The Nigerian Athletics Federation risks being banned from international athletics competitions any time soon.
This followed the non-refund of $130,000 overpaid grant from the International Association of Athletics Federation (IAAF), Daily Trust on Sunday reports.
The amount was part of a grant sent to the Athletics Federation (AFN) by the international body to support it in organising one of its events.
The IAAF on May 3, 2017 wrote to the then AFN General Secretary promising a grant of $20,000 to support the hosting of the Confederation of African Athletics (CAA) Golden Event to be held in July in Warri, Delta State.
However, IAAF on May 17, 2017 transferred the sum of $150,000 in error to the account of AFN instead of $20,000.
All the transactions took place during the tenure of Evang. Solomon Ogba (JP), who was the then president of the AFN, and Akawo Amechi, the then secretary general.
However, after realising the overpayment, the international body wrote the AFN, through its president, demanding a refund.
For two years, the IAAF has tried unsuccessfully to get a refund from the AFN and the Ministry of Youths and Sports, Daily Trust on Sunday learnt.
It has written several letters, made phone calls, raised the matter at meetings abroad and in Nigeria to no vail.
The international body has now started to take punitive measures against Nigeria.
It withheld cash prizes of Nigerian athletes at the World Relays held in Bahamas 22nd – 24th April, 2017 and the World Athletics Championships held on 4th-13th August, 2017 in London.
The latest letter from the IAAF gave the Nigerian officials two weeks to refund the money or face stiffer sanctions which sports analysts interpreted to mean a total ban on Nigeria’s participation international athletics events.
Daily Trust on Sunday learnt that the excess grant has been expended on sundry items by the sports ministry and some officials of the AFN.
A memo raised by the Permanent Secretary in the sports ministry, Olusade Adesola, indicated that the money was initially set aside to be refunded to the IAAF, but that a request from AFN made it necessary for the amount to be diverted for other things.
The memo, dated July 27, 2018 said: “The memo of the Director of FEAD at folio 10 recommended the utilization of the part of the US$130,000 equivalent to N39, 780,000 only earlier set aside to reimburse the International Association of Athletics Federation vide the table at folio 11.
“The request is necessitated by the letter of the Athletics Federation of Nigeria at folios 6-8 for funds to procure specific equipment at folios 7-8 for the Senior Athletics Championship scheduled for Asaba, Delta State from 1-5 August, 2018.
“In consideration of funding constraint, I concur to the request of the FEAD to utilise part of the money previously set aside to reimburse International Association of Athletics Federation to provide for the equipment.
“I discussed with the Secretary General of the Federation and the technical director and the sum of N30,540,000 was considered a fair deal in the circumstance. The sum will however be recovered from allocation of the sum of N80,000,000 in 2018 Appropriation Act of the ministry to the federation when the fund is released to pay the International Association of Athletics Federation.”
A former Sports Minister, Solomon Dalung was requested to approve the spending of the amount quoted in the memo above as well as a part payment of N9,240,000 to the IAAF, which he duly approved.
Documents obtained by Daily Trust on Sunday showed that out of the N30,540,000 approved, N17,827,412 was for men’s kits, while N12,678,456 was for women’s kits in 2016, while the sum of $12,369 was spent on flight tickets for the 2017 IAAF World Relays.
The documents also showed that the sum of N30,382,000 was expended on the 2017 CAA Golden Warri Relays on July 18, 2017.
The IAAF said in a letter dated July 20 to the Nigerian body that “The CAA had informed us that a grant of US$20,000 was earmarked for the organisation of the CAA Golden Event in Warri on 1 July, 2017. Our accounts department has made the transfer on 16 May but has inadvertently transferred the amount of US$150,000 instead of US$20,000.
“I would be grateful if you could kindly ask your bank to accept the return of the overpaid amount of US$130,000 to the IAAF,” the letter, sent via email and signed by Jee Isram, a senior manager at IAAF said.
Consequently, the new president of AFN, Dr Ibrahim Shehu Gusau, who took over in June, 2017, wrote several letters to Dalung, being the then minister of youths and sports, informing him of the development and the need to repay the money to IAAF’s account.
In one of the letters dated November 30, 2017, Dr Gusau said due to the non-refund of the overpayment, the IAAF decided to hold the cash prizes of Nigerian athletes that participated in the World Relays held in Bahamas.
The letter read in part: “Prior to the inauguration of the new board on the 21st of July, 2017, the Athletics Federation of Nigeria had on 17th May, 2017 received the sum of $150,000 as competition grant to facilitate the organisation of the 2017 CAA grand prix scheduled on 1st July, 2017 in Warri, Delta State. The championship date and venue was later changed to 18th July, 2017, in Ozoro, Delta State. These changes were communicated to the CAA and IAAF.
“The championship was successfully organised as planned. However, two months after the competition grant was received, the International Association of Athletics Federation wrote to inform the Athletics Federation of Nigeria that the grant was an overpayment in excess of $130,000 and should be refunded.
“In an effort to recover the above amount, the IAAF has decided to hold back the cash prizes of Nigerian athletes at the World Relays held in Bahamas 22nd – 24th April, 2017 and the World Athletics Championships held on 4th – 13th August, 2017 in London and the athletes are getting agitated.
“In view of the foregoing, I wish to humbly appeal for the timely intervention of the ministry to ensure timely resolution of the challenging situation as to also avoid further penalties.”
But having waited in vain, the IAAF wrote another letter to the Nigerian body on March 14, 2018, requesting for the refund of the overpaid amount and expressing worries.
It said having realised the mistake in the amount sent, “We promptly notified you of this overpayment and followed up in several correspondences as well as a meeting with you in November 2017, requesting that you reverse the bank transfer for the overpaid amount, to no avail.
“In the week of 9th March, 2018, it has come to our attention via press reports that the AFN and the sports ministry of Nigeria had been discussing a payment plan to reimburse the IAAF. These public statements are welcomed and encouraging.
“The IAAF hereby grants the AFN an additional 30 calendar days from the date of this letter to execute the payment of the full sum of USD130,000 into our account.
“In the event the full sum due is not received in time, the IAAF reserves the right to take any action it deems necessary to fulfil its right to the full reversal of this wrongful credit.”
In the report of the World Athletics Championships held in London in 2017, dated August 17, 2018, Dr Gusau said upon inquiry from the AFN secretary on the overpayment, the scribe was yet to give full explanation. “So, the issue is pending,” he said.
But in its latest letter dated May 13, 2019, which was addressed to Gusau, the IAAF said though the AFN informed it that the sports ministry was ready to pay 50 percent of the amount, nothing was credited to their account.
“On 28 June, 2018, you informed us that the ministry of sports was ready to refund 50% of that amount and despite several telephone conversations, the amount was still not paid.
“While we were in Asaba in August, 2018 during the African Senior Championships, we met with the minister of sports and his permanent secretary. We discussed about the return of the funds to the IAAF and until today we have not heard anything.
“We understand that the minister of sports will be stepping down soon and it is imperative that you arrange for the return of the full amount within two weeks, at the latest. Failure to receive the funds back within that period, we will have no alternative than to apply appropriate sanctions against your federation.”
After receiving the latest letter Gusau again wrote Dalung on May 15, saying “It is expedient that the refund is made as soon as possible as the IAAF has threatened to apply any action necessary against our federation if within two weeks the full amount of $130,000 is not refunded.
“The Honourable Minister may note that the sanctions of the IAAF may include banning the country, and this will reflect negatively for the AFN and the country in general.”
But the AFN said in a statement by its chairman of media and publicity, Amanzi Marcus, that a solution was being worked out on how to repay the $130,000.
He said AFN board members have agreed to work together as a united body for the good of all and for the development of the sport, saying the decision was taken at a meeting on Thursday organised by the Ministry of Youth and Sports Development in Abuja and attended by 11 out of the 13 board members.
He said the permanent Secretary, Ministry of Youth and Sports Development, Olusade Adesola who presided over the meeting stressed the need for all the board members to work together explaining that the $150,000 that triggered the crisis was paid on May 17, 2017 when the present AFN board was not yet in power and when he was also not in the mministry in his present role.
However, the statement said the permanent secretary said since administration is a continuous business, solution had to be found to settle the $130,000 overpayment.
