The Minister of the Federal Capital Territory (FCT), Nyesom Wike, has declared the Park and Pay scheme currently operating in Abuja as illegal.
He vowed to take swift action against the operation.
Mr Wike said this during a media parley on Wednesday in Abuja to commemorate his first anniversary in office.
He was inaugurated as minister on 21 August 2023 by President Bola Tinubu.
Mr Wike recounted how a senior Nigerian lawyer alerted him to the dubious scheme, which had been syphoning government funds under the guise of a legitimate operation.
He said the lawyer, whose name he did not disclose, contacted him after some individuals claiming to represent the FCT’s Transport Secretariat attempted to seize vehicles from his (lawyer) office.
“A call from a Senior Advocate of Nigeria brought to light a scheme that has been syphoning government funds under the guise of a legal operation.
“The SAN told me, ‘Sir, some people came to our office, and they are trying to seize our cars.They claim to be from the Transport Secretariat,” he said.
The minister further narrated that when he spoke directly to the individuals, asking who they were, they claimed they were from the FCT Transport Secretariat.
Alarmed by the situation, Mr Wike said he sought clarification from the responsible official of the ministry, who told him that it had entered agreements with some consultants to reintroduce the scheme.
“I was unaware of this. So I contacted the person in charge. I asked, ‘Who collects the money?’ To my surprise, I discovered that there are agreements between the Secretariat and certain individuals posing as consultants, where the consultant takes 80 per cent of the revenue, leaving only 20 per cent for the FCT Administration,” the minister said.
Mr Wike said the scheme exposes a significant flaw in the system, where private consultants are reaping the majority of the revenue intended for the government.
“These are issues we must tackle within the system. Without such reports, we may remain unaware. We cannot be everywhere at once.
“This is illegal, and such a scheme does not exist. If my colleague hadn’t called me, I wouldn’t have known,” he said.
Court scraps policy
The Pack and Pay policy, which requires motorists to pay fees for parking in designated areas, was in operation in the territory until it was scrapped in 2014 when an FCT High Court declared it illegal.
Before then, Abuja motorists repeatedly complained about the scheme, citing extortion and fraudulent practices by the companies that had contracted to enforce it.
At the time, four companies were engaged to collect the parking fees.