Funds approved by President Bola Tinubu for agencies under the Federal Ministry of Information and National Orientation have not been released, raising questions about government spending processes, accountability and the role of officials in implementing approved funds.
The funds, approved about a month ago to support the operations of agencies under the ministry, are still being processed, according to sources familiar with the matter.
The affected agencies include the Nigerian Television Authority (NTA), Federal Radio Corporation of Nigeria (FRCN), Voice of Nigeria (VON), National Orientation Agency (NOA), and the National Broadcasting Commission (NBC).
Sources told BusinessDay that the delay followed a disagreement over additional requirements reportedly requested by Binyerem Ukaire, permanent secretary in the ministry.
According to the sources, the permanent secretary did not approve the payment files after some agency heads allegedly failed to appear before her to explain their activities, ongoing projects and how they planned to spend the funds.
The development has raised questions about the balance between the oversight role of ministries and the independence of government agencies created by law.
Although the total amount approved was not disclosed, sources said the delay has affected planned activities and the operations of some agencies.
BusinessDay gathered that the delay has affected operations at the Voice of Nigeria (VON). A staff member of the agency, who spoke on condition of anonymity because they were not authorised to comment, said the situation has affected news production and publication.
The staff member said power supply challenges have also affected the agency’s ability to operate.
“If there is no electricity, the office does not operate,” the staff member said.
The source added that news reports sent after 4 p.m. are often not published because staff are unable to work effectively without power.
“From 4 p.m., any news you send will not be published because there is no light for us to work effectively,” the source said.
BusinessDay could not independently confirm whether the operational challenges were caused solely by the delay in releasing the funds.
The heads of the agencies were said to have rejected the request for presentations, arguing that it was not part of the usual process between supervising ministries and government agencies.
Mohammed Idris, minister of information and national orientation, was said to have intervened to resolve the matter.
However, sources said the permanent secretary maintained that the agency heads must provide details on how the funds would be used before the payment process could continue.
Responding to the development, Suleiman Haruna, director/deputy director of press and protocol, who spoke on behalf of the minister, told BusinessDay that approval of funds does not mean immediate payment, as government procedures must first be completed.
“Yes, funds were approved for release. However, there are laid-down processes that must be completed before the money can be disbursed to the MDAs.
Once those procedures have been concluded, the funds will be released accordingly. That is what is obtainable in the civil service,” Haruna said.
On claims that agencies were asked to provide detailed explanations before accessing the funds, Haruna said he was not aware of such requests.
“All I know is that every approval follows a process before it is finalised and becomes useful to the beneficiaries. Beyond that, I am not aware of the specific allegations being raised, and I do not want to comment on matters I have not verified.
“If any agency received a letter requesting a line-by-line explanation of how the funds would be utilised, then I am sure they would have responded accordingly. However, I have not been briefed on such correspondence, so I cannot comment on it,” he added.
The permanent secretary confirmed that the funds had not been released but said the payment file was being processed.
The dispute has also brought attention to the relationship between ministries and agencies under their supervision.
A circular issued by the Secretary to the Government of the Federation (SGF) on August 2, 1999, on the relationship between ministries and parastatals, states that government agencies are created with operational independence to allow them deliver services effectively outside the main civil service structure.
The circular also states that supervising ministries should not take over the day-to-day running of agencies under them.
On financial matters, the circular directs ministries not to interfere in the finances of agencies under their supervision, including using their funds for unrelated ministry expenses or requiring them to fund ministry operations.
It remains unclear whether the circular is still applicable under current government arrangements.
Deji Adeyanju, lawyer and human rights activist, said if reports that the permanent secretary withheld the release of funds approved by President Tinubu are accurate, the situation raises questions about the powers of permanent secretaries.
“Assuming that the reports that the Permanent Secretary of the Ministry of Information and National Orientation has withheld the release of funds already approved by President Bola Tinubu for agencies under the Ministry, reportedly after the heads of those agencies declined to appear before her to justify how the funds would be utilised are accurate, it raises a fundamental question as to the scope of the Permanent Secretary’s powers and whether they extend to withholding the release of approved public funds on the basis of an additional administrative requirement,” he said.
Adeyanju said the power to approve budgets and oversee the use of appropriated funds rests with the National Assembly under the Constitution.
“Once funds have been duly appropriated and the requisite executive approval given, the question of accountability for their use is not one left to the discretion of any single administrative officer,” he said.
He said while a permanent secretary is responsible for financial oversight and compliance, that responsibility does not give the officer the power to impose additional conditions before an approved government decision is implemented.
“Where genuine concerns exist about how public funds are to be applied, the Constitution and extant financial regulations already provide the channels through which such concerns are properly ventilated.
What the law does not contemplate is that an administrative officer may, on her own authority, suspend the implementation of an approved government decision pending her personal satisfaction,” Adeyanju said.
Agu Henry, a lawyer with Integrity Chambers, said if it is established that the President approved the funds, the Ministry of Finance and the Office of the Accountant-General of the Federation completed the required release process, and the permanent secretary deliberately delayed payment without legal justification, there could be consequences under the Public Service Rules and Financial Regulations.
He said such action could amount to a breach of the duties of an accounting officer.
According to him, possible consequences include disciplinary action under the Public Service Rules, administrative review and, where appropriate, legal action.
However, Agu said a permanent secretary is not required to release funds where there is a lawful reason not to do so.
Such reasons, he said, could include failure to complete the required financial process, failure to meet legal requirements, directives from financial authorities suspending the release, or concerns relating to audit, procurement or anti-corruption matters.
“The key legal question is whether the Permanent Secretary’s refusal is without lawful justification. If it is, the conduct could constitute official misconduct and expose the officer to disciplinary and legal consequences,” he said.
Solomon Apenja, an Abuja-based legal practitioner, said the dispute raises questions about the role of supervising ministries and the independence of agencies under them.
“The dispute between the Permanent Secretary of the Ministry of Information and agencies parastals under the Ministry over the delay in the release of funds meant for those agencies raises interesting issues bothering on the role of the Ministry as supervisors of agencies under it as against the independence and autonomy of Parastatals, agencies and departments, most of which are themselves, creation of Law,” he said.
Apenja said the permanent secretary, as the chief accounting officer of the ministry, has a responsibility to ensure proper use of public funds.
“The Permanent Secretary is ordinarily the Chief Accounting officer of the Ministry and should appropriately be interested in how agencies under the Ministry’s purview expend funds disbursed to them for the discharge of their duties,” he said.
He added that while some agencies operate independently and report to their boards, asking them to present an action plan on how they intend to use funds may not be unreasonable.
“The agencies may have autonomy and may be answerable to their various Boards but, the Permanent Secretary’s request was for the Agencies to merely present an action plan for their utilisation of the funds which are due to them.
This does not appear unreasonable in a country plagued by the menace of a lack of accountability and prudent management of funds,” Apenja said.
