The Economic and Financial Crimes Commission, EFCC, is beaming its searchlight on a top Nigerian commercial bank, the United Bank of Africa, UBA, over the ongoing financial saga rocking the Ministry of of Humanitarian Affairs.
On Sunday, President Bola Ahmed constituted a probe panel headed by Wale Edun, the Minister of Finance and Coordinating Minister of the Economy to probe an alleged financial diversion against Beta Edu, the Minister.
According to Presidency sources, the EFCC has been ordered by the president to investigate the Oliver Alawyba-led commercial bank and owner of the bank account into which Edu directed the whopping sum to be paid.
“EFCC investigation will include demand from the management of UBA to furnish the anti graft agency with necessary documents and relevant information regarding the owner of the bank account, and her relationship with the embattled minister,” sources in EFCC told the magazine on Monday.
According to the sources who spoke, this is not the first time the commission had been involved in investigating top public officials who opened bank suspicious accounts in commercial banks with the aim of stealing public funds.
“The commission is currently prosecuting Godwin Emefiele, a former Central Bank of Nigeria, CBN, for opening multiple accounts locally and internationally without the knowledge of the federal government,” the source said.
Commercial banks, the source further stated, cannot be totally excuse from the problem of public fund diversion, saying some commercial bank officials have been quizzed in the ongoing probe of Emefiele.
Edu came under scathing public condemnation following a memo she sent to the Accountant General of the Federation, AGF, to pay close to N600 million into a private account.
The Minister, according to the leaked memo directed that N580 million which is suppossed to be paid to some Nigerians in four states under the ministry’s poverty alleviation programme be paid into the United Bank for Africa, UBA account number 0020208461037 belonging to one Onyelu Bridget.
The states are Ogun, lagos, Cross Rivers and Akwa Ibom state.
The memo from the minister to the AGF with reference number: FMHAPA/HQ/S.208 and dated December 20, 2023, was titled: ‘Mandate for payment grants to vulnerable groups in Akwa Ibom, Cross Rivers, Lagos and Ogun states’ respectively.
The letter, read: “I hereby approve the payment for the accumulative sum of five hundred and eighty-five million, one hundred and eighty-nine thousand and five hundred naira (N585,180,500.00). These are payments for programmes and activities of the Renewed Hope grants for vulnerable groups.
“Details provided below: 2023 grant for vulnerable groups in Akwa Ibom State, N219,429,750.00; 2023 grant for vulnerable groups in Cross Rivers, N78,828,750.00; 2023 grant for vulnerable groups in Lagos State, N219,462,250.00 and grant for vulnerable groups in Ogun State, N72,468,750.00 with total at N585,189,500.00.
“The payment should be made from the National Social Investment office account with account number 0020208461037 to the project’s accountant’s details listed above as Onyelu Bridget, UBA account.”
Her action elicited angry reactions from not a few Nigerians, including Femi Falana, a senior Advocate of Nigeria, SAN who insist that Edu’s action violates the country’s extant financial laws.
The Minister’s further came under public opprobrium after the Accountant General of the Federation, Oluwatoyin Madein said she refused to execute the memo because it is against the country’s financial laws, describing the memo as “inappropriate transaction”.
Bawa Mokwa, the Director Press in the office of the OAGF, said in a statement: “The Accountant General of the Federation (AGF), Dr Oluwatoyin Madein, has clarified that the OAGF does not make payments on behalf of MDAs for projects and programmes implemented by the MDAs.
“The AGF was reacting to media reports concerning a request from the Ministry of Humanitarian Affairs and Poverty Alleviation to pay grants to vulnerable groups in some States of the Federation.
“She stated that allocations are released to self-accounting MDAs in line with the budget, and such MDAs are responsible for the implementation of their projects and payments for such projects.
“In a statement in Abuja, the AGF explained that although her Office received the said request from the Ministry, it did not carry out the payment. The Ministry was, however, advised on the appropriate steps to take in making such payments in line with the established payment procedure.
“The AGF noted that in such situations, payments are usually processed by the affected Ministries as self-accounting entities and no bulk payment is supposed to be made to an individual’s account in the name of Project Accountant.
“She added that such payment should be sent to the beneficiaries through their verified bank accounts. Dr. Madein reiterated her determination to uphold the principles of accountability and transparency in the management of public finances. She advised MDAs to always ensure that the requisite steps are taken in carrying out financial transactions.”
Section 713 of the 2009 Public Sector Financial Regulation law, states, “Personal money shall in no circumstances be paid into a government bank account, nor shall any public money be paid into a private bank account. An officer who pays public money into a private account is deemed to have done so with fraudulent intention.”
The Minister, a former commissioner in Cross Rivers state, has defended her action, saying she complied with public service rules.
Falana while calling for a thorough probe described Edu’s defence as an insult to Nigerians, stressing that the minister’s action constitutes a felony even though the Accountant General of the Federation had stopped the fund diversion by refusing to comply with the minister’s order.
The human rights lawyer said: “It is public knowledge that the Minister of Humanitarian Affairs and Poverty Alleviation, Dr Betty Edu, recently directed the Office of the Accountant-General of the Federation to pay a whopping sum of N585.18 million to a private account owned by one Oniyelu Bridget, who the ministry claimed currently serves as the Project Accountant, Grants for Vulnerable Groups in Akwa Ibom, Cross River, Lagos and Ogun states.
“Happily, the Accountant-General of the Federation, Dr. Oluwatoyin Madein, rightly rejected the illegal directive and refused to pay the said sum of N585.18 million to the agent of the minister.
“It is interesting to note that the minister has not denied that she gave approval for the payment of the over half a billion Naira to a private account in contravention of the extant Public Service Rules as well as the Independent Corrupt Practices and Other Offences Act and the Penal Code applicable in the Federal Capital Territory.
“Instead of apologising to the federal government and people of Nigeria and calling it quits for betraying the confidence reposed in her, the minister has arrogantly said the N585.18 million fraud allegation is a mere fabrication by her detractors and an alleged attempt by mischief makers to undermine her ministry’s effort in fighting corruption and uplifting the needy.
“However, notwithstanding that the Accountant-General of the Federation has successfully frustrated the criminal diversion of the said sum of N585.18 million from public treasury, it is crystal clear from the leaked memorandum of the minister that the offence of an attempt to commit a felony has already been completed.
“There can be no legal justification for the criminal diversion of the said sum of N585.18 million for disbursement to vulnerable people in Akwa Ibom, Cross River, Lagos and Ogun states since the Ministry of Humanitarian Affairs has collated the individual bank accounts of all the vulnerable people
“Having regard to the facts and circumstances of this extremely embarrassing drama, we commend the Economic and Financial Crimes Commission for the recovery of the sum of N37 billion meant for vulnerable people in Nigeria.
“We also call on the commission to speed up the ongoing investigation of the Ministry of Humanitarian Affairs with a view to charging all indicted persons before the High Court of the Federal Capital Territory as soon as possible,” Falana stated.
