The House of Representatives Public Accounts Committee has raised serious concerns over alleged discrepancies in the financial records of the Lagos University Teaching Hospital (LUTH).
The legislative arm said the discrepancies were on the non-remittance of internally generated revenue (IGR) totaling over N2 billion through the Remita payment system.
The committee, led by its Chairman, Bamidele Salam, grilled LUTH’s Chief Medical Director, Professor Lanre Adeyemo, during an investigative hearing that commenced on Wednesday, 21st August 2024, in Lagos State.
PLATFORM TIMES reports that the hearing, which will conclude on Friday, 23rd August 2024, is part of a broader effort by the committee to ensure accountability and strict compliance with budgetary appropriations across government agencies.
During the session, the committee did not limit its scrutiny to the N2 billion IGR discrepancy.
Professor Adeyemo was also questioned regarding alleged extra-budgetary spending amounting to N150.3 billion.
The committee expressed concern over LUTH’s financial practices, particularly the approval and execution of expenditures without the necessary legislative sanction.
In his defense, Professor Adeyemo acknowledged the challenges faced by LUTH, particularly the issue of power supply, which has significantly impacted the hospital’s operations.
He revealed that the cost of powering the hospital had escalated to over N181 million per month at one point, a situation that was only alleviated by the federal government’s intervention with the deployment of 300 solar panels.
However, the committee was not convinced by Professor Adeyemo’s explanations, particularly regarding the untidy processes of the LUTH tenders board and the hospital’s violation of financial regulations, including the non-payment of staff professional membership fees.
The committee demanded that the CMD provide concrete evidence of approvals, expenditures, and adherence to financial regulations to substantiate his claims.
The Public Accounts Committee’s probe extended beyond LUTH to other medical institutions, including the Neuro-Psychiatric Hospital in Yaba.
The hospital’s Chief Medical Director, Dr. Olugbenga Owoeye, was similarly grilled over various financial and regulatory infractions.
The committee questioned Dr. Owoeye on the recurring issue of non-remittance of IGR and accused him of engaging in extra-budgetary spending in contravention of several sections of financial regulations.
Moreover, the committee took issue with the hospital’s employment practices, particularly the failure to adhere to the federal character principle, which mandates equitable distribution of job opportunities across Nigeria’s geo-political zones.
The lawmakers also demanded that the hospital account for contract sums totaling N422.3 million, as well as N50.3 million reportedly spent on staff training.
Dr. Owoeye’s explanations were deemed unsatisfactory by the committee, which requested detailed records of all paid-for, completed, and ongoing contracts at the Neuro-Psychiatric Hospital.
Salam reiterated the committee’s commitment to holding all government agencies accountable to ensure they operate within the confines of the law and comply strictly with budgetary provisions.
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