Auctioneers demand probe of MDAs’ asset disposal process

The Nigeria Auctioneers Association has accused government ministries, departments and agencies of taking over the jobs of licensed auctioneers, alleging that the practice has opened the door to violations of due process in the disposal of seized and public assets worth billions of naira.

The association specifically accused the Nigeria Customs Service and other public institutions of creating internal structures to value and dispose of assets, rather than engaging licensed auctioneers as required by law.

The National President of the association, Musa Kurra, disclosed this in a briefing on Thursday, warning that the practice could deprive the government of substantial revenue and undermine transparency in the management of public property.

According to him, government agencies were increasingly assuming the dual roles of asset custodians and auctioneers. “Most ministries and agencies have become auctioneers on their own. They don’t care about due process anymore. This is not good for the government,” Kurra said.

“There are a lot of properties worth billions, if not trillions, of naira that are being wasted. It is our job to generate money for the government, to go out there and auction these properties and make money for the government. But these people have taken over our jobs.

“So, what I am saying basically is that if anybody wants to become an auctioneer, the door is open. But you cannot be a civil servant and also want to be an auctioneer at the same time. This is exactly what is going on.”

Kurra particularly accused the Nigeria Customs Service of bypassing the statutory framework governing the disposal of forfeited assets, alleging that the service had created what he described as an illegal internal auction structure.

“At this point in time, there are so many government agencies that think they are above the law. One of them is the Nigeria Customs Service. They think they are above the law.

“We are guided by the law. We are recognised by the law of this country, and we are licensed. What we are saying is that if anybody wants to be an auctioneer, the door is open for him. But you cannot be a public official and become an auctioneer at the same time. It is not possible,” he stated.

The association’s president specifically faulted the Customs Direct Auction Administration Department, describing its activities as unlawful. “Customs went as far as creating a department called the Direct Auction Administration Department. That department is illegal. What they are doing is illegal,” Kurra alleged.

He argued that the disposal of seized and finally forfeited assets should follow the provisions of the Code of Conduct for Public Officers and other relevant laws governing public asset disposal, including the engagement of qualified valuers and licensed auctioneers.

According to him, once a property is finally forfeited, it becomes public property and should be disposed of transparently through a process open to members of the public. “The law says that whatever they seize, they have to get a valuer to value it and appoint a licensed auctioneer to auction the property to the public because it belongs to the public,” he said.

Kurra alleged that the association had documented cases in which valuable assets were disposed of for amounts he considered far below their value. He cited the alleged allocation of 338 vehicles to a single company for N3.38m, claiming that the list included vehicles such as Toyota Prado SUVs and Hilux trucks.

“Do you know how much was paid into government coffers? N3.38m. You have Prado, Hilux and all sorts of vehicles on that list. N3.38m was paid into the government account for 338 vehicles. That means each vehicle went for N10,000,” he alleged.

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Kurra also alleged that some importers who had paid duties on their goods later discovered that their properties had been disposed of through direct allocation.

“A lot of people are crying now. They pay duty for their properties and go there, only to discover that the properties are no longer there. They have been sold through direct auction allocation. I don’t know where they got that authority from,” he said.

The NAA president further alleged that similar concerns existed in other government institutions, including the Federal Ministry of Water Resources, and called on President Bola Tinubu to investigate the claims.

“President should know, and he should find out whether anything I am saying is true. I can give you documents to trace my points. I am not just saying it; I have facts,” Kurra said.

The allegations come amid growing concerns over the management and disposal of confiscated goods and other public assets, a process that has historically generated controversy over transparency, valuation and revenue remittance.

Kurra maintained that the association was not seeking to prevent government agencies from carrying out their statutory responsibilities, but insisted that asset disposal should be separated from asset custody and conducted through licensed professionals.

Kurra argued that allowing agencies to seize, value and sell assets through internal structures raises questions over accountability and whether the government is receiving the full value of properties belonging to the public.

Responding, the spokesperson for the Nigeria Customs Service, Abdullahi Maiwada, debunked claims that auctioneers must be involved in the disposal of all government assets, explaining that the law provides different procedures for fixed assets and goods seized or forfeited by the government.

Maiwada said vehicles, generators and other fixed assets purchased through budgetary allocations must be disposed of through auctioneers after they have exceeded their stipulated service period.

“I need to explain this process so that you would understand. We had this issue earlier with the association of auctioneers, and I want to make it very clear. We have two categories of auctions; there are auctions that are disposal of fixed assets, immovable property after they have passed their stipulated period.

“Those are items that are purchased based on budgetary allocation. So those forms of items require you to pass through the auctioneers as stipulated by law before you dispose of them.”

However, he said a different process applied to goods seized for violating Customs laws, involvement in illicit smuggling, or those that had remained at ports beyond the legally stipulated period.

“Then you have disposal of items or auction of items that are either seized because of contravention of customs laws or illicit smuggling, and we also have items that entered overtime… So when you are disposing of these items, you don’t need an auctioneer to dispose of those items. You can do that either by direct allocation or through online auction. That is provided by the law.”

He added, “Don’t mix two items together. Where auctioneers come in is when you are disposing of items bought through budgetary allocation, not items seized and forfeited to the Federal Government because of contravention of relevant laws or policies of government.”