The House of Representatives yesterday announced plans to commence a probe into the N40billion Cabotage Vessel Financing Fund (CVFF), said to be trapped in some commercial banks.
The probe will be handled by an adhoc committee which will have the mandate of determining the total amount that had been generated under the fund since inception and identify the banks warehousing these funds and their level of participation in the scheme.
The motion for the probe was moved by Hon Hassan Anthony Saleh (PDP- Benue) who alleged that over N40 billion was been trapped in some designated commercial banks rather than being utilized for the purpose they were established.
He expressed concern over the spate of corruption in the management of the fund, argued that the actions of the banks and NIMASA had defeated the laudable objectives of the fund.
He went on to maintain that a fully-developed maritime sector had the potentials to generate much revenue as the oil sector, considering the fact that over 90 percent of the country’s international trade was being carried out on the sea.
The legislator stressed that only 20 active Nigerian registered vessels were handling the country’s external trade, while the remaining percentages are owned by foreigners.
Hon. Patrick Ikhariale (PDP –Edo), Chairman House Committee on Power, seconded the motion, explaining that the motion before the House would provide the opportunity for the House to examine the activities of NIMASA
He noted that if the economic sector was well managed, the management of other sectors would not pose any problem.
On his part, Kingsley Chinda (PDP – Rivers) urged the House to allow the relevant committee to embark on an oversight to ascertain the position of the funds, saying “this motion calls for the House to exercise its oversight function on the agency,” he said.
Also speaking, Friday Itulah (PDP-Edo) noted that Nigerians’ participation in the cabotage industry was not satisfactory.
He said that there was a need for Nigerians to look inward to develop the economy.
The CVFF was established by the Cabotage Act 2003, to promote the development of indigenous ship acquisition capacity by providing financial assistance to Nigerian operators in domestic coastal shipping, and is administered by the Nigerian Maritime Administration and Security Agency (NIMASA).
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