Civil Service Commission: How Officials Stole N110m Pension Funds

The Federal Civil Service Commission, FCSC, which is charged with the recruitment of staff for all federal ministries, departments and agencies has been caught up in the ongoing multi billion Naira pension scam currently rocking some federal establishments in the country.

While retirees and pensioners were dying on queues undergoing various verification exercises deliberately designed to frustrate the collection of their entitlements, some top government officials at the Federal Civil Service Commission had been nabbed for stealing and sharing the funds meant for the payment of the pensioners.

Already the Economic and Financial Crimes Commission, EFCC, has charged the officials who allegedly shared the sum of N110 million meant for the payment of FCSC’s retirees before an Abuja High Court.

They are the Acting Director of Finance and Accounts, Alhaji Hassan Mohammed Tukur, the Chief Accountant, Mr. Babatunde Bisuga and another staff in the Accounts Department, Mr. Mohammed Ndakupe.

Investigations showed that the embezzlement of the pension fund was aided by corrupt officials of First Bank of Nigeria Plc, who collaborated with the FCSC officials to perpetrate the alleged fraud.

In a statement made to the EFCC, First Bank’s Business Development Manager, Mr. Ibrahim el-Rufai, said that the bank compromised the procedure for opening an account by government’s agencies.

According to him, the bank ought to get a letter from the Accountant General of the Federation before FCSC can open a new account.

“With regards to Account No 4062040010584 (where the stolen money was domiciled), there was no approval of Accountant General of the Federation. Using our discretion, we, myself and my boss, used previous approval of the Accountant-General of the Federation, since it is in the same name of FCSC.”

The procedure of opening a public sector government account in any bank requires authorisation from the Accountant General plus mandate from the relevant commission or agency.

El-Rufai further told investigators that opening of the fraud account was duly authorised by his boss at the bank, a Deputy General Manager, Mr. Lawal Balele Rafindadi.

One of the accused persons, Mr. Babatunde Bisuga, in his statement confessed to stealing the money. They were charged with conspiracy to steal, stealing and forgery.

They were accused of making false document- the signatory mandate presented to First Bank to withdraw the stolen money. They also allegedly forged a debit mandate letter.

In his confessional statement, Bisuga said: “After the change of signatories, mandates were presented to the bank for the withdrawal of the money. These were done three times, the first was for N26 million, second was about N40 million and the third was for N42 million.

“These monies were transferred to some companies and the proceeds shared between Director Finance and Account, Alhaji Hassan Tukur, myself and Mohammed Ndakupe.

“The Director of Finance and Accounts took N60 million, while myself and Ndakupe took N20 million each.

“We were informed that the fund was from pension and this is an unusual transaction.”

Already the Prosecution counsel, Mr. Syvanus Tahir has lined up 14 witnesses to give evidence against the suspects.

They include a staff of FCSC, a staff of the First Bank and operators of the Bureau De Change where the stolen money was converted to United States dollars.

The suspects were arraigned on April 3, 2012, before Justice Maryann Anennih of the FCT High Court on a 12- count charge bordering on fraud, conspiracy to commit fraud, forgery and fraudulent conversion of public funds totalling N110 million.

They all pleaded not guilty to the charges preferred against them by the EFCC.

—Nnamdi Felix / Abuja