Alleged Unremitted $20b Revenue: NNPC Says CBN Governor Wrong Again

Posted by African Examiner Business News, Featured, Latest Headlines, Uncategorized Tuesday, February 4th, 2014

The Nigerian National Petroleum Corporation, NNPC on Tuesday dismissed an allegation by the Governor of the Central Bank, Mallam Sanusi Lamido Sanusi that it had not remitted $20 billion to the Federation account, saying that this is not the first time the CBN Governor had made wild allegations about the NNPC and has come to admit his mistake. Sanusi had made the allegation Tuesday in his presentation before the Ahmed Markafi-led Senate Committee probing the allegation of unremitted $49.8billion oil proceeds.

CBN Governor Sanusi Lamido Sanusi

In a chat with Journalists on the margins of the Senate Committee Hearing Room, Group Managing Director of the Corporation, Engr. Andrew Yakubu stated that Mallam Sanusi’s claim of the existence of an unremitted $20billion is far from the reality on ground, and this will be proven when investigations are concluded.

The CBN boss had alleged that revenue from NPDC, a subsidiary of the NNPC, was not being remitted to the Federation Account. In his response Engr. Andrew Yakubu expressed surprise that even after extensive clarification on the matter, the CBN is still confusing the role of NPDC as part of NNPC’s upstream operations. He faulted Sanusi’s claim that NPDC’s gross earnings ought to be remitted to the Federation Accounts explaining that the Company is a limited liability outfit registered under CAMA to do business.

‘‘Let me make this point clear, CBN is a banking outfit, not a petroleum outfit. It is therefore understandable why they keep making unsubstantiated claims, which a little understanding of the technicalities of the oil industry would have saved them from making. CBN is not an auditing outfit. But what it is doing is now auditing. We have no problem with auditing, but let the professionals, the certified bodies and agencies that are charged with this responsibility of auditing, to do their work’’ he said.

The GMD explained that the issues raised by Sanusi are not fresh at all and will be eventually reconciled by the Inter Agency Committee established to settle the $49.8 billion saga.

‘‘Our position remains the same and we remain open to all stakeholders. These are issues that are currently before the reconciliation committee and before now it has been a subject of monthly verification before FAAC and other stakeholders

The GMD reiterated what the Director-General of Budget had said at the hearing that a lot of progress had been made in the reconciliation of the $10.8 billion expressing hope that by the time the committee meets next week the final report would be ready, and NNPC will be vindicated.