An audit report by the Abia State Auditor-General has uncovered the alleged looting and diversion of at least N1.86 billion in public funds by government officials in 2023.

The 88-page report, titled “Report of the Auditor-General for the State on the Financial Statements and Accounts of the Abia State Government of Nigeria for the Year Ended 31st December 2023,” covers the period from January to December 2023 and details widespread financial irregularities across multiple ministries, departments, and agencies.

According to the report, the alleged infractions include contract awards without due process, payments made outside approved procedures, undelivered procurements, and funds that were either unaccounted for or insufficiently documented. Other violations cited include tax evasion, unexecuted contracts, unvouched payments, and unremitted tax deductions.

The report indicated that N1.78 billion of the total amount was either unaccounted for or disbursed in breach of due process, while N79.46 million was allegedly diverted into private accounts operated by government officials.

The audit findings spanned at least 54 transactions flagged for irregularities and affected several institutions, including courts, the Abia State Independent Electoral Commission, the Ministry of Petroleum, and the Agency for Mass Literacy in Umuahia. Educational institutions such as Abia State Polytechnic, Aba, colleges of education, and secondary schools were also listed.

The report noted that the period under review covered the administrations of former governor Okezie Ikpeazu, who served until May 29, 2023, and his successor, Alex Otti, who assumed office the same day.

Details of the alleged diversion showed that funds were paid into private accounts in key ministries, including the Ministry of Finance and the Ministry of Petroleum. Among the transactions, N32.12 million was reportedly transferred into the account of a former permanent secretary in the finance ministry, while N5.72 million was allegedly paid into the account of a serving director of finance, who has denied the claim and said he was cleared by relevant authorities.

The report also stated that N41.62 million was paid into the private account of the state Commissioner for Environment, Philemon Asonye Ogbonna, purportedly for the Abia Industrial and Innovative Park project in Owaza, Ukwa West Local Government Area.

The auditor-general noted that such transactions contravene Financial Regulation 809, which requires that public funds be paid into official government accounts and properly documented.

In response, the commissioner confirmed that the funds passed through his personal account but maintained that they were used strictly for project-related expenses. He, however, declined to comment on whether the action breached financial regulations.

The report further cited cases of non-execution of contracts, including the release of N782,000 for renovation work at the Abia State College of Health Sciences and Management Technology, which auditors said could not be verified. It also flagged irregular payments of duty tour allowances at Abia State Polytechnic, Aba, where staff reportedly received N1.02 million for tasks performed within official working hours.

The auditor-general said affected institutions and officials had been directed to address the anomalies but noted that responses were yet to be received at the time the report was finalised.