Category: Lead

GOVERNORS, under the auspices of Nigeria Governors’ Forum (NGF), have gone to court to stop the privatisation of some power plants.

In a communique, the NGF said its lawyers have taken steps to prevent the Federal Government from selling 10 National Integrated Power Projects (NIPPs).

The communiqué was issued yesterday at the end of the teleconference held on Tuesday by the governors. It was signed by NGF Chairman and Sokoto State Governor Aminu Tambuwal.

The governors also insisted that the dispute over the planned payment of $418 million Paris Club refund fee by the Federal Government to some consultants be left for the court to resolve.

The NIPPs in contention were not listed by the governors.

But in April 2021, the National Council on Privatisation (NCP) approved adoption of a fast-track strategy for the privatisation of five power plants.

They are Geregu, Omotosho, Ihovbor, Olorunsogo and Calabar power plants.

The government-run Niger Delta Power Holding Company (NDPHC) – a power generation and distribution company, oversees the implementation of the NIPPs.

The 10 stations undergoing privatisation processes are: Benin Generation Company Limited; Calabar Generation Company Limited; Egbema Generation Company Limited; Gbarain Generation Company Limited; Geregu Generation Company Limited; Ogorode Generation Company Limited; Olorunsogo Generation Company Limited; Omoku Generation Company Limited; Omotosho Generation Company Limited and Alaoji Generation Company Limited.

The NGF communique reads: “The Forum, following its advocacy that the proposed privatisation of 10 National Integrated Power Projects (NIPPs) by the Federal Government of Nigeria (FGN) should be stopped, instructed its lawyers to approach the Federal High Court which, at present has issued a court order restraining all the parties in the suit from taking any step or action that will make or render the outcome of the motion on notice seeking for interlocutory injunction nugatory.

“The effect of the order of the court is that respondents cannot proceed with the proposed sale of the power plants belonging to the Niger Delta Power Holding Company Limited (NDPHCL) until the hearing and determination of the motion on notice for interlocutory injunction.”

On the controversial $418 million Paris Club Refund fee, the NGF said:  ”Regarding the $418 million Paris Club Refund and promissory notes issued to consultants by the Federal Ministry of Finance and the Debt Management Office (DMO), the forum remains resolute in exploring all legal channels available to it in ensuring that resources belonging to states are not unjustly or illegally paid to a few in the guise of consultancies.

On the recent flooding that claimed hundreds of lives across states, ravaged homes and farmlands, the NGF said it was working with the Federal Government and its agencies to assist victims.

The communique reads: “The forum is monitoring the flood situation across the country and working with the Federal Government, through the National Economic Council (NEC) and in collaboration with the Federal Ministry of Agriculture and Rural Development (FMARD), Federal Ministry of Humanitarian Affairs, Disaster Management and Social Development (FMHDSD), National Emergency Management Agency (NEMA), Central Bank of Nigeria (CBN), Federal Ministry of Finance, Budget and National Planning (FMFBNP) and the World Bank to prepare emergency interventions to ameliorate the impact of the flood crisis especially to sustain food security.

“Sequel to discussions between sub-sovereigns at the recently concluded 2nd African Sub-Sovereign Government Network (AfSNET) conference, the forum agreed to pursue through its membership on the Forum of Regions of Africa (FORAF) and its partnership with the African Export–Import (AFREXIM) Bank, support for enhanced dialogue, cooperation and collaboration between sub-sovereign governments around intra-African trade, investment, industrialization, and development.

“Members were also briefed by the World Bank Task Team Leader (TTL), Professor Foluso Okunmadewa on the desired restructuring of the $750 million Nigeria COVID-19 Action Recovery and Economic Stimulus Program (CARES) programme to respond to Nigeria 2022 Flood Response following discussions with states and the National Economic Council (NEC) Ad-hoc Committee on flooding.

”The restructuring will allow States reallocate funding from the programme for immediate response for livelihoods, assets and basic services.

“As the flood recedes, the states, through the programme, will be able to support the household enterprise recovery grants, short-term transfer of Households displaced, labour intensive opportunities for unskilled labor, rehabilitation of basic services infrastructure, recovery of damaged agricultural infrastructure, rehabilitation of destroyed wet markets, amongst others.

“The forum received update from the Senior Programme Manager, NGF States Fiscal Transparency Accountability and Sustainability (SFTAS) Technical Assistance Programme, Olanrewaju Ajogbasile, on the implementation progress of the SFTAS programme which is in its last phase of annual assessments.

“Members were also informed of technical assistance planned and on-going to support sustainability of the reforms including support to ensure states publish their 2023 budget in line with the National Chart of Account (NCoA).

“The forum assured the programme of its commitment to sustain the reforms and implement recommendations that could further strengthen their public financial management systems.”

The governors were briefed by Interior Minister, Rauf Aregbesola, on the congestion of the custodial centres (prisons) across the country and the digitalisation of immigration processes.

They said: “Members welcomed the report of the Minister and committed to working with law enforcement agencies, the judiciary, and the Nigeria Immigration Service (NIS) on the recommendations put forward as they relate to individual state jurisdiction.

“The NGF Senior Health Advisor, Dr. Ahmad Abdul Ahab briefed the Forum on the progress with Polio/Routine Immunisation highlighting that there has been an 85% reduction in the number of Circulating Vaccine-Derived Polio Virus (CVDPV) in 2022 from 1,028 cases recorded in 2021.

“Members were also provided update on the implementation progress of the COVID-19 Preparedness and Response Project (CoPREP) and the recently launched Primary Health Care (PHC) Leadership Challenge.

“The forum reiterated its commitment to the Seattle Commitments and PHC strengthening including the judicious use and timely release of counterpart fund where required.”

THE new naira notes have been fortified with security features that will make them difficult for currency counterfeiters to fake, President Muhammadu Buhari said yesterday.

Unveiling the new N1000, N500 and N200 bills shortly before the weekly Federal Executive Council (FEC) meeting at the Presidential Villa, Abuja, the President gave reasons for his approval.

He said besides the fact that the exercise was overdue, there was the need to take control of the currency in circulation.

He said features of the new notes would make them tough for fraudsters to counterfeit.

The President, according to a statement by his Special Adviser on Media and Publicity, Mr. Femi Adesina, expressed delight that the redesigned notes were produced locally by the Nigerian Security Printing and Minting (NSPM) Plc.

“The new Naira banknotes have been fortified with security features that make them difficult to counterfeit,” the President said.

He added that the new notes would help the Central Bank of Nigeria (CBN) design and implement better monetary policy objectives.

The President, who commended the CBN Governor, Godwin Emefiele, and his deputies for the initiative, also lauded the NSPM Plc management “for working tirelessly with the apex bank to make the currency redesign a reality, and for printing the new naira notes within a comparatively short time.”

Acknowledging that international best practice requires central banks and national authorities to issue new or redesigned currency notes between five and eight years, Buhari noted that it is now almost 20 years since the last major redesign of the local currency was done.

He said: “This implies that the Naira is long overdue to wear a new look. A cycle of note redesign is generally aimed at achieving specific objectives, including, but not limited to: improving security of notes, mitigating counterfeiting, preserving the collective national heritage, controlling currency in circulation, and reducing the overall cost of currency management.

“As is known, our local laws – specifically the CBN Act of 2007 – grants the apex the power to issue and redesign the naira.

“In line with this power, the Central Bank Governor approached me earlier in this year to seek my permission to embark on a currency redesign project. I considered all the facts and reasons presented before me by the central bank.

“There was an urgent need to take control of currency in circulation and to address the hoarding of Naira banknotes outside the banking system, the shortage of clean and fit banknotes in circulation, and the increase in counterfeiting of high-denomination naira notes. It is on this basis that I gave my approval for the redesign of the N200, N500 and N1000 notes.

“While this may not be apparent to many Nigerians, only 4 out of the 54 African countries print their currencies in their countries, and Nigeria is one. Hence, a majority of African countries print their currencies abroad and import them the way we import other goods.

“That is why it is with immense pride that I announce to you that these redesigned currencies are locally produced right here in NSPM) Plc,’’ he said.

Emefiele thanked the President for his unwavering support for the redesign and distribution of the new notes, which, he said, will control inflation, make policies more effective, ensure financial inclusion and fight corruption.

He also noted that by international best practice, the redesign of notes should be every five to eight years, and the currency in circulation had been in usage for 19 years, with spiraling challenges on the economy, especially on security and counterfeiting.

Appreciating the President for his insistence that the initial notes must be designed and produced locally, Emefiele said it was a renewal of confidence in the NSPM Plc.

He said: “Mr. President, only a President of your esteemed and incorruptible stature could have done what we are witnessing today.”

The CBN boss listed the benefits of the redesigned naira notes to include enhanced security, greater durability, attractiveness and promotion of rich cultural heritage.

 

Benefits of the new bills

• Control of inflation
• Bringing hoarded cash back into banking system
• Strengthen monetary policy
• Increased financial inclusion
• Encouraging cashless economy
• Promoting anti-corruption fight

A HIGH Court of the Federal Capital Territory (FCT) in Maitama heard yesterday that the suspended Accountant-General of the Federation (AG-F), Ahmed Idris, voluntarily returned about $900,000 in cash.

The witness said the returned cash was part of the public funds allegedly diverted by the embattled AG-F.

Idris is standing trial for alleged missing N109 billion public funds under his watch.

The court also heard how N84.7 billion was taken from the $2.2 billion due to the nine oil-producing states, and shared by some senior government officials.

An official of the Economic and Financial Crimes Commission (EFCC), Hayatudeen Ahmed, made the disclosure while testifying at the trial of Idris and three others.

The suspended accountant-general; his former Technical Assistant, Godfrey Olusegun Akindele; a director in the Office of the AG-F, Mohammed Kudu Usman, and a firm linked with Idris – Gezawa Commodity Market and Exchange Limited – are being tried on a 14-count charge of stealing and criminal breach of trust to the tune of N109 billion.

Ahmed, who testified as the first prosecution witness, was led in evidence by Rotimi Jacobs (SAN). He gave details of how his team investigated a petition in which Idris was accused of abuse of his office and compromised government’s platforms, such as the Treasury Single Account (TSA), the Government Integrated Financial Management Information System (GIVMIS), among others.

The witness said when Idris was confronted with facts, “he (Idris) returned $900,000, less $100 ($899,900) voluntarily, which has now formed part of exhibit in the case.

He said out of the N84.7 billion that was shared among some government officials, N32 billion has been recovered so far.

The witness also told the court how Idris allegedly hired his ex-aide, Akindele, as a consultant to distribute N84.3 bilion out of the N84.7 billion.

He said Akindele later gave Idris N4.2b in appreciation for his engagement as the consultant to handle the distribution of the money.

The witness said: “After the petition was assigned to our team, investigation commenced. We wrote to banks, the Corporate Affairs Commission (CAC) and other government agencies.

“From analysis of bank documents received, we discovered that a Baita Kura of B. I. Kura Enterprises, a bureau de change operator, made several deposits of money amounting to N280 million between 2019 and 2021 into the account of the fourth defendant – Gezawa Commodity Market and Exchange Ltd.

“Based on this finding, Baita was invited. He admitted in his statement that those monies that he paid into the first defendant’s (Idris’) account, were given to him by the first defendant.

“We discovered that the payments made were on the instruction of the first defendant.

“We also discovered from other bank statements analysis that a certain Architect Mustapha Muktar of Marcs and Construction Ltd received various sums from Baita Kura, amounting to about N866 million.

“Based on this, we invited Architect Mustapha, who gave statement and explained that the money he received from Baita were on the instruction of the first defendant.”

The witness claimed Mustapha said Idris asked him to use the money for the construction of the Gezawa Commodity Market and Exchange in Gezawa Town, Kano.

He said his team learnt of the agitation by the nine oil producing states about the lack of deductions of 13 per cent derivation accrued to them from the Excess Crude Account (ECA).

The witness added: “It was discovered further that this agitation was tabled before the Post-mortem sub-committee of the Federation Account Allocation Committee (FAAC).

“The committee deliberated on the request and came up with a figure of about $2.2b as what was due to the nine oil-producing states. And, that deductions for this payment would be made over a 60-month period.

“A total of 11.5 per cent of the total sum, which is equivalent N84.7 billion, was set aside as facilitation for some public officials to approve and release the request. This was done under the guise of consultancy.

“The services of Olusegun Akindele & Co, a firm belonging to the second defendant (Akindele), was used for this purpose.

“The proprietor of Olusegun Akindele & Co is the second defendant – Godfrey Olusegun Akindele, who was until recently, a staff of the office of the AG-F and a technical assistant to the first defendant.

“The account of Olusegun Akindele & Co received the cumulative sum of N84.3 billion, representing 9.8 per cent, less taxes from the 11.5 per cent that was set aside earlier.

“He received the money in his First Bank account, from the FAAC withheld Escrow account, under the control of the first and third defendants (Idris and Usman).

“The third defendant is Mohammed Kudu Usman, a former director in the office of the AG-F.

“When the statement of account of Olusegun Akindele & Co was received, we analysed it and found that after the receipt of N84.3 billion, it was shared among five groups.

“The first group was the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) group, represented by a commissioner in the commission, by name Chris Akumas. It received 2.2 per cent out of 9.8 per cent, which amounted to N18.7 billion.

“After the second defendant received the money, he converted the amount to United States (U.S.) dollars and handed same to Chris Akumas for members of that group.

“The second group is the accountant-general group, represented by the first defendant, which received N18.1 billion, equivalent of 2.1 per cent

“Some of these funds were also converted to U.S. dollars and handed to the first defendant. From the second group, the third defendant received about N1.8b equivalent in U.S. dollars.

“The third group is that of the Commissioners of Finance of the nine oil-producing states, which received 2.5 percent amount to N21.4 billion. This same amount was converted to U.S. dollars by the second defendant and given to Chris Akumas for the group.

“There was the Abdulaziz Yari group, represented by the former governor of Zamfara State, Abdulazid Yari. This group got N17.15 billion, representing two per cent.

“Payment to this group was made to a company nominated by Yari, known as Fintes Consultancy Ltd. This was not paid in dollars. It was transferred to the company’s account on the instructions of ex-governor Yari.

“The last group is the group of the consultant, who got about 1.04 per cent, amounting to N8.9 billion, out of which he converted about N4.2 billion to U.S. dollars and handed to the first defendant as appreciation for nominating him as the consultant. The consultant benefited about N4.6 billion.

“The second defendant was invited and he made statement. He admitted to receiving and sharing the money as I had stated.

“These funds were also traced to the purchase of properties, both commercial and residential in several parts of Kano, the FCT, and Minna in Niger State.

“So far, the sum of $2.7 million, less $100, has been recovered in cash from the first, second and third defendants. As at today, N32b has been recovered from the five groups.

“From the accountant-general group, $2.7 million, less 100 dollars, was recovered. N304m was also recovered from the group.

“Another N50 million was recovered from the third defendant, who is part of this group, in addition to properties recovered.

“The bulk of the N32 billion was recovered from the first, second and third groups.

“The sum of about N3b was traced to the construction of the commodity market at Gezawa Town, Kano, from funds received by the first defendant from the second and fifth groups.

“N504 million was also traced to the reconstruction of Alikhlas Supermarket also known as Kano City Mall, belonging to the first defendant, located at Mandarin area of Kano.

“In relation to the $2.7 million less than $100, the sum of $1.8 million cash was recovered from persons who received the $1.8 million from the first defendant.

“$900,000 less $100 was recovered from the first defendant himself, who returned same voluntarily.

“He returned it in cash, which has been received and registered as exhibit in this case by the commission,” the witness said.

Although lawyers to the defendants – Chris Uche,  Joe Abraham, Mohammed Ndayako and Gordy Uche (all SANs) objected, Justice Halilu Yusuf admitted in evidence the petition written against Idris and Akindele’s firm’s account statements.

They, however, objected to the admission of the defendants’ statements, which they claimed were obtained under inducement and duress.

Upon defence lawyers’ request, Justice Yusuf agreed to conduct trial within trial to ascertain the voluntariness or otherwise of the statements.

He adjourned till January 30 for the commencement of the trial within trial.

The Muhammadu Buhari Administration has recovered about $1 billion in looted funds so far, Attorney-General of the Federation and Minister of Justice, Abubakar Malami (SAN), said yesterday.

He said the conviction rate has risen, with the Economic and Financial Crimes Commission (EFCC) securing 3,000 in 2022.

According to him, anti-graft agencies recorded only 109 convictions within 10 years prior to 2015 when President Buhari assumed office.

“If you’re yardstick is to determine what success is in terms of conviction, we have succeeded in moving it to the next level from the point of 109 in over 10 years by previous administrations to over 3,000 within a year,” he said.

Malami briefed State House correspondents after the week’s Federal Executive Council (FEC) meeting in Abuja.

He said the recovered funds had been deployed to various sectors, including poverty alleviation.

“The government has succeeded in recovering around $1 billion from its inception to date,” he said.

The minister expressed concern over cases of budget padding by ministries, departments and agencies (MDAs).

“Whichever way one looks at it, budget padding is bad, because if you budget N5 billion for road and N3 billion of that fund is diverted, it means government has lost that money and it will take a longer period to complete the project.

“The government is concerned and will do what is necessary to address the issue,” Malami said.

The Attorney-General said FEC approved the further use of the National Anti-Corruption Strategy Document to sustain the successes so far recorded in the anti-graft campaign.

Minister of Works and Housing, Babatunde Fashola (SAN), said FEC approved a budget augmentation of N14 billion on the Kano Western bypass, awarded to Dantata and Sawo.

The road project was raised from N22 billion to 36.89 billion.

He said the contract was inherited from previous administrations but the Buhari administration was determined to complete it.

Fashola added: “The Ministry of Works and Housing presented a council memo to get approval for the augmentation of the contract price for the completion of the Kano Western bye-pass which we inherited.

“The project had essentially not been funded in previous budget years.

“We are now executing it by the Sukuk Bond. Council considered and approved the augmentation, which was for N14.095 billion.

“Some of the items covered by the augmentation include the old amount for Value Added Tax (VAT), which was increased from 5-7.5 percent.

“Others are the need to construct a flyover at Dawano International Market interchange and also the need to construct more hydraulic facilities to help drain water especially in the parts of the road that pass through the city centres and towns and the council approved this.”

The Minister added that when completed, the road will link the almost-completed Kano-Maiduguri highway.

Fashola also said the Ministry sought and got Council’s approval to use the funds approved for the construction of a trailer park along the Enugu-Port Harcourt highway, to complete the main carriage way.

“This is because of the litigation we are facing from the communities where the trailer park is to be located, whose land was acquired for the construction of the park.

“In order not to delay the completion of the main carriageway and also in order to optimise today’s pricing, we sought and got approval based on the recommendation of the Bureau for Public Procurement,” he said.

A row broke out yesterday over President Muhammadu Buhari’s appointment of his Special Adviser on Social Media, Lauretta Onochie, as the substantive Chairman of the Board of the Niger Delta Development Commission (NDDC).

While some Niger Delta stakeholders welcomed the appointment, others urged the Senate not to confirm her.

Senate President Ahmad Lawan read President Buhari’s letter containing a request for her confirmation at plenary.

The President also nominated others as members of the Board, including Chief Samuel Ibukun as Managing Director for a term of two years to complete the term of his predecessor, who hails from Bayelsa State.

The nominees are Onochie (Delta) as Chairman, Dr. Ibukun as Managing Director, Dimgba Erugba (Abia representative), Dr. Ene Willcox Wills (Akwa Ibom), former Edo State Deputy Governor Pius Odudu, Gbenga Edema (Ondo), Elder Dimaroe Daniya Bofa (Bayelsa representative), Orok Duke (Cross River) and Anthony Ekene (Imo).

Others are Onyekachi Dimkpa (Rivers), Alhaji Mohammed Kabiru Abubakar (Zonal Representative, Nasarawa), Prof Tallen Mamman (SAN) (Northeast Representative, Adamawa), Alhaji Sadiq Sami Sule (Kebbi State, Northwest Zonal Representative), Maj. Gen. Charles Ehigie Airhiavbere (Rtd) (Executive Director of Finance) and Charles Ogunmola (Executive Director Project, Southwest).

“I hereby present the underlisted 15 names of nominees as Chairman and members of the NDDC for confirmation by the Senate,” the President wrote.

Soon after the list was read, Deputy Senate President, Ovie Omo-Agege, noted that there was no Delta representative on the proposed board in accordance with the NDDC Act, which stipulates that each state of the NDDC must have a representative.

He urged the Executive to correct the anomaly, arguing that Onochie represents the entire Southsouth and not Delta in particular though from there.

Lawan promised that he would ensure that the Act was adhered to.

Senator George Sekibo (Rivers East), pointed out that the Senate had in 2019 screened and confirmed nominees for the NDDC board.

He wondered why a repeat confirmation was needed, which he said was against the Senate’s Standing Orders.

Lawan said the former list could not sail through following the crisis that bedevilled the NDDC.

 

Controversy trails Onochie’s appointment

The apex Urhobo socio-cultural organisation, Urhobo Progressive Union (UPU), rejected Mrs Onochie’s appointment, describing it as “flawed and provocative”.

Its National Publicity Secretary, Mr. Abel Oshevire, said her appointment was flawed because she does not hail from an oil-producing community.

According to him, Onochie is a stranger who cannot appreciate the pains of environmental degradation many persons in the creeks suffer.

He said: “Her appointment is wrong. She is not from an oil-producing community.

“This was the same woman rejected by Nigerians as INEC national commissioner. If she was rejected then, what now qualifies her for this job?

“To us in the UPU, it is a wrong appointment. It is a provocative and deliberate attempt to put salt on a festering wound. This appointment does not sit well with us.

“The Niger Delta region will not accept this appointment because she is not from an oil-producing community. She is unqualified for the position.”

Also, a non-governmental organisation, Policy Alert, urged President Buhari to reverse Mrs Onochie’s appointment.

Its Director, Mr. Tijah Bolton-Akpan, said since her constituency, Delta, had earlier rejected her nomination, there was no moral justification for her reappointment.

“The task of leading the Niger Delta out of the current phase of underdevelopment is an urgent one and should not be subjected to over-politicisation.

“This is about legitimacy, and as we know, she cannot function in that position effectively if she does not have the support of her own constituency,” Bolton-Akpan said.

A pressure group, the Ijaw Interest Advocate (IIA), also known as Izanzan Intellectual Camp, commended the President for constituting the board but rejected Mrs Onochie.

“To be fair, it is the turn of the Delta Ijaws to produce the board chairman. From tomorrow (Thursday) we will resist it. We will never take it. That is the position of the Izanzan camp. That appointment has to be withdrawn.

“We have credible Ijaw sons and daughters that fit that position. To us it’s another calculative attempt to relegate the Delta Ijaws to the background and take the sensibilities of the Ijaw people for granted,” Arerebo said.

The Pan Niger Delta Forum (PANDEF) would not be drawn on the propriety of Mrs Onochie’s appointment.

Its spokesman, Ken Robinson, said: “We have been demanding the constitution of a substantive board for the NDDC.

“Though its coming late, we commend the effort that at last, the presidency is responding and doing what is right.

“It shouldn’t have taken this long. All the excuses and pretences were unnecessary and unacceptable.

“Concerning the person who has been nominated as board chairman, Lauretta is from the Niger Delta; she is from Delta State.

“Is she competent? We will leave that to see her performance as Board chairman.

“PANDEF is pleased that the presidency is finally responding, doing what it should have done two or more years ago.”

Chairman of the All Progressives Congress (APC) in Edo, Col. David Imuse (rtd.) hailed the appointments, especially those from his state.

He is confident they would deploy their competence and wealth of experience in the service of Nigeria.

But, the leader of a youth group, Anioma Youth Forum Worldwide, Nnamdi Ofonye, hailed Mrs Onochie’s appointment, saying it was a welcome development.

Ofonye said: “Her appointment is a welcome development to us from the Anioma region. This is not just because she is an Anioma Amazon, but for what she represents.

“We are aware of President Buhari’s quest to sanitise NDDC and there is no other person than Onochie that can clean the Augean stable at that regional interventionist body.

“We thank Buhari for giving us a result-oriented person so that Niger Deltans can start witnessing signature projects.”