EXCLUSIVE: 2023 proxy war in NASS as Reps probe N60b Deep Blue Sea contract

House of Representatives in plenary

Deep Blue Sea project which was commissioned in 2021 by President Muhammadu Buhari is being probed a year after by the House of Representatives

By Ishaya Ibrahim, News Editor

Even as the political parties are yet to decide on the zoning formula and announce date for their primaries, a proxy war may have ensued in the House of Representatives with the push to probe an agency of the Ministry of Transportation.

On Wednesday, the House of Representatives Committee on Navy announced February 22 as the commencement date for the probe of the Deep Blue Sea Contract, a project of the Nigerian Maritime Administration and Safety Agency (NIMASA).

The intention was communicated via a letter dated February 9 by the Chairman House Committee on Navy, Hon. Yusuf Adamu Gagdi, and addressed to the Managing Director of Nigerian Ports Authority (NPA).

The letter was received and acknowledged by the Abuja Liaison Office of NPA on Thursday, February 10.

The contract was handled by a foreign firm, HSL International Limited, at the sum of N60 billion.

The House is of the view that the project violated the Nigerian Constitution, as well as poses a national security threat, hence the probe.

But a source in the House of Representatives, who spoke on the condition of anonymity, said Speaker Femi Gbajabiamila was using his position to wage proxy war on behalf of his political benefactor, Asiwaju Bola Tinubu.

The House is claiming that the Deep Blue Sea Contract was not captured in any Appropriation Act and insists that those behind it illicitly financed the project from the Cabotage Financing Fund, a dedicated money set aside to increase the capacity of indigenous shipping companies.

Besides, the House of Representatives is also claiming that President Muhammadu Buhari terminated the contract in 2018 after the House of Representatives Committee on Public Procurement pointed out that it was not captured in the Appropriation Act.   

The lawmakers said they were, therefore, surprised when Buhari went ahead to commission the same project in July 2021.

But our source said Buhari did not terminate the project at any time.

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He also affirmed that all due processes were followed and every necessary authorization and approval obtained in respect of the project.

Nevertheless, the House of Representatives on Wednesday, December 15, 2021, moved a motion on “Need to investigate the Deep Blue Contract to HSL International Limited.”

The House noted that: “On July 27, 2017, the Federal Ministry of Transportation, on behalf of the Federal Government of Nigeria, entered into a contract (the Deep Blue Sea contract) of $195,300,000 (the equivalent of N59,839,930,000) with a foreign private company HLS International Limited (HLSI) for the supply of certain security and surveillance equipment and systems and also for establishing the “Integrated National Coastal Surveillance and Waterway Protection Solutions with Command and Control infrastructure in the nation’s territorial waters.”

The House further noted that, “In addition to the contract sum of $195,300,000, the Nigerian Maritime Administration and safety Agency (NIMASA) agreed to pay $19,530,000 to HSLI as Management Training Consideration and according to Appendix 4 of the agreement, both sums would be paid in monthly installments over a period of 36 months from July 2017, until June 2020.”

The House said that in March 2018, the Committee on Public Petitions recommended an outright termination of the contract for allegedly violating Appropriation laws as it was not in the national budget.

The lawmakers also claimed that President Muhammadu Buhari terminated the contract in 2018 because of alleged “public outcry regarding the grave national security implications of ceding the patrol of waterways from the statutory duties of the Navy to a private foreign firm, thereby undermining national sovereignty and security.”

Based on the alleged infractions, the Clerk of the House of Representatives, Chinedu Francis Akubueze, on December 16, 2021, wrote to the Chairman of the Committee on Navy mandating the Committee to investigate:

(a) the legality of the Deep Blue Contract agreement whether it is in line with extant laws and regulations;

(b) the standards of all platforms purchased for the Nigerian Navy and determine whether they are according to specification(s);

(c) the actual amount of money spent by the governmnet on the Deep Blue Contract;

(d) other matter(s) relating to the Deep Blue Contract and report within eight weeks.”

In carrying out the mandate, the House Committee Chairman on Navy, Hon. Yusuf Adamu Gagdi, on Wednesday, February 9, wrote to the Managing Director of Nigerian Ports Authority, Mohammed Bello Koko, requesting him to attend an investigative hearing on February 22.

The letter titled “Need to investigate the Deep Blue Contract to HSL International Limited,” which was exclusively obtained by TheNiche read: “The House at its plenary dated Wednesday, December 15, 2021, deliberated on the above subject matter and mandated the House Committee on Navy to carry out further Legislative processes.”

“In view of the above and pursuant to Sections 62, 88 and 89 of the Constitution of the Federal Republic of Nigeria 1999 as amended, Order 17, Rule 9 of the Standing Order of the House, and other extant rules/provisions on the control and management of public finances of the Federation with objective to ensuring public accountability, transparency, among others, the Committee is hereby requesting you to submit the following documents/information and attend an investigative hearing as stated below:

i. Contract agreement(s) between the Federal Ministry of Transport, Nigerian Ports Authority, Nigerian Maritime Administration and Safety Ahgency (NIMASA) and any other relevant legal documents(s) that is related to DeepBlue Contract with HSL International Ltd.

ii. List of all items/equipment and platforms including ships, helicopters, arms and ammunitions procured by the Deep Blue Contract with HSL International Ltd.

iii. List of all items/equipment and platforms purchased and teh cost implications including details of installment payment(s) made. This should include name of contractors, equipment manufacturers, addresses of companies, countries of their origin and phone numbers.

iv. The total amount of money spent by the Nigerian Governmnet regarding to all the contracts.

v. All procurement processes and details of each of the contract(s) or items/equipment.

vi. Any other relevant information and document(s) relating ton the Deep Blue Contact with HSL International Ltd.

Hon. Gagdi said all the correspondences must be submitted in one soft copy and 55 hard copies on or before Thursday, February 17, 2022, five days before the commencement of the probe on February 22.

Efforts to reach the NPA before going to press didn’t yield positive result.

But our source in the House said the probe is a wild goose chase.

“The so-called probe is laughable and ridiculous. There is absolutely nothing in it. It is mere shadow boxing. In the first place, it is impossible that a contract that was terminated by the President will be commissioned by him three years after. On whose mandate will such a contract be executed?

“The allegation against the President is insulting to his person.

“Immediately the President terminates a project, that project stands terminated. Nobody would dare go ahead with it behind him. it is impossible. Moreover, this is a huge project with some security implications, the type of project that cannot go ahead without the say so of President Buhari.

“What is going on is that the Speaker is using his office at the prompting of his godfather, Tinubu, to harass those they consider potential opponents in the 2023 presidential race.

“More of such harebrained tactics will be seen as we move on towards 2023. It is desperation taken too far.”

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