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Tag: Paris Club refund

  • Edo pensioners resume street protest

    Edo pensioners resume street protest

    Pensioners in Edo State on Monday resumed their street protest to demand for the payment of their pension arrears and gratuity.

    The protesting pensioners wore red attires and caused heavy vehicular traffic in Benin City by blocking the popular Oba Ovoramwen Square (Ring Road).

    They sang solidarity and derogatory songs as well as they prayed to God to intervene on their behalf.

    Spokesman of the protesters, Barr. Gabriel Osemwekhai, said they resumed their protest because Governor Godwin Obsseki was not prepared to use the Paris Club refund money to pay their pension arrears and gratuity.

    Gabriel said they have protested severally in the past and the state government failed to listen to them.

    He said the pensioners were owed between five and 42 months pension arrears, gratuity for local government pensioners from 2008 till date and that the state pensioners were owed gratuities from 2012 till date.

    On claims by the state government that N220m was paid to pensioners, he said the money was paid from statutory allocation to the local government areas.

    “The latest development is that we have not heard from the government. We have protested times without number. This is the 13th time we are coming out to protest in respect of the non-profit of our arrears and gratuity.

    “As a matter of fact, the money is available, it has been given to the State government to be disbursed to pensioners and ever since the money came, Edo state Governor has kept mute, he has been so silence over the disbursement. He has never given a dime to pensioners from the Paris Club refund.

    “That is the money the federal government brought with specific instructions that it should pay all arrears and gratuity. But this man has paid dear ears. We don’t know if it is because he is Governor of the ruling party. We don’t know if that is why he has remained obstinate.

    “President Muhammadu Buhari himself called all the traditional rulers when he returned from his sick leave. He told them that he is disappointed with some Governors. Our own Governor is the only one who has not come out to say this is how much am going to bring out for the pensioners.

    “It is the two months monthly pension he is owing them. The amount for one month is N220 million, and he paid for two months successively. But he did not brought out any money from the Paris Club refund.”

  • Cross River didn’t pay consultant from Paris Club refund, says commissioner

    The Cross River State Government yesterday denied paying any consultant from its Paris Club refund.

     Commissioner for FinanceAsuquo Ekpenyong Jr said in a statement that “the state did not and has not paid a dime to anybody in the name of consultancy from the Paris Club refund.”

    The commissioner added: “It is rather sad and regrettable that the same media that not long a ago lavishly published a report about alleged freezing of the account of the state for refusing to pay for the services of a consultant from the said fund is the one now reporting that the state, along with three others, is being investigated by the (EFCC) for purportedly paying money to a consultant from the said fund. What can be more contradictory than this?”

      “For the avoidance of doubt, Cross River State government is not aware of it being under any investigation by the EFCC on account of the Paris Club refund as claimed in the media,” adding that “all payments made from the account are traceable”

     “It is on record that disbursements so far made from the Paris Club refund have been for the payment of pensions, gratuities and salaries. We wish to reiterate that not a kobo from the fund has been paid to anybody for whatever consultancy services.

     “This administration has continued to observe the tenets of probity by adhering strictly to the fiscal regulations as enthroned in the three legislations governing operations of public accounting in Cross River State, namely, Fiscal Responsibility Law; Public Finance Management Law; and the Public Procurement Law.

     “I must state without any fear of contradiction that the state is growing tired of the new found preoccupation of idlers and peddlers of mischief who are hell bent on not only distracting the focus of this administration on delivering on its electoral mandate, but also stoke tension in the polity. It is time the media availed itself of the Freedom of Information law by seeking information from appropriate quarters on issues of public concern.”

  • Consultant admits $3m governors’ contract fake

    Consultant admits $3m governors’ contract fake

    EFCC in court to seek forfeiture of N1.823b Paris Club refund

    Armed with evidence of alleged diversion of the London-Paris Club refund, the Economic and Financial Crimes Commission (EFCC) has applied for the forfeiture of over N1.823billion by some consultants hired by the Nigeria Governors Forum (NGF).

    Besides, a suspect, Mr. Ifeanyi Okafor, has told EFCC detectives that he was a “fictitious consultant” to the NGF, which paid him $3 million from the loan repayment to states.

    He said his company, Mountain Crest, was hired by the Governors Forum for an unexecuted consultancy job, it was learnt yesterday.

    Apart from  Ifeanyi, four other consultants have been invited for interrogation by the anti-graft commission.

    According to a source, who pleaded not to be named in order not to jeopardise the probe, the commission has approached the court for the forfeiture of the following: N1. 230billion by Melrose General Services Company; N500million by a governor; and $1million and N100million paid to Gosh Project by Mountain Crest Limited.

    The source said: “We have gone to court on some payments made to some consultants by the NGF. We filed two applications before the court, but we could not secure final forfeiture because the court was on vacation and the matters were adjourned till October.

    “Our detectives found that N3.5billion was paid to Melrose General Services Company but only N1.2billion was discovered when the investigation of the diversion of the London-Paris Club refund started. We have initiated a court process for the final forfeiture of the N1.2billion to the Federal Government. We need to perfect the forfeiture with a court order.”

    Of the cash given to some entities through Melrose, N220 million has been recovered into the Federation Account.

    “The Managing director of Xtract Energy Services, a company that deals in Forex Trading, confirmed that Wasp Networks Limited transferred N170, 000,000 on the 16th January 2017 to Xtract Energy Services Limited’s FCMB account for the purchase of $350,000 which he later transferred into Wasp Networks Stanbic IBTC US dollar domiciliary account,” the source said, adding.

    “Wasp Networks has returned to the EFCC the N200million paid to the company by Melrose General Services.

    “Melrose General Services Company paid N20million to Thebe Wellness Services. The managing director of Thebe Wellness Services confirmed that N20million from Melrose General Services Company was a loan which was to be used as an investment in Thebe Wellness Services.”

    On the $3million traced to a company, Mountain Crest Limited, the source said one Ifeanyi Okafor had admitted that the consultancy  contract was fictitious.

    The source added: “About $3million was paid into the corporate  account of Mountain Crest Limited by the NGF.  From  the cash, $1million was remitted into the account of a company, Gosh Project. We have succeeded in recovering $500,000 which we transferred to the government’s account. But we have applied to the court for the final  forfeiture of the money.

    “Out of the balance of $500,000, we got another N100million from Gosh Project. The recovered cash was part of what was invested in Treasury Bills. Another share of the money is being used for a hotel project in Lekki, Lagos State.”

    Responding to a question, the source said: “The EFCC is going to recover the remaining $2million and it will charge the company and all those involved to court with corrupt payment,  aiding and abetting diversion of public funds.”

    Okafor was said to have submitted letters from the NGF appointing Mountain Crest as a consultant, but, he later confirmed that the  $3million contract was fictitious.

    “There are clues that the $3million consultancy job was given to Mountain Crest Limited to launder funds for another governor,” the source claimed, adding that “four consultants, apart from Ifeanyi, will also face trial soon”.

    On the diverted N500million, which was linked with a governor through a mortgage bank, the source said:  “The EFCC filed an ex-parte motion on 19th June 2017 for the Interim Forfeiture of the cash and our request was granted by   Justice Nnamdi  Dimgba  of the Federal High Court, Abuja.

    “All we  are waiting for is an order for the final forfeiture of the money by the governor who we cannot prosecute now. Certainly, the governor will face trial after the completion of his second term in office.”

    Asked of the next stage of the investigation, the source said: “We are investigating the utilisation of the London-Paris Club refunds by states. Also, in addition to the 5% paid by states to the centralised NGF account, some state governments further engaged consultants, with some paying  2.5% and 15% of the collectible fees to these consultants.

    “We will look into the books of all the states but we are looking at the payment  to consultants in five states at present. They are Bauchi, Delta, Abia , Cross River and Nasarawa.

    “Our team will review the list of consultants,  how much was paid to them, who actually benefited and we will determine whether or not there was evidence of corrupt payments.”

    Following protest by states against over deduction for external debt service between 1995 and 2002, President Muhammadu Buhari approved the release of N522.74 billion (first tranche) to states as refund pending reconciliation of records.

    Each state was entitled to a cap of N14.5 billion being 25% of the amounts claimed.

    The second tranche of N243, 795,465,195.20 was disbursed to states in July.

    The Minister of Finance, Mrs. Kemi Adeosun, said the payment of the claims would enable states to offset outstanding salaries and pension which had been “causing considerable hardship”.

    The governors sought for the refund to states and local governments at a meeting with Buhari on May 24, last year.

  • NLC to name, shame Govs not using Paris Club refund well

    NLC to name, shame Govs not using Paris Club refund well

    The Nigeria Labour Congress (NLC) said on Tuesday that it was prepared name and shame state governors who failed to utilize the Paris Club refund for the purpose it was meant for, insisting that the President demand the state governors to account for the money before any further release is made to them.

    Reacting to a statement by President Muhammadu Buhari accusing the governor of misdirecting the Paris Club refund, NLC President, Comrade Ayuba Wabba said it was unfortunate that despite their promises to use the money to pay workers salaries and pension, the governors have refused to live by their words.

    He said that some of the state governors have even refused to disclose how much they received and how it was utilized, pointing out that the Chairman of the Governors Forum who made a commitment on behalf of his colleague has, himself not utilize the money judiciously.

    Wabba said the President was actually reacting to its letter asking him not to approve the release of the third and last tranche of the fund to the governors until they account for what they have received. 

    He said: “It is our letter he was reacting to. At our CWC meeting, we called on him not to release the last tranche of the Paris Club refund  to the states because the governors have not kept their word. 

    “You remember that Chairman of the Governors Forum alluded to the fact that they are committed to using the money to address the issue of liability of pension and salaries. Unfortunately, the Chairman of the Governors Forum has not lived up to those words. 

    “As you are aware, our workers in Zamfara have shut down the state. He himself that ,are the pronouncement could not honoured the words that he pronounced on behalf of his colleagues. That is to show the level of deceit that is actually in the system and that is why we decided to write to the President to ensure that, there is a level of accountability to show that he is actually on the same page with the governors. 

    “Before the second tranche was released, they made commitments and used the payment of workers salaries and pensions as a bait to get the President to approve and get the money across to them. But immediately they got the money, majority of them diverted the money. Right now, we have a standard data as to what the situation is in all states of the Federation.

    “Let me make the point that some has actually judiciously untilise their own, but states like Ekiti, Kogi, Benue, Zamafara among is even refused to make available how. Ugh they received. 

    “You remember what happened at the Kogi state House of Assembly where a member raised a motion to demand accountability on the issue of the Paris Club refund and that resulted in the chaos we witnessed in the Assembly. That member had his head broken and the Speaker removed. That is the level of decay that is prevailing in some of those states.

    “It means that Mr President is in touch with the real issues that is happening in every state. The fact that he is aware that some of the governors have not utilized the money in the direction that he appealed to them means that he is aware of what is happening.

    “So, I think that going forward, we must demand for accountability. We are also aware that a lot of information is already in the public domain where a lot of them resorted to the use of consultants. 

    “We learnt that about 5 percent was deducted from source and used for the payment of consultants which eventually ended up in peoples pocket. We are also aware of those that diverted the money to build hotels and pay mortgages. It is really a bad situation. 

    “If we must fight corruption, those issues are issues that we must follow up and fight the, to their logical conclusion. Having made that pronouncement, I think k he should be commended, but we must also demand accountability from these people.

    “In some of the states, our members used the freedom of information act to demand how these money were utilized, but there has been no responses and I think that is most unfortunate. We have records of those states. We have also promised that we are going to name and shame those states that has not adequately utilized the bail out. 

    “We are working on the data and once they are ready, we will make the, available and we are going to engage states that has not transparently utilized the bail out fund for the purpose that it was meant for and for the benefit of their people. That is where we are now and it is not a good situation at all and that is why the situation of workers have not improved. 

    “Despite the fact that some efforts have gone in, the situation of workers have not I proved because there has been no transparency in some states in the utilization of those funds. Let me emphasized that some states have done extremely well and we are going to point this out very clearly.”

  • Paris Club refund: Buhari decries governors handling

    Paris Club refund: Buhari decries governors handling

    President Muhammadu Buhari on Monday met with members of the National Council of traditional rulers and decried the way the Paris Club Refund was spent by some state governors.

    The Federal government had on May 4 released details of the second tranche of Paris Club refund to States totalling N243. 795 billion.

    The refund is in respect of over-deductions on Paris Club, London Club Loans and Multilateral debts between 1995-2002.

    The President, who met with the traditional rulers at the new Banquet hall, Presidential Villa, Abuja frowned at the inability of the affected state governments to pay the retirement benefits and outstanding salaries of workers with the payment of the refund.

    “We have to digress this much because I would like to convince you that I’m living with the problems of this country day-by-day, and mostly those of the ordinary people.

    “There are Nigerians that haven’t been paid for six months; there are Nigerians that have not been paid their retirement benefits for years.

    “I’m appealing to the governors, (that was why we voted money, we borrowed money), please make sure anybody under you, pay them because most of them depend on that salary to pay rent, school fees,’’ he said.

    He pledged that his administration would continue to do its best in executing developmental projects to uplift the standard of living of all Nigerians irrespective of their geo-political backgrounds.

    The President noted with delight that the country would be witnessing bumper harvest across the country, this year.

    He said the bumper harvest was as a result of the prayers of Nigerians which was graciously answered by God.

    “We are lucky, last year and this year, the rainy season was good. If it were not good, I’m confiding in you, which country shall I run to? But God answered the prayers of most Nigerians.

    “The rainy season last year was good, this year, from the reports I’m getting, it is good. We thank God for that, only God can do that for us otherwise there would have been lot of problems in this country.

    President Buhari thanked the traditional rulers for their continued prayers and support to the government and urged them not to relent in efforts toward ensuring peace and stability in their respective domains.

    He enjoined them to continue to educate their people on the need to ensure the continued survival of Nigeria as a geo-political entity.

    Earlier in his remarks, the Sultan of Sokoto, Dr Sa’ad Abubakar, said the traditional rulers were in the Presidential Villa to wish the President and the country well and to express their unflinching support for the administration.

    He, however, challenged the President to tight up his belt in the discharge of his responsibilities for the betterment of the country.

    The Sultan reassured that the traditional rulers would continue to pray for the good health of the president as well as peace and prosperity of the country.

    The Sultan also expressed the willingness of the traditional rulers to continue to partner with the government in the fight against corruption and other social vices in the country.

    The News Agency of Nigeria (NAN) reports that six traditional rulers, one from each geo-political zone of the country, spoke at the occasion where they reassured the support of their zones for the Buhari administration as well as the continued existence of Nigeria as one country.

    The Lamido of Adamawa, Alhaji Barkindo Mustapha, who spoke on behalf of the North-East traditional rulers, also offered special prayer for God to continue to give the President good health to enable him deliver on his promises to Nigerians.

     

  • We don’t depend on Paris Club refund to pay salary – Enugu govt.

    We don’t depend on Paris Club refund to pay salary – Enugu govt.

    Enugu State Government says it is yet to expend its share of the second tranche of Paris Club refund as there is no pressing need for it now.

    The state’s Commissioner for Information, Mr Ogbuagu Anikwe, made this known in a statement in Enugu on Monday.

    Anikwe said that the government was already meeting its obligation of paying workers salaries and pensions before the issue of Paris Club refund came up.

    He said that the government was not indebted to its workforce and pensioners unlike other states that utilised their share to offset such debts.

    The commissioner explained that the fact that the state government had not expended its second tranche share of the refund should not be misconstrued as owing salaries.

    “Enugu state public workers’ salaries used to be paid promptly on the 25 day of each month.

    “However, beginning from three months ago, the governor ordered that civil servants be paid on the 23rd of the month.

    “By this executive stroke, Enugu state has become the first state in Nigeria to pay its workers early, with effect from three months ago,” he said.

    Anikwe said that though the state was in a precarious situation and sat fifth from the bottom of the monthly federal allocations, it was prudent in managing its resources.

    “The governor has through prudent management of resources and an aggressive internal revenue generation, fully discharged his obligations to workers.

    “The state still embarks on massive projects to promote its agenda of employment generation, maintenance of social services, and management of security and peace,” he said.

    He added that the state government had shown transparency in the management of the refunds since it started receiving it.

    The commissioner said that officials of the labour unions and other stakeholders in the state were usually privy to how the funds were disbursed.

    “What the state does each time it receives her share of the refund is to immediately call for a meeting of the stakeholders, including representatives of labour unions and pensioners.

    “Such meetings also include leaders of traditional institutions and community-based associations, and development experts to decide how best to utilise the refund,” he said.

    He said that sharing formula of the funds was established between the states and local councils at the meetings.

    “The portion reserved for salary and pensions payments are set aside and used to pay workers and pensioners as and when due.

    “Considering that many states are not in a hurry to share the refunds with their local councils, we think that Gov. Ugwuanyi should be commended for this visionary leadership,” Anikwe said.

  • NLC opposes release of fresh Paris Club refund to states

    NLC opposes release of fresh Paris Club refund to states

    •Wants power sector investment probed

    The Nigeria Labour Congress (NLC) has asked President Muhammadu Buhari not to release the third and final tranche of the Paris Club refund to state governors until they make a concrete commitment to use the money to settle outstanding salaries, allowances and pension of workers and retirees in the country.

    The congress is also demanding an immediate and comprehensive audit of all monies so far spent in government effort at reviving the power sector in the country since 1999 which it said has failed to yield result, but rather produce several billionaires as a result of diversion of the funds.

    In a communique made available to newsmen at the end of its Central Working Committee meeting, the Congress is asking the government to immediately inaugurate the National Minimum Wage negotiating committee in view of the impoverishment of workers.

    The communique signed by the NLC President, Comrade Ayuba Wabba and General Secretary, Dr, Peter Ozo-Ezon also wants the federal government to compel state governors to properly account for the bailout they received from the federal government as well as the two tranches of the Paris Club refund which was supposed to be used for the payment of salaries and pensions, but diverted to other uses.

    The Congress regretted that government has not lived up the expectation of Nigerians and are in the habit of reneging on signed agreements with unions, pointing out that the ongoing strike by members of the Academic Staff Union of Universities was avoidable.

    The congress said that “many of the discussions around restructuring have not paid adequate attention to the question of health. It resolved to set up a committee to harmonise the various views expressed at the meeting with a view to articulating a congress position on the issue for subsequent presentation to the organised labour.

    “It reviewed the continuous non payment of months of outstanding salaries of workers in some states of the federation as well as various arrears of pension which has also run into several months which is the actual situation despite President Buhari’s passion to address this matter since he assumed office by giving bail out to governors to clear this shameful state of affairs with the nation’s workforce.”

    The Congress also deplored the poor service delivery in the power sector saying, “since the current administration came to power in May 2015, it had given N740 billion to the power sector as intervention fund without much to show for it. CWC therefore cannot comprehend the rationale behind the administration’s preparedness to give a further N39 billion bailout to DISCOs for metering purpose.”

  • Osun spends N5.1b on salaries, pensions

    Osun spends N5.1b on salaries, pensions

    •NLC hails state govt

    THE Osun State government has explained how it disbursed the second tranche of its Paris Club loan refund it received from the Federal Government.

    Addressing reporters yesterday at his office in Osogbo, the state capital, Information Commissioner Adelani Baderinwa said N5,131,680,567.59 was expended on full salaries and pensions up till last month (July) for Levels 1 to 7 workers, being the most vulnerable, “the balance of the full salaries for the remaining workers up till August 2015, and balance of 2015 leave bonus”.

    The state government, in agreement with labour unions in the state, agreed to use the second tranche of the Paris Club loan refund for the payment of salaries and pensions.

    Baderinwa said: “Workers on levels 1 to 7, being the most vulnerable and the largest chunk of the state civil service, have received their full salaries and entitlement up to July, 2017. Likewise, workers on grade levels 8 to 11 comprising of 21,624 workers, showed understanding with the government to accept 75 per cent of their salaries and full leave bonus.

    “It is only workers on grade levels 12 to 17, who receive 50 per cent of salaries and full leave bonus. So far, they have also showed maturity and understanding with the state government. The same formula applies with our pensioners.”

    The commissioner said the payment formula was jointly agreed with the Labour-led Revenue Apportionment Committee, which consists of the labour union leaders and representatives of government, chaired by a veteran Labour leader, Comrade Hassan Sunmonu.

    The Apportionment Committee reviews revenues of government and agrees on how these are apportioned to pay salaries and pensions, he said.

    According to him, this model is unprecedented for governments in Nigeria.

    Also, the Chairman of the state chapter of the Nigeria Labour Congress (NLC), Babatunde Jacob Adekomi, has given the Rauf Aregbesola administration a pass mark for disbursing the Paris Club loan refund well.

    Adekomi spoke on a radio programme monitored at the weekend.

     

     

     

     

     

     

  • Fed Govt, states LGs share N652. 229b

    Fed Govt, states LGs share N652. 229b

    A week after the Paris Club refund was disbursed, the three tiers of government yesterday shared a windfall of N652.229 billion as statutory revenue for this month.

    Of the N652.229  billion shared, the Federal Government got the lion share of N286.650 billion, states-N178.619 billion and local government councils-N134.927 billion.

    Oil producing states got N29.894 billion as 13 per cent derivation.

    The Accountant-General of Federation, Alhaji Idris Ahmed released the figures yesterday in Abuja at the end of the monthly Federation Account Allocation Committee (FAAC) meeting.

    He put statutory revenue received during the month at N570,584 billion which was higher than N317.562  billion received in previous month by N253.022  billion.

    “The decrease in the average price of crude oil from $55.18 to $50.27 per barrel and a significant decrease in export volume by 3.20 million barrels, resulted in decreased revenue from export sales for the federation by $183.68 million,” he said.

    He lamented that “crude oil production suffered due to leakages, shut-ins and shut downs at terminals for maintenance and force majeur declared at Forcados terminal since February being subsisted.”

    “There were significant  increases in Company Income Tax (CIT) being the peak period for its collection and Petroleum Profit Tax (PPT). Also Value Added Tax (VAT), import and excise duties recorded marginal increases,” Ahmed said.

    Asked if Lagos state has started enjoying 13 per cent derivation principle as one of oil producing states, Ahmed said: “Lagos is already being identified as oil producing state, the first hurdle has been crossed. The relevant agencies to determine the quantity of oil that is being produced from Lagos is working round the clock. We are on course; Lagos already knows its position.”

  • We’ve received N10b Paris Club Refund, says A/Ibom commissioner

    We’ve received N10b Paris Club Refund, says A/Ibom commissioner

    …Salaries, pension arrears to be paid

    Akwa Ibom State Commissioner for Finance, Mr. Nsikan Linus Nkan Tuesday confirmed that Akwa Ibom State Government has received the second part of the Paris Club Refund of N10 billion after having received the first refund last year December.

    According to Nkan, during a media chat, the funds which he noted is barely enough to settle indebtedness and commitment of government, would be used to settle payment of salaries, pension arrears, arrears of gratuities and probably  deferring some debt owed to contractors.

    His words: “The Governor has given direction that we use the funds to pay salaries and to the extent that it can cover, also pay pensions.”

    While admitting that there is pressure from various quarters, however gave assurances that government would direct so that all parties would be touched.

    Shedding light on the first Refund of N14.5billion, the Commissioner said that the State House of Assembly had captured it as strategic revenue for 2017 and was properly appropriated for.

    The Finance boss noted that application of the Paris Fund has already been stipulated by the Federal Government where it is meant to be used to settle arrears of salaries and pensions.