The committee, led by Hon. Bamidele Salam, criticized the BPE for spending such a large amount of money on the registration of the companies, only for them to fold up within a year. The companies, which were meant to help NIPOST expand its operations, were set up in 2017 with a budget of around N10 billion. However, despite this investment, they were shut down less than a year after they started operations in 2023.
According to the BPE’s Head of Finance and Accounts, Imam Rilwan, the registration and startup costs for the two companies included about N423 million spent on office space and other essential services. However, the companies only began operating in May 2023, and by May 2024, they were shut down following a Presidential directive. Rilwan also mentioned that the companies had handed over all their assets to NIPOST management after their closure.
Hon. Salam expressed disappointment with the BPE for spending government funds without proper approval, calling it a violation of the Public Procurement Act. He has now instructed the Director-General of the BPE, Ayodeji Gbeleyi, to appear before the committee with all relevant documents regarding the transactions.
In another matter, the committee raised concerns over the Joint Admission and Matriculation Board (JAMB), which has failed to remit the required amount of its revenue to the government. The Fiscal Responsibility Commission (FRC) had accused JAMB of not fulfilling its obligation by only remitting 25% of its revenue instead of the required 50%. Despite repeated letters sent to JAMB, the board had not responded to the FRC’s requests for payment.
JAMB’s Director of Finance, who appeared before the committee, argued that the board is exempt from remitting 50% of its revenue, based on a circular from the Ministry of Finance. However, the FRC disagreed, and the committee insisted that JAMB should remit the full amount within 30 days. The committee also directed the Investment and Security Tribunal to recover unpaid taxes from contractors and fines, and deposit the money into the government’s account.
In summary, the committee is pushing for accountability from both the BPE and JAMB, and other government bodies, urging them to comply with financial regulations and remit the required funds to the government.
