The Senate, Wednesday, asked its Committees on Finance, Banking and Financial Institutions and Public Accounts to investigate operations of Treasury Single Account in Nigeria.
The Senate resolution followed a motion by Dino Melaye (APC-Kogi West) who maintained that choosing a company, Remita, as the Federal Government’s electronic collection agent, violated Nigerian laws, including section 162 (1) of the 1999 Constitution as amended, Central Bank of Nigeria, CBN, Act, and Bank and other Financial Institutions Act, BOFIA, 2007.
He said “the appointment of REMITA as an agent of operations of the Treasury Single Account negates and contravenes sections 162 91) of the 1999 Constitution” which provides for maintenance of special fund to be called “Federation Account” in which all revenues accruing to the Federal Government shall be paid “directly”.
He said CBN could only appoint registered banks to collect and disburse money on behalf of the Federal Government.
But since Remita is not a registered bank, Mr. Melaye contended that choosing it as an agent for the operation TSA violated BOFIA 2007 and CBN Act.
President Muhammadu Buhari had, on September 15, directed all Ministries, Departments and Agencies, MDAs, to close their various accounts with commercial banks and pay all revenues into the Federal Government’s account with CBN under the TSA policy.
Mr. Melaye questioned the legality of operating the TSA through a revenue collection agent, Remita, which he said had made at least N25 billion in the course of the operation “for doing nothing”.
He said the Federal Government mopped up N2.5 trillion on September 15 alone through Remita which charges one per cent of all monies passing through it, amounting to N25 billion.
The Senate asked its committees on Finance, Banking and other Financial Institutions and Public Accounts to “carry out holistic investigation on the matter and report back in four weeks”.
Meanwhile, Deputy Senate President, Ike Ekweremadu, presided over the Senate for the first time since the 8th Assembly was inaugurated on June.
The Senate President, Bukola Saraki, was at the Presidential Villa attending the swearing-in ceremony of the new ministers.
Mr. Saraki, however, returned to the chamber to take over from Mr. Ekweremadu before the prayers that followed Mr. Melaye’s motion were taken.
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