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Business News of Thursday, 18 November 2021


SEC under fire over N9bn frivolous spending

Securities and Exchange Commission (SEC) Securities and Exchange Commission (SEC)

The Director-General of the Securities and Exchange Commission (SEC), Yuguda Lamido, has come under severe criticism from senators over alleged frivolous spending of its revenues largely on salaries and emoluments of its staff.

Senate Committee on Capital Market, said it was wrong for SEC to have spent almost 90per cent of revenues made in the 2021 fiscal year on staff salaries and emoluments.

Disagreement between the Commission and the Senate on revenues made, ensued during a presentation made by Director-General of SEC  to the Committee on Capital Market on budget  performance of the agency in 2021 and projections for 2022.

Chairman of the Committee, Ibikunle Amosun, frowned at the expenses made by the Commission from its generated revenues.

He said: “Your emolument was almost N6  billion out of the N9 billion and other expenses. So, clearly you are spending almost all of the revenue that comes to you on staff emolument and related things.

“You should give us the number of staff that you have in the Commission such that we need to look at what is happening. If you generate about  N9 billion and almost N8 billion is purely for servicing the staff. “You are having a huge deficit of almost N4 billion. When you continuously make this deficit, year in, year out, then something is wrong.”

Mr Yuguda had said: “A total of N11.5 billion was projected as revenue for 2021 out of which N2.689 billion was realised as at June with the hope of making more before the year runs out .

“Total recurrent expenditure for 2021 was budgeted at N13.53 billion but the actual expenditure was N4.063 by the end of June. Our budgeted deficit was N5.173 billion but the actual deficit as at end of September was N2.834 due to funding of it from our reserve.”