CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF STUDY
This project work is undertaken with a view to evaluate the modus operandi of the accounting system operating in Enugu state ministries with special reference to the ministry of finance. To this end, this chapter set out the background to the study, defines some key concepts of the study gives the objective of the study and states the problems in the accounting system operating in Enugu state ministries.
It also goes further to give the significance of the study, the limitations of the study and will evaluate and answer some hypothetical questions arising from the study.
Nigeria gained independence from British government (her colonial master) in the year 1960. She also subsequently acquired republican status in the year 1963. As a result of the foregoing therefore, her civil service and ministries were consequently structured along the British civil service and ministries. The system remained the same with slight difference till 1963 when the country was divided into four regions. The four regions were further sub-division into nineteen states by Late General Murtala Mohammed was made.
It was during this sub-division in 1976 that Anambra state was created out of the former East central state of Nigeria. As at date, there are thirty-six states in Nigeria with Abuja as a capital territory, and Enugu state was therefore carved out from the former Anambra state in 1991.
As a result, the ministerial accounting system in Enugu state is not much different from that of other states because they were all structured by the British colonial master in such a way as to suit her circumstances.
Like all well organized and established institutions, certain laws, instructions and accountant-General circulars, govern the Enugu state ministerial accounting. These include:-
i. Chapter v of the constitution of Eastern Nigeria law of 1963
ii. The funds and accounts laws
iii. The Enugu state financial instructions
iv. Enugu state civil service rules
The accountant-General is the chief accounting officer of Enugu state government and has specific responsibility for the production, management and supervision of government accounts.