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Babangida’s state stinks
By HENRY UMAHI [umahi@sunnewsonline.come] Saturday, June 27, 2009


Niger State, the self-acclaimed Power State made history recently. It became the first and only state that had three speakers in one week. First, was Hon Mohammed Alkali as speaker. Second, Hon Idris Ndako took over. Third, Hon Umar MarAli, who currently occupies the seat, was selected.

However, while members of the camp of the state governor, Alhaji Babangida Aliyu and the opposition, believed to be led by former governor, Abdulkadir Kure, are celebrating their victory and counting their loss, as the case may be, what many may not know is that the root of the matter is a struggle for survival.

Saturday Sun gathered that the occupation of the post of speaker in Niger State has become an issue because of a petition before the state House of Assembly against the governor. The petition made damning allegations against the governor and demands that the House investigates the matter and take appropriate action.

Indeed, in the petition dated January 18, 209, Engineer Yahaya Mohmood attached volumes of documentary exhibits to prove his case. He pointedly stated that the misuse of “state resources by the Chief Servant, the governor of Niger State, and some officials of his government had reached an alarming state and is already the source of concern to our people,” adding: “Unless the House acts swiftly, our state is in the imminent danger of collapsing. I, therefore, urge you to conduct full scale investigation into the allegations contained in the attached petition.”

Similarly, a group, Eagle Eye Coalition, had petitioned the Economic and Financial Crimes Commission (EFCC) on what it called “ abuse of office and looting of public treasury by the government of Niger State through the office of the Chief of Staff to the governor and other cronies.” Dated October 16, 2008, the petition was signed by Musa Muhammadu.

Also, the Independent Corrupt Practices and other Related Offences Commission (ICPC) has been asked to look into the financial books of Governor Aliyu and some officials of his government. In a petition, Sheik Ibrahim Yusuf said that there is a “mass looting, abuse of office and flagrant disregard to public financial regulations” in the state. The petition is dated November 4, 2008.

Indeed, documentary evidence attached to the petition before the House is revealing. The governor, for instance, is alleged to have paid N500 million as rent for an official lodge. A memo from the office of the chief of staff to the governor to Governor Aliyu on this, which was dated January 18, 2008, reads: “Sequel to our discussion on the official residential accommodation of your humble self, you are requested to consider the release of N500m for the payment of rent for two years at N250m per fiscal year.”

The governor gave approval to this request the same day. The question many people in the state are asking is: What type of accommodation costs a whopping N250 million per year in Minna, Niger State?
Expenses made on security and other government activities also raise some eyebrows. In July 2008, for example, the total some of 400 million was requested and disbursed in eight days. Indeed, on July 2, a letter from the office of the chief of staff to the governor, requested the approval for the release of N100 million for “Government House activities and general security.” The memo to that effect read: “Mr. Governor, sir, kindly consider and approve the release of N100m for Government House activities and general security matter. Above is submitted for your kind approval.”

The governor approved the request the same day and the memo was sent to the commissioner for local government and chieftaincy affairs, who was asked to release N50 million of the sum, while the Ministry of Finance would release N50 million.
Five days after that, precisely on July 7, 2008, another letter from the office of the chief of staff requested the release of N100 million for Government House activities and general security matters. His letter read: “Mr. Governor, sir, kindly consider and approve the release of N100m for Government House activities and general security matters. Above is submitted for your kind approval.”

Governor Aliyu gave approval for the release of the money. The memo was sent to the permanent secretary, Ministry of Local Government with a note: “The HCF (honourable commissioner of finance) is on his way for a meeting in Abuja, as such he has directed that the copy of this approval is sent to you for your portion to be paid, that is 50 per cent of the approved amount.”
Another request for the release of N100 million was made on July 10, 2008, vide a memo to that effect. The memo also reads: “Mr. Governor, sir, kindly consider and approve the release of N100m for Government House activities and general security matters. Above is submitted for your kind approval.” This was also approved and released.

In August 2008, the sum of N400 million was requested and released within a space of 19 days for Government House activities and general security matters. The letter from the office of the chief of staff reads: “Chief Servant, sir, kindly consider and approve the release of N200m for Government House activities and general security matters. Above is submitted for your kind approval.” The letter got the governor’s approval.

On August 27, 2008, another request of N400 million was made and approval given by the governor. Fifty per cent of the money was paid with cheque no. 03817890 of August 28, 2008.
It is not only in the area of security and Government House activities that huge sums of money was spent. Also, N150 million was spent in one fell swoop for food items for selected government officials, political appointees and others in August 2008. In fact, on August 26, 2008, the office of the chief of staff made a request for N150 million to this effect. The letter to the governor on this read: “Mr. Governor, sir, it has been the tradition of government to distribute food items to Government House staff, political appointees, elder statesmen, religious organizations and some less privileged people in the state for the Ramadan fasting, which is fast approaching.

“In the light of the above, the Chief Servant is requested to kindly consider and approve the release of the following sum of money for purchase of the food items listed:
“(a) Members of the state assembly (N30 million); (b) The judiciary (N20 million); (c) Honourable commissioners (N19 million); (d) SSG/HOS/COS (N3 million); (e) 15 special advisers at N500,000 each (N7.5m); (f) 26 directors general at N250, 00 x 26 (N6.5m); (g) 82 senior special assistants at N150,000 (N12.3m); (h) 164 special assistants at N100,000 each (N16.4m); (i) 68 personal assistants at N50, 000 (N3.4m); (j) Emirs (N15m); (k) Imams (N5m); (l) Government House (N2m); (m) Others (presidential suite, police kitchen, main lodge) (N10m).

“Prayers: Mr. Governor is requested to kindly approve the release of N150, 000, 000 for the purpose as specified above.” Governor Aliyu gave approval the next day, August 28, 2008. The sum of N75 million of the amount was released the same day the governor approved with the cheque no 03017889.
The state government also spent huge sums of money on the election petitions cases going on in the state. Ordinarily, each individual politician, whose election is either being challenged or who is challenging the election of another politician is supposed to bear the cost of litigation. However, in Niger, lawyers handling these cases are paid from government’s coffers.

A letter from the office of the attorney general of the state and commissioner for justice, dated May 23, 2008, to the chief of staff asked for the release of N320 million for payment of lawyers and other sundry expenses. The letter, reads: “The chief servant has approved the following memos and directed they be implemented through your office according: “(1) 21/5/08: Fees for the engaged solicitors to handle local government election petition tribunal (N100m); (2): 21/5/08: Additional funding to judicial commission of inquiry (N100m); (3) 4/2/08: Outstanding approval for judicial commission of inquiry (N10m); (4) 24/4/08: Payment for engaged (SAN) in respect of Usman A, Usman (Eraise case) pending at High Court (N20m); (5) 21/5/08: Unpaid N10 million for an official jeep vehicle for chief judge (N10m) and (6) 21/5/08: Support to judicial officers of Niger State origin serving at federal level (N80m).”

An earlier letter to the governor asking for approval and release of N100 million for the engagement of lawyers to handle election petitions involving local government elections in May 2008 read: “The chief servant may recall that the local government election petitions tribunals in Niger State were inaugurated on Thursday, 10th April 2008 by the state chief judge.

“At the close of time for filling election petitions we received total of about 40 election petitions across the state against the elected chairmen and councillors from various local government areas.
“With the experience gathered from handling of current governorship and legislative houses elections and to ensure proper coordination of the cases, a legal team of about 30 lawyers from both private and public bar to handle the petitions was constituted with Messrs Summit Chambers as its secretariat.

“The legal team has since commenced action by filling memorandum of appearance and are currently preparing statements of defence and witnesses statement on oath to be filed.
“The solicitors, through the lead counsel headed by Summit Chambers, has asked for N200 million as their fees as usual which includes logistics, complexities of matter and other operational cost implication.
“The solicitor, however, will appreciate if 50 per cent of N200 million is approved and released for their immediate action.

“The chief servant is, therefore, requested to consider paragraph 5 and 6 above and approve N100 million being the 50 per cent of the total fees asked for and to direct the Ministry of Local Government and Chieftaincy Affairs, Chief of Staff and Justice to implement.”
Governor Aliyu approved this request on May 21, 2008 with the minute: “Para 7 above is approved for immediate implementation.”
The Eagle Eye Coalition, alarmed by some of these expenditures, had said, in its petition: “The serial nature of the approval and the acceleratd payment process of such funds give more room for suspicion than the purpose it was expected to serve.”

The group contended: “It is, indeed, difficult and hard to comprehend why all these expenses were done without proper and detailed explanation. One pertinent and fundamental issue that deserves investigation is to find out whether all these expenditures have been appropriated in the Niger State budget of 2008 as no governor, under section 124 of the 1999 constitution, can spend a kobo without the approval of the state House of Assembly. How much can a governor approve without recourse to the state executive council?”
Still talking about expenses, documents showed that the state once spent N55 million to stage a rally to mark the first anniversary and Democracy Day in Niger State. Indeed, the earlier request was N177 million, which was cut down to N55 million.

A letter from the office of the chief of staff requesting the release of the funds and dated May 18, 2008 stated: “The chief servant, sir, further to your directive, the anniversary committee has met several times to brainstorm on submissions for events to mark the Democracy Day and first anniversary celebrations of the present administration in Niger State. The programme of events and budget are at back cover of file for your consideration and approval, please.

“From a whopping submission of N176, 938,663. 00 by the subcommittee, the Harmonization Committee has scaled down the budget for the whole event to N55,062, 050. 00. The chief servant is requested to consider the programme of events and the proposed budget and direct appropriately please.”
Governor Aliyu approved the request on May 20, 2008. Out of the N55 million, the Ministry of Local Government was asked to release N27, 531, 025, while the Ministry of Finance released the rest. In fact, a note on the letter, to the commissioner in charge of local government, reads: “Please, you are to release N27,531,025.00 while MOF (Ministry of Finance) will release the balance.

Niger State also spent N300 million, in 2007, to finance the activities of a judicial commission of inquiry, which sat for about seven months. A memo on this from the office of the commissioner for justice stated: “The judicial commission of inquiry was inaugurated by the Chief Servant on 7th December with the take-off grant of N100 million. On 4th February, 2008, the Chief Servant approved additional fund of N100 million to sustain its function hoping that it will wind up by 3rd May, 2007, having sat for four months. However, the chief servant extended their sitting period by three months from 21st April, 2008.

“The Chief Servant is, therefore, requested to consider paragraph 3 and 4 and approve N100 million to cover the extended period of three months…” The governor approved the letter on May 21, 2008.
Apart from huge expenditures, as stated above, there is a pattern in Niger State, where local government areas partly finance state government activities. It was gathered that in most of the spending 50 per cent usually comes from local government accounts.

This is why the Mohmood, in his petition to the House, stated: “Another areas where local government money was committed in financing elitist state activities uncovered was on 21st May, 2008 and 20th June, 2008 where N55million and N11million were used to finance first anniversary of the chief servant and celebrate his victory at the lower state election tribunal respectively,” adding: “It is also discovered that the Chief Servant has made it a common practice to use local government funds to prosecute his presidential ambition through lectures and seminars across the country. On 8th July, 2008, N79, 859,114 was used to finance similar adventure, 50 per cent was local government money.”
Indeed, Saturday Sun discovered from most of the notes made on request for the release of funds that the Ministry of Local Government and Chieftaincy Affairs are always asked to provide 50 per cent of expenses while the Ministry of Finance provides the balance.

Meanwhile, it appears that the debt profile of the state is increasing. For one, in 2008, the state obtained a N6 billion bond to finance infrastructure development. A letter on the bond from the office of the commissioner for finance to the minister of finance, dated December 12, 2008, stated: “The Niger State government of Nigeria is the beneficiary of a bond amount of N6,000,000, 000. 00 (six billion naira only) being arranged by Zenith Bank Limited for the purpose of infrastructure development in Niger State.

“The Niger State government hereby gives to the Federal Ministry of Finance an irrevocable standing payment order (ISPO) to deduct from the state’s statutory allocation the principal sum and interest (coupon) as per the attached schedule and pay same to the account of Zenith Trust Company Ltd/Niger State Infrastructure Development Bond account No 6013808602.”

The payment of this loan is expected to terminate on December 31, 1013. Payment schedule is as follows: Monthly deduction is N142, 377, 502. 73, for a tenor of 60 months or five years. The interest on the loan is 14 per cent. Payment for the bond commenced on January 31, 2009. By the schedule, Niger State would have, by now, paid N854 million.

The state government has also taken other loans. A computation of some of the loans by the government, in May 2008, indicates: N1. 1 billion loan for General M. I. Wushishi Housing Estate, which commenced on April 2008. The loan is from Zenith Bank Plc. There is also a N5.1 billion being SNWCOU Group multi-purpose loan for hospitals, rural electrification and pipe-borne water. The loan commenced in April 2008. Also, the state borrowed N340 million for the purchase of a transformer. It commenced in April 2008.
Other loans include N600 million facility for the Ministry of Information, from Inland Bank; N1.2 billion facility for NSTA lease finance from Equity Bank Plc; N530 million facility for Minna New market, from Unity Bank, among others.
 

 

 


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