Police recover $470.5 million belonging to NNPC’s Brass LNG

The Nigerian Police Force announced it has traced $470.5 million belonging to NNPC Brass LNG squirrelled away in some accounts in some commercial banks in Nigeria. The police also said they traced another N8.8 billion, belonging to the same project in the banks.

According to the police, the money was recovered in the banks after the Presidency had issued a directive that all Government money be domiciled in the Treasury Single Account(TSA).

The security agencies also revealed they had launched a nationwide exercise to recover stolen funds, to be placed in the TSA, during which it discovered money related to the Nigerian National Petroleum Corporation’s (NNPC) Liquefied Natural Gas business unit.

Non-compliance with TSA by several agencies

Recall that some banks were alleged have connived with some Government agencies to illegally conceal $793.2 million meant to have been transferred to the TSA domiciled in the Central Bank of Nigeria (CBN).

The funds were alleged to be revenues, donations, transfers, refunds, grants, taxes, fees, dues, tariffs etc accruable to the Federal Government from different ministries, departments, parastatal agencies. But the Nigerian Government, on August 9, 2017, withdrew the suit.

The Treasury Single Account is a public accounting system using a single account, or a set of linked accounts by the Government to ensure all revenue receipts and payments are done through a Consolidated Revenue Account (CRA) at the Central Bank of Nigeria (CBN).

While all Government Ministries, Departments and Agencies remit their revenue collections to the CRA through their individual commercial banks on a fee-for-service remuneration basis.

TSA allows government banking to be unified, to enable the relevant stakeholders, such as the Ministry of Finance and Accountant General of the Federation to have full oversight of all cash flows across different bank accounts.

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