The House of Representatives has asked the Bureau for Public Enterprise (BPE) to account for about N10 billion allegedly spent to register two companies for the Nigeria Postal Service (NIPOST).

Rep. Bamidele Salam, Chairman, House Committee on Public Accounts made the call in Abuja at the resumed investigative hearing of the committee.

The legislator is more worried that the companies registered with such enormous amount have folded up after one year of takeoff.

According to Salam, the companies, NIPOST Transport and Logistics Ltd., and NIPOST Property reportedly took off in May 2023 and folded up through a Presidential directive in May 2024.

“No reasonable Nigerian will believe that N10.4 billion was spent to register the two companies. The companies eventually folded up one year after takeoff,” he said. 

However, the BPE Head of Finance and Accounts who stood in for the Director-General of the Agency, Mr Imam Rilwan, told the committee that for the said amount, N10 million was given to the two companies for their take-off.

He said that about N400 million was given to the BPE to prepare the ground for the takeoff of the companies, noting that the issue of registering the two companies for NIPOST was approved in 2017.

He explained that this paved the way for BPE to expend about N423 million in registering and carrying out other activities for the eventual takeoff of the companies.

He said when the money was eventually released in 2023 the bureau had to recover its money, adding that the N423 million given to the BPE was used to rent office accommodation among other essential services.

According to him, while the bureau paid rent for the two companies from 2022, the companies took possession of the offices in May 2023, while they folded up in May 2024. Rilwan added that all property belonging to the two companies had been officially handed over to NIPOST management.

Responding, Salam said spending money from the government coffers before the money was released was a violation of the provisions of the Public Procurement Act.

Salam, however, directed the Director-General of BPE, Ayodeji Gbeleyi, to personally appear before the committee on September 11 at 12 noon with all relevant documents relating to the transaction.

Earlier this year, it was reported that the N10 billion earmarked by the government to restructure NIPOST had allegedly gone missing. This led to the Senate ordering a probe into the missing restructuring funds released by the Federal Ministry of Finance.

The Senate allegedly discovered that illegal transfers were made to private individuals from two subsidiaries (NIPOST Properties and Development Company and Transport and Logistics Services Limited).

Meanwhile, the Corporate Affairs Commission (CAC) in April announced the revocation of the certificates of incorporation of two NIPOST companies, NIPOST Properties & Development Company Limited and NIPOST Transport & Logistics Company.

According to the Commission, the certificates of incorporation were “inappropriately procured”. With the revocation, CAC said all assets of the companies should be transferred to the parent company, NIPOST.

Panasonic Holdings Corp. said Tuesday it will end its sponsorship contract with the International Olympic Committee, putting an end to its 37-year marketing tie-up with the event.

The Japanese company agreed with the IOC not to extend the partnership after its current top-tier sponsor contract term ends in December, Panasonic said.

Although the company’s “support of the Olympic philosophy” remains unchanged, the group decided to end the sponsorship as it “continually reviews how sponsorship should evolve with broader management considerations,” Panasonic said in a press release

The leading maker of electronics has been providing broadcast cameras, sound systems and projection equipment used in the sporting event, but is shifting its focus to such growing products as batteries for electric vehicles.

The Panasonic group is reducing its dependence on audio and visual products, deciding in July to sell its commercial-use projector business.

Panasonic first became an Olympic sponsor in 1987 and expanded its partnership to the Paralympic Games in 2014. The company will terminate its contracts for both games, it said.

Panasonic joins Toyota Motor Corp. in withdrawing from a top-level Olympics marketing agreement. Toyota plans to end its contract for the Olympics, but continue sponsorship for the Paralympics, people familiar with the matter have said in May.

“Over the past 37 years, we have gained many valuable experiences” through the sponsorship and “deepened our bonds with sports fans and athletes around the world,” Panasonic CEO Yuki Kusumi said in the press release.

“The IOC understands and fully respects that the Panasonic Group has to adapt its business strategy. Therefore, this partnership is ending in a respectful and friendly way.” IOC President Thomas Bach said.

The European Union will lower proposed final tariffs on Tesla and slightly trim rates for other electric vehicles from China after taking into account submissions by the companies, a source familiar with the matter said on Tuesday.

Tesla’s proposed tariff rate will drop to 7.8%, from 9%, the source said. For BYD, there was no change to its 17% tariff. For Geely, the new rate would be 18.8% from a previous 19.3%. A peak rate of 35.3% would apply to SAIC and other companies not cooperating with EU investigation, the source said.

These tariffs are on top of the EU’s standard 10% import duty for cars.

The European Commission, which is conducting the anti-subsidy investigation into EVs made in China, declined to comment. Tesla did not also immediately for comment.

Last month, the EU set out its initial proposal for final duties, establishing a separate rate of 9% for Tesla EVs, a sharp reduction from the higher duty that will apply to all cooperating companies – now set at 20.7%.

This tariff is due to apply to certain Chinese producers such as Chery, Great Wall Motor Co and NIO and a number of joint ventures between Chinese companies and EU automakers.

China and affected companies were given 10 days to submit their comments and the Commission has taken these into account to establish revised tariff rates.

The proposed final duties will be subject to a vote by the EU’s 27 states. They will be implemented unless a qualified majority of 15 EU members representing 65% of the EU population vote against it.