PFIPC scandal: Ex-SGF Babachir Lawal suspects ‘big racket’ behind ‘fake’ agency’s budget code
Summarized and contextualized by DistantNews.
At a glance
- Former Secretary to the Government of the Federation, Babachir Lawal, called for a judicial inquiry into the alleged fake Presidential Fiscal and Infrastructure Projects Council (PFIPC).
- Lawal suspects a 'big racket' enabled the agency to operate and receive funds, questioning how a ₦27.5 billion take-off grant was disbursed without appropriation.
- He argued that the scandal surfaced due to disagreements over fund sharing, not effective government oversight, and highlighted institutional failures.
Former Secretary to the Government of the Federation, Babachir Lawal, has demanded a judicial inquiry into the alleged Presidential Fiscal and Infrastructure Projects Council (PFIPC) scandal. Lawal believes the controversy points to deep institutional failures rather than a mere administrative error, suggesting a wider network enabled the agency to function despite questions about its legal status.
I don’t think it should even be administrative alone; it should be a judicial inquiry
Lawal expressed skepticism about how a ₦27.5 billion take-off grant could be disbursed to the alleged fake agency without appropriation or a clear budget line. He questioned the process of fund release, stating, "Who gave him the money? It was not appropriated for; it’s not in any budget, that N27.5bn Naira for which he says somebody demanded 48%."
He argued that the scandal became public only because of disagreements over the sharing of these funds, rather than effective government oversight. "So you see, that’s how we got to know this to start with. That is the reason why we got to know this on his side of the coin. It’s about the sharing of the N27.5bn," Lawal stated.
Who gave him the money? It was not appropriated for; it’s not in any budget, that N27.5bn Naira for which he says somebody demanded 48%. Who gave him the money? How did the process of generating the request for the release come up? How did it go through?
The former SGF emphasized that the disbursement of ₦27.5 billion before budget scrutiny indicates a significant breakdown in government processes. He believes an administrative investigation would be insufficient, advocating for a judicial inquiry to uncover the full extent of the alleged 'big racket' and institutional weaknesses.
So you see, that’s how we got to know this to start with. That is the reason why we got to know this on his side of the coin. It’s about the sharing of the N27.5bn. That’s why the thing came up.
Originally published by The Punch. Summarized and contextualized by our editorial team with added local perspective. Read our editorial standards.