The Federal Mortgage Bank of Nigeria FMBN says the Integrated Personal Payroll Information System failed to remit N26.6bn workers’ contributory funds in two years.
The Managing Director of FMBN, Mr Madu Hamman, said this on Thursday in Abuja while appearing before the House of Representatives Ad hoc committee probing the non-remittance to the National Housing Fund and Utilisation.
According to the NAN’s report, he said from October to December 2022, there were 40 percent unremitted payments to FMBN resulting from revenue driven by the Federal Government and a total of N11.63bn was involved.
“From January to December 2022, N11.59bn was not remitted as backlog payments for MDAs from IPPIS, while N3.36bn was not remitted from April to July 2021 as outstanding failed payments for 2021 from IPPIS,” he said.
Hamman explained that some NHF payments meant to be paid to FMBN as housing contributions, had been wrongly made into the Federal Government Loan and Scholarships Board, adding that 14 MDAs were affected by the wrong payments.
He said all contributors were eligible for a full refund of their contribution over the years including accrued interest of two per cent upon retirement.
Others, he said, were by attainment of 60 years or inability to continue due to incapacitation or death, adding that FMBN had refunded N66.68bn to 444,637 beneficiaries.
Speaking on projects executed through various means, Hamman said, FMBN ensured it gave loans to register members of the association of developers.
He said that FMBN also had the regular primary mortgage bank from interested individuals where it disbursed N139.6bn to 24,332 beneficiaries.
On the ministerial pilot scheme, he said the Federal Ministry of Works and Housing provided land for those on the scheme, and it had spent N38bn to build 5,443 units of housing.
Reacting to the allegations, Mr Ekwem Dem, Deputy Director, IPPIS in the Office of the Accountant General said, “On our part, we are just hearing some of these allegations.”
He said, for instance, the ‘no work no pay’ for members of ASUU remittances was still hanging, adding that there was a need for a reconciliation window. “So we can see the area of convergence,” he said.
The Chairman of the Committee, Dachung Bagos, said it would go on oversight of some of the projects claimed to have been executed by FMBN and where they were located.