$9.6b Judgment Debt: Contract Designed To Fail-AGF, Finance Minister, CBN Governor

The Attorney-General of the Federation and Minister of Justice,
Mallam Abubakar Malami (SAN) has said the gas contract which led to
a $9.6billion judgment against Nigeria, was designed to fail.

He said the Federal Ministry of Petroleum Resources signed and
executed a contract for the supply of gas products without
involving OICs, NPDC and NNPC as a party to that agreement.

Also, the Minister of Finance, Hajiya Zainab Ahmed described the
damages awarded by a UK Court as unreasonable, excessive and
exorbitant.

On his part, the Governor of Central Bank of Nigeria, Godwin
Emefiele, said there were no records to show that the contractor,
Process and Industrial Developments Ltd. (P&ID) has invested
close to about $40 million in the project.

The three government officials made the clarifications at a
briefing in Abuja with the Minister of Information and Culture,
Alh. Lai Mohammed.

Malami, who was the first to speak, said there were inherent
elements of hitches in the contract.

He said: “My colleague, the Hon. Minister of Information and
Culture has captured the background relating to the contract that
gave rise to the award in contention. And he has indeed intimated
that the president has indeed directed that full scale
investigation should be carried out relating to the circumstance
that gave rise to the contract in its own right, and the eventual
award as well.

“The criminal investigation relating thereto, has indeed become
necessary in view of the certain antecedent relating to the
contract in its own right and the eventual award.

“Insinuations abound that the contract was originally designed
to fail fundamentally against the background of the fact that there
were inherent element of hitches that were designed into it right
from conception.

“When I talk of inherent element of hitches, I want to draw
attention first to the fact that by the composition of the parties
to the agreement there were two parties – the P&ID which is the
company and the Federal Ministry of Petroleum Resources.

“As you rightly know very well, Federal Ministry of Petroleum
Resources is not a producer of gas. Gas products are produced by
IOCs (International Oil Companies), Nigerian National Petroleum
Corporation (NNPC).

“So when you conceived, signed and executed a contract for the
supply of gas products without involving IOCs, NPDC, and NNPC as a
party to that agreement, you know very well that there are a lot of
questions to answer arising from the execution of that
agreement.

“These among others gave rise to the insinuations or perhaps
certain criminal and fraudulent conspiracies right from conception
of the agreement.

“The fact remains that you cannot sign an agreement to provide a
product that you do not have.

“The Federal Ministry of Petroleum Resources does not have oil
wells, marginal fields or gas product so how can the ministry sign
an agreement without bringing on board those that are the custodian
or the producers of the gas products with the purpose of supply of
gas products.

“It is against the background of this appreciation ab–initio
that we feel that there is need for comprehensive criminal
investigation for the purpose of identifying what are the
undertones, whither they are indeed criminal or they are not.

“So, within the context of this appreciation that the contract
was originally designed not to succeed, that the contract was
entered into with the parties that are originally not entitled
execute or sign the agreement that the Nigerian state was subjected
to unnecessary economic sabotage right from the conception of the
agreement down to the execution level.

“I think it is not out of place to embark on a whole scale
criminal investigation with the purpose of identifying whither
there exist element of local and international conspiracy for the
purpose of subjecting the Nigerian state to serious economic loss
that we are apparently subjected to arising from the award that has
resulted from the purported breach of the agreement.

On her part, the Minister of Finance, Budget and National
Planning, Hajiya Zainab Ahmed, said: “This matter that has brought
us here today is a very, very weighty one.

“An award of $9.6 billion is equivalent to N3.5 trillion. N3.5
trillion in our annual budget will be covering for us the personnel
cost which is about N3.2 trillion and some.

“So this award is unreasonable, excessive and exorbitant. It is
also unfair and it is an assault on each and every Nigerian.

“It is beyond trying to compensate for a commercial interest. It
is an assault on each and every Nigerian.

“For us in the Ministry of Finance, Budget and National
Planning, we take comfort from the efforts that so far had been put
in place by the Attorney-General of the Federation and Minister of
Justice to ensure that this judgment is set aside because the
consequences will be unpleasant for each and every Nigerian.

“And I hope our brothers and sisters in the press will help
fight the cause of our country.

“We will be doing that not just for this administration but for
our children and children. So it is time for us all to be up in
arms to make sure that we are not unfairly treated as a
people.”

The Governor of Central Bank of Nigeria (CBN), Mr. Godwin
Emefiele, said” “There is no evidence to show that a foreign
company who came into this country deserved to be awarded $9.6
billion without investing a cent in Nigeria.

Emefiele said: “The Minister for Information and Culture, the
Attorney-General and Minister of Finance, Budget and Planning have
provided some very, very strong context on this issue of an alleged
and put bluntly fraudulent contract between the Ministry of
Petroleum Resources and P&ID.

“We have heard and also read in some media that P&ID or the
contractor in this case had mentioned that it had invested close to
about $40 million in the project.

“On our part as the Central Bank of Nigeria (CBN), we note that
P&ID is a foreign company. As a foreign company, if you are
investing either in a contract or a project in Nigeria, there are
various options you will adopt in bringing in your investment.

“If you are bringing in capital, in which case you are bringing
in the money, you will fill from A and you will also collect a
certificate of capital importation.

“If you are bringing in machine or assets to execute your
contract, then in this case you will fill form M and also collect a
certificate of capital importation to prove that you actually
brought in money.

“We have gone through our records, we do not have any
information in our records to show that this company brought in one
cent into this country and we have accordingly written to the
Economic and Financial Crime Commission (EFCC), and the
Intelligence Department of the Nigeria Police that are currently
investigating this matter.

“I think just following from what the honorable Minister for
Finance and Budget and Planning had said, time has come when
Nigerians must rise against incidence of people alleging to be
doing contract in Nigeria without investing a penny, all with an
intention to defraud our country.

“The money that they want to take is our own commonwealth that
belongs to all of us. It is very sad that you will find some
Nigerian collaborators with some foreign interest under bourgeois
intensions trying to defraud this country.

“If they have proof of their investment, we are calling on them
to please come forward and provide us proof of how they invested
money in this project.

“You have heard the Attorney-General talking about the fact that
it was a contract that was meant to fail ab-nitio from the
beginning and I think, we read even some Nigerian media
organizations castigating and said Nigeria should pay.

“This is time for us to be patriotic and rise. If you find a
fault in what Nigerian, a governor, a minister or anybody has done
stand up and say it but not for you to collaborate and begin to
join forces with people who want to defraud the country.

“I am saying from our part as Central Bank of Nigeria, we do not
have any information in our records, no evidence to show that a
foreign company who came into this country deserved to be awarded
$9.6 billion without investing a cent in Nigeria.”

Police Boss Posts Ahmad Abdulrahman as CP
Enugu
​
· as IGP orders the new CP to restore sanity in the State

The Inspector-General of Police, IGP M.A Adamu, NPM, mni, has
ordered the immediate posting of CP Ahmad Abdulrahman to Enugu
State Command as Commissioner of Police in charge of the State. He
takes over from CP Suleiman Balarabe, who has been redeployed to
the Force Intelligence Bureau, FCID, Abuja, as the CP in-charge of
Intelligence.

CP Ahmad Abdulrahman holds double Masters Degrees – one in
Criminal Justice and another in Conflict, Peace & Strategic
Studies, both from the Kaduna State University. A graduate of
Political Science & Administration from the University of
Sokoto, CP Ahmad also holds a Post Graduate Certificate in
Corruption Studies from the University of Hong Kong.

Until his recent posting, CP Ahmad was the Commissioner of
Police in charge of Intelligence at the FCID, Abuja. He has held
many command positions across the Federation, viz. Kaduna, Bayelsa
and Ekiti Commands. His posting as the CP Enugu State is predicated
upon his action-oriented approach to work, his track record of
outstanding leadership and interpersonal relations.

The IGP has charged the CP to bring to bear his wealth of
experience, leveraging on the Force policy on Community Policing
and Intelligence-driven crime fighting strategies towards
overhauling the security architecture of the coal-rich State. The
IGP also enjoins the people of the State to partner with the Police
and accord the CP maximum cooperation in his efforts at revamping
the security situation in the State.

The posting is with immediate effect.

DCP FRANK MBA
FORCE PUBLIC RELATIONS OFFICER
FORCE HEADQUARTERS