Senate Indicts National Lottery Trust Fund, Alleges N7bn Fraud - IReporteronline
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Senate Indicts National Lottery Trust Fund, Alleges N7bn Fraud

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The Senate Committee on Finance has indicted the National Lottery Trust Fund (NLTF), alleging fraud to the tune of over N7 billion.

The Chairman of the Committee, Senator Adeola Olamilekan disclosed this during the ongoing investigation into the remittances of Ministries, Departments, and Agencies (MDAs) of the Federal Government between 2014-2020, and payment of 1% stamp duty on all contract awards within the same period.

According to the Senator, the Agency violated due process regulation in awarding a contract worth N1.12 billion tagged “Intervention budget distribution”, which was requested in a letter dated 12 March 2014.

Adeola said during the period under review, the agency declared N7 billion but further investigation by the Committee revealed that the money spent was more than the money declared by the agency as Internally Generated Revenue (IGR).

Shocked by the money spent, which was more than the money declared before the Committee, the chairman asked for the source of the excess fund.

Adeola said, “We discovered another monumental fraud from the National Lottery Trust Fund for money that ordinarily should have been used for a good course in accordance with their Act.

“The total money accruing to them in the period under review is about N7 billion but by the time we marry this money with the good course to be provided, we noticed that the amount expended on the good course is even more than the amount that is declared.

“And the question is where do you get this excess fund? Do you have any other source of income? The answer is no. And what that simply implies is under declaration of revenue.”

The total procurement cost for the contract awarded without due process was N800 million, while consultancy service was N185 million and the Public Awareness and Media cost N50 million, while N50 million was spent on project administration and N25 million was spent on contingency.

Meanwhile, further findings revealed that the consultancy fee, which was about N185 million was expected to be N80 million which was 10% of the contract cost.

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