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UNCLAS SECTION 01 OF 05 ABUJA 000217 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
STATE FOR AF/W, INR/AA 
STATE PASS TO USTR-AGAMA 
DOE FOR CGAY AND GPERSON 
 
E.O. 12958: N/A 
TAGS: PGOV PHUM ECON ELAB EPET MOPS KCOR SENV NI
SUBJECT: NIGERIA: POL/ECON UPDATES FOR JANUARY 16-31, 2008 
 
REF: A. ABUJA 183 
     ¶B. ABUJA 119 
     ¶C. 07 LAGOS 780 
 
THIS CABLE IS SENSITIVE BUT UNCLASSIFIED.  NOT FOR INTERNET 
DISTRIBUTION. 
 
¶1. (U) Following is a joint Embassy Abuja-ConGen Lagos 
compilation of January 16-31, 2008 political/economic 
highlights, which did not feature in our other reporting, 
covering: 
-- Elections: Tribunals, Reforms, Party Politics 
-- Corruption 
-- Niger Delta 
-- Military Affairs 
-- National Assembly 
-- Human Rights, Labor, TIP 
-- Economic News 
-- Petroleum 
 
--------------------------------------------- 
Elections: Tribunals, Reforms, Party Politics 
--------------------------------------------- 
¶2. (U) At the Presidential Election Tribunal, Independent 
National Electoral Commission (INEC) Chair Maurice Iwu 
submitted written responses to 27 questions from Atiku 
Abubakar's lawyers on January 30.  Among his responses, Iwu 
declared INEC had spent USD 70 million to print ballot papers 
for the April 21 elections.  Iwu denied claims INEC 
contracted the printing to a South African firm, instead 
saying a Nigerian company printed an adequate supply of 
ballots in-country.  Iwu also provided a cost and delivery 
breakdown for the ballot papers according to the date and 
location of individual elections, and claimed the Supreme 
Court's late ruling on Abubakar's eligibility prevented the 
ballot papers from having serial numbers.  (Note: Should 
Abubakar's lawyers find Iwu's responses unsatisfactory, they 
have the right to ask the Tribunal to order Iwu to provide 
additional information.  The Tribunal adjourned to February 
4, at which time a date for final judgment on the 
Atiku/Buhari consolidated petition will be set.  End Note.) 
(See Ref A) 
 
¶3. (U) The Supreme Court on January 29 struck out Andy Uba's 
(PDP) suit seeking to reverse the Supreme Court's June 2007 
decision to annul the April 2007 gubernatorial election 
results in Anambra state and reinstate Peter Obi (of the All 
Progressive Grand Alliance, APGA) as governor.  Punch 
newspaper reported the Supreme Court reproached adjoining 
petitioner, Ifeanyichukwu Okonkwo (of the Nigeria Advance 
Party), for continuing with his suit after he alleged Obi,s 
lawyer had offered him a USD 85,000 bribe to drop his case. 
(Note: Chris Ngige (PDP) was sworn-in as governor of Anambra 
in 2003; however, the courts overturned Ngige's victory in 
March 2006 and declared Peter Obi (APGA) governor.  The 
gubernatorial elections on April 14, 2007 brought Andy Uba 
(PDP) to power.  On June 14, 2007, the Supreme Court canceled 
the April election results, on the grounds that no election 
should have been held as Obi was legally entitled to a 4-year 
tenure, despite his late installation in office.  Obi,s 
tenure expires March 2010.  End Note.) 
 
¶4. (U) Nigerian press report on January 18 the Electoral 
Reform Panel, chaired by former Chief Justice Mohammed Uwais, 
is set to receive USD 6 million to "execute its activities." 
Uwais announced the Panel would begin public hearings in the 
next three months to take stock of private citizens, views 
across Nigeria on electoral reform (presumably following the 
Presidential Election Tribunal's judgment on the Atiku/Buhari 
case, which may be around mid-March).  So far, the Panel has 
received 200 memoranda and reached out to 30 of the nation's 
50 political parties for recommendations on electoral reform. 
 Meanwhile, the GON has separately established four 
sub-committees to be coordinated by Vice President Jonathan 
to address issues related to elections conduct (See Ref B). 
 
¶5. (U) The National Executive Committee (NEC) of the People's 
 
ABUJA 00000217  002 OF 005 
 
 
Democratic Party (PDP) fixed March 8 as the date for the 
ruling party's national convention.  Former President 
Obasanjo retains his position as the Chair of the party's 
Board of Trustees, despite attempts by the so-called "G-21" 
to change the party's constitution and potentially remove 
him.  The G-21 is a newly formed pressure group that has 
emerged within the PDP.  Some of the G-21 members have ties 
to the so-called Integrity Group in the National Assembly and 
others are known opponents of the former President.  Former 
Senate President Ken Nnamani and former House Speaker Aminu 
Bello-Masari are reportedly key figures in the G-21 group. 
---------- 
CORRUPTION 
---------- 
¶6. (U) Former governor (PDP) of Edo state, Lucky Igbinedion, 
returned to Nigeria on January 20 and presented himself to 
the Economic and Financial Crimes Commission (EFCC) in Lagos 
State, following 147 counts of stealing public funds, money 
laundering, and corruption brought against him by the EFCC, 
according to press reports.  Once in custody, the EFCC took 
Igbinedion to the Enugu Federal High Court which will preside 
over his case.  Nigerian press reports the EFCC has lined up 
23 witnesses to testify against Igbinedion. 
 
¶7. (U) The Port Harcourt Federal High Court will render its 
verdict on March 3 in former Rivers governor Peter Odili's 
(PDP, 1999-2007) case seeking to inhibit the EFCC from 
investigating him for corruption.   As well, This Day 
newspaper reports on January 28 a traditional leader in the 
Niger Delta accused Odili of hiring Delta militant Tom Ateke 
to rig the 1999 gubernatorial election, which brought Odili 
to power. 
 
¶8. (U) According to numerous press reports, scandals continue 
to plague the family of former President Obasanjo.  His son 
Gbenga, who is in the process of a messy divorce, alleged in 
court documents that the former president slept with Gbenga's 
wife, and in exchange granted her lucrative government 
contracts.  The former Chief Executive of the Petroleum 
Technology Development Fund also alleged recently that the 
former president did not comply with due process in running 
the agency. 
 
¶9.  (SBU) On January 28, President Yar'Adua approved the 
appointment of Professor Assisi Asobie as Chairman of the 
National Stakeholder Working Group (NSWG) of the Nigerian 
Extractive Industries Transparency Initiative (NEITI).  The 
fourteen members of the NSWG were also announced, who include 
Mr. Basil Omiyi (Shell Vice Chairman), Mr. Peter Esele 
(Chairman of Nigerian petroleum workers union PENGASSAN), and 
Engr. Abubakar Yar'Adua (GMD of the Nigerian National 
Petroleum Corporation, no relation to the president). 
Comment:  Embassy officers have heard good things about 
Asobie.  The NEITI international support group, of which Team 
Nigeria is a key component, expects to meet with Asobie and 
his team in the coming weeks to discuss a strategy going 
forward.  End Comment. 
 
----------- 
NIGER DELTA 
----------- 
¶10. (SBU) Gunshots were heard near Borokiri, Rivers State, on 
January 29 around 0100 hours.  Criminals/militants stole boat 
engine parts and departed the scene while shooting at the 
military Joint Task Force (JTF), according to security 
sources. One civilian was reportedly shot in the arm. 
 
¶11. (U) According to press reports, the leader of the Izon 
Patriotic Front (IPF) threatened legal action against the 
Bayelsa State Government for dumping waste.  The government 
was purportedly dumping human and other waste along the 
Tombia-Amassoma road leading to the Niger Delta University. 
 
¶12. (U) On January 18, at least ten people were killed in 
clashes between rival ethnic groups over land ownership in 
the Bakassi Peninsula.  According to press reports, thousands 
of people have been wounded and hundreds displaced in past 
 
ABUJA 00000217  003 OF 005 
 
 
decades, with locally-made weapons being used to enforce 
competing claims to land. 
 
----------------- 
NATIONAL ASSEMBLY 
----------------- 
¶13. (U) On January 22, the Senate passed a bill raising 
salaries for the President, Vice President, Chief Justice, 
and other public office holders by an average of 150%.  The 
President's official annual salary increased from USD 11,914 
to USD 29,786. There has been subsequent outcry in the press 
over the salary increases with commentary on funds being 
better used for education and development. 
 
¶14. (U) A disagreement surfaced January 22 between Senate 
President David Mark and members of the Appropriations 
Committee over the deadline for passage of the 2008 
Appropriations Bill.  Senators argued that due to the late 
arrival of the revenue profile from the Ministry of Finance 
they would have to begin the budgetary process again using 
the updated and significantly different revenue projections. 
 
¶15. (U) The Senate Committee on Public Accounts has decided 
to invite the past heads of various federal ministries, 
departments and agencies to explain how over USD 500 million 
in taxes collected between 1999 and 2004 was never remitted 
to federal coffers.  Senators have suggested the revenue was 
diverted for personal use by past officials, and the Federal 
Inland Revenue Service has forwarded information to the EFCC 
for investigation. 
 
¶16. (U) On January 22, the Senate directed its Committee on 
INEC to ascertain INEC's preparedness and ability to monitor 
the redistricting of electoral wards and constituencies, 
which must happen at least once every 10 years per the 1999 
constitution.  Concern was expressed by the Chairman of the 
Committee on Public Accounts, who commented "we need to know 
that any ward created was not just because somebody is in 
INEC, but because it is justified." 
 
¶17. (U) Senate Foreign Relations Committee Chair Jibril Aminu 
angered some Senate colleagues, who have subsequently called 
for his removal as chairman, by refusing to confirm the 
ambassadorial appointments of former Lagos governor Buba 
Marwa and former senator Polycarp Nwite due to both nominees' 
unfavorable security reports. 
 
¶18.  (U) The Senate referred the Freedom of Information Bill 
to its Committee on Information and Media with the directive 
that the bill be given special attention.  Senate President 
David Mark said that the National Assembly is ready to pass 
the legislation to encourage transparency and reduce 
corruption.  (Note:  The Bill was passed by both the Senate 
and House and sent to former President Obasanjo in March 2007 
for approval; however, no action was taken before his 
departure from office in May 2007. End Note.) 
 
----------------- 
Military Affairs 
----------------- 
¶19. (U) North Korean Ambassador to Nigeria Ri Chan Ho 
announced January 30 Nigeria and North Korea are seeking to 
create a military pact that will enhance both countries' 
ability to project power globally.  While details of said 
pact were not revealed, Ri said North Korea could help 
Nigeria with barracks improvement and boat building. 
 
¶20. (U) On January 20, the GON announced a 15% salary 
increase for all members of the Armed Forces.  The pay hike 
comes in the face of unrest in the barracks over a January 
2007 salary increase that has not been consistently paid out 
over the course of the year.  Discontent has been so great 
that, per the January 21 edition of This Day newspaper, the 
general officer sent to speak to soldiers in both Abuja and 
Lagos "on both occasions had to be smuggled out to safety." 
 
¶21.  (SBU) In a private meeting with PolOff, a special 
 
ABUJA 00000217  004 OF 005 
 
 
assistant to Foreign Minister Ojo Maduekwe revealed the MFA 
is starting to do outreach to civil society groups on the 
benefits of Nigerian co-operation with AfriCom.  In addition, 
on January 18, FM Maduekwe was quoted as saying "greater 
realism and mature diplomacy dictated the GON's action to 
partner with the U.S. (on AfriCom)," in response to a group 
of former Nigerian ambassadors' calling for the rejection of 
working with the new command. 
 
----------------------------- 
HUMAN RIGHTS, LABOR, AND TIP 
----------------------------- 
¶22. (U) The Nigerian Labor Congress (NLC) has joined other 
civil society groups in praising the "progressive rulings" of 
the election tribunals and called on the National Assembly to 
remove INEC Chair Maurice Iwu.  In a communique released at 
the end of its meeting held January 24 in Yenagoa, (Bayelsa 
state), the NLC said it would soon spearhead a "national 
campaign for the removal or resignation of the INEC 
Chairman." 
¶23. (U) According to Senator Chris Anyanwu, a Sexual Offences 
Bill is slated for presentation before the Senate.  The bill 
focuses on prohibiting child pornography, incest, child 
prostitution, indecent exposure, and sexual harassment as 
well as implementing stiffer punishment for such crimes as 
rape to act as a deterrent.  The bill would also criminalize 
the deliberate transmission of HIV or any other life 
threatening sexually transmitted disease. 
 
¶24. (U) Despite criticism from the Civil Liberties 
Organization (CLO) and the Women Unity Forum, Chairman of the 
Senate Committee on Women and Youth, Senator Eme Ekaette, 
will soon present a bill to the Upper House that would outlaw 
indecent dressing.  The CLO cited that possible harassment of 
women by police could result if this bill passes. 
 
¶25. (U) Security agents in Uyo (Akwa Ibom state), arrested 
Sam Asowata, the chairman of the editorial board of Fresh 
Facts, a weekly newspaper, along with Mr. Asowata's daughter, 
and Essien Asuquo Owoh, a distributor of the newspaper.  Owo 
was charged with "conspiracy to distribute copies of Fresh 
Facts newspaper with the intent to bring hatred or contempt 
to the governor of the state."  The newspaper was allegedly 
prepared to publish a story titled "Corruption: Akpabio in N5 
Billion Housing Scam," which accuses Akwa Ibom Governor 
Godswill Akpabio of involvement.  All three were released 
several days later without a trial date announced. (Note: 
This is not the first time Governor Akpabio has been accused 
of using intimidation against the press.  In June 2007, 
security agents raided the offices of the weekly magazine 
Events and seized 5,000 copies of an issue that accused 
Akpabio of involvement with illegal business transactions. 
In October 2007, the SSS arrested the editor of Events and 
held him in detention for three weeks on charges of sedition. 
 End Note.) 
 
¶26. (U) On January 17, police arrested four men for allegedly 
trafficking 105 boys, aged five to 15 years old, from Kuru 
village south of Kano to Suleja (Niger state).  The police 
discovered the children when they stopped the vehicle at a 
checkpoint. The four accused said they were transporting the 
children to a school in Suleja to study the Koran.  Head of 
the NAPTIP zonal office in Kano, Ahmed Mohamed Bello, said 
the parents sent their children away with the belief that 
they would receive an education and a better life; and did 
not realize the children would most likely become street 
beggars or forced into domestic labor.  All 105 children have 
been returned to their families. 
 
------------- 
ECONOMIC NEWS 
------------- 
¶27. (SBU) Post has approved Avian Influenza Tripwires and 
Response Plan that will now be included in the Crisis and 
Emergency Planning Application (CEPA).  The new tripwires had 
to take into consideration the one confirmed case from last 
year as well as entering the high season of outbreaks. 
 
ABUJA 00000217  005 OF 005 
 
 
 
¶28. (U) Dr. Newton Jibunoh a 70 year old Nigerian and retired 
CEO/Chairman of Costain/West Africa, international 
engineering and construction firm, will be leading an 
expedition across the Sahara to raise awareness of the 
effects desertification, drought, climate change, and 
environmental degradation in Africa. The expedition is 
scheduled to depart from Lagos on 24 February and last 60 
days.  His expedition will be documenting and broadcasting 
the trip.  Dr. Jibunoh, his publicist and publisher have been 
accepted into the Voluntary Visitors Program and plan on 
traveling to the United States shortly after their trip to 
share their experience. 
 
--------- 
PETROLEUM 
--------- 
¶29. (SBU) A senior Chevron executive told the Lagos Consul 
General that he "has no idea" when gas from Chevron's western 
oilfields will flow into the West African Gas Pipeline 
(WAGP).  The executive discounted press reports that gas 
would begin flowing in January, saying the pipeline may be 
technically operational by then, but it "won't have any gas." 
 The issue remains the integrity of the Escravos to Lagos 
Pipeline (ELP) that connects Nigeria's western oilfields with 
the WAGP (REF C).  According to Chevron, Ascot Offshore 
Nigeria Ltd, the contractor working to repair the gas 
pipeline, is in financial distress and could face bankruptcy 
within days. (Note: Ascot bought the pipeline construction 
business from American firm Willbros, when that company 
exited the Nigerian market in 2007. End Note.)  The executive 
was very pessimistic that ELP would ever be a reliable input 
into WAGP.  He remarked that Chevron had initially wanted to 
build an offshore connection from its western oilfields to 
WAGP. 
SANDERS