The Senate has indicted the Federal Mortgage Bank of Nigeria (FMBN) for irregular award of contracts and non-recovery of loans to the tune of N4.5 billion.
This was sequel to the consideration and adoption of a report by the Senate Public Accounts Committee.
The committee investigated the financial dealings of federal government agencies, using the 2018 report of the Auditor-General for the Federation.
The breakdown of the mismanaged fund, according to the audit report, showed that FMBN irregularly awarded N3bn contracts in different phases, which it said was above the approved threshold of the bank.
The report also said the bank failed to recover N70 million trapped in a defunct bank as well as outstanding balances of loans trapped in primary mortgage bank and micro finance bank, amounting to N1.3 billion.
The bank also failed to recover N79 million and N65 million loans granted to its former officials and former directors respectively.
The agency, in its response attached to the report, said the contractors have been engaged on issues raised by the auditor general and a settlement agreement has been entered into for refund.
The committee, therefore, ordered the FMBN to account for N3 billion contracts that were irregularly awarded.