Reps query Mortgage Bank over N377m tax

The Public Accounts Committee (PAC) of the House of Representatives has queried the Federal Mortgage Bank of Nigeria (FMBN) for not remitting taxes totalling N377.4 million to the Federal Inland Revenue Service (FIRS).

The committee, acting on the report of the Auditor General of the Federation, said the amount was for both Value Added Tax (VAT) and withholding tax. The queries were raised in 2015.

Members of the panel, headed by Kingsley Chinda (PDP, Rivers) during a session with the Managing Director of the bank, Ahmed Musa Kangiwa, said the total amount not remitted could be more than N377.4m based on records of the bank.

Chinda observed that the amount when properly tabulated could be up to N500m. But Kangiwa said the money was paid via e-platform after the auditor general’s query was raised.

Deliberations on the query could not be concluded due to non-availability of some documents.

In another query, the committee also demanded details of three vehicles purchased at N49 million but sold to a former Managing Director of the Federal Mortgage Bank of Nigeria (FMBN), Gimba Ya’u Kumo at N4.9m.

The lawmakers were unhappy that the three vehicles, bought in 2015 were sold to the ex-MD in February 2016, when he was removed; at only 10 percent of the actual amount they were bought.