By Cross Udo, Abuja
The Nigeria Social Insurance Trust Fund (NSITF) has faulted the claim by the House of Representatives Adhoc Committee on unclaimed funds, which suggested that the body owes the Federal Government some funds, in respect of non-remittance of Operating Surplus Funds between 2013-2020.
The agency explained that being a social security agency which is majorly funded from contributions of private sector employers to procure cover on behalf of their employees can not be described as revenue.
The General Manager, Corporate Affairs Ijeoma Okoronkwo, in a statement in Abuja, said, “The amount standing to the credit of the Employers Compensation Fund Account, does not fall under the Operating Surplus , intended by the Section 22 of the Fiscal Responsibility Act.
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“NSITF is a Non-Treasury Funded Parastatal and the 1% contribution can be likened to Insurance premium and not IGR.”
Okoronkwo said the balance in the Fund account is meant to be invested in line with section 32(e) of the Employee Compensation Act 2010, in order to fulfill its obligations of payment of death claim, Medical compensation and rehabilitation expenses as they occur; and not meant to be remitted to the Consolidated Revenue Fund of the Federation.
