Reps summon BoI MD over inability to recover N11b loans

The House of Representatives Committee on Public Accounts has issued an ultimatum to the Managing Director of the Bank of Industry (BoI), Mr. Olukayode Pitan, to appear before it today by 11:00am to explain the bank’s inability to recover N11 billion loans or risked being arrested.

Chairman of the Committee, Kingsley Chinda (PDP, Rivers), handed down the summon following submission by Chief Financial Officer of the bank, Mr. Taiwo Kolawole, who told the committee that his MD could not make it to the meeting because he was already scheduled for another meeting with some executives of the Enugu State government, adding that the meeting was too prompt for him to postpone.

Asked when they got the second invitation that was sent to him, Kolawole said the bank received it on July 28.

Chinda noted that “over N8 billion loan given out have not been recovered and the bank is not doing anything about it according to the query. The second query was on N2 billion unexplained expenditure.”

Though the details of the spending were not given, but the committee promised to unravel it at today’s hearing.

Kolawole attempted to respond but was rebuffed, not after his scathing insult on the parliament by prioritising a meeting with state government officials above that of the National Assembly.

Meanwhile, the committee also ordered the Managing Director of the Bank of Agriculture (BoA), Kabir Mohammed Adamu, to reappear before it today to respond to queries against the organisation.

The Executive Director, Regional Banking, Mr. Emmanuel Ameh, had told the committee that his MD who came to the National Assembly earlier had to leave, following information that officials of the Islamic Development Bank, the African Development and the World Bank were coming to see him over loan facilities the bank is seeking.

The committee which expressed dissatisfaction with the development therefore asked the bank’s representatives to step aside and remain within the premises pending when the MD got back from the said meeting to respond to the queries.

In another development, the Minister of State, Petroleum Resources, Dr. Emmanuel Ibe Kachikwun, yesterday in Lagos reassured Nigerians of accountability, which is the heir of transparency in the oil and gas sector.

Speaking at this year’s National Association of Energy Correspondents (NAEC) conference, he said the sector generates more than 80 per cent of the nations’ foreign exchange revenue from which capital and recurrent expenditures are mostly financed. It is therefore imperative that accountability is present.

Deputy Director, Engineering Standard Division of the Department of Petroleum Resources (DPR), Olumide Adeleke, who represented the minister, noted that the question of accountability is found in the initiating laws that birthed the oil and gas sector.

Addressing the theme of the conference, Petroleum Industry Governance Bill (PIGB): Prospects and challenges to Nigeria Oil and Gas Industry, Kachikwu noted that since the passage of the bill at the upper house, it has been in line with the transparency and efficiency key focus areas of the 7bigwins initiatives, a roadmap of short and medium term priorities aimed at developing a stable and enabling oil and gas investments landscape.

Also addressing the conference’s theme, the Managing Director, NNPC, Dr. Maikanti Kachalla who was represented by Managing Director NETCO, Sidi Aliu, asserted that the PIGB seeks to create an avenue for better investment opportunities and make the petroleum sector more transparent as well as ensure better accountability of revenue derived from the nation’s vast oil and gas resources.