Reps to investigate graft allegations against suspended SEC boss

….To probe $300m TCN gas project
The House of Representatives on Tuesday resolved to probe allegations of corruption leveled against the suspended Director General of the Security and Exchange Commission (SEC), Munir Gwazo by the Minister of Finance, Kemi Adeosun.

To this end, the House has asked the parties in the matter to maintain status quo pending the outcome of the investigation.

The resolution was sequel to the adoption of the motion sponsored by Rep. Diri Douye on the need for the House to intervene in the conflict between the minister of finance and the suspended Gwarzo.

Rep. Douye, who represents Yenagoa/Kolokuma/Opokuma Federal Constituency of Bayelsa state moving the motion alluded to allegations of interference by the ministry of finance in the affairs of SEC, particularly the Oando forensic audit and allegations of corruption which were responsible for the suspension of the chief executive of the agency.

He therefore called on the House to carry out the investigation to ascertain the true situation at the commission, adding that the conflict between the minister of finance and the suspended director general if allowed to persist would rub on the image of the exchange and affect the interests of local, and foreign investors.

According to him, “the conflict has not only led to the suspension of the SEC director general but also the head of the legal department and the head of media on November 29, 2017.

It has also led to the setup of an administrative panel of inquiry and the appointment of acting director general by the minister of finance.

“The conflict has allegedly lingered for several months between the ministry of finance and the Securities and Exchange Commission, but the matter of Oando disagreement brought it into the public domain,” he added.

Contributing to debate on the motion, Rep. Toby Okechukwu said that the rot at the exchange contributed to the collapse of the capital market in Nigeria.

“What is happening in SEC is symptomatic of the collapse of the capital market. I wouldn’t know why infractions should be swept under the carpet. The Nigerian people should be told why the infractions of Oando will be swept under the carpet.

“Nigerians should know why the minister cannot be investigated. Nigerians should know why the director general was sacked. A panel of inquery is needed to unravel happenings in SEC”, he said.

Also speaking, Rep. Sanni Kaita said that the exchange was too sensitive and important to be left be unattended to.

“SEC is very sensitive and very important to Nigeria and the international community. Should we allow the investigation to go on without knowing what happened?”, he queried.

Securing the nod of the House when the motion was put to a voice vote, the presiding officer, Speaker Yakubu Dogara mandating the House Committee on Capital Market and Institutions to investigate all the allegations and report its findings to the House within two weeks.

In a related development, the House has mandated its Committee on Power to investigate the interim management of the Transmission Company of Nigeria (TCN) for the delay in the execution of $300 million Nigeria Electricity and Gas Improvement Project (NEGIP).

The decision followed the adoption of the motion sponsored by Rep. Abubakar Ahmed from Gombe state.

Moving the motion, Rep. Ahmed expressed worry that the TCN has not been able to implement the NEGIP project over time.

He said that “the House is concerned that there was negotiation between TCN and the World Bank of the sum of $468 million for the proposed Nigeria Electricity Transmission Project (NETAP) scheduled for August 29 which had been postponed due to changes made to the staffing of the Project Management Unit (PMU) for World Bank assisted projects in the Transmission Company of Nigeria (TCN).”

He expressed worry that due to the non -compliance by the interim managing director of TCN to changes to the PMU, the action will not only affect future projects but may also impact negatively on the implemetation of the ongoing projects,

such as the $300 million Nigeria Electricity and Gas Improvement Project (NEGIP) and technical assistance to support the power sector recovery programme.

Henry Omunu, Abuja