Nigerian Aviation Handling Company Plc, is currently on a precipice, no thanks to the activities of its Board of Directors which is hell bent on milking the life out of the hitherto buoyant publicly-quoted company. Presently, its revenue earning capacity is on a downward trend due to the current unfavourable economic situation while its financial reserve is near zero. Its clients are grumbling about the quality of its service due to aging equipment begging for replacements. Meeting its financial obligations to staff and other stakeholders is becoming a big burden. Plans are afoot to downsize its staff as a way of wriggling out of the financial haze. It has the unenviable record of having a bunch of directors that believe that whatever is accumulated should be shared through unwholesome welfare packages with little left for declaration to other shareholders at the end of the financial year and without pans to replace its work tools.
Drumnewsonline gathered reliably from members of its management that in recent months, the directors approved for themselves millions of naira as exit packages and training allowances, some of which were never attended, yet, huge amounts of money both in local and foreign exchange collected. For instance, according to the source, the board’s former chairman, Suleiman Yahyah had collected over N70 million as exit package, in addition to another N144 million as proceeds from the infamous Management Service Agreement (MSA), in defiance to the directives of the Economic and Financial Crimes Commission, EFCC, which cancelled the phoney agreement because the Management of the company confirmed to it that it was not getting any value from the deal. It would be recalled that it was the crux of the petition by some former staff of the company to the anti corruption body. Yahyah is still, through his lawyers, demanding for the payment of accruals for the months of September – December, 2016, with interests. That tranche would set the company back with another N100 million, atleast.
The current chairman, Arc. Usman Arabi Bello, brother to the current Minister of the Federal Capital Territory, had amassed over N65million. His emergence as the chairman had the imprimatur of the former chairman who needed a stooge to cover his tracks and assist him in milking the company through proxies. When he resigned from the board around March 2016 along with another director, Bolaji Balogun, Drumnewsonline learnt that he was paid N30 million, exit package plus another N15million for training he never attended. Barely few months later, he came back to the board, this time as the chairman. He did not refund the money collected. The source said that the former Managing Director/CEO of the company, Mr Norbert Bielderman raised objection to his second journey to the board. According to him, it was unethical. His candid viewpoint pitched him against Bello and he was never forgiven. But he was overruled as he was dealing with people who were made up and had an agenda. As if that was not enough, an additional N20 million was approved for Bello at the last meeting of the board last July 10th in Abuja. And Yahyah, gifted another N12.5million for “his excellent service to the company”. The source also disclosed that all the former board members were retroactively awarded tens of millions of naira at the said meeting.
Dr Faruk Usman collected N45million, Mr David Thomas, an expatriate and representative of Lufthansa Airlines on the board, got N36.5million. It was further learnt that Mr Dennis Hasdenteufel, representing Air France and one of the longest serving board members, has turned in his paper of resignation from the board and is entitled to about N60 million.
Drumnewsonline further gathered that a female board member, Hadiza Aliko Mohammed, recently collected the sum of $40,000 for an oversea training which she never attended. The said training took place in France, August this year. She failed to attend and yet has not made any refund to the company. Such trainings could have been done in Nigeria but they see such as opportunities to fleece the company and go on jamborees. The said director the source further disclosed, collects the sum of N200,000(Two Hundred Thousand Naira) only, as allowance for a trip from Kaduna her base to Abuja. The said money was fixed by the directors to cover their flight tickets to board meetings only, but she insists on collecting the money even when such trips were an hour drive from her base and for events that were not board meetings. “It is a bazaar for her and she was making demands retroactively for events that took place years ago and the monies paid to her”, the source succinctly put it. No one in the present management has the liver to question such outrageous demands.
The company’s journey to Golgotha did not start recently the source went on to recollect. According to it, the directors, several years ago, when Yahyah was on saddle, put in place a scheme whereby they receive two cars, an SUV and a Toyota Corolla as official cars, a giant generating set among others, on appointment. Such cars and equipment were supposed to be company’s property and in their possession for 4 or 5 years at the end of which their residual value would be paid to the company and ownership pass on to them. However, the policy is being practiced in breach as none of the directors had made any payment to the company for them several years afterwards. In recent times they collect about N15million per person for the purchase of cars and no records in the company to prove whether the cars were eventually purchased. “They see it as gratis which is against corporate governance” the source summed it up. Ahmed Uwais, son of the former Chief Justice of Nigeria, Hadiza last year collected N15million each for the purchase of cars, while Mrs Folashade Ode, former Company Secretary and now Executive Director collected hers early this year, the source volunteered. It was not ascertained if the recently appointed members of the board had been paid theirs.
Drumnewsonline was told that there is no dividing line between the directors’ private and official relationships with the company as such overlap had cost the company millions of naira both in cash and man hours. A typical example was given of the former chairman who retained the services of a lawyer, Femi Banwo, of Banwo and Ighodalo law firm, when he had issues at the EFCC in 2016. The lawyer came in to the matter at the instance of Yahyah and his company, Rosehill Group Limited, since the petition was against his person and his company. Strangely, the lawyer through the former chairman submitted a bill of N57million (Fifty Seven Million Naira) only to Nahco for payment. The former MD was said to be so livid with anger and refused to honour such bill for legal fees albeit scandalous. He said that Nahco never sought the services of any law firm since the Head of Legal Services then, Mrs Uloma Okoro, was always on hand at the Commission to attend to the legal needs of the company. Yahyah instructed his stooges on the board to pay the bill and the sum of N35million paid to the firm afterwards. Ironically, Mr Banwo, as at the time of the payment, was already drafted by Yahyah into Nahco board representing his interest, Rosehill Group, and sat in at the board Committee meeting his bill was discussed and approved. Another sum of N10 million was paid out from Nahco coffers to another law firm he privately engaged for services the company never sought for or knew anything about. His words are law in Nahco and top management staff fall over themselves to do his bidding. Mr Uche Maduemesi, erstwhile Manager Corporate Governance and Stakeholder Relations, whose employment is an issue between the company and the EFCC, was one of his trusted allies in the company, Drumnewsonline was informed. It was because of his affinity to Yahyah that he was mentioned in the petition to the EFCC. However, his insistence on saying the truth put him at cross purposes with Yahyah and left a sour taste in his mouth.
What is the role of Securities and Exchange Commission in all these? Drumnewsonline asked one of the Management staff on condition of anonymity. She said that “SEC may have been compromised to take a decisive action against the erring Nahco board” pointing out that feelers showed that the helmsman of the Commission, Munir Gwarzo, is a fellow Fulani and a bosom friend of Yahyah and would do everything possible to shield him. The source further expressed displeasure that a “body that is supposed to protect shareholders investment is looking the other way when infractions are being committed”. The worst aspect is that all these are happening under the watch of an administration that prides itself of fighting corruption. Even, the EFCC, the source continued, is delaying in charging Nahco issue to court. It is the wish of every staff that the board be sacked to save the company from financial hemorrhage and possibly charge them to court for corruption pointing out that if it had happened earlier than now some of the recent happenings would have been staunched.
A source at SEC refused to comment on the matter when approached, but however said that the Commission would not want to be seen to have compromised. He further said that SEC would take action if issues of misappropriating shareholders investment are brought to the organization’s notice.
Until the appropriate bodies dissolve or take corrective action against the Board of Nahco, the unbridled looting of the company scarce funds would continue to the detriment of its suffering staff members that only receive peanuts as wages.
