The Federal Government has initiated steps to recover properties from retired civil servants who failed to repay housing loans obtained while in service.
According to The PUNCH, this was announced in Abuja on Thursday in a statement issued by the Head of Information and Public Relations at the Federal Government Staff Housing Loans Board, Ngozi Obiechina.
She quoted the Executive Secretary of the Board, Hajiya Salamatu Ladi Ahmed, who confirmed that the board is compiling a list of affected retirees for further action.
“This is part of efforts to ensure accountability and compliance with loan agreements signed by public servants during their tenure,” Ahmed said.
According to her, the move follows a recent directive from the Office of the Head of the Civil Service of the Federation. The circular, signed by the Permanent Secretary of the Career Management Office, Mrs. Patience Oyekunle, reminded retiring civil servants of the necessity to obtain a Certificate of Non-Indebtedness from the FGSHLB and other relevant cooperative societies before exiting service.
Ahmed stressed that the board is legally empowered to take back any mortgaged property from retirees who default on their loan obligations.
“The Public Service Rules require all retiring officers to settle their debts before leaving service. We will not hesitate to take legal steps to repossess such properties in accordance with the law,” she stated.
She also noted that some retired civil servants have already been identified and urged all others with outstanding balances to regularize their loan status immediately.
“The names of defaulting retirees are being compiled and will be submitted to regulatory authorities to aid recovery efforts,” Ahmed added.
