EXCLUSIVE The Mandate can now authoritatively report that the removal of the Kwande Local government/ALGON Chairman Vitalis Terhile Neji is directly tied to a N4.6b audit contract involving the 23 local government councils in the state. It can be recalled that the Assembly had earlier recommended the immediate removal of the State's Auditor-General for Local Governments and Chieftaincy Affairs, Abraham Gberindyer, over the same allegations. This followed a report of a House committee set up to investigate the circumstances surrounding the engagement of external consultants to audit the finances of the local government councils. The committee later reported that it found evidence of what it described as non-disclosure, procurement irregularities, duplication of functions and disproportionate expenditure. According to the committee's report, the Auditor-General had approached the Benue State Governor Hyacinth Alia for approval to undertake a financial audit of the State's 23 local governments through consultants without disclosing the estimated financial implication of the exercise. It said that following the governor’s approval, the Auditor-General allegedly engaged two consultants Abba Adaudu and Nongomin Ter at a total cost of N4.6b without complying with provisions of the Public Procurement Act 2020 relating to competitive bidding, transparency, fairness, value for money and accountability. In a statement issued by the Press Secretary to the Speaker of the State House of Assembly, Hon. Alfred Berger, the probe committee also discovered that the Auditor-General’s office had previously carried out audits covering substantially the same period and submitted its reports to the House. The statement described the new exercise as an unnecessary duplication. Accordingnto the House committee, N3.44 billion had been advanced, while N660 million remained outstanding under the contract figures, further disclosing that Nongomin Ter & Co. received N1.84 billion in two instalments, while Abba Adaudu & Co. received N2.1 billion. The report raised questions about the disparity between the amount paid to Nongomin Ter and the cost estimate contained in his brief before the committee. According to it, Ter had indicated that the financial audit of the Local Government Education Areas would cost N920m while the personnel audit of pensioners would cost N230m, bringing the total to N1.15b. ”The committee therefore noted that it could not establish how the consultant was eventually paid N1.84 billion,” the statement said. The committee disclosed that the two consultants had been invited to the EFCC's office in Makurdi and directed to refund monies paid to them by the local government councils and disclosed that Nongomin Ter & Co. refunded N975 million to the EFCC, while Abba Adaudu allegedly declined to make any refund, insisting that the firm had already commenced work on the assignment. The committee also criticised the existing legal framework governing the Office of the Auditor-General for Local Governments, noting that "the 1996 Establishment Edict was outdated and did not adequately provide for the engagement of professional services” and urged the House to strengthen compliance with current financial regulations and ensure that future engagements of external consultants undergo strict procurement procedures, legislative oversight and value-for-money assessment. It also recommended that the practice of awarding contracts with 80 per cent advance payments be discontinued, warning that the practice could encourage contractor misconduct.

Posted: 2months ago

Author: Editor in Chief

Current date: 18 October 2026