By Abdulrahman A. Abdulrauf Abuja
Th e simmering controversy over the dredging of Calabar Channel project between the Nigeria Ports Authority (NPA) and a consortium of companies, led by Niger Global Engineering and Technical Company Limited, appears to be getting complicated with the NPA insisting the company’s request and even previous payments be subjected to ‘thorough forensic audit.’
Specifi cally, the agency also claimed there is no justifi cation for the $12,500,000 million, being part payment the company was paid in 2015, saying this was based on the enquiry made by the Economic and Financial Crimes Commission (EFCC), submission by the Bureau of Public Procurement (BPP) and the NPA management’s fi ndings and recommendations. It said: “Th e Authority made a payment of US$12,500,000 only. Further processing of payment was suspended by the Authority due to the investigation being carried out by the Economic and Financial Crimes Commission (EFCC) following a petition received by it against CCM. “Th e EFCC subsequently directed the Authority to engage
the services of a reputable audit fi rm to undertake a forensic bathymetric survey to verify the dredging claimed to have been done. A fi rm was engaged and retained accordingly.” A major fi nding of the probe , according to the NPA is that , “all eff orts to fi nd details of dredging activities for the period during which CCM claimed to have dredged the Calabar Access Channel (November 2014 to January 2015) proved abortive.
“Th e Harbour Master and Port Hydrographer during the period, stated they were unaware of any dredging undertaken by CCM during the period. Further, there was no communication between the company and the port management on their purported dredging activities during the period.” “Th us, after careful examination of the authority’s overall dredging data/vessel movement, in conjunction with inputs from the Authority’s relevant personnel, it is questionable if any dredging actually took place.”
Th e agency also quoted the Director-General of the Bureau of Public Procurement to have said; “the persistence demonstrated by the FMT/NPA to engage Messrs CCM without subjecting the procurement process through any form of corruption is strange, considering that Messrs CCM was incorporated after the initial procurement as cancelled by the BPP.” To this end, the NPA is asking the agency’s Board of Directors to terminate its partnership with the consortium and “ that the payments already made and parts outstanding be considered as debt which would be subjected to thorough forensic audit by the fi rm hired to verify the claim.”
Besides, it was also submitted “that the Authority should establish the best mode of transparently managing the Calabar Channel in line with extant procedures on public procurements, following which Messrs Niger Global engineering and Technical Company Limited, alongside all other qualifi ed companies can then openly compete for the contract.”
Th ese were some of the highlights of a brief to the Board by the NPA Managing Director, Hadiza Bala Usman, dated July, and a copy of which our reporter obtained. Th e NPA holds 60% equity participation in the Joint Venture and the Niger Globa-led consortium having 40%, with the said agreement having a 15-year life span . Giving a background to the controversial project, the MD said, following the response of 19 companies that bided for the Access Channels in Lagos, Warri, Calabar and Bonny/Port Harcourt, Niger Global was one of those that signifi ed interest, and “a versatile marine engineering consultant , Mobetek International Ltd was engaged to prequalify, evaluate and recommend appropriate models suitable for the management of the channels.” Th e recommendations, she noted, were based on the quality of the companies’ technical proposals and their viability.
On Calabar Channel, the brief said it was recommended that channel management company was not desirable because “the volume of ship traffi c was low and did not justify a Joint Venture (JV) arrangement , which is normally funded from ship dues,” and the idea jettisoned in 2005 while other channels sailed through. She also recalled that when another tender was put up solely for Calabar Channels, six companies were prequalifi ed “and following their technical and fi nancial bids, a recommendation was made to BPP for the issuance of a ‘NO OBJECTION’ certifi cate in favour of Messrs Lagos Channel Management limited.
Th is was declined in September 2011 based on a protest by Dredging and Reclamation Jan De Nul Limited.” Th e document further revealed that in November 2012, a representation of the 2010 tendering was made to then President Goodluck Jonathan, through his Chief of Staff , that “the capital dredging of the Calabar Channel be re-procured as recommended by BPP” to fast-track the exercise in line with Sections 40-43 of the BPP Act 2007”, with all the six previous bidders involved .
It further said, at the time of the presidential approval for the reprocurement of capital dredging, Calabar Channel Management Limited, had not been incorporated as a JV, but that a proposal to that eff ect was under consideration. Th e NPA further submitted that while the procurement was ongoing, on September, 13, 2012, the then Minister of transport, Senator Idris A Umar, in a letter referenced T.0160/S.1071/XI/562, sought the president’s approval to appoint the consortium , led by Niger Global, “in conjunction with NPA, using the Special Purpose Vehicle (SPV) known as Calabar Channel Management Limited(CCM) to manage the Calabar Channel without following due process,” and the request got presidential approval .Although there were grey areas noticed by the Ministry of Justice, the then Attorney General and Minister of Justice, Mohammed Adoke, SAN, approved of the JV agreement. Th is approval was however withdrawn by the agency following petitions from other bidders, consequent upon which Niger Global now instituted a legal action against the transport ministry, seeking among others, that its agreement with the ministry still subsists.
