. C’ttee sent out perm sec
Six hundred and forty three million [N643 million] was approved by embattled Minister of Aviation Ms Stella Oduah for the purchase of 54 vehicles by the Nigeria Civil Aviation Authority (NCAA) even though the 2013 Appropriation Act passed by the National Assembly and signed into law by the President provided two hundred and forty million [N240 million] to purchase 25 operational vehicles.
This revelation was made at the House of Representatives investigative hearing in Abuja yesterday on NCAA’s purchase of two armoured cars worth N255 million for Oduah’s personal use.
NCAA’s former Acting Managing Director Joyce Nkemakalom, made the revelations at the committee’s sitting.
NCAA’s 2013 budget obtainedby Daily Trust shows that provisions were made for the purchase of operational vehicles that include 5 Toyota pick-up Hilux, 10 Toyota Corollas, 5 Toyota Landcruisers, 3 Toyota Hiace buses and 2 security inspection vehicles at a cost of N240 million.
The Bureau for Public Procurement (BPP), which certifies contracts for adhering to due process, also said yesterday that it had no knowledge of the armoured vehicles’ purchase, contrary to NCAA’s claims.
BPP’s representative Ayo Adedibe told the House Committee on Aviation which is investigating the matter that the transaction did not come to its notice, therefore the agency could not have been involved in it. He said the act provides that any financial transaction involving such huge sums can only be approved by the Federal Executive Council and not a minister. The aviation committee itself said it had rejected a proposal for the purchase of two armoured vehicles by the NCAA during its budget defence.
In his submission to the committee, Nkemakalom who is NCAA’s Director of Airspace Standard said they got an approval from Oduah in April this year to purchase 29 additional operational vehicles which is beyond what was appropriated by the National Assembly.
He said after the approval of NCAA’s 2013 budget in December last year, the agency felt there was need for additional vehicles and requested the minister to approve additional ones on April 15 this year, which she did.
The letter of approval submitted by the director showed that the minister approved N70 million for each of the two armoured BMW cars making it N140 million, but he said in his presentation that they were purchased at N127.5 million each, totalling over N255 million.
The ministerial tender’s board is empowered by law to approve contracts of not more than N100 million. But in this case, Oduah approved N443 million contracts for additional 29 vehicles. The ex-acting DG however said the purchase was made on a lease financing agreement to be paid in 36 months. However, the committee said this also has violated provisions of the constitution.
He said the companies involved are Metropolitan Motors and Coscharis Nigeria Limited and the banks that bided for the contract were First Bank Plc, Stanbic IBTC and Union Bank, but First Bank later emerged the winner. He also said in his presentation that the bidding was advertised in national dailies. “We did all the necessary things and followed due process in the transaction. We sought for the minister’s approval on April 5 through a letter and she approved it on April 15,” he said.
The real drama started after his presentation when committee members began to ask questions to which the former acting DG did not answer satisfactorily.
Members had initially requested the substantive DG Fola Akinkuotu to explain to the committee what led to the purchase of the armoured cars. But he said he was not in office as at the time the transaction was done and called on the ex-acting DG to brief the committee.
Chairman of the committee Rep Nkiruka Onyejeocha (PDP, Abia) said after his presentation that “what I noticed is that the approval was from aviation minister and not the National Assembly. No money should be spent without approval from us.”
Members of the committee who were visibly angry observed that NCAA has been parading the rejected budget as the approved one, saying there could not be two budgets operating at the same time. They berated the ex-acting DG and demanded to know the media outfits that carried the advertisements.
They also wondered how armoured cars would be used in inspecting perimeter fences, saying it was a venture embarked upon to waste public funds and demanded to know why.
However, Nkemakalom who appeared rather confused did not convince the committee in his response. Rather he tried to dodge it by saying that he be allowed to call on the director of finance in the NCAA to explain some technicalities involved. The committee not only turned down the request but also queried him for trying to shift responsibility to another official when he was the chief accounting officer of the agency at the time of the transaction.
Earlier in the proceedings, the committee walked out the permanent secretary in the aviation ministry George Ossi, who represented Oduah. He told the committee that Oduah would have been present at the hearing but had to travel to Israel with President Jonathan for the signing of the BASA agreement in that country. Oduah sent a letter to the committee apologizing for her absence but mandated Ossi to represent her, a request members rejected and ordered that she appear before it on Tuesday.
Ossi informed members that Oduah might not be able to make it on Tuesday as the BASA agreement is to be signed on Monday after which she would engage in other activities. The committee rejected his explanation and said that “We have ruled and even if it means she would take a chartered flight back home, let her do it.” After he was excused, the perm- sec along with the Director of Accident Investigation Bureau went to another seat to watch proceedings, but the members told him to leave the venue entirely.
A representative of Coscharis where the two armoured cars were said to have been purchased however told the committee that the company’s chairman and MD were out of town, and he could not make any presentation on their behalf due to the “weighty nature of the matter.” He requested for another date, which was granted.
Other stakeholders summoned by the committee include the Finance Ministry, Nigeria Customs Service and First Bank, but these agencies did not send any representatives. The committee asked all of them to appear before it on Tuesday next week.
The committee was mandated by the House to investigate the matter within one week following adoption of a motion moved by Minority Whip Samson Osagie (APC, Edo).
Source: Daily Trust
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