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Tag: NIMASA

  • NIMASA blows over N2b on hotels for ex-militants

    NIMASA blows over N2b on hotels for ex-militants

    • It isn’t true, says spokesman

    For allegedly blowing N2 billion in hotel bills for former Niger Delta militants, the Nigerian Maritime Administration and Safety Agency (NIMASA) may have run into trouble with the Ministry of Transport (MoT).

    NIMASA is said to have spent the money in the past four years on keeping the former militants in hotels in Abuja, Port Harcourt and Lagos.

    It was learnt that the Minister of Transport, Senator Idris Umar, his officials and NIMASA account staff were shocked when they learnt of the bills.

    The minister, it was gathered, was furious over the spending, which he considered reckless, considering that over 90 per cent was spent on former militants in exotic hotels.

    The discovery of the huge bills, it was learnt, has caused a row between the management and the staff.

    NIMASA Deputy Director, Public Relations (DDPR) Mr. Isichei Osamgbi denied the story. “Completely false. There is no such thing,” he said.

    But, according to a senior NIMASA official, some of the ex-militants lived, dined and wined in their hotels for over a year.

    An official of one of the hotels in Lagos said the bills rose to over N2 billion because whenever the ex-militants travelled, they refused to submit their keys and returned to their rooms after their trips.

    He said when the ex-militants moved into the hotel, NIMASA did not say when they would leave nor write the management that it would no longer foot the bills.

    “The agency did not write us that they will no longer be responsible for the hotel bills.’’

    Sources at the Ministry of Transport said some senior officials of the agency had, in the past few days, been trying to keep the information relating to the bills from the public, he said.

    A ministry official urged the incoming administration to investigate the matter, saying: “The All Progressives Congress (APC)-led Federal Government and the National Assembly must look into this spending spree by NIMASA. It is a source of great concern to us for agencies under our watch to be spending public funds the way the current management of NIMASA is doing.”

    He said the agency’s conduct goes contrary to the government policy on fiscal reform.

    “The money is public money. The leadership of the agency must be made to account for it. Why should the management allow people who have nothing to contribute to the agency stay in five-star hotels for years?

    “The N2 billion bill is a disaster to public relations (PR) and pure maladministration.”

    Sources at some of the hotels revealed that the ex-militants splurged on expensive foods and drinks.

    “It is disgusting and highly despicable. The management of the agency took advantage of its privileged position to spend public funds the way it liked. Those people enjoyed expensive drinks during their stay in the hotels.

    “There is no doubt that the country is in a financial crisis. The price of crude oil has dropped at the international market and the Federal Government has devalued the naira. Therefore, the N2 billion hotel bill is completely unethical, uncharitable, shameful and selfish. It is offensive to millions of Nigerians. The decision to keep the militants in the hotels is silly, despicable and shameful,” the official said.

  • Operators draw battle line with NIMASA over Cabotage fund

    Operators draw battle line with NIMASA over Cabotage fund

    SHIP OWNERS have drawn the battle line with the Nigerian Maritime Administration and Safety Agency (NIMASA) over the management of the Cabotage Vessel Financing Fund (CVFF).

    They are agitating that the management of the fund be transferred from NIMASA to a maritime bank.

    The firms are alleging that the CVFF has grown to billions of dollars without any of them benefiting from it.

    Their counsel Olisa Agbakoba (SAN) told The Nation that his clients were unhappy that NIMASA has not used the money to empower them to create jobs.

    He lamented that most contributors do not know the actual fund in NIMASA’s care, saying it was time the agency made the amount public since it is not the source of the fund, but just the collector.

    A maritime bank, Agbakoba said, would be more appropriate to handle the CVFF, adding that NIMASA should not be the repository of the fund.

    “The only way the government can support the sector is funding, but since the first National Maritime Authority (NMA) Act was created up till NIMASA, all the money that have been allocated for the CVFF, not a dime has been released, showing that there is a problem,” he said.

    Agbakoba wondered how many can say the NMA or NIMASA supported them to buy a ship.

    “ If we don’t have funding, we will have a weak sector; so our role is to continue to put it on the top of the agenda and that is the essence of this briefing,” he said, adding that NIMASA should tell Nigerians the actual size of the fund and why the money has not been disbursed all these years.

    Agbakoba also said there was the need for practitioners to call on the parties jostling for power to declare their plans for the sector before they are voted into power.

    “The first thing to do is for the sector to push for a very senior minister; if we do this, he will be close to the president and it will help to shape the relevant policies.

    “The other thing is to have a very effective maritime institution, NIMASA is too huge and doing many things; it is doing maritime safety and security, shipping development, Cabotage, seafarers and so on, and yet it is not doing it effectively. The only way it can be effective is to ask what they can do well, which is maritime safety and security, other jobs should be taken away from them,” Agbakoba said.

    Also, Lagos State Shippers Association President, Rev Jonathan Nicol, urged NIMASA to disburse the fund and take steps to streamline and profile Nigerian ship owners.

  • Unbundle NIMASA, Agbakoba urges govt

    Unbundle NIMASA, Agbakoba urges govt

    Former president of the Nigerian Bar Association (NBA) and legal luminary, Mr. Olisa Agbakoba has urged the Federal Government to establish a Maritime Bank to boost activities in the maritime and shipping sector of the economy.

    Agbakoba, while addressing journalists yesterday in his Lagos office, yesterday, said the situation where the Federal Government is reaping bountifully from the ports without any corresponding development in the sector is unacceptable.

    He wondered why the Cabotage vessel Finance Fund (CVFF) has not been disbursed by the management of the Nigerian Maritime Administration And Safety Agency (NIMASA) and called for the establishment of a Maritime Bank to boost activities in the sector. He said cabotage enforcement is a huge job that must be taken away from NIMASA.

    NIMASA, Agbakoba said, has too much burden as it is presently constituted, hence, the need for the agency to be unbundled for it to perform efficiently and effectively. “I still hold the view that NIMASA should be unbundled. NIMASA was first the National Maritime Authority (NMA), and, then, it swallowed the Government Inspector of Shipping. Even in the original NMA Law, there were too many things inherent in it- there was cabotage, ship development, cargo allocations. Safety and security was the Government’s Inspector of Shipping, but NIMASA swallowed it,” he said.

    Agbakoba, who equally pointed out that NIMASA took over the duty of permanent representation of Nigeria at the International Seabed Authority, regretted that not until NIMASA took over, maritime safety and security issues were better handled when these were the responsibilities of the Government Inspector Shipping.

    “In the old days, maritime safety and security issues were handled at 88 Marine Road (Apapa, Lagos). They had the skills to protect our waters. The second step was to assist them by creating a Coast Guard to patrol the waters. Somehow, NIMASA felt they were the ones entitled to do maritime safety and security. So, Government Inspector of Shipping died and NIMASA took it over, with the consequences that we can now see.  It hasn’t worked because they are dealing with far too many issues,” he said.

  • Firm sues govt over directive to NPA, NIMASA, NIWA on funds

    Firm sues govt over directive to NPA, NIMASA, NIWA on funds

    A sHipping firm has launched a legal battle against the Federal Government over its directive to some maritime agencies to pay their money into the Consolidated Revenue Fund (CRF).

    Elshcon Nigeria Limited is contending that the directive to the Nigerian Ports Authority (NPA), the Nigerian Maritime Administration and Safety Agency (NIMASA) and the National Inland Waterways Authority (NIWA) negates their enabling laws. Minister of Finance, Dr. Ngozi Okonjo-Iweala directed NPA, NIMASA and NIWA, among other agencies, to close their accounts and transfer them into the Treasury Single Account (TSA) before the end of last month.

    Elshcon’s counsel Mike Igbokwe (SAN) said the directive should have excluded NPA, NIMASA, and NIWA – in line with their enabling laws.

    In a suit filed before Justice Ibrahim Buba of the Federal High Court in Lagos, last week, the Attorney-General of the Federation, the Accountant-General of the Federation and the Minister of Finance are named as defendants.

    After filing the suit, it was gathered, Igbokwe wrote to NIMASA, NPA and NIWA, not to take any action in furtherance of the directives pending the determination of the case.

    Igbokwe told The Nation that he wrote the agencies in order not to stifle the court from exercising its jurisdiction on the pending case before its determination.

    “The essence of the letter is to draw the attention of the agencies to some of the relevant judgments of the Supreme Court showing the attitude of courts in such circumstances as this and as they relate to persons that are ‘servants and agents’ of the parties to the suit that may knowingly assist the parties in stultifying the exercise of the court’s jurisdiction on the matter because as sought in the motion and originating summons, the substance of the matter is that the defendants are to be restrained in whatever method they may use in committing the prohibited acts.

    “It is also to ensure that the rule of law prevails, abuse of court process is avoided and the court is not presented with a fait accompli by any of the defendants or its agents or servants since the agencies have become aware of the reliefs on the motion on notice and originating summons filed by our client and that they are not just pending, but a date has been fixed for the hearing of the said Motion,” he said.

    Igbokwe added: “The Supreme Court held that any action or conduct of one or the other of the parties to the action taken whilst an application is pending in court for the obvious or subtle purpose of stultifying the exercise by the court of its jurisdiction and its duty to consider the application on its merits, must not be countenanced by the court and the court would ensure that at the stage of the proceedings, it is not possible for any party to present it with a fait accompli.

    “The same court also held that the court still has jurisdiction to commit any person, whether as a servant or agent of the party restrained or even a stranger, who knowingly assists in the breach of the injunction of the defendants.”

    Igbokwe said the plaintiff has applied ex parte for an order restraining the 1st Defendant either or his agents from implementing the directives pending the determination of the case.

    The plaintiff, it was learnt, is seeking six reliefs, including an order that the defendants should stop forthwith, the implementation of the directives.

    The court has directed the plaintiff to serve the defendants the motion for interlocutory injunction and originating summons. It also granted accelerated hearing of the case which comes up on  Thursday.

  • NIMASA: Tompolo didn’t import gunboats

    Nigerian Maritime Administration and Safety Agency(NIMASA) Director-General Patrick Akpobolokemi, has denied a report that a company owned by former Niger Delta militant leader Government Ekpemupolo (aka Tompolo) imported six decommissioned Norwegian warships.

    He described the reports  as “unfounded rumours”and the handiwork of “people who are bent on blackmailing the agency because of its war against illegalities on the nation’s territorial waters”.

    Three of the boats, he said, were inaugurated by President Goodluck Jonathan during the groundbreaking of the Nigerian Maritime University in Okerenkoko, Delta State, in May.

    “Also, we have taken people round all those things. Senators have come to see them, some even said militants were the ones driving the boats; even today, if you want, we can go back there. So, what is the complaint?

    ‘’They are complaining because we are doing our job. We are not allowing illegalities. They will not come and tell you this truth, but we know,” he said.

    Akpobolokemi said no law stops private firms from doing business with the agency, advising NIMASA critics to be objective.

    He said: “Our laws permit that the agency can partner with anyone. In the section of our Act, it says NIMASA in furtherance of its function can partner with any person or group of person and any corporate organisation. So, people should not just stay somewhere to spread rumours. Also, rumours should give way for objectivity, facts that are verifiable and this should be benchmark against national laws and standard and possibly international conventions.

    “When we have private people who are only supplying boats for us and that is the sin that is being committed. I don’t think NIMASA owes anyone hiding under the verge of its vessels being seized for oil theft or organised piracy apology.”

    The NIMASA chief said shipowners were employing unnecessary litigations to stall the removal of abandoned vessels and wrecks on the coastal waters, thereby endangering navigation.

    He accused culprits of using the moribund vessels and the wrecks to harbour criminals.

    Akpobolokemi told The Nation that the Federal Government has awarded contract for the removal of wrecks and abandoned vessels on the territorial waters, saying work would begin soon.

    Many of those who have abandoned their old wrecked-ships, Akpobolokemi said, would surface   to ask for compensation through the courts few days to the removal of their wrecks.

    He said: “NIMASA will issue over 20 marine notices for them to come and remove the wrecks, but you will not see them, but the day you want to go and remove the wrecks, you will discover that a wreck that has been abandoned for five years, suddenly you will see crew, the next day; they are in court to get an injunction”

    Somebody, whose ship is old and abandoned on the waters, would go to court and say the wreck is good and will demand N10 billion compensation from NIMASA, he said, adding that wrecks can cause navigation problems and became a hiding space for criminals.

    According to him, some people didn’t want his agency to remove the abandoned ships because they were using them for some nocturnal activities.

    The first phase of the job, he said, had been awarded, adding that the Lagos area and some other zones are included in the contract.

    Akpobolokemi spoke of the agency’s frustration whenever it embarks on removal of wrecks.

    He said the agency has tightened its noose against international oil companies to ensure that they comply with the Cabotage Act.

    NIMASA, he said, has mandated the International Oil Companies (IOCs) to ensure that right of first refusal was given to indigenous ship owners in compliance with the  Local Content Law and the Cabotage Act.

    Akpobolokemi urged the indigenous ship owners to be honest in their quest to participate in oil lifting and other coastal trade.

    “When any Nigerian buys a vessel, no matter my schedule, I personally do the commissioning, and I have also written to so many oil companies that they must provide jobs for such vessels and many of them have got jobs, but they will not come out and announce it,” he said.

  • Storm over ex-militant Tompolo’s gunboats

    Storm over ex-militant Tompolo’s gunboats

    • Itsekiri group allege arms stockpiling
    • Accuses Jonathan, NIMASA of complicity

    The alleged importation of seven gunboats into the country by former warlord, Chief Government Ekpemupolo (aka Tompolo), has sparked fresh tension in the Niger Delta.

    The high-speed Hulk-class guided missile boats, according to reports, were imported from Norway through an American private security outfit on behalf of Tompolo’s Global West Vessel Services.

    They had been decommissioned by the Scandinavian country.

    Tompolo, an Ijaw, however rearmed them ostensibly for his company’s operations.

    The company currently has a multimillion naira contract from the Federal Government to protect a long stretch of the nation’s coastline with a view to checking crude oil stealing.

    The Itsekiri, Ijaw neighbours in Delta State, are in fear that the gunboats might be turned on them.

    The two sides are currently locked in a bitter feud over the location of the $16billion oil/gas city project earmarked for Ogidigben, with each claiming ownership of the site.

    The ground breaking of the project by President Goodluck Jonathan has been postponed twice following threat by Ijaw and Itsekiri youths to cause trouble.

    The Warri Study Group, comprising prominent Itsekiri opinion leaders warned yesterday that Nigeria  “is sitting on a keg of gunpowder”  should the report of the gunboats importation turn out to be true.

    The WSG in a statement by Mr. Edward Ekpoko and Tony Ede, Chairman and Secretary respectively queried the true intention of Tompolo’s acquisitions, especially in the face of recent hostilities between the Ijaw and Itsekiri in which Tompolo was said to be deeply and personally involved.

    The group claimed that the multibillion naira coastline protection contract which has afforded Tompolo the leverage to amass wealth and purchase arms and war equipment has profited neither Nigeria nor the Niger Delta.

    It said  rather than decrease oil theft and other marine crimes, it has been on the rise in spite of the contract awarded to Tompolo.

    The group also wondered where the Nigerian Navy was when the federal government was giving such a huge marine security contract to an individual.

    The Itsekiri said: “President Jonathan, Tompolo and the DG of NIMASA are all of Ijaw extraction and we therefore see a script being acted out. Nigeria is the only country in the world where individuals – a rehabilitated militant for that matter – is awarded a contract to oversee the security of the coastline of a nation and with powers to import warships and sophisticated arms.

    “The question that begs for answer is this: What is the role of the Nigerian Navy in the protection and the security of the Nigerian coastline? Is the Ministry of Defence aware of all these arms deal?

    “It must be noted that it is well over a year now that Tompolo has been awarded the security contract and since then not only have illegal oil bunkering, pipeline vandalism and sea-piracy being on the increase but the threat of violence by him and his kinsmen has equally gone up. Then Nigerians must ask: Are these warships and arm deals to fight piracy and other criminal activities on our coastline or to intimidate other ethnic nationalities especially Itsekiri in the Niger Delta or cause destabilization as in the North East?

    “We call on President Jonathan to intervene immediately by withdrawing the contract given to Tompolo by NIMASA and place him under security watch, if not, in the unfortunate event of weapons being turned against the Itsekiris or any other ethnic nationality in the Niger Delta, he will be held responsible for crime against humanity by the international community even if the Nigerian government fails to act.”

    Other ethnic groups in the Niger Delta are similarly worried by the development, according to an investigation by The Nation on Sunday.

    A prominent South-south leader from Edo State told our reporter on the condition of anonymity that the situation was a serious cause of concern for the people of the area.

    Tompolo is one of the Niger Delta militants who in 2009 agreed to disarm under the federal government’s amnesty programme.

     

     

  • NIMASA raises the alarm over ‘false’ pirates’ reports

    NIMASA raises the alarm over ‘false’ pirates’ reports

    The Nigerian Maritime Administration and Safety Agency (NIMASA) has raised the alarm over what it calls false international reports on pirates’activities on the nation’s territorial waters.

    Based on the reports, vessels carrying the Nigerian flag, the agency said, were incurring “unnecessary” losses by paying money to foreign marine insurance companies.

    NIMASA’s Director-General, Mr Patrick Akpobolokemi, told The Nation in Lagos that some foreign insurance firms otherwise known as Protection and Indemnity (P&I) clubs were sabotaging the economy and painting the country black because of the reports.

    The reports, he said, were aimed at making Nigerians to pay more for imported goods.

    The NIMASA boss said the P&I clubs had made money from the country and other African countries, urging more Nigerians to venture into marine insurance to create wealth and provide jobs for the youth.

    He said: “Virtually all the major insurances in this sector are done outside the country and this is a huge capital flight. The country has a robust population and in  sub-Saharan Africa, almost 70 per cent of the cargo traffic is from Nigeria. So, we have marine insurance.  Why is our insurance companies not tapping into the lucrative business?

    “Sometimes you hear of piracy attacks, but most reported cases of piracy are untrue. They raise the false alarm because the insurance companies intend  to make mone; and if they don’t raise the red flag, how will they make the money? So, that is why they paint our image as bad as possible to get those insurance money.”

    Akpobolokemi said the motive  of those responsible for the false alarm was political and a form of economic sabotage, urging Nigerians to join hands against the alarmists.

    “If we cannot do it alone, all sub-Saharan African countries should be able to come together to form a vibrant insurance company,” he insisted.

    He said since the Nigerian National Shipping Line (NNSL) was liquidated many years ago, it had made Nigerian flagged ships attractive for business.

    He pledged that the agency would resuscitate the  national carrier so that it would be involved in the transportation of the nation’s crude oil.

    Akpobolokemi wondered why the country still carried its oil on  Freight on Board (FOB) policy which he said  is a major blow to the economy especially in the area of providing jobs for the youth.

    Former director- general of the defunct Nigeria Maritime Authority (NMA), Mr Patrick Egesi, has urged NIMASA on the need to  seek input from experts before the  acquisition of new ships for the national carrier.

    Egesi, who lauded President Goodluck Jonathan for reappointing  Akpobolokemi, said his reappointment  would give confidence to local and foreign operators.

    He said: “In the process of revamping our shipping line, I foresee a situation whereby some Nigerians will want to float  briefcase shipping companies in order to benefit from the scheme, but I will advise the DG to be careful in that regard.

    “In the line of revamping the national carrier, I will advice the DG of NIMASA to have an eye on what happened as regards to the defunct of NNSL.”

  • NIMASA, ship owners discuss single hull tankers’ ban

    NIMASA, ship owners discuss single hull tankers’ ban

    Indigenous ship owners acting under the aegis of Nigerian Shipowners Association (NSA) are currently discussing with the Nigerian Maritime Administration and Safety Agency (NIMASA) on how to handle the deadline for the operation of single hull tankers (vessels) as directed by the International Maritime Organisation (IMO) a few years ago.

    The IMO said as from next year, operation of single hull vessels is outlawed

    The discussion is considered vital because most of the vessels owned by indigenous operators are single hull and should NIMASA implement the IMO policy by next year, the maritime sector may likely collapse.

    The indigenous ship owners are therefore seeking a safety net from NIMASA.

    The Head, Maritime Safety and Seafarers Standard, NIMASA, Mr. Vincent Udoye, who spoke to The Nation on the issue, said the NIMASA’s Director-General, Mr. Ziakede Patrick Akpobolokemi is passionately looking into the matter with a view to finding a leeway for the ship owners.

    Udoye said: “The Director-General of NIMASA is very sympathetic to the plight of the indigenous ship owners;  so we are looking at avenues or whether there is a caveat where we can actually avoid banning single hull tankers come 2015.

    “So we are working closely with the Director-General and very soon NIMASA will come out with its official position, which will not be contrary to IMO’s directive.

    “Even IMO knows that countries are at different levels when it comes to enforcement of the directive.

    “I believe there is a certain window whereby you can apply the enforcement selectively because IMO recognises that it is the country that gives effect to its resolutions.

    “ So if we look at our own local situation, and realise that we will have a serious problem if the resolution is enforced draconically, we have to find a way to give the indigenous ship owners a soft landing so that they will not completely dislocate the maritime industry in Nigeria.

    “Without fear of contradiction, I must tell you that majority of the Nigerian owned ships are single hull tankers, therefore, if we have to ask all of them to stop trading from next year, where is the replacement coming from? What are the gains of the Cabotage Act? What of the gains of Local Content Law? We will make mockery of all these gains.  How about Nigerian seafarers? Those currently working on board those vessels, where will they be? Will they be employed by the foreign companies? The answer is no.

    “So we must look at our own peculiar environment and find how to apply that law that says single hull tankers should be phased out in 2015. The Director-General will come out with a policy statement on that.”

    NSA President,  Capt. Dada Niyi Labinjo confirmed that the group is in discussion with NIMASA.

    He said: “The ban will affect ship owners in Nigeria very adversely and we have been discussing with NIMASA  before now and I’m sure we still have avenues to discuss with NIMASA.

    “Luckily, I was the one that led the technical committee of ship owners’ team for the meeting in 2009 and I made some passionate position known at the time. I told NIMASA at the time that it may not be auspicious for them to ask all the single hull ships in Nigeria to be thrown away, it is not possible. We agreed on certain positions.”

     

     

  • Cabotage fund hits N36b as NISA clears NIMASA

    Cabotage fund hits N36b as NISA clears NIMASA

    The Nigerian Ship Owners Association (NISA) has absolved the Nigerian Maritime Administration and Safety Agency (NIMASA) of being responsible for inability to access to Cabotage Fund by ship owners. The fund as at end of September stood at N36 billion.

    The President of NISA, Capt. Dada Labinjo told The Nation that the fund is currently N36 billion, but  noted that contrary to reports that NIMASA has been responsible for not allowing ship owners to access the fund as provided in the Cabotage Act, the agency is only a custodian of the fund while directive for its disbursement as loans to ship owners resides with the Federal Government.

    There have been reports about ship owners that suffer dearth of funds to maintain their vessels but were unable to access the fund, which they are statutorily entitled to .

    The Cabotage law, which is the Coastal and Inland Shipping Act, was passed into law in 2003 and among the provisions in the Act is the Cabotage Vessel Financing Fund (CVFF), which is pooled from the two per cent deductions from all contracts awarded under the Cabotage regime. The essence of the Fund is to empower indigenous ship owners to be active in maritime sector by acquiring ships that have adequate tonnage to participate in coastal and inland trade and perhaps, with time, take over from foreigners currently dominate the coastal and deep sea shipping activities.

    However, 11 years after the law was passed the impact of the CVFF has not been felt either in terms of loans to ship owners or by increasing dominance of the coastal shipping by indigenous ship owners, stakeholders said.

    Also Labinjo debunked reports that 80 per cent of ships owned by indigenous players are substandard. He said: “I will never agree with that position. I don’t agree with it not because I’m saying that our ships are perfect. Substandard is not a good comment. Every ship is owned by the nation where it is registered. Every ship is owned by the flag it bears, which is the country. That is why they say flag your ship.

    “Yes I’m the beneficial owner of the ship but it is the country that owns it because in times of crisis, the country will convert it like it happened during the Falkland crisis, when Queen Elizabeth 2 (ship) was converted for military use. So that is why countries like to have their own  ships in their own register because in times of emergency and crisis you cannot leave Nigerian ships to call Cameroonian ships to come and help you, they will not answer you. But you can commandeer that of Captain Labinjo or that of any Nigerian.

    “That is the reason the country owns the ships. I’m not saying our ships are the best in the world. I’ve been to India, Indonesia and Singapore, among other countries and I have seen the way things are there. What I know is that we have a bad habit in Nigeria and that is maintenance issue. No doubt about it, but I’m assuring you and everybody that as the President of NISA, we will overcome that challenge.

  • How AMCON, NNPC, NIMASA cheated Fed Govt, by Reps

    How AMCON, NNPC, NIMASA cheated Fed Govt, by Reps

    The House of Representatives Committee on Finance yesterday chided the Federal Ministry of Finance, Office of the Accountant General of the Federation (AGF) and the Budget Office to desist from indulging in unconstitutional practice of dictating the amount of operating surplus to be paid by ministries, departments and agencies (MDAs) into the Consolidated Revenue Fund.
    The Committee also named defaulting MDAs which refused to remit their operating surpluses to the Consolidated Revenue Fund as  Nigerian National Petroleum Corporation (NNPC), Nigerian Maritime Administration and Safety Agency (NIMASA), Nigerian Port Authority (NPA), Asset Management Corporation (AMCON), Nigerian Communication Commission (NCC) and National Agency for Food and Drug Administration and Control (NAFDAC).
    In a bid to halt the trend, Chairman, House Committee on Finance, Abdulmumin Jibrin,  gave the Fiscal Responsibility Commission (FRC) a 7-day ultimatum to send the list of defaulting ministries, departments and agencies which refused to remit their operating surpluses to the government coffers.
    The lawmaker was responding to complaints by the acting Chairman of the Commission, Victor Muruako who stated that some agencies of government are refusing to submit their records of remittances to the commission.
    Jibrin while , while expressing worry over the decline in the international price of crude oil, said there is a need to look inwards and therefore urged the Commission to muster the required will-power to discharge its statutory functions.
    “Now, all the challenges that we are facing in the country is because of the leakages we have in our revenue, otherwise, I keep saying if we look inwards in the country, we have enough resources, we have a lot of money in the system. And so, when you’re not equipping the agency that has the responsibility to serve as a watchdog to this process, I don’t think you’re doing much good to the country.
    “You are mentioning NCC and others, what about the NNPC which is the biggest culprit in this conspiracy against the country? AMCON, NIMASA have all been on our radar for so many years. They claimed to be operating at a loss. The rate of non-remittances from the NNPC alone is ridiculous.
    “As for AMCON and NIMASA, they have been claiming to run at a loss year-in year-out, but now that AMCON is making profits from the sale of banks and other businesses, you should follow them up and ask for their financial statement and record of their remittances.
    “One other notorious agency which puts up a holier than-thou attitude but with a very hazy fiscal behaviour is the Financial Reporting Council. They are doing the job that the Commission should be doing. Their activities are supposed to be under the radars of the Commission. The Committee has received hundreds of petitions concerning the malfeasance that is going on there. Go after them and make sure that they know their boundaries.”
    The lawmaker chided the practice whereby the Ministry of Finance and the Accountant-General of the federation and the Budget Office tell agencies what to pay into the consolidated Revenue Fund.
    ”The Accountant-General of the federation and the Ministry of Finance do not have the power to tell any agency what to pay into government coffers. The law is clear on it. The fiscal responsibility commission is the agency that determines what agencies pay,” he said.
    Muruako spoke of the need to amendment of the Fiscal Responsibility Act 2007 to bestow the power to prosecute and sanction any defaulting agencies on the Commission
    He said: “We need the powers to prosecute and punish offenders of fiscal responsibility. Countries who have gone ahead to make progress in their economies are those who pay adequate attention to their fiscal responsibility regimes. Agencies have succeeded in making government look like an orphan through their attitude towards the Commission in a manner that they doctor their account books using different methods to defraud government.
    “We have had issues with the NCC (Nigeria Communications Commission) until the Committee intervened and they paid N22.9 billion for 2007 and 2010. The last N2 billion was paid in April. We are yet to look at their books for 2011 and 2013. Agencies are in the habit of declaring loses even before our team of experts go to check their books. Some of them have formed the habit of not respecting this Commission. NAFDAC has also refused to pay returns, saying that the Commission would soon be closed down.”
    According to him, the budgetary allocation for capital projects for the Commission declined from N220 million in 2009 to N53 million in 2014.  He pleaded for the support of the lawmakers for additional funding to allow the Commission carry out its statutory duties.
    Also yesterday, the Economic and Financial Crimes Commission (EFCC) said it has recovered over N5billion from those involved in the oil subsidy scandal.
    The commission also said 40 persons and organisations are still on trial for the subsidy scam.
    The only exception is the Managing Director of Fargo Energy Limited, Seun Ogunbambo, who was docked for stealing N4.5 billion in bogus subsidy claims.
    The suspect , who absconded after he was granted bail by the court,  had been declared wanted by the commission.
    Besides, the EFCC said it is prosecuting 441 persons for crude oil theft and pipelines vandalisation.
    The Head of Media and Publicity of the EFCC, Wilson Uwujaren made the disclosures  in Abuja while responding to questions from newsmen  at the Forum of Spokespersons of Security and Response Agencies (FOSSRA/I-Nigerian Initiative.
    He said  71 oil thieves had  been jailed by various courts including 45 Nigerians, 10 Ghanaians, 13 Philippines, 10 Indians, two Togolese, one Cameroonian and one Myanmar.
    Uwujaren said: “As we speak, the commission has recovered over N5 billion from persons implicated in the subsidy scam, even as it intensifies effort to bring more suspects to book.
    ”A few months ago, two Indians, Sailesh Kumor Singh, Chadrashekar Sharma were jailed after successful prosecution by the Commission. The duo were among 12 suspected oil thieves arrested in Brass, Bayelsa State in 2012 by the JTF with 157,822 litres of suspected stolen crude oil.
    “The two Indians bagged 15 years jail term. Beside that, a total of 71 persons have been convicted for oil theft which include 45 Nigerians, 10 Ghanaians, 13 Filipinos, three Indians, two Togolese, one Camerounian and one Myanmar.
    “In the ongoing oil subsidy cases, one of the major kingpins, Seun Ogunbambo, Managing Director of Fargo Energy Limited who was docked for allegedly stealing N4.5 billion in bogus subsidy claims has absconded and disappeared from the shores of Nigeria and has consequently been declared wanted.
    “Also, one Azmat Mahmood, a German citizen of Pakistani extraction has also been declared wanted after allegedly using his company Nimex Petroleum Limited to defraud the federal government of over N1.3 billion in a bogus subsidy deal.”
    He also allayed fears that the prosecution of other politically exposed persons may have been halted  and confirmed that the son of former national chairman of Peoples Democratic Party (PDP), Mahmud Tukur and Abdulahi Alao, a son of late Alhaji Arisekola Alao among others were still ongoing.
    On why politically exposed persons facing charges of corruption were allowed to vie for elective offices, Uwujaren however, said the commission was “not in a position to give an advisory on whether individual undergoing prosecution for financial crimes are allowed to stand for elections.
    ”It is left to the Independent National Electoral Commission (INEC) to make that decision,” he added.
    On reforms in the commission, he said  the EFCC Chairman, Mr. Ibrahim Lamorde had lived up to his pledge to re-professionalize the agency.
    Uwujaren said: “One of the strategies which he promised to deploy in tackling the issue of integrity was the introduction of polygraph test for officers and new employees. As we speak, the Commission now has state-of-the-art polygraph equipment with a crop of polygraph examiners trained at the American International Institute of Polygraph in Atlanta, Georgia, United States.
    “New and old staff of the Commission are now regularly subjected to polygraph test in a determined effort to ensure that they do not deviate from the core values of the Commission, which are courage, professionalism and integrity.
    “Fortunately, public and institutional confidence are being restored in the EFCC with relationship with international law enforcement organizations and development partners experiencing a rebound.”