Oyo State government has shut CNC Quarry Company owned by the Chinese for non-payment of tax.
The Special Adviser to the Governor on Board of Internal Revenue, Mr. Biyi Oloko, who led a team of tax enforcers to the company in Oluyole Local Government, said the government would ensure stakeholders complied with the rules guiding payment of taxes.
The refusal of rice farmers to repay loans collected under the Anchor Borrowers Programme (ABP) of the Central Bank of Nigeria (CBN) in Kano and other states is threatening the initiative.
Kano State Commissioner for Agric and Natural Resources, Dr. Nasiru Yusuf Gawuna lamented that the state’s debt portfolio stands at over N1 billion from the demand notice issued it from the CBN on loan default from rice farmers from the state.
Addressing Feeding Nigeria Forum in Lagos, Gawuna said the state government was ready to persecute affected farmers to compel them to repay the loans.
Expressing displeasure over the default, the commissioner said the level of response was not encouraging.
He said the farmers would be prosecuted for defaulting, adding that the farmers have to pay up the loan or face legal action.
The Nigerian Stock Exchange (NSE) will sanction 14 firms for failing to meet July 31 deadline for the submission of their interim financial and operational reports, it was gathered at the weekend in Lagos.
Sources at the Exchange said the firms were to submit their first half and second quarters’interim earnings report and accounts by that date.
NSE’s Post-listing rules require quoted companies to submit their audited earnings’reports, not later than three months after the expiration of the period. The rules also require quoted companies to submit their interim reports not later than 30 days after the end of the relevant period.
Most quotedcompanies, including all banks, major manufacturers, oil and gas cement companies use the 12-month Gregorian calendar as their busines year. Their business year thus terminates on December 31. March 31 is the deadline for the submission of the yearly report of companies with Gregorian calendar business year. The deadline for the quarterly report is a month after the quarter.
The regulatory filing calendar of the NSE indicated that July 31 was the deadline for the results for the period ended June 30, thus the last working day of the period, Friday, July 29, was effectively the deadline.
Sources at the NSE said there would be no general waiver or extension of the earnings submission deadline besides the specific waiver or extension granted to some companies that had applied for such, noting that the Exchange would impose appropriate sanctions on the companies that defaulted.
The Exchange confirmed that it would sanction the companies that failed the deadline.
“The Exchange will enforce the appropriate sanctions in accordance with the Issuers’ Rule 2015 where a listed company fails to apply for an extension or provide a reasonable explanation before the due date,” NSE stated in email response to enquiry by The Nation.
The NSE indicated that about three-quarters of companies met the deadline. Besides the 14 active companies, there are also about 40 dormant companies under the watch of the Exchange.
NSE tags and fines companies that fail to meet earnings reports’ deadline. Under the corporate governance and rules compliance assessment report known as X-Compliance Report, NSE identified four various tags or symbols to alert investors about the status of each quoted company. These include below listings standard (BLS), the first degree alert level, indicating a company that has not complied with post listing rules, such as late submission of financial statements, unauthorised publication, and management failures.
Also, financial services companies, such as bank and insurance companies awaiting regulatory approval, will carry the appropriate symbol of awaiting regulatory approval (ARA).
Companies undergoing a capital reconstruction, including supplementary issue, share buyback, split, and share reconstruction, will be tagged capital reconstruction exercise (CRE) while companies that have indicated that they will be delisting or companies that are being delisted at the instance of the regulator would be flagged with delisting in process (DIP) symbol.
Companies and businesses defaulting in compliance with the provision of the companies and Allied Matters Act, CAMA, will soon face severe sanctions.
In a statement by the Director, Public Affairs, Mr. Churchill Williams, the CAC has set up a special enforcement committee which had commenced crack down on the operation of some companies.
He said: “The special enforcement committee had completed the first phase of on-site examination exercise in the Federal Capital Territory and had visited various markets, shopping malls and held collaborative meeting with relevant organisations to sensitise the public on the post incorporation obligation of registered companies and the consequences of operating unregistered businesses.
“A total of 474 were penalised for non compliance during the exercise in the FCT. The next phase of the enforcement will be carried out in the 36 states of the federation.
“Under the provision of the companies and Allied Matters Act, CAMA, every company, business name and incorporated association, nongovernmental organisation (NGO), are required to file annual returns every year which informs the commission of the status of a registered entity.”
Williams said, under section 548 of CAMA, all companies are required to display their registered names and registration number at their offices. Under section 553 of CAMA, every banking or insurance company or deposit, provident or benefit society is required to prepare and display in a conspicuous manner their statement of affairs twice in a year.
Companies complying with the provision of CAMA stand the benefit of enjoying unhindered treatment of their post registration filling with the commission whereas filings from defaulting companies are rejected out rightly until they update their record.