The attention of the Association of the Licensed Set Top Box Manufacturers of Nigeria (STBMAN) has been drawn to the news of the arrest of the Director General of the National Broadcasting Commission (NBC), Mr Emeka Mba, by the operatives of the Economic and Financial Crimes Commission (EFCC) in connection with alleged financial impropriety in the sum of about N34Billion.
The reports went further to state that the sum of N17billion was being kept in a secret account in an unnamed bank and used to pay for some “special projects” in defiance of the recently introduced Treasury Single Account (TSA).
In a veiled manner, reference was made to the issue of Set Top Boxes thus insinuating some wrongful actions on the part of the NBC and members of the Association.
While the Association appreciates and stands firmly with the Federal Government in its fight against corruption, it feels duty bound to inform the members of the public on matters that tend to cast doubts over genuine and well thought out programmes of government and other stakeholders who bring such programmes into fruition.
Similarly, the Association hereby states that it is in no way best placed to comment on the issue of N34billion as reported in many media outlets but feels compelled to bring out the facts as it concerns the N17billion (part of the alleged N34billion) it is privy to by the simple fact that the amount (N15billion) is the total sum posted by the NBC as take-off guarantee for the various loans taken by the licensed manufacturers of the STBs for the launch of the digital switch over and not N17billion.
In the interest of transparency and for the benefit of the public, these are the facts within the Association’s knowledge.
a. It will be recalled that the FGN in line with the International Telecommunication Union (ITU) had approved the migration from Analogue transmission to Digital with the tag “Digital Switch Over” (DSO) and earmarked November 2015 as the Launch Date with Jos, Plateau State as the Pilot Scheme for Nigeria. a.
b. In NBC’s bid to promote local industry and conserve foreign exchange as well as create job opportunities for our youths, it issued licenses to some 13 indigenous companies to manufacture the Set Top Boxes that will be needed for the successful implementation of the phased transition.
c. However, owing to the very short period available for the transition, i.e from the time of licensing, setting up of manufacturing plants and the launch date, the manufacturers were allowed to import the first set that will be used for the pilot scheme and thereafter to manufacture the rest locally and to this end, they were allocated different lots to manufacture.
d. Considering the fact that the business is a novel one in this part of the world and the fact also that bureaucratic bottle-necks normally hamper the smooth processing of applications, the various companies came together under the auspices of STBMAN to work in unison to achieve timely and better negotiation results both with the financing institutions and manufacturing companies outside the country.
e. Considering also the challenges associated with payments from government and the fact that the funds were to be sourced by way of bank loan and the imperative of the launch particularly at this time and for it to key into the “CHANGE MANTRA” thus emphasising the shift from the OLD to the NEW, and in order to meet the timelines and serve as incentive for investment, members requested for an OFF-TAKE GUARANTEE from NBC as to enable for borrowing and this was granted in the form of Guarantee thus paving the way for the securing and ware-housing of the N15billion long before the FGN’s pronouncement and directive on the Treasury Single Account (TSA).
f. As earlier indicated, each company submitted its Application as an entity but negotiated with the banks under the banner of the Association and even at that, it took quite some time for the applications to be processed but so far, members have been able to achieve tangible results and some are set to deliver at designated points once the Receiving counterpart confirms its readiness.
Gleaning through newspaper reports, a person that is not properly seized of the facts will assume that the NBC secretly kept funds for some illegal use when in actual fact, this particular sum had long been encumbered and no more within the control of NBC and its role now was to ensure that deliveries were made for the funds released.
While we support the FGN in its fight against corruption and are prepared to offer any assistance in that regard it is our firm view that the Digital Switch Over project is not only a priority but “a must do “for the country considering our standing in the African continent. It is not an overstatement to say that Nigeria should set the pace for others to follow but in this instance we are playing “catch up” and it is our sincere belief that time is not on our side as a country to be lacking behind in things of this nature.
In conclusion, we state without any doubt that the process leading to the grant of Licenses and indeed the various slots given to the various companies were done with the best interest of the nation at heart and was done in a transparent and fair manner. It is on record that critical stake-holders like the Broadcasters Organisation of Nigeria (BON), Association of Cable Operators of Nigeria, licensed manufacturers and members of the Nigeria Union of Journalists were involved at one stage or the other, thus it is our strong belief that with the current state of affairs, not only will jobs be created for our teaming youths, scarce foreign exchange will be conserved and local industry and content will be promoted if momentum is sustained.
- Association of Licensed Set Top Manufacturers of Nigeria