Following the Lagos Federal High Court’s order on seven commercial banks to remit a total of $793.2m allegedly hidden by them for the Nigerian National Petroleum Corporation (NNPC) and its subsidiary in contravention of the Federal Government’s Treasury Single Account (TSA) policy, both the national oil firm and the banks have reacted, refuting the crime.
In a statement issued by the Group General Manager, Group Public Affairs Division at NNPC, This is as the United Bank for Africa Plc reacted weekend, saying it had fully remitted all the NNPC/Nigerian Liquefied Natural Gas Limited dollar deposits since August 24, 2016.
According to the Head, Marketing and Corporate Communications, Bola Atta, “We wish to state categorically that UBA has fully remitted all NNPC/NLNG dollar deposits since August 24, 2016. We hereby emphasise that none of such funds is currently in the bank’s books. Our action was further corroborated by a clearance memo published by the CBN on its website on same date.”
Also, Skye Bank Plc denied concealing funds meant to be transferred to the TSA and noted in a statement that “It was alleged that the sum of N41m is illegally kept in a NAPIMS fixed deposit account with Skye Bank in collusion with government officials. The management of Skye Bank hereby states that it neither colluded nor unilaterally hid the reported sum or any other funds in its custody”.
It added that “On the contrary, the said funds are held with the full knowledge of the relevant agencies of the government, including the Central Bank of Nigeria, the DSS, the National Assembly and the Inspector General of Police’s Special Investigation Panel, with whom we have engaged extensively over same.”
Sterling Bank and Fidelity Bank had also denied the allegation, while First Bank, Keystone Bank and Diamond Bank have yet to issue official responses.
Ndu Ughamadu said the allegation was not only misplaced but equally misleading.
According to the court, the named banks include United Bank for Africa Plc, Diamond Bank Plc, Skye Bank Plc, First Bank Limited, Fidelity Bank Plc, Keystone Bank Limited and Sterling Bank Plc.
However, a twist in the statement tends to suggest that NNPC had earlier taken steps to inform the Presidency, Office of the Accountant-General of the Federation and the Central Bank of Nigeria on the existence of the said accounts prior to the creation of the TSA.
Ughamadu explained further that “it would be totally out of place to move the funds to the government’s asset recovery account as reported”.
“It was unreasonable and sheer waste of funds to pay any agent five per cent whistle-blowing fee for the phantom recovery of genuine funds belonging to it and which had been disclosed to the Presidency, CBN and other relevant stakeholders.
Providing further breakdown on the lodgements, the NNPC said the amount included $174.4m domiciled at Diamond Bank, $40.7m in Skye Bank and $16.7m in Keystone Bank, bringing the total to $231.8m.
