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Senate probes NIPOST over N10bn restructuring funds

The Senate has ordered a probe into the N10 billion restructuring funds released to the Nigerian Postal Service (NIPOST) by the Federal Ministry of Finance.

The Senate gave the order via its resolution of December 30, 2023, noting that there was transfer of the federal government shares in two NIPOST subsidiaries to private individuals.

The agency’s subsidiaries are the NIPOST Properties and Development Company and the NIPOST Transport and Logistics Services Limited.

The Senate declared the NIPOST subsidiaries as “irregular and illegal” and ordered their immediate winding-up and deregistration.

The Red Chamber added that the committee responsible must recover the full amount.

READ ALSO: NIPOST workers protest as Postmaster General assumes office

The Senate’s resolution read: “The sum of N10 billion released by the Ministry of Finance for the proposed NIPOST restructuring and recapitalisation be investigated and the funds fully recovered if established to be injudiciously utilised by the relevant committee of the Assembly charged with the responsibility of fiscal prudence.”

It was however gathered that some individuals in key positions within the Bureau of Public Enterprises (BPE) and NIPOST were listed as shareholders of the two NIPOST subsidiaries.

The Corporate Affairs Commission (CAC) records confirmed that as of November 8, 2023, some top officials of BPE control significant shares in the subsidiaries.

It was learnt that after receiving a letter on the infraction, the individuals involved hurriedly reassigned their shares in NIPOST Transport and Logistics to three government entities – NIPOST (80 per cent); BPE (10 per cent); and the Ministry of Finance Incorporated (10 per cent).

The Star

Segun Ojo

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