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Tag: Sen. Hope Uzodinma

  • N30trn revenue scam: More companies are complying – Senate

    N30trn revenue scam: More companies are complying – Senate

    The Senate Committee on Customs, Excise and Tariff and Marine Transport has vowed to continue its ongoing investigation into alleged N30 trillion revenue scam in the import and export chain.

    The Chairman of the committee, Sen. Hope Uzodinma, made this known while briefing newsmen after its investigative meeting with some of the companies on Wednesday in Abuja.

    He said the interest of the Senate in the investigation was to assist the executive in recovering monies trapped in the import and export chain.

    He said “there are allegations that the investigation is borne out of personal interest.

    ”Once a senate committee passes a resolution such as this, it cannot be termed as decision of a single senator.

    “You may not like my face as a person but it is important to look at the credibility of the work we are doing.

    “We need to sanitise the import and  export circle to ensure that trade is facilitated and non-oil revenue is recovered and strengthened.

    “In that manner, government will not rely so much on oil.”

    The lawmaker further said that while some had alleged that the  investigation was a sham, some of the indicted companies had started refunding monies running into billions of Naira to Federal Government.

    ”As a result of this investigation, banks which are the authorised dealers in the export and import chain have been making effort to remit everything collected by them to the Central Bank.

    ”We are doing this on a friendly note because we do not want to send a wrong signal to the market.

    ”Although more funds other than the N120 billion I announced sometime ago have been recovered, we do not want to send wrong signal.

    “We are limited to speak further on how much has been recovered so far.

    ”However, we will definitely come up with figures recovered at the end of the investigation.”

    Uzodinma explained that the committee was saving the figures till the end of the investigation because some of the companies were quoted on the Capital Market.

    According to him, revealing the figures will send panic to the market.

    He also explained that the committee resorted to interfacing with individual companies rather than meeting with them in group to enable them to open up to the committee.

    Uzodinma said the strategy had yielded positive result, particularly in recovering trapped funds.

    “The companies are now free to admit and some of them have promised to make payments.

    ”Today alone, three companies came with receipts of payment.

    ”If we did not embark on this investigation, we would not make these recoveries.

    ”Through this investigation, we have helped the Federal Government to recover some money and we are sure that government will recover more money because we have detailed information that will aid more recovery.

    ”The companies are no longer contesting most of the documents of infractions we confronted them with.”

    The chairman called for the support of relevant stakeholders including the media in the ongoing investigation.

    He explained that the country would not be able to make the necessary progress if Nigerians were not committed in ensuring that national interest was continually protected.

    He said though Nigeria was populated enough be known as giant of Africa, there was need for commensurate commitment by Nigerians.

  • Revenue scam: ‘Fraudsters impersonating Senate committee members’

    Revenue scam: ‘Fraudsters impersonating Senate committee members’

    The Senate on Thursday alerted the public that some individuals were impersonating members of its committee investigating alleged N30 trillion import and export chain scam.

    The Chairman of the Joint Committee on Customs, Excise and Tariff and Marine Transport, Sen. Hope Uzodinma, raised the alarm in a statement in Abuja.

    He said the impostors were parading themselves to the companies being investigated over the alleged fraud as staff of the committee in order to extort money from them.

    Uzodinma said: ”Let it be made abundantly clear that our committee has no person or agent holding brief for us on this all-important national assignment.

    ”Any individual or individuals claiming to be staff of the committee and soliciting favours or asking companies to pay money are impostors and criminals who should be promptly reported to relevant security agencies and promptly arrested.

    ”The committee was set up by the Senate with a strong mandate to investigate infractions leading to massive revenue leakages at the nation’s ports and help government recover those funds.

    ”Our mandate is not to serve as revenue collection agency for the Federal Government, but to unearth infractions and subsequently direct the Nigeria Customs Service (NCS) and other security agencies to recover such funds.”

    Uzodinma called on all companies currently under investigation by the committee to be fully guided.

    NAN

  • N30tn revenue probe: Senate may issue arrest warrant on Glo CEO, others

    N30tn revenue probe: Senate may issue arrest warrant on Glo CEO, others

    The Senate Wednesday threatened to issue warrant of arrest on Chief Executive Officer of Glo Mobile and other firms  that fail to honour  its invitation on alleged complicity in N30 trillion revenue probe.

    The CEOs of British American Tobacco Company, CCEC Nigeria Ltd, Dana Group, African Wire and Allied Ltd, Admiral Overseas Nigeria Ltd and Aarti Steel Nigeria Ltd. were equally issued the warning.

    Others are Gagsel International, Fries Land Capina, Etco Nigeria Ltd, Encounter Ltd, Edic Chemicals &Allied Distributors Ltd, Don Climax Group, De United Foods

    The Chairman of the Senate Joint Committee on Customs, Excise and Tariff and Marine Transport, Sen. Hope Uzodinma, gave the warning at an investigative meeting with some of the firms on Wednesday in Abuja.

    He said the refusal the firms to honour the invitation was a disrespect for the institution of the National Assembly and would not be tolerated.

    Uzodinma said that of the 30 firms invited for the investigative hearing between Tuesday and Wednesday, only 14 appeared before the committee.

    He said that the CEOs are expected to cut short whatever engagement they have to honour the invitation in view of the magnitude of the investigation.

    Uzodinma said, `It is only in Nigeria that the Senate will invite an entity for an interactive session, particularly in a case that bothers on investigation, financial mismanagement, infractions and the company will be complacent.

    `The companies will not be willing to come or sometimes send junior officers.

    “I have directed and we are working with security agencies, that any company that is invited and has something to explain and refuses to appear, we will issue a warrant for such persons to be arrested.

    “We are giving them the final opportunity to appear and if they fail, we will issue a warrant.

    “In this investigation we are working with the Nigeria Police Force.

    “This is because we are using their facilities to process some of our data so that the information we will present to the public will be information with high integrity that will not be questioned by anybody.

    “We have directed that they must come tomorrow, Thursday unfailingly.’’

    Uzodinma told the firms that were present at the meeting that they would be given documents arising from the investigation carried out by the committee to study and comply.

    The documents, he said, specified the various forms of infractions carried out by each of the firms involved in the import and export value chain.

    He said, `We have put everything in different categories and for category one it is unutilised Form M. You applied for Form M and approval and allocation were given.

    “But rather than import with the allocation, God knows what happened because you did not do that.

    “Then pre-arrival assessment report that was issued. You abandoned them yet you took your goods.  We do not know how you took the goods away and the money is still open in the data base.

    “Then Single Goods Declarations (SGDs) which you people did by yourself then abandoned and yet collected your goods.

    “These are all indicated in the documents we have handed over to you.

    “So, if there are such legitimate approvals, we want to see a copy otherwise we will assume that they were not cancelled in which case we will be expecting you to make payment.

    “Then classification.  We have cases where a pre-arrival assessment is carried out and a particular item is classified under a particular HS (Tariff Handbook) Code.

    “When you now go to SGD if it is a classification of 35 per cent you see that you declared five per cent instead of the 35 per cent that was issued to you.

    “So, we have worked out the difference unless there is evidence that what you shipped were no longer what came to Nigeria which we doubt.

    “Then wrong classification is another category.  That one deals directly with those bringing vehicles with reverse gear and you declare them as CKD.

    “For instance Dag Motorcycle Industries Ltd, when you bring in tricycle which has reverse gear, there are cases where they are classified wrongly.

    “All these  must be submitted by Monday so that by Wednesday we will be able to deal with definite figures on what amount of money that should be expecting to receive as unutilised Forex allocation,’’ he said.

    The lawmaker expressed concern that most approved Form Ms were not given to genuine users, leading to increasing exchange rate.

    He said the committee would ensure that Forex was given to genuine importers to strengthen the Naira against foreign currencies as well as improve employment opportunities among other benefits.

    He noted that the committee was extending its investigation to the operation of Trade Free Zone Agreement.

    “Most of you who have been importing in the name of trade free zone. Under that policy you know you have to do 30 per cent value addition.

    “But we have identified all the trade free zones that imported finished goods and those goods did not even get to the trade free zones.

    “The goods ended up in the various ware houses in Apapa and when they make the money, because there is no documentation they have surplus Naira.

    “With the surplus Naira, they in turn  buy dollar at any rate and in the process kill our  local manufacturers who really want dollar to be able to do their businesses,” he said.

    The Joint Committee on Customs, Excise and Tariff and Marine Transport had been mandated to carry out a holistic investigation into alleged N30 trillion revenue leakages in Forex and the entire import and export value chain between 2006 and 2017.

    The committee has so far met with all indicted commercial banks as well as government agencies and is currently meeting with the companies alleged to be involved in the corruption in the system.

     

     

  • Senate passes Nigerian Customs Service Management bill

    Senate passes Nigerian Customs Service Management bill

    The Senate has passed the Nigerian Customs Service Management Act (Repeal and Re-enactment) Bill, 2017.

    The passage of the bill followed a clause by clause consideration of the report of Committee on Customs and Excise on the bill as well as a voice vote by the lawmakers.

    Presenting the report, the chairman of the committee, Sen. Hope Uzodinma said the Act establishing Customs had not undergone a major overhaul since 1958.

    He said the passage of the bill would help to reposition the service which was one of the major sources of revenue generation for the Federal Government.

    He said one of the major objectives of the bill was to create a commission that would regulate and oversee activities of the service to ensure optimal performance.

    He said the bill also made provision for the appointment of a Comptroller-General from the service by the President subject to confirmation by the Senate.

    He stressed that the commission would take up most of the duties of the Minister of Finance, who was currently the head of the Management Board of the service.

    “At the beginning of this senate  a committee was set up to  identify the money bills that will help  our distressed economy and one of the bills that the senate earmarked for amendment is the Customs and Excise Management Act.

    “The primary purpose of amending this bill is to bring discipline and prudence into Nigeria Customs Service as a major revenue earning Department of Government.

    “It is also to use the services of Customs to strengthen border community and facilitate trade.

    “The Customs Act was legislated upon last in 1958. This is the first time that this bill is going through a comprehensive overhaul and it is as good as a brand new one.

    “This bill has created a Customs Service Commission that is in charge of the day to day management of the service.

    “It will be in charge of discipline, conduct, training, deployment of officers, and it has the powers of oversight the various customs operations while ensuring that it is not different from customs in other clients.

    “The Chairman of the Commission will be appointed by the President, subject to Senate confirmation and members of the commission are going to be statutory organs of government, Federal Ministry of Finance.

    “Others are  Federal  Ministry of Transport, the Central Bank of Nigeria(CBN), the Nigeria Customs Service, Standard Organisation of Nigeria,’’ he said.

    Uzodinma further said that the tenure of the Chairman of the commission would be four years with an option to renew for another four years.

    He stressed that the creation of the commission was not to jettison the position of the Ministry of Finance, adding that it was to make the work easier.

    The lawmaker further said that that with the passage of the bill revenue accruing to customs would improve significantly.

    “Currently Customs should get money from non-dutiable items and it should be able to oversee the activities of dutiable cargo and non-dutiable cargo.

    “That is what we have done. Now customs will be funded through the existing seven per cent surcharge and additional one per cent charge from the revenue generated,’’ he said.

    In his remarks, the President of the Senate, Dr Bukola Saraki, said  the bill, when assented to, would bring about the modernisation of customs procedure in accordance with the requirement of the Revised Convention.

    He said, ’’it will also ensure that Nigeria complies with international commitments of World Trade Organisation (WTO).

    “ It is a very positive development in ensuring that we have a customs administration that will be more transparent with better clarity.’’

  • Naira: Senator commends CBN over bullish intervention

    Naira: Senator commends CBN over bullish intervention

    A member of the National Assembly, Sen. Hope Uzodinma, has commended the Central Bank of Nigeria (CBN) for its effort at strengthening the Naira against the dollar.

    Uzodinma, who represents Imo West Senatorial District, told the News Agency of Nigeria (NAN) in Abuja that the recent appreciation of the naira was commendable and should be sustained to put the economy back on track.

    He called on relevant stakeholders, including government agencies, to support the CBN in taking further measures that would check the exchange rate.

    “The Central Bank of Nigeria must be supported in its efforts at bringing down the foreign exchange rate and make Naira stronger.

    “If trade facilitation is to be realised, if business will blossom in Nigeria, we need a strong currency and the key to any strong economy is predominantly based on the value and concept of the exchange rate.

    “So, if our local currency is strong, if our purchasing power is strong, it means that our economy will be strong.

    “The only way this can happen is to support the current effort of the Central Bank of Nigeria to encourage them to ensure that the exchange rate for US dollar to a naira will come up.

    “Government has a responsibility to support our policy managers and economic managers in their various policies.

    “Whatever has made the exchange rate as at today to be better than few weeks back, we have a responsibility and a duty as a matter of fact to support it,’’ he said.

    Uzodinma, who is the Chairman, Senate Committee on Customs, Excise and Tariff, urged the CBN to ensure that commercial banks complied with foreign exchange guidelines, particularly on import and export.

    “The guidelines as produced by the CBN are very straight and strict.

    “But, what has happened over the years, why is the government revenue missing, is it because of poor monitoring?

    “If the commercial banks, the importers and exporters are made to comply with the foreign exchange rate, the comprehensive import supervision scheme will be able to produce the expected result,’’ he said.