Obasanjo under probe over N59bn telephone loan


The Senate is set to investigate why former President Olusegun Obasanjo obtained a $500 million (N59 billion) loan for a telephone project despite his government’s claims of rapid privatization of the sector. The rural telephony project for which the administration obtained the loan from China and caused Nigeria to pay 10% equity contribution is at the centre of the Senate enquiry under the aegis of the Senate Committee on Communications.


The Senate probe is coming against recent fear of the nation’s growing debt burden despite the debt pay off agreement between Nigeria and the Paris Club of debtor nations two years ago.


Though neither of the first two phases of the project is yet to be completed or commissioned, Obasanjo had, according to a memorandum to the Senate from the Federal Ministry of Information and Communication, given a verbal order for the commencement of the third phase of the project.


Senator Sylvester Anyanwu, chairman of the Senate Committee on Communications, who confirmed the imminent Senate probe, told Sunday Vanguard that the Senate was more worried that the project was conceived at a time the Federal Government had already given license to telecommunication companies for the nationwide coverage of the country.


He, however, would not declare the rural telephony project nor the process of obtaining the Chinese loans as fraudulent asserting that the committee would like the former president to declare his stance at the imminent Senate probe.

Anyanwu, like the memo from the ministry, wondered why the government was again going into the business of providing telecommunication services despite its recent efforts at withdrawing from the sector with the privatization of NITEL, the country’s first national carrier.


Besides, he expressed concern that the idea of the rural telephony project materialized at the same time the GSM operators were fanning themselves across the country making the idea superfluous.


“Unfortunately the time when these ideas were initiated were almost at the same time when NITEL and other communication agencies were being privatized,’’ the Senate Committee chairman said.


“The same rural telephone project is being handled by several other providers. If you know what is happening, for instance, Globacom is almost everywhere, MTN is making the same effort to get their signals in all parts of the country. NCC also has a project called rural telephone project. We are concerned about the overlapping of efforts,’’ he said.


Construction of the first phase of the rural telephone project was awarded to three Chinese companies namely ZTE Corporation, China Machinery Import and Export Corporation and Alcatel Shanghai Bell Ltd. in July 2002 following a $200 million loan from China.


Though work on the project is almost completed, the memo circulated to the Senate by the Ministry of Information and Communication, however, lamented that the “network is yet to be interconnected with the Public Switched Telephone Network (PSTN) – NITEL’’.


Senate officials and other stakeholders, Sunday Vanguard learnt, are concerned that NITEL is not in a hurry to connect the new exchanges as it is insisting on a purely commercial relationship with the new exchanges built by the Chinese.


“Due to the historical relationship that had existed between the Ministry and NITEL, the NRTP network, from the inception was conceived and designed to leverage on the existing NITEL infrastructure. However, due to the privatization of NITEL, the company’s policies have changed. The company has therefore insisted that the ministry should pay fully for all the services required.’’


“Due to the delay encountered in accessing the funds for these services, it has become difficult for NITEL to cooperate or oblige interconnection with the NRTP which is critical to the functionality of the whole network,’’ the memo stated.

With the first phase yet to come on stream, the Obasanjo administration in March 2006 signed another agreement with the Chinese government for the implementation of the second phase of the rural telephony project.


$300 million was provided as loan by the Chinese government for the implementation of the project with the Nigerian government providing 15% of the counterpart funds.


“The counterpart funds (down payments) of 15% of the contract values are being paid to the contractors,’’ the memo revealed even though work on the second phase is yet to commence and with Nigeria already servicing the loans obtained for the Chinese companies to work on the second phase.


“The immediate past president had verbally granted approval for the contract of the 3rd phase to be processed within the tenure of his administration in order to ensure that all the local government areas (LGAs) in the country are covered,’’ the memo stated.

ttp://odili.net/news/source/2007/dec/23/300.html

who got the contract?

everything under OBJ needs to be reviewed.

this is the biggest SCAM under any government when you check what Nigeria earn between 1999-2007.

Arrest of Governor is just a decoy to buy time and divert attention.

I totally agree; and i think the arrest of the governors will soon be questioned.
Yes, they (governors) are corrupt, but they are not the only corrupt group during OBJ's 8 years retarded regime. I'm still trying to put it together why all the mighty attention are only being diverted directly on the governors, while the king of boys (OBJ) is still eating kolanut and drinking palm-wine in Otta. Something seems to be wrong with this picture.

It just doesn't make sense, the regime was not only managed by the governors; it takes over 22 soccer players to play a professional soccer tournament.
I predict that something funny regarding the arrest of just the governors will happen very soon.

DUDE shut the Bleep up about all this useless post you are posting about OBJ and corruption.

Was anyone ever probe or indicted under your toothless father IBB?

Not until the greatest dictator that belong to the same class as SLOBODAN SON OF A BITCH, IDI AMIN of Uganda and SADAM and HITLER is probe. We don't want to hear about your fake patriotism

WHERE IS MUHAMMAD BABANGIDA to start with?

Why is he scared to come back to Nigeria? dufus

E be like say dem take telephone kill the man for him fisrt life. The other time na ITT. Na waa sha. Leopard and im spots.

@BigB1,

Stop ridiculing yourself with your position on IBB and OBJ.

As long as you continue to cover up, deny or question real looting and institutionalization of corruption by IBB any comments you make concerning OBJ belongs to the trash can.

Learn to have some decency abeg.

water don pass gari coward don run like him papa IBB when major Okah come visit am for dondon baracks

Afam:

@BigB1,

Stop ridiculing yourself with your position on IBB and OBJ.

As long as you continue to cover up, deny or question real looting and institutionalization of corruption by IBB any comments you make concerning OBJ belongs to the trash can.

Learn to have some decency abeg.

you've said it all.

Ridiculing yourself, my man? you need to wake up and look directly in the mirror.

This matter absolutely has nothing to do with Big B1 or IBB.
Afam, again a little bit of thinking will not hurt your head, trust me.

@mazaje:
when are you going to buy your own car?

@ Big B1

I understand your post is about OBJ probe but how about IBB? Why are you always in a hurry to always defend this common thief IBB for heaven sake? OBJ is a disgrace and a thief no doubt about that and he should be probe and sentence to jail asp including with IBB and the rest.

I don´t understand why people like IBB and OBJ are so selfish? IBB and OBJ have a very short time to live on earth,considering their age at the moment. i am sure they will not be here in the next 30 years if not less.We all have a short time to live on earth, so why don´t we try to make people around us happy? It seems to me IBB and OBJ are sadist that drive joy in seeing their blood suffer.Anyways Big B1 if you wanna point fingers do the same to IBB and stop giving excuses for him

Why are you always in a hurry to always defend this common thief IBB for heaven sake?

This is a decent question.

My man, I've never defended IBB. Please, double check and it wouldn't take you too long to realize that you're wrong. I've stated many times that IBB is way too far from being a saint just like any other Nigerian, but at the same time he remains one of a kind and may be the most intelligent leader that ever ruled Nigeria.

During your research, you will also realize that Big B1 is always out to protect the under-dogs. It doesn't make any sense and not fair to shoot an injured soldier.
Forgiveness is part of growth and the path to enormous prosperity.

I believe in forgiveness and giving folks second chance.
In fact, I may be wrong, but when I look at IBB's eyes, I see a lot of energy and the wiliness to ask for forgiveness. But we must also understand that fingers are not the same; people do and see things differently.
I truly feel that Nigeria as a nation will benefit more if IBB is given opportunity; than just bashing and degrading the loyalty of the man.
You've bashed the man for many years, and my question is: what have you gained lately from all the trash talk?

Why can't we allow the man to redeem himself by positively contributing to the growth and restructuring of our nation?
(he doesn't have to be the president)

It wouldn't cost us anything!

FYI: I've looked around the entire Nigeria and I've realized that every single politician from 1970 up until now are not that different from IBB.
Why are you asking just IBB to apologize? what happen to Shehu Shagari, Yakubu Dan-Yumma Gowon, OBJ,  Earnest Shonekan,  Abdulsalam Abubakar, Umaru Dikko, and many many more.
Guys, be smart and don't be a fool ; some of these folks stole much more than IBB (many stole when 1 Naira was equal to 4 Dollars).

BigB1

Merry Xmas

You are working too hard on Xmas day

Merry Xmas, my man.

I hope father Xmas is treating you lovely; enjoy the rest of the day!

Big B1:



My man, I've never defended IBB. Please, double check and it wouldn't take you too long to realize that you're wrong. I've stated many times that IBB is way too far from being a saint just like any other Nigerian, but at the same time he remains one of a kind and may be the most intelligent leader that ever ruled Nigeria.

Big B1, not to pick bones or raise contentions with you, this sounds to me like a defense.
Intelligent or cunning? maybe outright devious may be even more apt a description of IBB. I have never liked Obasanjo, but IBB is in the same boat and therefore deserves the same contempt.

[quote author=Big B1 link=topic=102039.msg1794473#msg1794473 date=119859976


I believe in forgiveness and giving folks second chance.
In fact, I may be wrong, but when I look at IBB's eyes, I see a lot of energy and the wiliness to ask for forgiveness. But we must also understand that fingers are not the same; people do and see things differently.


Why can't we allow the man to redeem himself by positively contributing to the growth and restructuring of our nation?
(he doesn't have to be the president)
[quote][/quote]

Forgiveness is only offered or given when an offender asks for it.
IBB, has never for one day asked Nigerians for forgiveness nor at any time, admitted to making any mistakes in his misrule of Nigeria and wrong appropriation of her monies.

So, what type of forgiveness are we to offer!. IBB in no way represent a fallen or weak soldier. The contrary is he is an unrepentant one deserving of summary execution, for his abuse of Nigeria and Nigerians.

For him to participate in the repair or restructuring of Nigeria, it takes a lot more than mere words and laterday pontification. He needs to show he means what he knows day after quarter-backing.

For instance, he needs to use the vast amount of money he stole, to build schools, hospitals, roads, offer numerous scholarships, etc, etc.
Then and only then will he be taken seriously and maybe given total forgiveness.
Using your words, "He does't he to be president"
We have many qualified and untried candidates, if only we give them the opportunity to serve and demand excellence!