A heated exchange erupted between the Senate Committee on the South East Development Commission (SEDC) and the agency’s management during an investigative hearing over the utilisation of N16.6 billion released to the commission.

The committee, chaired by Senator Orji Uzor Kalu, questioned several expenditure items in the commission’s financial report, including N153 million spent on an Abuja liaison office and N2.5 billion recorded as “implied expenditure”.

Lawmakers expressed concern after reviewing financial records presented by SEDC Managing Director Mark Okoye and other officials. According to the committee, of the N16.6 billion released to the commission in December 2025, only about N13 billion remains, prompting demands for a full account of the balance.

Kalu described the report submitted by the commission as unsatisfactory and queried the justification for the N153 million expenditure on what he referred to as a “one-room office” in Abuja. Other senators, including Enyinnaya Abaribe, Victor Umeh, and Austin Akobundu, also raised concerns and sought further clarification.

Defending the commission’s financial decisions, Okoye maintained that all expenditures were lawful and focused on institutional development and priority projects. He argued that the commission was committed to avoiding the award of contracts without corresponding funding, a practice he said could create significant financial liabilities.

The explanation, however, failed to satisfy the committee, which directed the SEDC to submit comprehensive documentation covering all expenditures, procurement processes, contracts, and payment records by June 23.

In a statement issued after the hearing, the commission clarified that the N153 million was not solely rent but covered the establishment and operation of its Abuja liaison office, including lease costs, utilities, operational expenses, and office fit-out works. The office is located at the Congress Building in Maitama and occupies the basement, ground floor, and boardroom under a valid lease agreement.

The SEDC also explained that the N2.5 billion listed as “implied expenditure” relates to a contract for the rehabilitation of its headquarters in Enugu. According to the commission, the contract was duly approved under procurement regulations, but no funds have yet been disbursed.

The agency reiterated its commitment to transparency and accountability, assuring lawmakers that all requested documents would be submitted within the stipulated timeframe.