Reps Move To Arrest FCT Council Chiefs Over ₦100bn Audit Scandal

The House of Representatives Public Accounts Committee has summoned the chairmen and finance directors of the six Area Councils in the Federal Capital Territory (FCT) over alleged financial irregularities amounting to more than ₦100 billion.....KINDLY READ THE FULL STORY HERE▶

The action followed the submission of an audit report by the Auditor-General for the FCT Area Councils, which indicted Abaji, Abuja Municipal, Bwari, Gwagwalada, Kuje and Kwali Area Councils for extensive violations of financial regulations.

The audit report for the financial year ended December 31, 2021, uncovered multiple infractions, including failure to remit taxes and Value Added Tax (VAT) deductions, poor record-keeping of fixed assets, and expenditures that lacked proper documentation across the councils.

According to the findings, the six Area Councils had outstanding liabilities totaling ₦7.65 billion as of December 31, 2021. These liabilities stem from unremitted pension contributions, Pay-As-You-Earn (PAYE) deductions, unpaid capital project obligations, as well as VAT and withholding taxes owed to the Nigeria Revenue Service, the FCT Inland Revenue Service, Pension Fund Administrators and contractors.

A breakdown of the figures showed that Abuja Municipal Area Council (AMAC) accounted for ₦2.19 billion, followed by Bwari Area Council with ₦1.49 billion and Kwali Area Council with ₦1.46 billion. Gwagwalada recorded ₦1.01 billion, Kuje ₦892.2 million, while Abaji had ₦593.8 million in outstanding liabilities.

The Auditor-General also criticised the councils for weak asset management practices, citing widespread failure to properly maintain and update Fixed Asset Registers. In Gwagwalada Area Council alone, non-current assets valued at ₦336 million were reportedly not adequately documented, raising concerns over potential losses. Similar deficiencies were identified in other councils.

Further concerns were raised over a total expenditure of ₦24.87 billion incurred by the councils in 2021 on personnel costs, overheads and capital projects. Despite an 89 per cent increase in spending—amounting to ₦11.7 billion compared to 2020—the report noted that 37 per cent of funds allocated to capital projects were not properly accounted for.

An analysis of the spending showed that AMAC spent ₦5.03 billion, Gwagwalada ₦4.66 billion, Kuje ₦3.85 billion, Kwali ₦3.84 billion, Bwari ₦3.74 billion and Abaji ₦3.71 billion during the period under review.

Audit reports for 2022 and parts of 2023 also revealed further violations, including understatement of Internally Generated Revenue, unauthorised disposal of assets, failure to disclose statutory revenue, and non-remittance of withholding taxes to the appropriate authorities.

Lawmakers Threaten Arrest

Commenting on the matter on Friday, Chairman of the Public Accounts Committee, Rep. Bamidele Salam, confirmed that the committee had formally received the audit report.

He disclosed that three separate summons had been issued to the chairmen of the six Area Councils and their finance directors, directing them to appear before the committee to respond to the audit queries.

Salam said the officials had been given a final opportunity to appear on Wednesday, February 11, 2026, warning that failure to comply would force the House to exercise its constitutional powers, including ordering their arrest.

He also noted that the councils were indicted for failing to audit and submit their financial statements for the years 2023, 2024 and 2025, in violation of statutory requirements.

The lawmaker stressed that public funds must be managed with transparency and accountability, adding that any official found culpable would be dealt with in accordance with the law.