Government

NNPC Boss Sidelining Me, Board, Kachikwu Tells Buhari

Published

7 years ago

October 4, 2017

NNPC Boss Sidelining Me, Board, Kachikwu Tells Buhari

The Minister of State for Petroleum Resources, Dr. Ibe Kachikwu, has written a petition to President Muhammadu Buhari, alleging acts of insubordination and humiliation by the Group Managing Director of the Nigerian National Petroleum Corporation, Dr. Maikanti Baru.

In the letter, titled ‘Re: Matters of insubordination and lack of adherence to due process by the GMD NNPC – Dr. Baru,’ written on August 30, 2017, with reference number HMS/MPR/001/VOL.1/100, Kachikwu alleged that the NNPC boss had repeatedly sidelined and disrespected the board of the national oil firm, which is chaired by the minister of state.

After felicitating with the President, the minister outlined the various alleged misdemeanours of the NNPC boss, urging Buhari to intervene by calling on Baru to respect due process.

In August 2015, Buhari appointed Kachikwu as the NNPC GMD, but replaced him with Baru in July 2016 and made the minister the chairman of the corporation’s board.

In the letter, which was sighted by our correspondent in Abuja on Tuesday, Kachikwu said, “Mr. President, yesterday (August 29, 2017) like many other Nigerians, l resumed work and confronted with many publications of massive changes within the NNPC.

“Like the previous reorganisations and ‘repostings’ done since Dr. Baru resumed as GMD, I was never given the opportunity before the announcements to discuss these appointments. This is so despite being the Minister of State, Petroleum, and Chairman, NNPC Board.

“The board of NNPC, which you appointed and which has met every month since its inauguration, and which, by the NNPC, is meant to review these planned appointments and postings, was never briefed. Members of the board learnt of these appointments from the pages of social media and the press release of NNPC.”

The minister told Buhari that it was in the spirit of service and absolute belief in the President’s leadership and integrity that he (Kachikwu), after one year of tolerating the disrespectful and humiliating conduct by Baru, decided to bring the GMD’s acts to the President.

Kachikwu said he had been on a race to stabilise and move the industry to the next phase, adding that parastatals in the ministry and all CEOs at these parastatals must be aligned with the policy drive at the supervising ministry to allow the sector register the growth that had eluded it for many years.

The minister stated that in anticipation of vacancies that would arise from retiring senior executives of the NNPC, he wrote to the GMD a letter requesting that they both have prior review of the proposed appointments.

“Not only did he (Baru) not give my letter the courtesy of a reply, he proceeded to announce the appointments without consultation on board concurrence.

“Mr. President, please note that there is a board service committee, whose function is to review potential appointments and termination of senior staff prior to implementation. This committee was also not consulted,” Kachikwu said in his letter.

He said the open administration, which he introduced, had been completely eroded, as NNPC staff members were afraid of contacting the minister for fear of being punished, sidelined in appointments and targeted.

“The effect of the attitude of the GMD and the sidelining of the board is that there is a fear culture in the NNPC,” Kachikwu stressed.

Listing his prayers, the minister noted that “we save NNPC and the oil industry from collapse arising from the above non-transparent practices and empower the board you inaugurated to do the needful.”

He added, “That you 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 I am supposed to manage on your behalf.

“You kindly instruct the GMD to effectively leave the NNPC to run as a proper institution and report out along due process lines to the board and that Your Excellency instruct that all reviews be done with the minister of state prior to your decision.

“That to set right examples, you approve that the recently announced reorganisation changes be suspended until the GMD, myself and the board have made relevant input to same. This will send a clear signal of due process and transparency.

“That Your Excellency encourage joint presentation meeting between head of parastatals and the minister of state to you as to encourage a culture of working together and implant discipline in the hierarchy.”

Kachikwu said against the rules, some major contracts were never reviewed or discussed with him or the board of NNPC.

Some of these contracts, he stated, include the Crude Term contracts, valued at over $10bn; the DSDP contracts, valued at over $5bn; the AKK pipeline contract, valued at about $3bn; various financing allocation funding contracts with the NOCs, valued at over $3bn; various NPDC production service contracts, valued at over $3bn to $4bn.

“The legal and procedural requirement is that all contracts above $20m would need to be reviewed and approved by the board of NNPC. Mr. President, in over one year of Mr Baru’s tenure, no contract has been run through the board.

‘‘As in many cases of things that happen in NNPC these days, I learn of transactions only through publications in the media,’’ Kachikwu wrote.

The NNPC’s Group General Manager, Group Public Affairs Division, Ndu Ughamadu, told one of our correspondents on Tuesday that he had not seen the minister’s letter to Buhari, adding that he would not comment on what he had yet to see.

Ughamadu stated, “You called it a letter, right? I’ve not sighted the letter. You can only comment on what you have sighted or what you have read. And if you called it a letter, then it is supposed to be something personal between the sender and the receiver.

“However, the important thing, with respect to your enquiry, is that I have not sighted the letter.”

It’s normal correspondence between minister, President

In response to enquiries, the Federal Ministry of Petroleum Resources on Tuesday evening, through an email from its spokesperson, Idang Alibi, confirmed the minister’s letter, but regretted that the confidential memo between Kachikwu and the President was publicised.

It said, “The attention of the Ministry of Petroleum Resources has been drawn to a publication on a memo emanating from the HMSPR to the President.

“Please, note that the communication under reference is a normal procedural correspondence by the minister to the President relating to developments in parastatals under his supervision.

“It is most distressing to the ministry of petroleum resources that a confidential communication to the President on the performance of one of its parastatals can be made public.

“The focus of the communication was on improving efficiency and deepening transparency in the oil and gas sector for continued investor confidence.

“It is noteworthy that the President has been fully supportive of the efforts of the ministry to entrench good governance and accountability in the oil and gas sector.”

Sources at the corporation and the ministry confirmed to one of our correspondents that all had not been smooth between Kachikwu and Baru, stressing that this must have warranted the petition against the GMD by the minister.

Presidency declines comments on Kachikwu’s letter to Buhari

Meanwhile, the Special Adviser to the President on Media and Publicity, Mr. Femi Adesina, on Tuesday, said he would not comment on the minister’s letter to Buhari.

“I have no comment,” Adesina simply said when one of our correspondents asked him what action the President had taken or would take on the matter.

When also asked if Buhari had received the letter, the presidential spokesman insisted he would not comment on the matter.

Up Next

Fresh Arrests Loom in INEC as EFCC Probes 20 States

Don't Miss

OPEC’s Conformity to Voluntary Production Cut Reaches 116%

Samed Olukoya

Is the CEO/Founder of Investors King Limited. A proven foreign exchange research analyst and a published author on Yahoo Finance, Businessinsider, Nasdaq, Entrepreneur.com, Investorplace, and many more. He has over two decades of experience in global financial markets.

Comments

Government

Netanyahu Stands Firm as US Halts Bomb Shipment Over Rafah Invasion Warning

Published

9 hours ago

May 10, 2024

Samed Olukoya

Amidst escalating tensions between Israel and the United States, Israeli Prime Minister Benjamin Netanyahu has adopted a defiant stance following the US decision to halt a shipment of bombs and warned against Israel’s potential invasion of the southern Gaza city of Rafah.

In a bold statement, Netanyahu declared, “If we have to stand alone, we will stand alone,” emphasizing Israel’s resolve to pursue its objectives despite opposition.

The Prime Minister’s comments, delivered via social media and a subsequent interview with American talk show host Dr. Phil, underscore Israel’s determination to address security threats posed by the Gaza Strip, particularly by Hamas militants operating in Rafah.

Netanyahu reiterated the necessity of military action in Rafah to eliminate the remaining Hamas battalions, condemned Hamas’s history of violence and reiterated Israel’s commitment to achieving victory and ensuring the safety of its citizens.

The US administration, led by President Joe Biden, expressed concerns over the potential humanitarian impact of an Israeli invasion of Rafah, prompting the decision to withhold additional offensive weapons shipments to Israel.

Biden’s statement echoed broader international apprehensions about the escalation of violence and civilian casualties in the conflict-stricken region.

However, Netanyahu remained resolute in Israel’s approach, asserting the country’s right to defend itself against security threats. He emphasized Israel’s efforts to minimize civilian casualties and facilitate the evacuation of civilians from Rafah before any military action.

Despite the US’s decision to pause the bomb shipment, Netanyahu affirmed Israel’s commitment to its longstanding alliance with the US. He acknowledged past disagreements between the two nations but expressed optimism about resolving current tensions through dialogue and cooperation.

In response, White House officials reiterated the US’s support for Israel’s security while urging restraint and emphasizing the need to avoid actions that could exacerbate the humanitarian crisis in Gaza.

The administration clarified that the decision to halt the bomb shipment was aimed at preventing potential civilian casualties in Rafah.

The confrontation between Israel and the US underscores the complexity of navigating regional conflicts and balancing strategic interests. As tensions persist, both nations face the challenge of reconciling their respective security imperatives with broader humanitarian concerns, seeking to avert further escalation while addressing the root causes of the conflict in the Middle East.

Government

EFCC Declares Former Kogi Governor, Yahaya Bello, Wanted Over N80.2 Billion Money Laundering Allegations

Published

3 weeks ago

April 19, 2024

Samed Olukoya

The Economic and Financial Crimes Commission (EFCC) has escalated its pursuit of justice by declaring former Kogi State Governor, Yahaya Bello, wanted over alleged money laundering amounting to N80.2 billion.

In a first-of-its-kind action, the EFCC announced Bello’s wanted status in connection with the alleged embezzlement of funds during his tenure as governor.

The commission, armed with a 19-count criminal charge, accused Bello and his cohorts of conspiring to launder the hefty sum, which was purportedly diverted from state coffers for personal gain.

The declaration of Bello as a wanted fugitive came after a series of failed attempts by the EFCC to effect his arrest.

Despite an ex-parte order from Justice Emeka Nwite of the Federal High Court, Abuja, mandating the EFCC to apprehend and produce Bello in court for arraignment, the former governor managed to evade capture with the reported assistance of his successor, Governor Usman Ododo.

This latest development shows the challenges faced by law enforcement agencies in holding powerful individuals accountable for their actions.

However, it also demonstrates the unwavering commitment of the EFCC to uphold the rule of law and ensure that justice is served, irrespective of the status or influence of the accused.

In response to the EFCC’s declaration, the Attorney General of the Federation and Minister of Justice, Lateef Fagbemi, issued a stern warning to Bello, stating that fleeing from the law would not resolve the allegations against him.

Fagbemi urged Bello to honor the EFCC’s invitation and cooperate with the investigation process, saying it is important to uphold the rule of law and respect the authority of law enforcement agencies.

The EFCC’s pursuit of Bello underscores the agency’s mandate to combat corruption and financial crimes, sending a strong message that individuals implicated in corrupt practices will be held accountable for their actions.

Government

Concerns Mount Over Security as National Identity Card Issuance Shifts to Banks

Published

4 weeks ago

April 15, 2024

Samed Olukoya

Amidst the National Identity Management Commission’s (NIMC) recent announcement that the issuance of the proposed new national identity card will be facilitated through applicants’ respective banks, concerns are escalating regarding the security implications of involving financial institutions in the distribution process.

The federal government, in collaboration with the Central Bank of Nigeria (CBN) and the Nigeria Inter-bank Settlement System (NIBSS), introduced a new identity card with payment functionality, aimed at streamlining access to social and financial services.

However, the decision to utilize banks as distribution channels has sparked apprehension among industry stakeholders.

Mr. Kayode Adegoke, Head of Corporate Communications at NIMC, clarified that applicants would request the card by providing their National Identification Number (NIN) through various channels, including online portals, NIMC offices, or their respective banks.

Adegoke emphasized that the new National ID Card would serve as a single, multipurpose card, encompassing payment functionality, government services, and travel documentation.

Despite NIMC’s assurances, concerns have been raised regarding the necessity and security implications of introducing a new identity card system when an operational one already exists.

Chief Deolu Ogunbanjo, President of the National Association of Telecoms Subscribers, questioned the rationale behind the new General Multipurpose Card (GMPC), citing NIMC’s existing mandate to issue such cards under Act No. 23 of 2007.

Ogunbanjo highlighted the successful implementation of MobileID by NIMC, which has provided identity verification for over 15 million individuals.

He expressed apprehension about integrating the new ID card with existing MobileID systems and raised concerns about data privacy and unauthorized duplication of ID cards.

Moreover, stakeholders are seeking clarification on the responsibilities for card blocking, replacement, and delivery in case of loss or theft, given the involvement of multiple parties, including banks, in the issuance process.

The shift towards utilizing banks for identity card issuance raises fundamental questions about data security, privacy, and the integrity of the identification process.

With financial institutions playing a pivotal role in distributing sensitive government documents, there are valid concerns about potential vulnerabilities and risks associated with this approach.

As the debate surrounding the security implications of the new national identity card continues to intensify, stakeholders are calling for greater transparency, accountability, and collaboration between government agencies and financial institutions to address these concerns effectively.

The paramount importance of safeguarding citizens’ personal information and ensuring the integrity of the identity verification process cannot be overstated, especially in an era of increasing digital interconnectedness and heightened cybersecurity threats.