The Senate Committee on Public Accounts has sustained a query issued by the Office of the Auditor General of the Federation against the University of Abuja, alleging mismanagement of N603m out of the N2.4bn internally generated revenue of the institution.

The office had issued the query in its 2017 report, asking UNIABUJA to refund the N603m to the Consolidated Revenue Fund..

The Vice-Chancellor of UNIABUJA, AbdulRasheed Na’Allah, while responding to the query before the committee chaired by Senator Mathew Urhoghide, claimed that the IGR was inadequate to run the affairs of the institution.

Na’Allah said, “The peculiarity of the universities in Nigeria is clear and they do not have enough IGR to remit to the Consolidated Revenue Fund as adduced by the Auditor-General. The universities collect only third-party revenues from students. Revenues collected are for specific purposes such as union dues, ID card, medical fees, laboratory fees.

“Cost recovery concept is adopted by the university; that is, charges collected were used to pay for services rendered.

“For instance, ID card charges were used to process ID cards for students. These revenues are not enough for the purpose collected and, therefore, the capacity of the university to remit surplus is lacking.”

Urhoghide, who was represented by the Vice-Chairman, Senator Ibrahim Hadejia, ordered a refund of N603m to the CRF.

The OAuGF’s query read, “The Federal Circular Reference No. BO/REV/12235/259/VII/201 dated November 11, 2011 issued by the Minister of Finance restricting expenditure on IGR to 75 per cent while 25 per cent is to be remitted to the CRF.

“During the review of financial records and documents, it was observed that the university generated the sum of N2,413,787,645.48 internally in 2016 and 2017.

“The yearly revenue generated internally was N1,463,097,604.13 in 2016 and N950,690,041.35 in 2017.

“Meanwhile, the university failed to remit 25 per cent of its IGR amounting to N603,446,911.37 to the Consolidated Revenue Fund.

“Non-remittance of the IGR shows lack of control in the expenditure of public funds. Furthermore, funds for developmental purposes are tied down.

“The vice-chancellor is required to remit the sum of N603,446,911.37 being 25 per cent of IGR to the CRF immediately and forward evidence of remittance to my office for confirmation.”

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