Account for trillions of FAAC allocations or face legal action, SERAP tells 36 governors, Wike

Account for trillions of FAAC allocations or face legal action, SERAP tells 36 governors, Wike

FAAC

Published By: Isa Isawade

Socio-Economic Rights and Accountability Project (SERAP) has urged Nigeriaโ€™s 36 state governors and the Minister of the Federal Capital Territory, Abuja, Mr Nyesom Wike to โ€œprovide our organization with documents on the spending of trillions of FAAC allocations received by your state and the FCT since 1999, and to widely publish any such documents.โ€

SERAP also urged them โ€œto invite Independent Corrupt Practices and Other Related Offences Commission (ICPC) and Economic and Financial Crimes Commission (EFCC) to jointly track and monitor the spending of FAAC allocations by your state and the FCT and to probe any allegations of corruption linked the allocations.โ€

SERAPโ€™s requests followed reports that the Federation Account Allocation Committee (FAAC) disbursed N1.123 trillion to the federal, state, and local governments for March 2024 alone. States collected N398.689 billion.

In the Freedom of Information (FOI) requests dated 20 April 2024 and signed by SERAP deputy director Kolawole Oluwadare, the organisation said: โ€œNigerians ought to know in what manner public funds including FAAC allocations, are spent.

โ€œWithout this information, Nigerians cannot follow the actions of their states and the FCT and they cannot properly fulfil their responsibilities as citizens.

โ€œtrillions of FAAC allocations received by Nigeriaโ€™s 36 states and the FCT have allegedly gone down the drain. The resulting human costs directly threaten the human rights of socially and economically vulnerable Nigerians.โ€

The FoI requests, read in part: โ€œensuring that the FAAC allocations received by your state and the FCT are spent to achieve the security and welfare of Nigerians are serious and legitimate public interests.

โ€œSecrecy in the spending of FAAC allocations received by your state and the FCT is entirely inconsistent and incompatible with the Nigerian Constitution 1999 [as amended] and the countryโ€™s international anti-corruption obligations.

โ€œSecrecy in the spending of FAAC allocations received by your state and the FCT also denies Nigerians the right to know how public funds are spent. Transparency in the spending would allow them to retain control over their government.

โ€œThe documents should include the evidence and list of specific projects completed with the FAAC allocations collected, the locations of any such projects and completion reports of the projects.

โ€œThe documents should also include details of the salaries and pensions paid from the FAAC allocations collected, as well as the details of projects executed on hospitals and schools with the FAAC allocations.

โ€œDespite the increased FAAC allocations to states and FCT, millions of residents in your state and the FCT continue to face extreme poverty and lack access to basic public goods and services.

โ€œThe reported removal of petrol subsidy and the floating of the exchange rate by the Federal Government has translated into increased FAAC allocations to states and the FCT. However, there is no corresponding improvement in the security and welfare of millions of Nigerians.

โ€œFAAC allocations received by your state and the FCT are reportedly characterised by mismanagement, diversion of funds, and abandoned projects. FAAC allocations have also been allegedly spent for other purposes such as election campaigns and political patronage.

โ€œPublishing the documents on the spending of FAAC allocations by your state and the FCT would promote transparency and accountability and reduce the risks of corruption in the spending of the funds.

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โ€œPublishing the documents would enable Nigerians to meaningfully engage in the implementation of projects executed with the FAAC allocations collected.

โ€œThe report that some 140 million Nigerians are poor suggests corruption and mismanagement in the spending of trillions of naira in FAAC allocations collected by your state and the FCT.

โ€œWe would be grateful if the recommended measures are taken within 7 days of the receipt and/or publication of this letter. If we have not heard from you by then, SERAP shall consider appropriate legal actions to compel you and your state and the FCT to comply with our requests in the public interest.

โ€œAccording to our information, the Federation Account Allocation Committee (FAAC) last week disbursed N1.123 trillion to the federal, state and local governments for March 2024.

โ€œState governments got N398.689 billion while local government councils got N288.688 billion. The mineral-producing states received an additional N90.124 billion (13% of mineral revenue). In February, states collected N336 billion.

โ€œAccording to the Nigeria Extractive Industries Transparency Initiative (NEITI), the federal, state and local governments shared N10.143 trillion from the Federation Account as statutory revenue allocations in 2023, with states collecting N3.585 trillion.

โ€œSERAP also urges you to provide details of the transparency and accountability mechanisms that have been put in place to ensure that the trillions of naira of FAAC allocations that have been received by your state and the FCT are not embezzled, misappropriated or diverted into private pockets.

โ€œSERAP is concerned about the persistent lack of transparency and accountability in the spending of FAAC allocations by your state and the FCT.

โ€œSERAP notes that Section 15(5) of the Nigerian Constitution requires public institutions to abolish all corrupt practices and abuse of power.

โ€œSection 16(2) of the Nigerian Constitution further provides that, โ€˜the material resources of the nation are harnessed and distributed as best as possible to serve the common good.โ€™

โ€œSection 13 of the Nigerian Constitution imposes clear responsibility on your state to conform to, observe and apply the provisions of Chapter 2 of the constitution.

โ€œNigeria has made legally binding commitments under the UN Convention against Corruption to ensure accountability in the management of public resources.

โ€œNigerians are entitled to the right to receive information without any interference or distortion, and the enjoyment of this right should be based on the principle of maximum disclosure, and a presumption that all information is accessible subject only to a narrow system of exceptions.

โ€œThe Freedom of Information Act, Section 39 of the Nigerian Constitution, article 9 of the African Charter on Human and Peoplesโ€™ Rights and Article 19 of the International Covenant on Civil and Political Rights guarantee to everyone the right to information, including the documents on the spending of FAAC allocations by your state.

โ€œThe Nigerian Constitution, Freedom of Information Act, and the countryโ€™s anti-corruption and human rights obligations rest on the principle that citizens should have access to information regarding their public institutionsโ€™ activities.โ€

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