The Secretary to the State Government (SSG), Alhaji Umar Farouk Ibrahim has dismissed allegations of a N1.8 billion fund mismanagement by the immediate past Head of Service, Abdullahi Musa describing the claims as misinformation.
The clarification follows a directive issued by Governor Alhaji Abba Kabir Yusuf during the May Day celebrations, instructing the SSG to investigate the matter and uncover the facts.
A statement issued by Governor’s Chief Press Secretary Mustapha Muhammad on Saturday revealed that during the Workers Day, Chairman of Nigeria Labour Congress Kano State, Comrade Kabiru Inuwa alleged that immediate past Head of Service had mismanaged state funds.
According to the release, Alhaji Ibrahim made this known during a Dinner and Award Night organised by the State Government in collaboration with the Nigeria Labour Congress (NLC) at the Government House, Kano on Saturday.
The SSG explained that the N1.8 billion in question was not mismanaged by government officials, but was instead identified as excessive charges deducted from civil servants’ salaries by loan vendors.
Upon the Governor’s directive, the SSG’s office engaged professional auditing firm to scrutinize the state’s payroll system and the accounts of the affected civil servants for the period under review.
Alhaji Ibrahim confirmed that the loan scheme was temporarily suspended to allow for this thorough investigation.
He said the audit revealed that several loan vendors had been charging workers rates far above their original contractual agreements.
Alhaji Ibrahim disclosed that the private auditing firm found that vendors had illegally accrued over N1.8 billion from civil servants through these overcharges.
The SSG revealed that based on these findings, the State Government has officially directed the loan vendors to return the N1.8 billion and it would be shared among the affected civil servants accordingly