Bisi Bamishe
The National Insurance Commission (NAICOM) has explained that adequate due diligence was conducted on the N4 billion uncompleted property for acquisition and relevant approval were obtained from the Federal Executive Council (FEC) by the Commission.
In a statement in reaction to media publication titled “Re: Trouble looms in NAICOM over purchase of N4 billion uncompleted office building as new”, the Commission said that it obtained the approval of the Federal Executive Council (FEC) after adequate due diligence was conducted on the uncompleted property.
The statement signed by NAICOM management reads :
Trouble looms in NAICOM over purchase of N4bn
uncompleted office building as new.
The attention of Management of the National Insurance Commission, NAICOM is
drawn to the above captioned publication in the Vanguard Newspaper of August
29, 2022 in which the Commission was among other things alleged to have deceived
President Muhammadu Buhari GCFR and the Federal Executive Council into
approving the purchase of a new office building in Abuja.
It was also stated in the publication that the Commission said it was buying a “ready
to use magnificent office complex” rather than an uncompleted building.
While the Commission does not intend to join issues with the media, it has become
imperative that the general public be availed with the facts as they are.
It is on this premise that the Commission state as follows:
That the management of the Commission through the Honourable Minister of
Finance, Budget and National Planning presented to the Federal Executive Council
presided over by His Excellency, President Muhammadu Buhari, GCFR an Unfinished
property for approval to be acquired as NAICOM Academy and office
accommodation following the approval by the immediate past Governing Board of
the Commission.
All documents relating to the property clearly state that the property was in an
unfinished state.
The Commission had prior the FEC approval, obtained a “No Objection” from the
Bureau of Public Procurement (BPP) following the valuation of the property by the
Federal Ministry of Works and Housing.
Adequate due diligence was conducted on the property for acquisition and all relevant approvals were secured by the Commission.
Provision was made in the 2022 approved annual budget of the Commission for the
purpose of acquiring the building for the Commission.
The building is to serve the dual purpose of housing the newly established NAICOM
Academy which is an initiative of the present leadership of the Commission to
address knowledge gap in the insurance sector regulation and supervision not only
in Nigeria but across Africa and beyond and also serve as the new head office of the
Commission.
In order to address the problem of low insurance penetration, entrench the culture
of insurance in every part of the country and enhance the effectiveness of its
surveillance in all the geopolitical zones of the country, the expansion of the
Commission’s infrastructural facilities is inevitable thus the Commission requires a
befitting Office accommodation to curtail any future office space crises.
This clarification has become necessary to clear any doubt in the minds of the public
with respect to the process followed by the Commission in its efforts at acquiring the property.
