Panel Indicts Nigeria's House Speaker, Deputy
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| Patricia Etteh |
The committee headed by Hon David Idoko delivered a verdict of guilt on the House Speaker,Patricia Etteh and the management of the National Assembly(NASS).
Specifically, the report said due process was not followed in the award of the contract
With the damning report of the panel, the stage is now set for the impeachment of the Speaker and her deputy. Even though sources hinted that the speaker would fight on and may contest the panel reports, opposition members are said to have promised to match her power for power.
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REPORTS OF THE HOUSE OF REPS. THAT INDICTED THE SPEAKER
INTRODUCTION
In August 2007, while the House of Representatives was on recess, there were publications in the National Newspapers that contracts were awarded for the renovation and furnishing of official residences of the Hon. Speaker and the Deputy Speaker as well as purchase of 12 vehicles for principal officers for the sum of N628,843,418.20 (Six hundred and twenty-eight million eight hundred and forty-three thousand, forty hundred and eighteen naira and twenty kobo only).
On Wednesday, 5th September, 2007, a motion of privilege was raised by the Minority Leader on the alleged contract pursuant to Order V, Rules 1(b) and 4, of the House Rules. The House deliberated and resolved to set up a 9-man independent ad-hoc Committee, cutting across party lines to look into the matter. The Committee is comprises the follows:
1. Hon. David Onobi Idoko PDP Chairman
2. Hon. Rabe Nasir PDP Member
3. Hon. Nasiru Muhammad ANPP Member
4. Hon. Sani Saleh Minjibir ANPP Member
5. Hon. Chinedu Godswill Eluemunoh PDP Member
6. Hon. Depo Oyedokun S PDP Member
7. Hon. Yakubu Dogara PDP Member
8. Hon. H. A. B. Fasinro AC Member
9. Hon. Peter Linus Umoh PDP Member
2.0 TERMS OF REFERENCE
As contained in the Votes & Proceedings of Wednesday 5th September, 2007, the terms of reference of the Ad-Hoc Committee are as follows:
i. examine the award of contracts for the upgrading of the official residences of the Speaker and the Deputy Speaker; and
ii. examine the contracts for the purchase of official and utility vehicles for the Leadership of the House, and to report to the House within two weeks.
3.0 METHODOLOGY
In view of the need to adequately address its terms of reference, the Committee employed several methods in gathering information and facts in the course of its assignment. Among these are:
i. Regular meetings of Members on a daily basis;
ii. Request and analysis of several documents in respect of the contracts under reference;
iii. Collection of relevant statutes on government contract awards, (bidding, public procurements, guidelines and circulars.)
iv. Visit to the official residences of the Hon. Speaker and Deputy Speaker for physical assessment of the state of the properties.
v. Oral and documentary evidence were obtained through open hearing from the followings:
a. Leadership of the House:
• Minority Whip
• Deputy Minority Leader
• Minority Leader
• Deputy Chief Whip
• Chief Whip
• House Leader
• Deputy Speaker
• Speaker
b. National Assembly Management:
• Director of Works and Estate
• Director, Legislative Budget and Planning
• Director, Finance and Supply
• Secretary Tenders Board
• Ag. Clerk, House of Representatives
• Clerk, National Assembly
c. Corporate Affairs Commission
d. Federal Capital Territory Administration
e. Victogenuel Nigeria Ltd
f. Lee Development Nig. Ltd
g. Stateco Nig. Ltd (The Committee in its considered opinion ruled that Stateco cannot be represented by counsel)
4.0 SUMMARY OF FACTS
On the basis of the documents submitted to the Committee and oral testimonies obtained from witnesses, the facts of the investigated contracts are itemized as follows:
(i) The contracts for the renovation and furnishing of the official residences of the Hon. Speaker and Deputy Speaker were approved by the body of Principal Officers at a meeting held on the 12th July 2007.
(ii) The contracts for the supply of vehicles to Principal Officers of the House were also approved by the body of Principal Officers at that same meeting.
(iii) The meeting of the body of Principal Officers was summoned through a Notice of Meeting dated 11th July 2007, and was addressed to 9 principal officers, Chairman Ad Hoc Committee on Welfare and 7 Senior Management staff of the National Assembly. (see Annexure I & III)
(iv) The meeting was scheduled for 12th July 2007 at 1.30 pm, but it commenced earlier at 12 noon on the same date on the instruction of the Hon. Speaker, Chairman of the body of Principal Officers.
(v) The meeting was attended by only 4 Principal Officers (Hon. Speaker, Hon. Deputy Speaker, Chief Whip, and Deputy Majority Leader), Chairman of Welfare Ad-Hoc Committee, and 8 Management Staff of the National Assembly. (see Annexure III)
(vi) 6 Principal Officers were not at the meeting; some of them stated that they did not receive the notice of meeting. The principal officers not at the meeting were the leader of the House, Deputy Chief Whip, Minority Leader, Minority Whip, Deputy Minority Leader, and Deputy Minority Whip.
(vii) The meeting approved award of contracts as follows:
a. Renovation of the Speaker’s residence to State Co. Nig. Ltd at the cost of N238,852,279.00 (Two hundred and thirty-eight million, eight hundred and fifty-two thousand, two hundred and seventy-nine naira only).
b. Renovation of Deputy Speaker’s residence to M/S Lee Development Nig. Ltd at the cost of N90,296,225.25 (Ninety million, two hundred and ninety-six thousand, two hundred and twenty-five naira and twenty-five kobo only)
c. Supply of 10 No. Toyota Land Cruiser to M/S Kymco Motors Co. Ltd at the cost of N123,000,000 (One hundred and twenty-three million naira only), and M/S Bras Ventures Ltd at the total cost of N49,600,000.00 (Forty-nine million, six hundred thousand naira only).
d. Furnishing of the official residence of the Hon. Speaker to M/S Victogenuel Nig. Ltd at the cost of N 71,895,000.00 (Seventy-one million, eight hundred and ninety-five thousand naira only).
e. Furnishing of the official residence of the Hon. Deputy Speaker to M/S Lee Development Nig. Ltd at the cost of N55,200,000 (Fifty-five million, two hundred thousand naira only).
(viii) An advance payment in the sum of N53,741,743.00 (Fifty-three million seven hundred and forty-one thousand, seven hundred and forty-three naira only) representing 25% of the total contract sum was paid to Messrs Stateco. Nig. Ltd. in respect of the renovation and furnishing contract for the Hon. Speaker’s Residence, which was covered by a Fidelity Plc bank guarantee for a value of N181,982,623.20 (One hundred and eighty-one million, nine hundred and eighty-two, six hundred and twenty-three naira twenty kobo only).
(ix) The Committee visited the official residences of Hon. Speaker and Hon. Deputy Speaker where Members were conducted round by the Deputy Director Works of the National Assembly and his staff which included:
a. Chief Electrical Engineer;
b. Chief Mechanical Engineer;
c. Chief Architect;
d. Snr Quantity Surveyor; and
e. Asst. Chief Building Officer.
(x) The Deputy Director Estate and Works Department confirmed the receipt of the Committee’s letter concerning the suspension of work in the two official residences and Members reiterated the Committee’s decision that work on the residences should be suspended, pending the outcome of the Committee investigation. It was further directed that the stop order be pasted on the walls of the affected Residences if contractors could not be reached.
(xi) The execution of all the contracts in question remain suspended pending the outcome of this investigation.
5.0 FINDINGS (EVALUATION & ANALYSIS)
5.1 Review of Relevant Statutes Governing Award and Execution of Contracts.
The contracts in question involve the procurement of goods, works and services by the National Assembly which fall within the ambit of Public Procurement Act, 2007 specifically under Section 15(1)(a) which covers all procurement of Goods, Works and Services carried out by the Federal Government of Nigeria and all procurement entries which include:
a. Section 16(1)(a)-(g) lays down the fundamental principles for procurement. (Annexure 33 attached)
b. Section 40(1) – (4) on Restricted Tendering (Annexure 33 attached)
c. Code of Conduct for Public Procurement Section 57(2-4)(7-9)(12a,b,d) (Annexure 33 attached)
d. Offence Relating to Public Procurement, Section 58(1)(4-5)(9-10)(12). (Annexure 33 attached)
5.2 Review of all documents relating to the award of the Contracts to Ascertain Compliance with the Guidelines
The Ad-Hoc Committee mandated to investigate the contracts began with two letters dated 6th June, 2006 referred to as Annex 19A and 19B signed by one Idris M. Mahdi for Clerk to the National Assembly addressed to the Executive Secretary, Federal Capital Territory
Administration, Abuja. The letter requested for the “furnishing of official residence of the Hon. Speaker of the House of Representatives at Apo Legislative Quarters, Abuja” and “Taking Over of Deputy Senate President and Deputy Speaker’s Residences at Apo Legislative Quarters, Abuja”.(See Annexure 19a & 19b).
In response to the said letters referred to above, the Executive Secretary/Chairman, FCT Transition Committee Engr M S Alhassan, FNSE, by a letter dated 15th June, 2007 addressed to the Senate Leader, National Assembly, Abuja and copied to the Clerk to the National Assembly informing National Assembly Management that the general provisions in the FCT 2007 budget are inadequate and therefore cannot accommodate the cost of furnishing the houses of the officers under consideration. The Executive Secretary further suggested that National Assembly should consider other ways of funding the project. (see Annexure 19c attached).
5.2.1 The Committee having gone through Annexure 16 observed a typographical error on the second page of the document under a sub-heading scope of work “S(i)” Mercedez Benz 5320 which is suppose to mean Mercedez Benz S320. While scrutinizing the documents, the Committee also observed as follows:
i That the invitation for tender did not meet the requirement of the relevant provisions of the FGN Financial Regulations. It also noted that a fundamental aspect under “vital information” that stipulates tendering process is based on Federal Government of Nigeria Contracting guidelines (See Annexure 16).
ii. That Notice of Meeting was properly raised by the Secretary Tenders Board but was not served due to some constraints.
iii. That the minutes of meeting of the body of principal officers of the House of Representatives held on the 12th July, 2007 at the office of the Honourable Speaker, National Assembly Complex, Three Arms Zone, Abuja, had underlisted persons in attendance:
Present
1. Hon. Patricia Olubunmi Etteh
2. Hon. Babagida Saidu Ngoroje
3. Hon. Bethel Amadi
4. Hon. Baba Shehu Agaie
5. Hon. Wale Adegoke
6. Alh. Nasiru I Arab
7. Mr O. Ogunyomi
8. Mr Niyi Ajiboye
9. Idris M Mahdi
10. Alh. M. A. Sani-Omolori
11. Mr O. Adelami
12. Mr C. J. Osman
iv. That the minutes reflected neither “Apology” nor “Absent”. Also no explanation was given as to why some Members were absent without apology. It was also observed that the meeting commenced one and a half hours earlier than the scheduled time.
v. The decision reached at the meeting shows that contracts were approved for award as follows:
a. Renovation of the Official Residence of the Honourable Speaker’s Residence to M/s Stateco. Nig. Ltd in the total sum of N238,852,192.95;
b. Renovation of Honourable Deputy Speaker’s Official Residence to M/S Lee Development Nig. Ltd in the total sum of N90,296,225.25;
c. Supply of motor vehicles: (i) 10 Nos. of Toyota land Cruiser by Kymco Motors co. Ltd in the sum of N123,000,000; (ii) 2 No. Mercedes Benz car S.320 (Black) by M/s Bras Ventures Ltd in the total sum of N49,600,000;