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$418m Paris Club Refunds: FG, Governors, Consultants Know Fate March 25

Published

3 years ago

February 16, 2022

Come March 25, 2022, the governors of the 36 states in the federation would know if the federal government could go ahead as scheduled to pay six consultants, the sum of $418 million being fees accrued to them, for helping the states recover billions of dollars deducted in excess from their accounts in the payment of the Paris Club loan to Nigeria.

The governments of the 36 states had dragged the federal government before a Federal High Court in Abuja, for concluding and making arrangements that would enable government agencies deduct the sum of $418 million from funds belonging to the states to settle debts owed the said consultants.

However, after lawyers to parties in the suit adopted and argued their final written addresses, trial judge, Justice Inyang Ekwo announced that the court would deliver its verdict in the matter come March 25.

In the suit marked: FHC/ABJ/CS/1313/2021, the governors were praying the court to restrain President Muhammadu Buhari and others from effecting the planned deduction from states’ funds to settle the alleged $418 million debt owed the consultants by states and LGs.

While adopting his brief of argument, lead lawyer to the plaintiffs, Mr. Sunday Ameh, submitted that the defendants misconstrued the case of the 36 states to be one challenging existing judgments given by the court in favour of some of the consultants.

“We are not challenging the judgments, we are saying the way the federal government and its agencies are going about enforcing the judgments violates sections 120 and 162 of the constitution,” he said.

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According to the senior lawyer, the governors were not averse to the federal government’s issuance of promissory notes to the consultants (also sued as defendants), but became uncomfortable when it (FG) issued a notice to commence deduction from the states’ accounts.

Ameh submitted further that since the federal government agreed that the contractors were owed in relation to the services they rendered, it should settle the indebtedness without deploying funds belonging to the states and local governments.

According to the plaintiffs, “if the federal government is inclined to pay the debt, it should look for other ways to do so and leave the funds belonging to the state govts and LGs alone.”

Ameh subsequently urged the court to grant the prayers of his clients and stop FG from making any deductions from their accounts in respect of the $418 million debt.

Meanwhile, the defendants on their parts faulted the argument of the plaintiffs and urged the court to rule in their favour.

Defendants’ lawyers, including Wole Olanipekun, Maimuna Lami Shiru (acting Director, Civil Litigation, Federal Ministry of Justice) and Olusola Oke, faulted the competence of the suit and urged the court to dismiss it.

Olanipekun, who represented one of the consultants, Dr. Ted Iseghohi-Edwards (14th defendant), described the plaintiffs as meddlesome interlopers, noting that the state governments claimed to be fighting for the local governments, a distinct tier of government, without the consent of the third tier of government.

He prayed the court to dismiss the suit for being time wasting and constituting an abuse of court process.

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Also arguing, Mrs. Maimuna Shiru, who represented the federal government, argued that not only was the suit statute barred, the plaintiffs were seeking the impossible by asking the court to sit on appeal over judgments earlier delivered by it and other courts of coordinate jurisdiction.

Shiru informed the court that the decision by the federal government to issue promissory notes to the consultant as a way of settling the debt owed them was legitimate, adding that the plaintiffs cannot distance themselves from the decision taken by the Nigeria Governors’ Forum (NGF) in engaging some of the consultants.

Another defence lawyer, Chief Olusola Oke, who represented Riok Nigeria Limited and Prince Nicholas Ukachukwu argued that the suit is without merit and should be dismissed.

After listening to the submissions of all parties in the case, Justice Ekwo announced that judgment is fixed for March 25, 2022.

Thisday

Related Topics:Consultants FG governors Paris Club refunds

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BREAKING: FEC proposes N47.9 trillion budget for 2025 fiscal year

Published

12 hours ago

November 14, 2024

Trends Admin

BREAKING: FEC proposes N47.9 trillion budget for 2025 fiscal year

The federal government has unveiled a proposed budget of N47.9 trillion for the 2025 fiscal year.

Atiku Bagudu, Minister of Budget and Economic Planning, disclosed this to journalists on Thursday following the Federal Executive Council (FEC) meeting chaired by President Bola Tinubu.

Bagudu revealed that the council had approved the Medium-Term Expenditure Framework (MTEF) for 2025-2027.

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According to the minister, the government has pegged the crude oil benchmark at $75 per barrel, with an oil production target of 2.06 million barrels per day (bpd).

The budget also sets the exchange rate at N1,400 per dollar and aims for a gross domestic product (GDP) growth rate of 6.4%.

BREAKING: FEC proposes N47.9 trillion budget for 2025 fiscal year

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EFCC arrests ex-NCMB boss over $35m energy project fraud

Published

12 hours ago

November 14, 2024

Trends Admin

EFCC arrests ex-NCMB boss over $35m energy project fraud

The Economic and Financial Crimes Commission (EFCC) told FIJ that they have arrested Timber Wabote, the former executive secretary of the Nigerian Content Development and Monitoring Board (NCMB), on the grounds of a failed $35 million Bayelsa refinery project fraud.

Dele Oyewale, the EFCC’s spokesperson, confirmed this to FIJ on Thursday.

“It is true,” Oyewale responded to FIJ’s inquiries.

Wabote is accused of misappropriating public funds for a refinery project that should have improved local energy production.

Vanguard reported that the NCDMB under Wabote paid $35 million to support the development of energy infrastructure in the Brass Local Government Area of Bayelsa, yet there was nothing to show for it.

The EFCC picked Wabote up following the arrest of Akintoye Adeoye Akindele, the Managing Director of Atlantic International Refinery and Petrochemical Limited, for alleged misappropriation, money laundering and diversion of $35 million in public funds.

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“NCDMB under the watch of Wabote allegedly paid the $35 million to Akindele to build a 2,000 barrel per day (BPD), refinery, jetty, gas plant, power plant, data centre and tank farm at Brass free trade zone (FTZ), Okpoama Community in Brass LGA of Bayelsa State,” a source with the EFCC had explained.

Since December 2020 when the payments were made, Akindele abandoned the project with little or nothing to show for the huge sum he received.

Preliminary investigations showed that Wabote’s NCDMB financed 17 different projects, including the 2,000 BPD refinery in Brass LGA.

There has been a series of public fund misappropriation cases in the energy sector in recent times.

FIJ earlier reported that members of the House of Representatives summoned three ministers to defend how over $2 billion was spent on renewable energy with not much to show for it.

A recent FIJ report also recently detailed how residents of Yenagoa, the capital of Bayelsa, have not had power in their homes since July due to the vandalisation of the Ahoada-Yenagoa transmission towers caused by unidentified persons.

The Bayelsa state government told FIJ it was the federal government’s responsibility to provide electricity for residents. The state has no renewable energy options reliable enough to power its capital despite the multi-million-dollar NCMB energy project.

Transparency in the energy sector has become necessary at a time when Nigerians have suffered power instability due to frequent grid collapses.

EFCC arrests ex-NCMB boss over $35m energy project fraud

metro

Court adjourns Yahaya Bello’s trial till Nov 27

Published

12 hours ago

November 14, 2024

Trends Admin

Yahaya Bello

Court adjourns Yahaya Bello’s trial till Nov 27

The Economic and Financial Crimes Commission (EFCC) has requested an adjournment in the new case against the immediate past Governor of Kogi State, Yahaya Bello, stating that the 30-day window for the previously issued summons is still active.

The commission has granted administrative bail to his co-defendants, Umar Oricha and Abdulsalami Hudu, and asked the court for an extension of time for Bello to appear.

At the resumed hearing before Justice Maryann Anenih of the Federal Capital Territory High Court, Abuja, EFCC Counsel Jamiu Agoro noted that the court’s order from October 3rd had not yet expired.

“In that wise, we feel it will not be appropriate for us to take proceedings while that 30 days is still running. So we have discussed and agreed to come back on the 27th day of November, 2024, my lord,” he told the court.

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He also mentioned that the previously set date of November 20th was not convenient for the prosecution counsels.

Counsel to the second defendant, Aliyu Saiki, SAN, confirmed that his client had been granted administrative bail by the prosecution and had no objection to the adjournment request. The third defendant’s counsel, ZE Abass, concurred.

The prosecution counsel also requested the court to allow the notice of hearing to be pasted on the last known address of the first defendant.

After hearing from all counsels, the judge granted the EFCC’s application for adjournment and the issuance of the hearing notice.

“I have considered the application for adjournment by the complainant and issuance of hearing notice and the submission by the second and third defendants. The application is granted,” she said.

Justice Anenih then adjourned the case to November 27th for arraignment.

The former governor, alongside Umar Oricha and Abdulsalami Hudu, are being prosecuted as 1st to 3rd defendants, respectively, in a fresh 16-count charge instituted against them by the EFCC.