Integrity Forensic Accounting Network

THE BIGGEST SCAM IN NIGERIAN POLITICS NOBODY TALKS ABOUT —

THE INTERNAL REVENUE BLACK HOLE

Everyone talks about FAAC allocation.
Everyone talks about oil money.
Everyone talks about federal dominance.

But there is one pot of money that is bigger, darker, and far more abused than people realize. This is the tabernacle of corruption:

IT’S INTERNALLY GENERATED REVENUE (IGR)

The money states generate inside their territory: taxes, levies, fees, fines, permits, markets, transport, land charges, business licenses, and more.

And here’s the shocking truth:

Most Nigerians have no idea how much IGR their state really generates.

No breakdown.
No transparency.
No accountability.
No public audit.

This is where the REAL looting happens.

WHY IGR IS THE BIGGEST CORRUPTION PIPELINE IN NIGERIA

Unlike FAAC (which is publicly reported monthly), IGR is:
-collected by unknown consultants
-handled by third-party agents
-manipulated by political appointees
-remitted through multiple untraceable channels
-recorded without public oversight

In many states, nobody, not even the House of Assembly knows the REAL figure.

Because IGR is cash-heavy, decentralized, and largely opaque, it becomes a perfect money-laundering tunnel for politicians.

BUT LET ME SHOW YOU HOW THE SCAM ACTUALLY WORKS:

1. “Consultants” hijack tax collection

States appoint private companies to collect taxes.
But many of these companies are:
-owned by politicians
-owned by their relatives
-owned by political allies
-used as fronts for launderingg
-registered with fake addresses

They collect billions on behalf of the state and remit whatever they like.

No questions asked.

2. Multiple parallel collectors

In markets and motor parks, you see:
-ticket collectors
-revenue agents
-taskforce boys
-enforcement gangs
-touts wearing government jackets

They collect money daily, yet nobody knows where it goes.

Market women pay.
Bus drivers pay.
Shop owners pay.
Businesses pay.
Keke riders pay.
Everybody pays.

But the treasury never reflects the true numbers.

3. Under-reporting and overcharging

For every N10 a business pays, the state may only record N3 or N4.
The rest disappears into personal pockets, political structures, campaign financing and private investments.

It is the easiest theft in Nigerian governance.

5. Land administration theft

C of O fees, property taxes, building permits, land allocations. These alone are worth billions.

Yet:
-prime lands are sold secretly
-allocations go to cronies
-state income is bypassed
-shadow deals are made in the Governor’s Lodge
-documents are backdated, altered, or destroyed

Land is the quickest way Nigerian politicians enrich themselves massively and the governors controls everything about land 100%

THE EFFECT ON THE ORDINARY PERSON

While politicians steal IGR:
-hospitals collapse
-teachers go unpaid
-youth unemployment rises
-roads remain unconstructed
-communities lack water
-security deteriorates
-businesses struggle
-poverty increases

Because the TRUE money never reaches the real economy.

THE REAL QUESTION NOBODY IS ASKING

Before blaming the government for the underdevelopment of your state, ask your governors where is our IGR?

Who is collecting it?
Who is pocketing it?
And why is nobody demanding accountability?

This is a truth many people are afraid to say,
but it is one of the biggest reasons Nigeria remains stuck.

And for those that don’t know. These IGRs are not remitted to the federal government. That’s one confusion that governors bank their corruption on.

What is Remitted to Federal Government are:

Oil revenue
Customs & import duties
Company Income Tax (CIT)
VAT
Stamp duties (mostly)
Mining royalties
Federal licensing & levies.

But you see these ones I mentioned in this post? They all go into the pocket of God-knows-who and a drop of it are remitted to the states governments pockets. No way to audit. No proper accountability.

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