrification Agency (REA) to appear before it and respond to outstanding audit queries.

The directive was issued during a hearing presided over by the committee chairman, Senator Ibrahim Dankwambo, on Tuesday

The committee expressed concern over the absence of representatives of the affected agencies at the session and stressed the importance of responding promptly to audit observations raised through constitutional oversight processes.

A correspondence from the Bank of Agriculture, signed by its legal adviser, informed the committee that the bank had appeared before previous panels between February 2023 and November 2024 and believed issues raised at the time had been addressed.

The bank also requested details of any outstanding matters and sought additional time to assemble relevant documentation.

However, Dankwambo said communications relating to invitations by the committee should be personally signed by the chief executive officers of agencies concerned.

He also maintained that agencies could not determine timelines for legislative oversight activities and insisted that the Managing Director of the Bank of Agriculture must appear before the committee within one week.

Committee members also rejected suggestions that all outstanding audit issues involving the bank had been resolved, maintaining that several matters still required clarification.

The lawmakers further described the absence of the NSPMC and REA as unacceptable and directed that the agencies be given a final opportunity to appear before the panel within one week.

Members of the committee warned against what they described as an emerging pattern of non-compliance with legislative invitations by some government agencies, stressing that audit queries constituted serious accountability matters that required prompt attention.

Dankwambo said formal notices outlining unresolved issues would be sent immediately to the affected organisations, warning that agencies that failed to honour the committee’s summons after the final notice could face sanctions in accordance with the law.

He reiterated the Senate’s commitment to strengthening transparency, accountability and prudent management of public resources across all government institutions.