Exposed: How CAC remitted only N169m from 56bn raked in 3 years

The House of Representatives joint committee on Finance, Appropriation, National Planning, and Economic Development and Aids, Loans and Debts Management was alarmed with a shock that the Corporate Affairs Commission (CAC) remitted less than two percent of billions generated in three years to Federal coffers.

This is even as the Federal Government has started direct deduction from the Commission’s revenue, with a total deduction of N69million, representing 25 percent of the total money generated.

The committee headed by Rep. James Abiodun Faleke, however, was miffed with the presentation of the agency.

The joint committee is conducting a 5-day interactive session on the 2021 to 2013 Medium Term Expenditure Framework, MTEF, and Fiscal Strategy Paper, FSP.

Speaking on behalf of the agency, the Director of Budget Planning, Research and Statistics, Dr. Gado Shehu said the CAC had an approved revenue budget of N15.770 billion in 2019 while the budgetary performance was N12,675 billion. But only remitted N100 million to the covers of the federal government.

But Faleke and other Committee members were shocked by how CAC remitted the only N100million after getting over N12billion saying: “Even that N100million that you remitted, it was the committee that forced you to remit it, I remember.”

Shehu said the CAC in 2018 had a budget of N16.621bn but realised N11billion but remitted zero revenue. He started to explain but was asked to stop.

The committee noted that it is assumed there was no remittance for that year. He further said: “The approved revenue budget for 2020 is N18billion, while the CAC had by June realised N8.3billion. By June, because the Federal Government has started direct deduction from our revenue, they have deducted N69million.

Twenty-five percent of whatever drops into our account is deducted,” he said. Faleke, however, asked if N69million is 25 percent of N8.3bn, stating that it is less than one percent.

Shehu while speaking on the proposal by the CAC for 2021 said the total projected revenue is N19.425billion. The amount the commission plans to remit, he couldn’t say.

Faleke, however, said, “The amount that will be deducted from your account directly, without recourse to you in 2021 is N7.77 billion. Write it down. In 2022, the amount that will be deducted from your account is N7.925 billion.

“In 2023, by the grace of God, God spearing our lives, the amount that will be deducted from your account is N8billion”, he said.