₦airaland Forum

FG revokes NITEL, MTel sale to Transcorp
Written by Leke Adeseri with agency reports
Tuesday, 02 June 2009
ABUJA — THE Federal Government yesterday directed the immediate revocation of the sale of NITEL and M-Tel to Transnational Corporation of Nigeria (Transcorp) Plc.
The revocation order was issued at the end of a meeting of the National Council on Privatisation (NCP), presided over by its chairman, Vice President Goodluck Jonathan.

Reacting, Transcorp appealed to the BPE to rescind its decision in the interest of justice.

Briefing newsmen at the end of the meeting, the Minister of State for Information, Alhaji Aliyu Bilbis, said the sale was revoked because Transcorp breached the terms and conditions of the Shares Sales Purchase Agreement (SSPA).

“In the consideration of the serious breaches of the terms and conditions of the SSPA, Council agreed that, Transcorp has vitiated and voided the contract in its entirety.

“Consequently, Council has approved the immediate revocation of the sale of NITEL/MTel to Transcorp,” he said.
Bilbis said the Council also approved the constitution of a Technical Board to manage the affairs of the two organisations until a new core investor was engaged by NCP.

“It also approved the immediate stoppage of further sale of the assets of the organisations as well as a provision of adequate security to all their facilities to prevent any further asset-stripping,” he said.

The particulars of breaches by Transcorp as highlighted by the Council included the exiting of British Telecommunications as the technical operator, which was a condition precedent in the SSPA.

The minister also alleged that Transcorp failed to inject the sum of N8.9 billion cash into NITEL within 100 days of taking it over to address the immediate liquidity problem facing the organisation.

“Transcorp was also alleged to have failed to pay interconnectivity debt totaling about N17 billion as well as staff salaries in the past 11 months.

“The Council also alleged that Transcorp failed to maintain NITEL/MTEL as a going concern, resulting in complete loss of market share from 15 per cent to 0.03 per cent,” he said.

NITEL sale void —BPE

Also briefing newsmen after a meeting of the National Council on Privatisation, Mr Christopher Anyanwu, its Director-General, said that the sale had no effect and had been voided.

“The sale of NITEL and MTEL is withdrawn. I mean the government has withdrawn from it. The sale had no effect. It is void and doesn’t exist, if it ever existed, it is hereby revoked,’’ he said.

“There were many conditions, which Transcorp was to fulfill while assuming the management of NITEL which it never fulfilled.

“Barely four months after they took over the management of NITEL the British Telecom opted out for whatever reasons.

“They also undertook to inject N8.9billion within the first 100 days they took over the company, but they failed to do that because they did not have the cash.

“They also undertook, in the agreement with the government, to pay the staff salaries. As I speak to you, salaries of the NITEL staff are in the arrears of 11months.

“They also undertook to maintain NITEL and MTEL and make sure that NITEL was up and running and improve on its market share, but what we have today is that NITEL is almost not functioning,’’ he said.

Anyanwu added that it was based on the failure, that the council decided to withdraw the sale adding that Transcorp has given the power of attorney to go ahead.

He said that government decided to form a technical board to manage the affairs of NITEL while trying to engage a new core investor.

“Government has also ordered the stoppage of further sales of NITEL assets for whatever purpose, core, or no core assets. Nobody is empowered to sell NITEL assets.

“The council also approved the provision of adequate security to all NITEL and MTEL facilities to prevent any further assets take over,’’ he said

Ayanwu said that measures had been put in place to ensure that the salaries of employees were paid.

“With the present situation, new core investor may emerge before September,’’ he said.

He added that the BPE was not aware of the seven million dollars owed NITEL by First Bank Plc. as alleged by some employees of NITEL

He said the Federal Government currently owns NITEL 100 per cent.

Transcorp begs BPE to rescind decision

However, Transcorp’s Head, Corporate Relations Departmnet, Ezedi Udom, in a said the company “has received with shock a letter from the Bureau of Public Enterprises (BPE), purportedly revoking the sale of NITEL to Transnational Corporation of Nigeria (Transcorp) plc.

“Transcorp regards the action as unnecessary and at variance with the position of all the stakeholders of NITEL, who had jointly agreed that Transcorp should give its power of attorney to BPE to facilitate the sale of NITEL/Mtel to a new core investor, an action which Transcorp promptly carried out last week.

“Transcorp fears that the purported revocation of the sale of NITEL may prompt a chain of events that could ultimately jeopardise the sale of NITEL to a new core investor. It will be recalled that the first purported reversal was generally agreed to be counterproductive as it caused a huge setback to efforts aimed at transforming NITEL.

“This latest revocation is coming on the heels of recent successes recorded in the turnaround efforts of NITEL which resulted in the coming alive of the network in some parts of the country recently.

“Transcorp hereby calls on the BPE to rescind on its decision in the interest of justice and for the quick realization of the sale of NITEL/Mtel.”

Transcorp made entry into the Nigerian economic landscape in 2006 as a mega corporation with the aim of becoming a multinational institution.

It acquired majority equity in NICON Hilton Hotel, now Transcorp Hilton Hotel and the first telecom national carrier, NITEL and M-Tel, its subsidiary.

Transcorp, on Dec. 26, 2006 went to the capital market to raise N60 billion, but got only N22 billion.
The Director-General of the Nigerian Stock Exchange, Mrs Ndi Okereke-Onyiuke, doubles as the chairman of Transcorp Plc, while Mr Tom Iseghohi, assumed office as its Group Managing Director in June 2007.

On May 6, Iseghohi; Transcorp Company Secretary, Buba Mohammed and the Head of Shared Services, Mike Okoli were arrested by the EFCC and arraigned before a Federal High Court, in Abuja on multiple charges of corruption.
The accused persons have yet to regain their freedom.

brein:
Naijaking wetin Saro Wiwa do u dis time?? Dont say false things about the dead! Huh.
Biafra has nothing to do wif saro wiwa, so is the National Assembly.
The plot to bomb aso villa is already on.

redsun:
Good,people could live off those creatures,u know,birds watching is a big business.

MrCrackles:

No one said it was easy and i am pretty sure, he knows that too!

We just need to pray for him and hope he gets it right

He needs to play his cards right too

platinumnk:
yeah do u want them endangered??



i didnt see such birds in igboland.

post a pic, i thought i saw a falcon though!!

That brings a question, why dont we have animals like kenya?

redsun:
Thanks,they are amazing birds,I hope they are endangered species yet?Bush meat

MrCrackles:
Hello!
He is not the finance minister nor the chief strategist, nor the chief economist nor the messiah!
And he certainly cant do it all by himself

redsun:
What kind of birds are egbe and agwu -nkwor?they are expert chick snatchers,appearing from nowhere like stealth jet fighter and snatching chicks right in front of defensive hens trying by all means to protect her chicks,all but in vain.

mikeansy:
no need for the rule

they are only justifying Shekarua's actions

they should forget it.

spikedcylinder:

grafikdon:
I love this thread

Check out this sexy Nna Bros. . .His name is Ikenna Otawalikpo. US Based actor from Abriba.

Tats:
This Canada issue has been going on for a long time. It has been discussed in this forum and you can check out more details in the website http://www.notcanada.com/.

You can't compare Canada with the UK when it comes to getting skilled jobs. Many skilled professionals from Nigeria hold very good jobs here in the UK and they studied in Nigeria. We know that in the UK medical field, it has become difficult as preference is now given to UK and EU citizens, but that has not stopped Nigerians from still making progress in the Medicine. It is not the same in Canada. Very few migrants get befitting jobs and most who go there for further studies end up continuing to study further and work in Universities. Pharmacists do have a better chance of practising in Canada as there is demand for them, but qualifying to practice is nonetheless difficult

Most Nigerian graduates that come to the UK for further studies always acknowledge that we have a long way to go in Nigeria, but they still go on to do well. This is mainly because they have studied the hard way, are very adaptable and can cope, all in a bid to succeed.

Epiphany:
Unfortunately, this guy may not have your intelligence and carriage to stand up to the police by asking them if there is a law against his carrying any amount of money in cash.

Secondly, i am sure when the police began searching the car he must have been behaving suspicious - which warranted their asking him 'where he got the money from'. Again, when asked a direct question, his reply was that he is the son of the former IG of police. That again, may have raised a red flag with the british police.

As we all know, our politicians and public office holders are known for their corruption and money laundering activities.

dgreatrock:
@ rasputinn
going by ur presentattions, niger-deltans are seen as slaves by the northerners, right?

http://www.nigeriavillagesquare.com/articles/guest-articles/democracy-day-celebration-in-london.html

Democracy Day Celebration In London
Written by Dare Lasisi
Sunday, 31 May 2009

Democracy Day Celebratio n in London


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Pictures from the Event







"Really,Obasanjo did not disappoint or lie to anybody about his promise on power, He delivered, He (Obasanjo) promised 'uninterrupted power,' which is the manifesto of PDP(People Democratic Party), "

Prof 'Wole Soyinka at Nigeria Liberty Forum London Event, May 29, 2009.


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Nigerians in diaspora and their friends trooped out massively to attend the State of the Nation' symposium organised by Nigeria Liberty Forum in London despite stiff opposition from the Nigeria High Commision officials in London.It was a whole day event(9am till 530pm).

Prominent Speakers like Nobel Laureate,Prof Wole Soyinka(Bros Kongi),Ex-EFCC Boss,Nuhu Ribadu,Barrister Femi Falana, Dr.Okey Ndibe,Prof Sola Adeyeye,Omoyele Sowore of Saharareporters, El-Rufai( ex-Abuja Minister) and many more progressive Nigerians attended the history-making event.

Mallam Ribadu in his submission lamented the leadership problem and shortage of basic essentials of life in Nigeria and appealled to government in power to redress the setbacks as urgent as possible since the nation is blessed with abundant resources,both natural and human.

Ribadu,however further explained that democracy must provide basics of life like water,shelter,food,human dignity,security, power supply and employment for the jobless but sadly are yet to attain that level in Nigeria and also gave examples of countries where diversity has united the country more rather than dividing such nations.

'Outsiders will not come to liberate and defend Nigerians,it is the responsibility of all Nigerians to strive for a greater nation and hope that our children will be better and enjoy good things of life more than we the parents'.Ribadu stated.

While also pointing to the hydra-headed monster called corruption which he tried to fight before being sent to a 'compulsory course and training',he asserted that corruption can come in many forms not just through bribes or awarding contracts to embezzlers or in-experienced people or depositing people's money in foreign banks.

He extolled the virtues of ailing Chief Gani Oyesola Fawehinmi(SAN) and regarded him as a progressive Nigeria of high moral standard.'If I have my way,I can name whole of Abuja after Gani,I respect and admire the lawyer so much and may God heal him very soon.'

[b]Okey Ndibe,celebrated columnist and University teacher traced the problem of Nigerians to not ready to take responsibility for their personal errors and linking every simple issue to God's hands.He is proudly from Yola,his place of birth though his parents are from the South eastern Nigeria.

'I was lecturing at Unilag one day and I asked my students if any of them believe that only God can give power to people and nearly all the class members said YES,I further asked them that if 2 candidates A and B are contesting for a post in a democractic election and it is well-known that majority of people voted massively for Candidate A and Candidate B is less popular and voters have no trust in him or her but Candidate B had strong connections to rig and manipulate the final result and He/she was declared the winner,can you still say God gives power to such a thief?'

The whole class looked puzzled and one of the students now said,'if God never allows it,it will not be possible for Candidate B to be declared winner.'

Ndibe now reacted that,'Why are we attaching God's name to pre-planned human errors all the time expecially in Nigeria?why is that God supporting usurpers to be in power and subverting people's will and votes all the time and making life unbearable for people?

[/b]

Although Canada provides warm welcome to new immigrants, the job market behaves the opposite. The country tends to favour the ‘True Canadians’ who are your next generation offspring.

MrCrackles:
Topic

Big deal, come and see former governor washing dead bodies in John Radcliffe Hospital, Oxford!

mikeansy:
and by the way before we celebrate Sanusi as the man who will open CBN books to foreign Investors . . . . it might be worthwhile to see if Reserve Bank Governors arround the world open all of its books to foreign investros arround the world.

Or maybe if the Banks in the West were that transparent how did we not know that RBS was in trouble early enough . . . . . how did we not know that Barclays was in trouble before it was bailed out by Arab Billionaires through Gordon Brown. Why did Northern Rock face the kind of shock it did if they were such an open book.

Sanusi has to be careful about his noise about Banks opening their books to the world . . . . . this is a Country's National Business Interest we are talking about here.

Let the expert economists in the house tell us what they think. . . . . . . .[b]Biina over to you.[/b]China will be a very good case study

Jakumo:
Meanwhile Nairaland's newshounds report from the ancient city of Benin that specially formed squads of Palm Fruit Police have begun felling all suspicious-looking trees found within the kingdom, and seizing all hoards of palm-fruit found in enemy hands, to be re-sold later in Lagos so as to generate funds for the prosecution of this glorious spiritual war.

In a related development, a light aircraft was shot down over Benin City at 23-hundred hours zulu time last night, and on inspection was found to be laden with enough weapons-grade RED palm-fruit to bomb the entire kingdom of Benin to kingdom come. Ground forces with shoot-to-kill authority are as we speak scouring the area where the pilot was seen making a parachute decent, with orders to terminate him with extreme prejudice on capture.

Our thoughts and prayers are with the people of Benin. who woke up one fine day to find themselves surrounded by deadly green acres of hostile palm trees and their satanic fruit, all bent on destroying African tradition as we know it today. I take this opportunity to appeal to the federal government that the time has come to fire a few small nuclear warheads into the nearest palm tree plantations to Benin, just to keep the enemy on the back foot while a hasty war plan is devised by military top brass.

alex406:
Its not a matter of beefing,Sanusi can not do half of what Soludo has done.

biina:
its not a dream, as the issue of keeping federal character makes it unlikely for all three to keep their jobs.

biina:
They should appoint sanusi to CBN and fire the other ministers from Kano.

goshen360:
what has this got to do with this topic pls?

goshen360:
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