Nigeria Senate Demands Auditors Explain ₦210 Trillion Unreconciled Figures Within a Week

The Nigerian Senate's Committee on Public Accounts has issued a stern one-week ultimatum to the external auditors of the Nigerian National Petroleum Company Limited (NNPC Ltd.). The auditors must provide a detailed breakdown of over ₦210 trillion in figures that remain unexplained in the company's audited financial statements.

Lawmakers are particularly focused on two significant balance sheet entries: roughly ₦107 trillion classified as receivables and ₦103 trillion as payables. These figures have not been adequately explained despite previous engagements with the NNPC. The Senate committee, led by Senator Ibrahim Dankwambo, insists that the auditors, having signed off on the accounts, must present the supporting schedules and working papers directly, rather than deferring to the NNPC.

“

When you have figures in the financial statements, there must be supporting schedules showing how those figures were arrived at. If you already have them in your working papers, why do you need to go back before presenting them to this committee?

The auditors' initial explanation was that under professional practice, NNPC Ltd. is their principal and should provide explanations. They also noted a prior agreement for NNPC officials to clarify the figures. However, committee members, including Senator Abdul Ningi, invoked constitutional powers, asserting the National Assembly's broad investigative authority to compel the production of any relevant documents. Senators emphasized that the auditors are individually responsible for defending their audit opinions.

“

The Constitution empowers this committee to invite any person and request any document necessary for our investigation. You are before this committee as independent auditors. Do not tell us you must first seek permission from your client before complying with the lawful request of Parliament.