Onwuka Nzeshi
6 November 2009
Abuja — House of Representatives Committee on Privatisation and Commercialisation yesterday accused the Bureau of Public Enterprise (BPE) of condoning acts of illegality in the privatisation of the Federal Super-Phosphate Fertiliser Company Limited, Kaduna.
Chairman, House Committee on Privatisation, Honourable Abbas Braimah, said contrary to the enabling Act that allows the privatisation agency to divest 51 per cent government equity in public corporations slated for privatisation, the BPE sold 90 per cent of Federal Government equity in the fertiliser firm.
BPE has however denied indulging in any act of illegality and explained that it sold 90 per cent shares of the fertiliser company because the core investor wanted more stakes and the increase in equity was approved by the National Council on Privatisation (NCP).
At a closed door meeting with the management and workers of the troubled firm as well as the BPE, the House Committee urged all parties in court over the sale of the firm to withdraw suits and allow the lawmakers mediate and resolve the issues amicably.
Braimah said in all its interventions, the House of Representatives will be guided by the 1999 Constitution and the Privatisation and Commerciali-sation Act.
"The Privatisation Act says BPE should privatise any company by 51percent and you are privatising 90 per cent to 100 per cent, and that is a big problem.
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