Audit observed that a total of N1,872,200,771.67 was paid to both Management and staff of the Fund as “Management and other Allowances” for years 2013, 2014 & 2017, without evidence to prove that those allowances were approved by the National Salaries, Income and Wages Commission. Review of the payment records showed that included in the amount was a sum of N69,000,000.00 paid to the Managing Director and the three other Executive Directors as “Executive Management Allowances for Housing, Furniture and Generator” in the year 2017, apart from the monthly allowance they receive known as “Management Allowances”. This is an indication of a possible overpayment of allowances, which is sanctionable under FR3111.
Moreover, a sum of N125,056,671.70 was paid to staff of the Fund as arrears of Management allowances for 2017. Details of the benefitting staff such as their names, ranks, Grade Levels as well as the period that the arrears covered were not presented for audit. Payment of this amount to staff outside of their salaries and regular allowances may also be intended to evade tax, as these allowances were not subjected to tax.