The Senate Wednesday set up an Ad-Hoc committee to investigate allegations of corruption in the Nigeria National Petroleum Corporation by the Minister of State for petroleum, Dr. Ibe Kachikwu.
Issues raised in a memo by the minister to President Muhammdu Buhari, which was leaked to the media, would be the subject of the investigation.
The Chairman of the Ad-Hoc committee is Senator Aliyu Wammako.
Kachikwu in the memo accused the NNPC boss, Mr Maikanti Baru, of practices that could jeopardise the Federal Government’s policies aimed at repositioning the petroleum industry.
The minister above accused the NNPC GMD of gross insubordination, sale of oil blocks with approval by the board of the NNPC, appointments and promotions in the corporation with being sensitive to the diversities in the country.
The senate agreed to wade in the matter following a motion on “Allegations of Corruption against NNPC Trading: Time to Conduct a Holistic Investigation sponsored by Chairman Senate Committee on Ethics and Privileges Sen. Sam Anyanwu during Wednesday’s plenary.
Anyanwu said that the NNPC Trading Limited was a business creation of the Nigeria National Petroleum Corporation “NNPC Trading is composed of the following outfits, Duke Oil; Hyson/Carlson (JV); NAP Oil (JV); and West Africa-Gas LTD (JV); “Duke Oil was incorporated in 1989 in Panama and therefore, does not pay tax in Nigeria; “Duke Oil was specially registered to play a dominant role in the trading of petroleum products especially crude oil trade in the international oil market several years ago.”
He said there was general lack of transparency and level playing field in favour of Duke Oil to lift products without payment as against its competitors in the sector. “This relationship has helped to greatly stifle the growth of indigenous companies operating in the sector,” Anyanwu said.
Contributing, Sen. Yusuf Yusuf (APC-Taraba) said when it came to NNPC, investigating just a part of it was not going to solve the problem. “We have tried with NNPC to come with records and they couldn’t. I support the motion and at the same time the holistic investigation of NNPC should go beyond the NNPC but other trading companies like Duke and others should also be investigated.
“Unless we do that, NNPC in the past 15 years have been above everybody in this country. They think they are a government to themselves and so we have to take the bull by the horns since we want to fight corruption, we must fight it in its entirety,” he said.
The President of the Senate, Dr Bukola Saraki thereafter constituted an ad hoc committee to investigate the matter and report back to the senate as soon as possible. “The committee should take the issue seriously “as it is a matter that really go to the roots of what we have committed to Nigerians in stamping out- corruption”. “We hope that the quality of the report will continue to meet the standard we have set in this 8th senate.”
The committee is to be headed by Sen. Aliyu Wammako (APC-Zamfara) while the members included Senators Tayo Alasoadura (APC-Ondo), Kabiru Marafa (APC-Zamfara), Albert Bassey (PDP-Akwa-Ibom), Sam Anyanwu (PDP-Imo), Ahmed Ogembe (PDP-Kogi). Others are Senators Chukwuka Utazi (PDP-Enugu), Rose Oko (PDP-Cross River) and Babakaka Garbai (APC-Borno).
In the letter, dated August 30, which was said to have been leaked to the public, Dr. Kachikwu complained to the President over what he considers as insubordination by the NNPC boss.
An alleged copy of the letter which is making the rounds on the Internet indicates that the minister is also unhappy with the manner recent changes in the NNPC were handled and accused Dr. Baru of humiliating the board.
Dated a day after the NNPC announced a massive shakeup which affected 55 management staff, the Minister said it wasn’t the first time changes would be made without the Board’s input.
“It is in the spirit of service and absolute belief in your leadership and integrity that I have, after one year of tolerating these disrespectful and humiliating conducts by the GMD, decided to bring these to your attention,” the Minister wrote.
He called on the President to intervene and “save the office of the Minister of State from further humiliation and disrespect by compelling all parastatals to submit to oversight regulatory mandate and proper supervision” which he is supposed to manage on the President’s behalf.
He also called on President Buhari to “save the NNPC and the oil industry from collapse arising from the above non-transparent practices and empower the Board” to do the needful.
The Rainbow with online reports
