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Home Politics Governance

Auditor-General Flags N33.75bn Unverified Transfers

by Hajara Abdullahi
September 5, 2026
in Governance
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Auditor-General Flags 33.75bn Unverified Transfers

The Auditor-General Of The Federal,Shaakaa Kanyitor Chira. Photo Credit-Google

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The recipients were drawn from the National Social Register and enrolled on the National Beneficiary Register, which are key databases used for implementing social intervention programmes.

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Hajara Abdullahi

Morganable

5 September 2026

KaNo—

The Auditor-General for the Federation has raised fresh concerns over the disbursement of N33.75bn in cash transfers to vulnerable households, stating that the Federal Government failed to provide sufficient evidence that the funds reached genuine beneficiaries.

The development is contained in the Auditor-General’s 2024 Annual Report on Non-Compliance and Internal Control Weaknesses in Ministries, Departments and Agencies, obtained on Friday.

The report reviewed financial activities of the National Cash Transfer Office in Abuja for the 2023 fiscal year and highlighted multiple irregularities involving billions of naira.

According to the report, electronic transfers amounting to N33,751,080,000 were made to 3,295,207 beneficiaries across 35 states.

The recipients were drawn from the National Social Register and enrolled on the National Beneficiary Register, which are key databases used for implementing social intervention programmes.

Documentation Required To Verify Payments

However, auditors said critical documentation required to verify the payments was either incomplete or withheld, making it impossible to confirm whether the funds reached the intended recipients.

“The paid vouchers for the payments did not contain the full details of the beneficiaries,” the report stated. “Remita statements showing records of the beneficiaries paid as against those listed on the NSR and NBR were not presented for audit.”

The absence of these records, the auditors noted, hindered the authentication of the payments and raised doubts about the credibility of the disbursement process.

Efforts by the audit team to access the necessary payment documentation were reportedly obstructed by officials of the National Cash Transfer Office.

“All efforts to obtain access to the Remita statement were obstructed and denied by NTCO accounts staff, thereby frustrating the audit process,” the report added.

The Auditor-General warned that the lack of transparency in the disbursement process exposes public funds to potential loss and increases the risk of payments being made to ineligible or fictitious beneficiaries.

As part of its recommendations, the report directed the National Programme Manager of the NTCO to appear before the Public Accounts Committees of the National Assembly to account for the N33.75bn.

It also advised that the funds should be recovered and remitted to the Treasury if they cannot be properly accounted for.

National Cash Transfer Office Fails To Reply Audit Queries

The report further noted that the management of the National Cash Transfer Office failed to respond to audit queries, a development that auditors described as a breach of accountability standards.

Beyond the cash transfer discrepancies, the audit uncovered additional financial irregularities, including N36.74bn in payments made without prepayment audit.

The report revealed that 215 payment vouchers relating to Special Services, International Development Association and output-based transactions in December 2023 were processed and paid without internal audit checks.

“None of the paid vouchers were pre-audited or checked by the Internal Audit as required by extant regulations,” the report said.

Instead, the Internal Audit Unit conducted post-payment reviews, a practice the Auditor-General said undermines financial control mechanisms and increases the risk of misapplication or diversion of funds.

The office recommended that the amount be fully accounted for before the National Assembly.

In another finding, the auditors queried 101 payments totalling N4.62bn made from the NTCO’s S&S/IDA Cash Book without the presentation of supporting vouchers for verification.

The absence of these documents, the report stated, raises concerns about possible misuse of public funds.

350m Disbursed To State Coordinators

The audit also flagged N350.18m in unsubstantiated disbursements made to state coordinators.

While N3.09bn was reportedly released to various states for the enrolment of unbanked beneficiaries, only N2.74bn was supported with documentation, leaving a balance unaccounted for.

The report noted that the vouchers provided were vague and lacked details on how the funds were utilised.

Essential supporting documents, including beneficiary lists, photographs, attendance registers and enrolment reports, were not attached.

Consequently, the Auditor-General recommended the recovery and remittance of the unaccounted N350.18m to the Treasury if satisfactory explanations are not provided.

Further scrutiny was directed at N393.71m in unused enrolment funds reportedly returned by nine State Cash Transfer Units.

Although the NTCO claimed the funds were refunded due to challenges such as insecurity and natural disasters, auditors said no evidence was provided to confirm that the money was credited to the Consolidated Revenue Fund.

“No documents were presented to confirm that the amount refunded was credited into the CRF,” the report stated, adding that key financial records such as Remita inflow statements and payment slips were not made available.

The report also noted the absence of evidence showing that the affected states eventually carried out the enrolment exercises for which the funds were initially allocated.

In another instance, the audit queried a N280.42m mobilisation payment made to Payment Service Providers engaged to facilitate cash transfers.

The payment, representing 30 per cent of the contract value, was made without an Advance Payment Guarantee, contrary to financial regulations.

Auditors further observed that due process was not followed in selecting the service providers, as there were no records of pre-qualification, bidding or technical and financial evaluations.

The report warned that such lapses could result in payments for jobs not executed and recommended the recovery of the funds.

Additionally, store items valued at N89.51m purchased by the NTCO were not recorded in the office’s store ledger.

The audit found that no Store Receipt Vouchers or Store Issue Vouchers were attached to the payment records, and the ledger had not been updated since 2020.

The Auditor-General described the situation as a major breach of inventory management procedures and a potential avenue for misappropriation of government property.

The report also highlighted N17.42m spent on diesel, which was issued to staff as cash advances rather than processed through formal procurement procedures.

The amount exceeded the N200,000 threshold that requires contract awards, raising concerns about compliance with procurement laws.

Overall, the Auditor-General’s findings paint a troubling picture of weak internal controls, poor documentation practices and lack of transparency in the management of public funds within the National Cash Transfer Office.

The report emphasised the need for stricter oversight, improved record-keeping and full compliance with financial regulations to safeguard public resources and ensure that social intervention programmes achieve their intended objectives.

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Hajara Abdullahi

Hajara Abdullahi

Hajara Abdullahi is a News Reporter at Morganable, with primary responsibility for politics and general news coverage. She reports on political developments, governance, public institutions, elections, public policy and major events affecting Nigeria and the wider African region. Her work focuses on delivering clear, factual and accessible reporting that helps readers understand the people, decisions and institutions shaping public life. Through timely news coverage and careful attention to context, Hajara contributes to Morganable’s commitment to informed, responsible and public-interest journalism.

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