U.S., others to support action
President Muhammadu Buhari sent yesterday a notice to treasury
looters in the Goodluck Jonathan administration – we are coming after
you.
He vowed to recover billions of
dollars stolen from the treasury.
Buhari spoke during his meeting - the first – with governors of the 36 states at the Presidential Villa in Abuja.
He told them: “There are
financial
and administrative instructions in every government parastatal and
agency. But all these were thrown to the dogs in the past. Honestly, our
problems are great, but we will do our best to surmount them.
“The next three months may be hard, but billions of dollars can be recovered, and we will do our best.”
The President explained that his administration had received firm assurances of cooperation from the
United States and other countries on the recovery and repatriation of
funds stolen from Nigeria.
He stated this at another forum – his meeting with Northern
Traditional Rulers Council led by the Sultan of Sokoto, Alhaji Muhammadu
Sa’ad Abubakar – also yesterday.
The statement by his Special Adviser on
Media
and Publicity, Femi Adesina quoted the president as saying: “In the
next three months, our administration will be busy getting those facts
and the figures to help us recover our stolen funds in foreign
countries.’’
Citing the report submitted by the Ahmed Joda-led transition
committee, Buhari said many revenue-generating institutions in the
country have been compromised, leading to a weak economy.
Expressing surprise that the governors had tolerated the atrocities allegedly committed with the Excess Crude
Account (ECA) since 2011, the President promised to tackle the issue decisively.
For him, the days of impunity, lack of accountability, and fiscal recklessness in the
management of national resources are over. Systemic leakages will be stopped, he added.
The President said
payment
of national revenue into any account other than the Federation
Account is an abuse of the Constitution, adding that what he heard was
going on in many agencies and corporations, particularly the NNPC, was
clearly illegal.
On the refund of monies
spent
on federal projects by state governments, the President assured the
governors that the Federal Government will pay, but insisted that due
process must be followed.
He promised special assistance for the three North Eastern states badly affected by the Boko Haram insurgency.
Buhari also said that a comprehensive statement on the economic and
financial situation inherited by his administration will be made
available within the next four weeks.
He said: “We will try and put the
system
back into the right position. What happened in the 2nd Republic has
apparently happened again, and even worse, but we will restore sanity to
the system.”
On an immediate lifeline for states that owe months of salaries,
Buhari said a committee headed by Vice President Yemi Osinbajo will look
at the ECA and see what can be shared immediately.
The governors presented a six-point wish-list to the President. These are:
•obedience of extant Supreme Court ruling that all monies go into the Consolidated Federation Account;
•an order from the President that all revenue generating agencies must pay into the Consolidated Federation Account;
•review of the Revenue Allocation Formula;
•refund of the monies expended by states on federal projects;
•a special consideration for the three states of the North East under Boko Haram infestation; and
•full details of the amounts that accrued into the Excess Crude
Account from 2011, and how the money miraculously shrank without
official sharing.
Nigeria Governors Forum (NGF) Chairman Abdulaziz Yari, who is also
Zamfara State governor, spoke to reporters along with Bauchi
State Governor Mohammed Abubakar and Abia State Governor, Okezie
Ikpeazu, at the end of the meeting.
The proposals given to the President, he said, include reimbursement
of some projects sums embarked upon by states instead of requesting for
the bailout, extension of repayment periods of loans’ balances owed by
states from durations normally between four and seven years to 20 years.
Opposing the operation of the ECA, he said governors wanted first
line charges stopped and revenue such as the $1.6 billion tax paid by
the Liquified Natural Gas (LNG), be paid into the Federation Account.
Yari recalled that before the NGF was divided, $10.3 billion was left
in the ECA but only $2.6 billion was left even though sharing had been
stopped since May 2013.
He said the meeting was not really about a bailout but how the states
and the Federal Government can overcome their financial crises.
Yari said: “We proposed to Mr. President that instead of being given
bailout, that the funds for jobs, projects that were done by the states
should be refunded by the federal government. If the affected states
are able to get the money owed them released, they can be able to start
paying salaries without bail out.
“Secondly, we also brought to his notice that most of the loans owed
by the state, some between four and seven years, if it can be stretched
to 20 years, the states willl be relieved and would be able to continue
other businesses, including paying salaries.
“Also, the first charge money that are paid by LNG about $1.6
billion, we requested that instead of paying to the federal government,
we requested that it be paid to the federation account so that it could
be shared amongst the three tiers of government, so that we can also get
money to do one or two things.
“Also, we urged the President to follow the Constitution when it
comes to money sharing, Section 80 is very clear. That all monies should
go to the Consolidated Revenue Account for the purpose; no account
should be kept anywhere because this is what the constitution says.
“And Section 162 also is explanatory, that whatever is going to
happen to the money will be after sharing to the three tiers of
government. That the NNPC or any other revenue generating agency should
not have the first line charges.
“So we met the President and we shared knowledge from what was
gathered from the Transition Management committee, the findings and what
is on ground. We also briefed him on the condition of our states, and
we all appreciated that something has to be done and going forward, we
are going to ensure that most of the states and the federal government
that have not paid salaries, that something will be on ground in the
next couple of days.
On Boko Haram, Yari said: “We also discussed the issue of frontline
states as regards insurgency Borno, Yobe and Adamawa. The President
briefed us on his meeting with the G7 countries which have agreed to
support the Nigerian government to fight the insurgency.
“Also, it was noted that the insurgency has done so much damage to our infrastructure – schools, hospitals and bridges.
“The President said he has put a committee in place to assess the
situation and he has also made a commitment that he will not request
money from any G7 country but support to rebuild the destroyed
infrastructure.
The governors kicked against the timing of the dismantling of military check points.
“We also raised concern about the dismantling of military checkpoints
on the highways. We are saying it is not timely. But Mr. President
cited some incidents at the military checkpoints but where necessary, he
has given the Chief of Army Staff the permission that they can
continue, especially in the North, Southeast and the frontline states.”
