OrderPaperToday – The House of Representatives mandated its Committees on Public Procurement and Pensions to investigate alleged financial misappropriation in the National Pension Commission (PENCOM).
This followed the adoption of a motion by Mr. Zakariya’u Galadima, on alleged financial mismanagement and violation of the Public Procure Act in PENCOM, at yesterday’s plenary.
Leading debate on the motion, Galadima said there are alleged cases of financial mismanagement in PENCOM. He said although the Pension Reform Act of 2014 authorised the agency to invest it’s funds in viable ventures so as to generate income, there have been a gross abuse of the Public Procurement Act by the management of PENCOM in some of its transactions.
According to the lawmaker, “PENCOM, under the guise of investing its funds, deposited about one billion naira into Aso Savings and Loans Plc, Abuja, at a ridiculously low interest rate and further directed Aso Saving to lend the money to MGSL Mortgage Bank Limited, Abuja where a senior member of the Management has interest.”
He also accused the agency of engaging two consultants, whose emoluments amounted to N5.3million monthly, without adherence to due process.
He said if the issue of lack of adherence to due process in PENCOM is not addressed, it could put the interest of pensioners in jeopardy.