Secrets Reporters
The National Office for Technology Acquisition and Promotion (NOTAP), the federal agency charged with regulating the inflow of foreign technology, promoting indigenous innovation and commercialising research results, recorded approximately ₦138.8 million in irregular payments, diverted revenue and unapproved expenditures between 2018 and 2020, according to exclusive findings by SecretsReporters.
The eight issues uncovered by SecretsReporters involve payments for foreign travel without required clearances, the transfer of a substantial portion of internally generated revenue (IGR) into a staff welfare account, non-deduction of statutory Value Added Tax, irregular allowances, unretired cash advances, sponsorship of private functions for non-staff, sitting allowances and honoraria paid to staff for routine duties, and a direct payment from NOTAP’s IGR to its supervising ministry.
At the time of the transactions, Dr. DanAzumi Mohammed Ibrahim served as Director-General. Ibrahim was appointed substantive DG by President Muhammadu Buhari in October 2015 and had his appointment renewed for a second term in October 2019. He remained in office through the period under review and handed over in late 2023. The current Director-General, Dr. Obiageli Amadiobi, was appointed by President Bola Tinubu in 2024.
NOTAP operates under the Federal Ministry of Innovation, Science and Technology. Its core mandate includes evaluating and registering technology transfer agreements, promoting intellectual property culture, supporting the commercialisation of research and development results, and reducing Nigeria’s heavy dependence on imported technologies, a dependence that agency officials have repeatedly described as exceeding 90 per cent of the technologies powering the economy.
Foreign Travel Payments Without Required Clearance amount ₦27,114,664.10
Between March and December 2019, NOTAP paid ₦27,114,664.10 to 14 officers for courses and seminars held both within and outside Africa. No evidence of the mandatory prior clearance from the Secretary to the Government of the Federation or the Head of the Civil Service was attached to the payment vouchers or presented for verification.
Management stated that the office sought the Honourable Minister’s approval for every foreign trip through its supervising ministry and maintained that beneficiaries participated in the programmes. SecretsReporters’ findings, however, show that the required central clearance under the relevant establishment circular was not obtained or produced.
Diversion of Internally Generated Revenue into Staff Welfare Account Worth ₦85,251,778.50
In September 2018, NOTAP’s Governing Council approved the channelling of 10 per cent of the agency’s IGR into a Staff Welfare Scheme covering death, marriage, childbirth and retirement benefits. A dedicated sub-account was opened with the Central Bank of Nigeria from January 2019.
A total of ₦85,251,778.50, representing 10 per cent of 2019–2020 IGR, was transferred into this welfare account. Of the 2020 balance, ₦17,525,552.50 was confirmed spent on wedding, childbirth, death and retirement benefits.
Management rejected the characterisation of the transfers as diversion, citing provisions of the NOTAP Act that empower the agency to make incidental and terminal benefit payments, and stating that approval had also been obtained from the National Salaries, Incomes and Wages Commission for a peculiar allowance. SecretsReporters’ investigation found that the transfers breached rules requiring revenue to be paid into the Consolidated Revenue Fund and restricting withdrawals from revenue accounts.
Non-Deduction of Statutory Value Added Tax – ₦12,445,495.35
NOTAP failed to deduct the statutory 5 per cent VAT amounting to ₦12,445,495.35 from contracts awarded to 21 contractors in 2019 and 2020. There was no evidence that the goods or services were VAT-exempt.
Management argued that VAT is a consumption tax borne by the recipient of the service and that the office deducted Withholding Tax and Stamp Duty while itself bearing the VAT component. The investigation established that the failure to deduct and remit the tax constituted a loss of government revenue.
Irregular Lunch and Transport Allowances — ₦9,130,763.00
A total of ₦9,130,763.00 was paid to staff as lunch and transport allowances for routine duties through Remita and GIFMIS platforms. The payments were not approved by the National Salaries, Incomes and Wages Commission and exceeded standard government rates for meals and refreshments.
Management explained that the sums were paid for extra hours and weekend work and stated that future payments would be treated as overtime with proper approvals. The investigation found the payments irregular under extant circulars governing allowances.
Unretired Imprests and Cash Advances — ₦9,014,896.00
Thirty-eight imprests and cash advances totalling ₦9,014,896.00 granted in 2020 remained unretired at the time of verification in 2021.
Management attributed the situation partly to COVID-19 protocols that required lower-grade staff to work from home and claimed that most advances had since been retired. SecretsReporters’ findings showed that the advances were still outstanding during the relevant verification period, creating risks of payments for work not done and loss of public funds.
Use of Public Funds for Private Functions – ₦2,150,920.00
NOTAP spent ₦2,150,920.00 sponsoring wedding anniversaries of individuals who were not members of staff. No documentary justification for treating these as official expenditure was produced.
Management described the spending as being in the public interest and part of the office’s social responsibility. The investigation classified the payments as wasteful and a diversion of public funds for private purposes.
Irregular Sitting Allowances and Honoraria to Staff – ₦2,147,600.00
Three officers received a combined ₦537,600.00 in sitting allowances for carrying out routine duties in addition to their salaries. A further ₦1,610,000.00 was paid as honorarium to Editorial Board members for producing Volume 6 of the office newsletter. Neither payment had National Salaries, Incomes and Wages Commission approval.
Management noted the observation and pledged future compliance with circulars. The payments were found to constitute waste and potential diversion of public funds.
Payment of Financial Support to Supervising Ministry – ₦1,000,000.00
On 28 December 2019, NOTAP paid ₦1,000,000.00 from its IGR to the Federal Ministry of Science and Technology. No waiver authorising a parastatal to fund its supervising ministry was on record.
Management stated that the payment was a contribution, pursuant to a ministerial directive, toward a special procurement retreat organised by the ministry. The investigation found the transfer contrary to circulars prohibiting parastatals from funding their supervising ministries.
The cumulative figure of approximately ₦138.8 million across the eight issues represents a significant portion of resources that could have supported NOTAP’s core mandate of technology acquisition, intellectual property promotion and commercialisation of research.
At a time when Nigeria continues to rely heavily on imported technologies and faces pressure to strengthen indigenous innovation, the diversion of revenue into welfare schemes, the sponsorship of private events, and the failure to deduct statutory taxes raise serious questions about internal financial controls and accountability.
Source: Secretsreporter