PRESS RELEASE
We refer to the press release from the Federal Ministry of Finance following the meeting with marketers under the aegis of DAPPMAN, MOMAN and IPMAN and most respectful refute its contents with the following clarifications:-
- DAPPMAN reiterates that there was no agreement because offers by Government failed to meet the legitimate demands of the Association and we did not sign the purported document hence our ultimatum stands as we cannot continue to borrow to pay staff salaries.
- DAPPMAN’s demands made to the FG through the HMOF and DMO was to pay in cash, the total sum of indebtedness to marketers within the time frame expressed in communications with these Government Ministry and Office to enable us continue in business; pay our staff and not rely facilities from Banks; which are no longer forthcoming.
- For the past three years, DAPPMAN has highlighted the adverse impact these Sovereign debts forced on marketers first by FG’s inability to comply with the terms of marketers agreement with PPPRA for its Petroleum Fuel Subsidy (PFS) scheme and secondly, due to FG’s devaluation of the naira.
- We affirm that of all stakeholders, MOMAN, IPMAN and DAPPMAN that participated in the PSF scheme, DAPPMAN has largest debt exposure in the downstream sector. DAPPMAN has alerted the FG to dire situation and the challenge our member companies face leading to our inability to pay December salaries to our teeming work force without the immediate settlement of the debts owed by the FG. Most unfortunately, this has not been heeded.
- Since Government being a continuum, our FG is obliged to settle all legitimately incurred and verified Sovereign debts due to Marketers promptly. Failure to so settle accounts for the increase in amount arising from mounting interest charges to the Banks leading to avoidable wastage of public funds.
- DAPPMAN stresses that these debts owed to marketers actually belong to banks, their shareholders and depositors (the general public) and other Federal Government Agencies such as PPPRA, PEF-M-B, AMCON. Acting in compliance with extant banking regulations of the CBN, banks have swooped recently marketers with non-performing loans; taken over such marketers’ depots and also have cut off any form of trading loans to these marketers. As a result, thousands of families have lost their means of livelihood. Many more Marketers will follow suit in the event that FG does not settle these debts to marketers.
- We recall events of 2017; approvals obtained when the then Ag. President, Professor Yemi Osinbajo in June, 2017 promised that payment would commence by 31st July, 2017. We also recall several follow up meetings anchored by the Chief of Staff to the President on the same issue and when nothing was forthcoming from the FG, we were forced to issue an ultimatum to lay-off staff on the 25th of December, 2017. Unfortunately based on the FG, failed promises for Sovereign debt which was then less than N 350Billion has bludgeoned to over N 800Bn and it is still rising. December 2018 makes it 18 months after FEC approval for this payment and 3 months after the National Assembly (NASS) approval yet marketers have not been paid.
- We emphasize that FG’s proposed payment of promissory notes is not acceptable to DAPPMAN. This will adversely affect the Financial system taking due cognizance of the futuristic nature of this proposed mode of payment!
- Therefore as from today, our work force, save for security operatives, will effective, 7th December 2018 cease to be on our payroll pending payment of the debt owed by the Federal Government.
Signed:
Olufemi A. ADEWOLE
Executive Secretary,
DAPPMAN
8th December, 2018
