Reps Query NAFDAC Over N700,000 Fines On Traders, Demand Full Disclosure Of Collected Funds

Reps Query NAFDAC Over N700,000 Fines On Traders, Demand Full Disclosure Of Collected Funds

The House of Representatives Committee on Food and Drug Administration and Control has ordered the National Agency for Food and Drug Administration and Control (NAFDAC) to submit a detailed report of all monies collected as fines from traders during recent clampdowns on open drug markets across the country.

The directive was issued on Tuesday during an investigative session presided over by the committee鈥檚 Acting Chairman, Hon. Uchenna Harris Okonkwo, following mounting allegations of extortion by NAFDAC operatives, particularly at the Onitsha Bridge Head Market.

The agency, which was represented by its Director of Investigation and Enforcement, Pharm. Shaba Mohammed, and the Southeast Director, Dr. Lyon Obi Martins, is under scrutiny for allegedly collecting N700,000 from thousands of traders in Lagos, Anambra, and Kano States during its recent nationwide enforcement drive.

Okonkwo acknowledged the agency鈥檚 efforts to rid the Nigerian market of counterfeit and substandard drugs but noted that the committee had received a flood of petitions regarding the conduct of the operations.

鈥淭he committee has been alerted to several disturbing claims, including the complete shutdown of the largest drug market in West Africa located in Anambra over alleged non-compliance with a mandatory N700,000 levy per shop. We are also aware of claims that the charges were recently increased from N500,000 to N700,000, and that some traders in Lagos were made to pay up to N2 million as administrative penalties for improper storage,鈥 he said.

To this end, the committee moved a motion mandating NAFDAC to submit an interim statement of account detailing all funds collected during the exercise from inception up until June 30, 2025.

鈥淲e expect this breakdown to include the sources, amounts paid, and the accounts into which these funds were deposited. Although the exercise is still ongoing, the agency must provide us with a comprehensive update for transparency and accountability,鈥 Okonkwo added.

He further emphasized the need for the speedy development of Coordinated Wholesale Centres (CWCs) across the country, which are designed to replace open drug markets and ensure a more secure and regulated environment for pharmaceutical trade.

鈥淚t is essential that these CWCs are given top priority by NAFDAC, the Pharmaceutical Council of Nigeria, and relevant state governments, in collaboration with stakeholders. They must be constructed to modern standards and equipped with proper storage facilities,鈥 he stressed.

The committee also resolved to embark on oversight visits to monitor the implementation and quality of the CWC projects across the affected states.

On the issue of drug trafficking syndicates, Okonkwo raised concerns over the influence of drug kingpins in the sector, saying: 鈥淵ou mentioned some major players behind the circulation of fake drugs. We must get to the root of this. We鈥檒l be working closely with security agencies to ensure they are identified, investigated, and prosecuted.鈥

In response, Pharm. Mohammed explained that the N700,000 fine consisted of N500,000 for poor storage practices and N200,000 for possession of unregistered drugs.

NAFDAC Director-General, Prof. Mojisola Adeyeye, represented at the hearing, defended the operation, describing it as the most expansive enforcement exercise since 2007. She said it commenced on February 9, 2025, following both local complaints and alerts from international bodies, including the World Health Organization (WHO), over Nigeria鈥檚 role in the global counterfeit drug supply chain.

According to her, the enforcement was carried out in partnership with the Office of the National Security Adviser (NSA) and supported by over 1,200 security personnel. Major markets targeted included Idumota in Lagos, Bridge 8 Market in Onitsha, and Ariaria Market in Aba.

Originally planned for one week, the operation extended to four weeks due to its scale, with the Southeast operation lasting a full month. Prof. Adeyeye said all shops were shut initially, regardless of compliance, to ensure thorough vetting. Only traders who met regulatory standards had their shops reopened.

She emphasized that open drug markets are illegal under Nigerian law and pose grave public health risks.

鈥淭hese markets contravene the Counterfeit and Fake Drugs and Unwholesome Processed Foods (Miscellaneous Provisions) Act. Many of the stalls lacked ventilation, basic hygiene, and proper drug storage facilities. Some even used iron sheets to barricade their shops. Drugs stored in such conditions are unfit for consumption,鈥 she said.

She added that all substandard and counterfeit drugs confiscated during the raid were publicly destroyed. Adeyeye also disclosed that market union leaders had been duly informed ahead of the enforcement operation and briefed on compliance procedures.

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