By Funmi Komolafe & Victor Ahiuma-Young

KRISTON LALLY, the company disowned by the Nigeria Labour Congress, NLC, for its housing scam and project failure has put the blame squarely on the doorsteps of leadership of the NLC.

In a statement weekend, Chief Executive Officer, CEO, of the company, Alhaji Mustapha Umar Madawaki, claimed NLC failed to fulfil its side of the agreement to provide land for the project.

He stated, “The payments made were based upon a direct agreement between me and the NLC President which he later denied accusing me of forging his signature.”

According to him “NLC had also actively supported one financing strategy – referred to as a Bank guarantee counterpart funding as suggested by our group, which I also found to be attractive.

However, I stopped it even after the NLC had given their full go ahead and performed their due diligence on a fact finding mission to Europe where they met with technical partners and a specific financial group.

”Upon return, NLC gave approval for the Bank Guarantee to be issued. Both the Bank, Access Bank and my international adviser, concurred with me that an unconditional Bank Guarantee is unsafe and advised that my apprehensions about the safety of such a contract were seriously justified and they advised not to proceed.

I single handedly stopped the BG and cancelled it until the financiers accepted a conditional BG. Who then protected the workers funds to the tune of N1.8 Billion, me or the NLC? Supporting documents are available. No scam company or individual would do that. Conversely, NLC never mentions that.”

Last week, Vanguard exclusively reported a housing scam of about N400 million in which some top NLC officers were alleged to have taken steps that short changed workers.

Continuing, he said “Who then protected the workers funds to the tune of N1.8 billion, me or the NC? Supporting documents are available. No scam company or individual will do that.

When in October last year, NLC ordered that we should stop collecting deposits from the subscribers, we posted that on our website and sent bulk SMS text messages to all those who subscribed. We also informed the Bank in writing to freeze the X-Path system and to automatically block further payments.

“However, due to pressures from so many people and in particular from the leadership of NLC, it was decided to allow new clients to pay deposits into our operation account, which was in existence since 2012.

This operational account were also used for the financing of Kriston Lally’s contribution to the project: Acquisition of land, payment of salaries, certain administration costs and cash provided to the NLC president upon his requests and treats.”

He also said “Kriston Lally is preparing legal action against the NLC for the reimbursement of all costs money invested by Kriston Lally shareholders and stakeholders in the project, including damages.

Kriston Lally worked and spent money and energy preparing to construct, but the NLC never provided a plot of land and apparently had no intention or ability to do so.

”The NLC scammed us either as part of their political games or to enable certain NLC leaders benefit personally from the project.”

leaders benefit personally from the project.”

Madawaki further said “the NLC failed and its failure has almost led to the collapse of the project. Housing will not be delivered as planned, unless there is an immediate intervention by Government, in the provision of Land, or allow us to use the Land already acquired for the project. All money lodged by depositors will be returned to them. This process has already begun and out of the 3270 depositors, about 200 have already received a refund of their deposits.

“We are not going to allow NLC to transfer subscribers’ money to another developer with a different philosophy and objective, whose costs are not worker friendly, and may not even have the requisite funding, whether local or international to complete the project. Subscribers can apply for a direct refund from Kriston Lally and if they themselves decide later they can join any developer of their choice.

“Kriston Lally has various partners, stakeholders to whom money is due, for services rendered while trying to realise the project and while waiting for the NLC to provide the land plots. Kriston Lally has every intention of paying all money that is due from us to each and every party. Part of this will form our legal case against NLC. I would like to say that I have personally put all my own savings into the project and have not benefited from it personally.”