We Did No Wrong – NAICOM Explains N4bn Office Building Purchase

• Flaunts FEC’s approval, ‘no objection’ from BPP 

BY EDMOND ODOK – Dismissing allegations of underhand dealings, the management of National Insurance Commission (NAICOM) says approval was gotten from the Federal Executive Council (FEC) with a “No Objection” nod from the Bureau of Public Procurement (BPP) before the purchase of its newly established Academy and Head office complex.

A statement by the Commission in Abuja said the Commission, through the Minister of Finance, Budget and National Planning, had made the presentation to the Federal Executive Council (FEC) for an uncompleted property that was eventually acquired as NAICOM Academy and office accommodation.

It further explained that the presentation followed the approval by its immediate past Governing Board with all documents relating to the property clearly indicating the property was in an uncompleted state.

NAICOM’s clarification came on the heels of a publication that it allegedly deceived President Muhammadu Buhari and FEC into approving the purchase of the property in Abuja, under the pretext that it was buying a “ready to use magnificent office complex” rather than an unfinished building.

Also, the statement said; “The Commission had prior the FEC approval, obtained a “No Objection” approval from the 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.”

The Commission also expalined that provision was made in its 2022 approved annual budget for the purpose of acquiring the building meant to serve the dual purpose of housing the newly established NAICOM Academy, an initiative of its present as well as the Commission’s new head office.

According to the statement, the NAICOM Academy is part of the Commission’s leadership vision to address the knowledge gap in the insurance sector regulation and supervision not only in Nigeria but across Africa and beyond

“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,” the statement further stated.

The NAICOM management said the clarification became necessary to address doubts in the public’s minds that the Commision followed due process in acquiring the said property.