Recommendation 1:
Mrs. Saliu afore named be
traced and made to refund to NAL the sum of
N1,482,982.00.
Comments: Government accepts this accommodation
and hereby directs the Federal Ministry of Justice and the Nigeria
Police Force to recover the sum of N1,482,982 from Mrs.
Saliu.
Recommendation 2:
Mrs. Isiaku Arowosofe and Mrs.
Irabor should refund to NAL the sum of N194,448,86. On their failing to
do so they should be prosecuted for the offences of conspiracy and
stealing.
Comments: Government accepts this recommendation and
directs the Federal Ministry of Justice and the Nigeria Police Force to
recover the sum of N194,448,86 from these two ex-staffers. They should,
in addition, be prosecuted in order that this may serve as deterrence to
others.
Recommendation 3:
Transmission Travels should
refund to NAL the sum of N500,000 being the value of the ticket fraud
perpetrated by that company against NAL's financial
interests.
Comments: Government accepts this recommendation.
The Federal Ministry of Justice and the Nigeria Police force are hereby
directed to recover the sum of N500,000 from Transmission
Travels.
Recommendation 4:
Olaseinde; Olatokun; Aikoroje
and Etukwere should jointly and severally refund to NAL the sum of
N160,0000 (One Hundred and Sixty Thousand Naira) and on their failing to
do so should be duly prosecuted for the offence of stealing and
fraudulent conversion of property.
Comments: Government
accepts this recommendation.
Recommendation 5:
The CES Travel Contract
Agreement
The commission recommends that (a) Alabo Tonye Graham
Douglas (b) Maj. - General (rtd) Olu Bajowa (c) Alhaji M. Abdusalam (d)
Messrs U.S. H. Maigida and (e) T. Mgbor; should refund to NAL jointly
and severally the sum of U$6.3 million being financial damages to NAL,
occasioned by their unilateral acts of terminating that
contract.
Comments: Government accepts this recommendation and
directs appropriate agencies of government to recover the
money.
Recommedation 6:
The sum of N2.0 million
unlawfully approved by Captain Mohammed Joji as Imprest Account for Miss
G.N. Hembah be recovered from him.
Comments: Government
accepts this recommendation and hereby directs the Federal Ministry of
Justice and the Nigeria Police Force to take appropriate steps to
recover the sum of N2.0 million from Captain Mohammed
Joji.
Recommendation 7:
For the very bad Management
decision which resulted in the loss of N40 million of NAL funds, it is
the considered view of the Commission that Captain Mohammed Joji and
NAL's Director of Finance, Mr. Afam Nwagboso should refund to NAL the
sum of N40 million which they lost to CMB, since no reasonable
Management which had the interest of NAL in mind would have used CMB as
the collection bank when financial institutions such as First Bank of
Nigeria Limited, Union Bank of Nigeria Plc were available with better
and more widespread branch networks nationwide, additional to their
being very well established financial
institutions.
Comments: Government accepts this
recommendation and hereby directs the Federal Ministry of Justice and
the Nigeria Police Force to set the necessary machinery in motion to
recover the sum of N40 million from the two ex-officials of
NAL.
Recommendation 8:
The sum of US$2,359,546.93 duly
ascertained by NAL Management on fraudulent manipulation of excess
baggage and hand luggages allowance, etc, by NAL's Jeddah station be
recovered from NAL's Jeddah station area Marketing Manager, Alhaji
Ibrahim Bala. On his failing to do so, the Commission recommends that he
should be duly prosecuted with regards to the offences of stealing and
fraudulent conversion. The Commission also recommends that the forenamed
Area Marketing Manager, it still employed by NAL, should be dismissed
from NAL's service employment.
Comments: Government
accepts the recommendations
Recommendation 9:
That captain Mohammed Joji
should give full account of his disbursement of the sum of US$12 million
paid to NAL as royalty by Swiss Air.
Comments: Government
accepts this recommendation.
Recommendation 10:
That Engineer A.A. Agoin, NAL's
MD, NAL's DES, Mr. Nwagboso and Mr. Idakula, NAL's Legal Adviser should
jointly and severally refund to NAL the entire sum of N6,884,677.72,
following their ill-advised renewal of the Adwork Contract Agreement to
the financial disadvantage of NAL.
Comments: Government
accepts this recommendation and directs the Federal Ministry of Justice
and the Nigeria Police Force to recover N6,884,677.72 from the three
Ex-Officials of NAL.
Recommendation 11:
The termination of appointments
of the four Engineers in the view of the Commission is characteristic of
faulty decision making during the Gana regime. The four Engineers should
be compensated by NAL for the raw deal meted out to them by NAL at the
instance of Captain B. All Well Brown. The 4 Engineers are: K. Bruce,
Engineer O.O. Idowu, Engineer A.C. Dunkwu and Engineer C.E.
Iloeje.
Comments: Government accepts this
recommendation.
Recommendation 12:
That the prolonged rental dues
and occasions of over pricing during the Garuda Maintenance and D-check
with Hak Air totalling US$4,052,234.50 be recovered from Alhaji Jani
Ibrahim.
Comments: Government accepts this recommendaton
and hereby directs the Federal Ministry of Justice and the Nigeria
Police Force to recover the sum of US$4,052,234.50 from Alhaji Jani
Ibrahim.
Recommendation 13:
That the 3 Engineers who were
dismissed by Alhaji Jani Ibrahim under decree 17 should be reinstated
into NAL's service or in lieu duly compensated by NAL for their
premature loss of services. The Engineers are Engr. C.E. Diala, Engr.
Uche Nwoji and Engr. P.E. Adah.
Comments: Government
accepts this recommendation that the three Engineers be compensated.
Their dismissal should therefore be commuted to retirement from service.
The period of their dismissal from service should therefore be taken
into consideration in celebrating their terminal
benefits.
Recommendation 14:
That the outstanding sum of US
$1.225 million that he paid to ALPINE AVIATION without any guarantee is
recovered from Alhaji Jani Ibrahim.
Comments: Governments
accept this recommendation.
Recommendation 15:
That Capt. H. A. Kuti, MD/CEO,
HAK AIR and Dr I. Kubor be prosecuted for the offences of offering and
receiving bribes. The commission further recommends that the sum of N4.5
million be recovered from Dr. I. Kubor and paid into state (FGN) revenue
fund.
Comments: Government accepts this recommendation and
hereby directs the Federal Ministry of Justice and the Nigerian Police
Force to proceed with the prosecution of Capt. H. A. Kuti and Dr. I.
Kubor and also recover the sum of N4.5 million from Dr.
Kubor.
Recommendation 16:
That Alhaji Jani
Ibrahim should refund to NAL the entire sun of US $928,895.25 he paid to
HAK AIR as commission and handling charges as there was no need for
those third party arrangements at the time he made
them.
Comments: Government accepts this recommendation and
hereby directs the Federal Ministry of Justice and the Nigeria Police
Force to act on the matter.
Recommendation
17:
Occasions of NAL's air ticket fraud: The
underlisted Officials and Travel Agents should refund to NAL the sum of
money listed against their names of Agencies as a result of their
fraudulent acts or in lieu should be duly prosecuted in a court of law
for the offences of stealing and fraudulent conversion of
property.
Comments: Government accepts this recommendation
and directs the Federal Ministry of Justice and the Nigeria Police to
record the sums of money listed against such persons or agencies and in
addition prosecute them for stealing and fraudulent conversion of
property.
They are:
Mrs Abimbola
Mrs. C.O. Awosika
N26,959,883.00
Mrs. Adeloye A. B.
Mr. Omoregbe K.
Mr. D.A,
Adebiyi N86,179.00
Deen Travels N629.834.00
Lagustr Travels
N214,854.00
Assab Travels N8,493,796.00
H&B Travels
N6,885,046.00
All Staff Travels N3,027,354.00
Classique Travels
N2,421,105.00
Kinshaha, Mgbengbe M. N123,280.00
Jos, Mrs Dilli
K.M. N3,258,284.00
Ilorin, Mrs. Olobayo T.D. N188,768.00
Abeokuta,
Mrs. Adeluola V.I. N82,768.00
Sokoto, Alh. S.I. Atipebi
N574,969.00
Onitsha, Mr. J. Osukporu N723,469.00
Benin Mr. A.A.
Eehu N1,115,269,28
Ikeja Mr. Aro $203,484.00
Mr. Fakeye US
$108,129.28
Cosvir Travels N7,938,503.00
All Sky Travels
N234,,546.00
Octilon Travels N645,515.00
QCA Travel
N124,548.00
Qualitex Travels N582,433.00
Nokoyo Travels
N235,254.00
FLT Contract Travels N1,337,711.00
AEROSWFT Travels
N1,365,281.00
BOFAM Travels N232,322.00
Onent Travel Agency
N573,035.00
-Mr E. Lebechi N534,247.00
-Mr. J. E. Lebechi US
$19,335.00
-Mr. Samuel N171,990.00
-Mr Audi G.M.
N861,658.00
-Mrs. Apochi A. N155,000.00
-Mrs. V I. Ademola
N1.468,748.00
-Mr. M. Modibo/
-Miss F. P. Gwani
N898,960.00
-Mr. F. O. Adeosun N646,241.00
-Mrs. A.A Shelleng
N26,059,209.00
-Mr. M. A. Akolie N2,616,519.00
-Mr. O. T. Odunlayo
N1,288,850.00
Terms of Reference
B
"Investigate the application of funds, including budgetary
allocations, special grants. Loans of specific projects and proceeds
from the sale of its products and services and make appropriate
recommendation in the light of the
findings".
Recommendation 1
Air.
Cdre (Rtd) Bernard Banta and Rear Admiral (Rtd) Patrick Koshoni should
refund to NAL the cost of Nos. A310 Aircraft, which is US$3,525
million.
Comments: Governments accepts the
recommendation. However, they should refund the difference in the value
of 4 Nos. Aircraft supplied to Nigeria Airways
Limited.
Recommendation 2
AVM (Rtd) Anthony
Okpere and Mr. P. A. Edike, the DES in the ration of 60-40 (i.e. 0.3
million and 0.2 million respectively) should refund to NAL the sum of
US$0.5 million being the deposit paid to the Boeing company for the
botched purchase of 1 Nos. B737 Aircraft and which deposit was not
refunded to NAL.
Comments: Government accepts this
recommendation. They should refund jointly and severally the sum of
US$0.5 million.
Recommendation 3
A.
(a) Alabo Tonye Grabam-Douglas;
(b) Maj. Gen. (Rtd) Olu Bajowa;
(c) Alhaji M. Abdulsalami;
(d) Mr. T. Mgbhor; and
(e) Dr. U.S.U. Maigida
should jointly and severally refund to NAL the
sum of US$6.3 million which is the total loss incurred by the Company
following the irregular renewal and termination of the CES
contract.
Comments:
This has earlier been treated at
No.5 under Term of Reference A
Recommendation
4
Maj. Gen (Rtd) Olu Bajowa should refund to NAL the
sum of US$4.35 million which was deposited for the botched purchase of
MD 14 and ATR 43 Aircraft and which deposit fill date has not been
recovered by NAL.
Comments:
Government notes this
recommendation and hereby directs Nigeria Airways Limited to recover the
money from the Company.
Recommendation 5
Capt. Mohammed Joji should refund to NAL the sum of US$9.8 million,
which he allegedly paid to Saberia as the Commission had no proof that
such payment was in fact made by him.
Comments:
Government accepts this recommendation and he should, in addition,
be prosecuted.
Recommendation 6
That
Capt. Mohammed Joji should refund to NAL the sum of US$3, 531,358.50
being the cost of the D check on the B737 Aircraft, which was carried
out by NAL in Nigeria, which he
again paid for in Brazil.
Comments:
Government accepts
the recommendation. The present management of Nigeria Limited and the
Federal Ministry of Justice should explore the possibility of recovering
the money. For this recklessness and the those already listed against
him. Government hereby bans Captain Joji from holding any public office
in Nigeria. The Secretary to the Government of the Federation is hereby
directed to include this decision in the next issue of the
Gazette.
Recommendation 7
That Engr.
Andrew Agom and Mr. M. Idiakula should jointly and severally refund to
NAL the sum of $782,31272 being the loss incurred by NAL on their ill
advised renewal of the Adwork contract.
Comments:
Governments accepts this recommendation and hereby directs Federal
Ministry of Justice and the Nigeria Police Force to take steps to
enforce it.
Recommendation 8
Capt.
All-Well Brown should refund to NAL the sum of US4122,000 being the cost
of retaining 3 No. Pilots in Mami for a period of five months for no
reasonable course.
Comments:
Government accept this
recommendation and hereby directs that the Federal Ministry of Justice
and the Nigeria Police Force to recover the money from
him.
Recommendation 9
The commission
recommends that Group Capt. Peter Gana should refund to NAL the
difference in cost which is US$850,000 for his failure to utilizes
existing engine repair agreement between KLM and
NAL.
Comments:
Government accepts this recommendation
and hereby directs the Federal Ministry of Justice and the Nigeria
Police Force to enforce it.
Recommendation
10
That Engineer A.A. Agom, NAL, MD, NAL's DFS, Mr.
Nwagboso and Mr. Idakula, NAL's Legal Adviser should jointly and
severally refund to NAL the entire sum of N6,884,677.72 following their
ill advised renewal of the Adwork Contract Agreement to the financial
disadvantage of NAL.
Recommendation
11
The termination of appointment of the four Engineers
in the view of the commission is characteristic of faulty decision
making during the Gana regime. The four Engineers should be compensated
by NAL for the raw deal meted out to them by NAL at the instance of
Captain - B All Well Brown. The four Engineers are Engr. K. Bruce, Engr.
O.O Idowu, Engr. A.C. Dunkwu and Engr. C.E.
Iloeje.
Recommendation 12
Alhaji Jani
Ibrahim ex-Managing Director, NAL should refund to NAL the sum of
US$616,052.26 being the excess payments he caused NAL to make to
Revillo.
Comments:
Government accepts this
recommendation as the former MD acted unilaterally by opting for a
higher price in place of a lower one resulting in the loss. The Federal
Ministry of Justice and the Nigeria Police Force are hereby directed to
initiate steps to recover the sum of US$616,052.26 from Alhaji Jani
Ibrahim.
Recommendation 13
The
commission recommends that Alhaji Jani Ibrahim should refund to NAL the
sum of US$1,939,439.00 million which is the equivalent of Rys 3.5
million.
Comments:
Government accepts this
recommendation.
Recommendation 14
The
commission recommends that this financial loss of US$1.45 million should
be refunded to NAL by Alhaji Jani Ibrahim.
Comments:
Government accepts this
recommendation.
Recommendation 15
The
commission recommends that NAL ex-MD Alhaji Jani Ibrahim and Mr Imoou
Kubor NAL ex-Director of Engineering Services should jointly and
severally refund to NAL the sum of US$500,000 being the loss incurred by
NAL following its inability to furnish Garuda with mandatory history
data on NAL's engines.
Comments:
Government notes the
indictment of the two top officials of NAL on the Garuda case but will
not ask them to refund monies to NAL since no evidence has been adduced
that they benefitted materially from the
transaction.
Recommendation 16
That
ex-MD, NAL Alhaji Jani Ibrahim should refund to NAL the entire balance
of US$1,225,000 being loss incurred by NAL during the aborted 1999 hajj
operation.
Comments:
Government accepts this
recommendation. The Federal Ministry of Justice and the Nigeria Police
Force are hereby directed to take steps to enforce this
decision.
Recommendation 17
The commission
recommends that Alhaji Jani Ibrahim should refund in full all losses
incurred by NAL in the wet least of B737 Aircraft from Mahlooz Aviation;
Specifically, Alhaji Jani Ibrahim should refund to NAL the sum of
US$1,518,500 plus N15,200,000.00.
Comments:
Government
accepts this recommendation. Certainly, Alhaji Jani Ibrahim acted most
unilaterally and without taking into consideration the interest of his
organisation (p55-57 of Vol.2 of Commission's
report).
Recommendation 18
(i) The commission
recommends an immediate reinstatement in the service of NAL (with all
his entitlements) of Engineer Emmanuel Chukwuma Diala.
(ii) The
commission recommends further that the cases of all officers of NAL
similarly dismissed by Alhaji Jani Ibrahim acting under the protection
of Decree No. 17 1984 be reviewed by
NAL/Government.
Comments:
Government has stated its
stand ont he recommendation on the fate of sacked officials of NAL by
Alhaji Jani Ibrahim, under term of reference A. The management of NAL is
hereby directed to implement the decision of government on this
matter.
Recommendation 19
(i) The
commission recommends that Captain Jaji, mr Alam Nwagbosu and Nicon
Insurance Plc should refund to NAL the sum of US$2,230,357.00 being
discount on premium to NAL.
(ii) The commission recommends that
Captain Mohammed Joji and his Director of Finance and Supplies Mr Afam
Nwagboso should refund to NAL the sum of US$2,458,064 being the
difference between the amount allegedly paid to Nicon by Captain
Mohammed Joji as premium on the insurance and the amount actually
due.
Comments:
Government accepts these
recommendations. In addition, Captain Mohammed Joji and Mr Afam Nwagboso
should be prosecuted.
Recommendation
20
The commission recommends that:
- Alhaji
Mohammed Kari;
- Mr J.J. Abulime;
- The DGM (Special
Risks) as at December 30, 1999;
- Mr. S.O. Adeda;
- Engr
A.A. Agom;
- Mr Afam Nwagboso;
- Alexander Howden
Aviation;
- Fidellis Bond;
- NICON Plc.
Be held
responsible jointly and severally for the sum of US$13,935,966.30 which
Nicon Plc paid into the account of Alexander Services Limited at
Barclays bank Plc Jersey Channel Islands. Any of them still in the
service of Nicon or NAL should be relieved of his
position.
Comments:
Government accepts this
recommendation and hereby directs the Federal Ministry of Justice and
Nigeria Police Force to take steps to recover this sum. In addition, the
aforemetioned officers and companies should be
prosecuted.
Recommendation 21
Summary
of commission's recommendations:
(i) Audit exercise to be
instituted in Nicon to reconcile all figures regarding the insurance
portfolio of NAL;
(ii) All members of Nicon Management in the
special risks and finance department still in the service of Nicon to go
on suspension during the audit exercise;
(iii) Ms P.M.G. Soares
current MD of Nicon because of the status of the offices she held at all
the material times should also be placed on suspension during the audit
exercise;
(iv) Specifically, the following officials of Nicon
should be suspended during the period of audit:
(a) Mallam Hassan
E.D. (Special Risks)
(b) Mr Haruna AGM (Special Risks)
(c)
Mr Austin (Senior Manager Special Risks).
Comments:
Government accepts these
recommendations.
Recommendation
22
(i) That US$2.45 million be recovered from Alexander
Howden Aviation being the premium paid for 1994 which was not
placed.
(ii) (a) Engr A. A. Agom
(b) Group Capt (rtd)
Peter Gana
(c) Mr Atam Nwagboso
(d) Mr A. S.
Amalu
(e) Fidelity Bond and
(f) Chief A.
Olafioye
be held jointly and severally liable with Alexander
Howden Aviation for the sum of US$5.4 million being the amount covered
by forged debit notes demanded by the Fidelity Bond letters of January
12 and February 15 1985, while Engr Andrew Agom, Group Capt (rtd) Peter
Gana, Chief A. Olafioye, Mr Mfom Nwagboso and Mr A.S. Amalus hould be
prosecuted for forging and stealing etc.
Comments:
Government accepts the recomendations and hereby directs the Federal
Ministry of Justice and the Nigeria Police Force to initiate steps to
implement the decisions.
Recommendation
23
That the balance
of US$1.4 (on the invoice of US$6.8 million of which US$5.4 million was
paid based on fake debit notes aforesaid) be recovered from:
(a)
Alexander Howden Aviation
(b) Engr A.A. Agom
(c) Group
Capt. (rtd) Peter Gana
(d) Mr Afam Nwagboso
(e) Mr Amalu,
and
(f) Chief Olafioye being premium paid for 1995 but which was
not placed.
Comments:
Government accepts this
recommendation and hereby directs the Federal Ministry of Justice and
the Nigeria Police Force to take steps to recover the said sum of US$1.4
million from the aforementioned people.
Recommendation
24
That Mr A.S. Amalu and Chief A. Olafioye should be
held jointly and severally liable with Alexander Howden Aviation for the
inflated premium of US$250,000 as demanded by Mr Amalu's letter of
February 15, 1995 and paid by NAL.
Comments:
Government accepts this recommendation and hereby directs the
Nigeria Police Force assisted by the relevant arms of government to take
steps to recover the sum of US$250,000 dollars. In addition, they should
be prosecuted for forging and stealing.
Recommendation
25
The commission recommends that Chief A. Olafioye and
Mr Amalu should be referred to the same authority as in (ii) above for
prosecution for the same offences i.e. forging and
stealing.
Comments:
Government accepts this
recommendation.
Recommendation 26
That (a)
Alexander Howden Aviation (b) FBN (c) Chief A. Olafioye (d) Mr Yemi
Omowunmi should be held jointly and severally liable for a sum of US$3
million being the amount purportedly appropriated towards direct
placement of insurance policy as per the letter of FBN dated June 3,
1996 and September 5, 1996 and Alexander Howden's letter of February 5,
1997.
Comments:
Government accepts this recommendation
and hereby directs the Federal Ministry of Justice and the Nigeria
Police Force to initiate necessary steps towards the recovery of the
money.
Recommendation 27
Demand on Alexander
Howden Aviation to account for US$12.45 million claimed on Kano and
Kaduna crashes failing which legal steps should be taken against
Alexander Howden Aviation for this and other claims received and
disbursed by the company on behalf of NAL over the
years.
Comments:
Government accepts this
recommendation and hereby directs the Federal Ministry of Justice, the
Nigeria Police Force, the Federal Ministryof Finance and the Ministry of
Foreign Affairs to initiate steps towards implementing this
decision.
Recommendation 28
The sum of US$2.5
million deducted for the payment of premium for ancillary policy claimed
severally to have been placed in London or Lagos or to cover some other
commissions allegedly due between Alexander Howden and Fidelity Bond be
refunded to NAL by Chief Olafioye, Mr Yemi Omowunmi, Alexander Howden
and Fidelity Bond.
Comments:
Government accepts this
recommendation.
Recommendation 29
The
commission recommends that the Chairman of FBN, Chief Olafioye and Mr
Yemi Omowunmi should be prosecuted for offences of stealing US$2.5
million.
Comments:
Government accepts this
recommendation.
Recommendation 30
Fidelity
Bond to refund US$315,687 to NAL being an unjustifiable interest charged
by Fidelity Bond on a loan of N205 million it claimed to have granted
NAL.
Comments:
Government accepts this recommendation
and hereby direct the Federal Ministry of Justice and Nigeria Police
Force to initiate steps towards the recovery of the sum of US$315,687
and pay this to NAL coffers.
Recommendation
31
The underlisted persons be declared unfit to hold
public office in Nigeria for the roles they played in destroying
NAL:
1. Chief Adebiyi Olafioye
2. Mr Yemi
Omowunmi
3. Mr A.S. Amalu
4. Engr A.A. Agom
5.
Group Captain Peter Gana
6. Captain Mohammed Joji
7.
Alhaji Mohammed Kari
8. Mr John I. Abulime
9. Admiral
(rtd) Patrick Koshoni
10. Air Commodore (rtd) B.N.
Banfa
11. Mr U.S.H. Maigida
12. Alhaji M. Shaba
13.
Air Vice Marshall (rtd) A. E. Okpere
14. Captain J.B.
Ibrahim
15. Mr T.N.O. Mgbor
16. AVM (rtd) J.N. Yisa
Doko
17. maj. Gen. (rtd) Olu Bajowa
18. Capt.
Allwell-Brown
19. Alhaji Abdulsalam
20. Alabo Tonye Graham
Douglas
Comments:
Government accepts this
recommendation but limits the period of the ban to 10 years from the
date of this white paper in addition to other punishments that may be
meted out from the prosecution of specific individuals as contained in
this white paper including Alhaji Jani Ibrahim.
Recommendation
s 32 & 33
32. Having regard to the findings of our
commssion in its discourse of TERM B the commission recommends that AVM
(rtd) A.D. Bello and Captain Benoni briggs be declared by the government
as not fit and proper persons to hold, in future, any public office of
trust in Nigeria.
33. That except for Major General 9rtd) Olu
Bajowa who vociferously and consistently opposed the foreign domination
loan (as in exhibit BB55), all the other members of the PTF listed
below:
i. AVM (rtd) Abdullahi Dominic Bello
Chairman/CEO
ii. Mr Pascal Dozie (member)
iii. Alhaji
Isiaku Umar (member)
iv. Otunba Tunji Adesoye (member)
v.
Chief Bassey Hogan Itam (member)
vi. Mrs Stella Ugboma
(member)
vii. Captain Muhammed Joji (member)
should refund
to NAL.
(a) The sum of US$31 million beng the total instalmental
payments made by NAL on the botched lease Purchase Agreement for the
DC10 aircraft prior to the seizure of that aircraft.
(b) The sum
of US$5,759,323.79 representing the judgment debt awarded against NAL by
the London Court on the botched transaction.
(c) The sum of
US$412,0000.00 being the proceeds of the forced sale of NAL's A310
aircraft in Brussels.
(d) The sum of US$6,003,000.00 being the
instalmental payment made by Captain Mohammed Joji on the botched lease
Purchase Agreement.
(e) The sum of US$2,337,000.00 being the
instalmental payment made by NAL's Engineer A.A. Agom on the botched
lease Purchase Agreement. (This amount includes the sum of US$337,000.00
allegedly paid "in error" by NAL's ex-DFS, Mr Nwagboso).
(f) The
sum of US$1,500,000.00 being the instalmental payment made by Alhaji
Jani Ibrahim, MD, NAL on the botched lease Purchase
Agreement.
(g) The sum of US$11,500,000.00 being payment made by
Captain Benoni Briggs in part settlement of NAL's financial obligations
on the botched lease Purchase Agreement.
(h) The sum of
US$1,040,200.00 being the US dollar equivalent of the forced sale value
of the 4 No. NAL's London properties sold by Equator Leasing for the
cumulative price of œ743,000.00 (conversion rate œ1 -
US$1.4).
(i) The sum of US$3.5 million being payment made by Dr
O. Agagu, former Minister of Aviation in par settlement of NAL's
financial obligations on the botched lease Purchase
Agreement.
(j) Items (a-i) above total
US$63,682,523.79.
Comments:
Government accepts the
recommendations (items (a) - (i); and directs Federal Ministry of
Justice and the Nigeria Police Force to recover the
money.
Recommendation 34
Capt. Benoni Briggs
should refund to NAL the sum of œ807,000 (or US$1.21 million) being the
difference between the open market value (œ1.55 million) and the forced
sale value of œ743,000 of the 4 No. NAL's London
properties.
Comments:
Government accepts this
recommendation and hereby directs the Federal Ministry of Justice and
the Nigeria Police force to initiate steps towards recovering the
money.
Recommendation 35
Commendation for
Capt. Unoanunobi for his patriotic deeds during the Equator Leasing saga
and payment of his terminal benefits.
Comments:
Government accepts this recommendationand hereby directs the
Secretary to the Government of the Federation to write a letter of
commendation to Capt. Unoanunobi and direct that his terminal benefits
be paid forthwith by the present management of
NAL.
Recommendation 36
The Remo Hush Killing
Contract -- summary of which is the refund of various sums to NAL by AVM
(rtd) A.D. Bello and members of the Presidential Task Force totalling
US$5.3 million to NAL.
Comments:
Government accepts
this recommendation and hereby directs the Federal Ministry of Justice
and the Nigeria Police Force to act
accordingly.
Recommendation 37
NAL
Subsidiaries
(i) Each organisation should be fully released from
the apron strings of NAL to enable it operate fully. Here, total
independence is germane and should involve, recapitalisation for the
refurbishment of capital equipment, the purchase of tools, the
assingment of primary resources (for instance, land and buildings to
SKYPOL) and determination of the careers of their staff as means of
motivation.
(ii) The level of autonomy should be such that each
organisation, as a Limited Liability Company should be encouraged to
have its policies, a Board of directors, employ professional and adopt a
structure that operates in its own field of specification. For instance,
SKYCATEr needs to be fully professionalised and relate closely with
other international organisations in that industry.
(iii) Each of
them should operate as a profit centre and empowered as an independent
self-accounting body to source for its own funds, with NAL relating to
it in a purely business relationship. Efficient service and profit
should be the ultimate goals of each organisation.
(iv) All
assets belonging to the companies should be valued in order to define
what really belongs to each and to facilite recapitalisation either by
way of core investors or through the money market.
(v) For the
more affluent companies like SAHCOL, or SKYPOL, they should be floated
in order to attract new shareholders and funds. SKYCATEr should be
encouraged for the effect it will have on the national economy. SKYCATER
must look for an effective core investor for the service it
provides.
(vi) For now, NAL should desist from converting for its
use, the funds generated by these organisations. Rather, it should
settle its outstanding indebtedness to them, and further assist them in
ensuring that their debtors settle their outstanding indebtedness to
them. Alternatively, the debts should be netted off the investment of
NAL in each subsidiary.
(vii) At the appropriate time, NAL should
scale down any shareholdings it may own in these subsidiaries, and only
hold nominal shares, which will not threaten other investors in these
subsidiaries.
(viii) In every case, the need for feasibility
studies to be carried out in the relevant area of competitive advantage
should be emphasised. The studies will provide the framework for
operations in each case.
(ix) The commission believes thast the
opportunity presented by the establishment of the subsidiaries needs to
be fully and very urgently harnessed. It believes further that taking
stock of the past, defining relationship of the patent with its
subsidiaries and charting a future and establishing systems must be
carefully done by professionals. The commission therefore recommends the
appointment of a firm of management consultants for that
purpose.
Comments:
Government accepts these
recommendations and hereby directs the Federal Ministry of Aviation to
initiate steps for the immediate implementation of these
recommendations, which governmen tbelieves if properly implemented, will
enhance the financial status of NAL's
subsidiaries.
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