BPE clarifies on N2.5BN PHCN proceed paid into Aso Savings

Wed, Nov 4, 2020

By editor

2 MIN READ

THE Bureau of Public Enterprises, BPE, has refuted allegations that its officials diverted N2.5 billion proceed from the sale of Power Holding Company of Nigeria, PHCN.

BPE made the denial on Wednesday, November 4, based on media reports (not Realnews) today insinuating that officials of the bureau allegedly diverted N2.5bn from PHCN proceed to buy properties in Aso Savings.

The BPE stated that the reports are not correct and clarified that  “on 25^th February 2014, the Bureau of Public Enterprises got the approval of the Accountant General of the Federation (OAGF) to establish a banking relationship with Aso Savings and Loans Plc.

“Subsequently, the Bureau made a placement in the sum of N2.5 billion in the account to facilitate access to cheap finance for the Bureau’s staff housing scheme but the staff was not able to access the money.

“Following the Federal Government’s directive on 14^th September 2015 that all funds held with Commercial Banks be transferred to the Bureau’s Treasury Single Account with the Central Bank of Nigeria, it was discovered that Aso Savings & Loans Plc could not meet its deposit repayment obligations.

“As a result, on 18^th October 2016, Aso Savings and Loans Plc proposed a repayment plan as follows:

“1.        Property swap valued at N1.52 billion: Under this arrangement, ownership of some completed properties that are ready for sale will be ceded to the Bureau in partial satisfaction of the stranded deposits; and

“2.        Cash repayment of N1.25 billion: This entailed a bullet transfer of N70million per month until the amount was extinguished.”

According to BPE, “Despite the arrangement, Aso Savings and Loans Plc. defaulted in meeting its obligations under the agreement. As a result, the Bureau has made several demands to ASL which has remained elusive till date.

“It should be noted that some of the ASL properties that are habitable have been sold and the money received, paid into government treasury.

“From the foregoing, there is nowhere that BPE officials diverted any fund or proceeds from the PHCN.The alleged diversion is therefore, a figment of the imagination of the writers of the reports. We appeal to the general public to discountenance the reports in their entirety.”

– Nov. 4, 2020 @ 18:25 GMT |