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Sanusi Lied About $49.8bn Missing Money – Senate Committee



SanusiThe Senate Committee on Finance on Wednesday described as untrue allegations by the suspended Governor of the Central Bank of Nigeria, Mallam Lamido Sanusi, that $49.8bn was missing from the Federation Account.The committee, led by Senator Ahmed Makarfi, which submitted its report also said the total crude oil lifting from January 2012 to July 2013 was $67bn and not $65bn as claimed by Sanusi.
Sanusi had written President Goodluck Jonathan alleging that the Nigerian National Petroleum Corporation had failed to remit $49.8bn, being part of the income it generated from the sale of crude oil to the Federation Account.But the committee stated that all the agencies, which made presentations to it, agreed after reconciliation that $47bn out of the $67bn had been credited to the Federation Account, leaving only $20bn yet to be accounted for.
It added that the $5.254bn spent on subsidy for Premium Motor Spirit by the Petroleum Products Pricing and Regulatory Agency, which was part of the $20bn, was covered by the Appropriation Acts of 2012 and 2013.

It, however, said that $3.512bn for kerosene subsidy certified by PPPRA for the period January 2012 to July 2013 was not appropriated for by the National Assembly.

The committee, therefore, asked the management of the NNPC to refund $262m to the Federation Account, being the expenses it could not satisfactorily defend during the just concluded probe of the alleged missing $49.8bn.
It also asked the corporation to remit the balance of $218m out of the $2.4bn third party financing, out of which the share of the Federation Account was $1.58bn. It also recommended the complete stoppage of the subsidy regime in the country.

The $262m, which the NNPC was asked to refund, was in respect of holding strategic stock reserve, pipeline maintenance and management cost, and capital expenditure.
The committee stated in the report, “There is the need for the subsidy regime to be totally discontinued with. All stakeholders, however, should be consulted and carried along as much as possible before abolishing the subsidy.”
It further noted that royalties and taxes amounting to $447.8m, being outstanding from the Federation Account share from the $6.815bn listings by the NNPC on behalf of the NPDC, remained unremitted

It also noted that gross lifting under the third party financing arrangement was $2.4bn, out of which the share for Federation Account was $1.588bn
“The Attorney-General of the Federation confirmed and gave documentary evidence showing the sum of $1,370,172,650.36 was remitted to the Federation Account,” the report stated.
The committee, therefore, recommended that the NNPC should remit the balance of $218,069,354.32 to the Federation Account

“The NNPC should refund and remit to the Federation Account the sum of $262m, being expenses it could not satisfactorily defend of holding strategic stock reserve; pipeline maintenance and management cost and capital expenditure,” it stated.

It said that further legislative action by the Senate should be taken after the receipt of the forensic audit being undertaken at the NNPC by the Auditor-General for the Federation and auditors.

It asked the NNPC not pay for its operational expenditures directly from the federation’s funds without appropriation by the National Assembly and that the corporation should strictly adhere to international best practices in keeping records.
Other recommendations are: “That the NNPC should not control the revenue account of the NPDC in order not to undermine its separate legal status and make accountability more difficult.

“That average number of days taken to discharge a vessel load of 33 and a half days as against the expected one and a half days resulting in $207.8m demurrage.
“The committee could not see how the figure of $49.8bn was arrived at by the CBN governor in the first instance.

“That the CBN governor at the first hearing had forwarded the figure of $12bn as money to be reconciled and changed his position to $20bn at subsequent hearings.
“At the conclusion of his written submission, Sanusi posited that it could be $20bn, $12bn, $10.8bn or anything in between.
“The CBN governor orally or in writing never outright submitted that money was missing but that money was not remitted to the Federation Account by the NNPC.”

The committee also recommended that President Goodluck Jonathan should prepare and present to the National Assembly a supplementary budget to cover the over-expenditure in the sum of N90.693bn for PMS subsidy for 2012.
It also said the sum of N685.910bn for kerosene subsidy expended without appropriation by the National Assembly in 2012 and 2013 should also be covered by the supplementary budget.
The committee observed that there was lack of proper and adequate coordination between key agencies of the government such as Ministry of Finance, Ministry of Petroleum Resources, the CBN, NNPC, Department of Petroleum Resources, and Federal Inland Revenue Service.

It noted that the issue of non-remittance of oil revenue was not new and that it was the not the CBN governor that first discovered it, adding that it had been a recurring issue at the monthly Federation Account Allocation Committee meetings.
The committee, however, stated that it could not see how the figure of $49.8bn was arrived at by the CBN in the first instance.

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‘She told everyone she wanted to be a journalist’ – survivor of Auno attack narrates how teenage niece was killed



When Fatima Babagana, a student of the University of Maiduguri, joined her uncle for a ride from Maiduguri, she probably did not know that she would not make it to Postiskum, her destination in Yobe.

Babagana was among the 30 people killed when Boko Haram attacked stranded travellers in Auno last week.

In an interview with CNN, Babagana’s uncle, who reportedly did not want his name to be mentioned, said the insurgents launched the attack when most of them were asleep.

He said his niece, who wanted to be a journalist, was shot in the head because the attackers could see the light from her phone which she was fiddling when they struck.

He said they ended up spending the night at Auno because on their way to Potiskum, soldiers at a roadblock in Benisheikh, a town 45 miles west from Maiduguri, ordered them to go back for their safety.

Babagana’s uncle said the officers had warned them that they could be ambushed by Boko Haram. He said they heeded the military’s advice and quickly turned back without knowing that a more perilous journey was ahead.

They traveled for another hour before encountering another military blockade in Auno village, one of the gateways into Maiduguri, and they decided to sleep in the car till the next morning.

“Fatima was sitting in the backseat and typing on her phone. They saw the light from the phone because it was very dark. Next thing I knew, they had shot her in the head,” he reportedly said.

Babagana’s uncle said while the insurgents kept shooting at people in the attack that lasted for about four hours, he and his friend, who was also in the car, managed to escape into the bush.

He said they would later see smoke billowing from where they had fled from.

“I wept all night. I kept thinking about what these terrorists would have done to her and others that were there,” CNN quoted him as saying.

Babagana’s uncle said when they returned to the scene of the attack on Monday morning, the cars were still burning.

“We tried to put out the fire, but we were helpless. It was just too hot,” he said.

Speaking when he visited the scene of the attack, Babagana Zulum, Borno governor, accused soldiers meant to secure the community of deserting the people around 5pm on a daily basis.

“I am not undermining the capacity of the military but we have made repeated appeal for the military to establish their unit in Auno,” he had said.

“They are here but as soon as it is 5 pm, they close the gate and lock the people and go back to Maiduguri. This is not right.”

President Muhammadu Buhari visited Borno to condole with the people over the killings but he did not get to Auno.

Angry residents had booed Buhari in Maiduguri.

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Lagos Matters

‘You are expanding the kingdom of armed robbers’ — Bode George hits Sanwo-Olu over okada ban



Bode George, a chieftain of the Peoples Democratic Party (PDP), says the ban of okada and tricycles in some areas  of Lagos will only increase the spate of armed robbery in the state.

On February 1, the government of Babajide Sanwo-Olu restricted commercial motorcycles and tricycles in 15 local government areas and local council development areas.

The action was received with widespread criticisms among Lagosians.

Commenting on the ban during an interview with PUNCH, George, a native of the state, said the action would only “expand the kingdom of armed robbers”.

He said the ban is “inimical to anything that makes sense”, asking if any alternative employments have been put in place for those affected.

He advised Sanwo-Olu, whom he described as his younger brother, to revisit the law.

“How can they (state government) do that? Let us forget about politics, the governor is my younger brother and his uncle is my friend. I talk to him like an elder. He should sit down and revisit that law,” George said.

“It is inimical to anything that makes any sense at all.  Most workers in Lagos work in the Island, how do they get to their offices early now? Must everybody buy a car? Which alternative employment do they have for the people that they have stopped from riding a commercial motorcycle? So, how do they survive?

“They are only expanding the kingdom of armed robbers. The number of people out of job is unbelievable and you are adding to it. Get the Amotekun to be in every area and they will monitor the movement of these people (okada riders).”

Speaking on the 2023 presidency, George said ideally, the PDP should zone the ticket to the south-east.

He added that if Bola Tinubu, a national leader of the All Progressives Congress (APC), should contest the election, then he would challenge him in the race.

George described a Tinubu presidency as disruptive, vowing to denounce his citizenship if the APC leader emerged as president.

“I had said it before that ideally, from our party, once it comes back to the South, it must go to the South-East…because they have never had it, but if the name Tinubu pops up in the APC, I would go all out to contest with him,” he said.

“Let us get out there because it would be the greatest disservice for our nation to have him contest as a presidential candidate.

“It would be the most illogical and most disruptive issue to have him (Tinubu) elected as President. If this happens, I will disown Nigeria to take the citizenship of Togo or any other country.”

On the widespread insecurity across the country, George said sacking the service chiefs would not put an end to the problem.

According to him, insurgency is as a result of “mistrust between people of different faiths and tribes”.

“Nigerians are now getting involved, is it the problems of service chiefs that is responsible for all these? What we have right now is the insurgency largely as a result of mistrust between people of different faiths and tribes,” he said.

“The service chief is just one man and a tree does not make a forest. It does not mean that if you change one man all is well.

“The issue is a collective responsibility. Their loyalty to the country must outshine everything they think of.”

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Conduct fresh election in Bayelsa, APC writes INEC



The All Progressives Congress (APC) has asked the Independent National Electoral Commission (INEC) to conduct a fresh governorship election in Bayelsa state. 

The supreme court had nullified the election of David Lyon, candidate of the APC who was declared winner of the election in the state in November.

The apex court asked INEC to issue certificates of return to candidates of the party with the next highest number of lawful votes and with the required constitutional geographical spread in the election, and on Friday, the commission declared Douye Diri of the Peoples Democratic Party (PDP) as the governor-elect. 

But in a letter, Adams Oshiomhole, chairman of the APC, told INEC that Diri did not meet the requirement and that a fresh election should hold.

‘‘In the said judgement of the Supreme Court, the candidature of our governorship and deputy governorship candidates were nullified and the commission was ordered to issue fresh certificate of returns with the highest number of votes and with the required geographical spread,” the letter read.

‘’It is however to be noted that the Supreme Court did not void the votes that our party polled at the election and the implication of this is that the votes of the All Progressives Congress must be reckoned with in determining whether any other candidate polled majority of lawful votes cast in one-quarter of at least two thirds majority of the state.

‘‘We have reviewed the judgement of the Supreme Court and we are of the firm opinion that the candidates of the Peoples Democratic Party cannot be issued certificate of return and or sworn in as the Governor and Deputy Governor of Bayelsa State respectively.

‘‘We are aware of that section 179(1)(b) of the 1999 constitution of the Federal Republic of Nigeria mandatorily requires a candidate for an election to the office of governor of a state to have not less than one quarter of the votes cast at the election in each of at least two thirds of all the local government areas in the state before the candidate can be deemed to have been duly elected as the Governor of the State. This mandatory requirement was affirmed by the supreme court in the judgement under reference.

“From the results announced and duly published by the commission, it is clear that no candidates meet this mandatory constitutional requirement, including the candidates of the Peoples Democratic Party who only managed to poll one quarter of the votes cast in only five local government areas.

“The candidate of the Peoples Democratic Party or any other candidate whatsoever, none satisfies the requirement of one quarter of the votes cast in at least 2/3 of the local government areas in the state as required by the supreme court judgement further request that a fresh election be conducted by the commission for the office of the Executive Governor of Bayelsa State.”

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