In a surprising revelation at the ongoing investigation by the House of Representatives adhoc committee, the Integrated Personnel Payroll and Information System (IPPIS) has distanced itself from the payment of salaries to federal civil servants. According to the Director in Charge of IPPIS, Mr. Emma Deko, the system is only responsible for processing the payment, not actually disbursing the funds.
Speaking at the hearing, Mr. Deko shed light on the challenges faced by IPPIS in remitting deductions from workers' salaries for the National House Fund. He explained that cash shortages for wage approvals often lead to non-remittance of deductions. While IPPIS prepares the salaries for federal workers, it is four separate gateways appointed by the government that handle the actual payment process.
These gateways, namely the Nigeria Interbank Payment System (NIPS), E-Transact, Remita, and GIFMIS, operate independently of IPPIS. Mr. Deko emphasized that the funds for salaries are held by the Central Bank of Nigeria (CBN). Once the remittances are made, it is the responsibility of the CBN to provide IPPIS with statements for reconciliation purposes.
However, Mr. Deko expressed concerns about the lack of detailed breakdowns in the figures provided by the CBN. This issue extends beyond IPPIS, affecting all accounting departments. The apex bank typically provides bulk figures, making it challenging for accountants to perform accurate reconciliations.
In response to these revelations, the committee has summoned representatives from the CBN and the Accountant General of the Federation to appear before them on Thursday. The purpose of their appearance is to explain the delays in remitting deductions from workers' salaries to the Federal Mortgage Bank.
This unexpected turn of events raises questions about the responsibility and accountability for salary payments within the government. As the investigation continues, it remains to be seen how these issues will be resolved and if necessary reforms will be implemented to ensure timely and accurate payment of workers' salaries.
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