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Tag: faults

  • Adegboruwa faults Fashola on electricity supply claim

    Activist-lawyer Ebun-Olu Adegboruwa has disagreed with Minister for Works, Power and Housing Babatunde Fashola (SAN) that Nigerians use  generators less due to improved power supply.

    Adegboru was said he had been dealing with incessant blackout and had relied more on generators both at work and at home.

    He said the situation was applicable to millions of Nigerians who are forced to pay for power not consumed, in what amounts to state-backed robbery by distribution companies (DISCOs) through estimated billings.

    Adegboruwa believes power deficiency could be solved within a short time if the government was willing.

    He referred to what he called a “revolution” in Egypt where Siemens constructed a 14.4 gigawatts power plant in two years at $7.2 billion.

    According to him, it shows that between 2015 when the Buhari administration took over power, and now, the problem of lack of electricity could have been solved.

    He faulted Fashola’s claim that Nigerians now use generators less due to improved power supply.

    “I can only speak for myself. I use generators now more than ever before where I live and work, which is Lekki Phase 1 in Lagos.

    “There are times there is no power supply for a whole day, for a whole night and at times for days and nights.

    “At the least threat of rainfall, power supply is disrupted and even when the rain stops, darkness will persist.

    “It is always one problem or fault or story or something, the result of which is always that there is constant blackout.

    “In Lekki Phase 1, I’m told that the feeder pillars are weak and obsolete, the cables and conductors are old and wearing out, and electricity supply to the whole estate is very poor, hovering around a meager four megawatt, at the peak.

    “For a whole Lekki Phase 1, with giant mansions, estates, sprawling commercials centres, banks, churches, etc, to be struggling for just four megawatts, then we have a very long way to go.

    “Often times, we are forced to depend on generators. The transformers are archaic, old, exposed and thus liable to vandalism by criminals, all of which is still the same story of blackout. How can we be in a country like this? And in just two years, Egypt has done the impossible,” Adegboruwa said.

    The senior lawyer lamented that Nigerians still spend a lot on providing electricity for themselves despite being made to pay outrageous bills.

    “So, I urge Nigerians to rise up and take up the electricity challenge. Let no politician, whether in All Progressives Congress (APC), Peoples Democratic Party (PDP) or whatever be allowed to campaign to us in any community, town, village or city where there is blackout.

    “It is tiring. All resources are channeled on diesel, fuel and repair and servicing of generators, virtually for everybody.

    “This is not to talk of the health hazards and environmental issues involved in relying upon generators, which has led to deaths of families, who slept and inhaled generator fumes, the noise all over the land, etc.

    “This is not to mention the ripple effect on crime and criminalities, when kidnappers, armed robbers and terrorists hide under the cover of darkness to perpetrate wickedness.

    “Enough is enough. Give us constant, permanent and reliable power supply or no vote. It is that simple.

    “If you can’t give us power (electricity) to better our lives, you’re not entitled to power (governance) from us, to better your pockets. Simple as ABC,” Adegboruwa added.

  • Court faults IG for ignoring Senate’s invitation

    A Federal High Court in Abuja has faulted the Inspector General of Police (IGP), Ibrahim Idris, for refusing to honour the Senate’s invitation on the trial of Senator Dino Melaye.

    Justice John Tsoho yesterday said Idris’ excuse was not tenable, and that the two suits he filed in relation to the invitation amounted to an abuse of court processes.

    The IG filed the suits earlier in the year to challenge the Senate’s insistence that he must honour its invitation in person, and its subsequent declaration that he was not fit to occupy public office.

    The Senate had, by an April 25 letter, invited the IG following alleged inhuman treatment of Melaye, and the killings in Benue, Plateau, Kwara states, and others.

    Idris, who was expected to appear before the Senate the following day, sent the deputy inspector general of Police (Operations) and commissioner of Police, Kogi State, to represent him.

    The Senate refused to grant the men audience, and insisted Idris must appear in person.

    The lawmakers rescheduled the meeting for May 2 and again directed that the IG honours its invitation in person.

    But the IG filed the first suit on April 30, through his lawyer, Alex Izinyon (SAN), contending, among others, that he was not required under any known law to honour every invitation in person.

    He argued that by the Constitution and Police Act, he can delegate responsibilities, and direct subordinates to represent him, and his choice of the DIG (Operations) and Kogi State Police commissioner was because they were conversant with the issues.

    Justice Tsoho upheld the argument by the defendants – the Senate and its president – to the effect that the IG’s suits were intended to hinder the Senate from performing its  responsibilities.

    His judgment was on one of both suits. He declined to determine the second suit on the grounds that having rendered his opinion on one, he would prefer another judge hears and determine the second.

    He returned the file to the chief judge for reassignment.

    The judge said although the IG could be excused for not honouring the first invitation because he accompanied President Muhammadu Buhari on an official trip, there was no justification for not honouring the second invitation.

    Justice Tsoho noted that the IG, having had knowledge of the Senate’s invitation, his excuse that he could not attend the second invitation because he was on an official trip to Birnin Gwari with the general officer commanding, was “not tenable”.

    The judge said: “I do not see any harm that would have been caused if the plaintiff honoured the defendants’ invitation. I uphold the defendants’ argument that the plaintiff’s suit is intended to prevent the exercise of the Senate’s legitimate and constitutional responsibility, and that it constitutes an abuse of court process.”

  • ATCON faults CBN over $8.1b refund order to MTN

    The Association of Telecoms Companies of Nigeria (ATCON) has faulted  the order to refund $8.1billion handed to MTN Nigeria by the Central Bank of Nigeria (CBN), saying the apex bank has no power to do so.

    Its President, Oulsola Teniola, in an email report, said the cash in question belongs to MTN in the first place, wondering what the CBN wants to achieve by its order.

    The CBN has accused MTN of untidy business transactions involving alleged repatriation of $8.1billion which it ordered the carrier to refund, while the Office of the Attorney General of the Federation has also issued demand notice of $2billion unpaid taxes over a 10-year period to the telco.

    Four local lenders alleged to have facilitated the repatriation were also sanctioned by the apex bank but MTN has strongly denied both allegations, adding that it had the clearance of the apex bank and a clean bill of record with the tax authorities.

    Teniola said the industry does not understand what the CBN intends to achieve by the directive to an operator on which it has no regulatory oversight.

    He said: “It is very important to note that the figure referred to has almost been fully paid by MTN and that the $8.1billion doesn’t belong to CBN but belongs to MTN. So, on this basis, it is hard to understand  what CBN seeks (to achieve) by its demands on MTN that it doesn’t have regulatory oversight over.”

    On how the logjam could be resolved, he said dialogue and transparency would do the magic.

    “Clarity, transparency and continued dialogue among  CBN, the banks and MTN to amicably resolve this matter in the interest of the wider stakeholder community, especially, potential investors closely watching developments on this issue.

    “At the moment, processing of CCIs (Certificate of Capital Importation) is shrouded in confusion in what should be a relatively straight forward process in between the banks and CBN their regulator.

    According to him, there is no likelihood that MTN refund such huge cash because of its timing.

    He said: “A refund is very unlikely. The size of the demand and timing is unreasonable and not in the interest of the country. After all, the Naira equivalent will have to be returned to MTN Nigeria. It is then an interesting situation that this seeks to redress events that occurred when CBN had full oversight and approved the transactions. How do they intend to do that?”

    According to Teniola, the matter should be between the banks and the apex bank and not necessarily the banks’ customers (MTN).

    “This I believe is a matter that should be in between the banks and CBN and not the client of the banks. NCC may decide to intervene if events unfold that threaten the survival of MTN and the telecom industry that they regulate. For now, it is too early to see which way this will take,” he said, adding, however, that he is not in an official capacity or position to quantify or qualify the impact of the development to corporate brand of the telco.

    “I fully believe MTN will continue to engage with the relevant authorities to resolve this latest setback,” Teniola said.

    CBN, had in a letter to MTN, said its investigation revealed that the shareholders of the telco invested $402,590,261.03 in the company from 2001 to 2006, which was carried out through the inflow of foreign currency cash transfers and equipment importation, as evidenced by the CCIs issued by Standard Chartered Bank (SCB), Citi Bank (CB) and Diamond Bank (DB);  and the CCIs issued at the time of the investment by the above banks to MTN for $402,590,261.03 showed that $59,436,923.44 was invested as shareholders’ loan and $343,153,339.56 as equity.

    “However, a review of your organisation’s financial statements for the year ended December 31, 2007 revealed that $399,594,146.00 was recorded/invested as shareholders’ loan and $2,996,117 as equity investment, in accordance with the shareholder’s agreement but contrary to the CCIs issued by the banks

  • LCCI faults FIRS on freezing tax defaulters’ accounts

    The Lagos Chamber of Commerce and Industry (LCCI) has faulted the  decision of the Federal Inland Revenue Service (FIRS) to appoint banks as collecting agents and freezing the accounts of tax defaulters.

    Its Director-General, Muda Yusuf, said the move was premised on the powers conferred on it by Section 31 of the FIRS Act, which gives it power to appoint collection agents for the recovery of tax payable by the taxpayer.

    While urgin discretion and caution before its implementation, he said the provision is draconian and could be used as a tool to intimidate, coerce and harass taxpayers

    He said LCCI is a strong proponent of regulatory compliance by private sector players but noted, however, that it was important to understand that tax administration should agree with  the rule of law and the fundamental principles of a good tax system.

    He said: “Tax administration should be consistent with the basic principles of equity, fairness, legality and accountability.  LCCI is concerned about the recent turn of events, especially the freezing of accounts of bank customers based on tax assessments that are in dispute.  This development raises a number of key concerns which need to be urgently addressed.”

    He faulted the propriety of appointing banks as ‘Collecting Agents’ by the FIRS, given the strategic and catalytic role of the banks  in business operations, financial intermediation and transactions among economic players.

    He called for an exhaustive engagement between the tax authorities and the taxpayer, noting that the legality of freezing the accounts of bank customers by banks on the directive of FIRS for alleged tax liability, given the contractual relationship between the banks and their customers should be studied.

  • Abacha family faults Abuja property revocation

    The family of the late General Sani Abacha has faulted the Federal Government’s revocation of the former military Head of State’s right to a property in the Federal Capital Territory (FCT), Abuja.

    The family contended that the purported revocation of the certificate of occupancy (C of O) marked: FCT/ABU/KN/2478 issued on June 25, 1993 to Gen. Abacha over Plot No: 3119 Maitama (A6) District, Abuja is unlawful and should be set aside.

    The family’s position is explained in a suit filed before the Federal High Court, Abuja through the deceased’s eldest surviving son, Mohammed, and his widow, Maryam (as administrators of the estate of the late Gen. Abacha).

    The plaintiffs stated that the late Gen Abacha, upon proper application, was allocated Plot No: 3119 Maitama (A6) District, Abuja in the earlier 1990s by the Federal Capital Development Authority (FCDA).

    They said after paying all necessary fees and making the required applications,the late Abacha was issued a certificate of occupancy (C of O) marked: FCT/ABU/KN/2478 on June 25, 1993 and later granted planning permission to develop the land, which he did before his death in 1998.

    The plaintiffs stated that they were, however, surprised to receive a letter dated January 16, 2006 from the FCT Abuja Geographic Information Systems (AGIS), claiming that the President and Commander-In-Chief approved the revocation of the right earlier granted Gen. Abacha on the land, which he had since developed.

    They noted in a supporting affidavit that the AGIS claimed that the President, in approving the revocation, exercised his powers under “the Federal Capital Act and the Land Use Act, Laws of the Federation 1999.

    The plaintiffs argued that there is no law called “Federal Capital Act,” under which the President could have acted. They added the Land Use Act did not empower the government to forcefully take over individual’s property, pay no compensation and then sell same property to private entities.

    The suit marked: FHC/ABJ/CS/ 463/2015, filed for the plaintiffs by their lawyer, Dr. Reuben Atabo, has FCT Minister, FCDA and President, Federal Republic of Nigeria as defendants.

    The plaintiffs want the court to among others, declare that the defendants have no powers under the Land Use Act to revoke their C of O over Plot No: 3119 Maitama (A6) District, Abuja without giving reasons and paying them adequate compensation.

    They also want the court to set aside the purported revocation notice dated January 16, 2006; declare that their C of O is still valid and restrain the defendants from further interfering with the plaintiffs’ interest and title to the property.

    The plaintiffs want the court to award in their favour, N500m general damages against the defendants.

    The Nation learnt that the suit was earlier instituted in 2006 before the High Court of the FCT, but was taken before the Federal High Court when the High Court of the FCT declined jurisdiction in a ruling on June 30, 2009, which was upheld by the Court of Appeal, Abuja, in a decision given on May 18, 2015.

    The defendants have however justified the President’s decision to revoke the late Gen. Abacha’s right over the land and urged the court to dismiss the suit.

    The FCT Minister and FCDA, in a counter-affidavit, admitted revoking the plaintiffs’ right to the land, but said they acted on the order of the President.

    They accused the ex-Head of State of not obtaining building plan approval before embarking on development, and that the property was not fully developed when the revocation was done.

    “The 1st and 2nd (FCT Minister and FCDA) defendants, on the instruction of the 3rd defendant (the President), and in view of the breach of the terms of the grant, revoked the allocation of Plot 3119, Cadsatral Zone A06, Maitama granted to the late Gen Sani Abacha.

    “The structure on the plot is not yet completed and building plan approvals is the FCT elapsed after six months of its grant,” the 1st and 2nd defendants said.

    The trial judge, Justice Ahmed Mohammed has July 4 for ruling on a joinder application by a firm, Salamed Ventures Limited, claiming to have subsequent bought the property from the government after the revocation.

    Salamed argued in its application that it was a necessary party in the case because of being a beneficial owner of the property in dispute, it would be affected by the court’s eventual pronouncement.

  • NCS faults NITDA on registration, licensing of IT contractors

    The umbrella body of information communication technology (ICT) practitioners in the country, the Nigeria Computer Society (NCS) yesterday faulted attempt by the National Information Technology Development Agency (NITDA) to register and licence all IT contractors in the country.

    The group said it is not within the mandate of its Director-General, Dr. Isa Ali Ibrahim Pantami, to do so because the agency is to promote the development of the industry through well thought-out policy and programmes.

    NCS President, Prof Adesola  Aderounmu, said NITDA will be usurping the powers and functions of the Computer Professionals Registration Council of Nigeria (CPN).

    He said: “Our position is that this is not part of NITDA’s mandate because as the name suggests, this agency is to plan, promote and develop regulatory framework and guidelines as stated in NITDA Act 2007, section 6a.

    “The Computer Professionals Registration Council of Nigeria (CPN) Act 49 of 1993 is saddled with the mandate to register, license, supervise and control the profession as stated in CPN Act Section 1 (2).”

    Prof Aderounmu lamented that the statement of the NITDA chief suggesting that it wants to register and licence ICT contractors was capable of confusing the general public and create an uncoordinated approach to policy issues as contained in the Acts of Parliament.

    “NCS is of the belief that NITDA’s mandate is to ensure seamless cooperation and interaction towards the use of IT as a development tool for the country.

    NCS commends the approach and wisdom of the Presidential Executive Order 005 of President Muhammadu Buhari which emphasises professionalism.  The Public Procurement Act 2007 with particular reference to section 19 if properly implemented will promote best practices professionally. On a related note CPN Act section 22, states that failure to engage professional practitioners is an offence in Nigeria punishable under the Act,” he said.

    The NCS chief advised NITDA in its advocacy capacity not to embark on registering and licensing of IT Contractors and service providers activities but instead concentrate on developmental issues which can be jointly achieved collaboratively. “CPN is the only agency with the mandate to register and license IT professionals and contractors in Nigeria,” he said.

  • LCCI faults Customs indiscriminate invoice valuation queries

    LCCI faults Customs indiscriminate invoice valuation queries

    The Lagos Chamber of Commerce and Industry (LCCI) has expressed concern over indiscriminate valuation queries of the invoice of imported items by the Nigeria Customs Service (NCS).

    A communique issued at the end of its Council meeting in Lagos called for a credible ground to dispute the value of invoice on imports.

    The group added that most of the prices are global and are easily verifiable online. It regretted that in most cases, the actions of the NCS have no bearing with these global prices.

    The communique endorsed its Director-General, Muda Yusuf, explained that prices vary across different regions of the world, lamenting that there is no dependable dispute resolution framework in place to ensure speedy resolution of such disputes.

    He said: “There should be an independent dispute resolution mechanism in place that could resolve valuation disputes within 48 hours because of the cost implications to importers of the delays.  These include demurrage, penalties, interest costs on loans etc.  The current arrangement where appeals are made to the customs headquarters is not in consonance with the principle of natural justice. The Nigeria Customs should not be a judge in its own case.

    “In many of the instances, the actions of the NCS have no bearing with these global prices. Prices vary across different regions of the world. Regrettably there is no dependable dispute resolution framework in place to ensure speedy resolution of such disputes,” the communique said.

    The Council urged the Presidency, Minister of Finance and Customs Comptroller-General to look urgently into this issue. “There should be an independent dispute resolution mechanism in place that could resolve valuation disputes within 48 hours because of the cost implications to importers of the delays.  These include demurrage, penalties, interest costs on loans etc.  The current arrangement whereby appeals are made to the customs headquarters is not consonance with the principle of natural justice,” LCCI said.

    The Council also noted that the board of some MDAs critical to the smooth functioning of the economy are yet to be constituted.

    “For instance, the Central Bank of Nigeria (CBN), suspended its first Monetary Policy Committee (MPC) meeting in 2018 scheduled for 22 – 23rd January due to the bank’s inability to form a quorum as a result of non-confirmation of the newly appointed MPC members by the Senate.  Also, the board of NAICOM and PENCOM are not in place.  This situation is beginning to take its toll on the economy,” LCCI siad, urging the Presidency and the National Assembly to put the interest of the economy above their differences and constitute board for all the MDAs without further delay.

  • Justice Ngwuta faults trial before CCT

    Justice Ngwuta faults trial before CCT

    Justice Sylvester Ngwuta of the Supreme Court has fualted his on-going trial before the Code of Conduct Tribunal (CCT) on allegation of failure to comply with the assets declaration law.

    Justice Ngwuta, in a motion filed on January 9 by his team of lawyers, led by Kanu Agabi (SAN), wants the tribunal to dismiss the charge filed against him by the state.

    He argued, among others, that by virtue of the provisions of sections Section 318,  158(1) and Paragraph21(B) of the 3rd Schedule to the Constitution, the tribunal was without the requisite jurisdiction to hear the case.

    The Code of Conduct Bureau had on March 21, 2017 filed an eight-count charge against Justice Ngwuta, in which he was among others, accused of contravening the Code of Conduct Bureau and Tribunal (CCB/T) Act for failing to declare some of their assets.

    He pleaded not guilty to the charge upon his arraignment last year, folwoing which the prosecution opened its case.

    The judge is also being tried before Justice John Tsoho of the Federal High Court on a separate charge of corruption related offences.

    But, in the motion he filed on January 9 this year, Justice Ngwuta, relying on the recent judgment of the Court of Appeal, Lagos division in the case of case of Hon. Justice Nganjiwa v. FRN (2017) LPELR – 43391 (CA), urged the CCT to dismiss the charge against him on the grounds that it lacked jurisdiction.

    Justice Ngwuta hinged his motion on the grounds that He is a serving Justice of the Supreme Court, hence a judicial officer within the contemplation and purview of Section 318 of the Constitution.

  • Rivers APC chair faults Wike

    Rivers APC chair faults Wike

    The Rivers State Chairman of the All Progressives Congress (APC), Chief Davies Ikanya, yesterday insisted that Monday’s broadcast by Governor Nyesom Wike on insecurity and bloodbath in Rivers was full of lies and half-truths.

    He said: “While some of the lies may be ignored at the moment and dealt with at a later date, however, it is manifestly important to immediately prevent unsuspecting members of the public, critical stakeholders and particularly security agencies from being hoodwinked by a frivolous list of supposed cultists and kidnappers contained in the governor’s broadcast.

    “The truth has come out. Wike merely compiled names of cult groups opposed to his own gang of killers, names of his hit-men known to have fallen out with him and some APC members, while he is asking for their arrests.

    “Since the broadcast by Wike, many are still asking a plethora of questions. Why did the governor know those persons as criminals, as he claimed and never did anything since he came into office over 2 years ago? Why did he not make the names of those individuals available to security agents for arrest, investigation and prosecution? Why were those names kept until Don Waney was killed, before he made them public, in less than 48 hours after? Were those names given to him by security agencies? Indeed, how were those names generated? Were they generated in Government House, Port Harcourt or by the police?

    “The bravest attempts to answer the aforementioned questions simply confirm the fact that Wike merely want to muddle up investigations by security agents, following the killing of his associate, Don Waney. The governor very well knows that if Don Waney and his boys could be tracked and killed in faraway Enugu, then information from his  mobile call logs, text messages, bank accounts, etc. will likely reveal a lot, which may incriminate him or his party leaders, who freely played host to and/or appeared in photographs with Don Waney at various times in the past.”

  • Ex-House member faults budget

    Former member of the Federal House of Representatives and Deputy Chairman of the Finance Committee, Abayomi Ogunnusi, has described the 2018 budget assumptions overly optimistic and likely to fuel high expenditures.

    He said: “We must be realistic in budget preparations. Revenue projection is the most important aspect of budgeting; it is better that we plan from the onset on what we can comfortably achieve and spend accordingly. If we generate more funds than budgeted, the excess can go to savings or spent through supplementary appropriation”.

    He suggested that the oil benchmark should be adjusted from $45 to $48 per barrel for 2018. This additional revenue, he said, can be used to reduce the budget deficit and hence reduce borrowing while the Excess Crude Account/Sovereign Wealth Fund may then be beneficiaries of anything above that.

    “It is important to note here that our oil production estimates of 2.3 million barrels per day have never been met before and as such revenue projections on oil revenue will likely incur severe shortfalls. Our current production as at now stands at about 1.9 to 2.0 million barrels per day,” he said.

    Continuing, he said: “President also talked about the severe shortfalls due to Federal Government Independent Revenue in 2017. Only N155.4 billion was collected out of a planned N605.87 billion as at September, 2017. Surprisingly Government has projected an increase in Independent Revenue to N847.9 billion for 2018. The implication of this is that there is likely to be another severe revenue shock due to this sub head and will further increase the budget deficit for 2018”.