Group warns against attack on RMAFC

The Centre for Anti-Corruption and Open Leadership has warned consulting firm Zilcon Higgs International Limited to cease making defamatory statements against the Revenue Mobilization Allocation and Fiscal Commission.

This follows Zilcon Higgs’ failure to receive payment for an alleged job on behalf of Nigeria’s nine oil-producing states.

In a statement issued on Wednesday by CACOL’s Chairman, Mr Debo Adeniran, and made available to journalists in Lagos, the centre addressed the accusations made by Zilcon Higgs in a Daily Sun publication dated September 13, 2024, titled “Firm petitions RMAFC Chair, Shehu over $330m payment.”

The CEO of Zilcon Higgs, Sampson Orji, claimed that the firm was contracted by the governors of the nine oil-producing states to recover 2,471,040,983.38bn, which had been omitted in the Federation Account Allocation Committee Post-Mortem Committee’s recommendation for refund to the states.

Zilcon Higgs had accused RMAFC of failing to authorise payment of consultancy fees for the job, despite the Nigeria Governors’ Forum, under the Chairmanship of Governor AbdulRahman AbdulRazak, issuing a letter to another firm, Tiaras White Consult Ltd, as the official consultant for the oil-producing states.

In response, Mr Adeniran stated, “Our investigations reveal that Zilcon Higgs falsely accused RMAFC of withholding payments for a job they were not contracted for.

The Chairmen of the nine oil-producing states, including Abia, Akwa Ibom, Bayelsa, Cross River, Delta, Edo, Imo, Ondo, and Rivers, have refuted Zilcon Higgs’ claim of appointment for the recovery task.

He further added, “Zilcon Higgs also alleged that RMAFC Chairman, Muhammed Bello Shehu, admitted to the EFCC that Tiaras White was the only consultant engaged for the recovery of the $2,471,040,935.48bn, owed to the states as 13% derivation arrears.

“This was confirmed by the Chairmen of the oil-producing states, who issued a letter to RMAFC clarifying the matter.”

CACOL criticised the firm for its petition to President Bola Tinubu, in which it claimed that the states were being denied payment and that the firm was being refused its consultancy fee.

“This is a case of crying more than the bereaved. How can Zilcon Higgs demand its consultancy fee when the states haven’t received their money?” Mr. Adeniran remarked.

The anti-corruption body noted that Zilcon Higgs had reported the issue to the Economic and Financial Crimes Commission, where Chairman Shehu and several RMAFC staff had already been interrogated.

“Why can’t they wait for EFCC to complete its investigation before making baseless accusations?” Adeniran queried.

RMAFC had earlier clarified that no payments had been made to the oil-producing states or any consultant, as the funds require confirmation from the Office of the Accountant-General of the Federation and the Ministry of Finance.

“The Constitution, under Section 162, is clear: only the three tiers of government can receive funds from the Federation Account.  Neither NGF nor ALGON has the authority to draw funds or approve deductions,” Adeniran stated.

CACOL reminded the public of the legal opinions issued by the Office of the Attorney General, which guides federal ministries and agencies in dealing with consultancy agreements to avoid undue liabilities.

“Any payments made without proper authorisation would be a violation of the Constitution and could lead to legal consequences,” Adeniran warned.

He urged Zilcon Higgs to await the court’s judgment on the matter, which is pending before the Federal High Court and the Court of Appeal, in Abuja rather than resorting to “wild allegations” and a “campaign of calumny” against RMAFC Chairman Shehu.

“We believe that RMAFC’s decision not to respond to these defamatory statements shows its commitment to the rule of law,” Adeniran said.

Adeniran also stated, “Let the courts decide and let due process prevail. Zilcon Higgs should refrain from making reckless statements in the media.”