TREASURY SINGLE ACCOUNT: HOUSE OF REPRESENTATIVES TO IMPOSE PENALTIES ON MDAS FAILING TO COMPLY
The Public Accounts Committee (PAC) of the House of Representatives has decided to take action against Ministries, Departments, and Agencies (MDAs) that violate the regulations of the Treasury Single Account (TSA).
In an effort to maintain transparency and accountability, the committee has called upon the Governor of the Central Bank of Nigeria (CBN), Yemi Cardoso, Finance Minister Wale Edun, and representatives from the Accountant General’s office to attend a hearing before the House on February 20th, 2024.
This decision follows a session held on Wednesday chaired by Hon. Bamidele Salam, aimed at investigating alleged leakages and non-remittance of TSA revenue generated through Remita. The motion leading to the investigation was co-sponsored by lawmakers Jeremiah Umaru and Jafaru Gambo, both members of the All Progressives Congress.
Hon. Salam, the Committee Chairman, emphasized that the investigation aims at transparency and accountability for the Federation’s revenue, not targeting any specific company.
During the hearing, Mr. ‘Deremi Atanda, Managing Director of Remita Payment Service Limited (RPSL), clarified that Remita does not manage government revenue but serves as a software and payment gateway. It channels funds directly into CBN accounts, with real-time data on the banking statements of MDAs.
Mr. Atanda refuted the allegation of a 1% fee for processing TSA transactions, confirming that the applicable fee, according to CBN circulars of November 2018 and December 2020, was N150 with applicable VAT. He denied unauthorized fees beyond this amount and emphasized that Remita provides free value-added services despite foreign hosting costs.
The committee member, Billy Osawaru, expressed concern about the lack of documents during the investigative hearing, particularly noting the Central Bank’s failure to produce documents in contrast to Remita, which presented a signed contract with the CBN.
Chairman Hon. Bamidele Salam, in his ruling, stressed the importance of the physical appearance of the Minister of Finance, CBN Governor, and Accountant General of the Federation before the committee on Tuesday, 20th February 2024.
(News Source: Techeconomy)
