We sold the best BMW B7 series armoured cars to NCAA – Coscharis

Posted on October 31, 2013 Updated on October 31, 2013

IT was another round of startling
revelations Wednesday as the House of
Representatives Committee on Aviation
continued the suspended investigative hearing
into an alleged purchase of two armoured
BMW cars at N255million by the Minister of
Aviation, Princess Stella Oduah.
Despite the fact that the minister was visibly
missing at the hearing, the Nigeria Customs
Service, NSC, FirstBank PLc and Coscharis made
presentations on their level of involvement in
the purchase of the cars.
Also, the committee turned down the request of
Oduah to appear by noon today declaring that
“she must appear here by 10am on Thursday.
The Committee’s Chairperson, Rep Nkeurtuka
Onyejeocha declared that “tomorrow, is
sacrosanct, the minister must appear here by
10.am.
The letter the minister’s sent that she would
appear by noon was ignored by the committee.
But what startled stakeholders was when the
Deputy Comptroller General of Customs, DCG
Mannasseh Daniel Jatau who represented the
Customs CG, Abdulahi Dikko said a N10million
waiver given to Lagos state government as
waiver to purchase vehicles for Eko 2012 sports
festival was used to clear the cars.
Jatau said”the 10million import duty payable on
the 300 vehicles meant for Eko 2012 festival
was used to clear the armoured cars. ”
He explained that since the waiver was still
effective the Customs had no choice than to
allow the cars cleared from the ports.
Jatau also noted that the office of the National
Security Adviser,NSA endorsed the clearance of
the armoured cars.
At this point, Rep Zakari Mohammed asked the
DCG to explain the procedure for such a waiver
and the exact number of vehicles cleared by the
Customs.
Responding Jatau said” the armoured vehicles
were cleared because there was an
authorisation letter from the Minister of
Finance.
Asked whether such a waiver was transferable,
Jatau said,” to the best of my knowledge it is not
transferable and the total vehicles were 300
units. ”
Rep Ahmed Ali queried Jatau further whether it
is possible to use such an exemption for
another purpose other than what it was meant
for as in the case of NCAA.
Rep Jerry Manwe also demanded for evidence
to show that such a waiver was granted by the
Minister of Finance.
Jatau replied, saying”among the 300 vehicles
only 3 were armoured cars and whether
another beneficiary enjoyed the waiver I
cannot tell you that because we are not
magicians. ”
“At the clearance point, all the requirements of
the law were met and we are under the
Ministry of Finance, if you give us till
tomorrow, Thursday we will provide the
evidence you demanded for. ”
But a copy of the letter authorising the Customs
was eventually presented which reflected that
“I am directed to refer to your letter dated 23rd
June 2012 in the above subject matter and to
convey the approval, of Mr. president and
Commander in Chief to the Lagos State
Government for the waiver for waiver of
Import Duty, Value Added Tax ( VAT) ETLS, CISS
and other port charges in respect of the
importation of 300 units of BMW, Ford, Land
Rover, Range Rover, Lexus, Mercedes, Escalade,
Jaguar and buses ( Petrol/Diesel) for use during
the 18th National Sports Festival ( EKO 2012) to
be imported through Messrs Coscharis Motors
Nigeria Limited, as indicated in the duly
attached list.”
He further said that but for the waiver, the
service would have generated the sum of N10,
133, 533 and stated however, that the end user
was diverted from its original user, Coscharis
Nig. Ltd and Lagos state as the beneficiary not
the NCAA which it was unaware of.
He related that if the service was in the know of
the diversion of beneficiaries before the
vehicles left the port, it would have demanded
that import duty be paid on them. .
The Lenders, First Bank of Nigeria has refuted
claims by NCAA that it is in no way committed
to the Bank as regards the loan of N643m for
the cars.
Group head, retail services of the bank, Seyi
Oyefeso, told the committee that NCAA is
committed to the bank having agreed to, and
signed all the documents for the loan that was
meant to cover 52 units of vehicles which does
not include the BMW armoured cars.
Coscharis Nig Ltd also maintained that due
process was followed in the purchase of the
cars and regards the exemption of duty, the
President of the company, Cosmos Maduka said
it had an agreement with Nigerian government
to waive import duties on cars it purchases for
the government at a given time.
While the committee insisted that the current
price of the vehicle shouldn’t have ordinarily
exceeded 50 million Naira each, Coscharis out
rightly rejected it, saying it that could never be
the case with BMW B 7 series anywhere in the
world.
But in a bid to state the fact, Coscharis revealed
that the NCAA demanded a jerk up of the prices
of the controversial vehicles from what the
company had submitted earlier.
According to the Chairman of the company, Mr.
Cosmos Maduka “NCAA told us that the initial
price is not proper”.
The hearing further revealed that the
controversial cars were originally purchased on
behalf of the Lagos State Government for the
2012 18th National Sports Festival and later sold
to NCAA.
Explaining the controversy, Maduka said that
the delay encountered when the company
sought clearance from the office of the National
Security Adviser (NSA) when the demand came
made it necessary to sell the cars to NCAA.
But the Committee insisted that Coscharis
deceived the public and the government by
saying that the cars were bought for NCAA
when actually they were purchased on behalf
of the Lagos State government.
The committee also accused the company of
ripping Nigerians off.
According to the Committee, the change on the
prices of the vehicle from the initial amount of
N70 million Naira to N127.5 even when the
company had admitted that it got waiver from
the government not to pay customs duties on
the cars cast aspersion on the company position
on the prices.
Similarly, the hearing later took a dramatic turn
when the committee discovered the company
that the vehicles supplied were of different
make and types.
For instance, a member of the Committee and
spokesperson of the House of Representatives,
Hon. Zakari Mohammed said that the chasis of
one of the vehicles inspected by a delegation
from the committee was DW68011.
He argued that the number differed from what
Coscharis gave in their correspondences with
the office of the NSA.
But in a swift response, the company refuted it.
It quoted the chasis numbers as 68044 and
68432 respectively.
It however promised to send the NSA certificate
on the cars to the committee.
Earlier, the company had requested to play a
video to demonstrate how exotic the cars were
in a bid to justify the prices but was turned by
the committee.