SERAP wins round one in battle to get details of failed Chinese $460m Abuja CCTV project

There is prospect Nigerians keen on knowing details of spending
of the $460 million loan obtained in 2010 from China to fund the
apparently failed Abuja Closed-Circuit Television (CCTV) project,
the names of contractors who collected money, and why Nigeria is
re-paying the loan, may soon have some answers, as Socio-Economic
Rights and Accountability Project (SERAP) has won the latest round
in the legal battle to compel the Federal Government to disclose
these details.

Justice Anwuri Ichegbuo Chikere of the Federal High Court, Abuja
last week granted leave clearing the way for SERAP to advance its
case to compel Mrs Zainab Ahmed, Minister of Finance, Budget and
National Planning to disclose details of payment of the $460
Chinese loan to contractors, and whether the sum of N1.5 billion
paid in 2010 for the failed contract to construct the headquarters
of the Code of Conduct Bureau (CCB) was part of another Chinese
loan.

Justice Chikere, in granting leave, stated: “After going through
the Application filed by SERAP supported by 7 paragraphs Affidavit,
with supporting exhibits, statement of facts, and verifying
affidavits and written address in support, leave is hereby granted
for SERAP to pursue its suit.”

Justice Chikere granted the order following the argument in
court on an exparte motion by SERAP’s counsel Ms Atinuke Adejuyigbe
and Mr Opeyemi Owolabi. The suit is adjourned to Monday, 24th
February, 2020 for hearing of the substantive suit.

SERAP had in the suit number FHC/ABJ/CS/1447/2019 filed last
month sought: “an order for leave to apply for judicial review and
an order of mandamus to direct and/or compel the Minister of
Finance to disclose the details of local companies and Chinese
contractors that have received funds from the $460 million loan for
the finance of the failed Abuja CCTV project as well as details of
the status of implementation of the project.”

SERAP is also “seeking an order of mandamus to direct and compel
the Minister of Finance to disclose whether the sum of N1.5 billion
Naira paid in 2010 for the failed project meant to construct the
headquarters of the CCB was part of another loan obtained from
China.”

The suit followed SERAP’s Freedom of Information (FoI) request
dated 25 October 2019 to Mrs Ahmed, expressing: “concern that
Nigerians are being made to pay for the Chinese loans for failed
and abandoned projects, and for which they have not benefited in
any way, shape or form.”

The suit read in part: “Transparency in the spending of Chinese
loans is good for everyone, as this would help to increase the
effectiveness, legitimacy, and contribution of the loans to the
development of public goods and services, and the general public
interests.”

“Democracy cannot flourish if governments operate in secrecy.
The citizens are entitled to know how the commonwealth is being
utilized, managed and administered in a democratic setting.”

The FoI request read in part: “As trustee of public funds, SERAP
contends that your Ministry has a legal duty to disclose details of
spending on the $460 million Abuja CCTV project and N1.5 billion
for the construction of CCB headquarters, to the beneficiaries
(Nigerians) of the trust, if and when called upon to do so. Any
failure or refusal to provide the information will also be clearly
inconsistent with the letter and spirit of the FoI Act.”

“Servicing Chinese loans for failed projects is double jeopardy
for Nigerians—they can neither see nor benefit from the projects;
yet, they are made to pay both the loans and the accrued
interests.”

“The $460 million loan got for the failed Abuja CCTV project and
the N1.5 billion for the construction of CCB headquarters, which
may be part of another Chinese loan, may have been mismanaged or
stolen, and in any case, remain unaccounted for.”

“As a key agency of government, the Ministry of Finance, Budget
and National Planning has a sacred duty to ensure that the
country’s loans including those obtained from China are
transparently and accountably used solely for the purposes for
which the loans are obtained, and for the effective development of
public goods and services as well as the general public
interests.”

Subscribe ToNairalaw News!