The Nation Newspaper

Tag: GOVT

  • Govt spends N197b to build 26,002 houses

    The Federal Government said yesterday that it had spent about N197 billion for the construction of 26,002 houses.

    The Managing Director, Federal Mortgage Bank of Nigeria (FMBN),  Ahmed Dangiwa, in his address at the Archibuilt 2018 Expo, held in Abuja, said the huge sum included the renovation of 13,953 homes across the country, covering 18, 476 mortgage loans as at second quarter of 2018.

    He said: “As at the end of second quarter of 2018, the National Housing Fund (NHF) has funded the origination of 18,476 mortgage loans, the delivery of 26,002 housing units across the country and 13,953 FMBN Home Renovation loans, with N197billion invested in these assets.”

    Dangiwa, who identified funding, access to land title and cost of infrastructure as major challenges affecting the sector, restated the commitment of the Federal Government to affordable homes.

     

  • Govt to concession six hydro dams

    The Federal Government yesterday proposed to concession six hydro dams to operators, who are expected to build, operate and transfer them.

    Minister of Power, Works and Housing Babatunde Fashola broke the news in Minna, the Niger State capital, at the 29th Power Sector Stakeholders’ meeting.

    He said it was part of the government’s plans to energise educational institutions and markets.

    Fashola said: “These are government-led initiatives based on the rural electrification plan approved by President Muhammadu Buhari in 2016 to provide access to power for rural dwellers and vulnerable members of our society.”

    He said the government proposed to use six hydro dams, which had been abandoned for decades, federal universities and markets as anchors.

    “We’ve proposed to use six small hydro dams that have been abandoned for decades, Federal Government-owned universities and markets as anchors.

    “The dams are to be concessioned to operators to build, operate and transfer.”

    The minister said he had directed Distribution Companies (DisCos) to work out and implement competition transfer charges, in accordance with the law, to safeguard their losses.

    He said he will monitor the impact of the policy and remain flexible to keep what works and change what does not.

    Fashola urged stakeholders to remain open-minded, adaptive and responsive.

    Said he: “The DISCOs must be interested to know that I have also issued directives to the Nigerian Electricity Regulatory Commission (NERC) to work out and implement competition transition charges, as provided by law, to safeguard them from losses.”

    The minister noted that the problem with the power sector was mostly in the distribution of value chain. He stressed that the ministry introduced the Meter Asset Provider (MAP) policy to address meter supply gap, relieve the DISCOs of the financial burden of meters, “allow entrepreneurs to take up this as a business and diversify the sources of meter supply.”

    Fashola recalled that the regulation and condition for its operation were issued by NERC on March 8.

    He said: “Reports reaching me indicate that there is an embracement of the policy. Entrepreneurs are showing interest and talking to banks to raise finance.

    “DISCOs have signed up to the government-supported fund of N37billion and we will keep an eye on the progress of the initiative.

    “The government intervention in this regard is part of its role of enabling to be effective. It does not relieve the DISCOs of their contractual obligation to provide meters. On the contrary, it seeks to help them perform their contracts.”

    The minister said following the N701billion payment assurance guarantee intervention for the Generation Companies (GenCos), power producers, which used to recover 20 per cent, now record 80 per cent recovery.

    The GenCos, he said, would prefer 100 per cent recovery.

    Following the implementation of the payment, Fashola said power supply capacity had increased from 4,000MW to 7,000MW “and there is an appetite by other players to participate.”

    He said: “GENCOs must transparently invoice for their output and, for example, we must harmonise the price of gas for payment under the scheme, where there are differential prices arising from different gas suppliers.”

     

     

  • Defection not immunity against trial for corruption, says govt

    The Federal Government assured yesterday that the gale of defection in the nation’s party politics will not shield any corrupt politician from investigation and prosecution.

    Minister of Information and Culture Alhaji Lai Mohammed gave the assurance during a visit to the Abuja office of The Authority.

    Fielding questions from members of the editorial board of the paper, the minister said defection, even to the ruling All Progressives Congress (APC), would not immune politicians who had looted the nation’s economy from being prosecuted.

    “Nigerians should be rest assured that the fact that some persons are moving from one party to another does not mean that they will escape prosecution.

    “Nobody will escape investigation and prosecution on the ground that he or she has moved to APC.

    “We have shown that with a former governor and a member of our party that was convicted. We will never terminate anybody’s prosecution on the ground of decamping.

    “However, it is not for the Executive to do the work of the Judiciary,’’ he said.

    The minister, however, said that many of the defections being witnessed were not premised on the allegation of escaping justice.

    He said some defected for “political calculation and personal reasons’’.

    The minister reiterated that the ruling party was not perturbed by the gale of defection, especially by members of the National Assembly.

    “We did not just start noticing this, the foundation for it was laid the day Dr Bukola Saraki became the Senate President.

    “In every part of the world, when a party has the majority in Parliament, the party decides who is going to be the leader of the parliament.

    “This is a case where the party was still waiting for the President to resolve the issue when Saraki, from the back door, emerged as Senate President.

    “From then, we have known, because his emergence was illegal and against the wish of the party,’’ he said.

    The minister said that to make the matter worse, Saraki made a deal with the opposition PDP, by conceding the Deputy Senate President’s position.

    “In the last two years, the National Assembly has been behaving as if the opposition is in control. We have a Senate President that is so hostile to the government.

    “For three years, budgets are passed only in June. As I speak today, there has been no disbursement on capital project in 2018 budget.

    “Critical appointments are also being delayed and the government is being blackmailed every day,’’ he said.

    “I have never seen in history, where a leader of parliament will announce the defection of 15 members from his party.

    “The proper thing is, if you are loyal to your party, you put stumbling blocks on such defection,’’ he said.

    Mohammed said Kwara, his state and that of Saraki which is the epicentre of the defection, remained solidly behind APC and Buhari.

  • Govt charges Daily Times publishers with fraud

    The Federal Government has filed a charge against Fidelis Anosike and Noel Anosike and their firm, Folio Communications Limited, accusing them of fraudulently acquiring the Daily Times of Nigeria (DTN).

    The management of Folio Communication has however accused the lawyer, who filed the charge, Festus Keyamo (SAN) and Senator Ikechukwu Obiorah of mocking the Judiciary by allegedly engaging in forum shopping.

    The charge marked: CR/222/18,was filed before the High Court of the Federal Capital Territory (FCT), Keyamo (SAN), for the Nigeria Police Force.

    The defendants were charged with conspiracy, criminal breach of trust, criminal misappropriation, cheating and theft of property belonging to the DTN.

    In the charge, it was alleged that pursuant to the Federal Government’s privatisation programme in 2004, its 96.05% shares in the DTN were put for sale by the Bureau of Public Enterprise (BPE), bid for which Folio Communications emerged the highest with a bid of N1.250 billion, but had no money to pay.

    It was alleged that what Folio did in the circumstances was to obtain a co-investment of N500,000,000.00 from DSV Ltd (owned by Senator Ikechukwu Obiorah in exchange of 40% of the said shares. DSV paid the sum of N500m directly to BPE.

    The prosecution alleged that:” In order to raise the remaining N750,000,000.00, Folio resorted to the following; It illegally created fixed and floating debentures over the assets of DTN in favour of Hallmark Bank and collected N750,000,000 from the Bank.

    “Folio was unable to repay Hallmark Bank. The Bank obtained a Court Order appointing a  a receiver/manager over DTN. This precipitated law suits culminating in the consent judgment entered by the Federal High Court in Suit No. FHC/L.CP/594/2005 wherein Folio was ordered to pay Hallmark Bank the sum of N950m consisting of the original N750,000,000.00 and accumulated interest.

    “Instead of using their own money to pay the N950,000,000.00 as mandated by the consent judgement, the defendants (Fidelis Anosike, Noel Anosike and Folio Communications Ltd) once again resorted to DTN’s assets as follows:

    They were also accused, among others, of converting N500,000,000.00 belonging to DTN (realised from sale of DTN’s interest in Stock Exchange Building, Lagos) in defraying part of the N950,000,000.00 leaving outstanding the sum of N450,000,000.00.

    Folio, in its statement, signed by the Managing Editor of Daily Times newspaper, Bonaventure Melah, said the current case filed by the Police and on which ground the fake news was being bandied around, is about the 15th of its kind that Ikechukwu Obiorah had instigated the Police to initiate against Folio and its management, all of which he said fell flat on their belly before the courts because they are not only baseless but also lack merit.

    “This case is not the first, not the second, not the third but about the 15th different cases Ikechukwu Obiorah has instigated the Police to institute against Folio Communications Plc on Daily Times. They have gone from High Court to Magistrate Court, back to High Court and to Magistrate Court. Today, they will run to the Federal High Court, tomorrow, they will run to FCT High court and then to Magistrate Court in Mpape, a suburb of Abuja and to Magistrate Court in Igbosere, Lagos, all in bare-face contempt and disrespect for both the judiciary and mockery of the respected legal profession.

    “This same case has gone to the Court of Appeal where in 2010 the Court of Appeal ruled that the matter was purely civil with the no criminal ingredients. Inspectors General of Police have investigated the case severally and put it in black and white that it is a civil case of ownership. But, Ikechukwu Obiorah, finding a willing ally in the current IGP has been using the Police to intimidate Folio and its management,” Bonaventure wrote.

    “Our initial reaction to the information that court papers are being circulated as news, (an act that sub judus) was a very long laugh. However, because the main characters in this funny drama are lawyers who should know, it therefore became necessary to react to it.

    “In the first place, privatisation is different from commercialisation. Federal Government of Nigeria through the Bureau of Public Enterprises (BPE) advertised to sell Daily Times. Folio, like many other companies bided to acquire Daily Times and after very rigorous but transparent process, Folio emerged the preferred bidder. Folio went ahead to fully pay for Daily Times and the government duly handed over the company to Folio.

    “Privatisation is about offer, acceptance and payment. It is not commercialisation where conditions are stated. Privatisation is buying and selling. Government advertised, Folio bided and won and went ahead to pay in full the value of the transaction. What has forging of documents got to do with the business? Who forged document and for what? Or are they saying that the money Folio paid and which government received was fake or forged money?

    “The next question is who is alleging forgery on the transaction? Is it the Police or the BPE that advertised, supervised the process of bidding, declared Folio as the preferred bidder, accepted the money paid and handed over Daily Times to Folio? What is the interest of the Police that is being used to institute criminal charges against Folio and its management when BPE that conducted the sale and handed over Daily Times to Folio is there and has never complained about the transaction?” the statement wondered.”

     

     

  • Govt opens completed portion of Lagos-Badagry road

    Lagos State Governor, Akinwunmi Ambode, yesterday directed that the completed portions of the Lagos-Badagry Expressway from Eric Moore to Okokomaiko be opened to traffic as soon as possible.

    He asked the Public Works Corporation (PWC) to intensify palliative works on the road from Okokomaiko to Badagry.

    Commissioner for Works and Infrastructure, Ade Akinsanya, in a statement, said the governor was touched by motorists’ discomfort on the road.

    The governor also directed that palliative works be intensified along the Ajah-Badore corridor and other heavy traffic routes.

    Akinsanya said security and traffic agencies had been directed to dislodge road side traders and hawkers. Any law enforcement officer caught extorting money from motorists, he said, would also be arrested.

    He said the government was committed to even development of the state.

  • Govt opens completed portion of Lagos-Badagry road

    Lagos State Governor, Akinwunmi Ambode, yesterday directed that the completed portions of the Lagos-Badagry Expressway from Eric Moore to Okokomaiko be opened to traffic as soon as possible.

    He asked the Public Works Corporation (PWC) to intensify palliative works on the road from Okokomaiko to Badagry.

    Commissioner for Works and Infrastructure, Ade Akinsanya, in a statement, said the governor was touched by motorists’ discomfort on the road.

    The governor also directed that palliative works be intensified along the Ajah-Badore corridor and other heavy traffic routes.

    Akinsanya said security and traffic agencies had been directed to dislodge road side traders and hawkers. Any law enforcement officer caught extorting money from motorists, he said, would also be arrested.

    He said the government was committed to even development of the state.

  • Unemployment: Kumuyi urges govt, church to collaborate

    The General Superintendent of the Deeper Life Christian Ministry, (DCLM), Pastor William Kumuyi, has urged government and international agencies to collaborate with the church in solving youth unemployment.

    Kumuyi spoke yesterday at the church’s headquarters in Gbagada, Lagos during a certificate and award ceremony of the Skill Acquisition Programme (SAP) organised by the church’s Young Professionals Forum (YPF).

    Over 350 participants of SAP acquired skills in areas including urban and hydroponic farming, digital marketing, web design, mobile application, photography and video editing, event planning and interior design, pastry and mixology.

    Kumuyi, who was represented by DCLM Secretary, Pastor Jerry Asemota, noted that over half of Nigeria’s 182 million people were under 30 years and that according to the National Bureau of Statistics, the unemployment rate in the third quarters of 2017 was about 18.8%.

    “These are the most conservatives estimate. The figures could indeed be higher,” he noted

    Kumuyi said this motivated the church’s desire “to assist the teeming unfocused youths into self-discovery through God’s direction, which is leading us to support them in channelling their talents and mental resources into productive use.

    “The motivation for this pivotal professional training began in 2011 but formally commenced with the skill acquisition programme last month, which is a continuation of our desire to cultivate the total and an egalitarian display of the complete mankind whose entire faculties are carefully primed to show forth the praise of God”.

    Kumuyi added: “It remains our abiding desire to have them subsequently transformed from being employees to self-employed personalities and from employers to becoming entrepreneurs. Our unflagging desire is to reignite their spiritual lives to appropriate blessing from the arsenal of God’s grace”.

     

  • Govt to resolve CLI, PSP operators feud

    The Association of Waste Managers of Nigeria AWAM, better known as PSP Waste Operators, has accused the Cleaner Lagos Initiative (CLI), of sabotaging their efforts to rid the state of refuse.

    Its chairman, Oladipo Egbeyemi, in a statement, accused CLI of advising residents, community and religious leaders to stop paying PSP Operators for clearing their wastes.

    It also accused the agency of threatening that only operators contracted by Visionscape would be considered to be legally operating.

    The group claimed that CLI, through its action, was undermining the efforts of Asiwaju Bola Ahmed Tinubu in finding a lasting solution to the waste management crisis in the state.

    “You will recall that in a widely publicised statement following our protest to Tinubu’s residence on April 27, Asiwaju Tinubu promised to resolve it. This was followed by a briefing by the Ministry of Environment on May 2, where the government said that the PSP Operators will resume the responsibility of residential waste collection,” Egbeyemi said.

    Special Adviser to the governor on the Environment, Babatunde Hunpe said the ministry would resolve the matter.

     

  • SystemSpecs chief advises govt on capacity building

    Indigenous software powerhouse, SystemSpecs, has advised the Federal Government to build local capacity to meet the requisite manpower requirements of emerging technologies.

    Its Executive Director, Deremi  Atanda  who spoke on the sidelines of the seventh German Nigerian Business Forum  at Eko Hotel and Suites in Lagos, said though the economy is prepared to accommodate new technologies, the government should continue to build local capacities.

    He said: “Our economy is more than ready and you can attest to that by the number of technology companies springing up in Nigeria every day. The potential of what they do, how they are being celebrated all over the world, the potential to earn and bring forex into this so we are more than ready and that is why one of the key areas we need to keep looking at is to keep building capacity to make sure that we seize the day.

    “Nigeria needs to seize the day and see its emergence as a giant and technology landscape. It is not one of the areas we can afford to stay back and keep depending on foreign tech, it’s clear that we have what it takes and we should be firmly committed to that across all levels and to just take the Nigeria success story out there for the benefit of Nigeria and Nigerians. ”

    Atanda said the emergence of new technologies is no threat to jobs, stressing that all that was needed was upskilling.

    “If you have your visions right which takes us back to when man landed in the moon all it took was a vision. So, if there are things we need to address, they are staring us in the face, the vision and first thing is I want to address this issue, once you are committed to that, you will see that there are different ways of solving the problem and particularly about one’s capacity, you can see already, Lagos State is taking a lead and particularly on that, we are partnering with Lagos where young people even those in primary schools are being introduced to the era of programming. So it’s not a future to come, it’s here today.

    “So, solving those problems with technology means developing capacity and manpower and that’s one project I’m very passionate about and can see that once we build capacity from the very root which is not about education curriculum, it’s about capacity for survival, evolution of economies and society, then we are committed to solving our problems. And I think Lagos can be a model for what it takes to create the much needed capacity to address our own problem without reliance on foreign support and technology most of the time,” he said.

  • Govt opens battle to retrieve N138b trapped in 17 banks

    Firms, individuals hold NHIS cash

    Posers for Executive Secretary

    Over N138 billion National Insurance Health Scheme (NHIS) cash is trapped in 17 banks, financial companies and individual pockets from January 2011 to date, a Federal Government team has discovered.

    Successive NHIS managements had investments in some banks but could not recoup them in the last seven years.

    The NHIS Governing Council has raised posers for the incumbent Executive Secretary, Yusuf Usman, for not drawing its attention to the scandal.

    The response of the NHIS boss is being awaited by the council, The Nation learnt yesterday.

    The trapped funds were discovered by an accounting  firm, Aruna Bawa and Company, which was engaged by the Attorney-General of the Federation and Minister of Justice, Mallam Abubakar Malami (SAN).

    Malami mandated the accounting firm to look into the trapped investments, after a whistle-blower blew the lid off them.

    The identities of the banks and the individuals were not available yesterday.

    In a November 13, 2017  letter to former NHIS Acting  Executive Secretary Attahiru Ibrahim, the AGF said “Messrs. Aruna Bawa & Co.  (Chartered Accountants) had been engaged by the Federal government  on August 15, last year.

    “The mandate of the firm is to carry out a forensic audit and backlog recovery of all National Health Insurance Scheme’s (NHIS’) funds held by financial institutions, companies, individuals into the Federal Government’s Treasury in accordance with the extant laws of the Federal Republic of Nigeria and the terms and conditions of the Agency Agreement executed by the parties on the 19th day of September, 2017.

    “Please render the firm the requisite cooperation, support and information needed to carry out this task for and on behalf of the Federal Government of Nigeria. Please accept the assurances of my highest regards.”

    In a May 21 , 2018 report to the Chairperson of the NHIS Governing Council, Dr. Enyantu Ifenne, the accounting firm said over N138billion NHIS cash was trapped.

    The report said: “We have determined the amount due from each of the financial institutions that NHIS placed Investments or operated a current account with, before the adventure of the TSA policy.

    “We have already worked out forensic update and have submitted the results of same to the Federal Ministry of Justice, Federal Ministry of Finance and the Central Bank of Nigeria (CBN). Please find attached as Annexure A, a summary of amounts due from each of the financial institutions, mentioned in the preceding paragraph.

    “A total amount of N138,088,353,172, made up of principal plus  accrued interest charges, compounded up to April 29, 2018 are  as at the date of this letter, due from the financial institutions that are holding onto the funds.

    “Please note, the amount due from each of them, duly analysed into various headings, based on the nature of the amount outstanding, such as: Accrued Interest Shortfall  (Total amount – N24,630,784,864), Loss Arising from Failure to Use CBN Rate to Place Investments  (Total Amount – N7,909,339,409), Capitalised Interest Shortfall  (Total Amount – N4, 657,631,261), Un-recouped Investments  (Principal -Interest – Total Amount – N46,832,773,759), Unexplained Interest Reversals (Total Amount – N1,810, 455,551), Transfers to NHIS TSA,  not Reflected in NHIS’ TSA Statement Issued by the CBN (Total Amount – N52,247,368,327), has been served on each of the banks involved, by way of a notice of indebtedness and demand for payment.

    “NHIS has yet to provide us with copies of some of the Investment placement documents,   a list of which we gave to the then Acting Executive Secretary, Mallam Attahiru Ibrahim.  We would be most grateful if these documents are provided.”

    But the accounting firm said it would require more cooperation from NHIS to recover all the trapped funds.

    It said: “Our firm, Aruna Bawa & Co, has been in practice as chartered accountants for more than three decades and has successfully undertaken a wide variety of complex assignments, the knowledge and experience of which are being brought to bear on the conduct of this assignment.

    “We understand that NHIS is concerned about the ownership of the Funds to be recovered from the financial institutions concerned.

    “In this regard, we suggest NHIS work with us to first recover these funds, and thereafter approach the Federal Government to transfer the funds to its account in CBN.

    “For now, it is in the overriding public interest to recover these funds from the financial institutions concerned. We have already blown the whistle, entered into an agency contract with the Federal Ministry of Justice on behalf of the Federal Government of Nigeria, determined the amount due from each bank based on the audit and recovery work we did at NHIS and CBN, and served notices of indebtedness and payment demand notices on the banks concerned.

    “Accordingly, as the Honourable Attorney-General of the Federation and Minister of Justice … in his Letter of Introduction (See Annexure C) we hereby appeal to the NHIS’  Governing Council and Management to continue to give us the requisite cooperation, support and information we require for the orderly execution of this assignment.”

    The Governing Council has asked Usman to respond to the discovery which was not brought to its knowledge.

    It said its attention was also drawn to the engagement of Sofura Professional Services for forensic audit of its financial records.

    It said Aruna Bawa and Company said there was no nexus between its Asset Recovery mandate given to it by the AGF and a separate engagement of Sofura Professional Services.

    A memo to the  Executive Secretary  was signed by the Chairman of the Governing Council, Dr. Enyantu lfenne.

    The memo was titled  “Re: Forensic audit and backlog  recovery of NHIS funds held by financial institutions, companies and individuals on behalf of the Federal Government of Nigeria.”

    The Council said: “A firm of Chartered Accountants, Aruna Bawa & Co., presented a letter titled “Re: Forensic Audit and Backlog Recovery of NHlS’ Funds held by Financial institutions, Companies and Individuals, on Behalf of the Federal Government of Nigeria”. In addition, the firm submitted voluminous documents.

    “Significantly, the documents were delivered on 25th May, the same day that l had audience with CBN Governor to present Council’s request for recovery of NHIS funds trapped in commercial banks. The petition by Aruna Bawa & Co is herewith attached

    “You may recall that in response to presentation of the Forensic Audit Report by Sofura Professional Services, Council resolved to proactively move to recover NHIS funds. In fact, the financial data and the narrative of Council request to CBN Governor were based on the Forensic Audit Report.

    “The Petition by Aruna Bawa & Co, made the following allegations:

    • the firm was engaged by the. Federal Government Asset Recovery and Management Unit in Federal Ministry of Justice under a whistle blowing intervention to recover NHIS funds trapped in commercial banks;
    • that, you, as Executive Secretary, encouraged them to  enlist in the whistle-blowing project before and during your suspension;
    • that Acting Executive Secretary requested for and received approval from, the Minister of Health directing NHIS to support the exercise. Accordingly, key senior staff were assigned to work with the firm;
    • that the assignment has advanced to the extent that listed banks were served indebtedness profiles and demand notices and presumably, CBN so informed;
    • that no duly executed contract  exists between NHIS and Sofura Professional Services for the Forensic Audit and Asset Recovery;

    The Council is interested in these grave revelations for the following reasons;

    “Suggestion that Aruna Bawa & Co and Sofura Professional Services are locked in an ownership contest for the financial data, and by inference, rights to financial rewards accruable from recovered funds.

    “Likelihood that these developments/ revelations may undermine public confidence in Council’s integrity, transparency and motives for funds recovery efforts,

    “Controversy arising from the conflict between the accounting firms may jeopardise recovery of NHIS funds.

    “Council was not informed about FGN approved initiative to recover NHIS funds trapped in commercial banks.

    “To clear these concerns and guide Council on the way forward, you are requested to:

    • respond to the salient issues contained in the attached.
    • address the conflict of interest issues raised, specifically on page 5.
    • explain fully, the procurement process, fees, terms and conditions of engagement of and all payments to, Sofura Professional Services for Forensic Audit; Retainer contracts. Please provide  copies of procurement processes contract, and payment documents.
    • clarify your intention for not disclosing to Council the FGN intervention to recover NHIS funds trapped in commercial banks.

    Although the council  gave a June 12, 2018 deadline to the NHIS Executive Secretary to submit the details on the investments, there has been no response from him.

    A top source in NHIS said: “This exercise predated the new Executive Secretary of NHIS, Prof. Yusuf Usman. They are talking of funds invested between 2011 to date. The Executive Secretary will respond to issues raised by the council. The good thing is that no one is accusing the Executive Secretary of embezzling funds.”