The Public Accounts Committee of the House of Representatives has expressed concerns over alleged irregularities in the financial records of the Lagos University Teaching Hospital (LUTH).
The House of Representatives Public Accounts Committee (PAC) has grilled the Chief Medical Director (CMD) of the Lagos University Teaching Hospital (LUTH) over alleged non-remittance of internally generated revenue (IGR), and discrepancy in payments amounting to over N2 billion.
The committee also questioned the CMD over extra-budgetary spending without approval amounting to N150.3 billion in the period under review.
Chairman of the committee, Rep. Bamidele Salam (PDP, Osun), alongside his colleagues, carried out an investigative hearing on Wednesday, 21st August, 2024 in Lagos state.
Salam emphasized that the committee’s mission was not to “witch-hunt” any Ministry, Department, or Agency (MDA), but to ensure transparency and accountability, so Nigerians receive value for money. He pledged to ensure all agencies of government comply strictly with budgetary appropriations.
The CMD of LUTH, Prof. Lanre Adeyemo, came under scrutiny, with the committee questioning the hospital’s failure to remit IGR and a discrepancy of over N2 billion in remita payments. The hospital’s extra-budgetary spending, amounting to N150.3 billion, was also a major concern for the committee.
Adeyemo highlighted several operational challenges, notably the high cost of power supply, which at one point reached N181 million monthly. However, he noted that recent federal government intervention had provided 300 solar panels to alleviate some of the pressure.
Despite these explanations, the committee expressed dissatisfaction and demanded evidence of compliance with financial regulations. The committee ruled that the justifications provided did not align with legal requirements and constituted gross violations of existing laws.
Similarly, the committee took on the Chief Medical Director (CMD) of the Neuro-Psychiatric Hospital, Yaba, Dr. Olugbenga Owoeye on various financial and regulatory infractions.
The members queried Owoeye over the recurring non-remittance of IGR. He was also questioned for allegedly engaging in extra-budgetary spending, and also the inability to adhere to financial regulations thereby contravening several sections of financial regulations.
The committee equally frowned at the employment principle of the hospital which failed to accommodate the federal character principle of sharing available job opportunities equitably across the geo-political zones of the country.
The committee also demanded that the hospital to account for contract sums of N422.3 million as well as the spending of N50.3 million on staff training.
Dr. Owoeye’s explanations did not satisfy the committee as it fell short of the expectations and it therefore requested for records of all the paid for, completed and on-going contracts.
STAR Check: Nigerians, particularly, constituents of Ede north, south/Egbedero/Ejigbo federal constituency, can keep tabs on the legislative performance of Rep. Salam throughout the 10th House here
