Confusion As Top Official Reveals Huge Pension FG Owes Closed Agencies

Confusion As Top Official Reveals Huge Pension FG Owes Closed Agencies

  • Some pensioners of closed up agencies across Nigeria are being owed arrears summing up to N90 billion
  • This was disclosed by the executive secretary of the Pension Transitional Arrangement Directorate (PTAD), Chioma Ejikeme in Abuja
  • The executive secretary said some of the agencies being owed arrears include; NITEL/MTEL, NICON Insurance, Delta Steel Company among others

Abuja - On Thursday, November 18, the executive secretary of the Pension Transitional Arrangement Directorate (PTAD), Chioma Ejikeme, said that the federal government owes N90 billion in pension arrears.

Ejikeme who was represented by the director of customs, immigration and prisons pension department, Abdallah Abubakar, said the arrears were owed staff in closed up agencies across Nigeria.

Pension Transitional Arrangement
Many pensioners who worked in closed up agencies are being owed arrears. Photo: Pension Transitional Arrangement Directorate
Source: Facebook

Daily Trust reports that She made the disclosure at a workshop for pension correspondents in Abuja.

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Ejikeme said a breakdown of some of the outstanding arrears reveals that the defunct Nigeria Telecommunications (NITEL/MTEL) with an outstanding 78 months’ arrears has the largest amount being owed to its staff.

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She said that NITEL/MTEL arrears which are 81 per cent of the whole amount have N73bn unfunded liability.

Agencies affected by the pension arrears debt

The Sun also reports that other closed up agencies affected are Delta Steel Company with 72 months’ arrears is owed N7.9 billion, NICON Insurance has N4.9 billion, New Nigerian Newspaper with 190 days’ arrears of N2.9 billion.

In addition, the Nigeria Re-Insurance Corporation with 103 months’ arrears is owed N1.1 billion posing a great concern for the directorate.

According to Ejikeme, efforts are currently ongoing to ensure that funds are sourced to offset the liability.

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She said:

"Good progress has been made by the government and the directorate but it is still far from the destination."

In addition, Ejikeme said that the Bank Verification Number (BVN) validation report led to the suspension of 5,834 pensioners from the payroll in November 2019.

She noted that the review of complaints has led to the subsequent restoration of 2,700 pensioners to the payroll in 14 batches while another batch (16) of 66 pensioners were reviewed and restored to payroll.

She also said that the accrued arrears have since been offset.

EFCC issues warning to pension scammers

Meanwhile, previously reported that following the conviction of Abdularasheed Maina, the former chairman of the Pension Task Reform and his son, a strong warning has been issued to those involved in any form of pension scam.

The warning was issued by the Economic and Financial Crimes Commission (EFCC) on Wednesday, October 6.

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The commission said that anyone who is found wanting in tampering with the pension of retired workers in the country would not go scot-free.

Federal government's plan to borrow from the pension fund

In other news, the federal government had announced its plan to borrow N2 trillion from pension funds to support infrastructure projects.

The government's announcement did not go well with Nigerians as the information which was made public caused widespread outrage.

Many Nigerians have opposed the FG's decision, prompting the government to abandon its plans.


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