The House of Representatives committee on Fnance has threatened to block budget of the Corporate Affairs Commission (CAC), for failing to render its financial accounts for the last four years.
Chairman of the committee, James Faleke, issued the threat on Tuesday, when Registrar General of the Commission, Abubakar Garba, appeared before it at its ongoing engagements with MDAs on the 2022-2024 Medium-Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP).
Faleke warned that CAC may have its budgetary allocations withheld until it submits its financial report from 2016 to 2020, added no that presentation made by the Commission suggested that its revenue had always been lower than its expenditure during the on period under review.
According to the lawmaker, CAC’s budgetary performance in 2021 was already in deficit due to its spending.
“I have worked in private organisation before coming to the House of Reps, and they will always regulate their expenses and not spend beyond what they generate.
”In your case, you borrowed money upfront even before the money comes, therefore, you will have to submit your 2016 -2020 financial report before you are granted an audience for 2022 budget. You expended what you do not generate, this agency needs a total overhaul to turn it back to what it is supposed to be.
“Today all the registration is done online, yet you are still carrying unbearable overhead, things need to change”, Faleke stated.
The Registrar-General in response however told the committee that most of the expenditures were used to settle outstanding liabilities, adding that as at 2020, the Commission had N2.024 billion in liabilities which it has to offset.
