A former Managing Director of the Nigeria Incentive-Based Risk Sharing System for Agricultural Lending (NIRSAL), Aliyu Abdulhameed, has been arrested almost a year after he was sacked.
NIGERIAN ANCHOR understands that NIRSAL is a $500m non-bank financial institution, which was created by the Central Bank of Nigeria (CBN).
It was created to manage agribusiness-related credit risks in Nigeria.
Recall that Abdulhameed was relieved of his duties following allegations of corruption, including a 2018 N5.6 billion wheat project meant for farmers in Kano and Jigawa States.
The Board of the CBN endorsed his sack, following approval from the Presidency in December last year.
Daily Trust, in January last year, investigated how 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.
In the course of the investigation, the platform revealed that it visited the affected communities in the two states where farmers said they were deceived.
Community leaders 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 President Bola 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.
The Special Investigator, Jim Obazee and his team, led by DCP Eloho, were said to have beamed their searchlight on the NIRSAL and the CBN’s Anchor Borrowers’ Programme which have, over the years, been at the centre of investigations.
The ex-NIRSAL boss, who is said to be in the custody of the DSS, is being quizzed on multiple allegations of corruption during his tenure.
A source at the NIRSAL revealed that the investigators put in place by President Bola Tinubu were also 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.
It was gathered that following the investigation, the Banking Supervision Department of the CBN wrote to the ex-NIRSAL boss seeking an explanation for “observed breaches of internal policies and procedures of the organisation, relevant regulations and laws, especially the Public Procurement Act 2007.”
According to the platform, the 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.’
