Aviation fund: EFCC arrests Fani-Kayode, Borishade

Operatives of the Economic and Financial Crimes Commission have arrested two former ministers of Aviation — Dr. Babalola Borishade and Chief Femi Fani-Kayode — for their roles in the disbursement of the N19.5bn Aviation Intervention Fund.

Also arrested was a former Director-General of the Nigerian Airspace Management Agency, Mr. Roland Iyayi.

The three men were picked up around 6.25pm on Monday after appearing before the Senate Committee on Aviation.

Borishade and Iyayi were driven out of the National Assembly premises in Abuja in a white Toyota bus marked Abuja AU 329 YAB. Fani-Kayode, who wore a striped dark suit was allowed by the operatives to ride in his black Range Rover marked LAGOS JH A20 AAA.

Fani-Kayode, who was also a former Special Assistant on Public Affairs to former President Olusegun Obasanjo, had told THE PUNCH on Sunday that he would tell the world what he knew about the N19.5bn intervention fund.

He said his decision to appear was because of the misinformation that he disbursed the whole N19.5bn.

The EFCC had on June 23 arrested Mr. George Eider, the representative of Avsatel, an Austrian firm that won tower projects’ contracts for four airports.

Borishade and Fani-Kayode had during their appearance before the committe disagreed over the disbursement of the N19.5bn,

While Borishade claimed that he did not authorise the withdrawal of any amount from the fund before he left office, Fani-Kayode said not all the money was made available to him.

Borishade had said,“The approval for the opening of the letter of Credit for the Safe Tower Project was only commitment authorised by me in respect of the Intervention Fund before I was redeployed on November 7, 2006. No withdrawal was made from this facility before I left.”

But Fani-Kayode countered him, saying, “What must be clearly understood is that not all this money was made available to me when I got there.

“What happened was that before I got into that office, a substantial part of that money had been sourced and had been spent by my predecessor in office, Dr. Borishade.

“Consequently, N8.5bn had been sourced and approximately N8.4bn had been spent from that sum before I came into that office.

“When I assumed my duties as the minister in November 2006, the sum of N11bn (which was the balance of the intervention fund) was released to me from the National Resource Development Account by the then President, Chief Olusegun Obasanjo, for application.”

Fani-Kayode also told the committee that there was N2bn which was not part of the intervention fund which was also jointly administered by the ministry and the Federal Airports Authority of Nigeria .

He said the N2bn, a soft loan from the Rivers State Government, was given to FAAN directly for the rehabilitation of the runway of Port Harcourt International Airport.

Fani-Kayode claimed that “out of the N2bn, approximately N350m was spent on things outside the runway before he assumed office.”

He said,“When I got to the Ministry, I was given the responsibility of administering N11billion (Intervention Fund) plus a further N1.63m (soft loan from the Rivers State Government ).

“The records will show that out of the N11bn that I was asked to administer, I only released approximately N3.8bn and out of the N1.63bn, I only released N1.5bn.

“The records show that consequently by the time I left the ministry, approximately N7.2bn was left in the intervention fund account and a further N133m was left out of the N1.6bn that I was given for the airport runway.”

Borishade also said he was aware that N2bn was released for the payment of the severance package of retired aviation workers.

He said the idea of collecting a loan from Zenith Bank to finance the rehabilitation of tower projects in four of the nation’s airports at N6.5bn was not his but that of a former Minister of Finance, Mrs. Ngozi Okonjo-Iweala.

Asked whether he was aware of a N45bn Bilateral Air Services Agreement Account, he answered in the affirmative but added that he did not access the sum after several memos.

The committee observed that a recent quotation from the Nigeria Airspace Management Agency indicated that the contract for the rehabilitation of the towers in the four airports could be executed with N1.03bn.

It then wondered why it was awarded for N6.5b in 2006.

Head of the Bureau for Public Procurement (Due Process), Mr. Emeka Eze, in his testimony said the bureau raised queries when it discovered that certain documentations concerning the contract were not done.

Our correspondents also learnt that EFCC operatives on Monday quizzed Adamawa State Governor Murtala Nyako, his deputy, and Chief of Staff over an alleged N6.8bn contract inflation.

A source said the contract was in connection with the supply of vehicles to state House of Assembly members.

The governor was accused of awarding contract reportedly without tender and making illegal deductions from local government funds.

Our correspondent gathered that another charge was that he awarded a contract to his firm, known simply as Sebori.

The EFCC was said to have acted on a petition sent by one Alhaji Saidu Halidi.

The Head of EFCC’s Media and Publicity, Mr. Femi Babafemi, confirmed the development on the telephone on Monday.

But he did not provide details.

http://www.punchontheweb.com/Articl.aspx?theartic=Art20080701229828

Even the basket mouth Fanny Kayode was helping himself. Now its getting closer to OBJ himself

Fani Kayode should not be penalized for upholding a proud family tradition of treasury looting that was initiated all those decades ago by his late father, who was one of the most accomplished embezzlers in the Nigerian government when the elder Fani Kayode served as minister of disinformation and graft.

GOOD! Now lock them up and throw away the keys!!!

a step in the right direction.
more probes and arrest for borrishade who thought he must be a minister not minding all his caterstrophic eras in different ministries.
the basket mouth kayode shld be forced to tell nigerians in details what he knows about those he called the occultists groups in the ministry of aviation. he shld tell nigerians why the occultisst were most active during the time of borrishade.
if this arrest will be handled with the right arms, baba will soon be in the net.
who is saying that a president with almost all his ministers corrupt is not corrupt?
like president like his ministers.
the God of wonders is about to show himself to nigerians. if we will leave to see the wonders of our past eights years, people will praise abacha for good governance.

Waziri would not be judge by the number of people she arrest, but by the number of prosecution and amount of money recovered.

Waziri would not be judge by the number of people she arrest, but by the number of prosecution and amount of money recovered.

and where are the money recovered by Ribadu?

where are the Abacha money recovered?

First, all this looting occurred under the watch of "Mighty" Ribadu (he was well aware); in-fact, Fani Kayode and Aborisade wouldn't have been arrested today if Ribadu was still the chairman of EFCC,  They all belong to the same family and have a lot in common, trust me. 
So for God sake, please let us all forget Ribadu once and for all; he is absolutely not what you guys think, not even close.
In-fact his selectivity and feckless actions motivated many more to further loot the federal government treasury with zero hesitation and savage Nigerian democracy.
The Language was simple: Support 3rd term and loot till the moon stops shining

Back to the topic:
At least, now we all know why Murtala Muhammed International Airport looks like a junkyard.

We now also know why Nigerian pilots at one point were using GSM phone to contact the Air traffic control tower before landing.

this is the most stupid propaganda of all times, why go after the eggs when you can arrest and prosecute the chickens?

Why is ATIKU and BABANGIDA still waling unattended to?

MR YAR ADULL you want to fight corruption arrest and prosecute IBB for the $12 Billion oil windfall and arrest ATIKU

Big B1:

We now also know why Nigerian pilots at one point were using GSM phone to contact the Air traffic control tower before landing.

I tell you what, someone definately has to be held responsible for the appaling aviation track record over the past years in Nigeria. The day i read on the news that Nigerian pilots were using mobile phone to contact the air control tower, i just did not even know what to say, were they on glo kor mtn? After hearing how poor MTN service could sometimes be whereby you call a number and they connect you to another number. So what if the pilot meant to call control tower and got connected to some mamaput place? I was not shocked o fcourse because i had earlier head of planes being delayed in Lagos due to pot hole on the runways and then the incident of a cow on the runway in Port Harcourt that caused go slow. Someone definately has to be held responsible if you put things in perspective there is then no reason to be shocked at the number of plane crashes that occured during the past few years.

Fani Kayode, O kare. Oki se omo ale. Open the basket mouth and start singing. Tell the whole world including EFCC on how the money was spent. We want to see good defence with documentary evidence from your end as a lawyer and not speaking political jargons like the late Chuba Okadigbo.

And to Waziri, your prosecuting section need a shake up. Without good Councel prosecuting your cases in courts and your commission providing the evidence, you cannot get conviction against these loooters. Nigerians are not interested in arraignments of looters in court alone but conviction to serve as a deterrent to other looters.

Aborisade said the idea of collecting a loan from Zenith Bank to finance the rehabilitation of tower projects in four of the nation’s airports at N6.5bn was not his but that of a former Minister of Finance, Mrs. Ngozi Okonjo-Iweala.

It was confirmed yesterday that EFCC was intended to also arrest Mrs. Ngozi Okonjo-Iweala, but she did not show up.

Question: Is Mrs. Ngozi Okonjo-Iweala also corrupt?

Good i hope they arrest and prosecute many more including OBJ and IBB!

But then, one needs to wait and see, prosecution of former corrupt public office holder

is a bit of a charade and running round in circles!

Borishade, yes but kayode? I see some bad belle here.

This is some needful distraction.

@Redhotchic,  
Borishade, yes but kayode? I see some bad belle here.


Are you saying Kayode is not corrupt or what?

The man is one of the corrupt minister no doubt, his a sharp man, he always go for a cline deal, so don’t be deceive

what exactly has atiku done again now,na wa for some ppl we r talkn of obj and his boys u r on about atiku arrest atiku for what