The Kano State Public Complaints and Anti-Corruption Commission (PCACC) arrested several individuals on Tuesday in connection with an alleged multi-billion Naira drug supply scandal.
Among those detained are Musa Garba, Managing Director of Novomed Pharmaceuticals and nephew of former Kano State Governor Senator Rabiu Musa Kwankwaso; Alhaji Mohammed Kabawa, Permanent Secretary of the Ministry for Local Government and Chieftaincy Affairs; and Abdullahi Ibrahim Bashir, Chairman of the Association for Local Governments of Nigeria (ALGON) and Chairman of Tarauni Local Government. Five other individuals were also apprehended.
The PCACC has accused the suspects of “violating the Public Complaints and Anti-Corruption Commission Law, the Public Procurement Law, and the Financial Management Law” in relation to the awarding of a contract to Novomed Pharmaceuticals for the supply of drugs and medical equipment to 38 local government areas.
According to a source close to the Commission, the ALGON Chairman confessed to having illegally directed the payment of Four Hundred and Two Million Six Hundred Thousand Naira (N402,600,000) for the procurement of drugs and medical equipment, of which Three Hundred and Forty-Seven Million Seven Hundred Thousand Naira (N347,700,000) was paid by 38 local governments before the investigation commenced.
Reports indicate that “38 local governments paid N9.1 million to Novomed for the procurement of drugs, but the drugs were not supplied.”
Governor Abba Kabir Yusuf had instructed the PCACC to investigate the alleged diversion of about N10 million from each of the 44 local government accounts to a company called Novomed for the purchase of medical supplies, following a whistleblower’s claim that these payments were fraudulent.
While the PCACC continues to investigate the matter, the spokesperson noted that all the suspects are cooperating with the investigation team.
The detained individuals have been under interrogation from 11 am to 11:15 pm on Tuesday. Governor Yusuf has denied any knowledge of the alleged diversion of funds and the contract awarded to Novomed.
