February 3, 2009
IN THE FEDERAL HIGH COURT IN THE ABUJA JUDICIAL DIVISION HOLDEN AT ABUJASUIT NO: BETWEEN MALLAM NASIR EL-RUFAI (APPLICANT) AND 1. THE ECONOMIC AND FINANCIAL CRIMES COMMISSION 2. MINISTER OF FEDERAL CAPITAL TERRITORY 3. FEDERAL CAPITAL DEVELOPMENT AUTHORITY 4. THE ATTORNEY GENERAL OF THE FEDERATION 5. THE CENTRAL BANK OF NIGERIA 6. UBA BANK PLC RESPONDENTS 7. OCEANIC BANK PLC 8. ACCESS BANK PLC 9. INTERCONTIONENTAL BANK PLC 10. ASO SAVINGS & LOANS LTD 11. UNION HOMES 12. AKINTOLA WILLIAMS DELOITE 13. AMINU IBRAHIM & CO.
ORIGINATING SUMMONS
BROUGHT PURSUANT TO SECTION302 OF 1999 CONSITUTION OF THE FEDERAL REPUBLIC OF NIGERIA AND SECTIONS 3 AND 18 OF THE FEDERAL CAPITAL TERRITORY ACT 1990
LET
1. THE ECONOMIC AND FINANCIAL CRIMES COMMISSION
2. MINISTER OF FEDERAL CAPITAL TERRITORY
3. FEDERAL CAPITAL DEVELOPMENT AUTHORITY
4. THE ATTORNEY GENERAL OF THE FEDERATION
5. THE CENTRAL BANK OF NIGERIA
6. UBA BANK PLC
7. OCEANIC BANK PLC
8. ACCESS BANK PLC
9. INTERCONTIONENTAL BANK PLC
10. ASO SAVINGS & LOANS LTD
11. UNION HOMES
12. AKINTOLA WILLIAMS DELOITE
13. AMINU IBRAHIM & CO.
WITHIN eight (8) days after service of this Summons on them inclusive of the day of such service cause an appearance to be entered for them to this Summons which is issued upon the application of the above–named Plaintiff, who seeks the determination of the following Questions, Claims and Reliefs.
ISSUES FOR DETERMINATION
1. Whether the Applicant, as the then FCT Minister, complied with the guidelines approved by the Federal Executive Council (FEC) for the sale of Federal Government houses between May 2005 and May 2007.
2. Whether the proceeds of the Sale of Federal Government houses in the FCT between May 2005 – May 2007 were properly accounted for or not in accordance with the Federal Executive Council mandate and guidelines to the Federal Capital Territory Authority (FCTA);
3. Whether the sum of N32 Billion (or any sum whatsoever) is missing from the proceeds of the Sale of Federal Government Houses in the FCT between May 2005 and May 2007.
RELIEFS SOUGHT
1. A Declaration that the Sale of Federal Government houses in the FCT was conducted in accordance with the Federal Executive Council mandate to the FCTA through the Ad-hoc Committee for the sale of non essential houses in Abuja;
2. A Declaration that the proceeds of the Sale of the said Federal Government houses conducted by the Ad-hoc Committee on SOGH in Abuja between 2005 and 2007 were properly accounted for in accordance with the mandate and guidelines approved by the FEC;
3. A Declaration that the Audit Report prepared by the 12th and 13th Respondents on the Sale of Federal Government Houses in the FCT confirm that the Sale of Federal Government houses in FCT compiled with the approved Guidelines for the Sale of Federal Government properties in FCT and the proceeds were properly accounted for.
4. A Declaration that the proceeds of Sale of Federal Government Houses in FCT between May 2005 and May 2007 were properly apportioned and accounted for in accordance with the approved Guidelines as confirmed by the Audit Report of the 12th and 13th Respondents, dated 20th July 2007.
5. A Declaration that the sum of N32 Billion (or any sum whatsoever) from the proceeds of the Sale of Federal Government of Nigeria Houses in FCT between May 2005 and 2007 is not missing.
6. AN ORDER of this Honourable Court directing the 2nd Respondent to disclose the exact amount remitted to the 5th Respondent as the proceeds of the sale of Federal Government houses in the FCT between May 2005 and May 2007.
7. AN ORDER of this Honourable Court directing the 5th Respondent to disclose the exact amount received from the 2nd Respondent as the proceeds of the sale of Federal Government houses in the FCT between May 2005 and May 2007.
DATED THIS …………….DAY OF, 2008
………………………..
HONOURABLE JUDGE
THIS ORIGINATING SUMMONS was taken out by A.U. Mustapha Esq., Counsel for the Plaintiff whose address for service within jurisdiction is Messrs. A.U. MUSTAPHA & CO., 5, O.P. Fingesi Street Yoma Place, Utako District Abuja, FCT, Nigeria. Tel: 234 9 6725400, 6726334. Fax: 234 9 2732618. www.aumustphaandco.com, [email protected]
The Defendants may appear hereto by entering an appearance personally or by Legal Practitioner either by handling in the appropriate forms duly completed at the Registry of the Court or by sending them to that office by post.
If the Defendants do not enter appearance within the time and at the place mentioned above, such order will be made and the proceedings may be taken as the Judge thinks just and expedient.
…………………………………
A.U. Mustapha Esq.
A.U. MUSTAPHA & CO.
5, O.P. Fingesi Street Yoma Place,
Utako District Abuja, FCT, Nigeria
Tel: 234 9 6725400, 6726334
Fax: 234 9 2732618
www.aumustphaandco.com
[email protected]
SERVICE ON:
1st Respondent
1. THE ECONOMIC AND FINANCIAL CRIMES COMMISSION
5, Foralla Street, Off Adetokunbo Ademola Crescent,
Wuse II,
Abuja.
2nd Respondent
2. MINISTER OF FEDERAL CAPITAL TERRITORY
No 2 Capital Street Area 11,
Abuja.
3rd Respondent
3. FEDERAL CAPITAL DEVELOPMENT AUTHORITY
No 2 Capital Street Area 11,
Abuja.
4th Respondent
4. THE ATTORNEY GENERAL OF THE FEDERATION
Attorney General’s Chambers
Central Business District,
Abuja.
5th Respondent
5. THE CENTRAL BANK OF NIGERIA
Central Business District,
Cadastral Zone AO,
Abuja.
6th Respondent
6. UBA BANK PLC
57, Marina Street,
Lagos.
7th Respondent
7. OCEANIC BANK PLC
Herbert Macaulay Way,
Wuse Zone 6,
Abuja.
8th Respondent
8. ACCESS BANK PLC
Plot 1665 Oyin Jolayemi Street,
Victoria Island,
Lagos.
9th Respondent
9. INTERCONTIONENTAL BANK PLC
Plot 999c Danmole Street, off Adeola Odeku Street,
Victoria Island,
Lagos.
10th Respondent
10. ASO SAVINGS & LOANS LTD
Plot 266, FMBN Building, Cadastral Zone AO
Central Business District,
Abuja.
11th Respondent
11. UNION HOMES
153, Ikorodu Road,
Onipanu,
Lagos.
12th Respondent
12. AKINTOLA WILLIAMS DELOITE
City Plaza Plot 596 Ahmadu Bello way,
Garki,
Abuja
13th Respondent
13. AMINU IBRAHIM & CO.
Metro Plaza, Zakariya Maimalari Street,
Central Business District,
Abuja
IN THE FEDERAL HIGH COURT
IN THE ABUJA JUDICIAL DIVISION
HOLDEN AT ABUJA
SUIT NO:
BETWEEN
MALLAM NASIR EL-RUFAI APPLICANT
AND
1. THE ECONOMIC AND FINANCIAL CRIME COMMISSION
2. MINISTER OF FEDERAL CAPITAL TERRITORY
3. FEDERAL CAPITAL DEVELOPMENT AUTHORITY
4. THE ATTORNEY GENERAL OF THE FEDERATION
5. THE GOVERNOR OF CENTRAL BANK OF NIGERIA
6. UBA BANK PLC RESPONDENTS
7. OCEANIC BANK PLC
8. ACCESS BANK PLC
9. INTERCONTIONENTAL BANK PLC
10. ASO SAVINGS & LOANS PLC
11. UNION HOMES PLC
12. AKINTOLA WILLIAMS DELOITTE
13. AMINU IBRAHIM & CO.
AFFIDAVIT IN SUPPORT OF ORIGINATING APPLICATION
I, Sheikh Sule Umoru, Male, Male, Adult, Legal Practitioner and Nigerian citizen of 5 O. P. Fingesi Street, Yoma Place, Utako District, Abuja do hereby make Oath and declare as follows: -
1) That I am a Legal Practitioner in the Law Firm of A. U. Mustapha FCT, Abuja, Nigeria Counsel to the Applicant herein.
2) That I am one of the Counsels in the said Law firm assigned to handle the Applicant’s matters.
3) That I am fully conversant with the facts leading up to this application.
4) I have the authority of the Applicant and my employers to depose to this affidavit.
5) The facts deposed to herein are those within my personal knowledge as counsel aforesaid and the information given to me by the Applicant on the phone and through emails.
6) The Applicant was the Minister of the Federal Capital Territory and member of the Federal Executive Council, the highest decision making body in Nigeria from 2003 - 2007.
7) The 1st Respondent is a statutory body empowered to combat financial and economic crimes in Nigeria.
8) That the 2nd Respondent is the Minister in the Presidency and Chairman, Federal Capital Development Authority.
9) The 3rd Respondent is a corporate body created by the Federal Capital Territory Act, Cap 128 Laws of the Federal Republic of Nigeria, 1990.
10) The 4th Respondent is the Chief Legal Officer of the Federal Government of Nigeria.
11) The 5th Respondent is a body Corporate created by the Central Bank of Nigeria Act charged with the responsibility, amongst others, acting as banker and financial adviser to the Federal Government of Nigeria
12) The 6th Respondent is a company duly incorporated under the Nigerian Laws and is engaged in the business of banking with its Head Office at 57, Marina Street, Lagos.
13) The 7th Respondent is a company duly incorporated under the Nigerian Laws and is engaged in the business of banking with its head office at Herbert Macaulay Way, Wuse Zone 6, Abuja.
14) The 8th Respondent is a company duly incorporated under the Nigerian Laws and is engaged in the business of banking with its Head Office at Plot 1665 Oyin Jolayemi Street, Victoria Island, Lagos.
15) The 9th Respondent is a company duly incorporated under the Nigerian Laws and is engaged in the business of banking with its Head Office at Plot 999c Danmole Street, off Adeola Odeku Street Victoria Island Lagos.
16) The 10th Respondent is a company duly incorporated under the Nigerian Laws and is engaged in the business of saving and loans with its Head Office at Plot 266, FMBN Building, Cadastral Zone AO, Central Business District, Abuja.
17) The 11th Respondent is a company duly incorporated under the Nigerian Laws and is engaged in the mortgage business with its Head Office at 153, Ikorodu Road, Onipanu, Lagos.
18) The 12th and 13th Respondents are firms of Chartered Accountants and Auditors with Head Offices at Metro Plaza, Zakariya Maimalari Street, Central Business District, Abuja and City Plaza Plot 596 Ahmadu Bello way Garki, Abuja respectively.
19) I am informed by the Applicant and I believe him as follows:
(a) As a member of the Federation Executive Council, the Applicant was privileged to participate in the policy making and implementation process of the Federal Government as was geared towards improving the systems of the service delivery and judicious utilization of public funds among other key objectives of the Olusegun Obasanjo Administration during that period;
(b) Over the years, the Federal Government provided heavily subsidized housing to qualified civil servants at huge cost to the Federal Government. Furthermore, it was discovered that subsidized housing to civil servants fostered a dependency syndrome on the part of the civil servants and the privilege was being abused by some unscrupulous civil servants who colluded with Landlords to inflate the rents payable by the Government.
(c) In order to find a lasting solution to the above adumbrated problems and to encourage civil servants to own their own houses, the Federal Government of Nigeria approved the Monetization Policy, whereby all non cash benefits, such as housing and transportation, accruing to civil servants were monetized. One of the main components of the monetization programme was the decision of the Federal Government to sell all non-essential Government Houses to civil servants, Political Office Holders and other Nigerians.
(d) In line with the cardinal principles of the monetization policy, the Federal Government of Nigeria through the Federal Executive Council mandated the Federal Capital Territory Authority headed by the Applicant, as the then FCT Minister to implement the immediate sale of all non-essential houses owned by the Federal Government of Nigeria and all its Ministries Departments and Agencies in Abuja.
(e) The Federal Executive Council deliberated extensively on the sale of the Federal Government houses and in order to ensure effective and efficient disposal of the assets and they decided to set up 2 committees: -
i. FCT Committee: Sale of Federal Government House in the FCT headed by the Minister of FCT, other key members of the committee included the Honorable Minister of Housing and Urban Development.
ii. Committee for other parts of the country: The 2nd committee was charged with the responsibility to dispose Federal Government Houses in the rest of the country and the committee was headed by the Honourable Minister of Housing and Urban Development while the Minister of the FCT was a member.
(f) To implement the program in the FCT, a Ministerial Committee was set up to ensure day to day implementation of the guidelines and directive of the cabinet committee. The FCT Ministerial committee (otherwise known as the ADHOC Committee on Sale of Federal Government Houses) was headed by Dr. Abdul Mukhtar as the Chairman; other members were the Managing Director of Federal Mortgage Bank and the Director of Treasury, FCT.
In order to guide the program, the FEC approved the guidelines and criteria for the Sale of Federal Government Houses in the FCT.
The guidelines were published in the gazette and all national newspapers. A copy of the guide line is annexed and marked as Exhibit El Rufai 1.
(g) In order to determine an objective and transparent pricing for each of the houses, Registered Valuers were commissioned to value the houses. 2 values were determined (1) Replacement cost (2) Open market cost. While Career Public Servants (CPS) were made to pay replacement cost the Public Office Holders (POH) were made to pay open market value of the property. All bidders were required to pay a 10% deposit of the price of the property in question and the balance within 6 months.
(h) When it became apparent that civil servants were not able to raise the money and the banks were not ready to provide mortgage, the Ministerial Committee had to approach the 10th Respondent, which was then a wholly owned FCT company to arrange the mortgage.
(i) The Federal Executive Council approved that 75% of the proceeds of the sale of the Federal Government Houses be remitted to the Federal Government treasury while the balance of 25% be remitted to the FCT treasury, after deducting all expenses.
(j) As the tenure of the President Olusegun Obasanjo second term Administration was drawing to an end, two (2) professional teams of international Auditors, Messrs Akintola Williams Deloitte and Aminu Ibrahim & Co., were commissioned in March 2007 to carefully review and audit the accounts of the Ad-hoc Committee on the Sale of FGN Houses in Abuja, both as a routine control measure and to ensure a smooth and successful hand over of the project to the next Administration.
(k) This was in addition to, and in spite of the fact that, the Secretariat’s accounts had routinely been audited by both FCTA Auditors and Federal Auditors from the Office of the Auditor General of the Federation on an annual basis. The highlight of the Audit Report on the Sale of Federal Government Houses in Abuja as at 31st March 2007 are as follows: -
AUDITED BY AWD & AI&CO
31ST MARCH 2007 31ST MARCH 2007
S/No Item Deductions Amount
1 Total Receipts N65, 606,911,358.00
2 Transfer to CBN (75%) 19,145,104,978.98
3 Transfer to FCT (25%) 6,352,571,609.84
Transfer to Operations Acct 6th Respondent 399,728,699.13
Transfer to FCT Treasury 791,456,027.48
4 Returned Drafts and Bank Charges 4,626,155,695
5 Bank Charges 389,535
6 Total Deductions 31,315,406,363.43 N31, 315,406,363.43
7 Available Balance
a) General Accounts
b) Facility Accounts
c) Un-banked Drafts
Sub Total
d) Application Fee
Grand Total
5,557,614,797
28,155,521,048
578,368,970
34,291,504,813
N34, 291,504,813.00
(l) The breakdown of the balance of N34, 291,504,813 as per the Audited accounts as at 31st March 2007 were held in the following banks given below: -
BANK NET BALANCE
AS AT 31ST MARCH 2007
PROCEEDS ACCOUNT
6th Respondent 137,346,511
7th Respondent (1)
10th Respondent 5,420,268,287
SUB TOTAL =N=5,557,614,797
FACILITIES ACCOUNT
6th Respondent 3,106,655,167
7th Respondent 1,512,158,777
9th Respondent 474,845,370
9th Respondent 1,337,772,718
8th Respondent 222,887,597
10th Respondent 18,927,374,680
10th Respondent 2,183,377,234
1th Respondent 390,449,503
SUB TOTAL =N=28,155,521,048
UNDEPOSITED DRAFTS =N=578,368,970
GRAND TOTAL =N=34,291,504,813
The Audit Report is annexed as Exhibit El Rufai 2. Furthermore, the Ad-hoc Committee on the sale of Non Essential FGN houses in FCT , on 21st May 2007 submitted its Hand Over (status) report, where it exhaustively explained how the exercise was carried out and the realized funds were disbursed. A copy of the report is annexed as Exhibit El Rufai 3
(m) That the said reports did not in any way indicate that the sum of N32 Billion or any sum is missing and / or that the Applicant converted the sum of N32 Billion or any sum for his personal use.
(n) Upon a motion by Senator A.D Sodangi, the Senate of the Federal Republic of Nigeria on Wednesday, 12th March 2008, resolved to conduct Investigative Public Hearing into the Administration of the FCT from May 29th 1999 to May 29th 2007.
Pursuant to the above, the Senate Committee on FCT stated in Report (item (v) on page 34 of 80) that “…The Committee found that during the presentation by Abbas Umar Director of Special Duties that the total receipt from Sales of Federal Government Houses in Abuja was N96.7bn. Total payments to FCT wasN34.2b (without appropriation or proper accounts), the balance was given as N62.498bn while bank balances show only N29.54bn leaving out approximately N32bn unaccounted for.” A copy of the said Senate Committee report as it relates to FGN sale of houses in FCT is annexed as Exhibit El Rufai 4.
(o) During the Senate Committee hearing, I appeared to give written and oral testimony of my stewardship, where I explained in details the process, the guidelines, the sale, stages, the involvement of the FCT Minister, Sale of Presidential Guest Houses… expenses, audit etc. I state with all sense of responsibility that I was not asked any question concerning alleged missing N32 Billion or any sum whatsoever.
(p) On ……….the then 2nd Respondent, Chief Remi Babalola, on his handing over to the new Minister, Senator Adamu Aliero, confirmed that the accounts relating to the sale of Federal Government houses in FCT have been fully reconciled and N46 Billion was recovered and transferred to the Federal Government account with the 4th Respondent.
(q) The 1st Respondent on Monday 22nd, December 2008, declared the Applicant Wanted on the alleged ‘missing’ N32 Billion.
That the 1st Respondent’s reason for declaring the Applicant wanted was that he failed to honour its invitation to account for the ‘missing’ N32 Billion; However, he has never been invited nor interviewed on the alleged N32 Billion (or any amount) missing. The 1st Respondent only interviewed the Applicant concerning PHCN land issue and NIPOST land. The newspaper advertisement containing the publication of the 1st Respondent act of declaring the Applicant wanted is hereby attached as Exhibit El Rufai 5.
(r) The only encounter the Applicant had with the 1st Respondent was sometime in June 2008, when some officials of the 1st Respondent visited his residence and asked him questions concerning the PHCN land issue and NIPOST land further to which he gave an exhaustive explanations as to what transpired and what informed his official decisions and thereafter gave them his written response. A copy of the said written response is hereby annexed as Exhibit El Rufai 6.
(s) In spite of the above the 1st Respondent sent a letter dated 18th of October 2008, to my residence at 12, Mambilla Street, Abuja inviting me in connection with the allocation of plots of lands regarding the above complaint and which letter upon receipt by his aid was immediately forwarded to our office for appropriate response as I am outside the country attending a full time Edward Mason Fellowship and graduate course of study at Harvard University in the USA. Copies of the letter of invitation and letter of admission to Harvard are hereby annexed as Exhibit El Rufai 7 & 8.
20) Based upon the above, our office aforesaid by a letter dated 21st November 2008 requested that the 1st Respondent forward a written questionnaire to the Applicant through our office appropriate response by the Applicant. The copy of the letter is hereby attached as Exhibit El Rufai 9.
21) When it became obvious that the 1st Respondent had made up its mind to declare me wanted on the land issue, my solicitors instituted an action in the Federal High Court in Suit No. FHC/ABJ/CS/669/2008 to challenge the proposed action and injunctive relief to restrain the 1st Respondent from declaring the Applicant wanted.
22) Despite the pendency of the action, the 1st Respondent still went ahead and declared the Applicant wanted but later claimed that it was on account of the alleged N32 Billion which as stated above he was neither invited nor interviewed on its account.
23) That I verily believe in the circumstance of this case that it will be just and equitable to grant the Reliefs asked for by me in this suit.
24) The Respondents in this matter will not be prejudiced in any way if this Honourable Court exercises its discretion by granting the prayers sought herein.
25) That I make the solemn declaration in good faith believing same to be true and correct and by virtue of the provisions of the Oaths Act, CAP. 01, LFN; 2004.
………………………………
DEPONENT
Sworn to at the Federal High Court of Abuja Registry
This --------- day of ----------------------------------- 2008
BEFORE ME
COMMISSIONER FOR OATHS
googletag.cmd.push(function() { googletag.display('comments'); });
googletag.cmd.push(function() { googletag.display('content1'); });
googletag.cmd.push(function() { googletag.display('content2'); });