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Despite claims to
the contrary by the Economic and Financial Crimes Commission (EFCC),
NEXT can authoritatively reveal that the anti-graft agency has no
evidence to back the N32 billion misappropriation charge it has
levelled against Nasiru El-Rufai, the former minister of the Federal
Capital Territory (FCT).

Rather, a
preliminary investigation report, prepared by the Bank Fraud Unit of
the agency, dated January 22, 2010, shows that the N32 billion figure
emerged as a result of a calculation error. The report was addressed to
the Acting Director of Operations of the EFCC and signed by Jimoh
Abdulkadir, for the Head of Operations.

The report,
obtained by NEXT, states the details of investigations into the sale of
22,052 units of non-essential federal government houses in the FCT
between 2005 and 2007,during which period, Mr. El-Rufai served as
minister.

According to the
report, it was the Senate Joint Committee on the activities of the FCT
Administration that came up with the figure in 2008. The Senate
committee erroneously arrived at a N97.6 billion figure as the total
figure obtained from the sale of forms and the Federal government-owned
houses, rather than a figure of about N60.5 billion, which the EFCC
investigators stated as the correct figure.

Following further
investigations, the report also stated that based on the new figure,
the preliminary findings showed that the EFCC now required that the Ad
hoc committee, which was in charge of the sales of the houses between
2005 and 2007, account for N1.65 billion which the investigators say
has not been accounted for; a far cry from the N32 billion figure, for
which Mr. El-Rufai had been declared wanted in 2008.

“That following
various records studied by operatives, the sum of N60,539,353,127.10
was arrived at as the most probable total proceeds realized from the
sales, based on which the sum of N1,658,596,299.50 which ought to be
part of bank balance needs to be accounted for by the Ad hoc
committee,” the report stated.

The report further
stated that the accountant of the ad hoc committee, Ijato Ugbagwu, had
pointed out that the Senate committee figure was a calculation of the
entire proceeds from the sales up to April 2008 instead of ending in
May 2007.

The report also
revealed the many miscalculations by the Senate committee, the ad hoc
committee, the banks, and the EFCC which produced conflicting results
and showed a range of sloppy accounting carried out by the parties.

The total proceeds
from the sale was put at different figures by the different parties-
N96.7 billion, N78.8 billion, N68 billion, N75 billion, and N58.6
billion, before the EFCC investigators finally agreed on a figure,
N60.5 billion.

The EFCC’s response

While confirming
that the anti-graft agency had launched their investigations in 2008
based on the report from the Senate committee, Femi Babafemi, the
spokesman of the EFCC, disclaimed the report obtained by NEXT, saying
it was forged.

“What you have is
absolute forgery. It is not from us. Whoever forged that report is not
from us,” Mr. Babafemi said to NEXT over the weekend.

Adding that this would not be the first time that reports, using the names of EFCC operatives, would be forged.

Mr. Babafemi
reiterated that the EFCC is conducting an investigation into the
allegations of misappropriation of funds to the tune of N32 billion
levelled against the former FCT minister.

“What we are
investigating is 32 billion and we do not have any report that states
that 1.65 billion is the new figure,” Mr. Babafemi said.

Suing for damages

A spokesperson for
the former minister, Mr. El-Rufai, said that he has begun legal
proceedings against the EFCC and auditors with regards to the N32
billion naira misappropriation allegations.

“Nasir el Rufai has
asked the court to declare that N32b did not go missing under his
watch. He sued the EFCC and the auditors,” Muyiwa Adekeye, media
consultant to Mr. El-Rufai said in Abuja.

“The final report
of the Senate committee also did not put the issue of N32b; thus it did
not constitute part of a Senate report or vote. The interim report of
the Senate FCT which broached the matter was leaked to the media, and
has been the basis of falsehood since then.”

Last week, when the
case was first brought before the Federal High Court in Abuja, Mr.
Babafemi said that the investigations into the matter was ongoing.

While not directly
indicting Mr. El-Rufai in the report, the EFCC officials recommended
that criminal prosecution be launched against the former minister and
members of the ad hoc committee.

“From the above findings, it is obvious that the sale of Federal
Government houses… was used as opportunity by some persons under the
control and supervision of the then FCT minister, Mallam El-Rufai to
siphon money and fraudulently enrich themselves,” the report concluded
after examining the evidence gathered.