NPA Terminates Intels Pilotage Contract Over Failure To Remit $145.84m

After about two years of bickering, the Nigerian Ports Authority
(NPA) has terminated its boats pilotage monitoring and supervision
agreement with Intels Nigeria Limited. Intels is a leading
integrated logistics and facilities services provider in the
maritime and oil and gas logistics sectors of the economy.

In a letter dated March 29, 2019, addressed to the Managing
Director of Intels, which was obtained by THISDAY, not
Nairalaw NPA said the decision to revoke the contract was
taken in line with Article 8 (C) of its agreement with Intels,
dated February 11, 2011.

The letter signed by NPA’s Assistant General Manager, Legal
Services, read in part, “We refer to the agreement dated 11th
February, 2011 and 24th August, 2018 between the NPA and Intels
Nigeria Limited for the monitoring and supervision of oil industry
related activities in the compulsory pilotage districts of the
authority (service boat operator).

“The NPA (the principal ) hereby serves on you Intels Nigeria
Limited, (the Managing agent) notice of termination in line with
article 8 (C) of its agreement with Intels, dated 11th February,
2011, which said notice shall expire three months from the date of
this notice of termination.”

In a letter dated March 27, 2019, addressed to the Managing
Director of NPA, Hadiza Bala-Usman, NPA’s Executive Director,
Finance and Administration, Mohammed Bello-Koko, had accused Intels
of non-compliance with the presidential directive and circular on
implementation of Treasury Single Account (TSA) and Article 4.1 of
the executed supplemental agreement by refusing to remit the sum of
$145, 849,309.33 being outstanding service boat revenue generated
from November 1, 2017 to October 31, 2018.

“In a letter dated March 6, 2019, Intels alluded to the
following as defence for its refusal to comply with terms of
executed agreement: that the outstanding revenue of $145. 84
million, which covers the period of November 1, 2017 to October 31,
2018, is not true, that its pledge to pay the sum of $55.70 million
as revenue for period from November 1, 2017 to March 31, 2019 is
predicated on authority’s payment of $19.67 million. And added that
the authority’s fulfilment of the payment is a prerequisite for the
reciprocity of rights and obligations of each party in executed
agreement.

“That the unreconciled amount of $145. 84 million included
revenue expected from both clients under Intels agency and other
agents.”

On NPA’s reaction to Intels assertions, Bello-Koko said NPA and
Intels had jointly reconciled service boats transactions covering
the period of November 1, 2017 to July 31, 2019.

He said, “That the reconciled and jointly signed report covered
November 1, 2017 to March 31, 2018 and the associated outstanding
reconciled revenue is $55.702 million. However, Intels persistently
refused to transfer the agreed amount to TSA, instead, it
introduced the concept of reciprocity, which is alien to the
executed agreement.

“That the jointly reconciled report for the period of April 1 to
July 31, 2018 has been submitted to Intels for signature. That this
has not been signed till date. And the outstanding revenue for the
period is $49.008 million, which ought to have been transferred to
TSA by Intels.”

He added, “That the period from August 1 to October 31, 2018 was
reconciled by the authority and forwarded to Intels for review to
enable joint agreement. However, Intels has not responded and this
has held down further reconciliation. The supplemental agreement
stipulates that reconciliation should be monthly but the apparent
delay to speed up the exercise appears inconsistent with
agreement.

“That the executed supplemental agreement does not provide that
revenue transfer to TSA be dependent on conclusion of
reconciliation, it is worrisome that an average of 80 percent of
revenue is being withheld by Intels while a meagre 20 percent is
being paid to TSA. The authority by its letter of March 1, 2019,
has given Interls a Grace period of five days within which to remit
the outstanding revenue to TSA. However, it is worrisome that about
20 days after no payment was made as requested.”

THISDAY exclusively gathered that it was on this ground that NPA
decided to cancel the authority’s agreement with Intels Nigeria
Limited.

This decision according a usually reliable source should have
come much earlier but had wait to avoid giving the termination
political colouration.

The source also admitted that NPA is owing Intels about $600
million which it intends to pay from the revenue source.

On how NPA intends to proceed with revenue collection going
forward, the source stated that it was going to go through the
process of engaging another company when the termination process is
fully executed.

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UBEC Chairman: Police Eliminate ‘Shaho’ the Kidnap
Kingpin, Nab Gang Members

• Seven other kidnappers arrested in the last 24 Hours

• Four AK 47 Rifles, 26 Live Ammunition recovered

A kidnapping kingpin and notorious armed robber, who recently
masterminded the kidnap of the UBEC Chairman along Abuja- Kaduna
road is dead. The suspect, one Sumaila Sule, alias SHAHO, male
(estimated be in his mid thirties), a native of Rijana village in
Kachia LGA of Kaduna state is one of the most vicious and most
wanted kidnappers that has been terrorizing citizens in Kaduna and
its environs. He died in the early hours of 18th May, 2019
following multiple bullet wounds he sustained during a deadly
shootout with police operatives attached to Operation Puff
Adder.

The shootout took place in the evening of 17th May 2019, at the
outskirts of Rijana village. The police operatives, in line with
the mandate of Operation Puff Adder, were carrying out routine
surveillance and raid of suspected criminal hide-outs, when they
suddenly came under gun fire attack from a heavily armed criminal
gang. The police team fought back gallantly, repelling the attack
and eventually bringing SHAHO down, whilst his gang members fled.
SHAHO was rushed to hospital, where he eventually died the next
day.

Meanwhile, acting on information elicited from the suspect
before his death, police operatives, between the 18th and 19th of
May 2019, carried out sweeping follow-up operations at different
target locations. These coordinated operations led to the arrest of
four other members of SHAHO’s gang and the recovery of three (3) AK
47 rifles. The arrested gang members include: MUSA Hassan 26yrs,
Yau Umar 25yrs, Umar MUSA 22yrs and Muhammad SANI 28yrs , all males
and natives of Rijiana Village Kachia LGA Kaduna State. SHAHO and
his gang members have been on the radar of the intelligence
community for a while, as they have been implicated in several high
level kidnappings and other heinous crimes along Kaduna-Abuja road
and beyond.

In a similar vein, a combined team of Operation Puff Adder
operatives, comprising of the IGP Response Team, the Technical
Intelligence Unit, the Police Mobile Force and the Special Anti
Robbery Squad have arrested another set of kidnappers who have been
terrorizing citizens at Mubi axis of Adamawa state. One AK 47 rifle
and twenty six (26) rounds of live ammunition were recovered from
the gang.

The suspects arrested are: Umaru Ibrahim native of Yadi Buni,
Yobe State ; Abdul Maina native of Maiha Adamawa State and Mohammed
Abubakar native of Buni Yadi Yobe State. The suspects have all
confessed to participating in numerous kidnapping and armed robbery
operations within Adamawa State, including the kidnap and
collection of a ransom of seven million naira from one Mallam
Abdulahi Umoru of Hong L.G.A.

Investigations into these cases are on-going, while efforts
aimed at arresting other members of the gangs still at large are
being intensified.

While commending police operatives for their gallantry, as well
as selfless service to the nation and humanity, the Inspector
General of Police, IGP M.A Adamu NPM, mni has reassured Nigerians
that the war against crimes and criminality will soon be won. The
IGP called for continuous support for the police and other law
enforcement agencies, promising that the security agencies will not
rest on their oars till normalcy is restored in every part of
Nigeria.

DCP FRANK MBA
FORCE PUBLIC RELATIONS OFFICER
FORCE HEADQUARTERS
ABUJA