The Independent National Electoral Commission (INEC) has responded to a damning Auditor-General’s report that flagged N288,188,772,947.06 in questioned spending, insisting that all disbursements were conducted in accordance with due process and approved by the Presidency.
The figures spend under Mahmood Yakubu, were highlighted in the Auditor-General’s 2022 Annual Report on Non-Compliance and Internal Control Weaknesses in MDAs. The audit pointed to multiple breaches under former INEC Chairman Mahmood Yakubu’s tenure between 2018 and 2019, including payments to contractors lacking proper documentation, failure to remit statutory deductions, and unretired advances.
A major concern raised was N5.31bn spent on Smart Card Readers (SCRs) for the 2019 general elections through a restricted procurement process, bypassing prior approval from the Bureau of Public Procurement (BPP). The report noted that the contract exceeded the Tender Board’s approval threshold and lacked Federal Executive Council sanction, though the Presidency had granted approval—an action the audit described as inconsistent with the Public Procurement Act.
Other flagged transactions include N4.51bn released as 35 per cent contract sums to six contractors without proof of supply, N331m paid under unclear circumstances, and N235.8bn disbursed without deducting the mandatory 1 per cent stamp duty. The audit also noted N630.6m in unretired non-personal advances to INEC officials, contracts for ballot papers and result sheets worth N41.31bn with no evidence of contractor eligibility, and four Toyota Land Cruisers purchased for N297.78m, above market value.
In its defence, INEC maintained that all payments were necessary and properly approved. The commission emphasised that mobilisation payments for the SCRs were urgent to meet the election timeline and that all supporting documents, including advance payment guarantees, were available.
“Enhancement was already in progress before the payment of 15% mobilisation due to the urgency of the contract. All required documents are on file. Presidential approval was granted via letter Ref.No.SH/COS/28/A/394 dated 30th July 2018. The initial 15% payment preceded the 25% as required by law, and was necessary to meet deadlines for procurement of Smart Card Reader components,” INEC stated.
Despite the explanation, the Auditor-General deemed some responses unsatisfactory and reiterated that the flagged issues remain unresolved. The report urged the INEC chairman to present accounts to the National Assembly’s Public Accounts Committees, recover irregular payments, and remit funds to the treasury.
“Failure to implement these recommendations may attract sanctions as prescribed in paragraphs 3106 and 3115 of the Financial Regulations (2009),” the report warned.
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