…commission to suspend CVR exercise on December 10

A 2022 report by the Auditor-General of the Federation has indicted the Independent National Electoral Commission (INEC) for irregular payments to the tune of N5.3 billion.

The funds were allegedly used to procure smart card readers for the conduct of 2019 general elections. In the report posted on the agency’s website and submitted to the National Assembly last month, the AGF listed a number of procurement breaches committed by INEC in the award of contract.

The Auditor General amongst his recommendations, urged the National Assembly (Public Accounts Committee of the National Assembly) to prevail on the the treasury.

“It should foward evidence of remittance to the Public Accounts Committee of the National Assembly and otherwise, approve sanctions relating to irregular payments and failure to manage public funds effectively prescribed in paragraphs 3106 , and 3115 of the financial regulations (2009) respectively, should apply”.

Listing various sections of procurement which it claimed INEC breached, the Auditor-General notes in the report: “Section 15(2) of the public public procurement Act(PPA) (2007) states that “the provision of this Act shall not apply to the procurement of special goods; works and services involving national defense or national security unless the presidents express approval has been fought sought and obtained.”

Also, Section 16(1) (c&f) of the PPA (2007)states that “subject to any exemption allowed by this Act, all public procurement shall be conducted by open competitive bidding in a manner the promotes competition, economy and efficiency“.

Furthermore, Section 17(A) 1 of the PPA (2007)states that “subject to the monetary and prior review thresholds for procurement under this act as may from time be determined by the council, the following are the approving authority for the conduct of public procurement incase of a government agency parastatal or corporation, parastatal Tenders Board…”

“In addition, section 35(1) a-b of the PPA (2007) states,”in addition to any other regulations as may be prescribed by the bureau , a mobilization fee of not more than 15% may be paid to a supplier or contract and supported by the following:(a) in the case of national competitive bidding- an unconditional bank guarantee or insurance bond issued by an institution acceptable.

The procuring entity ; and (b) in the case of international competitive bidding- an unconditional bank guarantee issued by a banking institution acceptable to the procuring entity.”

The Audit observed that, in paying the sum of N5.3 billion to a contractor for the supply of smart card readers for the 2019 elections, INEC adopted restricted procurement method in awarding the contract without obtaining prior approval from the bureau of public procurement (BPP) as required by extant regulations.