The Nation Newspaper

Tag: merger

  • ‘No force can frustrate merger ‘

    ‘No force can frustrate merger ‘

    A  group, the ‘Action Congress of Nigeria (ACN) Total Loyalty’ has said that no force can frustrate the merger of the progressive parties. The group said in a statement by its leader, Alhaji Oluwatoyin Balogun, that the plot by the Peoples Democratic Party (PDP) against the All Progressives Congress (APC) will collapse, urging the merger leaders not to waver in spirit.

    Balogun said: “The PDP has lost is political relevance, making the birth of the APC more compelling”. The INEC threat is an empty one. If the electoral commission carries it out, it will be a deservice to democracy”.

    The group lamented that 14 years of PDP have been a waste, adding that it has no justification to remain in power beyond 2015.

    Balogun said: “If after 14 years of governance, they cannot provide the basic amenities, including good road, electricity, security, good health facility, despite huge resources at their disposal. What the country needs is good leadership.

     

     

     

     

     

  • Sanctions, remedies under Nigeria’s merger control law

    Sanctions, remedies under Nigeria’s merger control law

    However, for all their positive contributions, mergers also create potential problemsfor competition byincreasing the level of concentration of a given industry. Depending on whether the merger is horizontal, vertical or conglomerate, it could raise a number of competition concerns. A horizontal merger could eliminate a present competitive force from the market. Generally, a market in which there are 2 competitors from a competitive perspective is worse than one in which there are 3 competitors. To the extent that a merger creates that effect because it leads to a reduction in number of competitors, it is suspect. Vertical mergers may result in a predatory foreclosure effect or profit squeeze which ultimately may lead to the elimination of a competitor, and in the process may lead to the extension of market power from one level of the market to another. Conglomerate mergers though generally very benign may hurt competition, where for example, the introduction of a big company into a market in which it did not operate,through another company which it has acquired operating in that market, may adversely affect the competitive conditions in the market. This could be by raising the psychological barriers to entry in the market, subsidization of predation in the new market with profits from other markets in which the conglomerate is dominant, and creation of potential reciprocity situations where in imperfect markets, the merged entity’s buying power can be used to induce others to buy its products or services in other markets, when ordinarily they wouldnot, thus foreclosing the market from competitors.

    It is precisely for the above reasons that in recognizing that mergers could be beneficial and at the same time potentially harmful, competition laws provide, as the ISA 2007 has done, for a mandatory pre-notification of all M&A transactions to the competition bodies, the role which the SEC plays in Nigeria in the absence of a competition authority.

    Can there be sanctions for non-notified M&A transactions and if so, what?

    In relation to this question, it is important to recognise at the outset that the ISA 2007 has under section 13(p) invested the SEC with the foundational power “to review, regulate and approve mergers, acquisitions, takeovers and all forms of business combinations and affected transactions of all companies in Nigeria.” This foundational power is reinforced by the specific provisions in Part XII, ss. 118 – 128 of the ISA, the most fundamental, as mentioned above,being the obligation for a mandatory pre-notification of qualifying M&A transactions under section 118(1) of the ISA. As mentioned earlier, a noticeable feature of the regime under Part XII is what appears to be a lacuna or gap in the law, in the sense that while the law clearly prescribes an obligation to pre-notify mergers for approval, it does notprescribe the penalty or consequence should parties choose not to heed this obligation. This lacuna therefore creates some confusion as to whether non-compliance is punishable or whether what we have is really a legal exhortation rather than an obligation.

    The author is of the view, for reasons proffered hereunder, that the absence of a specific penalty clause backing up the merger notification obligation does not support the conclusion that failure to notify is not punishable or attracts no consequence. First, one must recognise that Nigerian merger control regime, unlike the regime in other jurisdictions,does not exist within an autonomous competition law system, but exists as part of our wider securities regulation system in which the SEC is the apex or super-regulator. In the context of effective regulation, the ISA has invested the SEC with a swathe of sanction powers, from the criminal to the civil and administrative, coupled with the power to impose other remedies such as behavioural and reputational sanctions (see e.g. section 305(3(c) ISA 2007). It is to be stated therefore as a first proposition that where a violation occurs in the context of a merger transaction, there is no reason of principle or law why the SEC cannot impose or activate any of the sanction powers and provisions that exist within the ISA which the SEC enforces. Further, although Part XII of the ISA is silent on the consequence of non-notification of M&A transactions, for the reason stated above, to wit, the fact that Nigerian merger control regime at the moment is part of its wider securities regulation system, it appears that the gap in failing to provide for sanction for not notifying qualifying M&A transactions is filled by a provision such as section 303 of the ISA which provides a default sanction power for violation of any provision of the ISA or any rule or regulation made thereunder.Section 303(1) of the ISA provides: “Except as otherwise specifically provided under the provisions of this Act, any person who violates or contributes in the violation of the provisions of this Act or of any rule and regulations made thereunder is liable to a penalty of not less than N100,000 (about $600) and a further sum of N5000 ($30) per day for every day that the violation continues.”

    It is our view that parties who have not notified their merger transactions as the ISA stipulates under section 118 of the ISA are potentially liable to the general penalty regime under section 303 of the ISA. Interesting questions thereby raised, are: whether the section 303 default sanction provisions are sufficient and effective to induce compliance with the mandatory obligation to pre-notify as prescribed under section 118? In practice, are merging parties motivated to do a cost-benefit analysis and assess if the gains from non-compliance, such as the fact that transactions can proceed speedily and not suffer a delay from awaiting a decision by the SEC, outweigh the possible pains of non-compliance. Given the paltry sum provided for under section 303 of the ISA, the attraction not to comply is real and parties may conceive that itmakescommercial sense to proceed with the transaction and damn the financial sanctions.

    It appears that the default financial sanction provisions under section 303 of the ISA may not have had the potential pernicious consequences created by bad mergers in mind, but as said, applies only because it is just a default provision. One can contrast this with provisions such as Article 14 of Council Regulation 139/2004 of 20th of January 2004 (the European Merger Regulation) that imposes fines on M&A parties of up to 10% of the annual turnover of the enterprises for failure to notify and get pre-approved their M&A transactions to the European Commission, and fines of up to 1 per cent of the annual turnover for supply of incorrect information or generally for failure of merger parties to cooperate with the European Commission in investigating a merger. A similar financial penalty provision exists in almost all merger control regimes in the world, including of recent the supra-national merger control regime of the Common Market of Eastern and Southern Africa (COMESA) which came into force on 14 January 2013. The COMESA supra-national merger control regime provides for a fine up to 10% of the combined annual turnover in the COMESA Common Market of parties who failed to notify their merger transactions.

    The problem with the Nigerian system remains the fact that merger control is not really viewed, as it should, from the prism of antitrust or competition protection, but more from the prism of securities regulation. SEC is not an antitrust body but a securities regulator. This then raises the ideological dilemma of antitrust enforcement, as we have it in Nigeria under the ISA, subsumed within securities regulation. Thus, can SEC at the same time be effectively both a securities regulator and a guardian of competition (the role played by a competition authority)? This is also the dilemma of the hermaphrodite. Can the hermaphrodite effectively be both male and female; that is, effectively use its two sexes, or must one sex bow in deference to the other?

    Against the above discussions, on the question of whether SEC can impose fines for failure to notify an M&A transaction, in the absence of specific sanctions to back up the obligation of mandatory pre-notification under section 118, the submission is that indeed the SEC can impose fines; and this is as prescribed under section 303 of the ISA. Beyond fines on the legal entities involved in the transaction, there is no reason why the SEC cannot impose administrative sanctions even on officials and advisers of the parties involved in the non-notified M&A transaction. The basis for the later is section 151(6) of the ISA which gives to SEC the power to “impose administrative sanctions on any person or persons contravening any of the provisions of this part of the Act”; and section 118 imposing mandatory pre-notification obligation is in the same part of the Act as section 151 of the ISA.

    Will the non-notified transaction

    be dismantled?

    A different question relates to whether monetary sanctions under section 303 is exhaustive or if in addition to it, the SEC is empowered to impose a dissolution or reversal of the non-notified M&A transaction. Although the answer to this question is not explicitly provided for, it is submitted that the power of the SEC to require parties to reverse or dismantle a non-notified M&A transaction is implied within the provisions of sections 13(p) of the ISA 2007 already cited, section 118 itself which is the obligation prescribing provision, and section 127 of the ISA by which the SEC can revoke a merger approval on a number of reasons, such as where procured by deceit or incorrect information. Noteworthy is subsection 2 of section 127 which provides that the Commission may prohibit the merger over which it has revoked its approving decision, even if a time limit prescribed in the Act for the Commission to take a decision may have elapsed. Noteworthy also is section 128 of the ISA which empowers the Commission to order the break-up of a company whose business practices undermine competition. On section 128 ISA, it may be argued that it amounts to stretching the language of section 128 too much to apply it to M&A transactions, given that the language of section 128 of the ISA seems geared towards an abuse of dominance scenario and not directed at a merger scenario. However, the counter-argument should be that if the Act recognizes that in deserving circumstances that the SEC can impose radical structural remedies in a market by requiring the dissolution of companies whose commercial practices undermine competition, there is no reason why the Commission cannot also inversely require parties to an M&A to dismantle the transaction where such was implemented without securing the prior approval of the SEC as the ISA mandates, particularly where such an M&A would have serious negative consequences on the competitive structure of the market and on consumers.

    Granted, as has been argued, that the SEC has the powers to require the reversal or dismantling of a non-notified M&A transaction, a relevant question is whether the SEC should always at every occasion in which an M&A transaction is not notified to it, upon discovery require dissolution of that transaction? It is submitted that the answer to this question is that, “it depends”. Since the SEC already has fining powers which it may have imposed, proceeding to require the parties to unravel the transaction without more may amount to an over-kill. Whether the SEC should require the reversal of the transaction, in our view, should depend on if the particular transaction in question, upon examination, is one which undermines competition and does not enjoy any of the redeeming features under section 121(1)(b) of the ISA. In other words, to decide if the non-notified M&A transaction should be reversed, the Commission should undertake a consideration of the transaction against the factors listed in section 121 of the ISA as if it were one notified to it. If such a review reveals that the transaction is one that would not have been approved had it been notified to the SEC, then the Commission would be right to require a dissolution or reversal of the transaction, in addition to financial penalties imposed. If on the other hand the review reveals that the transaction is one which would have been approved by the Commission had it been notified to it, the Commission should limit its intervention to financial penalties and allow the M&A transaction to stand. The approach suggested here is consistent with best practice as encapsulated under Article 8(4)(a) of the European Merger Regulation, where the remedy of dissolution is not automatically imposed, but only imposed if the non-notified M&A is assessed to be anti-competitive. By the referenced provision, “Where the [European] Commission finds that a concentration…has already been implemented and that concentration has been declared incompatible with the common market…require the undertakings concerned to dissolve the concentration, in particular through the dissolution of the merger or the disposal of all the shares or assets acquired, so as to restore the situation prevailing prior to the implementation of the concentration..”

    Miscellaneous matters

    Power to impose remedies

    On miscellany, it is worth stating that the SEC as part of its merger control powers, can impose various remedies in order to resolve whatever competition concerns that an M&A may have. These remedies could be either behavioural such as price freeze to address consumers concerns, requirement to grant competitors access to infrastructure, Intellectual Property assets, research and Development (R&D) facilities, production facilities, and key technology. The basis for this is section 122(5)(b)(ii) of the ISA by which the SEC can approve a merger “subject to any conditions” and also section 123(3) of the ISA which contemplates that a merger may be approved by the SEC “with or without conditions”. The remedy could also be structural by way of requiring a divestiture by the enterprise of a part of the enterprise to enable new entry or to strengthen some other competitors.

    Third Party Intervention in the merger process

    Another interesting question is the extent to which third parties may intervene in or influence an M&A transaction in Nigeria and get remedies. Precisely, is there any room for third parties to obtain prerogative writs against a merger? Starting from employees, a legal basis for their intervention is situated under section 123(2) of the ISA which imposes on the M&A parties an obligation to serve a copy of their merger notice to their registered employee unions or their employees generally. Although the provision in question does not specify what the employees are to do with this notification, it is argued that this provision supplies a basis for intervention in a merger process by employees, otherwise the right to be notified becomes a hollow one. Intervention by other third parties other than employees (such as consumer groups and competitors) will find basis under section 124(3) of the ISA which provides that “any person may voluntarily file any document, affidavit, statement or other relevant information in respect of a merger.” The referenced provisions should be taken together with section 303(4) of the ISA which provides that “notwithstanding the provisions of subsections (2) and (3) of this section, the complainant of a contravention may seek by action, consequential or punitive damages or any other remedy that may be available under the law.”

    Can the Corporate Affairs Commission come to the rescue?

    M&A transaction parties would be reluctant to disregard the obligation to notify where they assess that chances of detection by the SECis high. This does not appear to be the case since parties are able to assume control of the companies that they have acquired by effecting the necessary share transfer and change of directorship filings with the Corporate Affairs Commission (CAC), Nigeria’s companies registry. In practice, the CAC does usually accept filings without any reference to SEC. Therefore, in considering ways of making M&A parties to comply with the obligation to pre-notify, it may be necessary to think outside the box, and perhaps work out an inter-agency arrangement between the SEC and the CAC, whereby to accept filings of any significant change in shareholdings of companies and their directorships, the CAC could insist on the evidence of SEC approval of those transaction. This suggestion obviously may have its own problems, but it is believed that is one option that could be considered and fine-tuned by the SEC in order to induce compliance with the obligation on M&A parties to notify their transactions as the ISA stipulates, given that at present, the SEC’s powers to impose sanctions and remedies, as discussed above, have not been altogether successful in inducing compliance.

     

  • Merger: Redefining the territory

    Merger: Redefining the territory

    THE merger of parties standing in opposition to the ruling Peoples Democratic Party, while still awaiting consummation, is already creating ripples in the right places. The PDP that has consistently boasted that it would rule the country for a minimum of 60 years is gradually accepting that there could be an earthquake that could cause an unprecedented change on the political scene.

    Our political history bears eloquent testimony to the fact that alliances, mergers and coalitions have not worked, despite a demonstration that it is the way to go and clear indication that it is the wish of the people that there should be two broad political tendencies to allow for choice, previous attempts at combination of forces have always ended in grief. The closest to success was at the inception of the current dispensation when the All Peoples Party and the Alliance for Democracy, having watched the electoral trend, decided strategically to combine efforts by producing a joint presidential ticket.

    The parties decided to field Chief Olu Falae of AD on the platform of the APP. His running mate was a powerful voice in the caliphate and security circles, the Marafan Sokoto, Alhaji Umaru Shinkafi of the APP. They ran a good race but missed the mark mainly because the leaders had to adopt an emergency approach. They sought to change the rules while the game had commenced. The PDP had already been seen by the electorate as the only party capable of winning the election. It is not even clear if victory for the APP would have served the purpose of stability and development.

    The All Progressives Congress initiative is certainly welcome. The leaders appear to have taken some lessons from previous experiments. First, it is gratifying that the moves are being made very early, at a time that the next general elections are still about two years away. Second, they have opted for a merger, rather than a quick-fix coalition that more often than not confuses the people. A merger appears organic. It reassures the electorate that the promoters are ready to do business and take risks.

    Besides, the estranged elements in the ruling party are duly served notice about an alternative route to power. It is obvious that the only glue holding the PDP together today is the patronage power. The slogan “Share the Loot” is fitting for the conduct of its leaders. In almost 14 years, the party has provided rudderless leadership and beneficiaries of the pernicious arrangement foisted on the country by the military are held together by the greed for largesse of office. The other route has remained unattractive as the outcomes of the presidential election, year after year, were known before the votes were cast.

    The APC, from what I have seen so far in these early days, could break the jinx. The leaders have to watch out especially for spooks that have been planted, at a price, by a ruling party that realises that a change is about being forced. Leaders of the {DP are not so dumb as to miss the frustration in the system. The youths are particularly restive and could go to any length to secure their future. They have realised that poverty and squalor speak a universal language.

    The name APC brought vividly to my memory years of childhood when the APC tablet, along with Phensic, codeine and iodine were always in the family first aid box. Any child who gave indication of body pains would get a dose of codeine; phensic was the first choice to attack an early hint at fever. When phensic proved inadequate in tackling the crisis, the APC is called to action. Would this APC be as effective as the APC tablet of those days?

    There is also the military hardware, Armoured Personnel Carrier. Until the National Party of Nigeria bought a number of those ferocious machines for the Police in the Second Republic, I had no knowledge they existed. To protect the rogue party in power, the APC were ordered to confront the opposition. But, the resolve of the people could not be so effectively checkmated. The voters who know the quality of governance they had got from the NPN over four years rose against the attempt to subvert their common will. The APCs could not save the Shagari regime.

    In recent years, the APC has been called to action by state governors to combat the menace of armed robbery, especially in the South West. It has been largely successful

    So, to what action is the new APC being called: to work for or against the people? There are, indeed, many obstacles to scale. The legal, as we had pointed out in the earlier piece on this subject, is easier to surmount. The political hurdle requires much more tact, perseverance, partnership with the people and adept tackling of the ruling party. The bottom line is how the APC leaders go about coupling the party together. Do they have a story to tell? Can they manage to convince the people that they mean well and have a programme to sell? Have they done their homework in terms of what to do to jump start the economy? Can they manage to win the support of the youths all over the country? These are daunting tasks. The next six months would give us opportunity to see what this modern version of APC is? Would it be as ubiquitous and effective as the tablet? We can only keep vigil at our posts?

  • ‘Merger will prevent one-party system’

    ‘Merger will prevent one-party system’

    Action Congress of Nigeria (ACN) National Chairman Chief Bisi Akande, in this interview with   EMMANUEL OLADESU and JEREMIAH OKE,  explains the significance of the merger and implications for 2015 general elections. 

     

    How did the four political parties come about the name, All Progressive Congress (APC)?

    There is nothing unusual about that. I cannot tell you how we came about the name, but coming together is more important to us right from 2005. We made an effort between 2005 and 2006 that all opposition parties should come together before 2007, particularly the Alliance for Democracy (AD) and ANPP, but it didn’t work. We formed the Action Congress of Nigeria (ACN) and went straight to form alliance with ANPP towards 2007 elections. That seemed to have threatened Obasanjo so much that he misbehaved in 2007 elections to the extent that the late President Yar ‘Adua came to say that the election that brought them to power was severely flawed.

    Unfortunately, ANPP joined the PDP in their Government of National Unity and that ended the alliance. In 2010, we tried again, but unfortunately, it could not materialise. Some groups joined AD to become the ACN. The ACN has been in the front seat to ensure that all opposition parties work together since that time. Towards the 2011 election, ACN and CPC negotiated the possibility of an alliance till almost a week to the elections, but it could not work. We were not happy; we felt very disappointed. This time around, we thought we started where we ended with the CPC. Fortunately, before we took off, the ANPP decided to come on board and we quickly set up a committee of ACN to start negotiation with them. The CPC set up its own committee and ANPP set up its own committee and we all accepted to work together. I think the APGA does not want to be left behind; that is why they also joined us. We rejoice over this and we have to celebrate it. The committee has not reported back to us, but we are happy so far that they are giving us a symbol of desirability of coming together of all the opposition parties. I think, the situation has been so well received by the country that, before long, we shall be able to establish this party properly and it will be the only progressive party that Africa will be able to witness and before long, PDP will stop calling itself the largest party inAfrica.

    What is the significant of the merger of the four parties?

    The significance of the merger is to prevent one-party system because one-party system is not good in a democracy. But at the rate we are going, PDP is using the electoral institutions and the police to foist one-party system on the country. Therefore, we think, if the opposition parties can come together and decide to form an alliance, it will prevent one-party system.

    How are we sure that there will not be tension between the four parties, if they perceive themselves as the senior or junior partners in the alliance?

    If the merger is the alliance of two political parties, you can be talking about senior and junior. But the merger, as we can see it now, is the alliance of four political parties. Ranking will be very difficult in this kind of situation. What we think is that progressives are progressives, no matter where they are, and we should move on because it may not be all the parties that are signing up now that will eventually come on board at the end of the day. We know for sure that more than 70 per cent of PDP will also be coming on board, as soon as the platform is properly laid.

    We learnt that ACN is trying to reconcile General Buhari (rtd) with his former party, ANPP. How far has the reconciliation gone?

    We have never attempted such a thing. General Buhari has never told us he was quarreling with ANPP; neither has ANPP told us that they were quarreling with General Buhari. General Buhari joined the ANPP and used the platform to contest for an election twice and, if he decided to form his own party, he did nothing wrong. But had it been when he formed the CPC and before too long, CPC is as big as ANPP, if not bigger than ANPP, I can say there is a quarrell. If you plant a seed, it can produce a fruit bigger than the original seed you planted. So, I don’t think they are quarreling with each other, but I think, in a democracy, we try to establish a policy and if it is not possible within the party, you can come out and try your own. Reality has dawned on us today that, unless we come together, there is no way we can be able to have enough strength to deal with the PDP.

    Now that the new party has been born, what is the fate of ACN, ANPP, CPC and APGA?

    That is the essence of it; it is a matter of sacrifice. We are going to surrender our certificates to the Independent Nigeria Electoral Commission (INEC) and we stop being called ACN. Also, CPC will surrender its own certificate and it will stop being called CPC. The ANPP will also surrender its own certificate to the INEC and they will stop calling themselves ANPP, while APGA will do the same and from there, a new party is born. And nobody will know himself as either ACN, ANPP, APGA or CPC; we will all be known as APC. So, all we need to do is to fine-tune and recognise that APC has been born. And no matter how you look at it, any funny name you may call it, it will cure any type of ache. Some people call it armoured personnel carrier, I will tell you, it is meant to destabiliee enemy at war. So, it depends on the way you look at it. To me, APC is a fighter; either a fighter of an ailment or fighter of war. This is a political war we are going to fight and APC will be handy in getting them down. The moment we fine-tune this platform, which we are building now, nobody will call himself ACN, CPC, ANPP, APGA again. We will all know ourselves as APC and there is going to be equality of membership.

    A section of APGA has said that it is not happy with the merger. What is your reaction to this?

    In any democracy, there is no way you won’t have a similar thing. Honestly, I was a little caught unaware because we never had prior discussion with the APGA, but because everybody sees the need for it. APGA is also a party of the winners and they don’t want to be left behind; that was why they jumped into the train. Though, it may be a shock to some of the members of the party, but we allow everybody to go back to their various parties and conduct a conference or a convention of their parties and announce to their members that they have adopted a new party and that they are happy with the new party.

    What form will the manifesto of the new party take?

    The manifesto committee is already working. It is going to reflect what we believe; general development of human being in Nigeria, general empowerment of the youths to destroy unemployment in the country and general development of the atmosphere. All these are what you can see in Lagos State today; neat houses everywhere, good houses everywhere. The welfare of the people will be much more better because the purpose of any government is to take care of the people. It is unlike what the PDP is doing. The purpose of government of PDP is sharing. They must share the money because all of them want to be rich in their party. So, they have changed government to market sharing. But in our own case, we are far different from them and that is why we call it All Progressive Congress. Progressive in our context means don’t govern for yourselves, but govern for the advantage of the generality of the people. That is the manifesto of the party for now.

    Do you envisage any hurdle from the INEC?

    There is no INEC hurdle other than giving them 90 day-notice that we are coming together before any election. We do that by attaching our name, logo, manifesto, our constitution and to abide by the rule of the Federal Republic of Nigeria. INEC does not have any choice in that matter than to accept and register us. We are coming onboard and, as soon as the platform is ready, INEC will ask us a question according to the law of the land and we will fill a form. That is the law; they don’t have a power on their own. INEC power is base on the law of Nigeria and we are going to create and develop the platform according to the law of Nigeria. So, when we act in accordance with the law of the Federal Republic of Nigeria, INEC has no option.

    How prepared is the new party to withstand any likely intimidation and harassment by the PDP?

    PDP is jittery already. PDP is in trouble already. PDP has been sleepless since we announced the new party. I listened to the national chairman of the party in bravado recently, that they are happy about that. I congratulate him for that courage. But with APC, 100 per cent votes in a state will not be possible again because all of us will defend our votes. I am sure we will all be everywhere in the country. Look at the party, look at the structure, and look at how it was formed. APC is everywhere in all the nooks and crannies of the country. It is not a tribal party; it is a national party. And the moment you have everybody in a party like that, voting wrongly with impunity will be checked.

    How is the party preparing for the challenge of party leadership composition at the federal and state levels?

    Currently, I am the national chairman of the Action Congress of Nigeria (ACN). If by tomorrow you ask me to be a local government auditor of the party, happily, I will take it because the post is not the issue, but the purpose is what we have to contribute to the making of the development of the people of Nigeria. So, I don’t think anybody will be dragging anything. In case you don’t know, we don’t pay salaries to officers, unlike the PDP. So, it makes it comfortable for us to adapt to any situation we find ourselves. As the national leader, if they ask you to go and do local government assignment, you quickly go and do it because no money is attached to it that will make you say you don’t want to leave the post. That was the way we were trained in the UPN and AD and that is the way we have been carrying on in the ACN. That same culture we are going to adopt in the APC We are not struggling for money. At our age, what money do you think I will be struggling for? So, I can assure you that there will be no power tussle in APC leadership.

    Observers are saying that the choice of the presidential candidate and his running mate could generate tension in the APC. How would this be resolved?

    That will not create problem because we are all having our eyes on the youths for most of our offices. Look at most of our people in the Senate and in the House of Representatives , even governors. They are all young people and I believe that this will be the the case in the APC. We will use the young ones so that they will be able to be the architect of their own future.

    PDP said that, by forming the APC, you are heating up the polity. How would you react to this allegation?

    If that is the way they see it, then, we are getting at them. They are becoming afraid. They are nervous. They heat is on them. They are already feeling the heat. I think I am proud about that. The opposition is giving them the heat.

    Can APC dislodge PDP in 2015?

    PDP is already dislodged. The people are angry with the PDP and that is why they are unable to move on. Do you see them doing anything? The economy is in shambles; they cannot even make roads, they can’t build infrastructure, they cannot make peace, and so, they are already in trouble. When you enter an examination hall, and all questions are difficult to answer, you know you have failed already. You look at question number one; it is difficult, two, beyond you, number three also beyond you. There in the examination hall, you have seen your result that you have failed. The paper we put before the PDP is to make peace and create peace for Nigeria, but it is too difficult for them, they can’t do it. Improve economy, they don’t know where to start. They don’t know how to do it. Education is in trouble. Unemployment is rising and many more crises in the country. So, they are confused. As all the oppositions are now together, it’s added more to their tension so, they are in trouble with the formation of APC.

    PDP is threatening to capture Lagos, Osun, Oyo and Ekiti in the next elections. What is your reaction?

    PDP is fond of boasting. I don’t comment on boasting because PDP lacks ideas and they believe that taking over is a matter of a boasting. Thank God, Nigerians are determined to dislodge them across the country. Tell me their stronghold; I don’t know where in the country that the PDP is strong. I only know that PDP is very strong in the INEC, they are very strong in the police, and they use the combination of the police and the security agents at elections. Apart from that, I don’t know where PDP is strong and I don’t see where somebody will come out in public and say he is proud of PDP, apart from the people who are stealing our oil money.

    What is your reaction to the centenary celebration of Nigeria’s amalgamation?

    Do we have anything to celebrate? Only the senseless people will be counting age. It is not how old you are now, it is how well. Nigeria is not healthy at 100. So, what are we celebrating? A country is supposed to live for thousands of years and, if it is not healthy at 100, we can call such a country a ‘sickle seller’. That means a country that may not live, and that is why APC is formed so that Nigeria will not be killed by the PDP. They love spending money and celebrating triviality. Centenary or how do you call it? To me, it is a celebration of triviality. So, there is nothing to celebrate in Nigeria yet.

    The ethnic nationalities have been clamoring for a Sovereign National Conference for years, but we are yet to see any action in this regard. Does it means that it will not hold in our life time?

    Honestly, I don’t believe in a Sovereign National Conferences, but I believe in conferences. You may not understand the difference. Let me tell you, in a Sovereign Conference, whatever you say is law. Whatever you say must be obeyed. So, how do you select people that will sit and decide those things? But I believe in conferences and that is what we have started. There are some fundamental issues that must be resolved before such conference can be held. I believe in conferences so that we can come together to solve those problems and decide on what to do so that no decision will be imposed on the people. Honestly, I don’t really support it.

    Now that the National Assembly is set to review the 1999 Constitution, what are your expectations?

    I don’t think the National Assembly will achieve much because the bases are just not there. I think what the National Assembly should do now is to look at how to strengthen the electoral system, particularly the registration of the electorate. Anything that will make the votes fraud-free is what should be done. In a country where the population is about 150 million, and we have voters registration of about 150million, we know something is wrong with that. So, I think if they make finger print of the registration biometric, we will have the kind of what we have in Ghana, where they did not finish the voting the same day and they started the following day. Until they make our registration biometric, the review of the constitution cannot take us to anywhere.

    Does the likelihood exist that the two factions of Afenifere will reconcile?

    I don’t know if Afenifere still exists, but I know of Afenifere Renewal Group. What I mean by that is that the Papa Afenifere is gone and it is gone forever, but the baby Afenifere is growing and that is what I expect in any society. When the elders are old, they encourage the youths to start putting themselves together so as to start where the elders ended. So, the Papa Afenifere is gone and gone forever, but the Afenifere Renewal Group is alive and becoming energetic. They have achieved what the Afenifere could not achieve, in terms of regional integration idea.

  • Don’t let merger fail, Osun, Ondo ACN urge leaders

    THE Osun State chapter of the Action Congress of Nigeria (ACN) yesterday urged the leadership of the All Progressives Congress (APC) to do ensure its success.

    Its Director of Publicity, Research and Strategy Kunle Oyatomi said: “Progressives in Nigeria are anxious to stop the rot and degeneration in the polity and this merger could well be the last hope for the teeming masses of our country men and women who long earnestly for change.

    “The leadership of APC should have history on their minds, so they don’t fall victim of the same mistakes that led to failures in similar mergers of the past.”

    Oyatomi spoke in statement issued yesterday in Osogbo, the state capital.

    The statement reads: “Total commitment is needed from the leadership to bring about change without which things could go worse.

    “This merger is what the Nigerian public is hoping for, to alter the government of graft and corruption that has completely stall progress and impose poverty on the people and a country that has no business being poor.

    “Nigerians look up to the APC to make the difference between the insanity we have in the country now and progressive development of our people as well as economic infrastructure. It is a grave responsibility for which failure is not an option.”

    The party therefore expressesed its total commitment to, and confidence in the leadership of APC and also congratulates all the leaders who are participating in the merger and are prepared to make the necessary sacrifices for the ultimate good of the country.

    In Ondo, the party’s Publicity Secretary, Mr Rotimi Agbede , said the ACN will place the party in good stead for future endeavours.

    Agbede spoke of a plan by the ACN to do a tour of all local government areas in the state to assess the situation and drum up support for the party.

  • PDP greets opposition parties on merger

    PDP greets opposition parties on merger

    The Peoples Democratic Party has congratulated the opposition political parties for their successful merger and the formation of All Progressives Congress.

    In a statement in Abuja, the National Publicity Secretary of PDP, Mr. Olisa Metuh, said that PDP as a ruling party and the biggest in West Africa welcomed the development.

    Metuh said the action was an indication that the nation’s democracy had come of age and was deepening.

    He said that with the formation of the APC, the PDP and Nigerians expected to see robust debates on the economy and other issues of governance in the general interest of the country.

    The publicity secretary advised the opposition parties to use the vehicle of their new party to challenge its elected and appointed officers to debate on government projects and achievements.

    He said that such debates would benefit Nigerians and enhance the political development of the nation on the long run.

    The News Agency of Nigeria reports that four major opposition parties – the Congress for Progressive Change, Action Congress of Nigeria, All Progressive Grand Alliance and All Nigeria Peoples Party on Tuesday merged to form the APC.

    The PDP spokesman said the party was ready at anytime to debate on the nation’s economy and other issues that would move the nation forward.

    He said, “We charge the opposition to use the new party to challenge our elected and appointed officers on debates on issues of governance.

    “We are ready, willing and able at any time to debate on any issue pertaining to the economy and any other issue of governance.

    “We want useful and constructive debates so that at the end of the day, Nigerians will be the utmost beneficiaries.”

    He said that PDP, as a ruling party was committed to the stability and development of the country, and would not dwell on the shortcomings of the merger arrangement.

  • Opposition Senators back APC

    Opposition Senators back APC

    Opposition Senators on Thursday threw their weight behind the formation of the All Progressives Congress (APC) by four major political parties in the country.

    Senators on the platform of the Action Congress of Nigeria (ACN), All Nigeria Peoples Party (ANPP), All Progressive Grand Alliance (APGA), Congress for Progressive Change (CPC) and Democratic Peoples’ Party (DPP) announced their support for the merger at a press conference in Abuja.

    Senator George Akume, who spoke on behalf of the other Senators at the press conference, said that they met and discussed the ongoing merger talks among the progressive parties in the country.

    Akume, who is also Senate Minority Leader, said that they observed that the merger is aimed at salvaging the political, social and economic situation in the country “with a view to rescuing our nation from the rot and corruption bedeviling her and from the fangs of Peoples Democratic Party’s maladministration.”

    “As representatives of the people, we Senators of the earlier mentioned political parties have all agreed to work enthusiastically in support of this national redemption project, which is a step in the right direction.”

    ”We support our leaders; we applaud their wisdom and patriotism in their epochal drive to stem this declining tide.

    “We also appreciate the courage of our governors.

    ”We call on all the members of our parties in our senatorial districts, our political associates and followers to work assiduously towards the realization of this national redemption project.

    ”All progressive minded Nigerians are called upon regardless of political platform to join this progressive political train.

    ”It is our faith that this collective national redemption project will lead Nigerians to realise the dreams of our founding fathers to have a country that works for all and sundry. God bless the Federal Republic of Nigeria,” Akume said.

     

  • Merger: Opposition parties should go for it

    Merger: Opposition parties should go for it

    SIR: Perhaps we all do not know that the future of our democracy and, indeed, the future of Nigeria’s political and economic strength lie in the strength of the political opposition. By political opposition, we certainly would not mean a particular political party or parties today but whichever party may be in the opposition in the future that is virile enough to be an alternative choice of the electorate in a presidential election.

    As at today, Nigeria does not have a political party which can boast of being an alternative government at the centre, and, so, we are yet to have a political opposition in the real sense of it. What we run is a one-party system disguised in an ostensible multi-party system.

    Because of the absence of a virile opposition, the progress Nigeria has recorded so far has come only by trial and error or by sheer luck, so much so that all our visions as a nation which are aimed at self-sufficiency, stable electricity, standard road networks etc. have come as mere jokes.

    An unchallenged ruling party would run at its own pace, if it does not become dictatorial or absolute in the process, and the whole nation would be at its mercy, waiting helplessly, regardless of the electoral rituals of four-year intervals.

    A multi-party system which is not able to achieve anything better than this for a nation cannot be said to be an evolving, let alone perfect, democratic system.

    It is in the light of this that we must rightly view the current moves by the A.C.N, C.P.C and A.N.P.P to merge into one political party as a nationalistic proposition, whether or not they are able to topple the P.D.P at first attempt in 2015.

    While plurality or mushrooming of political parties portrays a people as free and imbued with fundamental human rights, it also portrays them as purposeless and unserious. If power, truly, is the goal of political parties, then plurality or mushrooming of political parties can even be stupid and reflective of our lack of unity as bane of nationhood.

    We all need to realize this bane and rise up to prevent it; to cure the inadvertently designed self-retardation. It is gratifying that the A.C.N, C.P.C and A.N.P.P are taking the merger initiative today as it should be, as against the creation of two-party system by a decree during the Babangida military regime.

    •Jide Oguntoye

    Oye-Ekiti

     

  • ‘Merger ‘ll guarantee development’

    ‘Merger ‘ll guarantee development’

    A  chieftain of the Action Congress of Nigeria (ACN), Prince Khalid Olabisi, has said that the proposed merger involving the ACN, Congress for Progressive Change (CPC), and All Nigeria Peoples Party (ANPP) will guarantee speedy development. He said the merger is not only aimed at wresting power from the ruling Peoples Democratic Party (PDP) , but to ultimately make the country attain the much-needed greatness.

    Prince Olabisi said the achievements recorded by governors in the states controlled by the parties have shown that, if they form the government at the centre, genuine development would be replicated in every part of the country.

    He lamented that the PDP had failed to give the country genuine leadership capable of resolving the present socio-economic and political quandary.

    Olabisi, who was the House of Representatives candidate for Saki West and East Federal Constituency on the platform of the ACN in the 2011 general elections, said that the beauty of democracy is realisable only when those elected by the people become conscious of the need to give the electorate effective and selfless representation.

    He blamed the PDP government for not harnessing the great resources available in the country to improve the well-being of the people. He stated that the level of poverty in the land is as a result of the incompetent leadership fostered on the people by the PDP led government at the centre.

    Olabisi noted that poverty and unemployment have become more pronounced among the people because the government has not made any genuine efforts to empower the masses to become self-reliant or employers of labour.

    “Unemployment and poverty have continued to take a toll on Nigerians. This raises a critical need for the Federal Government to take record of unemployed Nigerians and immediately develop a road map for the employment of some and empowerment of others,” he said.

    On power, he said the current 4,500MW of electricity being generated and distributed is inadequate for a country of 150 million people. “As electricity is one of the infrastructural facilities that are catalysts for national development, the Federal Government should continue to deliver on its promise of steady and sustainable electricity supply to all Nigerians.”

    He maintained that “power has a multiplying effect on the economy. With availability of electricity, most people would become self-employed. Artisans would contribute to the growth of the economy. This, invariably, will reduce the level of criminality in the society. The power sector should be improved in order to enhance small-scale businesses.

    “Wealthy Nigerians who have stashed funds in foreign banks should repatriate such funds for the purpose of investing them in Nigeria in order to create employment opportunities,” he urged.

  • On parties’ merger and realignment

    On parties’ merger and realignment

    The ultra-democratic supposition that majorities necessarily midwife the truth has few enthusiasts these days. We can be grateful that almost the sum of Nigeria’s opposition parties have thus far averted many blatant errors in their bid, this time around, to merge as a progressive party to replace Peoples’ Democratic Party (PDP), but there is always the danger that it could someday force a compromise that will prove fatal.

    The history of all the parties involved in the ongoing merger talks abound in examples of this process of merger cum renewal. The Action Congress (AC) under the leadership of Asiwaju Bola Ahmed Tinubu before the 2007 Presidential and gubernatorial elections absorbed and gently domesticated the populist impulse that gave birth to the ACN. Much later, the ACN after 2007, co-opted most of the views that had been championed by Asiwaju Tinubu’s progressive thoughts and action in that year.

    These were the acts of a party out of national power, seeking to make fresh alliances for the struggles ahead. It was not surprising, therefore to find certain elements in the Peoples’ Democratic Party (PDP) South-west zone, in the early 2007s during a period out of power, reaching beyond its previous power bases and seeking to join hands with new socio-political forces in the South-west.

    The evidence is fast accumulating that the time for a party realignment that will accommodate the progressive elements within the PDP may at last be ripe. In the National Assembly especially, the failure of the present ruling party to reflect adequately the political desires of a majority of voters is painfully manifest.

    Since the beginning of the Fourth Republic in 1999, the Peoples’ Democratic Party has had majorities in both the Lower House and the Senate, yet this overwhelming predominance has resulted in few policy initiatives that can with any seriousness, be regarded as expressing the will of a majority of the Nigerian people, or even any specific proclivities of the party. The opposition parties with the National Assembly spectrum reaching from ACN to CPC and others have stood for just about everything for our nation, while the PDP in their generality have responded by standing for practically nothing. The result has been that neither of them, taken all in all, has stood for much of anything.

    In presidential terms, the performance of the ruling party at the centre has been proved to be the worst in the annals of governance in Nigeria.

    Might not a realignment of the parties be brought about in which the “liberal/progressive” values endorsed by so substantial a proportion of the population find expression in a party specifically designed to express them?

     

    It is not a new idea, on the contrary, I shall demonstrate that exactly such a political movement has been on the very verge of success in this country slouching around Bethlehem, as it were, trying to be born. Once it came to the brink of realization only to be thwarted by the black mischance of the PDP assassin’s bullet. On another occasion the liberal/progressives themselves, momentarily yielding to the temptation of what appeared to be expedient compromise, threw away a golden opportunity. The attempt being made now for all the liberal/progressive forces to unite and promptly sweep everything before it is welcomed as this is certainly the right time to build a new party together to reflect the true distribution of political forces. Many observers believe the time is opportune for a new major party consciously designed to free PDP’s hold on the jugular of the Nigeria masses’ vein.

    Ideally, the new party to be announced with whatever name that will be attached to it, should originate and grow spontaneously, without reference to the presidential candidacy of any particular individuals. Certainly it must never be allowed to become merely the lengthened shadow of a single man. But in practical terms, the party ought to be able, almost from the very outset, to point to reputable and responsible individuals who at least might, if the circumstances were propitious, accept its presidential and vice-presidential nominations. “You can’t beat somebody with nobody” is one of the oldest and soundest rules in politics, and such essential tasks as recruiting personnel and raising funds for the new party will be well-nigh impossible if there is no one visible on the horizon who at least might make a plausible race for the presidency under its banner.

    Above all, let us restore to generations yet to come, the old and all-but forgotten pride in this country and its heritage. Let us give still further solid and visible grounds for that pride, by making the nation’s streets safe, eradicating corruption from our systems, and let there be light perpetually in the country. Let us make way for ability wherever it exists and remember our obligation of compassion, where it does not.

    We reject the counsels of demagogues who promise something for nothing, and will speak instead the truth, even when it hurts. Above all, we will restore to the Nigerian political process some part of the joy and optimism it has lost.

    For if we succeed, we will have accomplished a mighty thing. We will have reversed in Nigeria, where it counts most – the whole downward-spiraling tide of the 21st Century. There is no reason why this century’s great experiment with freedom must end in failure. It was men and women who created the opportunity, and they who have botched it; and they can rescue it, even now, if they only will. It is up to us, and the means are at hand, a large and devoted majority of the Nigerian people, and a new majority party, under tested leaders, ready to express their will. Together they can save, and formidably reinvigorate our beloved and imperiled country.

     

    • Engr. Shoyebo is the author of the book: “WANTED – Genuine and Patriotic Nigerian Politicians”