Denials, counter-claims trail court order on TSA breach by banks

Just as the Nigerian National Petroleum Corporation (NNPC), on Friday denied reports that it colluded with some commercial banks in Nigeria to prevent the remittance of $793.2 million into the federal government’s Treasury Single Accounts (TSA), several banks have come up to claim that they have earlier paid the money while one of the lenders said it is still in custody of its portion of the funds.
While the NNPC insists that such reports were untrue and misleading, there were official statements by Skye Bank Plc, Sterling Bank and the United Bank for Africa Plc (UBA) refuting allegations of contravening government’s TSA policy as alleged by a Federal High Court in Lagos on Thursday.
The NNPC in a statement from its Group General Manager, Group Public Affairs Division, Ndu Ughamadu, in Abuja stated that it had earlier taken steps to inform the Presidency, Office of the Accountant-General of the Federation (AGF), as well as the Central Bank of Nigeria (CBN), of the existence of the said accounts prior to the creation of the Asset Recovery Account by the government.
It explained that it would be totally out of place to move the funds to the Asset Recovery Account of the government because they were genuine funds that were disclosed to the government and not recovered funds as reported.
The United Bank for Africa (UBA) Plc said it has fully remitted all Nigeria National Petroleum Corporation/Nigeria Liquefied Natural Gas (NNPC/NLNG) dollar deposits since August 24, 2016.
“We hereby emphasize that none of such funds are currently in the Bank’s books. Our action was further corroborated by a clearance memo published by CBN on its website,” the bank noted in a statement on Friday signed by the Group Head, Marketing & Corporate Communications UBA, Bola Atta.
The bank further thanked all customers, business partners and other stakeholders who have reached out to the lender on account of this judgment.
Similarly, the management of Skye Bank on Friday confirmed holding about $41 million (about N12. 9billion) belonging to the Nigerian Investments Management Services (NAPIMS), allegedly kept away from the TSA domiciled with the CBN. The money is part of about $793.2 million (about N249.9 billion) allegedly kept illegally in the custody of seven commercial banks.
This was in violation of the directive by the Accountant General of the Federation that effective September 15, 2015, all such funds be transferred to the TSA account domiciled with the CBN.
In the same vein, Sterling Bank Plc denied holding the sum of US$46.5 million (Forty Six, Million, Five Hundred Thousand United States Dollars Only) alleged to be an undisclosed qualifying funds under the Federal Government’s TSA policy.
The funds was said to have been kept illegally, by the National Petroleum Investment Management Services (NAPIMS) and Nigerian Petroleum Development Company (NPDC).
Sterling Bank in a statement signed by its Chief Marketing Officer, Brand Management & Communication department, Henry Bassey stated: “We wish to state unequivocally that Sterling Bank does not hold any sum in any currency as a deposit from either of these entities.”
It should be recalled that the Central Bank of Nigeria (CBN), ten months ago suspended nine commercial banks from trading in the interbank foreign exchange (IFEX) market for failing to remit a total of $2.33 billion belonging to the Nigerian National Petroleum Corporation/Nigerian Liquefied Natural Gas Company to the federal government’s Treasury Single Account (TSA).