Irked by the financial pranks of one of the banks which was entrusted with the safe keeping of the 20 million Euros, the Federal Government has announced the blacklisting of the unnamed bank from further receiving any Euro funds on its behalf.

The decision to blacklist the said bank was announced yesterday when President Olusegun Obasanjo received the EU Commissioner for Development and Humanitarian Aid, Mr. Poul Nielson.

The foreign media had reported that the Nigerian Government misappropriated the EU aids meant for executing the health programmes.

However Mr. Nielson had confirmed, after an audit, that the fund was not misappropriated as reported, though the bank where the funds were kept “fiddled” with the rates of exchange. It was further gathered that one of the five big banks was involved in the fraud. Sources close to the deal informed THIS DAY that “they wanted to do a quick business with the fund before it is eventually disbursed to the concerned agencies. Those who placed the funds in the bank were said to have demanded for 25% interest on it, but the bank was said to have offered 17% instead,” the fund was not meant to be traded with.

The press statement meanwhile from the meeting declared that “the bank will no longer be entrusted with EU funds.”

Eddy Odivwri, This Day (Lagos), July 17, 2002