EFCC report exonerated me – Nnamani
By PADE OLAPOJU
Thursday, October 5, 2006
• Gov. Nnamani

Contrary to the belief that Enugu State was indicted by the report of the Economic and Financial Crimes Commission (EFCC), Enugu State Governor, Dr. Chimaroke Nnamani, says that the EFCC report rather exonerated him.

According to the governor, who spoke in Enugu, the EFCC report only said that there was variation on contracts and did not take into consideration many things.

“The EFCC report is an exoneration. It shows clearly that these contracting companies do not belong to government officials. You can see that they were commended, exonerated in the sense that the EFCC report had commendation for the contractors. We had statements in the report saying that the contract prices were under-priced, we had statement saying that the roads were done very well and the quality of the job, the building fine and commendable. So, if you look at the EFCC report, if you really look at it, not the first reading, not even the second reading, the third reading, forgetting the theatre and drama which is of course, inherent in African culture… it is an exoneration of the government of Enugu State,” Nnamani said.

The governor spoke on these and many other things.
The EFCC Chairman was before the Senate recently and made some allegations against Enough State. What is your response?
I will like to stay on the positive side to talk about the progress and development here in Enugu State. However, if you insist, and the fact that the issue is on the front burner, as it were, I can respond. The EFCC reports, as you know, borders on three major issues. One is the issue of contractual obligation. Two is in the issue of my estimated net or asset value. Third, the issue of local government allocations.
On the first issue, we see the EFCC report as an exoneration, an exoneration in the sense that we feel that with what appears to be a price variance in the value with which the government awarded the contract and the value of the assessment of their experts or consultants, the total contract value is about a little over N30 billion.

The EFCC engineers or experts who spent three days in Enugu admitted they saw about 70 percent of the projects and said that, contrary to that, the projects should have been valued about N2.8 billion less. We believe that that variance is not statistically significant and could be subject to either an increase or decrease based on the valuation of other consultants or experts. In addition, as you know, clearly, the contract value could be subject to energy cost, in terms of fuel, diesel. It could be subject to labour cost. The rate could be subject to availability of materials. It could even be subject to climatic changes, vis-à-vis, and the weather. For us, it is an exoneration. If in this age of all sorts of accusations about contract inflation, there is price variation of N2.8 billion on a N30 billion total contract value, I believe it is something that is commendable and within the norms.
Also, part of the accusations is one regarding the ownership of the contracting company. You can see clearly that the government was exonerated in that regard. Certainly, the report did not have any finding regarding the ownership of this company by government. On the issue of the wealth of the governor, people say there is an estimated N50billion asset value that is about 400 million dollars. EFCC reports suspects that N2.8 billion was the contract variation. When you look at the net allocation between 1999 and 2003, which amounted to about N30billion, you find out that it just defeats that argument. Between 1999 and 2003, we got about N30 billion. From there, we paid salary and other emoluments and ran the government.

Remember, these were the early days of allocation of N100 million a month, N400 million a month, N500 million a month and now N1.5 billion a month, with expenditures of about N800 million to N1 billion. About N250 million goes for teachers’ salary per month, N250 million for civil servants’ salary, the rest took care of other leave allowance facilities, pension, subventions to parastatals and service, which will give you about NI billion. It is only about 500 million left to pay for contract obligations and other emergencies of the government. It is not possible. That is certainly not correct.

Then the third issue has to do with the local government. We have stated, repeatedly, that local governments are issues within the purview and authority of the state government as confirmed by the constitution and the Supreme Court. It therefore, becomes a constitutional paradox as to whether an agency that cannot oversee an institution can have its sub-agency undertake the same responsibility. Therefore, if the Federal Government cannot oversee or supervise local government, I doubt whether sub-if its agency can do that. Having said that, outside the issue of legalities, I can say clearly that when it comes to issue of fraud, embezzlement, even the man in the street, even the NGOs can oversee any institution. Without being legalistic, we can say that our allocations were handled appropriately as confirmed by the Joint Local Government Account Committee and the House of Assembly, through its committee on local government matters.

The other area that they also talked about was the ownership of companies by relatives of the governor. Yes, we never denied that fact. We have stated repeatedly that those investments are laudable investments and we are happy to have them here in Enugu State. Our relatives are free to do business anywhere in the world, especially here in Nigeria, under constitutional democracy, more so as they are contributing to the economy of Enugu, as long as there is no diversion of government fund to these investments. To summarize this issue, I must give credit to President Olusegun Obasanjo and to the Federal Government for this anti-corruption agency, as part of actions to move Nigeria into a globalized world. It has yielded fruits, in terms of removing the so-called pariah status of the country and inflow of investments.

I believe we can give credit to EFCC too, that its activities have played a major role in the areas of sensitization, in the area of enlightenment, in this field of anti-corruption. There is an awareness. For us in Enugu State, there is an awareness. Where otherwise brown envelopes would have been passed, they are not passed anymore. It gives us the opportunity, during this summer of our administration, to dot our I’s and cross our T’s. Even though the investigation was and still is not pleasant, it has enriched us. It has made us much stronger. It has made us much aware of our responsibilities. It has also exposed areas of improvement. There are areas of the report we could use to improve governance in Enugu State. We did not even wait for the report. As soon as the EFCC came, by the time they were here, three or five days, we knew the areas they were concerned with and we had to act on those areas.

The EFCC also said that the contracts were inflated…And again, could you tell us the rationale of stating that the Obasanjo government is a God-sent to Nigeria?
We certainly would never do that. For what targeted purpose? I have just proved to you that what we run in Enugu State is a government of excellence; our excellence would not permit such in our system. Having said that, to your second question, Nigerians have achieved a lot. We have a country that is in the summer of history, a country that is certainly mature in growth, development maturity. We can say that we have to talk about Nigeria in the context of its leadership. In the PDP a few weeks ago, we designated President Olusegun Obasanjo as the father of modern Nigeria, father of modern Nigeria in the sense that no individual alive in this country has shown a clear parallel in the area of evolution between man and country.

A leader that has bestrode the firmament of the nation state, even in few years prior to independence; a leader that has played in the area of Bukavu in Congo, involved in the immediate post-independence stages and evolution of the Nigerian Army, activities that saw us through the civil war, the post civil war rehabilitation, the immediate civil war rehabilitation and the establishment of peace; a leader that saw us through what appears to be the first formal hand over from military government to a civil government; a leader whose period in government saw what appears to be Nigeria’s own Marshal Plan, with expansion of various areas of development, infrastructure roads -- Enugu-Port Harcourt expressway, Enugu-Ontsha expressway, expansions in the universities, teaching hospitals expansion of the airports, sea ports and river ports, expansions in the areas of agriculture and of course today’s Nigerian diplomacy came of age and now a leader that is seeing us through a re-awaking, a re-engineering.

That is why we say he is the father of modern Nigeria. Seven years of governance that have seen active efforts to globalize Nigeria in the three cannons of globalization, information technology, privatization, stakeholders developmental governance, a reform process that has seen the expansion of the telecom industry, the so called GSM; has seen the liberalization of energy sector, has seen the attendant effect of economic diplomacy, with debt relief and of course, reform in the public sector and of course the banking sector. Certainly, 46 fruitful years and the past seven have marked the crescendo of that fruitfulness.

With what you have done in Enugu State, would you say that you have achieved your best for the state?
We have had time to go through this, repeatedly. What God has given us the opportunity to do in Enugu State is what can be described as ordered development, ordered development in response to what we saw as an urgent need to provide things on the ground; what we describe as dividends of democracy, things on ground for our people in exchange for their votes: aggressive infrastructure development. That was what we did for the first years of governance, building roads, providing water, providing rural electrification and providing enabling environment for the private sector to thrive. We felt that it wasn’t just the forces, as it were, that would protect democracy. We felt that the people were going to protect democracy and if they were going to do that, democracy had to mean something to them, something concrete, which we defined as dividends of democracy. That was the first thing we did.

As we moved on to the second tenure, we had the opportunity to be exposed to certain people and certain programmes. We started talking about poverty, we started talking about the Millennium Development Goals, with over 40 quantifiable indicators in looking at the problem of alleviation of poverty by 2015, the United Nations Millennium Development Goals, looking at poverty, looking at hunger, looking at gender empowerment and parity, looking at Universal Basic Education, infant mortality, maternal mortality, looking at HIV/AIDS/malaria, looking at environmental sustainability and global partnership.

We now decided to partner with development agencies towards poverty reduction, towards achievement of the Millennium Development Goals. We now went through a process of stakeholders’ developmental governance, to first define poverty in Enugu State and work out a parameter to alleviate poverty.

This parameter could be the sole guide for developmental governance. We looked at poverty, either in terms of monetary definition; that is poverty of those that earn less than one dollar a day. We looked at defining poverty in terms of capability approach, where the system does not provide an environment for people to maximize or express their capability. We looked at poverty in terms of social exclusion, where the system excluded some people, either due to race, due to age, or due to infirmity. We also looked at poverty in terms of participatory index, which is what obtains today.

Based on that, we set out guidelines to attack poverty in Enugu State, which we did through health and human services, what we call the School Meal plus programme, first implemented here in Enugu State, where school kids are given one meal a day. It is called School Meal plus because it is more than a meal. It is a programme that provides a meal to a child. Prior to that, the child went through some medical evaluation, to check for morphometric data, to check for the weight, to check for the height, look at the vision, the hearing, look at dentition, for data collection. That is, for the index child, for the siblings, are they in the school? Are they in the health care system? For the mother, is she in the antenatal care system? It was also a partnership programme. As you know, Enugu State is actively involved with development partners, DFID and other agencies. It was a programme we did in partnership with DFID, UNICEF and other agencies.

In addition to the meal at school, we provided vitamin supplementation, provided malaria and other drug supplementations, where needed. What we achieved in the area of poverty is a part of the Millennium Development Goals. By giving food to that child, you are decreasing hunger; the fact that it is home grown and prepared within the system, it reduces poverty. The School Meal plus programme has shown an increase in weight over time for the index child. So it means you are having effect on child mortality.

The fact that the programme was associated with a 200 percent increase in enrollment, total increase enrollment, not just increase of kids but total enrollment, you are working on the Universal Basic Education. Because boys come, girls come, gender parity. So far, there is component for maternal care, you are affecting maternal mortality, same with HIV/AIDS/malaria. It is home crown because of the association with other partners.
The same areas where you are implementing the School Meal plus programme, you are also working with a rural water and sanitation agency.

We are doing VIP latrines and we are also doing boreholes, shallow bole-holes if needed and through rural electrification board, we are providing transformers there and some component of environmental sustainability and of course, because we are working with development partners, there is a component of global partnership. This is just an illustration of how one programme can effectively demonstrate a holistic developmental governance.

We also had other areas, reform process, in the health system, with our health district – Enugu has what is called formalized health district system, a programme with DFID, through Partnership for Transforming Health System and also through the health procurement project, we got assistance from the government of the United Kingdom . We also have reforms in the Criminal Justice System, Access to Justice and now Security, Justice and Growth, reform in our criminal justice system, with refurbishment of ministry of justice, provision of computers, generators, with capacity building for our traditional rulers in the areas of alternative dispute resolution and in the areas of formal documentation of their activities. Also, a Citizenship Rights and Mediation Centre and also reforms in our land registry.

In the areas of wealth creation, we also work with an advisory centre – Small and Medium Scale Advisory centre – and also development of business bank and also development of community business organizations. These are communities around the junction towns, junction towns little Obollo-Afor, like Orji-River, Emene, Ninth Mile, Ozalla four corners. We also looked at budgetary reforms, budgetary reforms in the sense that we do what you call right sizing. And also, we did identification, looked at our staff. We did computerized payrolls and also computerized ID so that right now, all workers are on the computer that leads to a decrease even in the wage bill because the issue of ghost workers was put to rest.

We also got a programme called budgetary evaluation and management team where government, together with NGOs, monitored the body and its implementation. Of course, we also did publication and dissemination of information in the areas of public sector reforms. Our civil service went through reforms and parastatals and library board and fire service went through reforms in the areas of revenue generation, in the areas of operative cost, in the areas of capacity building and the areas of service delivery, service delivery in term of response time.

I believe the best parameter to assess the success was the benchmarking process, the SEEDS benchmarking process done by development partners and the National Planning Commission, a process in which Enugu State scored highest and it looked at vision, looked at service delivery, looked at budgetary and fiscal policy and looked at transparency and communication. I believe that just as the EFCC, I don’t see any other parameter to assess governance than parameters of non-partisan development partners, working with the National Planning Commission, an assessment in which Enugu State came number one in terms of performance. This, in a nutshell, is to tell you what has been happening.

In addition to this, we still embarked on certain aggressive infrastructure programmes to secure the future of our children. We built the permanent site of the our state University of Science and Technology sitting on 600 hectares of virgin land with four hostel blocks, each hostel taking about 4,000 students with rooms en-suite. We’ve built eight faculty buildings, specific, in terms of what was needed, with an administrative block, auditorium, two cafeteria, lecture theatre, library, chapel, VC’s lodge and 100 units of junior staff quarters, medium staff and senior staff quarters and of course, provided infrastructure, asphalt road, electricity, water, generators. We also built a Teaching Hospital, state of the art Teaching Hospital already commissioned, has the same hostel, clinical science building, laboratories, anatomy lab, lecture theatres, auditorium, and all the facilities for a modern Teaching Hospital can compare to the best in Africa and certainly could be described as best in Nigeria. You can go take a look. We built the first underground tunnel in Nigeria. We also built judiciary headquarters, computerized 18 courtroom chamber buildings, with a different chamber for the chief judge. We also embarked on an international conference centre, nothing comparable, 5, 000 main bowl, 2, 000 medium bowl and 1, 000 small bowl.

I will say that it is 75 percent or more completed. You can take a look. We also dualized a lot of roads, but more importantly, we are building capacity, building human capacity through stakeholder driven reforms. We also secured our state, working with the joint patrol by the police, the army and the air force and providing vehicles, over 30 vehicles, to the security agencies within this period, and many communication engagements and I can tell you that crime has dropped in our state compared to other states. We also built capacity in other areas, in the areas of legislature, in the area of NGOs and we did a lot in the area of HIV/AIDS in Enugu . Certainly, Enugu is working.
Have you achieved all you wanted to achieve?
No, we’ve not, certainly we’ve not. We’ve had limitations in the areas of fund. We’ve limitation in the area of capacity and one can say that since January this year, we’ve also had limitations due to EFCC investigations. You know officers of government were taken to Lagos , several times. Contractors and their associates taken to Lagos many times and we’ve tried, despite that, to do a lot in completing these projects, but I can say clearly, we lost a lot of days this year as a result to responses to these investigations, including travels to Lagos.
The game plan of the opposition and part of the reasons Enugu remains on the front burner of EFCC seems to be to make sure that you lose your firm grip on the party structure. Do you share that view?
I don’t share the view of Enugu being on the front burner regarding EFCC. Enugu is a new comer to EFCC. Our own started in January, others have been going to EFCC years, weeks, and months. We are certainly not on the front burner. We refuse to have EFCC being the issue of the front burner. What is on the front burner in Enugu State is developmental governance, excellence in governance, and front burner in the sense that the president came here and confirmed it and said that Enugu is working. Our development partners confirmed it, 14 European ambassadors came and confirmed it and of course, the bench marking process confirmed it. What is on the front burner for us is that Enugu is working, developmental governance-wise. Having said this, quite unlike many, we have refused to say that our experience is political. It is certainly not political. It was a welcome experience. We said from the beginning when EFCC came that we do welcome them. It is not pleasant but it is a welcome experience, welcome experience in the sense that we have learnt from it, we have matured. We have, certainly.

It has also helped us to define some moral dilemma, ethical dilemma in governance, ethical dilemma in terms of, for example, using leverage or contacts to help relatives. As you know, this is a grey line and an area that I hope to do a lecture on someday, so that we can really define the matters of ethics and matters of clear-cut corruption. We refuse certainly to say it is political, it is rewarding, not pleasant; it is certainly rewarding. The opposition must have their say. That is the essence of democracy. They must have their say. In Igbo, we say, I ga eti nwatakiri ihe si ya ebala akwa, which means, you don’t just spank a child and expect that child not to cry! I’m sure you know that, compared to many states, Enugu is politically locked up. There is no competition here.

We are in total control of Enugu . We are in total control of the political process in Enugu, from the wards, all the way up, which means that our group will dominate at all levels, including at the level of presidency – presidential support, who we are going to support for the presidency, governor, Senate, House of Representatives, chairmen, councilors. It is one group in Enugu State, and that group is also working in tandem with the political situation at the federal. When you have such total control, the opposition has to do something. Man has to shake body somehow! We don’t subscribe to this name calling of politics. EFCC, when they came, they were welcomed, they are still welcome, it has been a rewarding experience, though not pleasant, and we believe that as far as anti-corruption exercise is going, the EFCC has worked, the president has worked and more importantly, Enugu is working!

Talking about ethical dilemma, the report says the company, which supplies vehicles to your state, is owned by one of your relatives. Can you confirm this?
Yes, I can confirm it. That was why I said it is an ethical dilemma. One of the companies that supplied vehicles to Enugu State, one of my relatives has majority share holding there. Were the vehicles supplied at market prices? Yes, they were. Were the vehicles supplied in good condition? Yes, they were. Was there a bidding process, transparent with integrity? Yes, there was. Is it indeed possible that if my relatives were not to have share holding in these companies, they could not have the access, even bid or supply? It is possible. That is why I say it is an ethnical dilemma. Will I do it again? No, I will not, because it is not worth the wahala. That was why I said it is an ethical dilemma and an area that maybe through lectures, maybe through orientation courses, Nigeria has to address. Also, the issue of contacts, the issue of networking, the issue of phone calls. For example, is it possible that if my relatives did not have share holding in this company, that they could not have supplied the vehicles? It is possible; it is yes or no, it is an ethical dilemma, it is a moral dilemma. Have we learnt from it? Yes, we learnt from it.

It is not worth the effort, but I can tell you that the company was not the only dealer that supplied vehicles to government, though it was through a transparent bidding process and the vehicles supplied were supplied at market prices. Were there advantages to the government? Yes, there were advantages to government because when you do business with a group, you know things can be supplied on credit while payments are made later. Would the others have the confidence to do that? They may not. It is an ethical dilemma. Has it profited me in any way? No, it has not. It is not worth the effort. A government that spent 14 billion Naira building a university, about N5-6 billion building a Teaching Hospital, maybe N1 billion or thereabout building a judiciary headquarters and many billions building roads, would that government official or governor, if they were corrupt in the first instance, do that? You can’t be talking about a hundred thousand naira, 50 thousand naira from local governments when you are paying N14 billion and spending all those money.

I said that the EFCC report is an exoneration. It shows clearly that these contracting companies do not belong to government officials. You can see that they were commended, exonerated in the sense that the EFCC report had commendation for the contractors. We had statements in the report saying that the contract prices were under-priced, we had statement saying that the roads were done very well and the quality of the job, the building fine and commendable. So, if you look at the EFCC report, if you really look at it, not the first reading, not even the second reading, the third reading, forgetting the theatre and drama which is of course, inherent in African culture… Once something happens, once his name is mentioned in allegations, then he must be guilty; whatever we read in the newspaper is true. They feel that theatre and drama. So forget both the theatre and drama and go read the EFCC report, it is an exoneration of the government of Enugu State .
The Senate set up a committee on what it said was the collapse of the local government in Enugu State.

What is your reaction to this?

No, it is straightforward, we are in a democracy. Democracy is a wonderful thing. The senators will be here in the next few minutes, they will be here 12pm or thereabout. We are going to welcome them, we are going to give them a red carpet reception. I’m going to dialogue with them; they are going to meet the House of Assembly and organize a public hearing. We are not looking at a senator, we are looking at distinguished senators of the Federal Republic of Nigeria , we are looking at strong opinion moulders, representing various opinions in Nigeria . We look at the Senate as a microcosm of the Nigerian nation and when they come calling in Enugu State, we are not going to resort strictly to legality, even though we know that the constitution, Section 7 states clearly that local government business is the state government’s business, even though we know that two or three judgments of the Supreme Court have confirmed that local governments are the business of state governments. When great leaders of society come to Enugu , it is my responsibility as a host to open the book as it were rather than to resort to legality.

2007 is here and it is clear that you cannot go for a third term. Do you have a successor in mind?
I have many successors. We have a mansion, our house is a house of many children; big mansion and there are many children that can fit into these many rooms in that big mansion. So, we have a myriad of successors. What is important to us is that our philosophy of governance continues and whoever goes there will understand the history, the essence of history that if you know where you are coming from, you know where you are and where you are going. I believe that the pertinent issue for us in Enugu State is that God has given us the opportunity at this stage to try to replicate, to try to continue the dream and vision of our great forefathers, the Eyo Itas, the Nnamdi Azikiwes, the Akanu Ibiams, the Ojukwus, the Michael Okparas, the Ukpabis, the Imokes, MT Mbus. God has given us the opportunity to continue with their vision. Where Azikiwe built a university, today we, his children, can say that we have also built a university; where Okpara built the Government House, built legislative building, we can say that we, his children, have been able to complete the third arm by doing the judiciary headquarters; where he built pedestrian subway, we, his children, have also built a vehicular subway; they built capacity, we have also built capacity.
What is important to us is not 2007, what is important to us is that we have achieved some level of permanence in the firmament of the social history of our people, so that 50 years from now, when the story is told, we are going to be counted; when they are going to look at footprints, they will see our footprints, and more importantly, they would say that we passed through.
Some of your colleagues have signified intentions to run for the presidency, why have you not?
Well, the presidency of this country is not subject to individual interest but rather, collective interest, and we subscribe to that collective interest.

Do you want to contest the presidency, vice presidency?
(Cuts in). No, contention does not arise. We are not going on a presidential hunting but I will say that there is a collectivism in the presidential pursuit in Nigeria and we subscribe to that collectivism.

What would you like to be remembered for?

Simple: I will like to be remembered as an apostle of what the President espoused a few weeks ago, when he talked about the can-do spirit of man. Having spent quite some time in the United States, I can relate with that, the spirit of human achievement, the spirit of man’s pursuit of excellence, the spirit of man daring to achieve, going beyond the norm, man going beyond the norm because what differentiates man from animals is that, where animals vegetate; if they see food, they eat and if they see water, they drink, man provides food, man provides water, man changes his environment. I can say, with all sense of humility and respect and with gratitude and glory to God, we have changed Enugu State positively, permanently. Enugu will never be the same again.

What kind of president do you envisage for the country after 2007?
2007, we will expect the president in the mould of President Obasanjo, in the areas of infrastructure development, in the areas of reform, in the area of security, in the areas of economic diplomacy. We expect an engineering or building process that will continue. Where President Obasanjo did the foundation, we expect a president to continue the building; where President Obasanjo put the window panel, we expect a president that will put the glass; where President Obasanjo did the roof, we expect a President that will do the ceiling; we also expect the continuity of the reform process, reform process in the area of developmental governance, reform process in terms of privatization, reform process in the areas of information technology; we expect further extension of the telecom industry, and further reform and liberalization of the energy industry; we expect a continuation and even expansion of an agrarian revolution; we expect attention to housing, both rural and urban; we expect implementation of transportation matter plan.

As you know, a few weeks ago, the president provided the nation a transportation master plan that addresses the rail-road system, that addressed the water ways, that addressed air transportation as an intra-complimentary-sector; we expect the master plan to continue in the master plan to continue in the sense of data collection, census of movement, who goes where; we expect the component of economy to come into it; we expect continuation in the areas of attention to air safety; we expect attention in terms of intra-boarder trade; we expect continuation of economic diplomacy; we expect continuation in being a strong voice in Africa, not just in Africa but a strong voice representing Africa in the United Nations, the financial Institutions, the European; we expect a strong voice for poverty, a strong voice for HIV, a strong voice on small arms proliferation; we expect a strong voice that will maintain the sanctity of democracy in the whole of the nation; we expect a strong voice that will defend Nigeria and


 

 

 

 

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