BOSSTYCOONZ

Senate Probes N8.9bn SURE-P Mass Transit Fund

The Senate ad hoc Committee on Subsidy Reinvestment Empowerment Programme (SURE-P) has summoned the Managing Director of Infrastructure Bank, Mr. Abdulrazak Oyinloye to explain how N8.9billion meant for the programme was spent.
Oyinloye had told the committee during a public hearing that N8.9billion was used to procure 807 buses which were distributed to some beneficiaries.
But the chairman of the ad hoc committee, Senator Abudul Ningi, specifically wanted to know how the 807 buses bought so far under the scheme were distributed and to whom.
The funds were given to the bank in July 2012 to acquire high capacity buses under the Public Mass Transit Revolving Fund Scheme (PMTF) of the SURE-P.
Oyinloye, while speaking to the committee, said: “The bank received the amount on the 26th of July 2012 for payment to vehicle providers who had supplied vehicles since January 2012.
“It is interesting to note that TIB as the fund manager has been able to judiciously utilise and recycle the N8.9billion received in July last year, and make disbursements in the form of vehicles worth over N9.06billion.”

He noted that the fund size cannot grow beyond the N8.9billion because interest rate is zero per cent.
He explained that of the 807 buses, ABC Transport Plc representing the South, got 20 buses valued at N247million, Afenmai Line Transport Limited (South-south) received 10 buses worth N118.75million, Ajetunmobi Integrated Services Limited (South-west) got 20 buses at the cost of N205.936million, Ani B. Barak Nigeria Limited (North-east), got five buses worth N42.54million, and Annasai Nigeria Limited (FCT) fives buses worth N42.54million.
Abuja Urban Mass Transport Company Limited (FCT) got 200 buses worth N2.47billion, Autostar Travels and Tourism Limited (South-east) got 32 buses valued at N373.44million, Dabo Motors Limited (North West) got 25 buses worth N302million, Mallam Madalla Enterprises (North-east) got 10 vehicles valued at N85million, Nigerian Association of Road Transport Owners (NARTO- Nationwide) got 42 buses at the sum of N403million, LAGBUS Operators (Lagos) got 100 buses valued at N1.235billion, Shaanxi Auto Limited (FCT) received 20 buses worth N247million and Abuja Transport Cooperative Society (ATCS -FCT) got 20 buses worth N247million.
Other organisations that benefited from the 807 buses include the National Union of Road Transport Workers (NURTW – Nationwide) which got 234 buses worth N2.335billion, Road Transport Employers’ Association of Nigeria (RTEAN -Nationwide) received 42 buses worth N370.73million, Safetrip Limited (North-central) got 13 buses worth N227.62million, while Dash Gold Nigeria Limited, A.M.D Nigeria Limited and Dabo Motors Limited all of North-west received three vehicles each at the cost of N35.625million respectively.