₦airaland Forum

The Director General of the Bureau for Public Enterprises, Ayodeji Gbeleyi, on Friday, revealed that Delta Steel Company, valued at over $700m, was sold for $30m.

Gbeleyi stated this while interfacing with the House of Representatives Committee on Public Assets in Abuja.

“A company worth $700m was sold for just $30m,” he said, noting that under the Federal Government’s privatisation policy, “80 per cent of Delta Steel Company in Aladja, Delta State, was sold to Global Infrastructure Nigeria Ltd in 2005, while the government retained a 20 per cent stake.”

He explained that residential buildings and land owned by the company were used to settle workers and pensioners.

After privatisation, the company reportedly used Delta Steel Company’s assets as collateral for a loan from Ecobank.

The BPE DG further revealed that due to non-performance, the Asset Management Corporation of Nigeria acquired the assets in 2015 and sold them to Premium Steel and Mines Ltd.

He accused AMCON of failing to seek clarification from BPE before selling the assets, stressing that while BPE was aware of the loan from Ecobank, it had no knowledge of three other banks listed by AMCON as creditors.

The petitioners, including the Association of Concerned Residents of Camp 2, 4 and 5 of Delta Steel Company, Aladja, Warri, before the involvement of AMCON and Premium Steel and Mines in DSC assets, had been staying in the estate and plots of land which were used to settle them in line with contractual agreement.

The petitioners claimed that they have been under constant intimidation and harassment by police and Army personnel since 2015, claiming to be acting on the instructions from AMCON and Premium Steel and Mines to vacate the estates.

Speaking on behalf of the petitioners, Dr David Emomotimi and Richardson Osifor, said the assets AMCON acquired were assets used as collateral by Global Infrastructure Nigeria Ltd to obtain a loan from Ecobank which did not in any way include the residential buildings.

Osifor said from the contract agreement and information at the Corporate Affairs Commission, the loan Global Infrastructure Nigeria Ltd obtained from Ecobank was N250m but AMCOM jacked it up to N7bn.

In their submission, the representatives of AMCON, Chukwuemeka Umunakwu (AMCON legal unit), said AMCON acquired the assets of DSC used as collateral to obtain loans from four banks to prevent them from collapsing.

He said AMCON acquired the assets at N22bn but sold it to Premium Steel and Mines at N32bn.

Responding to the inquiry by the committee whether the Office of the Accountant General of the Federation has the receipt of payments by both BPE and AMCON in respect of sales of Delta Steel Company’s assets, the representative of AGF, Kabiru Ademola (Director, Finance) acknowledged receipt of N3bn in favour of BPE in respect of sales of 80 per cent of DSC assets to Global Infrastructure Nigeria Ltd.

He stated that the AGF is yet to get any response from Central Bank of Nigeria regarding claim of payment of N32bn by AMCON in respect of DSC assets to Premium Steel and Mines Ltd.

According to him, though AMCON claimed the money was paid to the Federation Account (TSA), the agency was unable to provide proof of payment to the committee.

In his submission, Managing Director/CEO of the Ministry of Finance Incorporated, Dr. Armstrong Takang, said though MOFI oversees the management of assets and investments in the country, the agency withdrawn from the issue of Delta Steel Company as a result of many controversies.

He said, “If our forefathers who were less exposed and less educated would build such infrastructure and maintaining it by our contemporary leaders LovePeddler are more exposed and educated than them will be a problem, I wonder what will be the future of the country.”

Chairman of the Committee, Ademorin Kuye (APC, Lagos), said the committee whose mandate includes oversight over the use, management and disposal of all Federal Government assets within and outside the country decided to probe the purported sales of the Delta Steel Company and the controversies surrounding its acquisition by AMCON.

The committee directed AMCON and Premium Steel and Mines to desist from harassing the residents of the estate in Delta Steel Company untill the investigation is concluded.

Source: https://punchng.com/700m-delta-steel-company-sold-for-30m-bpe-dg/

who was the then governor of delta state

Jones4190:
who was the then governor of delta state

The state government has no say in this, as it is a Federal government Asset.

No be only $700 million. Na $7bn

What was the state of the factory before it was sold? I’m pretty sure it was non functional. Ask the man how he got the value to be $700m in 2005 and he’ll blab.

All these happened under "Saint Obasanjo" who is now claiming to have the best of Nigeria at heart . Obasanjo had the opportunity to transform Nigeria, both as a military and civilian president but didn't, projects worth hundreds and billions of dollars were sold off for peanuts under Obasanjo, he blames Atiku and Atiku blames him until the sudden "reconciliation" in order to grab power, the foundations of lawlessness, abuse of human rights, disobedience to court orders, corruption were laid by Obasanjo, APC only consolidated these evil foundations laid by Obasanjo, fortunately, Obasanjo and PDP are also suffering with innocent Nigerians

Arrest those who sold the Delta steel company at ridiculous amount

🤦🏽‍♀️

My COUNTRY..... My COUNTRY!!!!

Damn! Na wa o

Who sold it

helinues:
Arrest those who sold the Delta steel company at ridiculous amount

hey boy, it's Monday morning. so what rubbish and nonsense are you defending today?

Corruption wearing buba & Sokoto 🤔

Sheuns:
No be only $700 million. Na $7bn

What was the state of the factory before it was sold? I’m pretty sure it was non functional. Ask the man how he got the value to be $700m in 2005 and he’ll blab.

Ever been to Aladja?

People who did this sold it to themselves by using fronts.

May be it was sold on clearance sales,
But was there no valuations process, or bidding process because things like this are meant to be presented to the general public as auction and then allow people to bid ,

Government may be running promo sales like me

Just like I do sell some gadgets on clearance sales at unbelievable prices, you should take a look at my previous post for example

By the time you realize you are stealing from your future to flex today you will relax by the time you realize you are burning your own house to feel warm it will be too late

G

Obasanjo/Atiku root source of Nigeria modern problems

Mxnd

Hxhx

Which president sold it for the amounts?

It is well

Ajens1991:
The state government has no say in this, as it is a Federal government Asset.

Atiku and El Rufai were heads of BPE, sold all the steel industries to the Indians for peanuts

tobenuel:
hey boy, it's Monday morning. so what rubbish and nonsense are you defending today?

Who is this?

ok
CHECK MY SIGNATURE AND GROW YOUR BUSINESS TODAY.

And the 30million dollars will be siphoned by them cronies

Daddyk87:
Obasanjo/Atiku root source of Nigeria modern problems

Atiku was the Chairman of the National Economic Council and head of the National Council on Privatization, overseeing the sale of hundreds of loss-making and poorly managed public enterprises alongside Nasir El Rufai.

They sold the entire steel industry to the Indians for peanuts and bribes.

[quote author=Sheuns post=134172246]No be only $700 million. Na $7bn

What was the state of the factory before it was sold? I’m pretty sure it was non functional. Ask the man how he got the value to be $700m in 2005 and he’ll

How much do you think Obasanjo sold 1004 estate to his friend? And Transcorp Hotel to his girlfriend?

helinues:
Who is this?

I dey watch as you wan use your alternate monikers and your goons to LIKE the nonsense you always spill on this space. boy well done

tobenuel:
I dey watch as you wan use your alternate monikers and your goons to LIKE the nonsense you always spill on this space. boy well done

Get a meaningful life and stop making yourself a monitoring spirit.

Today is Monday, don't start your new week in such manner

Sheuns:
No be only $700 million. Na $7bn

What was the state of the factory before it was sold? I’m pretty sure it was non functional. Ask the man how he got the value to be $700m in 2005 and he’ll blab.

Have you thought about the true worth of the company that was sold for $30m in 2005 too?

If it's saner clime now your dick will be out already.

Inferiority complex don finish igborillas

helinues:
Get a meaningful life and stop making yourself a monitoring spirit.

Today is Monday, don't start your new week in such manner

Yeah it's Monday, make it productive. hurry up ok