The Of Sale Of NITEL: A Rape Of A Nation

By

Jide Ayobolu

jideayobolu@yahoo.co.uk

There is no doubt whatsoever that the recent sale of NITEL to Transcorp after many failed attempts in the not too distant past is a monumental fraud and, an unprecedented, shameless, heartless, callous and vicious rape of the nation. That this type of mindless fraud, a bare-faced primitive accumulation could take place under this administration shows evidently that this government has no credibility and integrity at all; it is all out to slyly milk the country dry by bamboozling the people. It is would be recalled that the reason why the second republic collapsed was as a result of the ineptitude, insensitivity, graft, financial impropriety and rapaciousness of the politicians of the era. It is therefore very disheartening to note that the present crop of political gladiators by their conduct have not learnt anything from history, they are indeed agents of destabilization and under development, and those who fail to learn from history will sooner than later become part of the relics of history.

The way and manner NITEL was sold has raised a lot of dust which have refused to settle as well as continue to generate sharp reactions from a cross section of perspective Nigerians. NITEL a public utility established with taxpayers money was sold at a give away price to Transcorp owned by a few individuals at the corridors of power. The process of the sale did not follow the due process and it was not in the general and collective interests of the Nigerian people. It would be recalled that, for a pittance of $750million, Transcorp has now become owners of 75 per cent, not even the 51 per cent previously advertised of shares of the First National Carrier. It would be recalled that IILL offered to buy the same company without its mobile arm, M-tel, for $1.3billion four years ago, similarly, Orascom Telecoms of Egypt offered to buy 51 per cent of NITEL and it was also to take over all of NITEL’s liabilities, including the pensions and salaries of some 12,000 employees. Transcorp, on the other hand, bought 75 per cent of NITEL without its liabilities, the federal government will defray the liabilities. Hence, it goes without saying that this is a fraud of unimaginable proportion, this has finally shown that all the hoopla about the fight against corruption is nothing but a mere lip service meant to hoodwink the Nigerian people. Nothing better demonstrates this rape of NITEL and Nigerians than the fact that, just a few months ago, the shareholders of V-Mobile sold only 65 per cent of the firm’s shares to the Sudanese-owned but Holland-based Celtel for $1.05billion. And if M-tel alone is well run, it would have a wider network and better coverage.

It is very glaring therefore that those at the helm of affairs have deliberately frustrated the sale of NITEL so that they can take possession of a prime property that belongs to the Nigerian people through the back door. It is also on record that NITEL has shares in the following companies 7.33 per cent in South Atlantic Telecommunications/West African Cable Organization (SAT3/WASC); 6.91 per cent share in International Maritime Satellite Organization ( INTELSAT) and 0.07 per cent in Ico Global Communications Limited (I-Co). It stands to reason therefore that NITEL is worth about $10billion. So, whose interest are those that sold NITEL representing? Is it that of a few people in government and a crop of selected businessmen co-travelers or that of Nigerians and the Nigerian state? Of course the answer is obvious, but while will a government intently subject her people to unmitigated hardship and difficulties, then ruthlessly pilfer what collectively belongs to them. Or is this part of there electoral promises to the Nigerian people.  This is a continuation of the looting of the Nigerian state, the IBB government looted the treasury left, right and center, the Abacha government was a rampaging scavenger that foist a restless run of locust on the country, now the Obasanjo led government  can be likened to an undertaker and his gang of professional looters, going by the ravaging valve with which the government is selling strategic national assets to its cronies and business partners. It is also instructive to note that the federal government has already granted approval to Transcorp to build $250million (about N33.25billion) refinery in Lekki free port zone, Lagos, it was also granted other concessions which include a license  to build an Independent Power Plant and access to government’s cassava report for the construction of a cassava processing facility. So, Nigeria is now up for sale?

It is as a result of this scandal that it has been observed about Transcorp that, “We have no details of business plans or strategies beyond the moves to buy federal government assets on cheap but with the stock exchange’s referee also being captain of the Transcorp team, on which we also find so many captains of banks and industry, can anyone doubt that they are capable of bringing this dire prediction to pass? Have we not witnessed over the years blatant manipulation of share prices of certain companies in our market”. What this means therefore is that the government of the day is thoroughly corrupt in spite of its manifold deception about corruption, Nigerians can no longer be deceived, there is no difference between this government those that have ruled it recklessly in the past. Also, Segun Adeniyi remarked very aptly about the scandalous, illegitimate, stinking and offensive NITEL- Transcorp deal when he said, “Transcorp was set up on November 2004 without a management team beyond perhaps a clerk in Okereke-Onyiuke’s office. The company had no office of its own though the all-powerful DG of NSE also allocated to it a corner in her office. Transcorp had no product it either produced or would sell yet the value of the N1 per share which the shareholders on July 2005 allocated to themselves had by six months later in February this year, attracted a value of N6.00 each. And from the information at my disposal, the IPO that targeted N6 billion was over subscribed such that it was able to attract N17 billion. What this means is that without producing or selling anything, the money invested by the shareholders had yielded 500 per cent profit. This financial abracadabra could only happen in Nigeria while I have it on good authority that by the next IPO which is only a few weeks away, the shares of this Aso Rock Company will sell for N10 each! The situation becomes more serious when you factor in the revelation that many top guns at the presidential villa have shares in Transcorp”.

It is also germane to underscore the fact that, it is the god in the Villa that imposed the recently sacked CEO of Transcorp because he wants to contest for senatorial election in 2007, which pitched him against one of the siblings of the god.   That shows the extent of the vindictiveness and pettiness of the president. Now, that NITEL has been bought cheaply, without any resistant or protest what will be the next key national asset Transcorp will go after? Why is there no anti-trust law in place to guard against rapacious and manipulative tendencies in the privatization exercise such as this? Will Nigeria not become a vast estate of a few individuals? Again, the 1999 constitution of the federal republic of Nigeria stated very clearly that the national economy should be managed in such a way that the commanding heights of the economy should not be concentrated in the hands of one person or a group of people, it went on to explain that the economy should be managed in such a way that it will bring sufficient benefits to the Nigeria people. As it has always done, this government has failed to obey the provisions of the 1999 constitution which they swore on oath to obey. However, one very important thing to know is that anything that is not predicated on the truth cannot stand the test of time; it will surely collapse like a pack of cards. It is just a matter of time before the misdeeds of this government is brought to book, the Obasanjo led government has not been fair to the Nigerian people, they have been severally short-changed, it has been a pain in the neck, there is no transparency, no probity, no accountability, no sincerity of purpose whatsoever, but all these shady deals will be dealt with by a honest government in the nearest future. This is definitely not how to run a country.