..As agency debunks secret accounts
Fresh
facts have emerged that reports that claimed that the Managing Director of
Nigerian Ports Authority, Mohammed Koko purchased the private property with official
funds are untrue.
Following the wide publicity given to the allegations, associates of the MD have rallied to his defense. One of the insiders revealed within the week that the property that Koko was alleged to have acquired with NPA funds is a fake allegation as he bought the property with a loan in 2015.
"The
house they referred to was bought using a mortgage loan in 2015.
He
joined NPA/public service in July 2016. The house is still under mortgage"
The
associate further revealed that the house was "declared on his Code of
Conduct Bureau, CCB, forms also."
One insider
close to the NPA, MD, said, "People have been rushing to the media with
false stories. For instance, let me tell you, those accusing the MD of
incompetence have forgotten the fact that this man has improved the revenue of
NPA beyond expectations, despite the glaring challenges of the COVID-19
pandemic, galloping inflation, and depreciating exchange rates. This has earned
him several national and international awards from notable government and
non-governmental bodies within the Maritime sector. So, where is the
incompetence coming from? It is obvious that those who engage in frivolous
petitions are ignorant of the true state of matters within the NPA, as it
affects the economy positively."
"It
is important to note that since Koko assumed office as MD of NPA, several
faceless groups have been writing fictitious petitions against him. And let me
tell you why: it's simply because it's no longer business as usual at the
agency which is evidenced in the successes recorded since the emergence of
Koko", he said.
Meanwhile,
the NPA has busted these recycled allegations and made concrete revelations
debunking allegations that the agency has been operating secret accounts.
Recently,
General Manager, Corporate and Strategic Communications, Nasiru Ibrahim,
described the secret accounts' claims as false
He said
in a statement: “The attention of the Nigerian Ports Authority (NPA) has been
drawn to a media report, suggesting that the Authority operates two secret
accounts outside Nigeria, which have been allegedly looted.
“Contrary
to their claims in the sponsored report, which are both false and malicious,
the NPA operates two USD-denominated domiciliary accounts that were approved by
the Federal Government and transparently run, following agreed official
safeguards emplaced by the Office of the Accountant General through the CBN and
the TSA policy of the Federal government of Nigeria against possible
infractions and looting.
“While
the NPA management’s initial disposition was to dismiss the news report with a
wave of the hand, the compelling need to set the records straight and disabuse
the minds of well-meaning and unsuspecting members of the various publics on
the subject matter assumed prime consideration.
“Therefore,
the Management hereby states as follows:
“That a
request for approval to open two accounts for the collection of service boats
pilotage revenue was made to the Accountant General of the Federation in a
letter dated August 26, 2016.
“That
the OAGF approved the opening of the accounts with their correspondent foreign
banks as Citibank N.A. in London and New York respectively to collect service
boats pilotage revenue accruing to the NPA.
“That
as of the time the request for approval was made, the class of revenue was
being collected by Integrated Logistics Services Limited (INTELS) on behalf of
the NPA from the inception of the managing agent relationship which dates back
to 1996.
“That
there was a management agency relationship between INTELS and the NPA which
gave INTELS the responsibility to monitor service boat operations and collect
revenue from such operations on behalf of the NPA at an agreed commission.
“That
both NPA & INTELS rely on the provision in the executed agreement to have
access to view the inflow into the accounts for ease of reconciliation and to
enable it to determine online real-time amounts paid by clients and the value
of the invoice to send to the NPA for payment of their management services;
“That
on a monthly basis, there were hundreds of payments for service boat operations
that make payments directly into INTELS bank account.
“That
on a periodic basis, INTELS remitted a portion of the revenue collected to the
NPA and retained a significant portion in its vault, comprising commission on a
collection of revenue and cost of Onne phase 4B expansion project through
amortization.
“That
the Management of the NPA considered this practice as being completely at variance
with the requirements of Treasury Single Account (TSA) policy of Government,
which made it mandatory that all revenues accruing to all Government
Ministries, Departments, and Agencies (MDAs) must be remitted into one
consolidated TSA account in the Central bank of Nigeria.
“That
Management conducted a thorough review of the executed management agency
agreement it entered into with INTELS and felt the urgent need to open revenue
accounts dedicated to the collection of revenue from service boat operations
based on certain parameters.
“The
parameters included, among others: to ensure that Government revenues no longer
reside in the vaults of private operators or companies; to ensure seamless
reconciliation of revenue collection from service boat operations as there were
hundreds of entries per month; to enthrone accountability and transparency in
the management of revenue generation and collection from service boat
operations; to enhance prompt reconciliation of service boat revenue generation
and collection, which will facilitate prompt payment of agency commission by
the Authority to INTELS in a transparent manner; and the prompt remittance of
the net revenue after deduction of agency commission into the Authority’s TSA
sub-account in the CBN.
“The
Management also wishes to state that all the supposed assertions and innuendos
in the news report as regards secrecy and diversion of funds in the accounts
are nothing but spurious and laughable concoctions and disingenuous
misinformation about happenings in the NPA in the fertile imaginations of the
author of the unconscionable report.
“For
the avoidance of doubt, the “Management states categorically that there was no
how the funds in the accounts could have been secretly diverted or privatized
as significant safeguards had been put in place by the Federal Government.
“In a
February 13, 2017 letter of approval from the Office of the Accountant General
of the Federation for the opening of the accounts for the collection of service
boats pilotage revenue, operational modalities were approved, to wit:
“That
the NPA will operate collection accounts only with two commercial banks to be
designated as “Transit Accounts.
“That
balances in these Accounts will be swept daily into the designated Treasury
Single Account (TSA) Revenue Sub-Accounts with the Central Bank of Nigeria
(CBN) or as mutually agreed by all parties;
“That
on no account should withdrawals be made from these Revenue Accounts;
“That
participatory Banks and INTELS will write formally to the NPA to demand their
collection charges on a monthly basis or as may have been agreed with them;
“That
the NPA, upon due confirmation, reconciliation, and necessary due diligence,
will forward the request to the Office of the Account General of the Federation
for payment to parties; and,
“That
in case of further clarifications on this matter, the Office of the Accountant
General of the Federation should be contacted accordingly.
“Besides,
there were additional checks mechanisms put in place with the Banks to provide
internet banking for the service boat revenue collection to enable “view-only”
and printing capabilities of the statements of accounts by over twenty top
management staff members of the NPA.
“With
the explanations supra, the Management hereby wishes to state that the specious
report about two persons looting the NPA’s so-called secret accounts could not
have been possible.
“We,
therefore, therefore wish to state that the current NPA management under the
leadership of the Managing Director, Mr. Mohammed Bello-Koko, is only aware of
the approved USD-denominated domiciliary accounts as stated above and not aware
of secret foreign accounts as indicated in the malicious online newspaper
report.
“The
NPA Management runs an open administration and gives premium to due process in
the execution of its core mandates.
“We,
therefore, wish to urge Nigerians to take note of the Management’s commitment
to transparency in its financial transactions.”
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