By Willy Eya
Solicitors to the shareholders of First Guarantee Pension Limited (FGPL) has berated the National Pension Commission (PenCom) over a report it submitted to the House of Representatives.
In the report entitled, “Response of the National Pension Commission to the petition of Hon. George Ozodinobi against the regulatory intervention in the First Guarantee Pensions Limited”, the solicitors, Ike Ogbuogu and Partners, on behalf of the shareholders, said all the representations contained in the report are a rehash of the discredited “Draft First Guarantee Pension Limited Target Examination Report”.
The solicitors, in a statement entitled, “Another set of lies by PenCom”, said on July 18, 2012, Justice D. U. Okorowo, in a well-considered 126-page judgement, issued a final determination of the application and not only quashed the Draft Target Examination but also upbraided the National Pension Commission for the very unprofessional conduct.
The solicitors said that in the Target Report quashed by Justice D. U. Okorowo, the National Pension Commission had alleged that Derrick Roper diverted the sum of N16.12 million, which formed part of the equity contribution of Novare Holdings Proprietary Limited to FGPL and diverted it to another business.
“The law firm of Aluko & Oyebode acting for Derrick Roper in their Letter of December 13, 2011 stated as follows to wit:
“In respect of the allegation, all the documents referred to and relied upon in the PenCom Report e.g., the Memorandum sent from Wilson Ideva to Johnny Ojeaga and the e-mail exchange between Wilson Ideva and our client clearly states the fund in question (i.e. Novare Shares Capital Contribution) was paid into FGPL account by Novare Holdings Proprietary Limited and was indeed received by FGPL.
“It is clear that the funds in question were not diverted by Novare Holdings (Proprietary) or any other person and were actually used for the purpose for which they were imported i.e. the payment of Novare Equity Contribution in FGPL”, said the shareholders’ solicitors.
The solicitors argued that in the current submission to the House Committee on Public Petition in June 2016 and in contrast to the Target Report, Ms Chinelo Anohu-Amazu, DG PENCOM claimed as follows:
“….Nze Duru diverted part of the Equity Contribution of Novare Holdings (PPTY) for the purchase of a personal property in Lagos.”
The law firm explained that interestingly, on December 15, 2011, PENCOM had illegally removed the Novare Holdings Proprietary Limited as a Shareholder in First Guarantee Pension (FGPL) by forging the Shareholder resolution of the Shareholders of FGPL and without the approval of the Board of FGPL. This, the solicitors argued was also against the Exparte Order of Justice D.U Okorowo.
The law firm argued that in the Target report, PENCOM had alleged that Derrick Roper approved payment amounting to $285,102.40 to Novare Investments for Consulting Services without Board Approval and that Aluko & Oyebode acting for Derrick Roper and Novare Holdings Proprietary Limited in its letter of December 13, 2011 wrote as follows:
“ The Board…approved/ratified the payment of the said cost in its 27th Board of Directors Meeting”.
According to the solicitors, extract of the minutes include the following:
“ Management to agree with the External Auditors on the appropriate classification of the monies paid to Novare Holdings Limited. This was reported as done. The Meeting was informed that it was being classified as normal expenses of the Company. It was noted that it should also be classified as normal expenses in the Management account.”
The law firm added: “We should expect Ms Chinelo Anohu-Amaizu, DG National Pension Commission to understand that Pre-Incorporation expenses are monies spent for and on behalf of a company by the promoter(s) and that they or s/he is entitled to the funds, either as shares or refund.
“The total Pre- Incorporation expenses in FGPL approved by the Shareholders of FGPL amounted to N60m of which only N30m was approved by PENCOM as shares in favour of Nze Chidi Duru, vide PENCOM letter of 3rd February 2011”.