The Senate, Monday, says it had uncovered N42 billion appropriation from the 2019 budget proposal for a Special Economic Zone Company under the Federal Ministry of Industry, Trade and Investment.
The Senator Sabo Mohammed (APC Jigawa North West) led Senate Committee on Trade and Investment explained that Senate has rejected N15.633 billion in the Ministry’s 2019 budget proposals tabled before the committee for approval following the discovery of the illegal company.
The alleged Economic Zone company reared its head when Dr Okechukwu Enelama, the Minister of Industry, Trade and Investment, appeared before the committee, Monday, for budget defence session, just as he presented a booklet containing 2019 budget proposal for all agencies under his ministry.
Trouble started when immediately he presented his report, the Chairman of the committee then referred him to item 2 on page 7 of the booklet which has N42.091 billion budgetary allocation for Nigeria Special Economic Zone Company not known to be one of the 17 agencies under the ministry.
Responding, the Minister who told the Committee that the Company was established through Presidential initiative and approval given to it at cabinet meeting in May 2018, adding “One of the areas that this government has focused on is infrastructure. The second area is industrialisation and the two have something in common.
“If the government tries to do it alone, it would be extremely tasking. So the President directed that we should bring other partners that can combine with whatever monies we have to build world class infrastructure which led to the establishment of the company in partnership with other investors.”
But when he was further asked to tell members of the Committee, owners of the company, the minister said that the Federal Government and other shareholders to which the committee chairman proved him wrong.
According to the Chairman of the Committee , a document obtained by them from the Corporate Affairs Commission, CAC, containing information on how the company was registered, shows that the Company’s name is Nigeria Sez Investment Company Limited and not Nigeria Special Economic Zone Company listed the documents presented by the Minister, adding, “Ownership of the company as clearly stated in the document obtained from CAC on the 26th of last month designated as Directors are Dr Bakari Wadinga , Mr Olufemi Edun and Ms Oluwadara Owoyemi.
“The document clearly States that the company is a private company and that liability of the members are limited by share which as shown, gives Federal Government 25 percent and 75 percent to the private individuals.”
At this point, Okechukwu Enelama who made attempts to convince the lawmakers, said that the initiative was driven by the Federal Government but they all declared that the process of putting it up ” is misnomer and nothing but financial ambush to the Nigeria.”
At the end of the day, the Senators directed the Minister to forward detailed written explanation on how the company got into appropriation list, its management staff, the staff strength and statement of account before the Senate can contemplate any consideration of the 2019 budget proposals.
