A damning audit report has uncovered alleged large-scale financial mismanagement within the Abia State public sector, with at least N1.86 billion reportedly looted or improperly handled by government officials in 2023.
The findings are contained in an 88-page document titled “Report of the Auditor-General for the State on the Financial Statements and Accounts of the Abia State Government of Nigeria for the Year Ended 31st December 2023,” which examined financial activities from January to December of the year under review.
The report paints a troubling picture of systemic irregularities across multiple ministries, departments, and agencies (MDAs), citing breaches such as contract awards without due process, payments made outside approved channels, and procurements that were either undelivered or poorly documented. It also flagged cases of tax evasion, unexecuted contracts, unvouched expenditures, and failure to remit tax deductions.
According to the audit, a staggering N1.78 billion was either unaccounted for or disbursed in violation of established procedures, while an additional N79.46 million was allegedly diverted into private accounts operated by public officials.
At least 54 transactions were identified as questionable, cutting across key institutions including the judiciary, the Abia State Independent Electoral Commission, the Ministry of Petroleum, and the Agency for Mass Literacy in Umuahia. Several educational institutions, among them Abia State Polytechnic, Aba, colleges of education, and secondary schools, were also implicated.
The review period spans the final months of the administration of former governor Okezie Ikpeazu, who left office on May 29, 2023, and the early tenure of his successor, Alex Otti, who assumed office the same day.
Further breakdown of the alleged infractions shows that funds were funneled into private accounts within critical ministries, particularly the Ministries of Finance and Petroleum. Among the transactions highlighted, N32.12 million was reportedly paid into the account of a former permanent secretary in the finance ministry, while N5.72 million was allegedly transferred to a serving director of finance. The director, however, denied the allegation, stating that he had been cleared by the appropriate authorities.
In another case, N41.62 million was said to have been paid into the personal account of the Commissioner for Environment, Philemon Asonye Ogbonna, reportedly linked to the Abia Industrial and Innovative Park project in Owaza, Ukwa West Local Government Area.
The auditor-general emphasised that such transactions violate Financial Regulation 809, which mandates that public funds must be paid into official government accounts and properly documented.
Responding to the allegation, the commissioner acknowledged that the funds passed through his personal account but insisted they were used strictly for project-related purposes. He declined to state whether the action contravened financial regulations.
The report also detailed cases of contract non-execution, including the disbursement of N782,000 for renovation work at the Abia State College of Health Sciences and Management Technology—work auditors said could not be verified. Additionally, it flagged questionable duty tour allowance payments at Abia State Polytechnic, Aba, where staff allegedly received N1.02 million for assignments carried out within official working hours.
While the auditor-general has directed the affected institutions and officials to respond to the findings, the report noted that no responses had been received at the time of its finalisation, raising further concerns about accountability in the state’s public financial system.
