The Akwa Ibom State House of Assembly has issued a stern warning to local government chairmen engaged in fraudulent spending of their direct allocations from the federation account. Under the current autonomy granted to the local governments, any council chairman found guilty of misappropriation will face prosecution.
Hon. Eric Akpan, Chairman of the Public Accounts Committee (PAC) in the Assembly, made this statement during the ongoing review of an audit report. He emphasized the importance of prudently managing government funds, urging the 31 local government chairmen to ensure that their financial dealings are legitimate and transparent.
“No council chairman is allowed to spend or allocate funds without the prior approval of the Finance and General-Purpose Committee (FGPC),” Hon. Akpan stated.
He further added that no project should be initiated unless it is included in the budget or has received proper budgetary adjustments through a supplementary proposal.
The PAC Chairman also commended local government councils that had effectively responded to audit queries with evidence, clearing them of further scrutiny. However, those who failed to provide satisfactory explanations were left with unresolved queries.
In light of this, Hon. Akpan urged council administrators to strictly adhere to the recommendations and resolutions made by the PAC. He also advised local governments to establish committees tasked with ensuring the effective implementation of these resolutions.
To enhance financial accountability, the committee also announced plans to collaborate with local government chairmen to provide training for council financial officers on the International Public Sector Accounting Standards (IPSAS).
This training is aimed at promoting transparency and proper accounting practices within the councils.
Dr. Uwemedimo Udo, Chairman of the Association of Local Government of Nigeria (ALGON) in Akwa Ibom and Chairman of Uyo LGA, expressed gratitude to the PAC for their thorough examination of audit queries.
However, he raised concerns that many councils are still not fully compliant with IPSAS in their financial reporting and committed to improving through further training.
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