Dogara explains probe of alleged misuse of N10.8tr by NDPHC

Speaker of the House of Representatives, Mr. Yakubu Dogara, has justified the resolve by the House to probe the alleged misuse of N10.08 trillion (about $30 billion) by the Niger Delta Power Holding Company (NDPHC).

Dogara, who spoke during the opening of a public hearing by an ad-hoc committee of the House on the alleged constitutional breaches, impunity and other infractions by the NDPHC, said the House would leave no stone unturned to unravel the alleged malfeasance.

He said it was of great concern that about half of the funds were reportedly sourced through the Excess Crude Account (ECA), which belongs to the nation’s three tiers of government.

The Speaker reiterated the commitment of the House to reposition the NDPHC as part of the means towards finding a lasting solution to the challenge in the nation’s power sector.

He said: “From the information made available to the National Assembly, the NDPHC Limited had since 2005 invested over thirty billion dollars ($30 billion), over half of which was sourced from the Excess Crude Account belonging to the three tiers of government, while the balance consists of funds from other investors.

“As a limited liability company, the operations, management and accounting procedures of the Niger Delta Power Holding Company Limited is subject to the over-riding provisions of the laws of the Federal Republic of Nigeria in general, and the Companies and Allied Matters Act (CAMA) in particular. However, the available information is that the company has failed to comply with very serious and important provisions of the laws, such that the very essence of the company, and by extension the NIPP, is seriously threatened.

“Furthermore, the NDPHC does not submit its yearly budget and project plans for appropriation by the National Assembly, while, as alleged, it also generates internally-generated revenues (IGR) in trillions of naira, which cannot be determined because it is neither divulged nor paid into the coffers of the government, but rather expended by the company without legislative approval or input from the other tiers of government.

“Most importantly, information available from the Corporate Affairs Commission (CAC) conveys very disturbing signals that the trillions of naira purportedly invested into the NIPP by the federal, the 36 states and the 774 local councils have not been securitised as only two billion naira were said to be registered as shares in the CAC for the three tiers of government.”