THE NATION THURSDAY, MARCH 1, 2012
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NEWS Govt approves 100 rice mills •Okays N9.05b for port rehabilitation From Vincent Ikuomola, Abuja
THE Federal Executive Council (FEC) yesterday approved the establishment of 100 large scale integrated rice mills across the country. They are to be built in the next 12 to 18 months as part of some deals recently sealed by the Federal and Chinese governments. The Federal Government recently dispatched a team led by the Minister of Finance, Dr. Ngozi Okonjo Iweala to China for investment discussion. Agriculture Minister Dr. Akinwumi Adeshina told reporters on the outcome of the weekly Federal Executive Council (FEC) meeting. He spoke in the company of Information and Communications Minister, Mr. Labaran Maku and Senator Idris Umar (Transportation). Adeshina said the decision was part of the Federal Government fiscal policy of achieving self-sufficiency in rice production by 2015. Nigeria imports 2.1 million metric tons of milled rice. Adeshina said an agreement was reached with the Chinese government and investors on accessing “low interest, highly concessionary long term financing to acquire the mills which would also be private sector-driven. The mills will process 2.1 million metric tons of rice (Thai grade quality), the minister said, citing the issue of stones broken rice as the bane of local production. He said: “This will for the first time in history, allow Nigerians to have the full milling capacity for all the rice they import. Also yesterday, FEC approved the rehabilitation of Julius Berger Terminal at the Old Warri Sea Port in Delta State. Umar, who dropped the hint, said the N9.046 billion contract was awarded to Julius Berger Nigeria with a completion period of 25 months. He said: “It involves a complete rehabilitation of the existing dilapidated structure at the terminal.”
Senate seeks suspension of new number plates
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HE Senate yesterday took up issues with the new scheme of driver’s licence and vehicle number plates by the Federal Road Safety Corps (FRSC). It advised FRSC to suspend the implementation of the scheme. The lawmakers mandated its Committee on Federal Character and Intergovernmental Affairs to conduct a public hearing on it. This followed a motion by Senator Dahiru Kuta (Niger East) and 19 others entitled: “Hardship occasioned by the new number plates and driver’s licence scheme of the FRSC.” Senator Kuta urged the Senate to note that the FRSC is a creation of the Federal Road Safety Corps (Establishment, etc.) Act Cap F19, laws of the Federation of Nigeria, 2004. He said the FRSC enabling Act empowers the Corps to, primarily, prevent and minimise accidents on
•‘Motion faulty’ From Onyedi Ojiabor, Assistant Editor and Sanni Onogu, Abuja
the highways and clear obstructions on any part of the highways and educate drivers, motorists and other members of the public on the proper use of highways. He said the corps was not established principally as a revenue generating agency for the states or Federal Government. Kuta observed that the FRSC in recent times had embarked on frequent and arbitrary introduction and re-introduction of vehicle number plates and driver’s licences. He also observes that the new drivers licence which it launched last year is now issued for N6,000 up from N3000 while the new number plates has suddenly jumped from its original N5,000 price to N15,000
with those of trucks and other categories of vehicles put at between N20,000 to N40,000. The FRSC, he said, will ultimately be generating N2 billion yearly as its own share of the new scheme. Kuta said that he is aware that the agency has adduced, among other reasons for the new price regime, the need to enhance the integrity of drivers and the creation of a database that will check terrorism. “The administrative cost of the project is also one of the reasons proffered as being responsible for the high cost of the licences and number plates,” Kuta added. The lawmaker said Nigerians are financially impoverished and therefore find the amount exploitative, prohibitive and insensitive, for a population that is al-
ready facing the challenges of a harsh economic condition.” He said that he is also worried that the August 31 deadline issued by the agency for the enforcement of the new scheme is not feasible because the current demand for vehicle licence surpasses supply and thereby subjecting applicants to wait for as long as three months after payment before receiving number plates. Senate President David Mark wondered what was wrong with the existing number plate to warrant its change. Mark said: “The same road safety introduced this existing number plates, what is wrong with it and why are they changing it. “Why has revenue generation become the main function. “Nobody says they are not doing anything but the idea of generating revenue should not be their major fo-
AMCON takes over debtor firm
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•Lawyers, policemen and court bailiffs taken possesion of the oil firm...yesterday PHOTO: DAVID ADEJO
HE Asset Management Corporation of Nigeria (AMCON) yesterday took possession of some property and assets owned by one of its debtors, Tonique Oil Services Limited. AMCON’s decision was sequel to orders for possession granted ex-parte on February 21 by Justice Okechukwu Okeke of the Federal High Court, Lagos. The corporation executed the said orders on Tonique Oil’s premises in Ikoyi and Gbagada, Lagos state with the assistance of law enforcement agents, lawyers and court bailiffs. The properties were pledged by Tonique Oil as security for the loan it obtained from Skye Bank Plc. Tonique is said to be owing over N200million. AMCON said it had purchased the said loan from the Skye Bank as Non-Performing Loan, the oil services firm being a defaulting
Kogi: Court joins two suits seeking Wada’s removal
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N Abuja Federal High Court yesterday consolidated two suits seeking to remove Kogi State Governor Idris Wada from office. Justice Donatus Okorowo said the court is empowered under its rules to consolidate related suits when it appears that such matters have similar facts. Two chieftains of the Peoples Democratic Party (PDP), Oyebode Makinde and Jibrin Echocho are urging the court to quash the swearing-in of Wada as the governor. Echocho won the governorship primary held in January, last year before the Independent National Electoral Commission (INEC) postponed elections in five states including Kogi. The action followed an Abuja Federal High Court’s verdict which held that the tenure of the five governors is beyond May 29, 2011 having won rerun elections. When the commission released a new date for the elec-
cus.” The FRSC criticised the Senate’s position on the new vehicle number and driver’s licence acquisition process. It absolved itself of any blame over the implementation of the new procedure. A former member of the board, who preferred not to be named, observed that the deliberation on the issue by the Senate was not originally listed. He said the matter suddenly came up. “Senator Kuta, who raised the motion visited the FRSC on November 22, last year and referred to FRSC as one of the fastest growing agencies. “It should be noted that FRSC can not stop states from selling number plates or process driver’s licence. Why castigating FRSC when it was the states that fixed prices? Why calling for public hearing after castigating FRSC? Is that not setting the public against FRSC,” he queried.
From Kamarudeen Ogundele, Abuja tion, Kogi PDP conducted fresh primary election in September in which Wada won. Wada eventually defeated the candidate of the Action Congres of Nigeria (ACN), former governor Abubakar Audu in the main election. At the last sitting, counsel to Echocho and Makinde; Wole Olanipekun (SAN) and Alex Iziyon (SAN) argued in support of the consolidation while counsel to Wada, Chris Uche (SAN) objected. Citing Order 11,Rules 1 of the Federal High Court, Justice Okorowo held that matters may be consolidated suo moto. “The primary consideration is the interest of justice, the principal parties here are the same, the plaintiffs in the two suits are members of the same party from the same state. “The defendants in the two suits are almost the same, the reliefs sought arose from the Kogi governorship election
and the basis for instituting the suits is the judicial pronouncement of the Supreme Court. “It is therefore safe to say that there is a ground to consolidate the two suits,the suits are hereby consolidated”. Granting accelerated hearing, the Judge pointed out that the action is constitutional importance and “it is important that the issues be determined expeditiously. He also abridged the time for filing of processes. He ordered the Plaintiffs to file and serve, if any, other sundry and outstanding issues within three days, the defendants have seven days to respond, while the Plaintiffs have three days to reply on point of law. Justice Okorowo, also yesterday directed parties to address the court on whether it has jurisdiction to interprete the decision of the Supreme Court. The Supreme Court had in its January 27 Judgment upturned the decision of the Court of Appeal and declared that the tenure of five gover-
nors had expired since May 28, last year. Affected by the judgment were Governors Ibrahim Idris (Kogi), Timipre Sylva (Bayelsa), Liyel Imoke (Cross-River), Aliyu Wamako (Sokoto) and Murtala Nyako (Adamawa). Shortly after the judgment, the Attorney General of the Federation and Minister of Justice, Mohammed Adoke (SAN) issued a statement directing that the states’ Speakers should be sworn in as acting governors. Although the Kogi Speaker was sworn in as acting governor by the Chief Judge, Wada was also on the same day sworn in by the President of the Customary Court of Appeal as governor. Following intervention of the Presidency, Wada was retained as the governor while the Speaker was asked to quit as acting governor. Echocho is asking for an order setting aside Wada’s swearing in and for an order directing INEC to conduct a fresh election pursuant to the Janu-
ary 27 judgement of the Supreme court. He also wants a declaration that INEC which is an institution established by the Constitution is under a duty to obey and comply with decision of the Supreme Court delivered on January 27. The plaintiff further wants the court to declare that INEC being the appellant in appeal between INEC (as appellant) v Alhaji Ibrahim Idris(as respondent) which prayed the Supreme court to decree and declare that the term of office of the last holder of the office of Governor of Kogi state constitutionally lapsed on 28th May,2011 by the virtue of Section 180(2) of the Constitution and which appeal/ reliefs the Supreme court allowed cannot rightly and in good conscience be heard and allowed to jettison or misinterprete in any way the said judgement of the Supreme Court to again defeat the clear wordings of Section 180(2) and (2A) of the same Constitution.
By Eric Ekhilae customer of the bank. It said the court orders were granted pursuant to AMCON’s special powers under its enabling Act. It added that the AMCON Act allows the Corporation to take possession of assets of recalcitrant debtors while the recovery action is pending in the court. The ex-parte orders and mareva injunctions freezing the company’s accounts in about 21 banks are to subsist pending the determination of the substantive debt recovery suit initiated before the Federal High Court by the corporation pursuant to the special procedure prescribed under the AMCON Act against Tonique whose purported debt (in excess of N200million) remained unpaid after several demands. AMCON had earlier this year urged all its debtors and other obligors to pay up on their debts or come forward with acceptable repayment proposals. It advised debtors and other connected obligors to disabuse their minds of any erroneous notions that such debt obligations will not be vigorously pursued and enforced by the Corporation. The Corporation had noted that its primary focus last year was in assisting with financial system stability, by the recapitalisation of hitherto weak banks, and the derisking of the books of Nigerian banks in accordance with its primary functions and objects under the Asset Management Corporation of Nigeria Act, 2010 (AMCON Act). AMCON said it now intends to focus, in 2012, on the most critical statutory imperative of recovering and realising debts owed to it in consequence of its statutory acquisition of non-performing loans from Nigerian banks. It said it has engaged 70 professional valuers to determine the appropriate values of assets and properties of borrowers transferred to it through loan-purchase agreements with banks.