N7.62b taken as fees for TSA, says systemSpecs.

SystemSpecs, the owner company of Remita, the e-payment and e-collection software deployed by the Federal Government to drive the Treasury Single Account (TSA), has said only N7.62 billion was taken as fees by the three implementers of the project as against N25 billion claimed by its accusers.

In a document obtained by Inner room, the firm also described the N2.5 trillion transaction volume as false, saying only N1.36 trillion passed through 20 participating banks from the inception of the project to date.

Senator Dino Melaye (Kogi West) last week alleged on the floor of the Senate that the firm was making about N25 billion per day for facilitating compliance by the MDGs with the TSA directive.

Melaye accused those he described as “financial scavengers and economic cankerworms” of trying to sabotage the anti-corruption war of the Buhari administration by mismanaging the TSA.

Debunking Melaye’s claims in a chat with our correspondent, a senior executive at SystemSpecs, who asked not to be named, said the e-collection company was never paid the said sum.

The top executive said that at the commencement of the project in May 2012, it was agreed that one per cent of the sums collected from MDAs would be deducted and shared between SystemSpecs, the banks and the Central Bank of Nigeria in ratios of .5 per cent, .4 per cent and .1 per cent.

A breakdown of the transaction inflow via the TSA showed that SystemSpecs is to refund N3.8 billion; 20 banks to refund N3.05 billion and the CBN is to refund N760.96 million, being total fees received by the institutions.

Further analysis of the TSA transaction volume showed that N241.3 billion passed through Zenith Bank; United Bank for Africa, N150.08 billion; FirstBank, N122.01 billion; Skye Bank, N39.62 billion and First City Monument Bank, N39.15 billion among others.

Others are Access Bank, N39.33 billion; Diamond Bank, N27.28 billion; Ecobank Nigeria, N15.51 billion; GTBank, N8.78 billion; Union Bank, N14.93 billion; Wema Bank, N26.68 billion among others.

The SystemSpecs executive also said the over N200 billion, which passed through the banks from October 27 to date, was also part of the N1.36 trillion grand total figure.

The source said the banks were holding talks with their lawyers and will sue the Federal Government for breach of contract.

A copy of the service agreement between SystemSpecs Limited and CBN dated December 2013, reads in part: “SystemSpecs and CBN are entering into a mutually beneficial relationship for the purpose of deploying and integrating Remita e-Payment platform and T24 Banking application to facilitate and support electronic payments and revenue collection of Federal Government Ministries, Departments and Agencies (MDAs) through seamless interface with Government Integrated Financial Management Information System application in accordance with the terms and conditions set out in this agreement”.

The agreement also mandates the CBN to ensure that whenever payment is made through Remita, it requests an electronic transfer from her account or account of its customers . Upon such request, Remita will transfer from the funding account the amount specified to the accounts of the beneficiary banks. The CBN agreed that such requests constitute authorization for the transfers.

The agreement also indicated that either of the party shall have the right to terminate the pact where the other party commits a substantial breach of any of its obligations under the agreement which remains unresolved after 30 days written notice of the breach and intent to terminate the agreement by the other party.

Part of the agreement also said either party shall have an immediate right to terminate the agreement if the other party becomes or is declared insolvent or bankrupt, becomes subject of any proceedings relating to liquidation, insolvency or for the appointment of a receiver or similar officer or in respect of its assets.

Also, any monies due and payable to either party at the time of termination shall remain payable and become due immediately upon termination.

System Specs was engaged to provide the Payment Gateway for TSA in 2011. While the payment leg of TSA commenced in January 2012, the collection component did not start as scheduled due to the resistance from  some quarters and the absence of the political will to push this through.