PUBLIC SECTOR ACCOUNTING IN NIGERIAN LOCAL GOVERNMENTS (A CASE STUDY OF NSUKA LOCAL GOVERNMENT FINANCIAL CONTROLS SYSTEM ENUGU STATE)
One of the most researched and least understood variable public sector accounting is how the accountability and stewardship of financial control is
conducted. Scholars have been speculating on how the funds generated are managed but now researchers have conducted systematic investigation of funds and leakages in local government revenue system. Even with this, there is still an increasing difficulty
and doubts in establishing the fact that the generated revenue is put to good use. There is also an
evaluation of the source of revenue to the local government and the impact of the financial control system in the local government revenue system
particularly, the revenue collection points where all derivable revenue are kept for safe custody.
The researcher designed a research instrument known as PSAFCSDP by acronym for public sector accounting financial control system descriptive questionnaire, which is made of hypothetic questions.
The instrument and interview questions were formulated and tested for validity before dispatching to the chosen sample populace. A stratified sampling
technique was used for this study and sample is made up of both male and female sta
of the local government area. The data collected were analysed and
from the analysis there on, the researcher was able to reach the following funding and concluded that there is grant from federal and state to the local government area.
There is also a basket leakage in the collection of local government revenue. It was also conducted that the local government were not able to employ their
resources in finding their projects due to political and selfish influence and more so inadequacies in fraud misappropriation and other leakages of public funds.
There is however, poor motivation of workers as a result of the God-father syndrome and swapping the laid down local government administration set up to
an avenue of political judgment attitude for collection of revenue and work generally.
Based on these funding, the following recommendation are made. There is urgent and paramount need for the federal government to appoint an external auditor to audit the local government accounting system. The day-to-day activities and the actions of the local government should be closely monitored and regulated by the federal government to ensure that there is sources accountability, stewardship and adequate financial control system.
Local government should adopt action planning control measures and adhere to budgeting and budgetary control procedures instead of dividing itself with practical politics and bringing God father, son system in the local government system. IT is the strong belief of the researcher that his recommendation will go along way in establishing proper financial control and improves the performance of the local government system in Nigeria.
Public sector is that sector of the economy established and is operated by the government or agencies distinguishable form the private sector organized on
the behalf of the whole citizen.