The Public Accounts Committee of Nigeria’s House of Representatives has directed financial technology firm, Remita, to refund a total of N182.77 billion allegedly withheld from the Treasury Single Account (TSA) since 2015.
This directive came during a meeting held in Abuja, following the submission of an investigative report by Seyi Katola & Company, a consultancy firm specializing in financial audits.
The investigation stems from a 2024 mandate by the House of Representatives, which tasked the Public Accounts Committee with examining revenue leakages and non-remittance of funds by Ministries, Departments, and Agencies (MDAs) through Remita.
The aim was to ensure full accountability within the Treasury Single Account system.
Background of the Investigation
Chairing the session, Representative Bamidele Salam, revealed that the committee’s findings were supported by evidence submitted by the consulting firm, alongside documentation provided by SystemSpecs (Remita’s parent company) and other stakeholders involved in the TSA ecosystem.
Dr. Adewale Oyebamiji, the managing partner of Seyi Katola & Company, presented a detailed breakdown of SystemSpecs’ financial liabilities.
The audit uncovered the following discrepancies:
- Under-refunded transaction processing fees: N3.42 billion, including interest charges of N2.42 billion.
- Unpaid acquirer fees: N101.85 million, inclusive of N72.25 million in accrued interest.
- Unremitted collections: A staggering N179.25 billion, with interest accounting for N125 billion of the total.
The cumulative liability amounts to N182,769,245,175.20, which the committee has instructed SystemSpecs/Remita to remit to the Federal Government Asset Recovery Account at the Central Bank of Nigeria (CBN).
The specific CBN account number, as cited in the committee’s report, is 0020054161191.
Recommendations and Compliance Efforts
The committee’s report explicitly recommends that SystemSpecs Ltd be compelled to refund the stated amount without delay.
Additionally, it was noted that several deposit money banks have already complied with similar repayment directives related to the TSA. The committee urged other value chain service providers within the TSA framework to promptly adhere to repayment orders.
Representative Salam commended the thoroughness of the forensic audit, describing it as a patriotic endeavor that underscores the importance of fiscal accountability.
“This investigation exemplifies the commitment to transparency and strengthens Nigeria’s financial management systems,” Salam stated.
What you should know
Remita, developed by SystemSpecs, is an online payment platform used by federal government agencies to remit revenue into the TSA.
- As a key player in Nigeria’s financial technology landscape, Remita facilitates the centralized collection of government revenues, a system designed to enhance transparency and reduce revenue leakage.
- While the TSA has been widely lauded for improving public finance management, this latest development highlights the challenges of enforcing compliance within its ecosystem.
The committee’s findings serve as a reminder of the critical need for robust oversight mechanisms to prevent irregularities and safeguard public funds.
