Audit report: Senate clears Customs of N62.2bn under-remittance query

Senate Committee Dismisses N62.2 Billion Customs Query

The Senate Public Accounts Committee (SPAC) on Tuesday dismissed a query of N62.2 billion in under-remittance against the Nigeria Customs Service (NCS) as noted in the 2019 audit report by the Office of the Auditor-General of the Federation.

During an investigative session with NCS Comptroller-General Bashir Adewale Adeniyi, the committee decided to establish a subcommittee aimed at reconciling 76 additional queries arising from the 2019 and 2020 audit reports.

The session centered on the first 77 queries concerning alleged financial infractions by the Customs Service. A representative of the Auditor-General, following instructions from SPAC Chairman Senator Ibrahim Dankwabo of Gombe North, presented the initial query. It stated that in 2017, while the Customs’ total revenue collection reached N691.242 billion, only N629.23 billion was remitted, resulting in a purported N62.2 billion imbalance.

In his defense, Adeniyi clarified that the figure categorized as “unremitted” stemmed from a misclassification of levies collected on behalf of other agencies. He emphasized that certain levies—such as those related to local production of wheat, textiles, and wines—are not intended for the Federation Account.

“The under-remittance allegation of N62.2 billion was inaccurately calculated based on these classifications,” Adeniyi explained. The committee accepted his clarification and subsequently cleared the NCS of the dispute.

Adeniyi also provided similar explanations regarding Queries 2 and 3, which further satisfied the committee members.

Senator Babangida Hussaini, representing Jigawa North West, expressed concern about the failure to resolve these queries at an earlier stage. “Having worked in the civil service, I believe queries should have been addressed during reconciliation with auditors, rather than progressing to this investigative point,” Hussaini remarked.

In response, Adeniyi noted that the period under review featured strained relations between the Senate and the NCS.

On the basis of the Customs’ explanations, SPAC agreed to form a small committee to engage with the NCS for reconciliation of the 74 remaining queries. The committee aims to expedite the resolution of outstanding audit issues.

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