Nairaland Forum

The Action Congress of Nigeria,ACN in Akwa Ibom state has described as a big fraud, the move by the state governor, Godswill Akpabio to obtain a N150 billion loan through bond issue. The party opposed the move in a letter to the Director General of Securities and Exchange Commission on January 3rd and warned of serious legal implications if the governor’s bid to mortgage the future of the state is not urgently stopped.

A copy of the letter made available below:

The Director-General
Securities and Exchange Commission
Headquarters
SEC TOWERS
Garki,Abuja

Dear Madam,
PROPOSED 150 BILLION BOND ISSUE BY AKWA IBOM STATE GOVERNMENT

We are the alternative government in Akwa Ibom State and we represent
a vast majority of the citizens therefrom.It is on their instructions
and behalf that we lodge this protest.

We are constrained by circumstances enumerated hereunder to bring to
your notice certain material non-disclosure on the part of Akwa Ibom
State Government in the information submitted to you in pursuance of
their unpopular decision to issue subject bond through you.

It is axiomatic to reiterate the obvious truism that every transaction
done in the Capital Market must be clothed by uberrime fidei,that is
good faith.This necessarily includes the duty of frank disclosure of
every factor that may debilitate if not totally destroy the substratum
of the transaction.We make bold to inform you that Akwa Ibom State
Government[hereinafter referred to as AKSG] has wilfully concealed
useful information from you even as they hurry to hoodwink you into
this potentially failed transaction.Particulars of this Material
Concealment are as follows.

1.There is a pending pre-election litigation with a very high
probability of flushing Governor Godswill Akpabio and his government
out of office very soon.This is Suit Number FHC/ABJ/CS/365/2011
pending before Honourable Justice Kafarti sitting in Federal High
Court No 2,Abuja.Part of the numerous critical issues involved in this
matter is the very serious allegation of forgery of result of the
Primary election held on January 15th which purportedly produced
Govenor Akpabio as the candidate of PDP.The uncontroverted fact is
that as at the 15th of January,2011,Dr Nwodo had lost the powers to
act as the Chairman of PDP having been restrained by a court
injunction.That is why he could not preside over the PDP National
convention that took place on 13th and could not have possibly signed
a result for Governor Akpabio on the 15th of January 2011.
This case has reached an advanced stage and will be decided very
soon.Its next adjourned date is 30th January.Please find attached
hereto a copy of the Originating Summons filed against Governor
Akpabio in this case for your independent assessment.

2.There is also an equally very potent post election case instituted
by our great party against Governor Akpabio.On the 14th of November
2011,the Supreme Court ruled in our favour and ordered that this case
should be tried on the merit as contradistinguished from pyhrric
technical victories apparently preferred by Governor
Akpabio.Consequent upon the Supreme Court judgement in our favour,the
acting president of Court of Appeal,set up a totally fresh panel of
Judges to hear this case in uyo.The inaugural sitting has been
scheduled for 10th Tof january 2012.Our likely success in this matter
will also oust Governor Akpabio from office.

3.There is yet another case against Governor Akpabio instituted by the
Governorship candidate of Progressive Action Congress,Mr Steve
Ibanga.This is SC/354/2011.This case was recently re-listed by the
Supreme Court and a hearing date will soon be issued.The logo of this
party was excluded by INEC and the potential effect of their success
in court will be the nullification of Governor Akpabio’s election.

4.The last but not the least is also another case recently filed yet
again by the PAC Governorship Candidate this time challenging the
disbursement of funds to the unconstitutional transition committees at
the Local Government level.This is in Suit No FHC/CS/1008/2011.The
Accountant -General of the Federation as well as Revenue Mobilisation
and Fiscal Management Commission are parties and injunction against
the debitting of our FAAC proceeds is in issue here.

With this kind of baggage of potentially dangerous litigations,it is
better for to err on the side of caution before mortgaging the future
of Akwa Ibom people at the behest of an outgoing Governor.The timing
of this transaction is suspect.Why was it not done in his first term
where he had security of tenure?Why now?We need hardly add that no
incoming Governor would want to be saddled by this kind of wanton
financial recklessness especially against the backdrop of our
squandered FAAC proceeds as well as IGR.
Finally,based on the foregoing,we respectfully demand that you stop
this process forthwith as a potentially embarrassing situation is best
avioded.
Thank you.
Dr Amadu Attai
Acting State ACN Chairman

Barrister Andem Ndem

State Legal Adviser