South-East Development Commission Under Fire for using N153m to rent a One-Room Office

Tensions flared at the Senate on Tuesday as lawmakers challenged the Managing Director of the South-East Development Commission (SEDC), Mark Okoye, over the agency’s financial records, including a controversial claim that N153 million was spent on renting a one-room liaison office in Abuja.

The issue came to the fore during a session of the Senate Committee on the South-East Development Commission, chaired by Senator Orji Uzor Kalu, as members scrutinised the commission’s financial report and expenditure profile.

Lawmakers expressed concern over several entries in the report, including N2.5 billion recorded as implied expenditure, while also seeking explanations for funds already spent from the N16.6 billion released to the commission.

According to information obtained from the Central Bank of Nigeria (CBN), the committee said N13 billion remained in the commission’s account from the N16.6 billion disbursed in December 2025, suggesting that approximately N3.6 billion had already been utilised.

The revelation sparked intense questioning from senators, who demanded greater transparency and accountability regarding how public funds had been managed.

Voicing the committee’s displeasure, Senator Kalu described the financial report as unsatisfactory.

“This committee is disappointed with the financial report given, which is completely unacceptable,” he said.

Other members of the committee, including Senators Enyinnaya Abaribe, Victor Umeh and Austin Akobundu, also criticised aspects of the report and called for more comprehensive explanations from the commission’s leadership.

Responding to the concerns, Okoye defended the commission’s spending decisions, insisting that resources had been deployed responsibly and in line with available funding.

“Our approach has been to ensure that available resources are directed towards priority projects. We want allocations to guide the procurement process so that contracts awarded can be backed by available funding,” he said.

He stressed that the commission was determined to avoid situations where contracts are awarded without the financial resources needed for execution.

“What we want to avoid is a situation where contracts are awarded without the financial capacity to execute them,” he added.

Okoye further explained that budgetary allocations do not automatically translate into cash releases, warning that awarding contracts beyond available funds could expose the commission to unfunded liabilities and significant financial deficits.

However, lawmakers remained unconvinced by the explanations offered during the session.

At the end of the hearing, the committee directed the SEDC to submit detailed records of all contracts awarded, payments made and supporting financial documents on or before June 23, as part of efforts to ensure full accountability in the management of public funds.

The development underscores growing scrutiny of government agencies as the National Assembly intensifies oversight of public expenditure amid mounting concerns over transparency and value for money..