Senate probes alleged 3.5billion dollars subsidy recovery fund

The Senate has resolved to set up an ad hoc committee to investigate 3.5 billion dollars Subsidy Recovery Fund, allegedly created by “the Nigerian National Petroleum Corporation – NNPC and solely managed by its Group Managing Director and the Executive Director, Finance.

The decision followed a Point of Order raised by the Senate Minority Leader, Abiodun Olujimi who expressed concern at the existence of such fund and the mode of its management. According to her, the Federal Government had to cancel subsidy that was usually provided for in the nation’s annual budgets since 1999, only to turn round to set up a fund that was never appropriated for by the National Assembly.

HOWEVER, The NNPC has denied the allegation, explaining that at the hit of the shortage of products supply at the close of last year, the National Assembly asked the NNPC to do everything possible to stem the hiccups.

In a statement in Abuja, Group General Manager, Public Affairs Division of the NNPC, Ndu Ughamadu, revealed that accordingly, NNPC initiated the move to raise a revolving fund of 1.05 billion dollars, since the corporation was, and still is, the sole importer and supplier of white products in the country stressing that ever since, the fund had been domiciled in the Central Bank of Nigeria and never in the in the custody of the NNPC.

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