NEITI to sanction erring firms

THE Nigeria Extractive Industries Transparency Initiative (NEITI) yesterday said it would not sanction any company which fails to provide statements of accounts as at when due to its auditors.

NEITI’s Chairman Ledum Mitee spoke after a National Stakeholders’ meeting in Uyo, the Akwa Ibom State capital.

Mitee said previous NEITI audit reports have identified potential revenue loss due to under-assessment/underpayments by covered entities amounting to over $9.8 billion or N1.3 trillion by the existing exchange rate.

He explained that NEITI would no longer sit down and allow companies hold on to funds at a time the Federal Government is searching for funds to finance the deficits in the budget.

According to the chairman, NEITI would soon commence the process of identifying all public officers whose acts or inactions have resulted in the under-payments, under-assessment and avoidable leakages, thereby short-changing the Federal Government of its derivable revenues.

Mitee added that NEITI would also seek the support and collaboration of the relevant law enforcement agencies to achieve its aim.

He said: “Let me announce to you that the NEITI Board, chaired by me, have resolved at the end of this Retreat, appropriately themed- ‘From transparency to Accountability’ to stoutly execute and fully carry out its statutory functions in the direction that would deliver results and impacts in the extractive industry leading to ultimate improvement in the lives of Nigerians.

“Similarly, we shall invoke the statutory sanctions against relevant government agencies identified to have willingly frustrated the implementation of remedial issues in NEITI Audit Reports over the years.

“We will place greater emphasis on our powers under Section 3(f) of the NEITI Act that requires us to monitor and ensue that all payments due to the Federal Government from all extractive industry companies, including taxes, royalties, dividends, bonuses, penalties, levies and such like, are duly made.

“This necessarily includes all outstanding cases of under-payments and under-assessments discovered and publicly reported by previous NEITI audit reports. For example, previous NEITI audit reports have identified potential revenue loss due to under-assessment/underpayments by covered entities amounting to over $9.8 billion or N1.3 trillion by the existing exchange rate.

“NEITI can no longer sit down and watch these recoverable funds in the hands of the companies at a time the Federal Government is searching for funds to finance the deficits in the annual budgets.”