Senate: Audit report exposes 558 federal agencies over N969bn assets 

The Senate on Monday uncovered how about 558 federal ministries, departments and agencies (MDAs) failed to provide classification of intangible assets valued at N969 billion in the 2019 budget.

An intangible asset is not physical in nature such as patents, trademark and copyrights, while tangible assets include land, vehicles, equipment, and inventory.

Additionally, financial assets such as stocks and bonds, which derive their value from contractual claims, are considered tangible assets.

The shocking revelation is contained in the 2019 annual report of Auditor General for the Federation currently being investigated by Senate Committee on Public Accounts (SPAC).

Members of the committee were shocked at the  investigative  meeting chaired by the Committee’s  Vice Chairman, Senator  Ibrahim Hassan Hadejia by  huge amount of money categorised as intangible assets in the 2019 budget in the Auditor General’s report.

The report reads: “Audit observed from review of notes 36 and 36A (Intangible) to the FGB ConsolidatedFinancial Statement (CFS).

“The Sum of N969bn was recognised under notes 36A as Intangible Assets without a schedule showing the classification/nature of the intangible assets contract to the provision of IPSAS 31.

“There was no disclosure to enable the audit confirm which of intangible Assets has finite and infinite life , a bad for determination whether amortization should be or not.”

The representative of the Office of the Accountant General of the Federation, Shuaibu Sikiru in his response before the committee, said the template will be re-designed to accommodate this observation in subsequent years.

Among the affected 558 agencies, are State House, Bureau of Public Enterprise (BPE), Bureau of Public Procurement (BPP), National Population Commission (NPC), and the Federal College of Forestry, Ibadan.

Others are the Federal College of Forestry, Jos, National Orientation Agency (NOA), and the Bureau of Public Service Reforms, Nigerian Police Academy, Wudili.

They also included the Federal Civil Service Commission, National Security Adviser, Federal Ministry of Interior, Nigerian Immigration Service, Federal Fire Service, Police Formation and Command, Headquarters, and the Nigeria Security and Civil Defence Corps (NSCDC).

The Office of the Head of Service of the Federation, Federal government Staff, Housing Loans Board, Federal Training Centre , Ilorin; Office of the Economic Adviser to the President, and the Nigerian Broadcasting Corporation (NBC.

Also affected were the Voice of Nigeria, Nigerian Film Corporation, National Theatre, Federal Ministry of Information, Headquarters, News Agency of Nigeria (NAN), Administrative Staff College of Nigeria and many others.