$2.9bn Arms Procurement: Does Jonathan’s Denial Exonerate Dasuki?

Dasuki

Immediate-past President Goodluck Jonathan, has debunked allegations that his administration awarded contract for arms procurement to the tune of $2 billion.
Jonathan, who spoke in Washington DC, on “Presidential elections and democratic consolidation in Africa: Case studies on Nigeria and Tanzania,” a conversational forum, co-hosted by the National Democratic Institute (NDI) and the Center for Strategic and International Studies (CSIS), stated categorically that “I did not award any $2 billion contract for procurement of weapons.”
Jonathan queried, “Where did the money come from? “I did not award a contract of $2billion for procurement of weapons.”
It would be recalled that, a presidential investigations committee into arms procurement under the administration of ex-President Jonathan revealed in its interim report that it found extra-budgetary spending by the Jonathan administration to the tune of N643.8 billion and an additional $2.2 billion in the foreign currency component, all managed and supervised by ex-National Security Adviser, Col. Sambo Dasuki (retd).
But in a swift reaction, Dasuki had said in a statement, that all contracts and accruing payments were made based on the approval of ex-President Jonathan, adding that due process and military procurement regulations were followed in all the transactions.
Dasuki said: “Nigerians should note that all the services generated the types of equipment needed, sourced suppliers most times and after consideration by the Office of the NSA, the President will approve application for payment.”
But Mr. Jonathan said he never awarded any $2billion arms contract, but what Jonathan failed to reveal was how much arms contract was awarded by his government if the figure from Buhari’s administration was untrue. In any case Jonathan cannot claim that a government that fought insurgency for five years never bought weapons. It is believed that what Buhari wants to unravel is why after spending over $2billion for arms, the army was outgunned by the Boko Haram sect for a long time and the Boko Haram alleged to have better equipment than the Nigerian army?
Aside budgeted money for purchase of equipment, a significant part of the money that Dasuki must account for are extra-budgetary grants from local and foreign institutions which were domiciled in the office of the NSA.
 Recall that President Muhammdu Buhari has ordered the arrest of the former National Security Adviser, NSA, Col. Sambo Dasuki (Rtd), for allegedly siphoning billions of dollars earmarked for arms purchases.
In ordering the arrest, President Buhari observed that the actions of the erstwhile NSA brought the nation to international ridicule as the failure to procure the arms incapacitated the military in the face of the insurgency orchestrated by the Boko Haram sect.
The order was also extended to several others who were found culpable in the saga.
The development followed  the release of the interim report by the presidential committee investigating arms procurement.
The president had on August 31 set up the 13 man committee to audit the procurement of arms and equipment in the Armed Forces and Defence sector from 2007 to date.
A statement by the Special Adviser to the President on Media and Publicity, Mr. Femi Adesina, stated that Dasuki expended $2,193,815,000.83 on arms, a figure he said did not include grants received by the police and the Department of State Services, DSS, from state governments.
The statement read thus: “As part of the findings, the committee has analyzed interventions from some organizations that provided funds to the Office of the National Security Adviser, Defence Headquarters, Army Headquarters, Naval Headquarters, and Nigerian Air Force Headquarters, both in local and foreign currencies.
“So far the total extra budgetary interventions articulated by the committee is Six Hundred and Forty Three Billion, Eight Hundred and Seventeen Million, Nine Hundred and Fifty Thousand, Eight Hundred and Eighty Five Hundred Naira and Eighteen Kobo (N643,817,955,885.18).
“The foreign currency component is to the tune of Two Billion, One Hundred and Ninety Three Million, Eight Hundred and Fifteen Thousand US Dollars and Eighty Three Cents ($2,193,815,000.83).
“These amounts exclude grants from the state governments and funds collected by the DSS and Police. It was observed that in spite of this huge financial intervention, very little was expended to support defence procurement.
“The committee also observed that of 513 contracts awarded at $8,356,525,184.32; N2,189,265,724,404.55 and €54,000.00; Fifty Three (53) were failed contracts amounting to $2,378,939,066.27 and N13,729,342,329.87 respectively.
“Interestingly, it was noted that the amount of foreign currency spent on failed contracts was more than double the $1bn loan that the National Assembly approved for borrowing to fight the insurgency in the North East.  “The committee also discovered that payments to the tune of Three Billion, Eight Hundred and Fifty Million Naira (N3,850,000,000.00) were made to a single company by the former NSA without documented evidence of contractual agreements or fulfilment of tax obligations to the federal goverment.
“Further findings revealed that between March 2012 and March 2015, the erstwhile NSA, Lt Col MS Dasuki (rtd) awarded fictitious and phantom contracts to the tune of N2,219,188,609.50, $1,671,742,613.58 and €9,905,477.00. The contracts which were said to be for the purchase of four Alpha Jets, 12 helicopters, bombs and ammunition were not executed and the equipment were never supplied to the Nigerian Air Force, neither are they in its inventory.
“Even more disturbing was the discovery that out of these figures, two companies were awarded contracts to the tune of N350,000,000.00, $1,661,670,469.71 and €9,905,477.00 alone. This was without prejudice to the consistent non-performance of the companies in the previous contracts awarded.”
Adesina in the statement added that the former NSA also directed the Central Bank of Nigeria to transfer a certain amount to accounts domiciled in the United Kingdom and the United States.
“Additionally, it was discovered that the former NSA directed the Central Bank of Nigeria to transfer the sum of $132,050,486.97 and €9,905,473.55 to the accounts of Societe D’equipmente Internationaux in West Africa, United Kingdom and United States of America for un-ascertained purposes, without any contract documents to explain the transactions.
“The findings made so far are extremely worrying considering that the interventions were granted within the same period that our troops fighting the insurgency in the North East were in desperate need of platforms, military equipment and ammunition. Had the funds siphoned to these non performing companies been properly used for the purpose they were meant for, thousands of needless Nigerian deaths would have been avoided.
“Furthermore, the ridicule Nigeria has faced in the international community would have been avoided. It is worrisome and disappointing that those entrusted with the security of this great nation were busy using proxies to siphon the national treasury, while innocent lives were wasted daily.
“In light of these findings, President Muhammadu Buhari has directed that the relevant organizations arrest and bring to book, all individuals who have been found complicit in these illegal and fraudulent acts”, the statement submitted.