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Dispute over Pentascope may affect NITEL Prospects

Monday, October 4th, 2004 HOME | Previous Page

Dispute over Pentascope may affect NITEL Prospects

By Tom Chiahemen

SeniorCorrespondent, Abuja

 

Prospects of both the Nigerian Telecommunications Limited (NITEL) and its subsidiary the Mobile Telecommunications Limited (Mtel) are being diminished by the negative debate over the management contract with Pentascope.

The concern was expressed at the weekend by Mtel board Chairman Halita Aliyu, who lamented in Abuja that the controversy undermines the confidence of investors and leaders alike, and warned that this could affect the value of NITEL and Mtel, both of which have been slated for sale.

Aliyu spoke during the visit of members of the Senate Committee on Communications to Mtel headquartersas part of their oversight functions. She acknowledged that there are issues to be redressed in the contract, but called for their speedy resolution �so that government stated objectives and returns on investments will be realised�.

Last week, the House of Representatives queried the contract, saying the choice of Pentascope was not the best option for turning around the fortunes of the company to prepare it for privatisation.

Aliyu�s warning came shortly after the Senate committee members expressed disappointment over the failure of the NITEL management to attend to them at the headquarters where they had gone as part of their official visit to agencies in the Communications Ministry.

They were led by committee Chairman Baba Tela and had arrived the office at about 1.45 p.m. after visiting the Nigerian Postal Service (NIPOST) headquarters.

Although the NITEL management had a foreknowledge of the visit, there was nobody on hand to receive the senators.

Even without any senior NITEL official in sight, the committee members climbed the staircase to the executive floor, only to be stranded. Attempts to locate the office or whereabouts of the Dutch Chief Executive Officer (CEO), Rein Zwolsman, yielded no result and no other employee seemed to appreciate the presence of the legislators.

Feeling that they had been deliberately snubbed, the senators boarded their vehicles and headed forMtel headquarters. They said they were socked and embarrassed.

It was while the lawmakers were making the exit that NITEL Deputy General Manager (Corporate Communications) Tayo Ekundayo, who had earlier met with them at the ministry, looked through a window and waved and yelled for them to return.

He pursued them to their next port of call, Mtel, and explained that the incident was caused byhitches in communication as well as the movement of the visitors.

�We have already written an apology letter to the Senate committee and I can swear that we didn�t do this deliberately, as we had no reason on earth to snub or ignore the distinguished senators�, Ekundayo told newsmen, brandishing a three-page hand-written draft of the letter.


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