Former SGF Babachir Lawal alleges large-scale fraud is behind the fictitious budget allocation of the discredited PFIPC agency

Babachir Lawal, a former Secretary to the Government of the Federation, has advocated for a judicial inquiry into the controversy surrounding the alleged fake Presidential Fiscal and Infrastructure Projects Council, citing deep-seated institutional failures rather than a mere administrative error.

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Lawal made this statement in an interview with ARISE NEWS on Monday, where he expressed his concerns about the circumstances surrounding the alleged agency, suggesting a wider network that enabled it to operate within government processes despite questions over its legitimacy.

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Lawal emphasized that an administrative investigation alone would be inadequate, stating, "I don't think it should even be administrative alone; it should be a judicial inquiry."

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He raised questions about the alleged ₦27.5bn take-off grant linked to the agency, wondering how such funds could have been approved and released if the organization lacked a legal basis.

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Lawal referenced claims surrounding the insertion of ₦1.3bn into the budget, highlighting the initial dispute over the alleged agency's ₦27.5bn take-off grant, where 48% was reportedly demanded by an individual.

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He queried, "Who gave him the money? It was not appropriated for; it's not in any budget, that N27.5bn Naira for which he says somebody demanded 48%."

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Lawal argued that the controversy only became public due to disagreements over fund sharing, rather than effective government oversight mechanisms, and that the issue was merely the "tip of the iceberg."

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He expressed concern over the disbursement of ₦27.5bn as a take-off grant, which was not budgeted for, and questioned how the money was released to the alleged agency.

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Lawal attributed the public awareness of the controversy to disagreements over fund sharing, rather than the functioning of government oversight mechanisms.

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He stated, "So you see, that's how we got to know this to start with. That is the reason why we got to know this on his side of the coin. It's about the sharing of the N27.5bn."

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Lawal alleged that the scandal reflected broader institutional weaknesses within the current administration, arguing that the Office of the SGF should have detected any irregularities before the matter progressed.

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He maintained that the SGF's office bears responsibility for identifying and flagging agencies without legal backing before their requests or budgets proceed through government.

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Lawal said, "It's institutional compromise, because in this, I sense there's quite a big racket going on somewhere along the line."

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He questioned how the alleged agency was assigned a budget code, despite lacking legal existence, and who inserted it into the budget process.

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Lawal explained the budget process, where the budget office issues a budget call circular to MDAs, and every agency or ministry prepares its budget according to the given ceilings and budget lines.

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He criticized the National Assembly, accusing lawmakers of failing to thoroughly scrutinize budget proposals, and described their role as merely earning salaries and collecting allowances.

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Lawal suggested that public attention should focus not only on the agency's legal status but also on the individuals who allegedly enabled its operations.

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He emphasized the need to expose the individuals responsible, including the Chief of Staff, who wields significant power, and the SGF, who has allegedly reneged on his responsibilities.