The six Area Council Chairmen of the Federal Capital Territory (FCT) have again failed to appear before the House of Representatives Public Accounts Committee (PAC) to respond to questions arising from audit queries involving about N100 billion in the councils' finances. The chairmen had requested September 22, 2026, as the date for their appearance but failed to attend or send representatives. This is not the first time the council chiefs have shunned the committee's invitations.
The audit queries are contained in the Annual Audit Report of the Auditor-General for the six FCT Area Councils for the year ended December 31, 2021. The report identified outstanding liabilities of about N7.65 billion arising from unremitted pension deductions, Pay As You Earn (PAYE), Value Added Tax (VAT), and withholding tax, as well as unpaid obligations to contractors. The affected councils are Abaji, Abuja Municipal Area Council (AMAC), Bwari, Gwagwalada, Kuje, and Kwali.
AMAC accounted for the highest outstanding liability at N2.19 billion, followed by Bwari with N1.49 billion and Kwali with N1.46 billion. Gwagwalada had N1.01 billion in outstanding liabilities, while Kuje and Abaji had N892.2 million and N593.8 million, respectively. The report stated that the liabilities were due for remittance to the Nigeria Revenue Service, FCT Inland Revenue Service, Pension Fund Administrators, and contractors.
The committee has issued a seven-day final summons to the Directors of Personnel Management and Finance, as well as Heads of Audit of the six councils, directing them to appear on October 14, 2026, or face sanctions in accordance with the relevant service rules. The committee is also seeking explanations and supporting documents on N24.87 billion reportedly expended by the six councils on personnel, overheads, and capital expenditure in 2021.
Chairman of the Public Accounts Committee, Rep. Bamidele Salam, said the councils had repeatedly failed to honour invitations and provide documents required by the committee to resolve the audit queries. He stated that the committee had uncovered further concerns in audit reports for 2022 and part of 2023, including alleged understatement of Internally Generated Revenue (IGR), unauthorised disposal of assets, non-disclosure of statutory revenue, and failure to remit withholding tax to the appropriate authorities.
The lawmaker stressed the need for public funds to be managed with transparency, accountability, and prudence, warning that officials found culpable would be held accountable in accordance with the law. The committee's actions aim to ensure that public funds are managed efficiently and effectively. The FCT councils' failure to provide required information and appear before the committee has raised concerns about their financial management.
The Auditor-General also faulted the councils over the management of their fixed assets, noting that asset registers were not properly maintained and updated. Gwagwalada Area Council was specifically cited over non-current assets valued at N336 million. The report highlighted the need for improved financial management and accountability in the FCT councils.
Key points
- The FCT council chiefs have failed to appear before the Reps over N100bn audit queries.
- The audit queries involve outstanding liabilities of about N7.65 billion and unpaid obligations to contractors.
- The committee has issued a seven-day final summons to the Directors of Personnel Management and Finance, as well as Heads of Audit of the six councils.