The House of Representatives Public Accounts Committee has formally summoned the chairmen and finance directors of the six Area Councils in the Federal Capital Territory (FCT) following an audit that uncovered alleged financial breaches exceeding N100 billion.
The affected councils — Abuja Municipal Area Council, Bwari, Gwagwalada, Kuje, Abaji, and Kwali — were indicted in an Auditor-General’s report for the fiscal year ended December 31, 2021. The audit highlighted extensive cases of unremitted taxes and VAT deductions, failure to update fixed asset records, and expenditures lacking proper documentation or accountability.
According to the report, “The six Area Councils recorded outstanding liabilities amounting to N7.6bn as of December 31, 2021,” including unpaid pension deductions, Pay-As-You-Earn (PAYE), Value Added Tax (VAT), withholding taxes, and capital project obligations owed to the Nigeria Revenue Service, FCT Inland Revenue Service, pension administrators, and contractors.
A breakdown revealed that Abuja Municipal Area Council had the highest outstanding liabilities at N2.19 billion, followed by Bwari with N1.49 billion and Kwali with N1.46 billion. The remaining councils — Gwagwalada, Kuje, and Abaji — recorded liabilities of N1.01 billion, N892.2 million and N593.8 million respectively.
The auditor also faulted the councils for failing to properly maintain and update their fixed asset registers. In one instance, it noted that Gwagwalada Area Council had non-current assets worth N336 million that were not adequately recorded, “creating room for asset losses without trace.”
The report further raised concerns about expenditure totalling N24.8 billion in 2021 on personnel, overheads and capital projects — an increase of 89 per cent over the previous year — and questioned why 37 per cent of funds allocated to capital projects had not been properly accounted for.
Reacting to the indictment, the committee chairman, Mr. Bamidele Salam, confirmed receipt of the audit report and said three separate letters have been issued to summon the council chairmen and their finance directors to appear before the committee and answer the audit queries.
Mr. Salam warned that those summoned “have been given a final opportunity to appear on Wednesday, February 11, 2026,” and added that failure to comply would compel the House to use its constitutional powers to order their arrest and ensure their appearance before the committee.
He also disclosed that the councils were indicted for failure to audit and submit their financial accounts for the years 2023, 2024 and 2025, contrary to statutory requirements, and stressed that “public funds are expected to be managed with transparency and prudence,” saying any official found culpable would be held accountable according to the law.
