Aliyu Abdulhameed, a former Managing Director of the Nigeria Incentive-Based Risk Sharing System for Agricultural Lending, NIRSAL has been arrested by security agents over his involvement in an alleged N5.6 billion fraud.
Abdulhameed was arrested last week on the premises of a federal government’s revenue-generating agency in Abuja where he had gone to lobby for a reappointment, either to return as NIRSAL MD or as the head of the Nigeria Agriculture Development Fund.
NISRAL is a $500m non-bank financial institution, created by the Central Bank of Nigeria, CBN with a mandate to manage agribusiness-related credit risks in Nigeria.
Abdulhameed’s arrest is coming a year after he was sacked by ex-president Muhammadu Buhari following allegations of corruption, including a 2018 N5.6 billion wheat project meant for farmers in Kano and Jigawa States.
A multi-billion-naira loan guaranteed by NIRSAL for three investor companies for the cultivation of 20,000 hectares of dry season wheat in Kano and Jigawa States was allegedly diverted by the companies in connivance with NIRSAL officials.
Community leaders in the two states there said they were told the project was aimed at changing the lives of 20,000 smallholder farmers. They said after making farms available, affected farmers were promised fertiliser and other inputs for the wheat plantation, but never saw any of these thereafter.
Both Abdulhameed and the three investor companies had denied wrongdoing.
However, when the Special Investigator appointed by Tinubu and his support team to probe the activities of the apex bank and related entities swung into action in September this year, there was panic and apprehension within the top hierarchy of the CBN and the NIRSAL.
Obazee and his team, led by DCP Eloho, had beamed their searchlight on NIRSAL and the CBN’s Anchor Borrowers’ Programme which have, over the years, been at the centre of investigations.
In DSS custody, Abdulhameed is being quizzed on multiple allegations of corruption during his tenure.
The investigators are seeking answers based on findings contained in an investigation earlier conducted by a team from the CBN following a petition against the NIRSAL on alleged fraud, money laundering and criminal conspiracy.
The Banking Supervision Department of the CBN had written to Abdulhameed seeking explanation to observed breaches of internal policies and procedures of the organisation, relevant regulations and laws, especially the Public Procurement Act 2007.
A query on the breaches was conveyed in a letter referenced: BSD/SPG/CON/NIR/13/083 titled: ‘On a spot check on the operation of NIRSAL conducted between August 27, 2020 and September 11, 2020.’
In the document, CBN had, in its interim report, drawn attention to questionable spendings and procurement violations, and requested Abdulhameed to forward his reply within three days.
Unfortunately he didn’t.
Sources revealed that 32 official vehicles were discovered to have been diverted to the personal use of Abdulhameed during his tenure.
Only two of the vehicles have so far been retrieved by security operatives and returned to the organisation following his arrest.
21 of the diverted vehicles were purchased with official funds as auction in the name of some staff of the NIRSAL without their knowledge, but were converted to personal use by the former MD.
Abdulhameed also made away with nine exotic vehicles, including two bullet proof jeeps, and household items at four official guest houses belonging to the NIRSAL in Lagos, Abuja and Yola.
About three months ago, the DSS arrested and detained Abbas Masanawa, Abdulhameed’s successor over the ongoing investigation.
