The governors, through Abdulrazaque Bello-Barkindo, Director, Media and Public Affairs, Nigeria Governors’ Forum Secretariat, also in a statement obtained by SaharaReporters on Sunday, accused Nwoko of detaching himself from the group of consultants claiming the funds, saying it appears there is a crack in their ranks.
The Nigeria Governors’ Forum has accused a former House of Representatives member, Ned Nwoko of lying in his desperation to get $68 million, which is allegedly his share out of the controversial $418 million requested by consultants with respect to the Paris Club refund.
The governors, through Abdulrazaque Bello-Barkindo, Director, Media and Public Affairs, Nigeria Governors’ Forum Secretariat, also in a statement obtained by SaharaReporters on Sunday, accused Nwoko of detaching himself from the group of consultants claiming the funds, saying it appears there is a crack in their ranks.
They alleged that the Attorney-General of the Federation and Minister of Justice, Abubakar Malami, SAN, has more than a passing interest in the controversial funds requested by consultants, saying he has become their strongest advocate.
“Perhaps, confirming our fears and that of the public that the AGF has abdicated his role as public defender and trustee and become the strongest advocate to the consultants is now evident in Ned Nwoko’s press statement wherein he praised the role played by the AGF describing it as inevitable.
“Ned cannot say that the consultants have no official Platform to canvass their case, when the AGF has, in spite of public protestation, provided the strongest and most virulent platform to campaign for the expeditious payment of the sums claimed. The AGF has addressed and issued over half a dozen press statements justifying why the consultants should be immediately paid. Not even Ned’s solicitors could have done any better,” the NGF said.
Nwoko's Claims
Nwoko earlier claimed that the NGF demanded and received $100 million to prosecute elections in some states.
Nwoko, the Lead Consultant of Linas International Limited, made the allegation on Saturday, while responding to a flurry of allegations and assertions about his personal and company's demands for payment of ‘services fees’ from the country's state governments and local government councils.
In 2006, the Nigerian government paid $12 billion to get $18 billion debt written off by the Paris Club of international creditors.
However, because the payment was made directly from the revenue accruing to the entire federation, states and local government areas that did not owe, the Paris Club asked the Nigerian government for a refund.
Some consultants surfaced along the line to claim a percentage of the refunds as payment for their services to the states and councils.
Some contractors also claimed they were asked to execute projects across the country by the Association of Local Governments of Nigeria (ALGON).
Questions were asked about why states would need consultants to negotiate with the federal government over the refund, while the projects said to have been awarded by ALGON turned out to be mostly non-existent.
The governors had asked for a forensic audit.
While the contractors and consultants went to court, Malami curiously went to negotiate an out-of-court settlement with them and agreed to pay $418 million as judgment debt.
SaharaReporters recently reported how the minister asked the Governor of the Central Bank of Nigeria, Godwin Emefiele to release the fund to Linas International Ltd, a company belonging to Nwoko, and other consultants over the Paris Club refund.
He had claimed ignorance of various court cases on the payment and asked the CBN to release the money.
Addressing the media on Saturday in Abuja, Nwoko termed the recent NGF outbursts on the topic as "noise," saying that a former NGF chairman told him that the funds were required to prosecute elections in Bauchi, Ekiti, and Ondo states.
He further said that when he presented a bill for $350 million as a consultant fee, the state governors required that half of it be paid before the bill could be honoured.
According to him, the Ministry of Justice stepped in and the governors were eventually awarded $100 million.
Nwoke disclosed that the money owed to the consultants was $68 million, not the $418 million as being reported.
According to him, the consultants had nothing to do with the $418 million, which he claimed was a mistake.
He said, “I am compelled to embark on this public engagement to debunk the litany of lies, spin and false narratives that have been dished out to abuse the minds of the undiscerning public by the Chairman of Nigeria Governor Forum (NGF), Governor Kayode Fayemi against the payment of consultancy fees legitimately earned and owed my firm for services rendered and which the states and local governments have fully been refunded.
“The outstanding fees owed my firm with regards to last work done for the states is; approximately $68mUSD and not $418mUSD as maliciously sought to be conveyed by Fayemi and co. Our original claims calculated based on agreed terms were well in excess of $300mUSD. We offered huge discount on the entitlement to accept the $68mUSD.”
Position Of Nigeria Governors' Forum
But the governors, in their response to Nwoko’s claims, said the breakdown of the funds claimed by the contractors was $418,953,690.59 and not $68 million as claimed by the former lawmaker in his press statement.
The breakdown given by the NGF is as follows: Ned Munir Nwoko ($68,658,192.83); Dr. Ted Isighohi Edwards ($159,000,000); Panic Alert Security Systems Ltd ($47,831,920); Riok Nig. Ltd ($142,028,941.95); Prince Orji Orizu ($1,219,440.45) and Barrister Olaitan Bello ($215,195.36).
The NGF said, “The facts are and will always remain: whether the claims of the consultants are lawful and justified under our Constitution and whether any Judgment which is a subject of a pending appeal can be enforced or executed as the consultants now attempt to do? If both questions are answered in the negative, it does not matter if the contracts leading to the claims were entered into by any public official, past or present.
“No person or persons can agree to blatantly circumvent our Constitution and get away with it. Neither is the period when Judgments were obtained of consequence in this case.
“Undoubtedly, the salient facts on the fraud associated with the Paris Club refunds can never be changed by a thousand Press Statements by the AGF or any of the Consultants.
“As the Judgments of the appellate courts, particularly that of the Supreme Court have begun to expose the creepiness and unlawful nature of the consultants claims; it is not surprising that they are now afflicted by dizzy spells, seriously discomforted and are now driven by desperation to ensure that the plundering and fleecing of the State is quickly completed before the determination of the pending proceedings in the appellate and other courts in order to foist a situation of frustration and helplessness on the States. This is obvious as the consultants are not in a position to restore the funds to the States if they lose on appeal; as it is becoming apparent.
“It is therefore needless joining issues with Ned Nwoko or indeed any of the consultants. However, it is imperative to debunk patent lies dished out in order to disabuse the minds of the undiscerning public. While Mr. Ned Nwoko strenuously tried to single out and justify his own bogus claim of USD$68 million; the total amount which all the consultants working in concert, collectively seek and claim from the States and Local Governments, albeit unlawfully is USD$418,953,690.59.”
The statement further read, “The attempt by NED therefore to separate his own claim of $68 million as if it is not related to the claims of other consultants is being clever by half. All the consultants claim to have rendered the same or similar service of helping the States and Local Governments to recover over-deducted Paris Club refunds by the Federal Government. Their cases therefore rise or fall together. A poison of the part is a poison of the whole. What is unlawful remains unlawful. Its origin is immaterial and the part or role played by all parties separately or collectively at all times is unlawful and cannot be remedied.
“As it is common with all unholy alliances, it does appear that the romance between the consultants and their determination to fight together under the AGF’s tacit coordination to pull out of the States the sum of USD$418,953,690.59 may have suffered a crack. This must have led Ned to address the press alone and single out his unmerited claim of $68 million as justifiable.
“This is also coming just on the heel of a similar press briefing by the AGF, a few days ago during which he stoutly defended all the consultants and berated the States for opposing or delaying the prompt payment of the sum claimed. It was thought that the AGF had done a good job of defense for all of them; but NED’s decision to go solo to make his own case without reference to others suggest that the union of consultants is gradually falling apart.
“What however Ned did not tell the public is: If all the Local Governments engaged him directly as claimed and if he acted for the States through his lawyers and the NGF requested that he extends the services to all the States as also claimed, what different service did Ted Isighohi Edwards, his collaborator and conspirator (indicted by the EFCC) render for which he is being paid the whooping sum of $159,000,000 also from the Paris Club refund?
“In his desperation to justify his claim, Ned peddled untruths that his team was a member of the Federal Government Committee constituted to reconcile figures under the Paris Club refunds to the States and Local Governments. That is patently false. The report of that committee dated May, 2007 shows that only the FMF, OAGF, CBN, DMO and RMFC (secretariat) were members. Private persons who were not privy could not have been included in a committee that was meant to examine purely public financial records. It was this Committee that did all the work now claimed by Ned and the other consultants.”
Urging Nwoko and others to allow the law to take its course, the governors, said, “The NGF and its leadership remain focused and determined to diligently pursue all appeals on the Judgments on the Paris Club refunds.
“All that it requests of the AGF and the consultants is to allow the appeal processes to run and be exhausted. It may be that the consultants will successfully defend the appeals after which they will be paid. However, if they lose as RIOK NIGERIA LTD has lost; which is the most likely verdict that shall befall all the other consultants; let the public funds in issue remain protected.
“We urge Ned and the other consultants to end the media war and direct all energies towards defending the appeals.”