July 7, 2014 by The Nation

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13 Nigerian banks among top 1000 world lenders

HIRTEEN Nigerian banks have been lifted among the world’s 1,000 lenders. Influential magazine The Bankers stated this in its 2014 edition on the review of banks and their performance. According to the report, the banks are in attaining the feat in their second year.

By Simeon Ebulu

The Country Representative of the magazine, Kunle Ogedengbe, listed the 13 banks that made the ranking, which he said is based on Tier-1 capital, as Zenith Bank, Guaranty Trust Bank, First Bank, Access Bank, United Bank for Africa, Fidelity Bank and Ecobank Nigeria. The others are: Skye Bank,

First City Monument Bank, Diamond Bank, Stanbic IBTC Holdings, Standard Chartered Bank and Union Bank. Zenith Bank is ranked top in Nigeria at 293. GTB is next on number 415. First Bank and Access Bank stand at number 424 and 532. United Bank for Africa is ranked 539. Fidelity occupies the 622 spot. The Banker said profit on capital of three Nigerian banks that

OSUN 2014

are not foreign-owned subsidiaries increased. These are First Bank that has its profit on capital increased to 25.32 per cent from 25.13 per cent, Access Bank, from 21.19 per cent to 21.24 per cent and First City Monument Bank, 15.77 per cent from 15.07 per cent. The magazine said the share number of local banks that made the ranking, “underlines NigeContinued on page 2

•APC decries delay in release of permanent voter cards • AND •LP candidate Akinbade: I’m still in the race MORE •Aregbesola to win 80 per cent, says survey ON PAGE 9

Crisis as North threatens to quit National Conference Tight security at airports

Mistrust deepens Knocks for state creation proposal

MERICAN officials have ordered some overseas airports with direct flights to the United States to intensify screening of electronic devices. Transport officials said in a statement that passengers could be asked to switch on devices and equipment that

From Yusuf Alli, Onyedi Ojiabor and Dele Anofi, Abuja

MAJOR crisis has broken out at the National Conference —the talkshop that is believed by the authorities to be the magic pill against Nigeria’s ailments— with the North threatening to pull out. The North’s delegates have protested to the Conference’s Chairman, Justice Idris Kutigi and his deputy, Prof. Bolaji Akinyemi. Their demand: nullification of all resolutions so far taken through voice vote, which they said did not reflect the views of delegates. They insisted on “a proper ballot process” and queried why the conference’s leadership refused to use ballot boxes and papers already with the secretariat. They accused the leadership of alleged “floundering” on resolutions. The Northern Delegates Forum( NDF) hold an emergency meeting at Gombe Jewel Hotel in Abuja to determine whether to go ahead with the conference or boycott it. The displeased delegates met with Justice Kutigi and Akinyemi at the weekend. Those who represented the Northern delegates are ex-Inspector General of Police Ibrahim Coomasie, Prof. Anwalu Yadudu, Senator Khairat Gwadabe, Mohammed Kumalia; and Mohammed Bello. It was learnt that the deleWHERE ARE THE CHIBOK gates were angry over the conference voice vote resoGIRLS KIDNAPPED lutions on state police, rotaON APRIL 15? Continued on page 2

does not power up would not be allowed on board. An official told the BBC that London’s Heathrow was among the airports. From the Murtala Muhammed Airport in Lagos, Arik Air, United and Delta operate direct flights to the U.S. The U.S. announced new security measures last week, apparently in response to a terror

threat, but gave no details. Analysts say the changes appear to be in response to intelligence that Islamic militants in Syria and Yemen are developing bombs that could evade airport security. American officials said earlier that there was a “credible” threat, but did not link the security changes to any specific intelligence. The US does not directly control security at overseas airports. But airlines and airports are obliged to meet security standards set by the Transportation Security Administration (TSA) in order to carry on operating non-stop flights. The TSA’s statement for the first time gave details of Continued on page 2

Security halts march on Villa From Grace Obike, Abuja

ECURITY operatives stopped #BringBackOurGirls protesters yesterday from marching on the Presidential Villa in Abuja. The security men barricaded the road leading into the seat of power, claiming that they had been ordered to stop the protesters . They said they were not

•THE CHAMP: Novak Djokovic holds the winner’s trophy after beating Roger Federer in the men’s singles final of Wimbledon...yesterday PHOTO: AFP

•Melaye

Continued on page 2

•DMO CLEARS OSUN OF ALLEGED N350B DEBT P8 •NYAKO DECLARES HOLIDAY P12

THE NATION MONDAY, JULY 7, 2014

13 Nigerian banks among top 1000 world lenders Continued from page 1

•Kenyan President Uhuru Kenyatta (middle) ringing the bell with Chairman, Heirs Holdings, Mr. Tony O. Elumelu, Chair, Board of East Africa Exchange, Dr. Jendayi Frazer, at the launch of the East Africa Exchange (EAX) in Kigali, Rwanda. The event held during the 6th Northern Corridor Integration Summit...at the weekend.

EFCC ‘probing N2b in judge’s account’

HE Economic and Financial Crimes Commission (EFCC) has explained its on-going investigation of retired Justice Gladys Olotu formerly of the Federal High Court, Abuja and two other judges of the court. The EFCC said it was investigating the three judges over allegation that they were involved in unethical conduct, including maintaining various bank accounts and investment interests in business while still in public service. One of the other two judges serves in Abuja. The other is in the Lagos Division. The commission said its investigation was upon a petition by a group, Civil Society Network Against Corruption (CSNAC), in which Justice Olotu was also accused of maintaining an offshore account with First Bank (United Kingdom) and was alleged worth over N2billion in cash and investments. These formed part of averments contained in a counteraffidavit dated April 1, 2014 filed by the EFCC in reaction to a fundamental rights enforcement suit instituted against it and 17 others by Justice Olotu before the Federal High Court, Abuja. Justice Olotu, who was retired

From Eric Ikhilae, Abuja

earlier this year by President Goodluck Jonathan for “gross misconduct and upon the recommendation by the National Judicial Council (NJC)”, sued after she was invited by the EFCC in the course of its investigation. The commission denied allegation by the retired judge that it was being instigated by the NJC and other defendants in the case. It also denied abusing Justice Olotu’s fundamental human rights, as alleged, and stated that it was within its statutory powers to investigate and prosecute economic and financial crimes. An EFCC official, Habufari Yahaya, who deposed to the affidavit, said “in the course of investigation, certain issues arose for further clarifications, which had to do with documents and the applicant (Justice Olotu) therefore requested for time to bring them and she was obliged”. The EFCC stated that Justice Olotu is, by her suit, seeking “the protection of the courts from investigation”. It argued that the retired judge cannot “use the instruments of the law to shield herself from being investigated.” It prayed the court to dismiss

the suit as it relates to it (EFCC) with cost, on the ground that it was “unmeritorious and speculative”. Justice Olotu is seeking, among others, to restrain the EFCC, the Independent Corrupt Practices and other related offences Commission (ICPC), the State Security Service (SSS), the police and the Code of Conduct Bureau (CCB) from further inviting or quizzing her. She averred, in a supporting affidavit, that the NJC and the Attorney General of the Federation (AGF), Mohammed Adoke (SAN), were instigating the various security agencies against her for daring to challenge her compulsory retirement in a separate suit. She stated that upon the service of processes (in relation to her earlier suit challenging her compulsory retirement) on them, the AGF and, NJC “very unfortunately felt and indeed expressed anger against me”. Justice Olotu also stated that “in fulfillment of these threats, the 7th and 8th respondents (AGF and NJC) ganged up with the 9th to the 18th respondents against me, and I was subsequently invited by the 1st respondent (EFCC) to its office on

March 18, 2014. The 9th to 18th respondents include the former Chief Justice of Nigeria (CJN), Justice Salifu Alfa Belgore and Chief Gabriel Igbinedion - the Esama of Benin and father of former Edo State governor, Lucky Igbinedion. Others are companies. They include Ponticell Nigeria Limited, Stolt Offshore Services S. A., the Vessel M. V. Theo, the owners of the Vessel M. V. Theo, Elf Petroleum Nigeria Limited, A.B.C. Maritime AG, the Vessel M.V.Lara and the Vessel M.V.Krysia. Justice Olotu stated that in honouring the invitation by the EFCC, she arrived its office at about 10am on March 18, 2014 and was subsequently “arrested, interrogated and detained until about 4pm before I was released to go with instructions to come back on April 1, 2014 for another round of humiliation and detention”. She insisted that her invitation by the EFCC “was orchestrated by the AGF and the NJC along with the named 10 others. “I felt highly humiliated, tortured, heartbroken by the way and manner the officers of the 1st respondent ridiculed me in Continued on page 61

ria’s number one position in Africa, as no other African country has up to 13 in the Top 1000 World Banks.” It said the 13 Nigerian banks along with their global counterparts, “for the first time since the global financial crisis, returned profit of $920 billion which is 23 per cent more than their previous peak of $786 billion achieved in 2007 before the financial crisis,” that reverberated across the financial centres of the world, that crippled the economies of many European countries and was a major campaign issue in the US Presidential election that saw Barack Obama elected as the first Black US President. The Editor of the magazine, Brain Caplen, explained that the 23 per cent increase in profit of global banks from 2007, “is good news,” but pointed out that “the better news is that capital has also increased at a reasonable

pace, whereas assets have stayed flat. This means that returns on capital are only slightly improved but the hope is that this upturn is more sustainable than the last one,” he added. Mr. Caplen disclosed that a large proportion of the profit is from China – about 32 per cent of the total which is more than the next three highest profit countries of USA, Japan and Canada combined. Of the 25 top banks in Africa from the ranking, the highest of eight is from Nigeria, the largest economy in the continent while the United Bank for Africa is the only Nigerian bank in the top 10 highest movers in Africa. In all, Africa has 31 banks in the Top 1000 World Banks 2014 with Nigeria having 13 representing 41.94 per cent. The 31 African banks in the ranking are from nine countries: Nigeria, South Africa, Egypt, Angola, Continued on page 61

Tight security at airports Continued from page 1

enhanced screening of electronic equipment. “During the security examination, officers may also ask that owners power up some devices, including cell phones,” it said. “Powerless devices will not be permitted on board the aircraft. The traveller may also undergo

additional screening.” Reuters news agency reported that officials had singled out mobile phones made by Apple and Samsung for extra checks. The UK, France and Germany have all said they would comply with the American demands. But it is still not clear how many airports will be affected, or if passengers will be delayed.

Security halts march on Villa Continued from page 1

permitted to address the group or allow them into the Villa since no one was available to address them. Their message will be delivered to the authorities who will fix a date to meet with the group, they said. The group is pushing for more action to retrieve the over 200 girls abducted on April 15 by Boko Haram. They hurriedly organised the protest during the 68th sit-out, stating that the continued stay of the Chibok

girls in the hands of the sect was no longer acceptable. Members of the group sang solidarity songs, until their leaders, including Dino Melaye and Aisha Yusufu, came back with the report that their message would be conveyed to the authorities. Mrs. Yusufu explained that the group decided on the spontaneous march during the usual daily sitting, to remind President Goodluck Jonathan and the Nigerians that the girls missing 83 days after.

Crisis as North threatens to quit National Conference Continued from page 1

tional presidency, adoption of six geopolitical zones, deletion of local government from the Federal Constitution, nature of federalism to be adopted by the country, among others. A source said: “After last Thursday, session, the Northern delegates issued a communique rejecting all resolutions/ decisions so far taken by the National Conference because they came about through voice vote. “They alleged that sometimes, when the nays had it, the leadership will turn the result for the ayes. “They then sent the delegation to Kutigi and Akinyemi to revisit the resolutions by allowing members to vote through the ballot process. “They are demanding outright voting process on all issues to make the resolutions true reflections of the choices of delegates. They asked for the reopening of all issues.” It was gathered that Justice Kutigi and Akinyemi pleaded for understanding and assured the delegates that their complaints would be examined. “The leadership agreed that without physical counting, there was no way it could determine the real resolutions of delegates,” the source added. A member of the National Conference, Dr. Junaid Mohammed, confirmed the anger of

Knocks for state creation proposal

ORE obstacles are on the way for advocates of new states, despite the National Conference’s endorsement of their case. The conference has endorsed the creation of 18 states. But, to many Nigerians, including some delegates to the conference, this is unnecessary. According to them, creation of states is not the solution to Nigeria’s problems. Youths delegates at the conference, Nigeria Labour Congress (NLC) Vice President Isa Aremu, who also a member of the conference, Ijaw Youths Congress (IJC), House of Representatives Deputy Leader Leo Ogor, among others, rejected decision. The conference on Thursday recommended the creation of an additional state for the Southeast and 17 other states. The states are Ijebu, Aba, Katagum, Amana, Apa, Aioma, Savannah. Etiti, Njaba/ Anim, Gurara, Ghari, Adada, New Oyo, Orashi, Ogoja and Kainji. Delegates representing youths’ interest in a statement yesterday by Hassan Rilwan, Yadomah Bukar Mandara and Nnaemeka C. Ikegwuonu, said creating additional Northern delegates. He said: “This protest was not the first time that delegates from the North will raise issues with the leadership of the conference. But the audience with Kutigi and Akinyemi last Thursday was the icing on the cake. “I think Kutigi and Bolaji are behaving as if they have an agenda. Before we started, we

From Onyedi Ojiabor, Dele Anofi, Victor Oluwasegun, Abuja and Mike Odiegwu Yenagoa

states would further divide the country rather than deepen its unity. Besides, the youth delegates noted that cries of marginalisation by minority groups would be better resolved with power rotation and not states creation. They said Nigerians should be concerned with a Nigeria in good state and not Nigeria with more states. The statement said: “It was extremely embarrassing for us as delegates of the National Conference that approved the creation of 18 more states. What is happening in Nigeria? “We understand the issues of marginalisation in some states; we support innovative ways of solving it. Not creating more problems to solve a problem. “Does state creation solve the issues of marginalisation? What happens when others feel marginalised within the new states? “Are we going to have to create even more states? Except we want to create states out of the over 300 ethnic groups in Nigeria. State creation as a solution is a short cut

had to adopt our rules. The government came up with a recommendation that for a resolution to subsist, it will require the consent of 75 per cent of the delegates. “But, in the course of debate at the conference, it was reduced to 70 per cent. We agreed to bring down the threshold after two or three attempts at a con-

which is usually our way in Nigeria. “The only reason the elite may want more states is to increase ease of access to power. If that’s the case, then rotation along senatorial zones with states and local governments would have solved that. “What will solve marginalisation are responsible leaders who will take special interest in the affairs of the minorities to see that they are adequately catered for. “How did the late Sardauna of Sokoto, Alhaji Ahmadu Bello lead northern Nigeria as a whole? He did it by making sure all had a sense of belonging, which made the late Sunday Awoniyi, a Yoruba and Christian in the North, to respect him till he died. “On one hand, we say we want to reduce cost of governance and on another we want to build 18 more government houses, create 18 more recurrent expenditure centres? “We the youth of this country reject the balkanisation of our country and urge our elders to please thread with restrain. Let us not make mistakes that will prove more difficult for our children to solve. “Let us think out of the box and factually

sensus. Unless we have a physical count, there was no way to determine that all the resolutions allegedly taken had the consent of 70 per cent of the delegates. “ Any time there was a voice vote, the leadership gave a wrong verdict. For instance, while considering the report of the Committee on Restructuring, I stood up to raise observa-

Continued on page 61

tion on the voice vote but it was not allowed. They get the ayes and the nays of the North wrong.” The South’s delegates, The Nation learnt, have vowed not to allow a revisit of the resolutions already taken. A delegate from the Southwest, Comrade Yinka Odumakin, said: “The rules of the

•Justice Kutigi

conference say the conference cannot revisit any issue which decision has been taken.” Another Southern delegate said: “Those who met Kutigi did not actually represent all Northern delegates. Those aggrieved were mostly from the Northeast and Northwest. Why are they trying to arm-twist Kutigi or intimidate Akinyemi when they were part of the resolutions at the conference? “I can tell you that delegates Continued on page 61

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THE NATION MONDAY, JULY 7, 2014

NEWS

Govt workers, p

•From left: Product Manager, OTC, Mr. Femi Ajala,Astymin School Programme Coordinator, Mrs. Yetunde Adesola, General Manager, Marketing, Fidson Healthcare Plc, Mr. Ola jimakin and Corporate Services Manager, Mr. Oladimeji Oduyebo at a news conference on Astymin Brilliance Reward in Lagos. PHOTO: ABIODUN WILLIAMS

The Federal Government’s inability to improve the Federation Account has continued to affect state governments negatively. It has affected salaries’ payment in some and slowed down implementation of projects in others

• From left: Director-General, National Agency for Food and Drugs Administration and Control ( NAFDAC), Dr Paul Orhii , Director-General, West Africa Health Organisation (WAHO), Dr Xavier Crespin, Registrar, Pharmacy Board of Sierra Leone, Wiltshire Johnson and Registrar, Pharmacy Board of Gambia, Mrs Markieu Kaira at the meeting of Heads of National Medicine Regulatory Authorities and WAHO on the need to harmonise regulatory agencies.

•Rivers State Governor Rotimi Ameachi (4th right), Nobel Laurel Prof Wole Soyinka (middle), Prof John P. Clark (third left), Prof Akin Oyebode(second left), Mrs. Folake Soyinka (third right), Chairman of Prof Wole Soyinka Foundation, Mrs. Francesca Emmanuel, Head, Dealers' Incentive, Globacom, Mrs. Titi Ebinisi( right) and winner of the 5th edition of the Wole Soyinka Prize for Literature in Africa , Akin Bello, receiving his cheque in Lagos... at the weekend. PHOTO BY BIODUN ADEYEWA

•Brand Building Director, Home & Personal Care, Unilever Nig. Plc, Mr. David Okeme, Customer Marketing Director, Mr. Kalpesh Parmar, Category Manager, Skin Care & Deodorants, Mr. James Inglesby and Vice President, Marketing, Mr. Robbert PHOTO: ISAAC JIMOH AYODELE. De Kreede during the launch of Rexona Deodorant in Lagos... at the weekend.

T started last year. Not many expected it will last this long. But, the way things are, state governments may have to devise new means of meeting their financial needs. There are no signs that the Federation Account is going to improve any time soon. The effects of the sorry state of the Federation Account, which has been blamed on oil theft and illegal bunkering, are diverse, depending on each state’s cushioning capacity. In some states, it has affected prompt payment of salaries and other emoluments. In others, it has affected projects’ implementation. The situation is bad in Benue State, where workers are being owed two months salaries as at the time of this report. Investigation by The Nation revealed that why some ministries have paid, others are still waiting for their salaries. A staff of the ministry of Agriculture, Peter Aondona, told The Nation that of the two months salaries (May and June), he received bank alert for May salary last week. Another staff of Government House, Makurdi, Ukeyima Uma said even though he works in the Governor’s Office getting his monthly salary is difficult. He said it has been so since last year. The Commissioner of Finance, Omadachi Oklobia and the Special Adviser on Local Government and Chieftaincy Affairs, Prince Solomon Wombo, attributed the delay to what they called shortfalls from the Federation Account. Wombo told The Nation that government cannot borrow to pay salaries and has resorted to rotating payment among ministries. For workers in Cross River State in the employ of the state and local governments, these are not best of times. Findings revealed that though they get paid, it is usually towards the end of the following month. The situation is actually a departure from what they are used to. Salaries before now used to be paid before the end of the month or, at worst, the first couple of days into the next. A source at the office of the Attorney-General with a wage bill of about N1.8 billion and an inflow of approximately N3 billion, the state is not finding things easy. The source, who begged not to be named, admitted that the dwindling inflow from the Federation Account has worsened. He said: “All I can tell you that the drop in the past couple of months is substantial and it is affecting us in no little way. As I am talking to you, we have not been able to pay salaries. “Despite the fact that the Federa-

•Fashola

‘

Even when they were paying on time, the money was barely enough to take care of myself and my family, but now that they owe us almost to the end of the next month, life has been hell

‘

tion Account has been dwindling, we started having our problems before the recent dwindling of the inflow. Our problems actually started when Bakassi was taken from us. We have found it difficult to be breaking even, especially given the number of capital projects the state government had embarked on due to the inflow it had at that time. Contractual obligations became difficult but we cannot revoke what we started halfway. “The IGR has increased but cannot meet the drop in Federal Allocation. We are facing a lot of challenges. Projects are not going on the way they are supposed to be going on. Only the ones loans have been taken for are ongoing, but the ones that are not on loan are suffering. Payment is not going on as supposed to be. We even owe gratuity. For pensions we are paying as soon as we pay salaries. “Besides our wage bill, we have subvention to the Cross River University of technology to the tune of about N170 million, State Universal Education Board (SUBEB) to about 30miliion and Local government Pension board to about 25miliion. Even then, this is not enough for them. These are all difficult for us now. “It is going to be tough from what we are seeing with the drop in the inflow. With debts being deducted from the statutory monthly allocation to the state from the federations

THE NATION MONDAY, JULY 7, 2014

rs, projects bear brunt of poor cash flow

•Amosun

account it is not easy for us.” For a state like Cross River where every sector mostly depends on the government, the situation has taken its toll on almost every facet of life. A teacher in a government secondary school in Akpabuyo, Mr Fidelis Odey, said the situation has been hellish for him. “Even when they were paying on time, the money was barely enough to take care of myself and my family, but now that they owe us almost to the end of the next month, life has been hell. To be honest, sometimes I don’t even have transport to go to the school. As I’m talking to you now, I am up to my neck in debt and I don’t even know where to go again. I pray something gets done urgently, before the situation becomes something else,” Odey said. A trader at the Watt Market, who gave his name as Obinna, said business has been poor in the past month. “My brother, our business has dropped. We are no more making sales as we used to and we understand it has to do with government that has not paid workers. Please something should be done. It is really affecting us badly,” he said. Acting chairman of the State Internal Revenue Service, Dr Peter Oti, said there has been an improvement in the IGR. TI, who doubles as the Spe cial Adviser on Budget, said: “There has been some improvement but we are not satisfied with what we have. We have not been able to meet set targets but we are trying our best.” Oti, in the presentation of a budget breakdown in Calabar, said the IGR target for this fiscal year is N30.9 billion, which represents an 18 per cent increase above the 2013 target of N26.3 billion. In Kogi, local government workers seem to be the ones bearing the brunt more. Governor Idris Wada last week had to order local government chairmen to pay their workers. Workers in the 21 local government areas of the state have been on halfsalary or less as a result of shortfall in statutory allocation. While some of the councils workers are being owed over nine months’ salary, workers in some other councils have had to do with as low as 30 per cent salary payment. Workers in Kabba/Bunu for example are being

•Amaechi

owed over nine months’ salary arrears Wada gave the directive in OgoriMagongo Local Government Area, during a thank-you visit to the people of the area. The governor said federal allocation to the state for the July is more than what was received in previous months and ordered council chairmen to pay full salary for July. His words: “Let me tell you that the federal allocation to the state has been increased and what will come in July will be okay to meet workers’ salary.” State government workers are lucky. Special Adviser to the Governor on Media and Strategy, Mr. Jacob Edi, said no civil servant is being owed salary. His words: “No Kogi civil servant is owed salary. In fact, they have paid the salary of June already and they did not pay it in July, it was paid in June. To the best of my knowledge, salaries are paid as at when due.” A source close to the Government House said: “I have already received my salary alert. That was yesterday (1st July). It is some of the banks that may be delaying in distribution of such, but by first week of the following month latest, workers are paid their salary. As of today, government is not owing any workers’ salary.” Jigawa State has been able to pay all categories of workers. Its Commissioner of Finance, Alhaji Nasiru Umar Roni, said the drop in federal allocation did not affect salaries and wages. Umar said: “I don’t know other states. I only know my state. Here in Jigawa, we have a mandatory arrangement of reserving our workers salary in any previous month. “At times, we used to have two months’ salaries in advance. You are in this state, you know it yourself that we have already paid our workers since last week. Since the inception of Governor Sule Lamido in 2007, there is not a month that salaries are not paid.” The Chairman, Nigeria Labour Congress (NLC), Suleman Adamu Kiyawa, said: “As far as we are concerned, we don’t know there is shortfall or not. Our concern is that our entitlement is taken cared of. Frankly, we appreciate the state government’s effort for paying our members at when due.” Anambra State has also found a way around the shortfall. The State

•Imoke

chairman of the Nigeria Labour Congress (NLC), Patrick Obianyo, told the Nation that the government pays them before the end of each month. OWEVER, a level 10 officer at the Government House, Awka said: “We have not experienced that since Obiano assumed Office, rather, what happens is that they pay us late instead of at the end of the month. As we are talking now, the June salary has not come and we do not know when it will come, and that of May was paid to us in mid-June.” The Nation could not speak with the Commissioner for Finance, Greg Obi, and his local government colleague, Lady Azuka Enemo. Obi’s phone was switched off. Mrs Enemo refused to answer her call. The situation in Rivers State seems to be the same as Anambra. Many of the civil servants, who spoke to The Nation on grounds of anonymity, said the state government does not owe them salaries. The only thing they complained of is that “of recent, the salary comes late. This started just a few months ago. Like that of May was paid about three weeks ago. But as we speak the government is not owing workers’ salaries.” The Nation also gathered from some of the civil servants that as of July 2 “ we have started receiving alert for June salary.” With its huge Internally Generated Revenue (IGR), Lagos State should not be affected by the fall in the Federation Account. Unfortunately, it is not. While the situation has not affected the payment of salaries of workers, it has resulted in projects’ funding. Lagos State Commissioner for Economic Planning and Budget Mr. Ben Akabueze, who spoke with The Nation, said considering the burden that the state bears, resources, both IGR and federal transfers, are not adequate to meet the demand for development. “Therefore, any shortfall in our revenue whether it is Federal transfer or Internally Generated Revenue (IGR) will affect our programmes, especially this year that we have not made provision for net funding from debt in our budget,” he said. The commissioner said the situation was worrisome considering that oil prices continue to rise above the

•Lamido

budget reference for the year. He said there was no clear reason for the shortfall. He said: “If there was a clear and discernable reason for the shortfall in revenue everybody will understand, but what make this painful is the fact that oil prices are keeping strong above the budget reference from what we gathered, even adjusting from crude oil theft, production is also growing. But when we look our national reserve and external reserve are not growing and we are not seeing revenue being distributed equally. So, the question is what exactly is happening.” Also, the Special Adviser to Governor Babatunde Fashola on Information and Strategy, Mr. Lateef Raji, who also spoke on the development, said the situation did not affect payment of staff salary because the government places priority on the welfare of its workers. According to him, “Many bills due to be paid to contractors have not been paid but the government has not allowed it to affect payment of workers’ salaries. Generally, like every state is affected, we are affected but we have been able to manage it because of our diligence; that is why many people have not noticed the situation in the state. What is happening to Federation Account is mismanagement of funds, and it’s quite unfortunate.” In Ogun State, Governor Ibikunle Amosun said despite the progressive dwindling allocations from the Federal Government, his administration has been paying civil servants salaries regularly. Amosun said since May 29, 2011, the government has not owed any of its staff salary arrears. The governor, who spoke at the Oba Complex, Oke-Mosan Governor’s Office, Abeokuta, while inaugurating the Chairman of the state’s Council of Obas, the Akarigbo of Remoland, Oba Adeniyi Sonarinwo, last Monday, ascribed that feat to the “financial ingenuity” of his team which led to a significantly improved Internally Generated Revenue (IGR). According to him, whatever salary arrears and allowances being complained of by some people, especially those in the state-owned educational institutions were part of the crippling debt burden left by the previous ad-

ministration. He said the state received about N4billion from federal allocation in June, of which Irrevocable Payment Order signed by the previous administration with creditors ensured that about substantial amount is deducted from the source, leaving the state with little above N3billion. He said the state also generated about N4.6 billion in June as IGR, expressing confidence that soon, Ogun State would not have to wait for what comes from Abuja before paying salaries or carrying out its projects. MOSUN said: “Despite the dwindling allocation from the federal, purse, we have been ingenious in making sure that we turned the finances of our state around. And we thank God that we have good report to say that today in Ogun, we are moving to that threshold where we’ll tell you confidently that we do not need to waite for whatever comes from Abuja. “And that is the only way to go. It may be a difficult task, but that must be the way. People are accusing me that I owe them backlog of salaries arrears, some say 13 months, 26 months, 29 month and others 32 months. They are what someone left behind, but I have been clearing it. They accused me of defaulting with pension and I said which pension? “Somebody squandered about N11 billion pension and you want me to pay it in one day but I have cleared over N5billion of it. Since I have been on board, I have not owed anybody; no civil servant is being owed even for one month. “Since we came on board, we have been used to being paid as at when due. I told them that on my honour I will not owe. All of a sudden, what we were expecting from Abuja dropped. When we came on board, we were number twenty eight in terms of what we generate internally and what we get from Abuja. “Today, we are second to Lagos; we are now two states in Nigeria that generate more than what we collect from the Federal Government. We received about N3.9 billion to N4 billion last month.” •Reports by Miriam Ekene-Okoro, Clarice Azuatalam, Port Harcourt, Nwanosike Onu, Awka, Ahmed Rufa’I, Dutse, James Azania, Lokoja, Ernest Nwokolo, Abeokuta, Uja Emmanuel, Makurdi and Nicholas Kalu, Calabar

THE NATION MONDAY, JULY 7, 2014

NEWS NCAA clamps down on illegal structures on flight paths

‘Creation of more states’ll hike administrative cost’ From Kolade Adeyemi, Kano

A former Special Adviser on National Assembly Matters to Second Republic President Shehu Shagari and a delegate to the National Conference in Abuja, Alhaji Tanko Yakasai, has said additional states will increase the cost of governance. Yakasai, who spoke with our reporter in Kano yesterday, noted that the creation of more states would be tantamount to adding more burden to the Federal Government’s huge financial load. The former adviser said he was uncomfortable with the existing 36-state structure, adding that it consumes a large chunk of the nation’s revenue.

BPE to consumers: pay your bills From John Ofikhenua, Abuja

THE Director-General of the Bureau of Public Enterprises (BPE), Mr. Benjamin Ezra Dikki, has urged electricity consumers to always settle their bills promptly to enable the new power companies provide efficient and constant power supply. Dikki spoke in Enugu when a team from the bureau visited the Enugu Electricity Distribution Company (EEDC) as part of its post-privatisation monitoring activities of the newly privatised PHCN successor companies. In a statement yesterday in Abuja, BPE’s Head of Public Communications, Mr. Chigbo Anichebe, said Dikki was represented by the Acting Director of the National Facilities and Agricultural Resources (NF&AR), Dr. Vincent Akpotaire.

By Kelvin Osa Okunbor

•From left: Chief of Civil-Military Affairs, Maj.-Gen. Alphonsus Chukwu; Chief of Policy and Planning, Nigerian Navy, Rear Admiral Ikioda Ameen; Chief of Army Staff, Lt.-Gen. Kenneth Minimah and his wife, Felly, at the Army Day InterPHOTO: NAN denominational church service in Abuja...yesterday

Govt to fund Investments Tribunal with 10 per cent capital market fees

HE Federal Government has approved the funding of the Investments and Securities Tribunal (IST) with 10 per cent of the one per cent secondary market transaction fees. The fund was hitherto enjoyed by the Securities and Exchange Commission (SEC). The decision, it was learnt, followed a cash crunch and expanded mandate in the government. But the development will not lead to any marginal increase in the transaction fees paid by investors, it was learnt. The approval was contained in a letter from the Federal Ministry of Finance to SEC’s Director-General, Ms Arunma Oteh. The letter, signed by the ministry’s Permanent Secre-

From Yusuf Alli, Abuja

tary, Mrs. A. M. DanielNwaobasi, confirmed that the Coordinating Minister of the Economy/Minister of Finance, Dr. NgoziOkonjoIweala, gave the approval. Before the new funding measure, IST was unable to fund court sittings or pay for its rented offices in Abuja, Lagos, Kano and Enugu zones. The letter reads: “The IST will henceforth get 10 per cent from the one per cent of the secondary market transaction fees previously enjoyed by the SEC, the Nigerian Stock Exchange (NSE) and the Central Securities Clearing System (CSCS). “The approval was based on the need to redress the precarious funding position of the tribunal, which has impacted negatively on its

From John Ofikhenua and Gbenga Omokhunu, Abuja

From Jide Orintunsin, Minna

contractors of funds. They noted that the agency had no excuse to delay the fund to contractors since the Senate had approved the budgetary provision for the construction of the institute. “We are not happy with NIMASA for starving contractors of fund. Most of the contractors have complained of no fund. We are not happy with the agency over non-payment of contractors. The Senate has cooperated with NIMASA by approving its budget. So, they have no excuse not to pay the contractors,” Kure said. She hailed the contractors for doing a good job, adding that her committee would take the matter up with the NIMASA management. Kure said: “We are happy with the level of work on the ground. We commend the contractors for their patriotism and for the confidence they had in NIMASA, especially when most of them have not got more than mobilisation fee and have worked far beyond the milestone level.”

ing of relevant parties to immediately work out the modalities of implementing the approval of the Coordinating Minister of the Economy/ Minister of Finance. “The lifeline is coming at a time the tribunal could not fund its court sittings or pay for its rented offices in Abuja, Lagos, Kano and Enugu zones. “Moreover, the minister made sure that the approval will not lead to any marginal increase in the transaction fees paid by investors in the market.” Another source said: “The IST has faced acute funding problems since it came into existence due to the failure of the SEC, which midwived its set-up and the Budget Office of the Federation to address its needs.

Vehicles owner warned

THE Lagos State Police Command has warned owners of abandoned vehicles parked at Isokoko Police Station to remove them or lose them to the public through auction, two weeks after this publication. The vehicles are: Wagen Bus EPE 703 XG, Mazda bus XY 663 FKJ, Opel Astral GF 865 LND, Volkswagen Golf CB 503 FKJ, Mitsubishi Carisma ABD 452 AA, Nissan Primera JS595EKY, Toyota Camry LY 264 EKY,

2015: Friends urge APC to adopt Buhari

Senate faults NIMASA over non-release of contractors’ funds HE Senate Committee on Maritime Transportation faulted at the weekend the piecemeal release of funds by the Nigeria Maritime Administration and Safety Agency (NIMASA) to contractors handling the IBBUNIMASA Institute of Maritime Studies in Lapai, Niger State. The committee, led by Senator Zaynab Kure, expressed displeasure at the agency’s inability to release funds, despite the commitment of the contractors to the permanent site of the institute. Most of the contractors, during the committee’s visit to the site, complained of delay in the release of funds by the agency. They feared that the delay may hinder the December deadline for the completion and handing over of the buildings. The senators became more worried when a contractor, who had not been paid the mobilisation fee after doing about 30 per cent of his job, complained that the financial burden was too much for him. The senators wondered why NIMASA was starving the

operations and the need to find a sustainable solution to it. “You may also wish to recall that a committee earlier constituted on improving the financial position of IST made the same recommendation in 2012. “With the positive outlook of the Nigerian economy and expected listing of more companies in the market, it has become imperative to strengthen all agencies in the industry to optimally perform their statutory responsibilities. “Improved funding of IST will enable it play its critical and strategic adjudicatory role and equally boost investors’ confidence in the capital market.” A highly-placed source said: “The Director-General of SEC was directed to convene a stakeholders’ meet-

HE Nigeria Civil Aviation Authority (NCAA) will soon clamp down on unauthorised high-rise buildings erected on flight paths in the nation’s airspace, it has been learnt. The structures include telecommunications masts, towers and tall buildings built without the agency’s aviation height clearance. NCAA’s General Manager, Public Affairs, Mr Fan Ndubuoke, said the agency would take the action to ensure that there is sufficient safety for aircraft when they want to land. The spokesman said NCAA’s investigations showed that the structures were constituting obstacles to the take-off and landing of aircraft. To prevent an avoidable occurrence, the regulatory authority has appointed Messrs Noon Mast Ventures Nigeria Limited to identify such structures near airports and pull them down from flight paths, he said. NCAA’s regulation stipulates that those who are compelled by whatever reason to erect a mast or high-rise structure near the airport or on flight paths should obtain NCAA’s Aviation Height Clearance. Ndubuoke said: “Once this request is made, the department in charge will proceed for inspection and give approval for an allowable safety height or will be advised to relocate the structure, where applicable.”

•Gen. Buhari

RIENDS of All Progressives Congress (APC) National Leader Gen. Muhammadu Buhari, under the aegis of Buhari Friends Organisation Network, at the weekend urged the party to adopt the former Head of State as its presidential candidate for the 2015 election. They spoke in Abuja at the inaugural general meeting of the group. The group’s National Coordinator, Saint Athanasius Okon, noted that like Buhari, his friends also hate corruption, lawlessness, impunity and other vices. Okon said: “We have to take it upon ourselves as his good friends who hate corruption, indiscipline, lawlessness, impunity in government and insecurity, to first call on the APC leadership

and other members of the party to adopt General Buhari as the party’s presidential candidate for the 2015 general election.” Explaining how Buhari’s candidature would help the party and Nigeria, the spokesman said the Head of State embodies peace, good governance and the rule of law. Okon noted that because of the high level of corruption, unemployment, poor economy, indiscipline, insecurity and sundry vices forced on the nation by incompetent leadership, Nigerians should ask for Buhari’s return to power through a democratic process. According to him, history is replete with the ex-Head of State’s record of zero tolerance for corruption and advocacy of a debt-free economy with priority for employment generation when he was in power. Okon recalled that industries were functioning at full capacities and electricity supply was adequate under Gen.

Buhari’s leadership. The spokesman said during Gen. Buhari’s short administration, Nigeria was united and peaceful, adding that the nation was better off than the 15 years of the present civil rule. He noted that although Gen. Buhari’s friends would not advocate for a military rule, “history shall continue to have a place for him as an exemplary leader”. “As far as we are concerned, it is either those in government, whose responsibilities are to ensure that the above-mentioned problems and lots others are addressed, are incompetent or not sincere enough. That short-lived administration of General Muhammadu Buhari, which was in place for just one year plus, was better than 15 years of the so-called civil rule. “Considering the situation we have found ourselves now, with high level of insecurity occasioned by incompetent leadership with no will power to enforce our laws, you will agree with me that there is no better time than now for the man who matters most to come out and sal-

vage the ugly situation for this country to become good again to live in. “He (Buhari) did it before; he can do it again, even better. My brothers and sisters, comrades and associates of General Buhari, let us rise and ask for Buhari’s return to power through a democratic process. “In view of the significance of this objective, we have to take it upon ourselves - as his good friends, who hate corruption, indiscipline, lawlessness, impunity in government as well as insecurity - to first call on the leadership of the APC and all the members of the party to please adopt General Buhari as the party’s presidential candidate for the 2015 election. “For those who accused Gen. Buhari ignorantly of sponsoring insurgency or supporting same, there are questions for them too: Are these people aware that Gen. Buhari’s convoy was attacked ...by the Boko Haram insurgents? His cars and other valuables were destroyed. And it took God’s intervention to save his life.“

THE NATION MONDAY, JULY 7, 2014

NEWS Cement manufacturers back Reps on quality review •‘Why we’re 42.5 quality-compliant’

•Vice-Chancellor, Redeemer’s University, Prof. Debo Adeyewa (middle) presenting an award to a former chairman of the institution’s Family Forum, Pa Joshua Okusanya (right). With them is chairman of the forum, Mr Kehinde Bello, during the university’s family forum seminar at the Youth Centre, Mowe, Ogun State.

N20.8b U.S-backed power project coming

HE United States (U.S) Ambassador to Nigeria, Mr. James P. Entwistle, at the weekend in Abuja said work on a new N20.8 billion power project in Nigeria will begin this month. The ambassador spoke in Abuja on America’s 238th National Day celebration. He said the 450 megawatts (MW) project is part of President Barack Obama’s “Power Africa” programme. The project, Entwistle explained, is in support of Nigeria’s infrastructural development. He said: “Our U.S. Agency for International Development (USAID) has a strong presence in and incredible commitment to Nigeria. From agriculture to infrastructure, our development experts are hard at work, partnering your government to produce sustainable, Nigerian-led solutions to the development challenges you

From Vincent Ikuomola, Abuja

face. One particular highlight is President Obama’s ‘Power Africa’ programme, which already is attracting private sector investment that will result in power capacity and generation for Nigeria’s electricity grid. “A great example of this is the Azura Energy Project. With USAID backing and support, $130 million in venture capital was raised. The construction is slated to start this month and will add 450 MW of power to Nigeria’s electricity grid when it is completed. “This project underlines that development is no longer just a government-togovernment activity and that the role of the private sector is key. That’s why I’m delighted that some of the most well known U.S. companies are active here in Nigeria.” On the 2015 elections, the ambassador said the U.S was

committed to helping Nigeria achieve free, fair and credible elections. “We’re also deeply committed to helping you ensure that your elections, particularly the national ones in 2015, are free, fair, peaceful, and credible. We work closely with your Independent National Electoral Commission to ensure that the process is transparent, well monitored, and secure. Safeguarding and strengthening democracy is difficult work. But the recent Ekiti elections were an excellent example of what happens when all players— the government, citizens, security forces, and political parties—commit to ensuring respect for the electoral process and for one another.” Entsistle added: “As you’ve probably seen, I and the rest of the U.S. Mission team in Nigeria have been speaking out about the importance of non-violent elections, and we will continue to

do so. Once again, I urge all parties and candidates to publicly commit themselves now to not condoning, urging or fomenting violence before, during or after the elections next year. “I want to close by emphasising how optimistic I am about Nigeria. Since I arrived last November, I’ve been privileged to travel throughout the South, the Middle Belt and the North, and I’m constantly impressed by the resiliency and ingenuity of the Nigerian people. I’ve met farmers, herders, activists, politicians, pastors, imams and students. “I’m struck by how much more unites them than separates them. They all want to participate in a strong, active democracy. They all want better roads, better schools and more access to basic services, such as clean water and electricity. They want more economic opportunity for themselves and their families...”

Doctors meet today on national strike

OCTORS, under the aegis of the Nigerian Medical Association (NMA), will hold an emergency delegates’ meeting in Abuja today to review their demands and negotiations with the Federal Government. One of delegates said the meeting will appraise the outcome of the July 3 meeting in Abuja between members of the NMA’s National Executive Council, the Secretary to the Government of the Federation, the Minister of Health and other top officials in the Federal Ministry of Health. The source said the outcome of the meeting would determine whether or not the nationwide strike, in its second week, would be suspended. The sources added: “We can’t call off the strike without the congress meeting. That is where we are going to decide whether or not we are satisfied with whatever agreement the executives have reached with the Federal Government. We will appraise what is on offer, vis-a-vis our demands. Then we will take the stand of the house back to the government for further negotiation. “Many of the issues raised in the letter we wrote to the Secretary to the Government

•Lagos hospitals in skeletal services Consultants’ll attend to patients, says MDCAN president

From Vincent Ikuomola, Abuja

ESPITE appeared at the weekend for patients seeking treatment at government hospitals. The Medical and Dental Consultants’ Association of Nigeria (MDCAN) has said its members would continue to attend to patients, despite the ongoing doctors strike. The consultants had promised to join the action but were stopped by the Industrial Court. The medical consultants said they were ready to comply with the restraining order on all parties, as contained in the ruling and delivered by Justice M. N. Esowe on June 27. The judgment was on the motion ex-parte for an Order of Interim Injunction. It restated its support for the ideals of the Nigerian Medical Association (NMA) to improve services at all tiers of the Health Care sector. By Wale Adepoju

of the Federation have not been addressed. It seems they are playing politics with a very delicate situation that may cause anarchy and divisions in the Health sector. It was a surprise when we read in the news that the Federal Government said it had reached an agreement with us.” Doctors in federal and stateowned hospitals started a nationwide strike on July 1 over issues relating to appointments of officers into choice positions

in the nation’s public health institutions. The NMA, in a 24-point demand letter to the Federal Government in June, directed that either such positions be reversed or doctors would begin a total nationwide strike, which they started last week. Also, the Lagos State chapter of the NMA yesterday said it will meet today to deliberate on the letter its national body received from the Federal Government on the indefinite nationwide strike it declared last week.

Its Chairman, Dr Francis Faduyile, said the government wrote the association to present its position on the doctors’ 24-point demands. He said the NMA would assess letter to decide on the next line of action. Faduyile said no decision could be reached on the strike until the association’s top leaders meet. The doctors, he said, would continue with the strike until the national NMA directs otherwise. The NMA state chairman accused the Federal Government of causing the strike because of the distortions it created in the Health sector. Patients were still agonising at the weekend in public hospitals in the state. Then strike enters the sixth day today. At the Lagos University Teaching Hospital (LUTH), the Lagos State University Teaching Hospital (LUTH), the National Orthopaedic Hospital, Igboi, Lagos (NOHIL) and the Federal Medical Centre at Ebute Metta, among other facilities, doctors boycotted their duty posts in compliance with the NMA directive. Most patients sought treatment in private hospitals.

AJOR cement manufacturers have promised to align with the House Representatives’ position that the 42.5MPA cement grade should be the minimum standard of the product to be produced in the country. The said expired cement should be withdrawn from the market. Major cement manufacturing companies, like Bua, Ibeto and Dangote, had agreed with the quality review by the Standards Organisation of Nigeria (SON), which pegged the 42.5 grade for general purpose. It was learnt that they have been producing the quality grade cement and were not intending to reduce its quality. The Yakubu Dogara-led ad hoc Committee on Cement Composition and Pigmentation, after a public hearing among stakeholders, submitted its report to the House. In the report, the committee urged the SON to implement its cement standardisation, adding that manufacturers should retool for the production of the higher grade. The recommendation, according to the report, was based on the fact that if made

By Olamilekan Andu

to choose between 32.5 and 42.5 grades of cement, consumers would choose the 42.5 higher grade. It noted that because those who build structures are mostly non-professionals, it would be in the nation’s interest to adopt a cement grade that is less susceptible to wrong application. Also, the committee said any manufacturer or distributor implicated in the sale of expired cement should be severely sanctioned to ensure that sanity prevails in the cement manufacturing and construction industry. The Chairman of Bua Cement, Abdulsamad Rabiu, said the House of Representatives did a patriotic job for making those recommendations. Rabiu said the move should be supported by manufacturers with the safety and well-being of the people at heart. He said his company, which operates the oldest cement plant in Nigeria - Cement Company of Northern Nigeria (CCNN) - had been producing the higher grade of cement from the outset. The company chief said the House decision was in order.

Akinyemi conferred with Hasken of Adamawa

HE Deputy Chairman of the National Conference, Prof. Bolaji Akinyemi, has been conferred with a chieftaincy title by the Lamido of Adamawa, Alhaji Aliyu Mustapha. The Lamido is a delegate to the conference. A statement by Akpandem James, the Assistant Secretary, Media and Communications of the conference, said Akinyemi’s was conferred with the chieftaincy title for his firmness, honesty and fearlessness in handling proceedings at the conference. “Deputy Chairman of the National Conference and former Minister of Foreign Affairs, Professor Bolaji Akinyemi, has been conferred with the traditional title of Hasken Adamawa by the His Royal Highness, Alhaji Muhammadu Barkindo Aliyu Mustapha (CFR), the Lamido Adamawa. “The conferment of the title, whose investiture would be conducted by the Adamawa Emirate Council after the National Conference, was conveyed in a June 27 letter by the Lamido to Prof Akinyemi. The letter reads: “I have observed your patience, expertise in handling of the National Conference; fairness, fearlessness, justness and firmness during the three months I have been participating in the plenary of the National Conference. “These are the things which informed my decision to honour you with the traditional title of Hasken Adamawa, which means the “Light of Adamawa”. “In view of the above therefore, you may wish to suggest a suitable date of your choice for your investiture and communicate same to the Adamawa Emirate Council.” Akinyemi accepted the honour, adding: “I accept with pride this honour. At the end of the National Conference and the Ramadan, I will approach the Adamawa Emirate Council to discuss the most appropriate time convenient to Your Royal Highness.”

‘Sam4Nigeria’ appoints media director

HE Sam4Nigeria Presidential Campaign Organisation, the campaign organisation of frontline entrepreneur, Mr Sam Nda-Isaiah, has appointed Mr. Macauley Hunohashi as the Director of Media and Information. In a statement yesterday in Abuja by the organisation’s Chief of Staff of the Campaign, Alhaji Abdul Gombe, said Hunohashi will bring over 30 years’ experience in the media to the campaign. “We are confident that, as the campaign changes gear,

Hunohashi is just the person needed to press home Sam4Nigeria’s central message of big ideas, healing and change,” Gombe said. The new spokesman, who holds a B.Sc in Mass Communications, was the Political Editor and presenter of Political Update on the Nigeria Television Authority (NTA), Kaduna. Besides his extensive reporting from hot spots around the world, including Liberia, Rwanda and Sudan, Hunohashi also covered the police and defence, among other beats, for the NTA.

THE NATION MONDAY, JULY 7, 2014

NEWS

Police arrest son for killing dad at Redemption Camp

Cleric to Fed Govt: make security a priority THE founder of INRI Evangelical Spiritual Church, Primate Elijah Ayodele, has urged the Federal Government to make security its priority. Primate Ayodele spoke during the presentation of the 2014/2015 prediction booklet at his church in Lagos. He said the country would not break up next year. Primate Ayodele said: “I foresee a political revolution that will happen in the nearest future in this country. The solution to Nigerian problems is at hand only if the government will listen to divine messages.” He said if security was not given the utmost attention, another terrorist deadlier than the Boko Haram would surface. “There is hope if we follow instructions and do what God wants us to do as a nation.” The General Overseer said nothing tangible would come out of the on-going National Conference in Abuja. He advised the leaders and governors of the All Peoples Congress (APC) to work hard and pray fervently for them to retain Edo and Oyo states.

Ladoja, Akala left decaying infrastructure, says Oyo APC

HE All Progressives Congress (APC), Oyo State chapter, has said the bridges which collapsed in Ibadan during the 2011 floods were products of the decay left behind by the administrations of former Governors Rashidi Ladoja and Adebayo Alao-Akala. The party was reacting to a statement by an aide to Ladoja, who spoke on the state of bridges in the state capital. The APC said: “Politicians, who always seek to reap from where they did not sow, have made Apete their new Mecca. One Peoples Democratic Party (PDP) governorship pretender promised to give the people electricity, which is a Federal Government’s responsibility. Even Ladoja, whose government was known to be drab, inactive and laid-back, has been promising Apete people heaven and earth. The people know who has buttered their breads between our government and these emergency friends of Apete people. “I urge the people to notice a life sworn to lie-telling that has become the pastime of the Accord. First, he said 60 people died at Apete. Any passably intelligent person knows that this is a terrible lie. Second, he said Minister of Finance, Mrs. Ngozi Okonjo-Iweala, accused him of mismanaging the N100 billion monthly budgetary allocation for Oyo State. We are aware that Mrs. OkonjoIweala is too intelligent to make this statement and indeed never uttered this Accord fraudulent lie. Even the Federal Government knows that its monthly allocations to Oyo can’t pay workers’ salary alone.”

•Senior Advocate’s son confesses to murder

HY did a young man hack his father to death? This is s question the Ogun State Police are battling to resolve after arresting a 21-year old man, Tolani Ajayi, for allegedly killing his Senior Advocate of Nigeria (SAN) father, Mr Charles Ajayi, at the Redemption Camp on the LagosIbadan Expressway. He was killed last Thursday. Tolani is a 300-level student of the Department of History and International Relations of

From: Ernest Nwokolo, Abeokuta

Redeemer University (RUN), Ogun State. Police Public Relations Officer Mr Olumuyiwa Adejobi said the body was “recovered in a nearby bush at Canaan land Street within the RCCG Camp, in a box, after he had been hacked to death by his son”. Adejobi, a Deputy Superintendent of Police (DSP), added: “The Divisional Police Officer,

Redemption Camp, Mr Olaiya Martins, led a team of detectives and some members of the community who noticed the strange attitude of the suspect while dropping a box to the point where the body of the SAN was dumped and, thereafter, traced the ground marks of the dragged box from where the suspect dumped the dad’s body to the house of the Senior Advocate of Nigeria, where they met the suspect in a relaxed mood in the house.

“Upon interrogation, the suspect earlier lied that his dad had gone on evangelism before he eventually confessed to the crime when he was taken to the Redemption Camp Divisional Headquarters. He stated further that the problem arose when his late father confronted him for not responding to all the prayer points he (the deceased) was calling and the late father slapped him. “He said he went mad and went straight to the kitchen to pick up a knife to stab him and

•Tolani Ajayi

later a cutlass to cut his throat and killed him. The exhibits, including the knife and cutlass he used in killing his father, have been recovered by the police and the body of the SAN have been deposited at a morgue in Sagamu.”

Ekiti CJ orders release of 24 detainees From Sulaiman Salawudeen, Ado-Ekiti

• Lagos State Governor Babatunde Fashola (left) inspecting the ongoing expansion of the Lagos-Badagry Expressway at the under bridge of Mile 2 Bus Stop...yesterday. With him are: Group Executive Officer of Oando Plc, Mr. Wale Tinubu (third right), Special Adviser on Works and Infrastructure, Ganiyu Johnson (second right) and the Special Adviser on Media to the Governor, Mr. Hakeem Bello (right).

10 injured in Ibadan NURTW clash

EN people were injured at the weekend in a free-for-all among rival members of transport workers at Agbeni, Ibadan, the Oyo State capital. The former Chairman, Oyo State chapter of the National Union of Road Transport Workers (NURTW), Alhaji Lateef Akinsola (Tokyo), escaped unhurt in an attack said to have been targeted at him. Akinsola, who accused the incumbent Chairman, Alhaji Taofeek Oyerinde (Fele) of masterminding the botched attempt on his life, was rescued by a team of riot policemen. Oyerinde denied the allegation. He told this reporter on phone yesterday that those Tokyo mentioned were at the second Ramadan lecture of Alhaji Arisekola-Alao at the NTA Ibadan when the incident happened.

From Oseheye Okwuofu, Ibadan

He urged the police to conduct investigate the matter. “We have met Alhaji Tokyo on several occasions and we have never attacked him. We are not a violent union again. We will continue to maintain the peace in the state,” Oyerinde said. Akinsola, with some of his supporters, was at Sheikh Haruna Suara, the Chief Imam of Ibadanland’s residence to honour an invitation when the alleged attempt was made on his life. He was whisked away from the Chief Imam’s residence in an Armoured Personnel Carrier (APC) on the intervention of the Oyo State Police Command. Akinsola said: “I was at the Chief Imam of Ibadan’s residence to honour his invitation

with some of my supporters when they attempted to kill me. My supporters were attacked while I was being attended to by the Imam in his house at Agbeni area of Ibadan. “Thank God that my supporters were outside when I was inside with the Imam, maybe I would have been dead now.” Among Tokyo’s supporters who were injured are Bashiru Saheed, Agboola Rasak, Liadi Akande, Rilwan Akinsola and Alani Adaramola. Eyewitnesses account revealed that no fewer than 20 suspected thugs unleashed the terror. They said the suspected thugs arrived at the scene of the incident with several dangerous weapons. Oyerinde said: “We appeal to the state government to call him to order so as not to

plunge the union into another avoidable bloodletting of the past.” The Public Relations Officers (PPRO), DSP Olabisi CletIlobanafor, confirmed the incident. She told reporters: “The command dispatched combined police teams and an Armed Personnel Carrier to the scene of the incident to quell the violence and rescue Akinsola. “We are yet to make arrests because the place was very rowdy and we have to stop that first and later make arrests based on identification by the witness. We have advised those injured to go for treatment and later come back help us in our investigations at tracking down the culprits. We will get them and make them face the full wrath of the law to serve as deterrents to others in the act.”

Debt Management Office clears Osun of alleged N350b debt

SUN State is one of the best states in Nigeria with sustainable public debt management, the Director-General of Debt Management Office (DMO), Dr. Abraham Nwankwo, has said. Nwankwo spoke to reporters at MicCom Golf Hotel and Resort, Ada, Osun State during a three-day retreat for members of the House Committee on Aids, Loans and Debt Management. The DMO chief declared that Osun’s debt profile is a very sustainable one and healthy for its economic growth, describing the state’s

•To introduce Sukuk to other parts of Nigeria

alleged heavy debt burden as a mere propaganda and hoax. This has deflated the persistent claims by the candidate of the Peoples Democratic Party (PDP), Otunba Iyiola Omisore, who alleged that the Governor Rauf Aregbesola’s administration was indebted to the tune of over N350 billion. The former Head of Service under the Aregbesola administration, Elder Segun Akinwusi, had equally built and sustained his campaign for the governorship seat on the same allegation. The government had denied

the allegation, insisting that only those ignorant of operations of global finance would agree that a bank could give a state or individual loans more than its capacity to pay both interest and the principal. But Nwankwo, who did not give figure on the state’s actual debt figure, explained that Osun needed to be encouraged in term of management of debt because it has not borrowed beyond its capacity. The DMO boss added that his office recognises Osun State as the first to take Sukuk.

“By our plan to encourage the issuance of Sukuk in Nigeria, because we need to diversify the instrument in the bond market. We want to make sure that all segments of the society are captured in the bond market. There are some groups of people or individuals, who do not want to participate in ordinary bond because of interest. “DMO and others are working hard to introduce Sukuk in Nigeria. We are delighted that Osun took the initiative and helped in introducing it in Nigeria.”

KITI State Chief Judge Justice Ayodeji Daramola has ordered the release of 24 awaiting trial inmates (ATI), including four women from the Ado-Ekiti Prisons. Justice Daramola spoke during a routine visit to the prisons at the weekend. He said paucity of funds remained a major challenge for the Ekiti State Judiciary. Justice Daramola granted bail to three other inmates, adding that he exercised the prerogative of mercy following diligent investigation as well as advice from the office of the Director of Public Prosecution and the police. The Comptroller of the Ekiti State Command of the Nigeria Prison Service, Mr. Kehinde Fadipe, lauded the Chief Judge for ensuring that justice was not denied.

Oyo to launch community insurance scheme From Tayo Johnson, Ibadan

THE Oyo State government is to launch a communitybased health insurance scheme. Commissioner for Health Dr Muyiwa Gbadegesin disclosed this at the weekend while monitoring the examination into the State College of Nursing and Midwifery, held at University of Ibadan (UI), Ibadan. According to him, the health insurance scheme would start in 12 local government areas by the end of this month. “This insurance scheme will begin with 10,000 individuals in each of the council areas, and it’s basically for artisans and people from the informal sector and they will be entitled to any healthcare including surgery once they have registered. According to WHO, our people are spending 70 per cent of their income on healthcare which is out of pocket expenses,” Gbadegesin said. He said it would cost the people N200 a month after the government’s subsidy of N400.

THE NATION MONDAY JULY 7, 2014

NEWS OSUN 2014

APC decries delay to release Permanent Voter Cards

HE All Progressives Congress (APC) has decried the delay in distributing the permanent voter cards (PVCs) ahead of the August 9 governorship election in Osun State. Its National Publicity Secretary, Alhaji Lai Mohammed, in a statement in Lagos yesterday, warned that the delay might be a ploy to disenfranchise voters. “INEC has been painfully slow in processing the permanent voters cards and one can only hope that the electoral body is not doing this deliberately to disenfranchise voters, especially in opposition strongholds. “The slow processing of the permanent voter cards has in particular hit the Central Senatorial District of the state and has affected those who had registered as well as those who registered

•Party warns INEC against partisanship By Bola Olajuwon, Assistant Editor

this year,” it said. APC said INEC has continued to tell those who throng its offices in the state that the cards are not ready, without giving an indication of when they will be ready for collection. “If INEC has no diabolical plan, then it should speed up the processing of the permanent voter cards. We say this based on the reported announcement by the REC in Osun State that whoever does not possess a permanent voter card will not be allowed to vote in the August 9 election,” the party said. It urged INEC to maintain its

neutrality and ensure it does not do anything that can affect the credibility of the commission or the integrity of the election. APC recalled that a few days before the Ekiti governorship election, INEC Chairman Attahiru Jega had told stakeholders that the commission would use colourcode ballot papers to ensure that ballots meant for one local government are not taken to another. “However, not only did INEC not use colour-coded ballot papers in the Ekiti election, it never felt the need to explain its sudden volte-face. This is a blow to the integrity of INEC and we hope it won’t be repeated,” the party said. The APC has raised the alarm

over a multi-pronged strategy by the federal authorities to skew the election in Osun State in favour of the PDP, just as they allegedly did in Ekiti State last month. According to the party, the dubious strategy by the federal authorities involves using the military and other security agencies to lock down the state, days ahead of voting as well as an alleged plan to starve the state of funds so it cannot meet its obligations. “Whereas Ekiti was locked down about three days to the election, indications are that Osun will be locked down at least a week before the state’s poll, while the security agencies will again be used to harass, intimidate and arrest op-

Aregbesola to win 80 per cent votes, says independent survey

•General Apostle Mother Mrs. Dorcas Lawal (left), Osun State Governor Ogbeni Rauf Aregbesola and Founder & Spiritual Head of INRI Evangelical Spiritual Church, Primate Babatunde Elijah Ayodele, during the church’s maiden revival at Gymnasium Complex National Stadium Surulere Lagos... at the weekend.

From Adesoji Adeniyi, Osogbo

‘How Fed Govt frustrates opposition states’

SUN State Governor Rauf Aregbesola has urged the Federal Government to remove partisan politics from the urgent concern for the development of component units in the interest of federalism. Aregbesola observed that this moment calls for the display of utmost patriotism and great statesmanship, urging President Goodluck Jonathan to rise above partisan leanings and see the entire country as his constituency. The governor, who spoke with reporters in Osogbo, the state capital, at the weekend, said the states ruled by the opposition party deserved equal treatment as their counterparts run by the Peoples Democratic Party (PDP) governors. The governor complained that while he successfully secured free train coaches from France for the transportation of agricultural products from and to Lagos and Osun states, the Federal Government did not allow the state to use the rail lines. The governor also lamented that, despite the setting up of the Osun State Emergency Call Centre by his administration, the security unit has been rendered impotent because it has been denied recognition by the Federal Government. He said the Federal Government’s refusal to re-

position politicians just as they did with impunity in Ekiti. “We are raising the alarm now so the world can see that any election can only be described as free and fair if the entire process is transparent and not skewed in favour of any of the parties. We insist that election is a process, and that whatever happens on election day is only, but a part of the whole. “Therefore, we demand a levelplaying field for all the candidates before, during and after the Osun election. We reject any plan to use the military and other security agencies to lock down the state and to harass, intimidate and arrest opposition members. We call on local and international observers to take note of these and other anomalies ahead of the Osun poll,” it said.

•Governor says PDP can’t beat APC at poll By Emmanuel Oladesu, Group Political Editor

lease a short security call code to his state was “dangerous and unfortunate,” stressing that insecurity does not discriminate between a PDP and APC members. The governor lamented that the ‘Security Centre,’ where calls could be directed for assistance and rescue operation during emergencies, has not seen the light of the day, owing to the Federal Government’s disposition. Noting that the centre would have averted many calamities in the state if it is functional, he said “what remains for the centre to function is just a short security code approval, which could only come from the Federal Government.”

The governor maintained that efforts to seek the release of the code were futile because of the Federal Government’s unfavourable disposition towards the project. Aregbesola recalled that when the Presidency did not acknowledge his first letter of request, he forwarded a reminder, which was also ignored. He said that with the code, helicopters could reach any crisis spot in the state within 15 minutes, with a view to restoring order. Urging politicians not to sacrifice national security on the altar of partisanship, the governor insisted that “security threat does not discriminate in the society.” He said: “If the Security Centre has been functional, those

young journalists that died recently on the Ife Road would have survived the accident, if help had reached them on time.” The governor urged all well-meaning Nigerians to appeal to the President to use his good offices to effect the issuance of the code. Aregbesola also spoke on preparations for next month’s election, saying that he is confident of victory. He highlighted his achievements in the last three and half years, stressing that his administration has lived up to expectation. The governor said that the APC would not suffer defeat in Osun, pointing out that Ekiti and Osun are different states. Aregbesola said: “In a free, fair, transparent and credible election, Rauf Aregbesola has no cause to worry.”

Omisore accuses APC of ‘buying voter cards’

HE Osun State Peoples Democratic Party (PDP) governorship candidate, Senator Iyiola Omisore, has warned the state’s residents not to sell their voter cards to politicians. His Director of Media and Strategy, Prince Diran Odeyemi, in a statement, alleged that the All Progressives Congress (APC) is collecting voter cards from innocent people. Omisore also informed the electorate to report anybody who asks for their voter cards to security agencies. But in a swift reaction, the APC through its spokesperson, Kunle Oyatomi, described Omisore as confused.

APC: You’re confused From Adesoji Adeniyi, Osogbo

Oyatomi said what Omisore and the PDP were desperately doing was what they were accusing the APC of. He said: “The people of Osun know the truth and no amount of lying or desperate accusation can make them not to put things in their right perspectives. “The people know who between Omisore and Aregbesola or the PDP and APC is trying to buy the people’s voter cards in exchange for their dirty money.”

HE All Progressives Congress (APC) candidate, Ogbeni Rauf Aregbesola, is expected to win more than 80 per cent of votes in the August 9 governorship election. This is the result of a pre-election assessment and opinion poll conducted by a coalition of civil society organisations. The coalition’s coordinator, Dr. Gabriel Nwambu, said at the weekend in Osogbo, the state capital, that the survey was carried out in the state’s 30 councils areas and one area office. Nwambu noted that Aregbesola’s steady popularity and his outstanding performance, which he said was acceptable to the people, were among the parameters that determined the outcome of the “independent survey.” He said based on the coalition’s findings, “the INEC had put all the necessary logistics in place to ensure a hitch-free, free, fair and credible elections across the state constituency, including the training of ad hoc staff who will serve as Returning Officers, Presiding officers and Poll Clerks, etc. “The opinion poll shows that the electorate and masses have indicated a corresponding love for Rauf Adesoji Aregbesola for his leadership quality, demonstrated in his quality service delivery to the people in the areas of improving their living standard as it affects heath care delivery, education, housing, road construction, agriculture, youths and women empowerment among others. “This has remained monumental in the history of the people of Osun State and as such, is ready to return an 85 per cent vote across all the 30 local government areas and one Area office in this governorship election, an indication that the APC would have a landslide victory in the governorship election in a free, fair and transparent election.” Saying that the coalition is set to observe the distribution of sensitive and non-sensitive materials of INEC in all the councils and wards, he added that it was observed that “the security situation in the state was calm and stable, therefore suitable for a hitch-free election.” However, he urged all candidates, politicians and their supporters to play politics by the fundamental electoral laws, saying politics should not be seen as a do-or-die affair. He also reminded the youths not to allow themselves to be used as instruments of perpetrating electoral related violence and should be law-abiding. Nwambu praised the INEC Chairman, Prof. Attahiru Jega, Federal Commissioners, Osun State Resident Electoral Commissioner (REC), directors and members of staff for a focused preparation.

LP candidate denies defecting to PDP From Adesoji Adeniyi, Osogbo

HE Labour Party (LP) standard-bearer in Osun State governorship election, Alhaji Fatai Akinbade, has debunked the rumours that he was planning to defect to the Peoples Democratic Party (PDP). Akinbade was the Secretary to the state government under the Olagunsoye Oyinlola’s administration and also chairman of the Peoples Democratic Party (PDP). His media consultant, Mr. Kayode Oladeji, in a statement, also dispelled the speculation that he had been disqualified from participating in the governorship election. He assured that he would not only contest, but would win the poll. Akinbade linked the rumours to his co-contestants, whom he claimed were threatened by his enviable and closeness to the grassroots. According to him, he was no longer a member of the PDP and would not go back to the party, adding that the Independent National Electoral Commission (INEC) has already cleared him to contest the election. He said: “My opponents are threatened by my track records and acceptability among the people, especially the grassroots. They know that at the coming polls, I will beat them silly and that is why they are cooking all kinds of stories against me.”

THE NATION MONDAY, JULY 7, 2014

CITYBEATS

• Scene of the incident

•Folahan and his mother ... yesterday

Slain lawyer’s widow, son seek justice T

HE widow of the human rights activist, Mr. Kunle Fadipe, who was murdered in his Harmony Estate, Ogba, Lagos home, last Thursday by an unknown attacker, pleaded yesterday with the police to find his killer. “Please, my husband’s killing must not join the long list of unresolved murder cases, she said.” Mrs Kemi Fadipe and her injured son, Folahan, said justice is the only balm that could assuage the pains that the murder of their bread-winner has left in their hearts. “Only God knows when I will recover from this shock,” Folahan, 17, a student of Afe Babalola University, Ado-Ekiti (ABUAD), told The Nation. Kemi, who said she would miss everything that her slain husband stood for, insisted that the incident must be investigated and the mastermind brought to justice. She described her husband as a straight-forward person who

•Recount how he was killed By Adeyinka Aderibigbe

would not engage in any deal that could have warranted his killing. In agony, she said that although she initially thought her husband’s attacker was a robber when he demanded money immediately he entered the house, the way he stabbed her husband made her to realise that he could actually have been “a professional killer”. She said: “Upon reflection, I have come to the conclusion that my father’s killer is a professional. He stabbed my husband on the left side of his neck and the left armpit - all indicating that he knew the most fatal places to strike a human body. “I also realised that he was too much in a hurry. He was asking for too many things at the same time and threatening that somebody would die if all were not met. As he was asking for money, lap-

top and phones, he was not patient even when he saw that my husband and all of us were cooperating with him.” Mrs Fadipe said her husband had gone upstairs to get money for the assailant after demanding laptop, adding: “They were still on the staircase when he began to rain slaps on my husband. When my husband turned back to know the reason behind the assault, he was met with a terrible stab in the neck and that was when we knew he might have come for something else.” She added: “We hit the man with stool, wood, bottles and everything, but he just kept on stabbing my husband.” Folahan, who said he could not believe that his father would not survive the assault, recalled that he had gone out to switch off their generating set when the man suddenly stabbed him in the head with

Police burst car-snatching syndicate

MEMBER of a notorious car snatching syndicate that specialised in forcing their victims to withdraw money for them through Automated Teller Machines (ATMs) has been arrested by the police in Lagos. The suspect, Wasiu Taiwo, said his gang snatched over 50 exotic vehicles in less than five months, besides forcing their victims to withdraw millions of naira from their accounts. The DECOY Team of the State Special Anti-Robbery Squad (SARS) of the state police command intercepted the gang. The Nation learnt that the police team intercepted the robbers last Thursday night in Ejigbo after they had snatched a Honda Accord car and took the victim to an ATM where they collected his money. Wasiu was arrested while three others jumped out of the car when the decoy team closed in on them. Police sources said: “When the robbers noticed the police team, they started driving recklessly and operatives suspected them and gave them a chase. Three of the suspects opened the doors of the vehicle and jumped out. Op-

By Jude Isiguzo

eratives did not shoot at them because they were not sure they were armed robbers. One of them who was arrested is helping investigators to trail his fleeing accomplices”. Taiwo confessed that his gang had been terrorising residents for months, adding that most of the vehicles they snatched were moved across the border where they are sold to some car dealers. He said: “Whenever we snatched the vehicles, we would take their owners along in case there were security devices in the vehicles which we might not be able to operate. Besides, we took our victims to the banks where we forced them to withdraw money with their ATM cards for us; then, we would take them to a distance where we dropped them off. “Since we started, we have snatched over 50 cars and we sold most of them across the border where we have our receivers. We still have some of our buyers here in Lagos”. Police sources disclosed that the suspect was being detained in the SARS’ custody, adding that investigations were ongoing.

a knife. “When I looked up, he made to strike me again, but I blocked the knife and he cut my right hand. At that point, I ran inside and alerted my father, who ran out and upon seeing me in a pool of my blood, he accosted the man and asked him what he wanted. “The man demanded N500,000 and my father said he didn’t have that amount. He mentioned another amount and my father led him upstairs. They were still there when the man started demanding laptop and other things and just as my father was coming downstairs to hand those things over, he started slapping him and before we knew it, he was using the knife he brought with him on my father.” “We fought him, but he was too powerful for us. He must have been high on drugs because everything we hit him with had no effect on him. We attacked him with sticks, wood and bottles, but they had no effect on him. But we succeeded in blindfolding him

with a curtain and that was how we prevented him from escaping,” he said. He urged the Inspector General of Police, Mr Muhammed Abubakar, to ensure that those behind the dastardly act are brought to book. Folahan, who praised the police for their investigations into the matter, urged them to ensure that his father’s killers are unmasked and the reason behind his killing exposed. Meanwhile, eminent Nigerians have been trooping into the Fadipes’ home to condole with the family and pay their last respects to the departed human rights fighter. At his house on Saturday were: Mr. Femi Falana (SAN); founder of Coalition Against Corrupt Leaders Mr. Debo Adeniran; Chairman of Ejigbo Local Council Development Area (LCDA) Mr Kehinde Bamigbetan and his counterpart at the Ifako Ijaiye Local Government, Apostle Oloruntoba Oke.

Three die as policemen chase motorcyclists •Mob razes police van By Precious Igbonwelundu

•The suspect

O fewer than three persons, including a commercial motorcyclist, died yesterday as a Bus Rapid Transit (BRT) bus crushed them in Lagos. Although the identities of the deceased could not be ascertained because of the attendant pandemonium, it was learnt that the three victims were young men. The victims, according to sources said, died as the motorcyclist was trying to evade arrest by a police patrol van enforce the Lagos Traffic Law on the Lekki-Epe Expressway. According to a n eyewitness, Matty Odoh, the incident, which occurred at Awoyaya Bus Stop, while the patrol team was chasing the motorcyclist, infuriated onlookers who razed the van. It took the intervention of the Nigeria Army’s Quick Response Group (QRG) to restore normalcy, he said. Police spokesperson Ngozi Braide could not be reached for comments as phone calls to her number were unanswered. The army’s 81 Division spokesman, Colonel Omale Ochagwuba, said he was not aware of the incident.

THE NATION MONDAY, JULY 7, 2014

NEWS

HE battle for the control of the Edo State House of Assembly between the Peoples Democratic Party (PDP) and the All Progressives Congress (APC) enters its fifth week today. The police have strengthened security around the Assembly complex. The roof of the chamber has been removed. Attempts by riot policemen to stop the renovation at the weekend failed as the 15 APC lawmakers put up a resistance. What has raised apprehension is the vow by the nine PDP lawmakers, including impeached Deputy Speaker Festus Ebea, to resume sitting today and the threat by the APC lawmakers to stop them. Residents bear the brunt of the power tussle, with massive traffic jams on major roads around the Oba Ovoranmen Square since the crisis began. Last week, the APC lawmakers conducted plenary at the old chamber in the Government House because of what they termed “on-going renovation work”. The Speaker, Uyi Igbe, who was teargassed last week by a policewoman, accused the police of working for the PDP lawmakers. He vowed not to allow the PDP lawmakers into the Assembly complex. “The PDP lawmakers want to forcibly enter one of the rooms and we are telling them it is not possible for them to come and sit. “We will rise against it and defend ourselves. Our blood will spill on this matter because we know we are on the right.

Edo Assembly battle enters fifth week •Activist sues lawmakers

•Policemen climbing the Assembly wall. INSET Police officers in front of the Assembly. From Osagie Otabor, Benin

“ They have threatened to kill me and today will be the right time.” PDP State Chairman Dan Orbih, at a briefing, said the nine PDP lawmakers would resume legislative business today. Chairman of One Love Family and Caring Association Patrick Eholor has sued Igbe and the 23 other lawmakers. Eholor said the lawmakers’ actions were “unwholesome and unbecoming”.

In the suit by his counsel, T Akahomen, the prosecutor is seeking for a declaration that the lawmakers, who sat at the Government House on July 2, breached the 1999 Constitution on the principles of separation of powers. He is also asking for an order directing the lawmakers to refund all financial benefits they may have received from the accountantgeneral and commissioner for Finance (27th and 28th defendants) from June 9 to government coffers.

He asked the court to compel the 27th and 28th defendants to put on hold, any financial benefit or entitlement; including constituency allowances due to the first to 24th defendants, until they resume their duties as members of the House of Assembly. According to the suit, “public funds are meant to service statutory services and duties. The first to 24th defendants have no justification to continue to enjoy any financial benefit of their offices.

Eight killed in Rivers clash

IGHT people have died in a supremacy clash in Oyorokoto, Andoni Local Government Area of Rivers State. Sources said there was a clash between suspected members of Icelanders and the Movement for the Emancipation of the Niger Delta (MEND) at the weekend. The bodies of seven of the victims have been recovered;

From Clarice Azuatalam, Port Harcourt

several others were injured. The sources said the suspected MEND members allegedly invaded Oyorokoto and attacked Icelanders members, who have their base in the town. “At the end of the fight, seven bodies were brought to the community waterfront for their relatives to claim them.

“The Oyorokoto community has been deserted by residents, who have fled to neighbouring communities. “Apart from Oyorokoto, people in other neighbouring communities in Andoni now live in fear as the two groups have their members in all communities in the area. “Oyorokoto had suffered from cult-related crises in the past but this is the worst, going by the number of casual-

ties. “Residents are to blame for refusing to chase the miscreants out of town. Members of the Icelander group are known to almost every resident of Oyorokoto, yet nobody is ready to do something about them. What we need is a military outpost in the area.” Police spokesman Ahmed Mohammed could not be reached for comments.

Field Wike, lose Rivers, PDP group warns

GROUP in the Peoples Democratic Party (PDP) in Rivers State, Rivers PDP Third Force Movement, has warned the party against fielding the Supervising Minister of Education, Nyesom Wike, next year. The group said if the party must win in the state, it must present another candidate. It condemned the decision of members of “Wike’s Forum of PDP Local Government Chairmen in Rivers State”, who called on the minister to vie for the governorship slot. The group’s General Secretary, Oprite Amachree, maintained that a widely-acceptable

From Bisi Olaniyi, Port Harcourt and Frank Ikpefan, Abuja

candidate should be presented by the PDP. He said: “Wike’s political antecedents have proved him to be a greedy politician, who is in it for himself rather than for the state. “He is not the type of candidate that PDP should think of presenting for the Rivers State governorship race. “If Wike is fielded, PDP will fail in Rivers State and the effects will jeopardise President Goodluck Jonathan’s chances of winning in Rivers State. “For Wike, nothing matters

more than presenting a situation of political rancour and building on such disunity to solidify his governorship ambition. “Wike’s sincerity to the PDP has been called to question because he has been more interested in binding the party structure at the national and state level in chains. “We urge the national leadership of the PDP and President Jonathan to consider strongly, the antics of Wike and his politics that negates the principle of zoning, which is in the PDP’s constitution and most recently buttressed by the decision of the delegates to the

•Wike

national conference.” The Rivers PDP Third Force movement also maintained that allowing Wike, who is the grand patron of the Grassroots Development Initiative (GDI), to represent the party would make the All Progressives Congress (APC) candidate to win.

Monarch hails Oshiomhole for cancelling test

HE Otaru of Auchi, Aliru Momoh, has praised the Edo State Governor, Adams Oshiomhole, for cancelling the competency test proposed for public school teachers. Speaking at the formal presentation of the winner of a Koranic recitation com-

From Osemwengie Ben Ogbemudia, Benin

petition in Jigawa State, the monarch said the move would douse teachers’ tension and fears on what they erroneously thought was a ploy by the government to retrench them.

Momoh said: “I was happy to hear that the competency test has been cancelled. The teachers are now back. Those who were sacked have been asked to resume work. “I thank you for this gesture and God bless you. So I must say that not only Edo State but Nigeria as a whole

must be happy about this development.” The monrach said the extension of other entitlements to the teachers would increase their productivity. “I hope the governor’s gesture would be adequately rewarded by the teachers and their union.”

PHOTOS: OSAGIE OTABOR

“Nigerians who are resident in Edo State ought to enjoy the services of the 1st to 24th respondents because they came to their offices by virtue of the votes cast by the Edo people; for which they subscribed on oath.” Eholor urged the court to direct the 27th and 28th defendants to make available the financial record of the refunds made by the lawmakers to the government and publish same in two national newspapers for record purpose.

21 inmates freed From Osagie Otabor, Benin

TWENTY-ONE inmates awaiting trial in the four prisons in Edo State have been freed by the Chief Judge, Justice Cromwell Idahosa. The inmates were freed based on missing files, delayed justices, no-case-to- answer, ill-health and remanded in error. Among them was a Nigerien, Badamusi Sanni, who spent five years and six months, on charges of unlawful kidnap. Sanni said he was arrested on allegation of giving directions on how to travel to Libya to his neighbour’s son. He said the neighbour’s son returned to Benin in 2011, but he was still kept behind bars. Justice Idahosa directed that Sanni be handed over to immigration officers. Others freed are John Sunday, Paul Edokpolor, Ndubisi Okoh, Kingsley Bassey ,Friday Edobor, Solomon Eghomaide, Mairo Okoro, Ehis Alemen, Eserinone-Julius Edafe and Ovbokhan Ehinoma. Also included are three women; Gladys Momodu, Rabiatu Yusuf, Idowu Omueti, ThankGod Momodu, Abdul Musa, Ibrahim Jimoh, Ramat Dada, Dauda Suleman, Godwin Stephen and Endurance Akpede. Edobor and Edokpolor, who have spent 16 years and eight months, were freed on health grounds.

63 abducted Borno women escape

O fewer than 63 of the 68 women who were abducted two weeks ago from three villages around Sambisa forest in Borno State by Boko Haram gunmen had escaped and reunited with their families, witnesses and security officials have said. Villagers within the hinterlands of Damboa Local Government Area where the abduction was carried out confirmed this yesterday in Maiduguri, the state capital. “I have just received an alert from my colleagues in Damboa area that about 63 of the abducted women and girls had made it back home. They took the bold step when their abductor went to carry out an operation”, a vigilance group official said. “We don’t have the details of their escape yet, but we believe God gave them the opportunity at the time the insurgents came in their large numbers to attack Damboa where 12 soldiers, including the Commanding Officer, six policemen, including the DPO, over 50 Boko Haram members and unspecified number of civilians were killed at the weekend. “If the information I have is something to go by, we still have five women and girls, among them is a nursing mother, who are missing for now,”, he said. A security officer told reporters that half of the women who escaped made it to their homes; others who were found wandering in the bushes near Adamawa State are now in soldiers’ custody in Gulak town, the Headquarters of Madagali Local Government Area.

Man killed during charm test From Osagie Otabor, Benin

25-year-old man, Osamame Isekhuere, popularly known as Black Arrow, has been shot dead in Benin City, the Edo State capital, while testing charms, popularly known as “Africa Insurance”. Many traders at the Oba Market locked their stores, following riots occasioned by the killing. A source said Isekhuere asked one of his friends to shoot him to test a new charm he just acquired. It was gathered that Isekhuere first shot at his friend but the bullet did not penetrate his body but when the friend shot him in the chest, the charm failed. The deceased was said to have died instantly. The late Isekhuere’s friends burnt down a building where the said friend rented an apartment. Police spokesman Uwoh Noble said he was yet to be briefed on the matter.

THE NATION MONDAY, JULY 7, 2014

NEWS

Boko Haram suspect killed S in gun battle

ECURITY operatives killed yesterday a suspected Boko Haram member in an early morning raid in Kinkinau area of Kaduna metropolis. The Nation gathered that the suspect was an insurgent leader, who escaped from Borno State. The suspect was said to have engaged security operatives, who were acting on a tipoff, in a gun battle which reportedly lasted for over one hour before he was gunned down while trying to escape. Although they were said to be two occupants in the rented apartment, it was not immediately clear what happened to the second occupant. The incident created panic in the area as residents claimed that the security operatives, comprising plain cloth personnel and armed soldiers, arrived in the area at 2am and surrounded the building; their leader ordered the occupants to come out.

Two-day public holiday in Adamawa

•Group writes Sultan From Tony Akowe, Kaduna and Gbenga Omokhunu, Abuja

Rather than obeying the order, the suspects opened fire on the security operatives, who responded promptly. Sources said the security operatives had been on the trail of the suspect for sometime. A resident, who described the incident as fire-for-fire, said: “The soldiers and police woke up us with shooting, when we tried to find out what was happening they drove us away,” he said. An Islamic organisation, Concerned Muslim Professionals (CMP), has expressed concern over Boko Haram activities. It advised the Sultan of Sokoto and President-General of the

Nigerian Supreme Council for Islamic Affairs, Alhaji Sa’ad Abubakar, to dialogue with members of the sect. The CMP said several Boko Haram members would have laid their arms and many wouldn’t have joined, if the Muslim leadership had engaged the sect in a dialogue. Its President, Mohammed Saidu, in a letter entitled: “Echoing the message of General Yakubu Gowon (rtd): A call for action on Islamic leadership of Northern Nigeria”, said: “There have not been any visible or invisible efforts by the Muslim leadership to convene such engagements at even a single location, let alone covering the whole troubled region. That could be why demand for action on the leader-

•Sultan Abubakar

ship is repeatedly made by well meaning citizens.” The group regretted that the sect’s activities have become an embarrassment to Islam. The CMP said: “The biggest task before our Muslim and Islamic leaders in the North is to reconcile the warring communities of Muslims and Christians through forgiveness, healing and genuine social integration and coexistence; similar to the one referred to by General Gowon on the Muslims of the Southwest. “The other task is to make Boko Haram come out of hiding, denounce terrorism and embrace government’s overtures.”

PDP accuses Oshiomhole of instigating violence in Edo

HE Peoples Democratic Party (PDP) has said the All Progressives Congress (APC) and Edo State Governor Adams Oshiomhole are causing crisis to stop its rising popularity in the state. The party accused Oshiomhole of stirring up the political crisis in Edo State to prevent an official investigation into findings that he has been squandering the state’s resources “to finance his vice presidency campaign”, instead of settling down to develop the state.

•Governor: PDP desperate for power

From Gbade Ogunwale, Assistant Editor, Abuja

A statement by PDP’s National Publicity Secretary, Olisa Metuh, said the governor was also embittered by the admittance of his aides, legislators and influential APC leaders into the “popular PDP train”. The statement said: “Having lost the confidence and support of the people, Oshiomhole has resorted to violence and black-

mail to intimidate and subdue them in line with the APC agenda. “The macabre dance playing out in Edo Assembly is an expression of defeatism or rather a terminal symptom of a decadent regime. “What else would have prompted the relocation of the state legislature to the governor’s office on the stage managed renovation of the assem-

bly complex if not a calculated plot to intimidate and compromise the lawmakers? “We however wish to inform the governor and the APC that their machinations will lead them to nowhere.” The government, in a statement, said: “We are not surprised at Olisah Metuh’s fabricated tales and his allegations against the comrade governor. “Nigerians know Olisah Metuh as a publicist who thrives on falsehood and propaganda. “The crisis in Edo Assembly is a product of PDP’s desperation for power in its attempt to capture anything in sight. It is the same theatre of desperation that is pervading the entire political landscape as a consequence of PDP’s show of raw power. “The governor’s record of performance has become a reference point in the history of performance and good governance in Nigeria. “His tremendous achievements across the state could only have been possible through prudent and transparent management of resources, especially in a state that was run aground by the PDP for 10 years. “We are not aware that the governor ever sought to contest for vice president. In fact we would have loved a situation where he would run for president to take us away from this regime of tactlessness. “But so far, the comrade governor has not indicated interest in any elective office for now. When he does indicate interest, we will inform Olisah Metuh. “The four lawmakers who tried to usurp the powers of the House only got a teaser of what they bargained for. To play around with a governor who was popularly elected by the people meant that they will incur the wrath of the people.”

ADAMAWA State Governor Murtala Nyako yesterday declared a two-day public holiday in the state. The observance of the holidays, slated for today and tomorrow, may stall the planned inauguration of the panel set up by the acting chief judge to probe allegations of misconduct levelled against the governor and his deputy Bala Ngilari as requested by the House of Assembly. Acting Chief Judge Justice Ambrose Mamadi’s tenure is due to expire tomorrow, which may also stall the impeachment process initiated against the governor and his deputy. It was learnt that should the acting CJ end his tenure without constituting the panel, it will take a long time for the process to get back on track.

Former policeman for burial July 11

FORMER Deputy Commissioner of Police, Ogun State Police Command, Benjamin Agboola Olaiya, who died on May 21, will be buried in Ode-Ekiti, Ekiti State, on

Friday. The late Olaiya, who also served in Imo State, died at Luton and Dunstable University Hospital, Luton, Bedfordshire United Kingdom. He was 84. A statement by the Special Assistant to the Ogun State Governor on Information and son-in-law of the deceased, Yemisi Fadairo, said funeral rites will start on Wednesday with a service of songs at Eko Club, Bode Thomas, Surulere, Lagos by 5pm. A commendation service would hold at St. Paul’s Anglican Church, Idi-Oro, Lagos, on Thursday at 9am followed by a wake at Kajola Street, Ode-Ekiti, Ekiti State at 7pm. Funeral service and internment will hold on Friday at St. Mary’s Anglican Church, Ode-Ekiti from 11am. Olaiya is survived by children, grandchildren and great grandchildren.

Communities shut ExxonMobil

From Kazeem Ibrahym, Uyo

OUTHS from ExxonMobil host communities in Ibeno, Akwa Ibom State, have shut down the firm’s operations over recurrent oil spills and unfulfilled promises. The youths, who blocked the main gates to ExxonMobil’s Quo Iboe Terminal, QIT, have vowed not to leave the area, until the company carries out proper remediation on the environment and also fulfilled some of the promises made during past oil spills. David Okon, the Secretary, Youth Presidents Forum and President of Iwuokpom community youth, where ExxonMobil has its jetty, said the most recent spill occurred last Thursday, when thunder struck the QIT tank farm and one of the crude oil-laden tanks went up in flames. Okon said several hundred barrels of crude flowed through Mkpanak community into 26 other communities in the area, spanning over 35 kilometres. He said: “Our grievance is that since last year, there was an oil spill at the QIT that flowed from Inuaeyet Ikot village to Okposo, about 35 kilometers on the coastline towards Mbo Local Government Area. “Since then, Mobil has refused to clean up our environment. It issued an acknowledgement letter to indicate that their tank busted. “When a major spill occurred last December, it promised to provide relief materials to our people and pay compensation. Till now, it has not done anything. Last week, two of the tanks got burnt and crude flowed into our communities.” A community leader in Ibenno, Williams Mkpa, said the people have an axe to grind with ExxonMobil. Mkpa, who corroborated with Okon, lamented that the economic mainstay of people has been affected. He said: “When similar incidents occurred, the community usually agitates for cleanup and adequate compensation. “But in its usual way, ExxonMobil has refused to respond to those requests because it doesn’t have the interest of the people at heart. The company’s spokesperson, Akaninyene Esiere confirmed a liquid release from its Qua Iboe terminal facility on June 29, following serious weather conditions and lightning strikes over the area. In an email, Esiere said: “We have activated our emergency response systems and contained the release. All relevant regulatory authorities and community leaders have been notified. We continue to work with the community to allow progress to the remediation efforts. MPN remains committed to environmentally safe operations. “MPN regrets the weather conditions that led to the situation and appeal for the communities’ support to allow access to the beach area to complete remediation work.” Commissioner for Environment Enobong Uwa said the government has waded into the crisis to ensure that peace returned to the area. He confirmed that a meeting has been scheduled in Uyo on Wednesday between the government, the oil company and leaders of the host communities.

Group canvasses for Doma’s governorship campaign

GROUP, Nasaran Akwe Doma 2015, has called on former Nasarawa State Governor Aliyu Akwe Doma, to contest in 2015. The group said during Doma’s tenure, there was peace in the state. Its Chairman,

From Johnny Danjuma, Lafia

Abubakar Akiri , yesterday in Lafia, the state capital, said the insecurity in the state is worrisome. He said: “We feel strongly that we should call on ‘Baba’ to yield to the yearning of the

people to offer more services to the state. The people have realised that if given the mandate, he would perform better. “Aliyu Doma has the determination to promote peace, unity and fast track the overall development of the state.”

THE NATION MONDAY, JULY 7, 2014

COMMENTARY FROM OTHER LANDS

EDITORIALS

Rich country, poor citizens • Nigeria earns N39trn in four years; yet misery remains prevalent in the country!

OTHING symbolises the poor governance quality in Nigeria than the bewildering irony of a polity that is awash with cash, yet rich only in misery. It is a forlorn metaphor that has dogged the Nigerian state since the days of the oil boom in the 1970s and it seems to earn reinforcement today more than before. The current report by the Nigeria Extractive Industries Transparency Initiative (NEITI) for 2007 to 2011 corroborates this point. NEITI, which seems to be the most up-and-doing fiscal reporting agency has revealed that Nigeria earned N30.09 trillion in the four-year period under review, yet there is hardly a visible impact on the wellbeing of the citizenry and social infrastructure. Presenting its audit report titled: “2007 – 2011 Fiscal Allocation and Statutory Disbursement Audit,” NEITI noted that the total sum was made up of remittances from mineral, non-oil and value-added-tax (VAT) revenues. NEITI chairman, Ledum Mitee, however, pointed out that high recurrent expenditure and diversion of funds were reasons why poverty still ravaged the land despite huge earnings. For instance, in the past decade, recurrent expenditure component of the budget has continued to bloat, peaking at about 75 per cent a few years ago. Efforts by the current government to work it down have yielded only marginal results of a mere one or two percentage points. There are also about 500 ministries, departments and agencies (MDAs) of government, many of them having overlapping functions while quite a number have no direct impact on the economy or welfare of the people. A recent attempt to prune the

MDAs through mergers and outright scrapping has been futile as the Goodluck Jonathan administration has been unable to muster the political will to carry out such radical change. The result is that what is supposed to be annual budget is mere annual binging on Nigeria’s commonwealth by a handful of the population. If the nation were only plagued by excessive recurrent expenditure, there may not have been such ruinous negative impact. But the report also highlights various methods that successive governments have deployed MDAs as veritable conduits for ‘slush funds’ used for financing extrabudgetary projects. These include setting up of dedicated and specialised funds whose proceeds are never applied for the purpose for which they were set up. The report mentioned quite a number of such funds which includes the Natural Resources Development Fund (NRDF). Going by the name, the need for this fund is explicit but over the years, NRDF became a loose source of funds for everything else but the development of natural resources. There is also the Ecological Fund designed to ameliorate various environmental conditions plaguing the nation, like erosion and desertification. However, the report notes that: “Disbursements from it were made to beneficiaries outside of the purpose for which the fund was set up… and that only 36 out of 139 projects undertaken by the fund were completed between 2007 and 2009.” The Petroleum Technology Development Fund (PTDF) and the Tertiary Education Trust Fund (TETFUND) are two other honey-pots cited by the NEITI report which suffer gross official abuse and through which the huge resources accruing to the country are

misappropriated, stolen or simply frittered away. The level of untrammelled graft and wastages that go on unchecked in the Nigerian system would relentlessly stunt the country’s development. Though Nigeria has a number of anticorruption agencies, they have become overwhelmed or suborned, thus are now part of the rot in the system. It is the same for the office of the Auditor-General of the Federation which ought to independently track and report government expenditure but has become a poor cousin of the MDAs. For the umpteenth time, we urge the Federal Government to lead by example and exhibit some fiscal rectitude. It must return to the path of prudence and growth by priming various anti-corruption and fiscal reporting agencies to work. Need we admonish that most of the social ills besetting our nation today have their roots in our financial recklessness. The people are acutely being pauperised; this is dangerous.

‘The report also highlights various methods that successive governments have deployed MDAs as veritable conduits for ‘slush funds’ used for financing extrabudgetary projects. These include setting up of dedicated and specialised funds whose proceeds are never applied for the purpose for which they were set up’

The new Pension Law •We welcome the fundamental amendments, but ...

S far as good intentions go, it is hard to fault the latest amendments to the pension law as signed by President Goodluck Jonathan on July 1. If anything, a good number of the provisions would appear to speak to identified lacuna in the old law – the Pension Reform Act, No.2, 2004 – now repealed. Among its many provisions, the new law increases contributions into the scheme. Whereas the old law mandates a minimum of 15 percent of basic pay – split evenly between the employer and the employee – the new law hikes contributions to 18 percent – but this time with employers and employees bearing differential burden of 10 and eight percent, respectively. This translates to additional benefits to workers at retirement, particularly their monthly pension benefits.

‘As for the provision lowering the threshold for coverage to firms with a minimum of three employees, we must say that as desirable as it appears, the question is whether this can be decreed by legislation, given what we know of the generally poor climate of doing business in the country. We certainly wonder if this law would not be a sort of overkill because of the impregnable odds already faced by small and medium scale businesses’

Another provision is the lowering of the threshold of coverage for the private sector to three employees as against five under the old law.The idea here is to bring small and medium-scale operators into the pension net. It also expands the scope of utilisation of pension funds to cover the real sector, including infrastructure and housing development, with an eye on ensuring the safety of pension fund assets. The law comes with stricter penalties for Pension Fund Administrators (PFA) who fail to meet their obligations to the pension contributors as well as failure to comply with the provisions of the Act. Now, there is a 10-year jail term for persons found guilty of misappropriating pension funds, just as pension thieves are liable to disgorge three times the amount they stole. No less important is that the Nigerian Pension Commission (PenCom) can now, subject to the fiat of the Attorney General of the Federation (AGF), institute criminal proceedings against employers who persistently fail to deduct and/or remit pension contributions of their employees within the stipulated time – a provision that was lacking in the 2004 Act. Ten years after the initial legislation, there is hardly any question that some of the changes have become inevitable. Given the nation’s experience of the criminal abuses by officials of pension funds in recent years, it is hard to argue for anything less than stricter laws to deal with them. Indeed, some of the earlier penal provisions would appear laugh-

able if not entirely ridiculous, given the scale of heist that we have seen, particularly in the area of public pensions. The same of course goes with the general principles behind the tightening of the regulations to ensure that employers remit their workers’ contributions promptly. Here, if merely for the fact that benefits under the reformed pension law are strictly defined, it goes without saying that employers need to come to terms with the fact that they have the onerous burden to ensure that employees’ expectations are not jeopardised by failure to remit the funds to their custodians. As for the provision lowering the threshold for coverage to firms with a minimum of three employees, we must say that as desirable as it appears, the question is whether this can be decreed by legislation, given what we know of the generally poor climate of doing business in the country. We certainly wonder if this law would not be a sort of overkill because of the impregnable odds already faced by small and medium scale businesses. All said, we welcome the new thinking behind the proposal to channel a portion of the pension funds into the real sector. Although, it does not aspire to change much, it is still a step in the right direction. What we expect to see in due course is a fundamental rethinking of the current course in which the pension funds are locked up in lowyielding but relatively safe and secure instruments as against deploying it to moderate interest rates.

Israel vs. Hamas: Moving in the wrong direction again?

S there anything sadder than the killing of children? Of course not, and no one should be surprised at the shock, distress and outrage in Israel after the bodies of three missing teenagers were found Monday. The boys, kidnapped more than two weeks ago, were apparently shot and then partially buried in an open field near the West Bank village of Halhul. What kind of world, what kind of politics, can possibly justify the abduction of teenagers in the name of ideology or nationalism or religion or whatever it turns out was the motivation for this gruesome act? The events of the last two weeks are a heartrending reminder of the high price of disengagement. If, as Israeli Prime Minister Benjamin Netanyahu suggests, the kidnappings were the work of Hamas, they should serve as a stark reminder that the militant Islamic organization has not changed its ways. Since its founding during the first intifada in 1987, Hamas has been responsible for countless civilian deaths, and its leaders — notwithstanding their recent reconciliation with the Palestinian Authority — have not evolved substantially since then. Hamas has not officially endorsed a two-state solution to the Israeli-Palestinian conflict or promised to renounce violence or acknowledged Israel’s right to exist. It’s unclear as yet what its role was, if any, in these most recent events, but its top officials loudly celebrated the kidnappings. Hamas obviously cannot be a meaningful partner in the search for peace as long as it remains committed to violence and rejectionism. At the same time, the killing of the Israeli boys must not become a pretext for further withdrawal from the ailing peace process. If anything, the events of the last two weeks are a heartrending reminder of the high price of disengagement. “Hamas will pay,” Netanyahu vowed after the boys’ bodies were found, and indeed, the crackdown is already underway. But Israel must behave carefully and responsibly rather than emotionally. Of course it must defend its citizens against enemies. But Netanyahu must also display the evidence he says he has that Hamas orchestrated the killings. He must minimize civilian casualties and not engage in the collective punishment of people who have done no wrong. He must not undermine those Palestinian leaders, such as President Mahmoud Abbas, who say and do the right things. Israel — as well as the Palestinians — must find reasons to come back to the negotiating table rather than seeking excuses to walk away. This conflict, like other conflicts around the world, has killed many innocent children. Some are Israeli children who have died at the hands of terrorists. Others are Palestinian children who have become collateral damage in repeated Israeli assaults on Hamas and other groups. The tragedy for parents, for neighbors, for communities is real either way. The latest deaths must not become a justification for an escalation of violence, for the continued death of innocents or for yet another downward spiral in the depressing and destabilizing war that so often seems to be moving in exactly the wrong direction. – Los Angeles Times

TRUTH IN DEFENCE OF FREEDOM Managing Director/Editor-in-Chief Victor Ifijeh • Editor Gbenga Omotoso •Chairman, Editorial Board Sam Omatseye •General Editor Adekunle Ade-Adeleye •Editor, Online Lekan Otufodunrin •Managing Editor Northern Operation Yusuf Alli •Managing Editor Waheed Odusile

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THE NATION MONDAY, JULY 7, 2014

CARTOON & LETTERS

IR: Permit the liberty I take in addressing this open letter to our President, Dr Goodluck Jonathan. I am a bona fide Nigerian and a senior citizen. I am by the grace of God past 84 years. I have been active in politics since I was 16 years old from the secondary school. I was a very active member of the disciplined Zikist Movement. I was a local president of the NCNC/NEPU alliance in Bukuru on the Plateau in the 1950s. I was a very effective and successful Trade Union leader as a young adult on the Plateau. I have made great contributions in both participating in sport and in the development of youth through sport. Forgive my talking a bit of myself. I do so only to justify the liberty I take to address this letter to my President because I am going to base this letter to the President on my Christian faith and understanding of politics and governance. My understanding and only accepted definition of politics is that it is the proper management of the affairs of men. Nigeria for decades has been indulging in politics and

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Open letter to President Jonathan governance that uphold the politics of steal, kill, and destroy Nigeria’s economy and in consequence, the Nigerian people. I had hoped that you might incline your pattern of politics and governance to providing life and life more abundantly for our economy and people. Your Excellency’s government and politics to my understanding, inadvertently mingles and battles to sustain the policy and practice of hurting Nigeria. I therefore deem it a bounding duty and responsibility to draw your Excellency’s attention to my personal views on events and developments since you became president. Corruption is not just the dynamic

manifestations of the sordid acts of scoundrels and kleptomaniacs; it is the calculated ruining of that which is good by any individual, group of people, or government. In the polity, corruption has developed to a very dynamic and powerful major national religion. It is an admixture of religions in Nigeria championed and piloted by Christians and Muslims. Corruption as number one religion of Nigeria, craftily eschews tribe, gender and religion as qualification for membership. The only qualification for membership is that one can steal, kill and destroy the economy of Nigeria and in consequence what sustains Nigeria’s greatness. Governments and some leaders in Ni-

geria are ‘unconsciously’ obligated to make a bee-line for membership of the religion of corruption because of the attendant benefits of filthy lucre. Dear President, the goings on in Nigeria polity under your leadership is progressively taking on new, worrisome and dangerous dimensions. It is beginning to appear that President Goodluck Jonathan is either re-elected in 2015 to rule us for another four -year term or there will be no Nigeria. May it not be so please Mr. President! The prevailing pattern of politics and governance in Nigeria is awkward, very irresponsible, heartless and treacherous. It sustains a season of falsehood, deceit and confusion. These

Amnesty for Boko Haram: Where FG missed it

IR: I read with dismay and mixed feelings excerpts of President Jonathan’s on May 29, wherein the Boko Haram Youths were promised amnesty and assurance of series of integration programmes for those who will surrender their arms and embrace peace. Although this idea is good but it cannot achieve any meaningful. The amnesty idea is a bad one because it is a call for more militant groups to spring up or crystallize in any other part of the country. Who knows whether it was the Niger Delta amnesty that led to the current on-going insurgence? Amnesty at this point is like increasing the probability of occurrence of further insurgence in the future. Going by critical analysis of this insurgence, one would agree that it is a product of idleness on the part of our youths. Take for instance, most of our youth perceive their future as being bleak in all ramification. The priviledged few went to school, read and qualified to be employed but then, then cannot find jobs. Their contemporaries that are less priviledged to read much, struggle to learn one trade or the other, but they are disappointed because of the non-conductive prevailing environment to establish a business. What this connotes is that our

youths are ready market for the Boko and other allied insurgences. It is the responsibility of the government to see to the well-being of her citizenry through proper, timely and adequate education, orientation and integration schemes. But it seems our three tiers of government today are shying away from these vital and responsibilities. Instead, they embark on trivialities and things that have little or no value to the life of a common man.

If all the terrorist appendages were educated and employed, their sponsors and collaborators will not find it easy to convince or influence them to take arms against their fellow brothers and sisters. Although the issue of hidden agenda cannot be ruled out in this unfortunate scenario, the magnitude would not have assumed this alarming dimension. It is imperative for the Federal government to realize that the amnesty is a psychological game, the

success of which hinges on chance. If it motivates the insurgents, they will down-tool their arms, if not, the struggle continues. However, government should not depend absolutely on this method; other means should be considered simultaneously to overcome this strange and hydra-headed problem ravaging the nation. • Ipadeola J. Adebayo, Ibadan

add up to one word: - TERRORISM. You met us as one Nigeria – even though currently a very sick country. You can facilitate our healing and improve our lot by applying the “Balm of Gilead”. If you cannot heal and improve our lot, please apply a soothing balm: The “balm of Gilead”. The ongoing politics is perilous and portends nothing but intent towards the destruction of a nation. Dear President, I persuade you not to run for election in 2015. You are already President and as ex-President, your privileges will be immense and kept alive for as long as you live. You will also have the privilege of being a positive reference point for politicians because of your noble act in contributing to the preservation of your country Nigeria. The most unfortunate thing that has happened to Nigeria during your regime is the unfettered advantage and privilege given to hypocrites, evil doers, godless and dangerous folks who found their way into your choice team of senior advisers. They are vehicles of destruction. They are hell-bent on amassing wealth and destroying Nigeria. They desperately need another four years to accomplish their devilment. Like the First Lady once rightly exclaimed, “There is God o!” Let the mischief makers realize that there is a God Almighty – the final arbiter who can kill both body and soul in hell. Do not contest the elections in 2015. God bless you Mr. President! Save Nigeria and you will have a worthy name. • Rev. Dr. Moses Iloh Lagos

Bring back our girls: 84 days after

IR: More than 80 days after close to 300 schoolgirls were kidnapped in Chibok by Boko Haram, and many weeks after the Nigerian army claimed it had located them, nothing concrete has been achieved and the missing girls remain in the bush, far away from their families. The girls were said to have been loaded into trucks by Boko Haram insurgents on April 14, as they slept in their school dormitories in Chibok, a rural area 130 kilometres from Maiduguri, the capital of Borno State. While 57 escaped, at least 219 others have only been seen in a video released by Abubakar Shekau, in which he threatened to sell the girls into slav-

ery unless they are swapped with detained Boko Haram members. Even with international help from countries like United States, Britain and France, the Nigerian army has failed to either rescue the girls or strike a deal with the insurgents to release them. It is now obvious that no one knows where the girls are or what has been happening to them. No one can say authoritatively how many of them are still alive or even well. After initially claiming that it had rescued the girls, only to retract its statement following media backlash, the Nigerian army seems to be losing credibility in the rescue saga by the day.

The Nigerian government also seems eager to turn the page and late last week, President Goodluck Jonathan embarked on what the Washington Post called “newspaper diplomacy” by writing an opinion article in The Washington Post. His claims that his heart aches over the missing Chibok girls could be taken with a pinch of salt. The ban on #BringBackOurGirls protests in Abuja some weeks ago, the seizures of many newspapers critical to the government and the rhetoric by the Nigerian army against the Nigerian press suggest President Jonathan and his administration simply want to turn the page and focus on the 2015 elections coming up next year.

But newspaper diplomacy and intimidation cannot erase the fact that the girls are still missing 79 days after they were kidnapped. The administration would like Nigerians to forget about the missing girls and move on. But we will not. Over 35,000 security personnel were deployed for the Ekiti governorship election. Why can’t there such massive deployment of troops to rescue the girls? We believe the best diplomacy the President can embark upon is to first find the girls, rescue them and reunite them with their families. Anything short of that is just balderdash. • Oni Oluwatobi David, Lagos.

THE NATION MONDAY, JULY 7, 2014

COMMENTS

OSSIBLY the most thought-provoking definition of money can be found in the hot book, The Richest Man in Babylon, by George Samuel Clason. The author said, “Money is the medium by which earthly success is measured.” News that Forbes, the respected American business magazine, rated Oba Frederick EnitiOlorunda Akinruntan, the Olugbo of Ugbo land, Ondo State, as Nigeria’s richest monarch was food for thought, especially considering the fact that his wealth was estimated to be $300 million. According to the recent ranking done by Contributor Mfonobong Nsehe, Oba Akinruntan is the second richest African king, ahead of fellow Nigerian Oba Okunade Sijuade, Olubuse II, the Ooni of Ife, Ile-Ife, Osun State, who is ranked third among the first five on the continent and said to be worth $75 million. These financial figures were not only revelatory; they were also eye-opening and eye-popping. It is remarkable that Akinruntan was quoted as saying that the magazine underestimated his personal wealth. “I know my worth,” he reportedly said in reaction to the publicity, “and I am not surprised to be referred to as a wealthy monarch, but the joy here is that good news is coming from Nigeria and I am sure this will also enhance the status of many monarchs in Nigeria at the international arena.” He said further, “I didn’t know that any international organisation is conducting any research on my business profile, that’s why I was surprised when a top security officer invited me to his office in Abuja and broke the news. Immediately I entered all of them stood up and hailed me as the richest monarch in Nigeria.” He added, “I asked who did the ranking and the Forbes website was opened for me to see. I began to receive congratulatory messages from all over the world. I feel excited because of my humble beginning. God blessed me and made me a prosperous monarch today.”

‘It is worth stressing that demanding convincing demonstration of social responsibility from Oba Akinruntan is not necessarily to argue for social entitlement. Rather, the point is that his royal office, which implies rulership and governance, should be a fount of measurable communal progress and not meretricious insubstantiality’

IG infrastructure projects are by their nature, social investments, especially in developing markets, where the provision of basic services is often lagging far behind the needs of fast growing populations. The provision of power, water and transportation infrastructure are often taken for granted in the developed world, but serve an undeniable social purpose in Africa. The electricity that we deliver to rural villages can be the difference between a school student’s ability to do his homework or not. The water we supply dramatically affects the health of those given access to it. Similarly, the roads, bridges and railway lines we construct make it easier for people to get to their respective destinations. The jobs that are created by infrastructure projects themselves deliver a social return and we are proud that in Lagos about 423,000 jobs have been created on infrastructure projects over the last three years. These are the considerations that we take into account when examining each and every one of the projects we embarked on. Lagos is not alone in Africa in having to address a vast infrastructure challenge. The World Bank estimate is that Africa faces infrastructure investment deficit annually of US$93 billion for at least a decade. That is far beyond the capacity of African governments to address alone. Alternative sources of finance must be found, wherever we are on the continent and so, while providing a social good, infrastructure projects are increasingly required to also deliver a commercial return to those willing to invest in it as an asset class. One of the most impressive achievements in the infrastructure space over the last decade has been the ability to deliver on projects that attract international investment. De-risking infrastructure investment in Africa, while delivering a strong commercial return means that going forwards, we should be able to attract more and more of the investment we need to bridge the gap. In 1999, following the return to democracy and the election of Asiwaju Bola Tinubu as Governor of Lagos State, the revenue of the state was certainly not enough to deal with challenges facing the state. The revenue generating ability was limited and the needs of citizens immense. It was clear that unless a financial reengineering took place, the state would neither have the resources, nor the capacity to deliver on what it required to build the city. I have been lucky enough to serve in both the administrations of the Asiwaju, and his successor the current Governor of Lagos State, Babatunde Raji Fashola and I am proud to have been involved in delivering such a revolution. From less than 700,000 registered tax payers when our party took office, we now have over 4.2 million. From a state budget of N69 billion per annum we now have a budget of N497 billion per annum. At that time, the state of Lagos did not have a single public ambulance, from rickety garbage collection to an organized garbage collection leading to advance recycling and sorting. Managing 10000 tones of waste on a daily basis, and creating jobs for thou-

King of cash His thrill is stupefying, and he obviously considers it a big deal to be numbered among the affluent. He may likely be in the category of those whose goal in life is to be a billionaire, which he has achieved because his estimated fortune in US dollars puts him in the billionaire bracket in Nigeria. His billionaire status is illustrated by the fact that he has reportedly sunk N10 billion into the construction of a so-called ultra-modern palace in Ugbo, which is being built on over seven hectares of land and ultimately expected to cost N30 billion. However, the absurdity of this particular project can be recognised from the fact that he is a mere mortal and cannot guarantee that he would be around for its completion. What is more, when his reign is over, will his successor be in a position to maintain the expensive white elephant? Perhaps Oba Akinruntan deserves a bonfire for his vanities; and he apparently has quite a few of them. His narrative about one of his large luxuries provided an enlightening evidence of extravagant thinking, particularly his emphatic claim that he was the next to own a Rolls Royce Bentley 2014 model after the Queen of England. He said: “I love Rolls Royce. It is a car for the royalty. Sometime in 2012, I was in England and I saw the latest Rolls Royce car drive pass and I went to the manufacturing company to make enquiries about it, they told me the one I saw belonged to the Queen and the model was to come out in 2014. I said I wanted it and we negotiated, that’s how I was using Bentley 2014 model as early as 2012. I remember when I drove it to the Presidential Villa in Abuja recently; many Presidency staff took photographs with it.” Again, it is easy to see that he is in seventh heaven over his prized earthly possessions and clearly ecstatic about the flattering attention he claimed to have been getting on

account of his treasures. Of course, there is a subtext to his tale, meaning that the overriding but unstated reason for buying the status symbol was to project his distinction, which represents vanity. According to Forbes, “Oba Akinruntan is also the founder of OBAT Oil, one of Nigeria’s largest privatelyheld oil trading companies. He founded the company in 1981 with a single gas station to meet the needs of his family and neighboring community. OBAT Oil now owns more than 50 gas stations across Nigeria as well as one of the largest tank farms in Africa- a modern storage facility that has the capacity to store 65 million liters of petroleum products. He also owns an extensive portfolio of prime commercial and residential real estate in London and Nigeria, including the landmark Febson Hotels and Mall in the Central Business District of Abuja.” Unquestionably, Oba Akinruntan, who was enthroned in 2009, is entitled to his riches as well as the adulation of people who cannot see beyond the glitter. However, it would be useful to have a comprehensive picture of how well he is giving back to his community from his mindboggling resources. In other words, what percentage of his prosperity is invested in the lives of his subjects and the development of the community? It is unimpressive to present undetailed information about the extent of peoplefriendly and poverty-reducing efforts of Oba Akinruntan, which could suggest tokenism. It is worth stressing that demanding convincing demonstration of social responsibility from Oba Akinruntan is not necessarily to argue for social entitlement. Rather, the point is that his royal office, which implies rulership and governance, should be a fount of measurable communal progress and not meretricious insubstantiality. More importantly, it is not just about Oba Akinruntan. Individuals of his rank ought to be exposed to the observation by the World Bank President Jim Yong Kim at the April IMF/World Bank Spring Meetings, where he restated that Nigeria was among the top five countries with the largest number of the poor. Scandalously, the country ranks third on this list of infamy behind India (with 33 percent of the world’s poor) and China (13 percent). With 7 percent of the “wretched of the earth”, the country is ahead of Bangladesh (6 percent) and the Democratic Republic of Congo (5 percent). Together these countries are home to nearly 760 million impoverished people. The portrait of indigence is a tragic and inexcusable irony for an oil-rich country, and puts a huge question mark not only on the quality of governance at all political levels in the country, but also on the social conscience of the rich.

Infrastructure and social development By Obafemi Hamzat sands of Lagosians But as we have grown the state budget, so the challenges facing the government have also increased. From a population of 5.9 million in 1999, we now have over 21 million people and our population is believed to be growing at over six percent per annum; that is 10 times faster than New York or Los Angeles. Despite our ability to successfully increase the state’s revenue generating capacity, our physical infrastructure requirements continue to place significant demands on our balance sheet. We have to be able to invest faster than the state budget allows us to if we are to expedite the delivery of services to the masses. That is why Public Private Partnerships are so important and why we will continue to use them to find new and innovative ways to deliver the services our citizens need and deserve. For us, the concept of PPP goes beyond the simple structure of partnerships between the public and private sectors to reflect the lens through which we assess their potential impact. The first “P” is for People. All the projects we consider must fulfill the people of Lagos’ needs expeditiously, efficiently and economically. If they do not improve public service delivery, they are not considered as relevant initiative. The second “P” is for Possibilities. Removing the need for the government to use only its own funds we are able to consider a far greater wealth of possible projects and initiatives than we could without. The third “P” is for performance. For every project, we must set clear benchmarks, milestones and deliverables to audit the performance of the project against the promise. If they do not deliver tangible benefits, they must be held to account. Using PPP for social infrastructure? Classically, the concept of PPP in social infrastructure is about leveraging the capacity and skill of the private sector to enhance the delivery of social services such as education, health, shelter and security. All of which are equally important to the future development and prosperity of Lagos and its people. Many people often misinterpret this as the need to build physical assets, like hospitals and schools. The reality is that it can be much simpler than that. Let me cite a few examples: As the commercial nerve centre of Nigeria, Lagos is home to some of the world’s largest companies as well as our own emerging indigenous private sector with a rapidly growing need for skilled labour. Every private sector leader I meet with is crying out for

improvements in the relevance and skill by our university and Polytechnic graduates. Therefore, it becomes imperative to revamp and restructure our education curricula with a view to ensuring students acquire the right skills for employment, entrepreneurship and innovation, and we need to provide greater access to technical and vocational training. By doing so with a forward looking understanding of the needs of the private sector (a partnership), we can drastically improve the skills of our young people, and so their ability to secure sustainable employment, but also support even faster economic growth. I am of the opinion that better educated workforce will only increase our ability to attract investment. As such, we partnered with Samsung to build an academy that teaches electronics at a practical level. Besides, we have the following infrastructure to boost our water provision: Akute 10.15 MW plant, necessitated by the need to stop fueling with 33000 litres of diesel; Island IPP supplying electricity to government facilities such as General Hospital, Island maternity and a host of others; Alausa IPP supplying government offices with constant power. Finally, our vision for Lagos is to create a Mega City of the future. To do that we have to make decisions that show we have a “Mega Heart”. The social impact of the projects we initiate is the only true rationale for delivering them. Our challenge is to match the delivery methods to the expectations of our people. • Hamzat, Honourable Commissioner for Works and Infrastructure, Lagos delivered this paper at the Nigeria Infrastructure Building Conference.

‘But as we have grown the state budget, so the challenges facing the government have also increased. From a population of 5.9 million in 1999, we now have over 21 million people and our population is believed to be growing at over six percent per annum; that is 10 times faster than New York or Los Angeles.’

THE NATION MONDAY, JULY 7, 2014

COMMENTS

ASHIM Shettima, Governor of Borno State does not fit into the profile of someone that should be envied. Not with the Boko Haram insurgency that has left his state despoiled and devastated. Not with the controversies that have surrounded events emanating from his state in the last couple of months. By the same twist of circumstance, it has also become very difficult to assess his government in terms of how far he has been able to keep faith with his electoral promises. It is also possible that for the same predictable reasons, he may get away with some of his actions or inactions if they do not tally with the expectations of the people. He could as well take cover in the dire security situation in his state to justify his inability to perform very optimally. To that extent, he may be taking advantage of the good, the bad and the ugly on account of the delicate nature of events in his state. Borno State has been in a very precarious security situation since Shettima assumed office in 2011. Either by error of omission or commission, the state has since then come to carve out an unenviable record for itself as the lynchpin of the Boko Haram insurgency. But the phenomenon predated his regime as its foundation was laid during the regime of his immediate predecessor, Ali Modu Sheriff. It was during Sheriff’s regime that the original spiritual head of the group made his initial devious appearances that left in their wake, the destruction of lives and property of inestimable value. Events that then followed, controversial as they were, culminated in the killing of Mohammed Yusuf who was the rallying point of the radical Islamic sect. That is now history. Opinions are divided as to the reasons behind the escalation of the activities of the insurgency group since the death of its spiritual head. There are those quick to locate the upsurge in the untidy manner Yusuf was extra-judiciously executed. Others blame it on the abysmal living conditions of the people. Yet, some others are wont to heap the blame on partisan politics. From whatever prism one views the issue; it is trite that Shettima inherited the fallouts of the controversial handling of the uprising by Yusuf and his sect. He may not have had anything to do with the sect prior to his becoming the governor. He may have found himself a victim of circumstance thereafter.

Emeka OMEIHE 08121971199 email: EmekaOmeihe@yahoo.com

Kashim Shettima’s burden But he cannot run away from vicarious responsibility being the chief security officer of a state where the insurgents have left no one in doubt that they are largely in control. Shettima has by this twist of fate found himself between the devil and deep blue sea. And with every devastating move by the group, his predicament is even more compounded. Such has been the situation and frustrations of the governor. It was perhaps a mark of this frustration that a couple of months back, he had cried out that the Boko Haram insurgents are better motivated and better armed than our own troops. Hear him, “believe me, I am an eternal optimist. But I am also a realist. Given the current state of affairs, it is absolutely impossible to defeat Boko Haram. Have we ever succeeded in thwarting their plans?” he queried. His comments drew serious criticisms from the military, the federal government and the larger public. They saw such outbursts as an attempt to embolden the insurgents and dampen the morale of the military that have been making serious sacrifices fighting an asymmetrical war. Shettima also came under heavy fire for not appreciating the delicate nature of the war and for relapsing into selfpity instead of assisting the government to win it. He made efforts to rationalize his views but the harm had already been done. His motive became suspect because of the three states under a state of emergency; Borno has been the most problematic. It hosts a disproportionate percentage of the escapades and murderous activities of the sect. Matters were not helped by revelations that in some local governments, Boko Haram had been in charge

HEN a leader looks down on the very public on the strength of whose votes he got into office and tells them to their faces: “I don’t give a damn!” in response to a harmless question of public concern, what further evidence do we need to come to the grim reality that these are not normal times? A leader or any public office holder at all tiers of government should expect salvo of criticism from the watching public after all they are in office in the first place at the instance of the public from whom criticism of all shades come – justly and unjustly; besides criticism itself is an integral element in the social contract between the leader and the led. A leader has to develop a thick skin and learn to handle criticism and differentiate between positive criticism and that which can be classified as purely mischievous. But it is so unfortunate that, every so often, sycophants jump in the fray in defence of the source of their daily bread, ‘man must whack’ which hardly helps the matter. In Nigeria today, the campaign for re-election into office for the second term starts right from the inauguration of the incumbent. It is so unfortunate how quickly we have come to this sorry passé. For some inexplicable reason, the leadership carries on as if it is all about them alone; the plight of the masses doesn’t seem to matter anymore, which callously completes the obscene spectacle. Once voted into office, whether performance is below average or not, the leadership deploy all manners of gimmicks possible to entrench themselves in office and government if possible, for life. On all fronts, our new generation of political gladiators have been found wanting in sharp contrast to exemplary leadership of the first generation politicians. Sacrifices and selflessness are virtues of leadership that are lacking now. The late Prime Minister, Abubakar Tafawa Balewa and all the regional premiers and politicians of that era in government took a cut of 10 percent in their salaries to trigger off the drive for savings to finance our development. Really and truly, sacrifice has no place in the lexicon of the present generation of leadership. It’s so unfortunate that the selfless service rendered by the first generation of politicians cannot be replicated. The emerging picture of younger Nigerians can at best be described as a youth whose future has been hijacked and stolen by those who will stop at nothing at maintaining the present status quo. And again, there is a noticeable paradigm shift that now leaves the Nigerian youth holding on to the short end of the stick. Lest we forget, a time was when the Nigerian youth was not only vibrant but known for its penchant for the pursuit of a robust pan-Nigeria and pan African agenda. They were very prominent in the agitation and the build up to Nigeria’s eventual independence in 1960; their voice rang out to the whole world during the campaign against Apartheid era in South Africa. We remember

replacing the Nigerian Flag with theirs. All these are bound to arouse suspicion around the leadership of that state. When last week Shettima alleged that a cabal was working hard to create disunity between the federal government, the military and the Borno State government in resolving the Boko Haram crisis ravaging the state, he must have been outpouring his frustrations on the dilemma he found himself in this senseless war. He had in the statement, accused the cabal of deploying all possible means to “accuse the state government of so many wrongdoings that include unimaginable financial misappropriation that is beyond the income of the government, making efforts for personal contacts with a section of the military and other security agencies in Abuja and to feed them with falsehoods aimed at creating an impression that the state governor and his administration were funding insurgents”. These are very weighty issues. There was no indication who the cabal are or from where they are operating. But it does appear from the way the statement was framed, the alleged cabal must be operating from within Borno State or somewhere around there. But that is beside the issue. The moot point here is the perception of Shettima’s role in the battle against Boko Haram. He has drawn public attention to alleged attempts by the cabal to create the impression that the governor and his administration are funding the insurgents. That is the real delicate issue to contend with. As canvassed earlier, the Boko Haram insurgency predated his regime. But it has since then assumed a very dangerous dimension

such that is bound to raise questions about the role of the state government in the matter. It is possible Shettima is just a victim of circumstance. It is also not a remote possibility that he may have been handicapped by the situation he found on assuming office. He may also have been doing his humanly best to tame the situation. All these are possibilities. Yet, by the circumstance of his office and unenviable niche the insurgents have carved out in that state, Shettima undoubtedly, carries a heavy burden on why his state should be the epicentre of the Boko Haram insurgency. He bears the burden of the killing and maiming of his people. He bears the burden of the constant sacking and razing down of villages. He cannot sleep with the constant invasion of communities by the insurgents. And when the Chibok girls were abducted in very cloudy circumstances, his travails knew no bounds. Matters were not remedied by the relative ease with which such a huge number of girls were ferried out into the unknown. Questions are bound to be raised and the chief security officer of the state may have to provide answers to some of them. It is in the nature of the office he occupies and he must come to terms with that reality. He has made references to partisan politics as part of the reasons the cabal are on him. That could as well be. But there is also the feeling that Boko Haram in its present form is nothing but political grievance masquerading under a religious garb. Whatever it is, there is the urgent need for all to close ranks and save the nation from this madness. The Borno State government and its various elite must do more to resolve the dilemma posed by the obdurate dimension of the Boko Haram insurgency in that state.

‘Yet, by the circumstance of his office and unenviable niche the insurgents have carved out in that state, Shettima undoubtedly, carries a heavy burden on why his state should be the epicentre of the Boko Haram insurgency’

Memento mori: ‘There is God o’! By Adenrele Adeniran Ogunsanya with nostalgia the Ali-Must-Go University students’ uprising; we also note with pride the mass movement and outcry engineered by the Nigerian youth in the wake of the assassination of General Murtala Mohammed in 1975. Now in our clime, caution has been thrown to the wind; general comportment and etiquette has no place in our polity. Nepotism, greed, crude serial verbal abuse are the in thing across board; not to mention the colossal human lives that have been wasted and which to them is no big deal. We are in a nation where a man’s worth is judged by his fleet of cars; his chain of mansions and fat bank accounts – even if all were acquired through shady means. Education, from whichever direction we look at it, has remained our greatest problem. It is on record that at one time education alone cost more than 40 per cent of Western Region budget and 50 per cent of Eastern Region budget respectively. The leadership of these two regions saw education as the key to development. We tend to think that generating electricity is our biggest problem but a closer look at the situation on ground to my mind education is our greatest problem. As much as we have brilliant scholars, it is sad to note that for every one of those brilliant ones, we have over a hundred others who despite their university education and academic qualifications are unemployable and those employable hardly get employment. Perhaps the only glimmer of hope could be found in the crop of younger Nigerians, who in the midst of the chaos have been able to make bold statements at home and abroad in the areas of arts and entertainment. But what does the general picture look like? We have a generation of youth being used to snatch ballot boxes; an army of cult members engaged in daily bloodletting; able bodied men kidnapping for ransom to make a living; an ever rising population of youth in drug trafficking; violent armed robbers and sundry other vices. We are definitely sitting on a time bomb. A recent report published by BGL, a Lagos based consultant firm has it that five percent of the country’s population consumes well over 41 percent of the country’s resources while the remaining 95 percent is left to struggle with the remaining 60 percent – which practically translates to a few being overfed while the rest wallows in poverty; going to bed hungry and greeting each day with bout of hunger. The matter is made worse and more obscene by a leadership

which is not only insensitive but takes pride in indulging in grandiose lifestyle which invariably condemns the mass of the people to a life of needless deprivation in the midst of plenty. We started assembling cars before South Korea but today we are importing from Korea. When Malaysia began her agriculture revolution in the area of palm oil production, they came here to collect seedlings of palm oil and before our very eyes climbed to an enviable height as the world’s largest exporter of palm oil whereas we have consistently dropped abysmally in world reckoning. Major agricultural industries that shot our beloved county into world reckoning on the global market now lay comatose - the groundnut pyramid; the cocoa industry as well as cotton production. A time was in this same country when we were the highest producer of cotton in Africa with cotton contributing more 20 per cent to the nation’s GDP. It has dropped to a mere five percent. The malaise that afflicted the cotton industry is quite monumental, as we now limp with a mere 10 ginneries – a far cry from 51 scattered across the country in the 80s. In the South-west, we had specie of tomato with its own unique taste I still miss my grandmother’s stew till today. Our specie of tomatoes has disappeared and we now rely exclusively on the tomato from the north – have we spared a thought on this development? Does it bother us? Is there anything wrong in the continuous production of agricultural products that shot us on the world map and gave us world-wide recognition before the discovery of oil? Sincerely people on both side of the divide – the leader and the led have fair share of the blame for the slide that has become our lot in the country. While the leadership has chosen to ride roughshod, the followership cannot be said to be docile but seems to have been boxed into a corner, voiceless. There is therefore the urgent need for re-orientation of the masses of this country. I have no doubt on my mind that the hardship of recent times would have made our people know a bit more of what they do not want and how to reject it at the polls. The average Nigerian has over the years watch the country disappear as a result of our laid back attitude toward issues of national importance; we bury our heads in the clouds in a defeatist manner believing that things will get better without playing a positive role. The scenario playing out has greatly distorted the beautiful picture of Nigeria well meaning Nigerians craved for. • Princess Adeniran Ogunsanya served as Secretary to Government (SSG) Lagos State 2007-2011

THE NATION MONDAY, JULY 7, 2014

BUSINESS

THE NATION MONDAY, JULY 7, 2014

THE NATION

E-mail:- bussiness@thenationonlineng.net

ISSUES

CEO

‘Why govt should diversify economy’ - P. 27

News Briefing ‘Govt, banks pay lip service to SMEs’ NATIONAL President, Nigerian Association of Small Scale Industrialists (NASSI), Mr. Chuku Wachuku, has accused the Federal Government and banks of paying lip service to small medium enterprises (SMEs,) which according to him, contributes 95 per cent to the country’s gross domestic product (GDP). –Page 26

U.S. is biggest oil producer THE United States (U.S.) will remain the world’s biggest oil producer this year after overtaking Saudi Arabia and Russia. –Page 26

‘Policy sale via SMS, internet dangerous’

Europe is a good market for gas. Incidentally, Belgium has important terminals, such as the Port of Antwerp, through which Nigeria hopes to get its gas to the rest of Europe. We’ll start marketing our abundant gas resources to Europe.s •Group Managing Director, NNPC, Mr. Andrew Yakubu

Protecting investors against market failures - P. 32

Rivers votes N15b for entrepreneurship fund

HE Rivers State government has set aside N15 billion for entrepreneurship fund. Known as ‘Rivers State Private Equity Fund,’ it will be raised in three years to support people with great business ideas, but who lack access to affordable funds to actualise the ideas. The funds will be managed by specialised fund managers who will collaborate with the state government to ensure their proper administration. The fund managers, it was learnt will also come with their own funds, which will be combined with that of the state government in specific equities. The fund managers will participate in the manage-

By Emeka Ugwuanyi

ment of any business or enterprise with proposal considered deserving of financial support. For instance, if a business proposal requires about N100 million to execute, the state could provide N50 million or N60 million, while the fund managers will provide the balance of N50 million or N40 million, as the case may be. They will then become part of the management of such companies, a structure, which removes the government from its management. The Secretary to the State Government, Mr. George Feyii, told The Nation on the sidelines during the just concluded three-day Energy, En-

vironment and Investment Forum held in Port Harcourt, tagged, “Sustainable Energy, the Key to Africa’s World Integration.” The forum was organised by the state government. Feyii, said the proposal is currently before the State’s House of Assembly and expressed hope that the lawmakers will endorse it shortly, so that it would become operational this year. The fund, he explained, will get N5 billion this year, another N5 billion next year, adding that the balance of N5 billion would be realised in 2016. He said: “The proposal we have before the House of Assembly is called Rivers State Private Equity Fund and we

expect the fund to be N15 billion. We will make contribution to the fund in three instalments of N5 billion each over the next three years. We will start with N5 billion. “The objective is to create a way of supporting private sector with the benefits it brings, to make capital available to people who otherwise would not have had access to capital but have great ideas. And what that fund does is that the first year, the government makes a contribution, and there are specialised professional fund managers who also have their own funds. They merge government’s contribution with theirs. “So when proposals for providing capital come to them, they evaluate the pro-

Why aviation insurance is inefficient, by expert

THE Managing Director, Staco Insurance Plc, Sakiru Oyefeso, has kicked against the sale of insurance policies through internet, social media and short messages (SMS) by telecoms companies, warning underwriters of the danger of using such channels to drive insurance business. –Page 35

By Kelvin Osa Okunbor

DATA STREAM COMMODITY PRICES Oil

-$117.4/barrel

Cocoa

-$2,686.35/metric ton

Coffee

- ¢132.70/pound

Cotton

- ¢95.17pound

Gold

-$1,396.9/troy

Sugar

-$163/lb MARKET

CAPITALISATIONS NSE

-N11.4 trillion

JSE

-Z5.112trillion

NYSE

-$10.84 trillion

LSE

-£61.67 trillion RATES

Inflation

-8%

Treasury Bills -10.58%(91d) Maximum lending -30% Prime lending

-15.87%

Savings rate

-1%

91-day NTB

-15%

Time Deposit

-5.49%

MPR

-12%

Foreign Reserve

$45b

FOREX CFA

-0.2958

EUR

-206.9

-242.1

-156

-1.9179

SDR

-238

RIYAL

-40.472

posals in the strictest manner in which such proposals should be assessed. “They will now make investment into the companies that are starting up. A lot of people have great ideas but they don’t have money to fund it and some companies have got to stages where they need more money in order to grow but they don’t have access to the money and the banks are not structured to provide such money because of their risk factor. “The fund managers will look at such proposal and make available the fund that such companies will require and also be involved in the management of the companies so that the needed manage-

•From left: Marketing Manager, Cisco Systems Mrs. Morenike Alder; General Manager, Nigeria and English Speaking West Africa Mr. Dare Ogunlade and Executive Assistant to General Manager, Tola Olurinde at the Cisco Visual Networking Index Media Round table in Lagos. PHOTO: LUCAS AJANAKU

Cement quality: Manufacturers back Reps

AJOR cement manufacturers have pledged their commitment to align with the House of Representatives position that the 42.5 cement grade should be the minimum standard of quality that should be produced in the country. They said all expired cement in the markets should be withdrawn forthwith. The cement manufacturing companies, amongst them, Bua, Ibeto and Dangote, have alligned with the quality review by the Standards Organisation of Nigeria (SON), which pegged the 42.5 grade as being for general purpose use,pledging that they have no intention to produce lower quality cement. Meanwhile, the Lower House has slammed SON for not following due process before announcing the new cement grade. This was contained in the report of the Ad-hoc Committee on public investigative hear-

•House slams SON for not following due process By Toba Agboola

ing on the composition and pigmentation of cement, as indicated in its (cement quality) in Nigeria, resolution no (HR 27/ 2014), which was presented to the general assembly, last week. The lawmakers pointed out that in the course of the public hearing, SON published in the national dailies, a new grading/categorisation of cement , either with a view to preempt the outcome of the Committee’s assignment, or to demonstrate that it was on top of its responsibilities in the regulation of the sector. Hon Dogara’s ad-hoc Committee on Cement Composition and Pigmentation had, after a public hearing from stakeholders, submitted its report to the House of Representatives, in which it asked SON to commence implementation of its cement stand-

ardisation, saying manufacturers should retool their machines for the production of the higher grade of cement. It’s recommendation, according to the report, was based on the fact that if offered producers the chance of choosing between 32.5 and 42.5 grades of cement, consumers would choose the 42.5 higher grade and that because those employed for building structures are mostly non-professionals, it would be in the national interest to adopt a cement grade that is less susceptible to wrong application. Chairman of Bua Cement, Abdulsamad Rabiu, said after a meeting in Lagos, declared that what the House of Reps has done was a patriotic one that should be supported by all manufacturers with the safety and the well-being of the people at heart.

According to him, Bua which operates the oldest cement plant in Nigeria, Cement Company of Northern Nigeria (CCNN), has been producing the higher grade of cement right from the time of importation till the era of local production, adding that his company sees nothing wrong with the decision fo the House of Representatives. “As a responsible corporate entity, with the interest of the nation and its people at heart, we value the lives of our people more than profit, and therefore supports our lawmakers,” he said, He said what cement manufacturers and other stakeholders should do, is to cooperate with the SON as the regulating authority, so that the menace of structure failures, will become a thing of the past.

HE Deputy Director, Authorisation and Policy, National Insurance Commission of Nigeria (NAICOM) Mr Leo Akah has identified inadequate expertise to underwrite aviation risks, premium quotes, unfavourable terms , claims of control clause and jurisdictional clause as part of the challenges facing the business of aviation insurance. Akah said many practitioners in the insurance sector lack the requisite capacity to underwrite aviation risks affirming that such gap accounts for the preference of domestic carriers choosing foreign firms to undertake their insurance risks. Akah said the industry is struggling with other challenges including inadequate reinsurance capacity. He said most insurance companies struggle with high claims experience, a development that has had adverse effects on aviation insurance. He said aviation insurance has had huge challenges on account of the quality of reinsurers involvedin the business in addition to lack of aviation pool and huge premium payment required of airlines. He said:” The challenges of air carrier insurance in Nigeria are quite enormous. Primary among them include the uncooperative attitude of some airline operators. “There is also the challenge of confirming the actual boarded passengers with names in the manifest of an aircraft that has crashed. “The claims administration system ,incomplete documentation by claimants, fraudulent claims, multiple claimants as well as cultural and religious inhibitions.” But, all these challenges could

THE NATION MONDAY, JULY 7, 2014

BUSINESS NEWS

IMF’s training institute for Africa

HE first Steering Committee meeting of the International Monetary Fund’s (IMF) Africa Training Institute (ATI), which took place last week in Mauritius, welcomed the rollout of more courses on macroeconomic and financial management. The Committee called for more funding to meet the strong demand for this training in sub-Saharan Africa. In response, the Mauritian authorities confirmed that they would release the contribution that they had previously pledged, and Seychelles committed US$50,000 per year from next year. Representatives of four Africa Regional Technical Assistance Centers (AFRITACs), three ATI donor countries (Australia, China, and Mauritius), and IMF staff attended the meeting on June 27. Participating observers included representatives from potential donors, regional training partners, and heads of training of member countries. At the opening of the meeting, Mr. Min Zhu, the IMF Deputy Managing Director said that the Steering Committee is an important governance feature of the ATI through which member countries and donors have an opportunity to demonstrate ownership and provide guidance to ATI staff. Financial Secretary of the Ministry of Finance and Economic Development of Mauritius, Mr. Dev Manraj, emphasised that the ATI is a significant initiative, which would contribute to better economic governance, thereby improving the lives of many Africans in a very real sense. At the end of the meeting, Mr. Gerard Bussier, Chairman of the Steering Committee and a representative of Mauritius, and Mr. Vitaliy Kramarenko, Director of the ATI, made the following joint statement:

Phillips Consulting unveils online platform

HORTLIST Nigeria, a sister company within the Phillips Consulting group, has unveiled shortlistnigeria.com, a new self-service candidate sourcing database that connects employers and candidates directly with each other based on skill matches and opportunities. Launched in partnership with Phillips Consulting, a business management and human resource (HR) consulting firm, the online platform promises job seekers and recruiters an easier and simpler way to recruit. Chairman, Phillips Consulting Limited, Mr. Foluso Phillips, said: “Shortlist is structures to connect candidates and employers directly with each other through this online ‘talent pool’ that is created directly by job seekers. Simplicity and ease of use was the guiding principle in designing the powerful shortlisting tools incorporated into the process. This is a fundamental feature that will appeal to users who are currently frustrated by the job-hunting process.” Phillips said the firm has been working on the project for the past one year and is delighted that it proved to be a practical solution to Nigeria’s unemployment problems. He described the platform as a change in recruitment paradigm. “This is a major shift in today’s job hunting and recruitment paradigm. To be on a global platform where anyone can discover you is a wonderful opportunity for job seekers. To find the very people you need to fill your vacancies on this platform is even better,” he said.

‘Nigeria needs efficient procurement process’ T T

U.S. is biggest oil producer, overtakes Saudi Arabia

HE Nigerian Public Procurement Act, 2007, has the capacity to ensure efficient, transparent public procurement, and enhance national economic growth, if judiciously implemented, the Secretary, Professional Development, Nigerian Institution of Quantity Surveyors (NIQS), Dr. Ejike Anunike, has said. He said aithough a lot has been achieved after seven years of its implementation, corruption, conflicts of interests, fraud and other irregularities, have affected the full realisation of the benefits that could have been derived therefrom. Dr.Anunike, said Nigeria has been divinely positioned and blessed with a huge population, stating that if the nation must achieve its developmental goals, an efficient procurement, planning and implementation system is imperative because a lot of public funds are currently being lost to procurement infractions.

By Muyiwa Lucas

Anunike observed that the proper procurement plans that will ensure early multi-level and multi-sector consultations must be put in place at the onset. He explained that the current 30 year National Integrated Infrastructure Master Plan (NIIMP), developed by the National Planning Commission is a welcome development. He however cautioned that its implementation should not be truncated by succeeding governments, reminiscent of the National Development Plans of the 1970s and 1980s. He regreted that there is lack of capacity by many procurement officers and lack of proper procurement plans in many Ministries, Departments and Agencies (MDA) of governments He said the lack of a national integrated procurement plan, notwithstanding, there is hope that one

has just been developed for infrastructure. He said because many MDAs are still not conversant with all the procurement guidelines, this has resulted in the annulment of many procurement processes, or reversal of awards of contracts by the Bureau for Public Procurement (BPP). This has also been due to non-adherence to prequalification guidelines and wrong interpretation of the contentious issue of award of contracts to “the lowest responsive bidder, he said. “Discrepancies between budgetary appropriation and actual release of funds; late release of available funds, coupled with subsequent mopping up of funds at the end of the financial year, are all inimical to efficient and effective procurement of construction works, which usually have long project cycles of over six months,” Anunike said.

•From left: President, Association of Advertising Agencies of Nigeria (AAAN), Mrs Bunmi Oke; Chairman, Independent National Electoral Commission (INEC), Prof. Attahiru Jega and Registrar/CEO Advertising Practitioners Council of Nigeria (APCON), Alhaji Bello Kankarofi, during the visit of AAAN and APCON excutives to INEC’s office in Abuja.

‘Govt, banks pay lip service to SMEs’

ATIONAL President, Nigerian Association of Small Scale Industrialists (NASSI), Chuku Wachuku, has accused the Federal Government and banks of paying lip service to Small amd Medium Enterprises (SMEs,) which according to him, contribute 95 per cent to the country’s Gross Domestic Product (GDP). Wachuku lamented the dangers the development portends for the nation. He told The Nation that the Nigerian government and banks pay lip service to SMEs. We talk about SMEs contributing 95 per cent to GDP, what are we doing about it? he queried. “We just talk about it but do nothing in return. Bank of Industry talks about meeting quality standards to access their loans, but the officials are not quite explicite on how to achieve that, he said. “You just sit down and expect organisations to meet your standards,

By Toba Agboola

it does not work that way. You have to encourage these manufacturers to meet your standards for them to have access to finance. “Access to finance is something I would like to talk about, because when you go to banks, they give you conditions. How do you manufacture without capital? When you approach a bank for capital, they tell you that you do not have collateral, if you give them collateral, they say it is not acceptable. So how do we solve this problem? he asked, saying that is why at the national conference, “I will move a motion that there should be a fund set aside to be able to collateralise loans that SMEs require.” He said the policy statement issue is just lip service, adding that the country has not got down to the fundamentals. He said: “And the fundamentals

are the standardisations we need to stimulate growth and if you want to stimulate growth, you must stimulate export and domestic production. “In fact, Nigeria has enough market to consume whatever we produce. We have a market of over 300 million people across the West African Sub-region. “We have institutions that are just talking but they are not doing anything. If they are doing it, I will not be complaining. We have financial institutions that cater for 25 per cent of the institution that generates 95 per cent of GDP and you are neglecting the 95 per cent, that is Small and Medium Enterprises Development. “And until there is a good policy to address these issues, we are not going to get it right. That is why I will be proposing a motion that a particular fund be set aside under whatever, at the national conference,’’ he said.

Bribery rocks GlaxoSmithKline China

LLEGATIONS that pharmaceutical giant GlaxoSmithKline (GSK) systematically bribed doctors in China are credible, says an investigator hired by the firm. Peter Humphrey was hired only to investigate who was behind a suspected smear campaign against GSK. But after he finished his report, he learned the details of further allegations against the firm and told

colleagues he believed they were true. GSK told the British Broadcasting Corporation (BBC) it did not tolerate corruption in its business. “We have many policies, procedures and controls in place to monitor this and take action against any breaches. As we have said previously, the allegations that have been raised are deeply concerning to us. We are learning lessons from this situation

and we are determined to take all actions necessary as a result,” it said in a statement. The allegations against GSK’s China operation first emerged in an email in January 2013 from an anonymous and self-styled whistleblower to the company. This investigation did not find evidence to substantiate the specific allegations made in the emails”

HE United States (U.S.) will remain the world’s biggest oil producer this year after overtaking Saudi Arabia and Russia as extraction of energy from shale rock spurs the nation’s economic recovery, Bank of America Corp. said. U.S. production of crude oil, along with liquids separated from natural gas, surpassed all other countries this year with daily output exceeding 11 million barrels in the first quarter, the bank said in a report today. The country became the world’s largest natural gas producer in 2010. The International Energy Agency said in June that the U.S. was the biggest producer of oil and natural gas liquids. “The U.S. increase in supply is a very meaningful chunk of oil,” Francisco Blanch, the bank’s head of commodities research, said by phone from New York. “The shale boom is playing a key role in the U.S. recovery. If the U.S. didn’t have this energy supply, prices at the pump would be completely unaffordable.” Oil extraction is soaring at shale formations in Texas and North Dakota as companies split rocks using highpressure liquid, a process known as hydraulic fracturing, or fracking. The surge in supply combined with restrictions on exporting crude is curbing the price of West Texas Intermediate, America’s oil benchmark. The U.S., the world’s largest oil consumer, still imported an average of 7.5 million barrels a day of crude in April, according to the Department of Energy’s statistical arm. U.S. oil output will surge to 13.1 million barrels a day in 2019 and plateau thereafter, according to the IEA, a Paris-based adviser to 29 nations. The country will lose its top-producer ranking at the start of the 2030s, the agency said in its World Energy Outlook in November. “It’s very likely the U.S. stays as No. 1 producer for the rest of the year” as output is set to increase in the second half, Blanch said. Production growth outside the U.S. has been lower than the bank anticipated, keeping global oil prices high,” he said.

‘GE Garages‘ll create jobs’

RESIDENT and CEO of General Electric (GE) Nigeria, Lazarus Angbazo, said GE’s Garages program will promote job growth in Nigeria. GE Garages which was recently launched in Nigeria is an innovation and manufacturing centre where aspiring makers and entrepreneurs can go to develop new skills and learn about advanced manufacturing technologies The skills training program, which will run till July 11, 2014 at GE’s regional headquarters in Lagos, Angbazo further stated will bring together local partners including the Dangote Foundation and global partners including company employee activation specialist, Points of Light, to support sustainable skills and job growth in the country. Garages Nigeria is featuring curated speakers sessions and workshops amidst a fully equipped fab lab where participants can work with technical experts and use advanced hardware and software to bring their ideas to life, using equipment like CNC mills, laser cutters, 3D printers, and electrical engineering kits to quickly and collaboratively create new parts and prototypes. In partnership with the Dangote Foundation and other local partners, Garages Nigeria will expand into a program dedicated to training skilled entrepreneurs, employable workers and creating employment opportunities amongst service suppliers within the growing Power Generation sector. GE Africa President and CEO Jay Ireland said, “With more than 400 employees in Nigeria and 1,800 employees across 35 countries in the Africa region, GE is committed to supporting economic growth in Africa.

THE NATION MONDAY, JULY 7, 2014

THE CEO For long, successive administrations have talked about diversying the economy. The United States (US) has stopped buying Nigeria’s oil because of its discovery of shale oil. WEMABOD Estates Limited Chairman Dr Ismail Adebayo Adewusi says the time has come for the government to walk the talk on diversifying the economy. In this interview with LEKE SALAUDEEN, he also speaks on affordable housing, gross domestic product (GDP) rebasing and using agriculture to check rising youth unemployment. • Adewusi

AN we achieve affordable housing for the low income group in the country? It is achievable but it is a bit difficult. We have a shortfall of 17 million houses in Nigeria today. The capacity of government to build houses is hindered by paucity of funds. Government should not be directly involved in the production of houses. The private sector should be the driver of housing development. What government should do is to provide mortgage facilities, make land titling and documentation easy for prospective house owners. The absence of documentation makes it difficult for people to have access to mortgage loans. If it is made easy to obtain, it will boost the capacity of the individuals for housing requirements. The major challenges of housing include lack of individual capacity, lack of sufficient mortgage facility and lack of cheap loans for construction of houses. The 22 per cent interest charged by banks is too high. What can government do to ensure access to housing? The value of support provided by government will go a long way in solving the housing problems in the country. Government should set up financial institutions like they have in China. Such institutions would provide funds at highly subsidised rate for housing developers. Mortgage finance institutions will make it easier for

‘Why govt should diversify economy’ Profile Institutions attended

University of Ife; Keio University, Tokyo, Japan.

Qualifications

B.Sc (Economics); Ph.D (Economics).

Previous positions

Former Lagos State Commissioner for Budget and Planning.

Present position

Chairman, WEMABOD Estates Limited; Chairman, Global West Nigeria Limited.

Experience

Over 30 years.

people to build houses. The National Housing Fund (NHF) and Federal Mortgage Finance (FMF) are restricted to civil servants. But what is the percentage of the civil servants? The state governments should invite investors, engage private sector and support them to build houses for their people including the civil servants. Why do housing projects fail in Nigeria? It is very clear and simple. If you want to start a project and you are not well prepared in terms of funding, it is a problem. Many people go into housing business be-

lieving that they will do it piece-meal, but it goes beyond that because if you don’t plan properly, in terms of your cost structure, you are likely to run into trouble. During your waiting period, most of the materials will have quadrupled in prices and at the end all your efforts will be wasted. But the reality is that most people will have to wait for them to get proper funding and get materials and all that. That explains why most housing projects are failing. Apart from funding, what other problems

do we have in the sector? Obviously, the major problem in housing sector is funding. Another is the quality of our local artisans. We have them in abundance but the quality of works you get from them these days are terrible. As a result, most of the artisans-the bricklayers, the plumbers, the carpenters, the tillers are brought in from neighbouring West African countries. We need to enhance the skills of our local artisans for better service delivery. If you engage the local artisans to build a house for you without proper supervision, you will find that after six months the structure will start crumbling or showing signs of defect. The land ownership system is another major problem in the housing sector. It is either a prospective house owner buys a land from landowner or seek land allocation from government scheme. The cost of land nowadays is very high that many cannot afford. The location of the land is another thing. If the land is far from the city, and you build houses on it, nobody will want to buy those houses from you. Has WEMABOD lived up to the expecta•Continued on page 28

THE NATION MONDAY, JULY 7, 2014

THE CEO

‘Why govt should diversify economy’ •Continued from page 27

tion of its founding fathers? WEMABOD was established by the defunct Western Regional Government led by the late Chief Obafemi Awolowo. His vision was to set up a very huge company that would provide services such as industrial, residential and office accommodation that were not available in Lagos. Remember that Lagos was not part of Western Region but Ikeja was. That was the reason most of the industrial complexes are located around Ikeja environ. So, the vision of the leadership at that time was to ensure that we harness our resources in terms of real estate investment and as well generate revenue. It really generated revenue at that time. So, the vision was not only to provide residential, office and industrial accommodation, but also to generate funds for the government at that time. I will say that largely, the vision has been accomplished because we have in many parts of the country, buildings in the name of WEMABOD estates. For instance, we have Western House and Unity House both located in Broad Street, Lagos . We have Development House in Apapa and Investment House in Lagos. Have you added to these estates since your assumption of office as chairman of WEMABOD? We are trying to chart a new focus. We have gone into property development of our own. It is important to create some legacy assets. We are working towards property development across the Southwest owner states. For instance, a new housing project will start in Ekiti State very soon. Ogun State has allocated plots of land for the planned housing project. The construction of 5,000 shops in Samonda area of Ibadan

is on in collaborative effort with some private institutions. When it is ready, it is going to be one of the largest markets in Ibadan, Oyo State. We have the on-going Millennium Estate in Gateway City, Ibafo, Ogun State. When the project is completed, we should have between 750 and 1,000 housing units. We are creating new assets and new estates. We are also working with other stakeholders in Ondo, Osun and Ogun states in order to deliver these projects. We have some constraints because housing development in Nigeria is largely driven by the private sector. But we want the government to do more in terms of special funding for real estate because banks are not usually eager to extend credit to that sector for long term investment. Most banks are using short-term funds and that is what economists call’strategic fund’ meaning using short-term fund to finance long term investment. It is a problem for investors. Recently, the economy was rated as the largest in Africa. What does this translate to? It means we have a stronger economy that can create wealth for the people and improve the living standard of the people. The mere rebasing is not enough to say all is well with the economy. In a situation where electricity remains epileptic, unemployment is on the high side, inflation risen to 27 per cent, and the exchange rate at N161 to a dollar are all indications that all is not well with our economy. We have to justify our leadership in Africa through enhanced quality life for the people and massive infrastructural development. South Africa has a very developed infrastructure. We operate mono-cultural economy that depends on oil export for foreign earnings. We

‘We need to improve our earnings from agriculture and other non-oil sectors. Once we do that we would have a robust economy. It will restore confidence in our economy and with that we will get a lot support from international organisations’

need to improve our earnings from agriculture and other nonoil sectors. Once we do that we would have a robust economy. It will restore confidence in our economy and with that we will get a lot support from international organisations. The recent Economic Forum held in Abuja has projected that Foreign Direct Investment (FDI) worth $68 billion is coming to Nigeria. What we expect from the recent rebased GDP is to translate into better prospect for Nigerians in terms of economic development, improved living standard of the people and creation of new jobs. The World Bank has ranked Nigeria the fifth poorest in the world. Does Nigeria deserve this given its economic potential? We don’t have any basis to question the World Bank report. If you look at the standard of living of the people, the political and socio-economic problems, the level of infrastructure decay and the high rate of unemployment coupled with the fact that most homes in Nigeria don’t have access to electricity which is fundamental to development, you will agree with me that there is no basis for us to fault the World Bank report. Nigeria is generating 4,000 mega watts (Mw) of electricity which is not close to what is needed in Lagos alone. Imagine a country such as South Africa that generates 40, 000 Mw. Can we compare Nigeria with South Africa in terms of economic development? No. We are several miles away. We have the resources but we are not making use of them. It portends under development and poverty in the land. Look at the oil theft going on in the Niger Delta and the seeming helplessness of the Federal Government in curbing the activities of the criminals. The solution is that we should embark on infrastructural development. For instance, stable power supply will boost the economy. Some industries have closed shops because of epileptic power supply and the few that are still in circulation operate at a very low installed capacity. I think the privatisation of the power sector is a right step in the right direction. With that, there will be more investments in power generation and distribution. We cannot wait forever, the time is now to get regular power supply. The size of our economy is $500 billion. We have a strong economy that can create wealth for the people and improve their living standard. The mere rebasing of GDP is not enough to determine the economic well being of the citizens. With oil still flowing from our soil, is it possible to diversify the economy? Yes. It can be done. There is danger in relying only on oil for foreign earnings. When the demand for our oil falls in the international market, what do we do? This is likely to happen sooner than we expect because the United States that is a major buyer of Nigerian oil has found oil in commercial quantity and may decide to start production at any time. We should start to prop up the non-oil sector like agricultural

• Adewusi

‘A situation where 70 per cent of the total budget is devoted to recurrent expenditure and 30 per cent to capital projects, no meaningful development can be achieved. The presidential system is very costly. It doesn’t support development. This year’s budget was signed five months into the financial year’ and manufacturing sectors. Things are getting better in agric with some reforms that have taken place. Local industries pay through their nose to produce because of poor power supply. That is why prices of local products are more expensive than the imported ones. Employment and economic generation is impossible when the manufacturing sector is comatose. Agriculture is a big business. It makes it easier for graduates to go into farming when government creates the enabling environment. We can use agriculture as a nucleus for employment generation. It is very crucial to diversify the economy to generate income flow for the unemployed youths and adults. Fifty- four per cent unemployed people of our population is a social problem. How do we get them employed? I think agriculture holds the key. Government should put the frame work together on how to get the youths employed. The primitive method of farming has discouraged many youths from venturing into agriculture. What can be done to make it attractive? China with over 1.4 billion population reckons on agriculture as a foreign exchange earner. Most of the farmers are small scale farm holders. You don’t need several hectares of land for farming. One hectare of land will make a lot of difference. If it is well developed, agriculture will

We can use agriculture as a nucleus for employment generation. It is very crucial to diversify the economy to generate income flow for the unemployed youths and adults. Fifty- four per cent unemployed people of our population is a social problem. • Adewusi

guarantee self-sufficiency in food production and food export, create job opportunities and create wealth for the people. About 74 per cent of cocoa production in Nigeria is done in the Southwest. The Federal Government is ready to support the Southwest in cocoa cultivation. Cocoa made a difference in the Southwest during the era of late Chief Awolowo. Cocoa production alone can employ hundreds of thousands of youths. A report has shown that cocoa can now mature in two years as against the former four years. It doesn’t require any rocket science to put in place the frame work for the economy to increase the government capacity for employment generation. All it needs to do is to empower the farmers. Agricultural banks should extend credit at low interest rates to farmers. Government should provide necessary inputs to farmers. All these will add value to our economy for it to grow better. What are your views on government budgeting process in Nigeria? The people are not involved in budgeting process. Government officials don’t consult people. All they do is to sit down in their posh offices and say we need this and that without getting people involved. Because of lack of funding, most projects turn out to be paper work. The reason for this is high cost of governance. A situation where 70 per cent of the total budget is devoted to recurrent expenditure and 30 per cent to capital projects, no meaningful development can be achieved. The presidential system is very costly. It doesn’t support development. This year’s budget was signed five months into the financial year. It will have effect on the economy. Budget deliberation and approval are cumbersome. There is need to make our budget people-oriented.

THE NATION MONDAY, JULY 7, 2014

MONEYLINK

CBN extends Basel Adoption deadline to October

EADLINE for banks to adopt the parallel run of Basel II/ III has been extended to October from June, 2014, the Central Bank of Nigeria (CBN) has said. CBN Director, Banking Supervision, Mrs Tokunbo Martins who disclosed this at the weekend, said the initial challenges observed in the parallel run have necessitated for an extension, as it concerns requirements of reporting capital charge for credit, market and operational risks. The Basel Accord is a financial analysis principle expected to give Nigerian banks’ financials better credibility. She said in a circular to banks and discount houses that the lenders have been directed to continue the parallel run for an additional period of three months while the full

pected to establish effective risk management systems commensurate with their level of operations. She said all banks and banking institutions are expected to adopt the basic approaches for the computation of capital requirements for credit risk, market risk and operational risk. “Within the first two years of the adoption of these approaches under Pillar I; it is hoped that an effective rating system would have developed in Nigeria. Banks and banking groups are projected to have gathered more reliable data and gained more experience that would prepare them to consider the adoption of more sophisticated approaches,” she said. The CBN Director said the adoption of the Standardised Approach

Stories by Collins Nweze

adoption will commence on October 1, 2014. Martins said banks are required to use this period to re-assess their current capital levels with a view of complying at full adoption, with the minimum capital requirements. She explained that the policies specify approaches for quantifying the risk weighted assets for credit risk, market risk and operational risk for the purpose of determining regulatory capital. According to her, the computations are consistent with the requirements of Pillar I of Basel II which is expected to ensure that banks have sufficient high quality capital to support their risk taking activities. The lenders are also ex-

Diamond Bank CEO reiterates commitment to CSR

•CBN Governor Godwin Emefiele

Nihilent backs banks’ drive for improved IT Standards N

IHILENT Nigeria, a global consulting and solutions Integration Company has expressed its commitment in assisting banks to improve their Information Technology (IT) infrastructure. Its Chairman, Oti Ikomi told participants during a forum on optimising IT standards implementation about Nihilent’s operations and services offerings. He said the event which took place in Lagos was to support firms’ compliance to Central Bank of Nigeria’s (CBN’s) IT requirements for banks and other operators in the economy. A statement from the firm said the event witnessed participation from most of the leading banks in Nigeria as well as non-banking fi-

nancial institutions, payments, insurance and IT companies, and few conglomerates. “Banks and financial institutions are looking for a solution that not only addresses regulatory compliance but also improve operational efficiency, install a robust regulatory information management system, and follow effective risk management practices. “The seminar focused on providing a brief on mandatory frameworks, commonalities and differences, and the adoption of an integrated approach to optimise efforts, reduce cost and meet CBN timelines,” it said. Also, Vice President, Quality and

Processes at Nihilent, Ashok Sontakke said adopting the standards would involve massive change of management affecting people, processes and technology. He also said that many of the prescribed standards have commonality and overlapping requirements. “So it is essential to identify the same at the beginning of this improvement journey and build optimised Quality Management System. This can result in significant effort and cost saving and also help in meeting CBN timeline,” he added. CBN Principal Manager, Shared Services, Aaron Yaduma, commended the Nihilent for organising the event to educate the industry.

HE Managing Director, Diamond Bank Plc, Dr. Alex Otti has said the lender will continue in its corporate social responsibility (CSR) roles in supporting the community where it does business. Speaking during the renovation and renovation of office new building to the Nigerian Immigration Service (NIS) at the Ikoyi Passport Office, Lagos, he said the bank does things that impact positively on the society. The bank chief said the lender will continue to give back to the society where it operates adding that bank will also install Automated Teller Machine (ATM) within the premise to provide financial services to the people. “In Diamond Bank, we invest in people through our support for the

Amount N

Rate %

M/Date

3-Year 5-Year

35m 35m

11.039 12.23

19-05-2014 18-05-2016

WHOLESALE DUTCH AUCTION SYSTEM Amount Amount Offered ($) Demanded ($) 400m 400m 400m 400m 400m 400m

MANAGED FUNDS Initial Current Quotation Price Market N8250.00 5495.33

NIDF

OBB Rate

Price Loss 2754.67

INTERBANK RATES 7.9-10%

PRIMARY MARKET AUCTION (T-BILLS) Tenor 91-Day 182-Day

Amount 30m 46.7m

Rate % 10.96 9.62

Date 28-04-2012 “

GAINERS AS AT 6-3-14

SYMBOL CAVERTON ETI WAPIC FIDSON DNMEYER CILEASING JAPAUOIL OANDO CUSTODYINS ASHAKACEM

O/PRICE 6.20 16.50 0.81 3.10 1.11 0.50 0.53 27.48 3.90 28.15

C/PRICE 6.80 17.32 0.85 3.25 1.16 0.52 0.55 28.50 4.03 29.00

EXHANGE RATE 6-03-12 Currency

Year Start Offer

Current Before

C u r r e n t CUV Start After %

NGN USD NGN GBP

147.6000 239.4810

149.7100 244.0123

150.7100 245.6422

-2.11 -2.57

NGN EUR 212.4997 NIGERIA INTER BANK (S/N) 149.7450 (S/N) Bureau de Change 152.0000 (S/N)

207.9023

209.2910

-1.51

154.0000

154.3000

-3.04

153.0000

155.5000

-2.30

CHANGE 9.68 4.97 4.94 4.84 4.50 4.00 3.77 3.71 3.33 3.02

DISCOUNT WINDOWx Feb. ’11

July ’11

July ’12

MPR

6.50%

12%

Standing Lending Rate ,, Deposit Rate ,, Liquidity Ratio Cash Return Rate

8.50% 4.50% 25.00% 1.00%

8.50% 4.50% 25.00% 2.00%

9.50% 5.50% 30.00% 2.00%

LOSERS AS AT 6-3-14

SYMBOL PORTPAINT AIICO TRANSEXPR MAYBAKER CADBURY NEIMETH UBN FO NAHCO VITAFOAM

O/PRICE 5.42 0.82 2.07 1.75 78.00 1.38 10.00 207.00 5.00 4.19

C/PRICE 5.15 0.78 1.97 1.67 74.50 1.32 9.60 200.08 4.85 4.10

CHANGE -4.98 -4.88 -4.83 -4.57 -4.49 -4.35 -4.00 -3.34 -3.00 -2.15

Micro Small and Medium Enterprise We have instituted a programme called Building Entrepreneurs Today (BET) where people with ideas are trained to become business owners and employers of labour. We also believe in helping government to make lives meaningful for the citizens,” he said. The former Secretary General of The Commonwealth, Chief Emeka Anyaoku and the Minister of Interior, Comrade Patrick Abba-Moro who commission the buildings commended the philanthropic gesture of the bank. Anyaoku applauded the bank’s gesture, adding that this has further cemented the reputation of the bank as a leading socially responsible corporate citizen.

DATA BANK

FGN BONDS Tenor

for Operational Risk and other sophisticated approaches will however be subject to the approval of the CBN. “The guidance notes are applicable to all banks and banking groups licenced to operate in Nigeria and should be applied on a solo as well as a consolidated basis. The minimum capital requirement is retained at 10 per cent and 15 per cent respectively for local and internationally active banks,” she said. She said that in line with Basel II Pillar two, banks are reminded of the importance of comprehensive risk management policies and processes that effectively identify, measure, monitor and control their risk exposures in addition to having appropriate board and senior management oversight.

NIBOR Tenor 7 Days 30 Days 60 Days

Rate (Previous) 4 Mar, 2012 9.0417 9.6667 11.2917

Rate (Currency) 6, Mar, 2012 10.17% 11.46% 11.96%

Movement

Amount Sold ($) 399.9m 399.9m 399.9m

Exchange Rate (N) 155.75 155.8 155.7

Date 2-5-14 2-3-14 1-29-14

CAPITAL MARKET INDEX

NSE

6-2-14

28-10-11

% Change

CAP Index

N13.07tr 40,766.16

N6.617tr 20,903.16

-1.44% -1.44%

MEMORANDUM QUOTATIONS Name AFRINVEST W.A. EQUITY FUND ARM AGGRESSIVE GROWTH BGL NUBIAN FUND BGL SAPPHIRE FUND CANARY GROWTH FUND CONTINENTAL UNIT TRUST CORAL INCOME FUND FBN FIXED INCOME FUND FBN HERITAGE FUND FBN MONEY MARKET FUND FIDELITY NIGFUND INTERCONTINENTAL INTEGRITY FUND KAKAWA GUARANTEED INCOME FUND

Offer Price Bid Price 168.45 164.19 9.17 9.08 1.12 1.11 1.19 1.19 0.69 0.69 1.39 1.33 1,662.69 1,669.87 1,104.21 1,099.64 120.52 118.72 1,087.30 1,087.00 1.67 1.62 1,05 1.03 143.11

142.62

LEGACY FUND NIGERIA INTER DEBIT FUND PARAMOUNT EQUITY FUND STANBIC IBTC ETHICAL FUND

0.78 1,981.25 14.30 1.15

0.76 1,965.15 13.95 1.12

STANBIC IBTC NIG. GUARANTEED INVEST STANBIC IBTC NIG. EQUITY FUND

149.44 11,448.41

149.10 11,184.14

• UBA BALANCED FUND • UBA BOND FUND • UBA EQUITY FUND • UBA MONEY MARKET FUND

1.3504 1.3662 1.0471 1.1857

1.3413 1.3662 1.0282 1.1857

OPEN BUY BACK

Bank

Previous 04 July, 2012

Current 07, Aug, 2012

8.5000

Movement

THE NATION MONDAY, JULY 7, 2014

EQUITIES NIGERIAN STOCK EXCHANGE DAILY SUMMARY AS AT 5-07-14

DAILY SUMMARY AS AT 5-07-14

THE NATION MONDAY, JULY 7, 2014

EQUITIES

Equities open second half with N279b gain

HE stock market set out for the second half with a promising bullish rally as investors sought to take early positions ahead of expected second quarter earnings. With more demand than supply, investors earned about N279 billion in new capital gains, implying a week-on-week 2.0 per cent. The bullish start to the second half nudged the average year-to-date return to 4.12 per cent with investors in oil and gas and industrial goods stocks well ahead of the market’s average. New earnings reports for the first half are expected to trickle in this month and build up substantially in the next month. Post-listing rules at the Nigerian Stock Exchange (NSE) require quoted companies to submit their earnings reports, not later than three months after the expiration of the period. Most quoted companies including all banks, major manufacturers, oil and gas companies, breweries and cement companies use the 12month Gregorian calendar year as their business year. The business year thus terminates on December 31. The first-half reports for the period ended June 30, 2014 are expected to be submitted over the next three months. Unity Bank blazed the trails last week with the early submission of its six-month report for the period ended June 30, 2014. Pricing trend showed widespread bullish sentiments with the composite index and sectoral indices closing on the upside. The All Share Index (ASI), which tracks prices of

•Investors take early positions By Taofik Salako Capital Market Editor

all quoted equities and doubles as Nigeria’s country index, reached a new highpoint of 43,031.81 points at the weekend as against its week’s opening index of 42,187.62 points. Aggregate market value of all quoted equities also crossed from the N13 trillion mark to N14 trillion mark rising from the week’s value-on-board of N13.930 trillion to close at N14.209 trillion. All other indices showed similar uptrend. The NSE 30 Index, which tracks 30 most capitalised stocks on the NSE, rose by 1.38 per cent. The NSE Banking Index rallied 1.24 per cent while its counterpart index for insurance was better at 1.94 per cent. The NSE Industrial Goods Index rose by 1.92 per cent. The NSE Consumer Goods Index inched up

over volume and value respectively. Conglomerates sector followed with a turnover of 193.61 million shares worth N1.22 billion in 2,610 deals while the oil and gas sector placed third with 153.88 million shares worth N3.85 billion in 5,808 deals. The trio of FBN Holdings Plc, Continental Reinsurance Plc and Transnational Corporation of Nigeria Plc were the most active stocks with a total of 907.74 million shares worth N7.82 billion in 4,632 deals, representing 39.96 per cent and 27.33 per cent of aggregate turnover volume and value respectively. Trading remained muted in other non-equity securities. A total of 223,359 units of Exchange Traded Products (ETPs) valued at N4.45 million were traded in 19 deals while a total of 730 units of FGN bonds valued at N863, 405were traded in a transaction.

Shareholders back Lafarge Wapco on product line

ATIONAL Coordinator Independent Shareholders Association of Nigeria, Chief Sunny Nwosu has commended Lafarge WAPCO on its financial performance and shareholders revenue while pursuing standardization of its product lines. Beyond the financial performance, Lafarge WAPCO also scores high in stakeholder relationship and stakeholder-centric attributes he also said. Nwosu commended the improved financial performance of the company exemplified by the recently announced transformation of the company into Lafarge Africa Plc through a transaction that involves combining Lafarge Group’s Nigeria operations with those in South Africa and transferring these to Lafarge WAPCO. He revealed that the transaction translates to consolidating Lafarge’s

By Okwy Iroegbu-Chikezie

35 per cent holding in Unicem, 58.61 per cent in AshakaCem, 100 per cent in Atlas among others. He expressed the dismay of the shareholders on cement war relating to standardisation noting that representatives of several shareholders association in Nigeria which represents the interest of the minority shareholders have aligned their thinking with the company on the need to continue the production of 32.5 cement grade

OLLOWING the bi-annual review of the NSE 30 Index, Vetiva Fund Managers Limited has rebalanced its Vetiva Griffin 30 Exchange Traded Fund (VG 30 ETF), which tracks the NSE 30 Index. In a statement by the fund manager, Vetiva noted that the rebalancing was sequel to the bi-annual review for relevant indices at the Nigerian Stock Exchange (NSE) including the NSE 30 Index. The reviewed indices took effect on July 1, 2014. The NSE-30 Index is a modified market capitalization index with the numbers of included stocks fixed at 30. The stocks are selected based on market capitalization from the most liquid sectors and liquidity is based on the number of times the stock is traded during the preceding two quarters. To be included in the Index, the stock must be traded for at least 70 per cent of the number of times the market opened for business.

especially as it has been known to be best suited for building and plastering as it has quick drying effect. He said: “With the huge housing deficit of over 18 million housing units, there is the need to ensure that the majority of the people should not be denied the usage of 332.5 grade especially in housing construction. We want to align ourselves with the professionals that underscored the fact that there is no sub standard cement in the country and that the incessant building collapse in the country is

not as a result of poor quality cement but poor mix by users.” National Coordinator Share Holders United Front, Mr. Gbenga Idowu said the shareholders are happy with the returns they are getting. They hailed the continuous improvement of the product and asked policy makers to encourage cement manufacturers so as to bridge the housing deficit. He further said that though they are not professionals but from their experience they can justifiably say that 32.5 is not sub standard in any

way as the grade has been proven over time. Another Shareholder and a developer Chief Timothy Adesiyan said the 32.5 cement grade is not the issue but the incursion of quacks into the construction sector who know next to nothing about construction modalities. He commended the company’s various initiatives that are meant to take the company to the next level and said they cannot allow anything to affect their returns as shareholders.

Obama decries big bonuses at bank trading desks as risky

RESIDENT Barack Obama’s critique of trader bonuses at Wall Street banks as still risky to the economy drew objections from financial executives who said

Vetiva rebalances VG 30 ETF

by 0.22 per cent. The NSE Oil and Gas Index was muted with average gain of 0.46 per cent while the NSE Lotus Islamic Index, which tracks selected Shariah-compliant stocks, recorded a week-on-week gain of 0.38 per cent. Year-to-date analysis showed that investors in the oil and gas sector remained ahead of the market with six-month-and-a-week return of 33.85 per cent. The NSE Industrial Goods Index indicated year-to-date return of 6.97 per cent while the NSE 30 Index trailed with 1.99 per cent. Investors in financial services stocks remained in the red with 2.34 per cent and -2.53 per cent for banking and insurance subsectors respectively. Across Africa, equities trended upward on new buying momentum. South Africa’s FTSE JSE indi-

cated a weekly return of 2.7 per cent while the Kenyan NSE 20 rose by 1.0 per cent. Global indices also showed similar upbeat. The United Kingdom’s FTSE rose by 1.8 per cent while the United States’ benchmark, the Standard & Poors (S & P) 500 also rose by 1.2 per cent. The India BSE Sens recorded a week-onweek gain of 3.4 per cent to push its year-to-date return to 22.6 per cent. France CAC 40 rose by 1.1 per cent while Germany’ XETRA DAX and Japan’s Nikkei returned 2.1 per cent and 2.3 per cent respectively. At the NSE, total turnover stood at 2.27 billion shares worth N28.62 billion in 26,730 deals last week as against a total of 2.89 billion shares valued at N30.03 billion traded in 30,650 deals in previous week. The financial services sector led the activity chart with 1.74 billion shares valued at N15.51 billion in 11,381 deals, contributing 76.7 per cent and 54.2 per cent to the total equity turn-

The fund manager pointed out that as the investment objective of the VG 30 ETF is to track the price and yield performance of the NSE 30 Index, any change to the NSE 30 Index including a change in the composition of the NSE 30 Index and in the weighting of the securities within the NSE 30 Index, will require the VG 30 ETF Trust to make corresponding adjustments to its portfolio from time to time. The portfolio manager stated that it may adjust the composition and weighting of the securities held in the VG 30 ETF Trust’s portfolio from time to time and shall, to the maximum extent practicable, immediately conform to changes in the composition and weighting of the securities within the NSE 30 Index. “Further to the above, Vetiva Fund Managers Limited has rebalanced the VG 30 ETF Portfolio in line with the changes to the NSE 30 Index,” the fund manager stated.

the compensation system already has been fixed. In an interview aired today on American Public Media’s Marketplace radio program, Obama said bonuses encourage traders to “take big risks” that imperil the financial system’s stability. Cutting that risk remains an “unfinished piece of business” and his administration will be “looking at additional steps,” he said. Even as White House press secretary Josh Earnest told reporters that the president wasn’t suggesting specific action, people in the financial community said Obama’s comments were off base. “This idea that Wall Street is this sort of great evil is at best simplistic,” Marketfield Asset Management Chairman Michael Shaoul said today on Bloomberg Television. “I think Wall Street is an easy target.” If Obama follows through it would add to pressure on banks that have already cut or reassigned scores of traders. Many traders have joined hedge funds ahead of a Dodd-Frank Act measure known as the Volcker Rule — named after former Federal Reserve Chairman Paul A. Volcker — that restricts the once-lucrative business of speculating for the accounts of the nation’s biggest lenders. .

A separate regulation under the 2010 Dodd-Frank law would require delayed bonuses for some bank executives. A draft was released in 2011 but has since stalled without action at the Securities and Exchange Commission. Alan Johnson, founder and managing director of New York-based Johnson Associates Inc., who advises Wall Street banks on compensation, said in a phone interview that Obama’s comments were “just weird.” “Trading is so far down from the peak, they’ve spent an endless amount of time and energy to reform trader pay — to say that trader pay needs to be reformed is just bizarre,” he said. The ability to make big risky bets has been dramatically reduced, he said, calling Obama’s comments “just political — when in doubt, blame Wall Street.” Though Obama’s comments on bonuses aired today, the interview was recorded a day before government statisticians reported the economy added 288,000 jobs last month and the unemployment rate dropped to 6.1 percent, the lowest since before the financial crisis peaked six years ago. While U.S. corporate profits and stock indexes have soared to record highs, middle-class incomes

haven’t yet made up the ground lost during the recession. Photographer: Andrew Harrer/ Bloomberg U.S. President Barack Obama. Ahead of congressional elections in November, public disapproval of Obama’s handling of the economy is running higher than on the eve of the 2010 midterm elections, when the president’s Democratic party was handed what he called a “shellacking” and lost control of the House. Fifty-seven percent of Americans said they’re unhappy with Obama’s economic stewardship in a June 6-9 Bloomberg National Poll compared with 51 percent in October 2010. Almost two-thirds say the country is on the wrong track. Wall Street employees took home an average bonus of $164,530 last year, the most since the 2008 financial crisis and the third highest on record, according to estimates released in March by New York state Comptroller Thomas DiNapoli. While the collective bonus pool rose 15 percent to $26.7 billion in 2013, the increase was fueled by compensation deferred from prior years. Delaying payouts is meant to discourage employees from trying to reap quick payouts by taking risks that can hurt their firm in the future.

THE NATION MONDAY, JULY 7, 2014

ISSUES Investors are risk takers.They lose or profit from their risks. While investors need no protection for the gains and losses from their investment decisions, they could also suffer from risks due to failures in market architecture and operators. Capital Market Editor TAOFIK SALAKO reports that ongoing efforts to kick-start investors' protection funds at the capital market would protect investors against operational and professional failures

•Nigerian Stock Exchange building. Inset: CEO, NSE, Oscar Onyema

Protecting investors against market failures

HE capital market primarily seeks to protect investors by enforcing full, adequate and factual disclosures; bringing all the shades and hues of a prospective investment to the table for investors to make their judgments. Most part of the legal framework, rules and regulations and operating system at the market centre on this quest for full and adequate disclosures. These laws, rules and regulations mostly place the burden of disclosures on the issuers-the originators and sponsors of securities. As such, when issues of investors' protection arise, many look at the direction of the issuers - the quoted companies that issue shares or bonds, governments that issue bonds and institutions that float common investment vehicles. But sometimes, the unsung risk is the failure of the market itself - operational and professional failures. The risk and loss here are neither due to investors' judgments nor to their negligence, rather due to frauds, negligence and other threats on the part of registered operators and their employees or the terminal threat to the continued survival of an operator.

The dregs of illiquidity and fraud The risks of market failures and operators'

infidelity are legitimate concerns at the stock market. There are large number of inactive and illiquid stockbroking firms and several complaints that border on frauds perpetrated by struggling stockbroking firms and their employees. Many reports by the NSE and SEC have identified low liquidity as major reason for most frauds perpetrated on investors' accounts. In the throes of the recent recession and its hangovers, many capital market operators that had lost their funds had resorted to fiddling with investors' funds including sale and non-remittance of sales' proceeds. The NSE had recently commenced a process to determine the propriety of dealing licence of 53 stockbroking firms, a development that may lead to withdrawal of operating licence of erring stockbroking firms. Most of the firms had earlier been suspended and were inactive.

‘

Besides, both NSE and SEC had indicted and expelled several capital market operators. At the last count, there were not less than 38 persons under life ban from all capital market activities while some 50 operators were under various suspension terms. Several of the cases highlighted the challenges of professional and institutional failures and underscored the importance of the IPF. According to the commission, the banned persons were guilty of frauds ranging from failure to purchase shares duly paid for, illegal sale of client's shares without mandate, misappropriation of investors' funds, financial misstatements and non-remittance of sale proceeds. In one of the cases, a member was banned for life for several gross abuse of market and frauds including failure to pay capital and interest on investments as fund managers, failure to pur-

Both the SEC’s and NSE's investors' protection funds outline clear application guidelines while the general bodies of the rules and regulations for the funds show that only diligent investors might get compensation

’

chase shares paid for by clients, failure to verify and lodge shares as mandated by the clients, failure to carry out various instructions by clients and regulators, non-remittance of sale proceeds and mismanagement of dividends and bonuses in respect of the un-purchased stocks. Some of the earliest sanctions included former staff of the Central Securities and Clearing System (CSCS) who connived with some stockbrokers to fraudulently clone and sell shares of a multinational conglomerate. CSCS is a subsidiary of the NSE and the only clearing, settlement and depository agent for the Nigerian capital market. In another instance, two individuals were placed under indefinite ban due to their failure to disclose material facts of indebtedness and negligent auditing of a petroleum-marketing company. In another case, a member was sentenced to life ban for selling the shares of a deceased worth N200 million without authorisation or recourse to the administrators of the estate of the deceased. Besides, the Chartered Institute of Stockbrokers (CIS), the statutory selfregulatory organisation that controls the practice of stockbroking in Nigeria, has delisted and withdrawn membership of not • Continued on page 33

THE NATION MONDAY, JULY 7, 2014

ISSUES

Protecting investors against market failures • Continued from page 32

less than three stockbrokers over the last 12 months. The CIS Disciplinary Tribunal, the disciplinary and adjudicating arm of the institute, has been quiet active. The tribunal has continued to show the possibility of intended fraud among some unscrupulous operators. In a case resolved this year, a stockbroker had collected N320, 000 from two persons under the pretence that he had shares of Friesland Campina Wamco Nigeria to sell when he knew in actual fact he had no such shares to sell. While the stockbroker was sanctioned and made to buy the shares, with all entitlements, to the investors, the case underlined the risks faced by investors.

Mechanisms for investors' protection

The Investment and Securities Act (ISA) 2007 generally requires the Securities and Exchange Commission and all securities exchanges and capital trade points to individually establish and maintain an investors' protection fund (IPF) to compensate investors with genuine claims of pecuniary loss. Specifically, Part XIV of ISA demands for the establishment and maintenance of an investors protection fund to compensate investors with genuine claims of pecuniary loss against dealing member firms resulting from insolvency, bankruptcy or negligence of a dealing member firm of a securities exchange or capital trade points; and defalcation committed by a dealing member firm or any of its directors, officers, employees or representatives in relation to securities, money or any property entrusted to, or received by the dealing member firm in its course of business as a capital market operator. The ISA also requires SEC to also establish "a nationwide trust scheme to compensate investors whose losses are not covered under the investors protection funds administered by securities exchanges and capital trade points". This additional protection ensures omnibus coverage for non-investment-decision related losses. Besides SEC and NSE, the two most prominent capital market regulators, the provisions of the ISA explicitly implies that other exchanges such as the Abuja Securities and Commodity Exchange (ASCE), NASD Plc and FMDQ OTC Plc would also have to establish separate investors' protection fund. The NSE has already established its IPF, after receiving SEC's approval for its operating rules. The board of SEC has also approved the establishment of a national investors' protection fund (NIPF) and relevant operating rules.

One side of the coverage

The NSE had in 2012 inaugurated a nine-man board of trustees under the chairmanship of Mr Gamaliel Onosode. Other members of the board included chief executive officer of Nigerian Stock Exchange (NSE), Oscar Onyema; Misan KofiSenaya, managing director of Central Securities Clearing System (CSCS), Mr. Kyari Bukar, chairman, Ibadan Zonal Shareholders Association (IBZA), Chief Sola Abodurin; Fubara Anga, Edosa Kennedy Aigbekaen, Sam Onukwe and Umaru Modibo. The rules and regulations for the NSE's IPF were however approved earlier this year by SEC. Under the NSE's IPF rules, compensation would be paid subject to conclusive decision of the board on the basis of evidence that the investor has a claim against a dealing member, duly applied for settlement of its claim from the dealing member; the dealing member was unable or likely to be unable to satisfy the claim within a reasonable period and the investor then, duly applied for compensation from the Fund. However, the IPF rules empower the board of IPF to have at anytime a written policy on the maximum compensation payable to an investor who has suffered a loss. The board can review this maximum compensation limit from time to time according to prevailing circumstances at the market. In order to avoid multiple compensations for the same infraction, the rules set out conditions and treatments of various payments. For instance, an investor whose claim is within the maximum limit may be paid the full amount of the loss, after deduction of any amount or value of all monies or other benefits received or receivable by the investor from a source other than the Fund in reduction of the loss. But where the board is satisfied that in principle compensation is payable but considers that immediate payment in full would not be

prudent having regard to other applications for compensation, or to any uncertainty as to the amount of the investor's overall net claim, the rules empower the board to pay an appropriate lesser sum in final settlement or to make a payment on account. Besides, IPF may also determine to make a payment on account or to pay a lesser sum where the investor has any prospect of recovery in respect of the claim from any third party or through an application for compensation to any other person or authority. In the event of multiple claims, person who claims in a double capacity for himself and as the personal representative of a deceased investor will be treated in respect of the representative claim as if he were the deceased investor without prejudice to his own personal claim. Also, where a person claims for himself and as a trustee, he will be treated in respect of the latter claim as a different person. But where two or more persons in partnership have a joint beneficial claim, the claim will be treated as the claim of the partnership; otherwise each of them would be taken to have equal shares in the claim unless the contrary is proved to the satisfaction of the board of IPF. Where an agent has a claim for one or more principals, the principal or principals are to be treated as having the claim, to the exclusion of the agent. The NSE's IPF also takes into consideration the possibility that investors may be partly responsible for their losses. According to the operating rules, the IPF may determine to reduce the compensation which would otherwise be payable to an investor in circumstances where it is satisfied that the investor is partly to blame for the loss which he has suffered. Also, an application for compensation may be rejected if it is not promptly made and in any event within the periods stipulated in the ISA or where the investor is responsible for, or has directly or indirectly profited from, events relating to the dealing member firm's business which gave rise to the firm's financial difficulties.

National cover for investors

Unlike the NSE's IPF, which is restricted to institutional and individual failures of its dealing members and their employees, SEC's national investors' protection fund (NIPF) provides a broader coverage against losses recorded due to activities of other capital market operators, who are not members of the Exchange. The legal framework that established the SEC's NIPF, which was released recently, has many similar provisions with the NSE's IPF and several unique guidelines that set it aside as a scheme under the apex capital market regulator. Broadly, the aim and beneficiaries of the NIPF and IPF are the same. However, the NIPF will apply only to defalcations by insolvent or bankrupt capital market operators not dealing members of Securities Exchange or Capital Trade Points. In other words, the NIPF will be for the purpose of compensating investors whose losses are not covered under the Investors' Protection Funds being administered by Securities Exchanges and Capital Trade Points. SEC is expected to provide the initial take-off grant for the NIPF. It will subsequently generate funds through grants, subventions, donations and annual contributions to be made by all capital market operators not subject to contribute to the IPF of Securities Exchanges and Capital Trade Points. SEC will determine the applicable annual contribution. The board of the NIPF is also empowered to obtain loans, subject to approval of SEC. Also, the NIPF can generate funding through assets, properties or cash that shall be realised from liquidated operators after compensation to investors and proceeds from investment of its resources. While the NSE's IPF is silent on the initial ceiling for compensation, the NIPF capped the

‘

• DG SEC, Ms Arunma Oteh

•Mr Ariyo Olushekun

maximum amount payable to an investor who has suffered loss at N200, 000 or its equivalent in form of shares or units, provided that where the amount of loss is lesser, the investor shall be paid the calculated amount of loss. The NIPF however provides that the amount of compensation may be reviewed from time to time as approved by the board of the fund. In what may amount to subtle attempt to remove possible threats of litigations from aggrieved investors, the NIPF rules stated that "the Fund is not under any obligation to pay compensation to an investor" while "any claim prior to the commencement of these rules shall not be covered by the Fund". The NIPF mostly shared the same views with the IPF in the areas of multiple claims and compensations, inadequate fund as well as dismissal of claims from investors who participated in the wrongful act of the operator. More importantly, the NIPF will also not apply to losses arising from transactions not regulated by the commission. These unregulated transactions include private placement and private equity investment. Communication Adviser, Securities and Exchange Commission (SEC) Mazi Obi Adindu said the NIPF has been designed as a strong hedge against loss of value to investors. He said with the approval of the rules and guidelines for the NIPF, the commission would make earnest efforts to put in place other structures to facilitate effective take-off of the scheme.

client-membership forms and other transactional documents that validly establish the transaction between the investor and the market operator on one hand and simultaneously prove that the investor had suffered a loss due to no fault of his. Onosode said the IPF would only be guided by facts and figures at every time. A doyen and one of the oldest stockbrokers, Onosode knows the rules and can shift the facts from facades of emotions and negligence, which have no place in the marketplace. According to him, the fund would not be subject to abuse and it would not encourage any kind of substandard behavior. Onyema said provision of clear guidelines for compensation of legitimate claimants and modernisation of the operations of the IPF would help to reduce the hassles and enhance confidence.

Applying for compensations

But for investors, getting compensations will not be that straightforward and stress-free. Hopes of compensation start from basic understanding of the market rules and possession of relevant documentations. Both the SEC and NSE's investors' protection funds outline clear application guidelines while the general bodies of the rules and regulations for the funds show that only diligent investors might get compensations. According to the SEC's NIPF, investor must submit application for compensation within 12 months after the investor became aware or ought reasonably to have become aware of the status of the investments. The investor is also expected to back up his claims with relevant evidence. The board of NIPF is expected to set up a 'Review Committee' which shall be charged with the responsibilities of reviewing the claims of investors and making recommendations to the board. The decision of the board is final on compensation. While the NSE's IPF was silent on the timeline, the operating framework only empowers the board to make payment of compensation based on the claim submitted to the NSE and verified by the NSE or claim submitted to the board of IPF and verified by it, according to relevant sections of the ISA. These imply that only investors with transactional evidence such as receipt, deposit slip, mandate forms, shareholding statements,

The unsung risk is the failure of the market itselfoperational and professional failures. The risk and loss here are neither due to investors' judgments nor to their negligence, rather due to frauds, negligence and other threats on the part of registered operators and their employees or the terminal threat to the continued survival of an operator

’

Beyond compensation to self protection

The spirit, letters and realities of the IPFs underline the fact that the compensation may not be enough to recompense investors. These underscore the need for investors' education as the bulwark of defence against market failures. Already, the NSE's IPF is reported to have a bagful of claims and requests for compensations. At the last count, not less than 600 claims and requests have been submitted to the board of trustees of the IPF. With IPF's fund recently estimated below N1 billion, the mounting claims for compensations will not only subject the board to rigorous tests of the substantiality of the claims but also the degree of compensation based on the existing capital base of the fund. Immediate past president, Chartered Institute of Stockbrokers (CIS), Mr. Ariyo Olushekun, said the IPF may not be able to cover all cases of market abuses and fraudulent practices against investors given the size and frequency of market infractions and the fund. According to him, the IPF might not be enough to protect investors on a sustainable basis because the incidence of market abuses and fraudulent malpractices in the past has overwhelmed the existing fund available. The challenge before the board of trustees of the IPF is to manage and grow the fund in a way to meet its objectives. Olushekun said the best and most effective way to protect investors is to institute and enforce proactive measures that enhance market integrity and forestall abuses. "The importance of effective regulation in the capital market cannot be overemphasized. Regulations must be designed to address current market realities and by this, they must be up-to-date and relevant. The importance of regulation and enforcement of rules is paramount in investors protection and in gaining investors confidence," Olushekun said. He outlined that certification, continuous training and effective disciplinary measures of the CIS have proved to be major contributors to protection of investors as stockbrokers are usually wary of infringing on codes of ethics and professional guidelines set by CIS. According to him, stockbrokers help to protect investors from vagaries of the market and possible abuses by giving quality investment advice that takes into consideration investor's investment objective, the risk-return profile of investment opportunities and the capacity of the investor to undertake the risk. Executive Director, Investment One Financial Services Mrs Abimbola Afolabi-Ajayi said both the regulators and operators must make concerted efforts on investment education to forestall instances of abuses and ensure that investors play in the market according to their objectives.

THE NATION MONDAY, JULY 7, 2013

DUE DILIGENCE

Livestock Feeds: Improving yields

LIVESTOCK Feeds Plc recorded impressive performance in the immediate past year as the animal nutritional-products company optimized appreciable growth in sales to deliver substantial returns. The profit and loss accounts and the balance sheet underscored a well-rounded performance, which highlighted early gains of the company’s membership of the UAC of Nigeria (UACN) Group. Audited report and accounts of Livestock Feeds for the year ended December 31, 2013 showed that 12.5 per cent growth in sales magnified progressively into 18 per cent increase in gross profit, 28 per cent growth in profit before tax and 46 per cent increase in net profit after tax. The positive profit outlook of the company was strengthened by improved underlying profitability indices as well as considerable improvements in financing structure and liquidity. A lower financial leverage, better equity funding and larger working capital underpinned a major balance sheet restructuring, putting the company in better stead to further drive its profit and loss performance. However, Livestock Feeds remained substantially leveraged, especially for an agricultural sector that faces relatively more unpredictable variables. It also needs to further unlock its intrinsic value to justify its current share pricing.

Financing structure Livestock Feeds’ paid up share capital increased by about 67 per cent from N600 million in 2012 to N1 billion in 2013. This implied an increase Fiscal Year Ended December 31 Nmillion Profit and Loss Statement Main Business Segment Total turnover Cost of sales Gross profit Operating expenses Interest and other incomes Finance expenses Pre-tax profit(loss) Post-tax profit (loss) Basic earnings per share(kobo) Gross dividend (Nm) Cash dividend per share (kobo) Net Assets per share (kobo) Balance Sheet Assets: Fixed assets Total long term assets Trade debtors Current assets Total assets Liabilities: Trade creditors Bank loans Current liabilities Long-term liabilities Total liabilities Equity Funds Share capital Total Equity Funds

By Taofik Salako

Capital Market Editor

in number of issued and outstanding shares from 1.2 billion ordinary shares of 50 kobo each in 2012 to some 2.0 billion ordinary shares of 50 kobo each, representing additional 800 million ordinary shares of 50 kobo each. Shareholders’ funds jumped by 173 per cent from N633 million to N1.73 billion. Total assets rose by 77 per cent to N3.67 billion as against N2.07 billion. The assets base was driven by 94 per cent increase in current assets from N1.51 billion to N2.93 billion and 32 per cent growth in long-term assets from N560 million to N740 million. Total liabilities stood at N1.94 billion in 2013 as against N1.44 billion in 2012. The financing structure became stronger in 2013 with improved equity funding and financial leverage. The proportion of equity funds to total assets increased from 31 per cent in 2012 to 47 per cent in 2013. Debt-toequity ratio improved to 50 per cent in 2013 compared with about 147 per cent in 2012. Long-term liabilities/ total assets ratio stood at 53 per cent in 2013 as against about 70 per cent in 2012 while current liabilities/total assets ratio improved from 67 per cent to 52 per cent.

per cent of total sales in 2013 as against about 95 per cent in previous year. While average cost per staff increased from N1.34 million to N1.66 million, average contribution of each employee to pre-tax profit also trended upward from N2.15 million to N2.60 million. The company had increased its workforce marginally from 103 persons in 2012 to 109 persons in 2013. Aggregate staff cost meanwhile increased from N138.38 million to N180.94 million.

Profitability

2013 as against N310 million in 2012. While interest and other incomes rose by 47 per cent from N86 million to N127 million, finance expenses increased by 41 per cent from N140 million to N196 million. Profit before tax rose by 28 per cent to N283 million in 2013 as against N221 million in 2012. Profit after tax grew by 46 per cent to N211 million compared with N144 million in previous year. Basic earnings per share remained almost flat at 12 kobo but net assets per share increased by 64 per cent from 53 kobo to 87 kobo. However, the company did not declare any dividend, deciding to plough all its net earnings into its operations. Besides, underlying profitability indices showed a largely positive outlook. Gross profit margin increased from 10.8 per cent to 11.3 per cent. Pretax profit margin also inched up from 4.1 per cent to 4.6 per cent. However, with the larger growths in assets and capital base, return on total assets dipped to 7.7 per cent as against 10.7 per cent. Return on equity also slipped from 22.8 per cent to 12.2 per cent.

Livestock Feeds recorded considerable improvement in profitabil•Chairman, Livestock Feeds, Mr. ity in 2013 with double digits Larry Ettah growths in sales and the bottomline. Livestock Feeds single business tion of majority equity stake in line is production and marketing of Livestock Feeds in 2013, thus bringanimal feeds, with operations in the ing the company in as a subsidiary four regions of the country-Aba, of the conglomerate. Current Ikeja, Benin and Kaduna. Total sales shareholding analysis showed that rose by 12.5 per cent from N5.43 bilUACN holds 51.01 per cent equity lion in 2012 to N6.11 billion in 2013. stake. First Capital Trust Limited The top-line growth was driven by holds the second largest equity increased sales across the four prinstake of 8.02 per cent while Liquidity cipal locations. Sales in Aba inCashcraft Asset Management Limcreased from N1.80 billion to N1.91 ited holds the third largest stake The liquidity position of the company billion. Ikeja remained the largest with 5.06 per cent. Sundry minorimproved substantially during the pesales point with its segmental turnity shareholders hold the balance riod with better coverage for emergover rising from N1.88 billion to Efficiency of 35.9 per cent equity stake. The ing liabilities and increased working N2.29 billion. Benin witnessed modchange in shareholding structure in capital relative to operations. Current The performance outlook showed est growth with N1.38 billion in 2013 led to significant reconstituratio, which indicates the potential abildual benefits of improved productiv2013 as against N1.36 billion in 2012. tion of the board of directors. Mr ity of the company to meet emerging ity and cost efficiency. The company Sales within the Kaduna division Larry Ettah, the group managing liabilities, improved to 1.54 times in optimized modest increase in averimproved from N402.43 million to director of UACN, was appointed 2013 as against 1.09 times in 2012. The age cost into substantial improveN536.83 million. Total cost of sales the chairman of Livestock Feeds in proportion of working capital to sales ment in average productivity, resultrose by about 12 per cent from N4.85 2013 while Mrs Modupe Asanmo improved from 2.4 per cent to 16.9 per ing in wider margin for value crebillion to N5.42 billion. Gross profit remained the managing director. cent while debtors/creditors ratio stood ation. Total costs of business, excludthus increased by 18 per cent to N690 Three other non-executive direcat 55.5 per cent in 2013 as against 22.6 ing financing charges, reduced to 94.2 million in 2013 as against N585 tors were appointed while two diper cent in 2012. million in 2012. Marketing and rectors resigned. On the basis of distribution expenses rose Governance and structures available information, Livestock 2013 2012 Feeds complied with the extant 12 months % change 12 months from N185.6 million to N190.9 Incorporated as a limited liability million while administrative code of corporate governance and company in March 1963, Livestock expenses increased from best practices. Feeds converted to a public limited liN124.6 million to N146.3 mil6,114 12.5 5,433 ability company and was quoted on Analyst’s opinion lion. Total operating expenses 6,114 12.5 5,433 the Nigerian Stock Exchange (NSE) in indicated marginal increase of 5,424 11.9 4,848 The performance of the company 1978. UACN completed the acquisi8.7 per cent at N337 million in 690 17.9 585 shows a reassuring outlook. With growing top-line and im337 8.7 310 proving bottom-line, Live127 46.9 86 Fiscal Year Ended December 31 2013 2012 stock Feeds appears to be on 196 40.5 140 % % a promising growth trajec283 27.8 221 Financing structure tory, which could become 211 46.2 144 Equity funds/Total assets 47.1 30.6 more prominent in the years 12 -2.5 12 Long-term liabilities/Total assets 52.9 69.5 ahead. The livestock feed inCurrent liabilities/Total assets 51.8 66.7 dustry is estimated to have Debt/Equity ratio 50.2 146.8 significant headroom for 87 64.2 53 growth. With ongoing initiaProfitability tives to boost its revenue and Gross profit margin 11.3 10.8 diversify its earnings, LivePre-tax profit margin 4.6 4.1 stock Feeds appears on a 722 32.0 547 Return on total assets 7.7 10.7 steady growth path. It is 740 32.0 560 Return on equity 12.2 22.8 launching its own fish feed 69 2.4 68 Dividend cover (times) while the installation of the 2,931 93.8 1,512 12 metric tonnes per hour 3,671 77.2 2,072 Efficiency feed milling machine in its Pre-tax profit per employee (Nm) 2.60 2.15 Ikeja Mill is planned for 125 -58.3 299 Staff cost per employee (Nm) 1.66 1.34 completion this year. The 869 -6.5 929 Cost of sales, operating exp/Turnover 94.2 94.9 synergies from the member1,900 37.6 1,381 ship of UACN-including 41 -29.5 58 Liquidity shared services such as ware1,941 34.9 1,439 Current ratio 1.54 1.09 housing, haulage and finances, Working capital/Turnover 16.9 2.4 would further impact the per1,000.0 66.7 600.0 Debtors/Creditors 55.5 22.6 formance going forward. 1,730 173.2 633

THE NATION MONDAY, JULY 7, 2014

THE NATION

BUSINESS INSURANCE

NAICOM chief urges shareholders to protect T investments, drive profits HE National Insurance Commission (NAICOM) has urged shareholders of listed insurance companies to safeguard their investments and drive growth of the industry. The Commissioner for Insurance, NAICOM, Mr. Fola Daniel, who made the call, said shareholders should see safeguarding of their investments as part of their responsibility, adding that the main objective of every investor is to get return on his investment by way of dividends, capital appreciation, rise in the price of stock and bonus issue. Daniel spoke at a forum between NAICOM and shareholders of quoted insurance companies in Lagos. The event was meant to evaluate and dis-

Stories by Omobola Tolu-Kusimo

cuss the performance of listed insurance companies. He said the forum, which henceforth will be held quarterly, would provide them (shareholders and NAICOM) the opportunity to review the performance of listed insurance companies and the level of their returns to investors. He said given the performance of listed insurance companies in Nigeria today, they have been able to achieve the investment objectives of the shareholders adding that it is open secret that

not many of these listed companies make substantial profit if at all they make any profit. He noted that the direct consequence of this situation is that the companies are not able to pay dividends, bonus issue and no capital appreciation. In fact, the price of most insurance stocks in the Nigerian Stock Exchange (NSE) remains at nominal value of 50k, he said. He listed the challenges hindering the performance of most companies as low pricing of risk, poor investment decisions, issuance of policy on credit and

bloated premium, which the Commission recently addressed and high management and underwriting expenses that is about the worst in the world. He criticised shareholders who delegate their responsibilities to the board and management of their companies. He said: “Most of you do not ask questions as to how well your companies are being managed by your representatives. Beyond the annual general meetings which you attend, how often do you seek information and get satisfactory

feedback from your board and management? Do you engage in intelligent and constructive interrogation of the financial reports of your companies? If you are not doing this as a shareholder, it means you have no interest in protecting your investment. It also means that your objectives for investing in these companies are at variance with the ones I have earlier mentioned. “I want to say by way of advice that while you look up to the regulators for solutions, shareholders should have a change of heart and live up to their responsibilities by taking keen interest in what happens in the companies. It is also imperative that the various shareholders associations look inwards and purge themselves of fakes.”

Policy sale through SMS, internet dangerous, says Staco boss

HE Managing Director, Staco Insurance Plc, Sakiru Oyefeso, has kicked against the sale of insurance policies through internet, social media and short messages (SMS) by telecoms companies, warning underwriters of the danger of using such channels to drive insurance business. He warned underwriters that approach telecoms companies to establish unsolicited relationships, to have a rethink, saying telecoms firms are not licensed to carry out sale of insurance policies. He said their involvement is not in the interest of insurance practitioners, pointing out that what happened in workmen compensation is a case in a point. Oyefeso gave the warning in a paper he presented at this month’s edition of the Nigerian Council of Registered Insurance Brokers’ (NCRIB) Evening in Lagos. He queried the right of the telecommunication companies to sell insurance policies when they are not licensed by the National Insurance Commission (NAICOM) as insurance brokers or agents. He described the development as an infringement and danger to insurance business, and cautioned insurance operators to beware of self-destruction. Speaking further on technology challenges and threat to broking in the industry, he said in the past,

what marketers do to engage customers has changed beyond expectation. He said: “This is because the world is now a global village where many things are done with the push of a button. Tools and strategies that were cutting-edge a decade ago are fast becoming obsolete and new approaches and strategies are evolving. “Today, Information and Commu-

nications Technology (ICT) has become a viable channel in the selling of insurance policies through the use of internet, social media and short messages from the telecommunications companies. The question here is that “are the telecoms network companies licensed agent by NAICOM to sell Insurance? Are the telecommunications companies now brokers?

‘Summit’ll lift old age dependency syndrome in Africa’

HE World Pension Summit tagged ‘Africa Special’ holding in Abuja today has the potential to address the seething individual dependency syndrome that characterises old age in Africa, said Wilson Ideva, Managing Director of Premium Pension Limited. Ideva, who spoke with reporters in Lagos, said it is important to note that poverty in Africa is as a result of numerous factors exacerbated by lack of social security at old age. He reiterated that the Contributory Pension Scheme (CPS) is a vehicle for savings and investment and provides lump sum payment at

• From left: Miss Insurance, Funmi Ogunsola; President, Nigerian Council of Registered Insurance Brokers (NCRIB), Ayodapo Shoderu and Oyefeso at the event in Lagos.

commencement of retirement and also programmed monthly pension for retirees. He explained that the scheme also avails the government large pool of funds to drive social and economic development. He said: “It is important that this special summit is taking place in Nigeria and co-hosted by the National Pension Commission (PenCom). Nigeria remains in no small measure the epitome of Africa and the exchange of ideas and experiences from around Africa and the world would only serve to enrich the rendition of the con-

tributory pension scheme across the continent. “The pension industry is becoming central to the contemporary narrative of development in Africa. With increasing economic growth consequent upon local and foreign investment, the pension industry will continue to provide a platform for savings among the working population in Africa. It is heartwarming that this summit is addressing important aspects of and tools for effective pension delivery mainly from the prism of African peculiarities.”

This question is asked because life assurance products are now sold through them. This is thought provoking and we should be reminded of how Workmen Compensation was gradually taken away from us.” He explained that danger signs for them now lie between channel of distribution and new competitors and not the banks or direct market by in-

IICO Insurance Plc has underwritten gross premiums of N23.6 billion in its 2013 financial year representing 11 per cent growth from the N2 1.2 billion recorded in 2012. The underwriting firm also generated net premium income of N18.2 billion, up 13 per cent from 2012. AIICO Managing Director Edwin Igbiti, who disclosed this in a statement in Lagos, said the growth was achieved despite the harsh economic environment. He said 2013 was a year in which the revenue generating ability of insurance operators was significantly curtailed by the National Insurance Commission (NAICOM) with the enforcement of its “No Premium No Cover” policy. The policy required for the first time in the history of insurance in Nigeria, that insurance companies

surance companies. NCRIB President, Ayodapo Shoderu while speaking on how to create more relevance for insurance broking in the country, said management has started taking strides by visiting notable insurance clients for the purpose of enlisting the continuous usage of brokers for their insurances. He said the management’s attention was drawn to an advertisement placed by Federal Airports Authority of Nigeria (FAAN), which excluded brokers from its insurances. “This issue was immediately taken up through a letter to the agency and we later follow up by a visitation to the procurement department. The action has paid off as the agency became more informed about who the brokers are as well as the value they could render to the value chain. He urged brokers to point out similar institutions to the Council for the purpose of following up on them for the benefit of all our members. He also advised members across the country to continually complement the efforts of the national secretariat in the enforcement of ethics and elimination of charlatans noting that whatever bad name the industry has attained today could be said to have been caused by the activities of unethical practitioners who are always set to dupe unsuspecting insurance clients, he said.

AIICO gross premium grows by 11% only recognise revenues materially on a cash-and-carry basis. He however, said that despite the growth in net premium, the firm recorded a loss of N739 million in the 2013 financial year due to writeoffs and impairments. The write-offs and impairments were necessitated by a need to strengthen its balance sheet, its business model and build on AIICO’s competitive advantages in this rapidly changing operating environment, he added.

IGI’s subsidiary to list on Kenyan Stock Exchange

ATIONAL Insurance Corporation Limited (NIC), a subsidiary of the Industrial and General Insurance Plc (IGI) in Uganda, is set to cross-list its shares on the Nairobi Securities Exchange, in the neighbouring Kenya. The listing of a company’s common shares on a different exchange than its

primary and original stock exchange is called cross-listing. NIC’s Vice Chairman, Dr Martin Aliker, who represented the Chairman, Mr. Remi Olowude, explained that the decision for the listing on the Nairobi bourse, East Africa’s most advanced capital market, was reached during the 13th Annual General Meet-

ing (AGM) of shareholders held recently in Kampala, the Ugandan capital. He said the listing is part of the strategic initiatives aimed at giving NIC better access to a diverse pool of investors and improve its competitive edge in the East African region. He said: “Cross-listing of the shares

will lead to better visibility, improved competitive edge in the regional markets, increased share liquidity, better price discovery, access to a wider pool of both sophisticated and retail investors, and better prospects of raising capital.” The Managing Director of NIC, Mr Bayo Folayan, said the firm intends to change its name from National Insur-

ance Corporation Limited to NIC Holdings Limited. IGI Plc acquired majority shares in the NIC in 2005 after a competitive international bidding. IGI is also the largest single shareholder of SONARWA, the number one insurance firm in Rwanda, with a shareholding of 64 per cent.

THE NATION MONDAY, JULY 7, 2014

BUSINESS MOTORING

•Peugeot 301

Pan Nigeria Limited has taken a giant step to bring the new auto policy into fruition by kicking off Peugeot 301 production and inaugurating the proposed site for Automotive Cluster Park. TAJUDEEN ADEBANJO, who was at PAN Nigeria Limited headquarters in Kaduna, reports.

Here comes new Peugeot 301 W

HEN the Managing Director/Chief Executive Officer PAN Nigeria Limited, Mr Ibrahim Boyi called on the Federal Government late last year to create the enabling environment that would guarantee huge foreign investments to support Nigeria’s Industrial Revolution Plan, especially in the auto sector, little did the public know the inherent benefits of such call. The government yielded to the call by approving the National Automotive Development Policy. With this government’s gesture, Boyi and a few others in the automotive sector see the policy as an opportunity to put the nation on the pedestal of vehicle-producing nations. Earlier this year, Boyi promised to reposition the moribund PAN Nigeria Limited towards retaking its number one spot in the auto industry. Last Tuesday, the company sent signals to other players in the sector of its readiness to reclaim its lost glory. PAN Nigeria Limited kicked off the industrial assembly of new Peugeot 301 and inaugurated the proposed Automotive Cluster Park site. The epoch-making event was attended by the former Head of State, General Yakubu Gowon, during whose tenure the company was opened over 40 years ago. Vice President Namadi Sambo who was supposed to lead the ceremony was represented by Minister of Industry, Trade and Investment, Dr Olusegun Aganga. Aganga, while praising PAN Nigeria for keying into the automotive policy, said no

nation can develop by relying on importation. He boasted that Nigeria can be the biggest auto industry in Africa if the policy is well harnessed. Aganga explained that President Goodluck Jonathan’s aspiration is not only to assemble vehicles but rather produce them. “We want to turn iron to vehicles; we want to turn rubber to tyres and make Nigeria the hub of automobile in Africa,” he said. According to him, the moribund auto plants have got a new lease of life, courtesy of the auto policy. He reiterated the belief that more jobs would soon be created in the sector by the time spare parts are being produced locally. “The response by foreign investors to the policy has exceeded our expectations, we urge Nigerians to patronise PAN and others. That is the only way we can develop our country. We must produce what we consume and consume what we produce. Anyone who is against this policy is against the people,” he said. Kaduna State Governor Ramalan Yero said by the time PAN Nigeria Limited becomes fully functional, the multiplier effects of job creation and technolocal knowledge will be immense for Nigerians and residents of the state in particular. The governor enjoined Nigerians to patronise the locally assembled vehicles. “If we do not patronise our own products, who will? If we do not, how can we be among the biggest car producers? As for us in Kaduna, we have long keyed into purchasing Peugeot products,” he said.

Gen Gowon hailed PAN for resuscitating the “best car manufacturing company in Nigeria.” He prayed the policy be sustained by succeeding adminidtration. “Nigeria would be better for it if the policy is not truncated,” he said. In his opening remarks, Boyi said the management was full of optimism and great hope for the future of the company, the automotive and Nigeria. He said the auto policy has made it possible to reopen their industrial production for the Peugeot vehicles after six years of inactivity. The re-opening, he said, had attracted the support of their OEM partners, Messers Automobile Peugeot of France and created a new window of opportunity for potential employment and re-engagement of our disengaged workers and also resuscitated the business of the largely moribund local component manufacturers. “We are proud to state here, today our auto manufacturing plant remains the biggest and most comprehensive auto plant not only in Nigeria, but West and Central Africa. Ours will be the benchmark for all incoming auto plants in Nigeria. “We are also confident that AIDP will achieve its objectives of protecting local auto plants, promote local components manufacturing, attract investments into the auto industry and create hundreds of thousands of direct jobs in the sector,” he said. PAN Nigeria Chairman Alhaji Munir Ja’afar announced that PAN has dedicated local parts park as contribution to the earmarked Auto-

motive cluster parks as captured by the approved National Automotive Development Plan, last year. Ja’afar said the idea of bringing together auto local content manufacturers under one umbrella as a cluster park within a manufacturing outfit, will no doubt, accelerate aspiration of growing the percentage of local content in output apart from the anticipated benefits of reduction in some unnecessary overhead costs incurred on amenities such as power, water, logistics and security as these costs will be shared among all. He praised President Jonathan for the policy. “We, the industrialists, have wholeheartedly agreed that the policies are meant for us to explore growth opportunities, increase our GDP and create employment for our citizens. We, therefore, call on the Federal Government to jealously monitor the implementation of the policy and avoid policy flip flop as this is capable of dampening our morale and confidence,” he added. He called on the Federal Executive Council to follow its directives with political will and ginger-up ministers and government agencies to patronise Made-in- Nigeria vehicles. This, he said, was the only way the government could create market for the locally produced vehicles in addition to duty differentials recently introduced to encourage local production. PSA Group Regional Director Eric Maydeiu said PAN factory remains the only one between Morocco and South Africa that is capable of producing products of quality following the more demanding standards of PSA.

THE NATION MONDAY, JULY 7, 2014

THE NATION

BUSINESS JOBS

• The Peugeot Assembly Plant in Kaduna

Through the auto policy, the Federal Government’s aim is to ensure that vehicles are manufactured in the country. The multiplier effect will be job creation and more income for the government, reports MUYIWA LUCAS.

On auto F drive

OR many firms, the auto policy is a blessing. They have begun manufacturing vehicles to give fillip to the policy. Nissan Motors has rolled out what its Madein-Nigeria cars. Twelve automobile manufacturing and distribution firms also plan to set up vehicle assembly plants. The Director-General, National Automobile Council (NAC), Mr. Aminu Jalal, captures the

policy’s benefits: “All things being equal, the auto policy is targeted at creating employment. The industry is expected to become one of the largest labour employing sectors in the country and will also generate an increase in national income. It will also boost other industries like iron and steel, aluminium, plastics, rubber, copper, lead, glass, insurance and finance.”

Stakeholders believe that in the first year of the policy, about 100,000 direct and indirect jobs will be generated. Stallion Motors is said to have employed over 400 people so far. The prospects of more employment in the group are high since it has over seven automobile brands. Peugeot Automobiles Ni•Continued on page 38

THE NATION MONDAY, JULY 7, 2014

JJOBS OBS

On auto drive •Continued from page 37

geria (PAN) Limited and Kewalram Chanrai Group, say they will employ 300 people when their Kaduna and Ikorodu (Lagos) plants begin operation. According to experts, parts and components in a car are up to about 2,500 units. These parts are manufactured by small and medium scale industries for assemblying by the auto manufacturers. This means that small and medium enterprises (SMEs), will thrive under the policy. With a thriving SME, the cost of spare parts is expected to drop. The spare parts market is presently estimated to be N30 billion annually. On the core business side, panel beaters will be needed for vehicles’ body works. Spray painters, electrical engineers, technicians, machine operators and articulated vehicle drivers will also get jobs. For the interior finishing of the vehicles, the SMEs will play a vital role. They will provide the seat frames, seat belt, upholstery and dash board, among others. At the peak of automobile assemblying in the country, companies such as, Exide Battery and Oluwa Glass, supplied the assembly firms with

their products. Then PAN accounted for over 200,000 workers in direct and indirect employment. It was producing 22,500 units of vehicles daily then. The policy may also breathe life into the Ajaokuta Steel Rolling Mill in Kogi State and Delta Steel at Aladja, among others. These firms are expected to provide steel for the manufacturers. Since the manufacture of vehicles is technology-driven, technical and science inclined Nigerians will abound in the sector. They will be engaged in the design, aerodynamics configuration and other technical aspects of vehicle manufacturing. With huge SMEs and other ancillary service providers springing up, there will be an upsurge in demand for banking services. This is where banks will come in. With expansion in the branch network of financial institutions, recruitment of personnel becomes inevitable. For land speculators, it will also happy times. The demand for land to build plants will rise. Auto firm is said to be negotiating for 25 hectares of land to set up its assembly plant. Ademola Ogunsakin, a human resource practitioner, explained

• PAN Managing Director Ibrahim Boyi

that the multiplier effect of one employed person on a household is huge. He argues that for every individual employed, about 1,000 people would ultimately benefit

• Stallion Motors Managing Director Pavir Singh

from such employment directly or indirectly. He advised that skilled and unskilled persons should be prepared for what may be a new dawn in terms of em-

ployment. But he notes: “it all depends on whether government will follow the policy to the letter and ensure that it works.”

CAREER MANAGEMENT

How to access the hidden job market using career/job fairs

OU know how important it is to network if you’re going to access the hidden job market—and career fairs are excellent places to network. Instead of going to a career fair with the intent to land an interview, go with the intent to network and see how many new people you can meet. A career fair is a virtual smorgasbord of contacts who are already working in the field you’ve chosen. It’s also packed with people like you, who could end up being business associates one day. You might even meet a potential mentor at a career fair. Bring a great value proposition letter( VPL), copies of your resume, business/networking cards, and a willingness to talk and ask lots of questions. By the way what is VPL? It is a brief and persuasive account of what you accomplish—not what you do. Increasingly more critical senior managers and executives, it is clear, concise, and worded in metrics, i.e. Naira and percentages (%). Intended to be mailed to the CEO, President, Owner, or other

By Olu Oyeniran

top decision maker. A great value proposition letter should answer questions such as: • Why should I invest my time in talking to you? • What value do you offer my company? • What’s in it for me? • What makes you so special?

Preparing for a career fair

Before you go to the career fair, make sure that you know which employers are planning to attend, and then do your research. Find out which companies are of interest to you. Then, prepare a value proposition letter that speaks to their needs, what you can accomplish, and how you add value. Include a link to your professional website or LinkedIn profile. Bring your resume in case someone asks for one, but I suggest a

different approach to the usual take on career fairs. Instead of visiting each booth and passing out your resume, take time to speak to each person and give them a value proposition letter. You also want to prepare your elevator speech. Try to narrow down your pitch to 15-30 seconds—and make sure it addresses what you can accomplish, and how you add value. Employers always want to know these two things about a candidate, so don’t get caught up in your whole professional history. Focus on telling them what they want to hear.

At the career fair

Be sure to dress appropriately, and act professionally. The career fair is your opportunity to make a great first impression on a lot of people, and open the door to further interaction. Talk to as many people as you can— ask the questions you’ve prepared. If the person you talk to is just

covering the booth, ask for a referral to a contact who is directly involved in hiring for the type of position you’re seeking. Be sure to take notes; you’ll never remember at the end of the day exactly who you spoke with. Thank people for their time, and ask if and when you can follow up.

After the career fair

Send a thank-you note to the company representatives you spoke with. Check your notes to find out who wanted you to follow up—and then do it. If there were any companies you didn’t get a chance to visit with, send them a value proposition letter. If you received the name of a decision maker who wasn’t at the career fair, then initiate contact with that person via direct mail, and send them a copy of your value proposition letter or your resume and cover letter. You would be surprised how many doors this will open up.

One of the most valuable tools when tapping into the hidden job market is a Value Proposition Letter. It is tremendously successful at grabbing the hiring manager’s attention and showing them the value you offer as a candidate. Studies have shown that direct mailing a Value Proposition Letter to a decision maker results in an 85 per cent success rate in securing employment w i t h i n 9 0 d a y s . T h a t ’ s pretty substantial. EkiniConsult & Associates is organising three free and open workshops, ‘Knocking on the Right Doors - Strategies for Uncovering the Hidden Job Market’ for The Nation readers in Lagos. A free e-Book of the same title will be given to those who may not be able to. If you are interested, send-in your name, location, email address and GSM no to 080-83843230. Precede with the word ‘ATTEND’ for those who want to come and ‘FREE E-BOOK’ for those who want the free e-Book only.

Seven tips on creating workplace self-motivation W

ORKPLACE motivation is one of those interesting things. We think it should just drop out of the sky like magic but it never really does. We also don’t really think about how to create motivation for ourselves. However, we really can create it with the right tools. First, let’s get on the same page about what motivation is. Motivation is what causes you to take action. Clearly, you’re at work so you do have some motivation because your action is going to work and performing your job. What we are talking about is feeling engaged and inspired about the actions you do take. Let’s look at some of the tools you can use to get fully engaged and motivated in the workplace:

By Olu Oyeniran

Change

There’s nothing like changing things to really get the juices going. You don’t want to change things just for the sake of changing; however, you want to change things that don’t work well. With that, you must have a vision of what the right outcome would be and then you apply your steps to create the action for change.

Goals

Many times, the lack of motivation is due to a lack of direction or goals. Sit down and figure out what would really get you up in the morning and make that your goal. Having a goal isn’t enough, though. It has to be a goal that you

yearn for or have some emotions about. Once established, put together a plan for how you will achieve your goals. Keep in mind SMART for goals = Specific, Measurable, Actionable, Resonate, Time bounded if you really are going to shot for something worth having.

Be accountable

The vast majority of us want to do things but we’re really lazy about doing them. It’s often easier to diet or workout with someone because we have a person that is looking for us to perform. Find someone to hold you accountable to yourself and be willing to trade off the favor. Clean up your own internal litter We all have baggage, but some-

times we have so much of it cluttering up our life that it bogs us down and we fail to see what’s possible. Creating a clutter-free physical work environment also gives significant push to get on with work at hand.

Surround yourself with the right people Yes, your mother was right… it is important to hang out with the right people. In this case, hang out with people who are inspired and motivated as it will be contagious.

Research the issue

Find out from others what motivates them. In the process, you may hear something that would really be great for you. Don’t be afraid to copy what works.

Cop an attitude

Motivation creates more motivation. Look for it and it will be there. We often get hung up about our ability to control things in the workplace. The one thing we can control is our attitude and approach to various workplace challenges. Change your perception or paradgme. You will see how things are different, even with the same facts! These tools for workplace motivation are simple to do which means there is nothing but you holding you up from trying them. •Oyeniran is Lead Consultant, EkiniConsult & Associates. He can be reached on Jobsearchhow.com.ng Tel 08083843230 (SMS Only).

THE NATION MONDAY, JULY 7, 2014

TAXATION

Basis period for assessable profits

Introduction

CCORDING to the Nigerian Tax Laws it is mandatory for companies deriving income from Nigeria to pay various forms of taxes. The laws equally provide for how the taxes are to be computed on the company’s profits and when they should be paid. The focus of this article is on how to determine the basis period for assessable profits to be subjected to tax. Assessable Profit

The accounting profit arrived at in the trading, profit & loss account is not usually the same as “tax profit”. This is because in ascertaining the accounting profit some expenses which are not allowed for tax purposes may have been reported and some income included in the accounting profit are tax-free. In simple terms, assessable profit is simply computed as adjusted profit less losses (unrelieved c/f) before taking into consideration capital allowances, balancing allowance and or balancing charge. This is also a profit in which education tax is treated at 2%. It should be noted that treatment of this profit depends on the tax type as companies income tax treatment differs from petroleum profit tax treatment. Adjusted profit is computed as below: Net Profit (as per account) **** Add: disallowable expenses taxable income (not reported) Less: allowable expenses (not reported) non-taxable income (reported)

Apportionment of Assessable Profit

Section 29 (6) allows for the apportionment and aggregation of profits in order to arrive at the profit of a year of assessment. Any apportionment shall be made in proportion to the number of months in the respective periods. In practice, this is usually obtainable under the abnormal situations. i.e. under Commencement of new business, Change of date or cessation of business.

Meaning of Basis Period

Basis period is simply time within which an assessment is raised/computed on a taxpayer for the purpose of establishing the correct amount of tax liability in a particular period. Basis period can also be seen as the basis upon which tax liabilities would be computed. Every business has its accounting year end (accounting period) as it suits the company’s operations except for few industries in Nigeria where the permanent year end is determined by the applicable authority. e.g Banks . More so a company’s accounting date may not correspond with the government fiscal year; which is 1st January to 31st December. Based on the above, it can be said that for the sake of equity; which is one of the qualities of the Nigerian tax system, the Nigerian government through the Tax Authorities provides for the basis upon which taxes would be computed on a common ground.

Types of Basis Period

A Careful study of the provisions in the Nigerian tax laws (CITA,PPTA,CGTA,PITA etc.) show that we basically have two (2) types of basis period applicable to every company liable to tax. They are: • Preceding Year Basis • Actual Year Basis

Preceding year Basis Period

Section 29 (1) of the Companies Income Tax Act, C21 LFN 2004 (as amended) provides that; ….the profit of any company for each year of assessment from such source of its profits (hereinafter referred to as the “assessable profits”) shall be the profits of the year immediately preceding the year of assessment from each such source. This simply means that the profit to be subjected to tax in a particular year will not be that earned that same year but the profit of the immediate past year. Assessable Profits are computed on the amount of the profits of the year ended on that day in the year preceding the year of assessment. Note that for companies, profit is being ascertained on an annual basis. This means that every basis period determined on preceding year basis must be up to 12 months ending on a company’s permanent year end. Under normal circumstance, the basis period is the same as the accounting period. What differs are the “accounting year” and “tax year” Example: Determine the tax year and basis period for company that has just filed 2013 financial statement, having 30th September as its permanent year end. The company has been in operation for over five years.

Suggested Solution:

Tax Year Basis Period 2012 1/11/2010 – 30/10/2011 2013 1/11/2011 – 30/10/2012 2014 1/11/2012 – 30/10/2013 It is worthy of note that it is only a business in continuous operation (say over 3 years) and that has neither changed permanent year end nor cease operations that will have a normal basis period.

Abnormal Basis Period

Any basis period that does not fulfill the conditions stated under the normal basis period is said to be abnormal. An abnormal basis period can be obtained under the following circumstances: • Commencement of a new business • Change in the accounting date • Cessation of a business The above requires special treatments as adequately provided for in the relevant tax laws

• Acting Executive Chairman, FIRS, Alhaji Kabir Mohammed Mashi

Section 29 (3)(a-e) provides that; The assessable profits of any company from any trade or business for the year of assessment in which it commenced to carry on trade or business (or in the case of a company other than a Nigerian Company, for the year of assessment in which it commenced to carry on the trade or business in Nigeria) and for two following years of assessment (which years are in this subsection respectively referred to as “the first year” “the second year” and “the third year” shall be ascertained in accordance with the following provisions: (a) First Year: the assessable profits shall be the profits of that year(i.e. from date of commencement up to the end of the same year) (b) Second Year: the amounts of the profits of one year (i.e. 12 months) from the date of commencement of the business. (c) Third Year: Shall be computed in accordance with Section 29 (1) as earlier highlighted. This means the basis period will be on a preceding year basis except otherwise provided. (d) For the third year, it may not be possible to obtain a realistic basis period as the period might begin in a month earlier than the month of commencement. This arises where the month of commencement is after the month chosen as the permanent year end. In such situation, the repetitive rule will be applied. Example: OWOGOKE Limited commenced business on 1st October, 2002 and makes up its account annually to 31st May. Its assessable profits were as follows: N Period ended 31st May, 2003 240,000 Year ended 31st May, 2004 516,000 OWOGOKE Ltd – Computation of Assess. Profits YOA Basis Period Assess Profit (N) 2002 1/10/02 - 31/12/02 (3/8 * 240,000) 90,000 2003 1/10/02 - 30/9/03 (240,000 + 4/12*516,000) 412,000 2004 1/6/2002-31/12/3 ^^^^^ Noticeably, the basis period for 2004 YOA begins in a month earlier than the date of commencement. The general practice is to repeat the basis period for the second year. According to the aforementioned section, a new business is entitled, on giving notice in writing within two years after the end of the second year to the Board to require that the assessable profits both for the second year and third year (but not for one or other only of those years) shall be the actual profits of the respective years of assessment (i.e. profits of 1st January to 31st December of the second and third years of assessment). This is same as actual year basis discussed earlier. In other words, the taxpayer reserves the right to be assessed to tax in the second and third year on actual year basis instead of the rule highlighted under the commencement of business. Naturally, the taxpayer will exercise this right only where it may result in a lower tax liability. DORO-DAPO Limited commenced business on November 1, 1999 and decided to prepare its accounts to April 30 annually. Its adjusted profits were as follows: Period ended 30th April, 2000 420,000 Year ended 30th April, 2001 480,000 Year ended 30th April, 2002 600,000 Compute the assessable profits for the first 3 years of assessments and decide whether or not Doro-Dapo should exercise its right of election.

b. Revised Assessment (on election) NOTE: Only the assessable profits of the second and third year will change if the right of election is exercised. 2000 1/1/00 - 31/12/00 (4/6 *420,000 + 8/12*480,000) 600,000 2001 1/11/99 - 30/10/00 (4/12 *480,000 + 8/12 * 600,000) 560,000 1,160,000

Commencement of a New Business

SuggestCed Solution DORO-DAPO Limited

Computation of Assessable Profits

a. Original Assessment (without Election) YOA Basis Period Assess Profit(N)

1999 1/11/99 - 31/12/99 2000 1/11/99 - 30/10/00 2001 1/11/99 - 30/10/00

(2/6 * 420,000) 140,000 (420,000 + 6/12*480,000) 660,000 (Repeated) 660,000 1,320,000

Decision

It is to the advantage of Doro-Dapo Ltd to exercise its right of election to be assessed on the profits of 2000 and 2001 years of assessment since this result in tax savings of N160,000 (1,320,000 – 1,160,000)

Summary of Assessable Profits

YOA Assessable Profits (N) 1999 140,000 2000 560,000 2001 560,000 Note: Based on the requirement of the law, the right of election must be exercised on or before 31st December, 2002 (i.e. within two years after the end of the second year – 2000) 31st December, 2002 is 26 months from the date of commencement. Can we now infer, as against the requirement of the law,that the first set of returns can hold till 31st December, 2002?

Revocation of the Notice of Election

The law equally gives a taxpayer the opportunity to revoke his earlier request for an election by giving notice in writing to the FIRS within twelve months after the end of the third year of assessment.

Example

KILOBADE Limited commenced business on 1st March 2001. it makes up accounts annually to 31st August and its profits as agreed for tax purposes, were: Period ended 31st August, 2001 300,000 Year ended 31st August, 2002 720,000 Year ended 31st August, 2003 900,000

Solution

KILOBADE Limited Computation of Assessable Profits Original Assessment (without Election) YOA Basis Period Assess Profit(N) 2001 1/3/01 - 31/12/01 (300,000 + 4/12 * 720,000) 540,000 2002 1/3/01 - 28/2/02 (300,000 + 6/12*720,000) 660,000 2003 1/9/01 - 31/8/02 720,000 1,380,000 Revised Assessment (on election) 2002 1/1/02 - 31/12/02 (8/12 *720,000 + 4/12*900,000) 780,000 2003 1/1/03 - 31/12/03 (8/12 *900,000 + 4/12 * 960,000) 920,000 1,700,000

Decision

The total assessable profits for the second and third YOA under commencement rule is N1,380,00 which is lower than N1,700,000 under election. Therefore, it is in the interest of KILOBADE Ltd not to exercise its right to avoid payment of higher tax. However, if an application for election had already been made, the company should renounce it in writing before the expiration of 12 months from the end of the third year of assessment (i.e. on or before 31st December, 2004).

Summary of Assessable Profits YOA 2001 2002 2003

Assessable Profits (N) 540,000 660,000 720,000

THE NATION MONDAY, JULY 7, 2014

POLITICS

MONDAY JULY 7, 2014

THE NATION

E-mail:- politics@thenationonlineng.net

NIGER POLITICS The Peoples Democratic Party (PDP) and the All Progressives Congress (APC) have returned to the drawing board in Niger State. Governorship aspirants on their platforms are also intensifying their consultations and mobilisation for the next poll. JIDE ORINTUNSIN writes on the succession battle in the Power State.

2015: Who succeeds Aliyu? T

HE race is gathering momentum. The as pirants are scheming for power. Stakeholders are also preparing to separate the wheat from the chaff. Who succeeds Niger State Governor Babangida Aliyu next year? For the two parties, the die is cast. The ruling Peoples Democratic Party (PDP) is not leaving anything to chance. Aliyu’s priority is to hand over to another PDP governor. But, the opposition All Progressives Congress (APC) is not sleeping on guard. The party is growing in leaps and bounds. Therefore, pundits have predicted a tough battle in the acclaimed “Power State.” The next governor will be the fifth chief executive. Historically, hectic partisan battles have always heralded the ascension of the governor. In 1979, Alhaji Awwal Ibrahim emerged as the first civilian governor. He is now the Emir of Suleja. In the Third Republic, the late Dr. Musa Inuwa assumed the reins. His emergence was a surprise to many observers. Inuwa, a medical doctor from Kamberi ethnic group, joined the race few days to the primaries. Yet, he won the ticket. In 1999, Abdulkadir Kure, an engineer and retired civil servant, emerged on the scene. He was an unknown political figure. But, he was highly favoured by powerful and influential leaders of thought. He bowed out in 2007. Also, Aliyu never contested the PDP primaries. But, he became the PDP candidate and won the governorship poll. According to analysts, if history is anything to go by, the race is unpredictable. There are notable politicians eyeing the seat. Many factors will shape the contest. The governor has a stake. Sources said that he is trying to raise a worthy successor, who will be acceptable to his party and other stakeholders. Also, there are some political leaders who may rub shoulders with the governor because they are also interested in sponsoring candidates. But the political dynamics of the state and the level of political consciousness among the people may have consigned the theory of the “last minute emergence of candidate” or a “dark horse” into the political dustbin of history. In recent times, an unwritten zoning arrangement, which was introduced by the ruling party, has been exhumed. If it is implemented, the next PDP candidate will come from Niger North Senatorial District or Zone C. This explains why the zone has the highest number of aspirants. For now, only three contenders are from other zones. At the last count, no fewer than 13 aspirants from the two dominant parties itching to succeed Aliyu. The PDP has been in control of the state since 1999. Therefore, it has the highest number of aspirants. 10 aspirants are jostling for the slot. However, more aspirants may still indicate interest, ahead of the primaries. For now, the APC has three aspirants. But, sources said that one of the aspirants may have opted out. The aspirants is contesting the byeelection for the Niger East Senatorial seat, which became vacant, following the death of Senator Dahiru Awaisu Kuta last month. The PDP primaries may be rancorous. This is because none of the aspirants is willing to step down. Many of them have also ruled out the consensus option. The aspirants include the deputy governor, Hon. Ahmed Musa Ibeto, Alhaji Mu’azu Bawa Rijau, the Commissioner for Works and Infrastructure, Alhaji Sheidu Abubakar, the Chairman of Wushishi Local Government, former Minister of Trade

• Dr Aliyu

• Bello

• Ibeto

‘For the two parties, the die is cast. The ruling Peoples Democratic Party (PDP) is not leaving anything to chance. Aliyu’s priority is to hand over to another PDP governor. But, the opposition All Progressives Congress (APC) is not sleeping on guard. The party is growing in leaps and bounds. Therefore, pundits have predicted a tough battle in the acclaimed Power State’ Mustapha Bello and Ibrahim Matane, a former Head of Service. Others are Alhaji Garba Mohammed Dukku, a federal servant, former military governor of Benue State Col. Aminu Kontagora, retired Deputy-Inspector General of Police Senator Nuhu Aliyu, a medical practitioner, Dr Mustapha,and Alhaji Darangi. Aliyu has never hidden his preference.

Sources said that he is grooming a member of his cabinet for the role. But, he has held the card close to his chest. Eyes are on Musa Ibeto and Mu’azu Bawa Rijau. To observers, the race may just be narrowed down to the two politicians, if the governor is the only politician who will anoint the candidate. Apart from Ibeto and Rijau, who are the top

contenders in the ruling party, the posters of Garba Dukku also adorn the streets. There is rivalry among these contenders as they try out do one another at any function. The rivalry is also worrisome to the governor. When Aliyu visited Gulu, Lapai Local Government Area for the commissioning of the Gulu General Hospital, he cautioned them, saying that politics should not be a do or die affair. Tension had risen at the ceremony when the supporters of the two politicians fought. To many people, Ibeto has a towering credential. He has served as the deputy governor for seven and half years. He is also perceived as a faithful and loyal deputy. He is also a former member of the House of Representatives and a former Director of Protocol to former Governor Kure. He is believed to have the financial muscle. But, he has some hurdles to cross. Those who opposed his selection as Aliyu’s running mate are not backing his bid. The deputy governor has also been accused of not reaching out to those who matter in the state chapter of the PDP. Rijau is a household name in Niger State. His father is a power broker. An economist, the former Chairman of the Board of internal Revenue has performed well as the Commissioner for Works and Infrastructure Development. He is very popular in the party. Besides, he is relying on the backing of his father’s political associates across the three districts. Bello, a one-time Minister of Trade and 2003 governorship candidate of Peoples Redemption Party (PRP), is not a push over. A technocrat of high repute, Bello knows his onions. He is courageous. After his failed attempt 11 years ago, he has refused to desert the battle field. His financial muscle and political clout are assets. But, he has many people opposing him at home. A source said that his people have resolved to back an APC candidate during the election. Another aspirant to watch is Dukku. He is seen as the “Abuja joker”. He is well connected. He has godfathers among top PDP big wigs. Dukku has campaign structures in the 25 local governments. This feat has not been matched by any aspirant. Senator Aliyu’s ambition may not go beyond the party primaries. He lacks political structure and patronage required for the contest. His political popularity has declined, following his defeat by a relatively known lawyer and opposition candidate, Senator Ibrahim Musa, at the 2011 senatorial election. Other aspirants- Abubakar, Kontagora and Darangi-are not slowing down. Also, Ahmed Matane, the former Commissioner for Agriculture, is waxing stronger. He is close to Aliyu. Many people believe that Matane is Aliyu’s undisclosed candidate. The Mashegu-born politician has a member of the kitchen cabinet since 2007. But, he lacks the financial strength. In Niger State, the PDP cannot pretend as if there is no threat to its dominance. The APC is enlarging its coast. This is giving PDP leaders nuch concern. Unlike their PDP counterparts, APC contenders are maintaining a low profile. The two aspirants that are visible are Abubakar Sani Bello and Mohammed Sule. Sources said that the odds may favour the former because he is from the preferred zone. Umaru’s decision to opt out of the governorship race to participate in the senatorial by-election may be to Bello’s advantage. Bello, fondly called Abu Lolo by admirers, is the son of the former military governor of old Kano, Colonel Sani Bello. He is former Commissioner for Trade and Investment. He has the backing of retired Generals. He is also the toast of the youths who are agitating for generational shift. He has campaign structures in all the wards. Mohammed Sule, a green horn, is also trying his luck. The fate that befell Dr. Mustapha may also be his lot at the primaries. The duo are from Niger South District, which is favoured by zoning. But, Sule is perceived as the candidate of the future. The succession race is open. Either of the parties can produce the next governor. But, it will not be a walk over for any party.

THE NATION MONDAY JULY 7, 2014

POLITICS House of Representatives Deputy Majority Leader Hon. Leo Ogor represents Isoko Constituency, Delta State. He spoke with BOLAJI OGUNDELE on the national security, the National Conference and the defection of legislators from the All Progressives Congress (APC) to the Peoples Democratic Party (PDP).

‘Why National Conference report can’t go to referendum’

HY is the military finding it difficult to quell the Boko Haram insurgency? Terrorism is very alien to us. This is our first time and what we are fighting today is more like a guerrilla warfare, fighting people we do not know. It becomes very difficult to identify them, it is extremely difficult because they strike and go away. They are not based in a specific place. You must also appreciate the fact that guerrilla warfare is one of the most difficult any country can fight. Agreed to the fact that it is alien to us, it will take time for our military to update themselves with this kind of battle and this is what is happening. I make bold to say that if it was a normal warfare, our military has been judged as one of the best in the world in the peace missions they carried out. We should not listen to some of these propaganda coming from the press. Of course the terrorists know what they are doing; they definitely want to create some doubts in our minds and I am wholly of the opinion that because we are fighting something that is a bit alien to us, it will take time, but we will get there. Actually the point I was trying to drive at is the complaints by the Nigerian security forces that even if they have the best men, they are not well equipped to face the kind of battle. Those are hearsays. I have not heard the Chief of Army Staff nor the Chief of Defense Staff nor any of those top military ranks making such a categorical statement. Is the House of Representatives considering investigating some of these allegations? There is nothing wrong in investigating allegations where there are alleged misappropriation of funds, but you must also look at the timing of what you are doing. We will not want to tamper the moral of our soldiers. It will be very dangerous for us to start investigating our army today, where they are in the battle front. I, Hon. Leo OkuwehOgor, will not be a party to that. For anybody to be at the battle front, to stake his life, we must respect him and know that that man or woman is a patriotic citizen. We will look at the subject matter, but not now, maybe later. As at now, we need to encourage our army, we need to give them support, and I am one of those that will do anything to stop any investigation at this time. After the whole crisis, when we will be celebrating, we can then say the time and hour has come for us to dot the Is and cross the Ts.The essence of investigation, a lot of people tend to misunderstand what investigations are, we investigate to correct some level of anomalies that are there in the system, we investigate to carryout a law making process, so that some errors that are seen in the system are corrected. We use the opportunity, those investigative powers under the provision of Section 88 and 89 of the 1999 Constitution, as amended, to block those loopholes. Why do you think that defected members of the House should not sit in the Chambers? The 37 members, like I told them, I have insisted that those 37 members are still PDP members until the court rules otherwise. I have also emphasized that there is no way those people can vote or par-

• Ogor

ticipate in any issue of voting, till the court comes out with its final decision because, as I said and will want to quote myself again that, assuming tomorrow the court rules otherwise that no, you cannot defect and we allow them to take a decision that may not favour my political party, which is the PDP, at the end of the day, we would have cost ourselves an irreversible pain, because the damage then would have been done. So, we insist that let the court process be completed. If by any chance the court rules that in line with the provisions of the Constitution that they can cross-carpet to another political party and if they are in the majority, I said that, I, Hon. Leo Ogor, will move the motion that they should take over the positions, but until the court rules otherwise, they have no business in taking over the leadership of the House. One way or the other, I was vindicated by the court rulings, so they have indirectly accepted that they are a minority for now, the matter is before a competent court of jurisdiction. They did an appeal recently, but the court process will be concluded and final decisions will be known. I know and I am convinced beyond reasonable doubt that the end result of that judgment will come out in PDP’S favour because the constitution is too clear. Is the national Conference living up to expectation? Let me draw reference from three sections of the constitution. The provision of section 4 stipulates clearly that the National Assembly must make laws for the good governance of this country, while section 5 of the constitution vests the powers of implementing those laws in the President and section 6 gives the Judiciary the power to interpret our laws. Guided by these three sections, there are clear processes in introducing bills to the House, which is clearly stipulated under the

‘The only way we can change anything in the constitution is to go through the amendment process. So the issue of referendum is out totally’

provisions of Section 58 of the 1999 Constitution, as amended. In respect of bills, whether a constitution amendment or whatever, anybody can introduce a bill to the House because this is the only House that is saddled with the responsibility of making laws for the good governance of this great nation.In my assumption, Mr. President has clearly seen that there are challenges all over the place; terrorism, corruption, resource control, regional, tribal issues and a host of them. Mr. President, in his wisdom, decided to put a team of Nigerians together, knowing fully well that there are challenges, issues pending, disturbing the project Nigeria, he said‘let us come together and articulate a firm position’ and I don’t see anything wrong with that. Whatever you see going on, there is nothing wrong. I have always emphasized that in every democracy, the majority will always have their way and the minority their say, but what I see there is an articulation of challenges that are confronting the country, and when they conclude, the president will itemize all these things and present them before the lawmaking body of this country, there is no alternative to that. Can the outcome of the conference be subjected to a referendum? The President has the powers, as a Nigerian, as the Commander-inChief of the Armed Forces, to introduce bills to the National Assembly and I call them Executive Bills. I will not question the modality or the methodology which he will use in introducing his bills, I am 100% in support of that. But I also want to refer to the provisions of Section1, Sub-section 2 of the constitution that stipulates that any law or act contraryto the provisions of the 1999 Constitution is null and void. There is no room for a referendum in this country, let no body deceive you. Sometimes I do not want to go into the details of whether it is the people’s constitution or not, but if we are abiding by the constitution, we can accept that it is the people’s constitution. If that is the case, where is the room for a referendum? The only way out, and I make bold for anybody to challenge me, you must bring that process to the National Assembly. The Constitution, under the provision of Section 68 of the 1999 Constitution, as amended, has stated clearly the modality and methodology of making laws, it didn’t say you can make laws by a referendum. Is it possible for us to drop our current constitution for a new one? No, it’s not possible. The only way we can change anything in the constitution is to go through the amendment process. So the issue of referendum is out totally. There was an amendment process going on before this,the process is still on. As at now, we are at a conference, the conference will meet as soon as we resume. They will tabulate all these issues and bring them before the National Assembly for us to give it some high level of legislative fireworks. How has your stay in the National Assembly affected your constituency and your constituents? We have been able to attract so many projects to the constituency. I make bold to say that there is no community in my federal constituency where you will not see one federal project

‘Christians have role in politics’

By Mojisola Clement

CLERIC, Rt. Rev. Dapo Asaju, has urged Christians to participate in politics, saying that it is not a dirty game. He described the recent victory of former Ekiti State GovernorAyodele Fayose at the poll as the wish of the electorate. Asaju, a retired professor and an Anglican Bishop, said:” Darkness will shine, if light refuses to shine. God needs your role in politics, which starts from the youths, who are present here today. You need to register; you need to vote and also wait for your vote to be counted before leaving the polling booths.” The Vice Chancellor of the College of Technology, Abeokuta spoke at the 2014 Youth Summit organised by the Christian Conscience Group at the Chapel of Christ the Light, Ikeja. Asaju spoke on the theme: ‘Playing second fiddle in your father’s house’. He said: “The Bible gave the provision for the system of government in practice. Christians should be active participants and not the gaping audience.” Rev. Asaju said being a clergyman does not forbid him to join the push for good governance. He said that Christians should support political parties of their choice, adding that they have the numerical strength to effect change in Lagos State. The cleric addded: “It is high time Christians got to power because we have the population and that is why we are trusting in your generation to be the change Nigeria seeks. Christ has the best manifesto and you are not inferior to anyone as your dream of being a leader is achievable, only if you make something great of yourself”. He said Governor Babatunde Fashola has laudable projects for the state. But, he maintained that Christians should support the push for change and good governance. The priest also charge Christians to wake up from their slumber and defend great values germane to good governance.. Pastor Ituah Ighodalo, the General Overseer of Trinity House, said: “This is the right time Christians should clamour for change, new direction and a new beginning. Christians should not see politics as a dirty game”. He said a good Christian governor will be endowed with love, fear of God and sympathy for the common man. He urged Christians to register and protect their votes, run for electoral offices and become more politically conscious. The Chairman of the group, Chief Enouch Ajiboso, said the group’s aim sole is to bring youths together and work towards changing their life. He advised them to shun unruly behaviour and embrace good mentors. He added: “We want the youths to get involved in politics and governance in a positive way and we also have hope in their generations because they are the leaders of tomorrow and they need to be mentored as such.”

Ondo LP has no future, says chieftain

By Amidu Arije

ORMER Niger Delta Development Commission (NDDC) Commissioner and chieftain of the Labour Party (LP), Dr Benson Enikuomehin, has said that the party has no future. Enikoumehin said that he defected to the LP due to the humiliation from the PDP. However, he said that he suffered greater humiliation in the LP. He said: “There were some disagreements. When things were not put in proper perspectives, some of us took offence and they were not able to appeal and pacify us at that period. I was humiliated. My cloth was torn. Under our law, there is freedom of movement and association. The politician, who spoke with reporters in Igbokoda, said the LP is sick, adding that it will soon go into extinction. “The LP has neither mother nor father and it is also suffering from Kwashiorkor,” he added. The politician said that the Jonathasn Administration has tried its best for the country, advising the President not to relent in his good works. He said the greatest challenge facing the administration is insecurity. “He can do better, he is doing his best, but he can do better, particularly on security, they should put their strategy in place and leave out the bad eggs.” He noted that the Ondo State government has not accounted for N48 billion meant for the state’s developmental programmes. “The government has been in place for five years now, it means on monthly basis N9.6 billion is missing from the account, multiply that by 12 in five years, it means N48 billion is missing and •Enikuomehin unaccounted for,” he said.

Ikorodu agitates for power shift

By Olatunde Odebiyi

NDIGENES of Ikorodu Division of Lagos State have urged the political parties to zone the governorhip to the area in the interest of equity, justice and fairplay. They made the call at a rally organised by the ‘Ikorodu Division Solution Alliance (IDSA) in Ikorodu. It was tagged: ‘ Ikorodu Division for Governor Rally’. The IDSA Women Leader, Princess Folashade Oba, said: “The agitation of the people of Ikorodu Division for the position of the governor of Lagos State is legitimate, timely and rooted in principles of equity, justice and fairplay. In the past, Lagos West produced Alhaji Lateef Jakande (1979 – 1983). Lagos East (Epe) produced the late Sir Michael Otedola (1991 – 1993). Lagos West produced Bola Ahmed Tinubu (1999 – 2007). In 2007, Lagos Central produced Babatunde Raji Fashola . Therefore, if we would go by the argument that we are all Lagosians deserving equal access to all offices, the governorship should rotate back to Lagos East.“ “Ikorodu Division, being the most populous in Lagos, should naturally produce the next governor of Lagos State. We are calling on well-meaning people of Ikorodu Division and lovers of democracy and justice to stand up and be counted.” The Odofin of Ikorodu, Prince Kabiru Shotobi, said: “We are not after money; we are after what is right and our right is that we want all the political parties to know that this time is for Ikorodu . We are not a political party. All we are saying is that we want the 2015 governor to be from Ikorodu, be it an APC or PDP candidate. or the likes.” The Chairman of the Nigerian Bar Association, Ikorodu Branch, Mr. Sahid Shillings, said: “Ikorodu should be leading the state because we are blessed with lots of human resources and we are important in the state. We have been short changed in the state. We have left Ikorodu Division and voted for others twice. But, this time around, we are asking for our right and it must be given to us.”

THE NATION MONDAY, JULY 7, 2014

DISCOURSE Pathway to sustainable education in Nigeria Concluding text of a keynote address delivered by Aare Afe Babalola, SAN, at the 29th Conference of the Committee of Vice-Chancellors at the Afe Babalola University (ABUAD). •Continued from last Tuesday

There is need to amend NUC laws making it mandatory for any proprietor, state or federal government to acquire permanent site and have enough structure and facilities on it before commencing academic program. The multifarious so-called University campuses established by State Governments all over the country should be scrapped. These so-called campuses were ill equipped and poorly staffed. The damage done to education by these campuses is better imagined. Public Universities are weighed down by the bureaucratic demands, thereby preventing capacity to innovation. The appointments and decisions made from outside the university, are in most cases influenced by nepotism, godfatherism, lobbying and political patronage. Therefore, the enabling laws which vest government with undue influence and control over routine university matters should be amended. Therefore, the Chancellor, ProChancellor, Chairman of Governing Council, Vice Chancellor and Members of Councils should be elected by the staff, students and other stakeholders without any imput by the government. University authorities must be given the freedom to chart their own academic programmes and implement them without undue interference by government. Universities must have budget freedom and financial independence to be able to attract the best brains from anywhere in the world, embark on meaningful research programmes and distribute their fund according to their problems and need. The Governing Council should be free from undue governmental influence and be given the freedom to formulate growth strategies for the universities. Nigeria Universities must be free to decide and distribute their funding including ETF fund internally according to their priorities, needs without restrictions. To avoid any legal technicality, the Vice Chancellors are advised to call on the government to amend the Education Tax Act Cap. E4 Section 7, Laws of Federation of Nigeria (LFN) 2004 to include private universities. Education & security Distinguished Ladies and Gentlemen, having discussed a number of issues affecting instability of education, I wish to address very briefly the critical issue of security and sustainable education. Hitherto, Nigeria has been a safe place where all Nigerians were able to move freely, travel at any time of the day and night and study,

‘University authorities must be given the freedom to chart their own academic programmes and implement them without undue interference by government. Universities must have budget freedom and financial independence to be able to attract the best brains from anywhere in the world...’ work or register in any university in any part of the country. Unfortunately, however, things have changed dramatically in recent times due to the prevalence of bombing, killings and in particular the kidnapping of over 200 innocent Secondary School students in Chibok, Borno State as a result of which parents are now withdrawing their children/wards from schools, colleges and universities in some parts of Northern Nigeria while some schools have closed down. Matters have got to a head that teachers are now asking for protection before they could go to work. The National Union of Teachers is not left out in the orgy of fear as it recently issued a Press Release chronicling the number of University teachers mowed down in the mindless, inhuman and barbaric gory carnage as a result of which several hundreds of innocent Nigerians lost their lives and goods worth several billions of Naira. The truth is that the recent insurgency in some parts of Northern Nigeria has impacted negatively on learning, teaching and research in our schools and universities. As the Chief Executive Officers of our Universities, you cannot fold your arms and leave this meeting of all Nigerian Vice Chancellors without addressing this grave issue affecting sustainability in education. We need to come out of our comfort zone and be counted positively on the side of history. As I speak with you even in the Southern parts of the country where there is no insurgency, there is constant fear of insecurity. It would appear that the cankerworm of wanton violence and insurgency is predicated on the fact that both the government of Nigeria and indeed the respected Vice Chancellors have never addressed the issue of education seri-

•Aare Babalola

ously since we became independent in 1960. We have failed to emphasise the critically important place and import of education in the lives of Nigerians, that education is a veritable weapon to conquer ignorance, disease, poverty, discrimination and religious bigotry. It goes without saying that if one is properly educated, he will be healed of the virus of the palpable ignorance demonstrated by those who assert that Western education is a sin or that a citizen who does not share one’s belief should be murdered. The government and the Vice Chancellors together or severally must share the greater share of the blame. It is now incumbent on the Vice Chancellors of Nigerian Universities to cause the Federal Government to call an Education Summit to properly address the problems all of us had wittingly or unwittingly created for ourselves in not tackling the critically important issues of quality education either seriously and or adequately. In the same vein, I challenge the on-going National Conference to address the serious issues stated herein which have affected the importance, quality and functional education in our country. This is not the time to shed tears but time to act positively and aggressively, failing which the future of project Nigeria is doomed. Conclusion In summary, the education system with particular reference to public universities need urgent and drastic total overhauling and total insulation from political interference. Since such overhauling of our education system can only be addressed meaningfully where peace and safety of life and property reign supreme, there is urgent need to first tackle the issue of security to be followed by education summit to consider the pressing issue of overhauling of our education system. No apology In the unlikely event that any one of us in this hall or elsewhere believes that by way of innuendo, he is hurt by any portion of my address, I claim privilege under Section 36 of 1999 Constitution of the Federal Republic of Nigeria which guarantees freedom of speech. I offer no apology. Finally, I invite you to take time to go round our clean and beautiful campus. Feel free to interact with students’ workers and teachers. Touch, feel, see and dream of ABUAD and become an apostle of ABUAD’s reformatory education agenda. I wish you a wonderful stay in ABUAD.

THE NATION MONDAY, JULY 7, 2014

USEFUL PHONE NUMBERS ON ANY EMERGENCY Council endorsed the useful phone numbers submitted by the security agents in case of any emergency on the metropolitan Roads. Accordingly, the public may easily contact KAROTA for: Breakdown of Vehicle(s), Traffic Congestion, Accidents, and Illegal/Wrong Parking on – 08091626747. Similarly, the State Police Command could be contacted on – 08032419754, 08123821575. In addition, the State Fire Service can also be contacted on – 07051246833, 08191778888.

156TH KANO STATE EXECUTIVE COUNCIL MEETING

PREPARED BY COUNCIL AFFAIRS DIRECTORATE, OFFICE OF THE SECRETARY TO THE STATE GOVERNMENT, GOVERNMENT HOUSE, KANO.

he Government of Kano State congratulates the entire Muslim Umma for the advent of the Holy Month of Ramadan. In this respect, the ExecutiveGovernor Engr. Rabi'u Musa Kwankwaso, FNSE sat to breakfast with a cross - section of the Muslim Umma drawn from the Ulama, Business Community, Civil Servants, Political Office Holders and the ordinary citizens wheresolidarity speeches were delivered and prayers for peaceful existence offered as we progress in worship for Ramadan Kareem of the Islamic year 1435AH. In this vein, the Executive Council sitting was heralded by the Executive Declaration of the approval granted for the release of the sum of N5, 000.00to every Civil Servant in the State as Ramadan Gesture (KudinGero). As usual, the Kano State Executive Council held its one hundred and fifty sixth (156th) sitting today Wednesday 2nd July, 2014 (5th Ramadan, 1435 AH) under the Chairmanship of Governor Engr. Rabi'u Musa Kwankwaso, FNSE during which thirteen (13) MDAs submitted forty one (41) memoranda for deliberation by Council. Council approved the execution of twenty seven (27) of the tabled memoranda with an expenditure of Six Hundred Million, Seven hundred and Twenty Nine Thousand, Five Hundred and Fifteen Naira, Forty one Kobo (N600, 729,515.41) covering eighteen (17) projects while the remaining nine (9) were on policy issues. Thus; 1. OFFICE OF THE SECRETARY TO THE STATE GOVERNMENT The Secretary to the State Government submitted sixteen (13) memoranda on behalf of the Chairman and some MDAs for deliberation by Council. Twelve (9) of them were approved for execution as follows; a) Presentation and Request for Funds to Enable Procurement of Legal Texts and Update/Expand the EReading Room at the Kano State Ministry of Justice:The Secretary to the State Government endorsed the cited request and presented it for consideration by Council on behalf of the State Ministry of Justice. Council was tacitly notified, through contents of this memorandum that, annual purchase of current Legal Texts, payment for subscription for Weekly Law Reports and other relevant publications were necessary so as to keep the State Counsel abreast/informed on the dynamics in the Legal Practice/Profession. The details presented were deliberated upon, appraised and considered as relevant by Council which approved the release of the sum of N3,000,000.00for the stated purpose. b) Request for Funds for the Repairs of Some Equipment at KNARDA for the Enhancement of FADAMA Dry Season Farming in Kano State:KNARDA presented to Council as the Principal Custodian to FADAMA Dry - Season Farming in State. The Agency operates Tube - Well and Borehole Scheme in which Drilling Machines of various makes/models are continually utilized. Those available require immediate repairs and replacement of some accessories at the total sum of N21, 743,900.00which was requested for release as endorsed by the Secretary to the State Government. Council noted, considered and approved the release of the aggregate sum of N21, 743,900.00to enable it execute the stated project due to its relevance to the enhancement of FADAMA Dry - Season Farming in the State. c) Presentation and Request for Funds to Enable the Establishment of Nine (9) New Outreach Classes in Five (5) LGCAs by the Kano State Agency for Mass Education:The Kano State Agency for Mass Education submitted the cited request as endorsed by the Ministry of Education and presented for consideration by Council through the Office of the Secretary to the State Government. Cognizant of the resolve by the present administration to provide for education in all ramifications and at all levels, Council was requested to approve for the release of the aggregate sum of N6,154,480.00to enable the establishment of nine (9) new outreach classes in five (5) LGCAs which include; SN LGCA Locations i. Nassarawa GGASS Kawaji (JSS and SSS Sections) ii. Dala GGASS Gwammaja (JSS and SSS Sections) iii. Kumbotso GGSS Chiranci (JSS and SSS Sections) iv. Tudun Wada GGASS Tudun Wada (JSS and SSS Sections) v. Gwarzo Model Primary School Gwarzo (JSS only) Council approved the release of the aggregate sum of N6,154,480.00to the State Agency for Mass Education for the stated purpose according to the details presented for consideration. d) Request for Funds to Enable the Conduct of a 2 - Weeks Workshop and 3 - Months on the Job Technical Training for Managers of the 44 Micro Finance Banks in Kano State and other Stakeholders:The Secretary to the State Government politely referred Council to a submission from the State Ministry of Planning and Budget that, a letter was received from the Central Bank of Nigeria (CBN) in respect of the issue cited. Council was notified that, the Memorandum of Understanding (MOU) signed between the State Government and the CBN on facilitation to access a N2,000,000,000.00Loan Facility encompassed sponsorship for the cited Training by all participating States. Council appraised the request and approved the release of the trimmed down sum of N4,000,000.00to enable the State Ministry of Planning and Budget conduct the stated workshop. e) Request for Funds to Enable Conduct of Training for the Third (3rd) Batch of Graduates from Kiru Reformatory Institute by the Industrial Training Fund (ITF):The Secretary to the State Government politely informed Council, through contents of this memorandum, of its directive to the Ministry of Women Affairs and Social Development on the cited issue at the sitting held on 28thMay, 2014. The Ministry responded to the directive and successfully negotiated the chargeable fees down from N160,000.00per candidate to N80,000.00 and already enrolled the 124Nothird (3rd) Batch Graduates from the Kiru Reformatory Institute. Details were presented to Council for consideration along with the endorsed request for the release of the sum of N9,040,000.00for the stated purpose.Council considered the request as appropriate and approved accordingly. f) Request for Funds to Enable Provision of Empowerment/Post Training Packages to One Hundred and Fifty (150) 2014 Prospective Graduates of the Agricultural Training School Panda:TheAgricultural Training School Panda is run through collaborative effort by the State Government and the Leventis Foundation at 70%:30% funding arrangement respectively. Cognizant of the empowerment policy of the present administration, the State Ministry of Agriculture and Natural Resources submitted the cited request which was endorsed and presented to Council for consideration by the Secretary to the State Government. Details were presented along with the request for the release of the aggregate sum of N4,500,000.00to be disbursed as empowerment/post training package at N30,000.00 to each of the prospective 150No,2014graduates of the Agricultural Training School Panda. Council noted, considered and approved as requested. g) Request for Funds to Enable Provision of Post Training Packages to 120 Fishermen for the Second (2nd) Batch Training Session at Magaga Fisheries Skills Acquisition Training Center: The Senior Special Assistant Fisheries submitted the cited request, which was endorsed by the Secretary to the State Government and presented to Council for consideration. Council was politely notified that, the Fisheries Skills Acquisition Training Center, Magaga is one of the over twenty (20) Skills Acquisition Institutes established. The Center had already graduated its first set of trainees successfully. Approval was granted for the release of the sum of N3,625,000.00for the training of the second (2nd) which will last for a period of three (3) weeks. Meanwhile, requirements for the seven (7) items post training packages for the 120 second (2nd) batch training was presented to Council for consideration. The cost implications were summarized and presented as follows; Fishing input/post training package for 120 trainees SN Item Total Cost (N) i. Hooks (9 types) 55,500.00 ii. Gill Net (4 types) 24,800.00

iii. iv. v. vi. vii.

Nylon Twine (assorted) Karalon Rope Cork Float Lead Sinkers Cast Net Materials (2 Items)

4,000.00 5,200.00 7,500.00 3,300.00 13,000.00

Total = N113,400.00per trainee = N13,608,000.00 for the 120 trainees which was requested for release by Council. Council noted, considered and approved the release of the sum of N13, 608,000.00for the provision of post training packages to the 120 second (2nd) batch trainees of the Fisheries Skills Acquisition Institute, Magaga. h ) Request for Funds to Enable Reversion of Abdulmalik M. Baba to the ITF Programme:The Secretary to the State Government informed CounRabi’u Musa Kwankawaso cil that, the Committee for the Screening of the second (2nd) batch of forty nine (49) candidates for enrolment into the Model Skill Training Programme of the ITF in Abuja cleared seventeen (17) of them as qualified for the programme. The committee recommended Abdulmalik M. Baba for reversion back to the ITF Programmed. Accordingly, Councilconsidered and approved the release of the sum ofN475,000.00to enable Abdulmalik M. Baba join the Model Skill Training Programme of the ITF in Abuja.. i) Presentation of Report of the Kano State Geographical Information System (KANGIS) Recertification of Titles Exercise:The Secretary to the State Government presented the cited report submitted by authorities at the KANGIS for noting by Council. Essentially, the title recertification exercise commenced on 2ndJanuary 2014 and lasted for six (6) months and ended on 30thJune 2014. The main activities were summarizedand presented in two (2) items for consideration by Council. Thus; " In six (6) months (January - June, 2014). i. 3,842 recertification applications received. ii. 1,634 applications verified and issued with new certificates. " Revenue generated in six (6) months (January - June 2014). i. N571,238,559.85was collected as revenue. ii. N525,575,153.63deposited into the State Government Treasury with the State Accountant General. iii. Current balance with the KANGIS as at 30th June, 2014 = N45,663,406.22. Council was notified that, despite adequate publicity, many titleholders are yet to come forward for the recertification exercise. As such, Council was requested to grant approval for the extension of the recertification of titles exercise with four (3) month. The presentation was appreciatively acknowledged as Council approved for the extension of the recertification of titlesexercise with four (3) month so as to afford more people the chance to recertify their titles. 2.

OFFICE OF THE DEPUTY GOVERNOR/HONOURABLE COMMISSIONER, MINISTRY FOR LOCAL GOVERNMENTS This Office submitted three (3) memoranda for deliberation by Council. Only one (1) was approved for execution. Thus; Presentation of Report on the First (1st) Submission of Audit Report by the Nigerian Extractive Industries Transparency Initiative (NEITI) (25th June, 2014), REIZ Continental Hotel, Abuja:The Deputy Governor/Honourable Commissioner, Ministry for Local Governments was mandated to represent Governor Engr. Rabi'u Musa Kwankwaso, FNSE as Guest of Honour at the occasion which was the first (1st) of its type. The NEITI presented its first (1st) Audit Report, Fiscal Allocation and Statutory Disbursement as well as the 2011 Solid Minerals Sector Audit Reports. Essentially, the report covered fiscal allocation and statutory disbursement audit which tracked the disbursements and applications of the extractive revenue from the Federal Account to the three (3) Tiers of Government covering the period 2007 - 2011. In the report, Federal Government Agencies such as the Niger Delta, the NNDC, PTDF, CBN, Ecological Fund, Natural Resources Development Fund, Excess Crude Oil Account, etc. that are in the process of revenue mobilization and disbursement were critically audited or revalidated and held accountable. Further, the Audit Report covered nine (9) States which included AkwaIbom, Bayelsa, Delta, Gombe, Imo, Kano, Nassarawa, Ondo and Rivers which were used as pilot for the auditing endeavour. The Report indicated that Kano State received the sum of N193.64 billion between 2007 and 2011 which was largely during the ANPP (Shekarau8 - year incumbency). There is little to show in terms of capital based projects and infrastructural development. The converse was declared at the occasion by the Deputy Governor/Honourable Commissioner, Ministry for Local Governments for the period 2011 to date under the leadership of the second (2nd) incumbency of Governor Engr. Rabi'u Musa Kwankwaso, FNSE. Kano State was presented as having witnessed unparalleled phase of its capital based projects and infrastructural development in multi - billion Naira Mega Projects such as the following; i. Construction of infrastructure at the three (3) cities of Kwankwasiyya, Bandirawo and Amana at the cost of N11,838,753,959.84. ii. Expansion of mega roads and provision of two (2) terminus at N33,170,596,010.31. iii. Construction of 5KM roads at 44 LGCAs (220KM) at N81,060,324,528.30. iv. Other road projects in the State at N20,396,948,337.50. v. Construction of three (3) flyovers at N16,113,765,297.30. vi. Wuju - Wuju road and Jakara Channelization at N5,564,487,900.20. vii. Sports Complex at former Na'isa Site at N2,761,959,814.28. viii. Completion of Janguza - Durum - Kabo road at N3,691,201,793.62. ix. Establishment of Kano State Independent Hydroelectric Power Projects at Challawa and Tiga Dams at N14,228,857,200.00. x. Procurement and Installation of electricity transformer and completion of underground electrical networking with component system at N1,029,071,975.00. xi. Establishment of twenty (20) Institutes at over N7,000,000,000.00. xii. Construction of houses at the three (3) cities of Kwankwasiyya, Bandirawo and Amana at over N30,000,000,000.00. xiii. Construction of Classrooms and provision of infrastructure in Primary, Secondary and Tertiary Insti tutions at over N8,000,000,000.00, etc. Importantly, Council was informed that the Audit Report indicated areas of weaknesses and shortcomings to the Federal Agencies on the Management of Fiscal Macro - Economic Policies. Remedial recommendations were proffered in details. Council appreciatively acknowledged the presentation and commended the able performance of theDeputy Governor/Honourable Commissioner, Ministry for Local Governments at the August occasion. 3. MINISTRY OF WATER RESOURCES The four (4) memoranda submitted for deliberation by Council from the Ministry of Water Resources were approved for execution as follows; a) Presentation on the Manpower Requirement for Effective Performance of the Regional Water Scheme Stations:The Honourable Commissioner, Ministry of Water Resources presented the cited issue on behalf of the State Water Board. Reportedly, the State Water Board supervises about forty (40) Regional Water Scheme Stations distributed across the State which require about 203 Staff comprising Operators and Watchmen. Currently, only sixty nine (69) of such Staffs are available which indicates a shortfall of 134 required for immediate employment/

THE NATION MONDAY, JULY 7, 2014 engagement that Council was respectfully requested to approve in order to enable effective and efficient handling of the forty (40) Regional Water Scheme Stations in the State. Council acknowledged the presentation and approved for the employment/engagement of the 134 Staff required and directed the execution of the following; " The Secretary to the State Government to provide the Watchmen required at the Stations by the Water Board. " The Secretary to the State Government to source other qualified Stafffrom the State's unemployed Data Base. " The necessary schedule of duties to be provided by the State Water Board. b) Request for Funds to Enable Replacement of Two (2) High Lift Water Pumps at the Challawa Second (2nd) Water Works:Contents of this memorandum adequately appraised the Council that, the request was submitted for consideration so as to boost the highly required/demand for potable water supply in the Greater Kano City. Details of the requirements were presented to Council for consideration along with the financial implications to the tune of N195,531,918.75if the project is to be executed on Contractual arrangements. Council noted, considered and approved the release of the sum of N195,531,918.75to the Ministry of Water Resources to enable it execute the project on Contractual basis. c) Request for Funds to Enable Laying of 1000MM Ductile Iron Pipes from Gyadi - Gyadi to Maiduguri Road for a Distance of 1.9KM:Cognizant of the resolve by the present administration to distribute potable water to areas of demand in the metropolis, the Ministry of Water Resources submitted the cited request for consideration. The sum of N35,894,250.00was submitted as cost estimate by WRECA for the execution of project. Accordingly, Council considered and approvedfor the release of the stated sum to facilitate the execution of the project. d) Presentation on Submission of Maintenance Service Agreement for Two (2) C32 1000KVA; Three (3) 35KB 1500KVA CAT Model Electricity Generators at Watari and Tamburawa Water Treatment Plants (WTP) Respectively:The five (5) electricity generators located at the cited two (2) Water Treatment Plants require regular servicing in the year for which the sum of N34,460,160.00was quoted and requested for release by the State Water Board. Council appraised the request, considered it a relevant and approved the release of the trimmed down sum of N30,000,000.00to the State Water Board for the stated purpose. 4. MINISTRY OF WORKS, HOUSING AND TRANSPORT The three (2) memoranda submitted for deliberation by Council from this Ministry were approved for execution as follows; a) Request for Funds to Enable Provision of Road Marking on Eleven (11) Metropolitan Roads: Sequel to the approval granted for the procurement of modern road marking truck plus its carrier pick up van/accessories which were handed over to KAROTA for optimum usage, the cited request was presented to Council for consideration. The eleven (11) metropolitan roads identified for the project included Zoo Road, Ahmadu Bello Way, Sabo BakinZuwo Road, Club Road, LawanDambazau Road, AuduBako Way and State Road. Details on the requirements were assessed and estimated to the tune of N21, 473,000.00which was requested for release by Council for the stated project. Councilappraised the request and approved the release of thesum of N12, 000,000.00to the Ministry of Works, Housing and Transport to enable KAROTA execute the stated purpose. b) Request for Funds to Enable Procurement and Installation of a Brand New 500KVA Electricity Generator at the Emir's Palace, Kano:The incessant electrical power outages from the PHCN experienced at the premises of the Emir's Palace Kano and its surroundings instigated submission of the cited request for consideration by Council. A team of Engineers from the State Ministry of Works, Housing and Transport visited the site and assessed the problem and recommended that the most feasible solution to the problem was procurement and installation of a brand new 500KVA electricity generator at the site. Due process was adopted in selecting the most responsive Contractor for the project at the cost of N15,120,000.00which was requested for release.Approval was granted accordingly. 5. MINISTRY OF HEALTH Memoranda submitted for deliberation by Council from the Ministry of Health were approved for execution; a) Request for Funds as Kano State 2014 Counterpart Contribution to the Kano - Gates - Dangote Routine/Immunization Strengthening Programme:The cited request was submitted from the Kano State Primary Health Care Management Board but was endorsed by the Honourable Commissioner, Ministry of Health and presented to Council for consideration. The Genesis and History of the Counterpart Funding cited was adequately presented to Council for consideration. Accordingly, the Kano State Government, Gates and Dangote Foundations will contribute funding annually, from 2013 to 2015 (three (3) years) to the SPHCMB Basket Fund for Immunization based on a formula agreed upon in the endorsed MOU by the Trio Participants. For the 2014, the formula provided that Kano State Government Contribution = 50%, Gates Foundation = 25%, Dangote Foundation 25%. The sum of money budget for the year 2014 was N459,647,808.00of which the actual work plan was to be covered by N409,676,220.22. So, 50% of the fund covered in the work plan is N204,883,610.10which was requested for release by Council as the Kano State Government's Counterpart Contribution to the Programme. The Gates Foundation already paid their contribution to the tune of $591,935.00. Council considered the request as appropriate and approved the release of N204,883,610.10to the State Primary Health Care Management Board (SPHCMB) basket fund as the Kano State Government Contribution for the year 2014.

51 " The Secretary to the State Government to assess the requirements for provision of barbed wire as well as CCTV Cameras and Scanning Machines at both School Hygiene and Kwalli Female Students' Hostel. " The Secretary to the State Government to process the deployment of seventeen (17) Corporate Security Guards to the School and the Hostel to take over from the existing ones. " The Provost of the School of Hygiene to identified the bereaved families of the deceased for possible assistance from the State Government. b) Request for Funds to Enable Provision of Two (2) Sets of Uniforms to Environmental Health Superintendents and Casual Labourers:Contents of this memorandum substantiated to Council that REMASAB has a total of 2,649 Staff comprising eighty (80) Environmental Health Superintendents and 2,569 Casual Labourers. Nature of the services rendered by these personnel instigated the submission of the cited request. Their uniforms require replacement immediately so as to maintain the esprit - de - corp, control and portray men at work. Such will also provide dignity for the labour rendered. Details of the requirements were assessed, estimated to the aggregate sum of N11,762,800.00and requested for release by Council to enable provision of two (2) sets of uniforms to the 2,649 two (2) categories of Staff at REMASAB. Council acknowledged the request and approved as requested. c) Presentation of Two (2) Optional Proposals for Operational Equipment:TheHonourable Commissioner, Ministry of Environment submitted the following two (2) optional proposals for consideration by Council as regards operational equipment required by REMASAB; OPTION A SN Requirement Cost (N) i. Repairs of 16 pay loaders 40,881,113.12 at 2,555,069.57 ii. Purchase of 50 8M3waste buckets 44,750,000.00 at 895,000.00 N85,631,113.12. Total = Option B SN Requirement Cost (N) i. Repairs of 5 skid loaders 79,750,000.00 at 15,950,000.00 ii. Purchase of 50 8M3waste buckets 44,750,000.00 at 895,000.00 Total = N124,500,000.00. Council acknowledged the details presented and approved the adoption of option A for which 50% of the requirements where approved for provision at the sum of N42,815,556.56to repair eight (8) pay loaders and purchase twenty (25) 8M3waste buckets accordingly. 9. OFFICE OF THE HEAD CIVIL SERVICE Presentation Report from the Executive Council Sub - Committee on the Memorandum for a Bill to Establish Qur'anic and Islamiyya Board:The Head of Civil Service politely reminded Council of its approval granted for the enactment of an enabling Law to establish Kano Qur'anic and Islamiyya Board. As Chairman to the Committee, the Head of Civil Service reported that careful study of the Draft Bill yielded the following; i. Section 8 (1) (a) to read " Administration and General Services ii. Section 8 (2) to read " The Board may reduce or create such additional Departments subject to clearance from the Office of the Head of Civil Service. Council was requested to consider and approve the Qur'anic and Islamiyya Bill and forward it to the Honourable State House of Assembly for passage into Law. Council appreciatively acknowledged the presentation and approved as requested and mandated the Honourable Commissioner, State Affairs to process the transmission of the Draft Bill to the House of Assembly for passage into Law. UPDATE ON ACTIVITIES OF THE 156TH EXCO SITTING 1. CIVIL SERVICE DAY CELEBRATION Council noted the successful conduct of this year's Civil Service Dayin the State on 26th June, 2014which is an annual event being celebrated by all Civil services in Africa arising from its adoption in 1994 tagged " Tangier Declaration" where 10no. deserving Civil Servants were honored by given them meritorious service Awards which include 5no. Senior and 5no. Junior staffs among them were 3no. Females one of which is physically challenged (Deaf). Accordingly, 3no. most clean MDAs were given trophies in order of merit. 2. HOSTING OF A PRAYER FOR PEACE, UNITY AND PROGRESS OF THE STATE & THE NATION BY KANO STATE GOVERNMENT The State Government under able leadership of Governor Kwankwaso hosted interfaith Prayer session for both Muslims and Christians under General Yakubu Gowon former head of State and leader of Nigeria prays Committe. Council acknowledged the successful conduct of a prayer session seeking Almighty Allah's guidance for peace and stability of the country blessed by prominent Islamic Scholars and Christian Clergy. Those who attended include:- From the Muslim side were Sheikh Dahiru Usman Bauchi, Sheikh KaribullahNasirKabara, Sheikh Yusuf SamboRigachikumetc while from the Christian side were General Yakubu Gowon (Rtd), Bishop Bello, Rev. BubaLamido and Many others who attended. 3. CONDUCT OF MONTHLY SANITATION EXERCISE Council noted the successful conduct of this month's sanitation exercise where 144 Defaulters were arraigned before the mobile court for disrespecting the law and a fine of N352,200.00 was realized during the exercise.

6. MINISTRY OF FINANCE Presentation of the Proposal for Investment Portfolio Review/Restructuring by KSIP:The KSIP submitted the cited presentation seeking for permission to review/restructure its investment portfolio. Five (5) plausible reasons were forwarded to Council for consideration with the last being emphasized as it involved the following three (3) items; i. That the sum of N298.25 Million is to be from the stocks to be disposed of and is expected to yield capital gain of N247.08 Million, in consideration of the historical cost of N51.16 Million. ii. That the sum of N263.08 Million from the sum of N298.25 net proceeds would be used in acquiring of stocks. iii. That the sum of N35.17 Million is the provisional amount from which dividend payment will be made to the Government Treasury. Council acknowledged the presentation and approved the execution of the review as proposed by the KSIP according to the details presented and directed that the shares should be sold at current rates.

7. MINISTRY OF PLANNING AND BUDGET The only memorandum submitted for deliberation by Council from the Ministry of Planning and Budget was approved for execution. Thus; Submission of Update on 2013 MDGs - Conditional Grants Scheme (CGS) to State Projects in Kano State: The Honourable Commissioner, Ministry of Planning and Budget notified Council, through contents of this memorandum that, Kano State Government completed the payment of its counterpart contribution for the 2013 MDGs - CGS to State Projects including payment of cash matching grants of N600, 000,000.00. The OSSAP - MDGs is yet to pay their cash matching grants. Relatedly, the projects earmarked for execution include construction of new medical wards, renovation of existing ones, renovation of roads networks, provision of drainage and interlock tiling. The projects include; i. Kura General Hospital - N307,973,411.00. ii. Tudun Wada General Hospital - N351,464,435.00. iii. Wudil General Hospital - N317,454,738.00. An effort to ensure early issuance of "no objection" for the projects and the payment of counterpart cash contribution by the OSSAP - MDGs is on. The Permanent Secretary Release of the counterpart contribution by OSSAP - MDGs was the main agenda on which the duo agreed to meet again in two (2) weeks. Council appreciatively acknowledged the presentation.

8. MINISTRY OF ENVIRONMENT Council deliberated upon the three (3) memoranda submitted from the Ministry of Environment and approved all of them for execution as follows; a) Presentation of Situation Report in Respect of School of Hygiene, Kano and Request for Immediate Attention from the State Government:The Honourable Commissioner, Ministry of Environment politely reminded Council, through contents of this memorandum of the tragic bomb blast that occurred at the premises of the School of Hygiene, Kano which claimed many lives and injured many others as well as destroyed property worth millions of Naira. Twenty two-(22) of the injured victims were hospitalized at the Murtala Muhammad Specialist Hospital. Two (2) of them died within two (2) days at the Hospital while seven (7) others were discharged while the majority thirteen (13) are still receiving treatment. Somehow, all the injured persons identified to be applicants for admission were admitted. Specifically, five (5) notations were presented to Council for consideration, which prompted Council to approve execution of the following;

GOVERNMENT VIDEO CONFERENCE WITH BILL GATES & DANGOTE FOUNDATION ON POLIO PROGRAMME IN THE STATE Council noted a meeting with tripartite partners for the eradication of polio across the State on Tuesday 1stJuly, 2014 on a video conference with Bill Gates and Alh. AlikoDangote towards the progress made so far on routine immunization where all parties were fully satisfied with the conduct of the programme across the State and discovered improvement from 37.7% in 2012 to 69% as at May, 2014 urging Mr. Gates to further assist the State in Agriculture and Education. Similarly, Council noted the successful conduct of a two day interactive meeting with 44 LGA Chairmen chaired by theDeputyGovernor on Polio Eradication and Routine Immunization held at Kaduna dated 16th&17thJune, 2014 organized by the State Government in collaboration with UNICEF, Bill & Melinda Gates and Dangote Foundations attended by all stakeholders in the Health sectors National and International towards effort to sustain and improve on the successes so far recorded on the routine Immunization (RI) across the State. ISSUANCE OF CERTIFICATE OF OCCUPANCY PERMIT TO GROUPS OF FARMERS/LAND OWNERS AS COMPENSATION FOR THEIR LAND ACQUIRED BY GOVERNMENT FOR VARIOUS DEVELOPMENT PROJECTS IN THE STATE Council noted the successful issuance of 2,116 certificate of occupancy permit to various groups of Farmers and Land owners as compensation for their Land formerly acquired by Government for various Development projects in the State. Similarly, over 50 Certificate of Occupancy for various categories of Civil Servants were issued with their new C of O for their newly purchased GPs under the State Government Monetization policy. 6.

OFFICIAL WORKING VISIT TO THE STATE BY THE DIRECTOR GENERAL NATIONAL GALLERY OF ART, ABUJA Council noted the recent official working visit to the State on Friday 27th June, 2014 by the Director General National Gallery of Art Mr. AbdullahiMuku and his entourage where they visited the Governor and discussed the development of Historic Art Galleries endowed in the State with possible preservations for continuity. 7.

OFFICIAL WORKING VISIT TO THE STATE BY THE CONSUL OF LEBANON MR. KHALIL MUSELMAN Council noted the recent official working visit to the State by the Consul of Lebanon Mr. Khalil Muselmanand his delegation Mr. Hassan Jebarah and Mr. BacharElamin where they met with the Governor and expressed on behalf of their country condolence message over the death of Late Emir of KanoAlhaji Dr. AdoAbdullahiBayero and congratulated the State on the emergence of the New Emir Muhammad Sunusi II. Accordingly, the delegation sought greater cooperation with Government and pledge to cooperate with the Governor on his laudable developmental programmes. 8. RETIREMENT OF THREE PERMANENT SECRETARIES OF THE STATE Council noted and acknowledged the presentation and prays for the Almighty Allah to grace the retirement of the three (3) Permanent Secretariesof Council Affairs Directorate, Ministry of Environment and Projects Monitoring and Evaluation Directorate with solitude and contentedness.

Signed: Hon. Commissioner, Ministry of Information, Internal Affairs, Youth, Sports andCulture www.kn.gov.ng/new

THE NATION MONDAY, JULY 7, 2014

NEWS (SHOWBIZ)

EbonyLife TV warms up for first anniversary

•Abudu

FTER a special date with the African press at the Multichoice content showcase in Mauritius last week, Nigeria-based global entertainment and lifestyle network, EbonyLife TV, is set to celebrate its first anniversary with a live activation titled: “The Studio Experience”. The channel, which made its debut with a successful launch in Lagos on June 30, 2013, has announced plans to mark its one year of broadcast impact on the media and entertainment landscape in Africa. The event, according to reports, is designed to showcase the making of some of

its favourite programmes in an interactive and entertaining way on July 20, at its Tinapa Studios’ home in Calabar, Cross River State. “It is a must-attend and thrilling extravaganza, where TV meets art and art meets music,” said the management of the company in a statement. The statement further revealed that some of EbonyLife TV’s flagship shows would come alive before the guests, giving them a unique opportunity of witnessing how some of the channel’s major shows are put together from the pre-production to post-production stage. Described as a pop-up activation, the event is being promoted as a day of spectacular excitement and glitz. “The Studio Experience is expected to take guests on a unique journey of TV production, imaginative art and inspiring music to be anchored on a mix of ‘tribute story lines’, klieg lights and special effects for lovers of original homegrown entertainment,” said Mo Abudu, chairman and CEO of EbonyLife TV.

”On a night, one year ago (June 30, 2013), we gathered to celebrate. Some of us at the Eko Hotel in Lagos and others still at our Studios in Tinapa, Calabar, for the unified purpose heralding the birth of brilliance and excellence in Global Black Entertainment Television. We celebrated the launch of EbonyLife TV, Africa’s First Global Black Entertainment Network,” she said added. Thanking the theme that has brought the channel to its present height, the EbonyLife boss further said: “As we celebrate again the first anniversary since our launch one year ago, let me express my deepest thanks and heart-felt gratitude to God and to everyone in the EbonyLife TV family. We have come this far because we stood together, worked together and believed in the dream to create what is today the envy of entertainment television in Africa and beyond.” Reflecting on the high and low moments so far, Abudu said she was encouraged by the commendations received from different parts of the world on the quality of our

programming and the positivity with which the channel had been telling the African stories. “We are today one of the fastest- rising channels on the DStv bouquet and we are working to become number one by God’s grace,” she said. This celebratory style studio experience will also present guests with the opportunity of meeting with the EbonyLife TV’s on-air personalities as well as interact with individuals who make things happen behind the scenes. According to the organisers, each show on the evening will feature its awar- winning presenters, set pieces and audience participation. The shows to be activated include pan-Africa’s first daily syndicated talk show, Moments with Mo and the most laid-back show on TV, The Spot. Guests will also get the unique chance of mingling with the crew and cast of EL Now, EL Reports, The Fattening Room, Love Lounge and EL R8D, creating a fresh and unrivalled fun experience for everyone to enjoy.

NFVCB approves release of Half of a Yellow Sun •Screening date to be announced today

HE long wait for the release of the big budget movie, Half of a Yellow Sun, has finally ended as the National Film and Video Censors Board (NFVCB), at the weekend, approved it for viewing in Nigeria cinemas. In a statement by the Board’s spokesperson, Caesar Kagho, it was listed among 77 other films that were given approval. In a chat with The Nation, Kene Mkparu of FilmOne Distribution, one of the marketing companies for the movie, said a new date for the cinema release would be announced today. “We will make an announcement today because we want to make sure that everything is ready, including all the elements that need to get involved, the cinemas that will show it, the materials, the marketing personnel and all that. We just want to have a clear picture; then, we will give a date later this afternoon. On whether or not the online release of the film will affect its cinema release, Mkparu said: “It is the producers that will be in the position to answer that. However, it is not released online in Nigeria or in Africa; so, anybody who tries to get it online in Nigeria will not succeed. It is geo-tagged. There is nothing to worry about it being available in Nigeria. It will only be available in Nigeria, first and foremost, in the cinemas.” According to him, Half of a Yellow Sun has not lost its creative essence, even with the editing and re-mastering of the movie, which was said to have set the movie back by N20m. “We made some editing, but we are happy. Between the Censors

By Ovwe Medeme

Board and us, we maintained the creative essence of the film. We still satisfied what the Censors Board wanted, in terms of editing. To the audience, the creative essence of the film is there,” Mkparu added. Directed by Biyi Bandele, Half of a Yellow Sun, an adaptation of Nigerian writer Chimamanda Ngozi Adichie’s novel of the same title, stars Academy Awards nominee Chiwetel Ejiofor, Hollywood star Thandie Newton and Alist Nollywood actors.

•A scene from Half of a Yellow Sun

By Mercy Michael

•Finale judge, Kunbi Oyelese, Snr. Brand Manager, Fayrouz, Nnenna Ifebigh-Hemeson, Team Elan and International Brand Manager, Fayrouz Amsterdam at the Fa

Team Elan shines at Fayrouz L’ Original show

IKE a group that had a date with history, Team Elan, at the weekend, emerged the winner of Fayrouz L’ Original show, a fashion contest, and walked away with the grand prize of $20,000 at the grand finale held at the Oriental Hotel, Victoria Island, Lagos. When it was time for the two finalists, Team Elan and LoudTribe, to showcase their ensembles and for the judges to give their verdict, Team Elan was the first to go. Its style was more contemporary and attracted good comments from all the judges. “It is simply breathtaking”, said Mai Atafo who also revealed that he would be rocking the white sandals that the team showcased. Obviously delighted at the team’s performance, Kunabuti said: “It is amazing to see such talents in Nigeria. I’m learning a lot from these designers. From the comments by the judges, most of the guests already predicted Team Elan as the winner of the competition. When they emerged, the hall went on a frenzy. The L’Original team has also revealed that Team Elan will get to showcase their first collection at the next Lagos Design Fashion Week.” Though LoudTribe made

By Mercy Micheal

use of the Ankara prints for most of their designs, they weren’t as creatively put together as their counterparts. Much as they were also applauded by the judges, it was obvious they had been beaten to their game. However, Loud Tribe was rewarded with $4,000. The guests were not left out of the show, as some of them had the opportunity of winning designer outfits from Mai Atafo, Kinabuti, April by Kunbi, Orange Culture, Gozel Green. The event, which was anchored by popular compere, IK Osakioduwa of BBA fame, had all the trapping of a classic party, as the guests were put on the spot by Soundcity VJ, Adams, who manned the red carpet, among several paparazzi. Also, popular on-air personality, Toke Makinwa, added some panache to the event. The show, which had Mai Atefo, April by Kunbi and Kinabuti as judges, kickedoff with a performance by sensational singer, Chidinma. Similarly, sensational rapper, Phyno put up a scintillating performance at the event. His performance, just like that of Chidinma, was greeted with a loud ovation.

THE NATION MONDAY, JULY 7, 2014

NEWS Insurgency: ‘What the church must do’

HE President, Council of Foursquare Men (CFM) of the Foursquare Gospel Church, Churchill PetersAyerume, has urged church leaders to unite in prayer against insurgency. He said rather than criticise the government, all churches, irrespective of denomination, should beseech God for divine intervention, especially in efforts to rescue the abducted school girls in Chibok, Borno State. Peters-Ayerume spoke in Lagos at a news briefing on CFM’s 2014 Annual Men’s Retreat to be held at the Foursquare Camp, Ajebo, Ogun State from Wednesday till Friday, with the theme: Encounter for divine turnaround. He said: “Christians should do more on their needs than criticise the government. When certain apostles were arrested, we were told that the church was mobilised to pray. The Bible records that the building where

By Joseph Jibueze

they were shook, and of course these men were released. “I believe that the church, if we’re not separated by denomination, can gather to pray. If the leaders can set aside this denominational thing, and they mobilise the church to pray, this insurgency problem will be solved. “I think all that the church needs to do is for us to set aside those things that tend to divide us, then come together to pray. I’m sure heaven will hear. But I’ve not seen it.” Peters-Ayerume said the retreat would be a time of divine visitation, restoration, revival, empowerment for business and financial breakthroughs, healing and message of hope to the lost. “Come and experience the encounter for divine turnaround that will give you a new name, a new direction and passion that will drive your new vision to fulfillment,” CFM said.

Security crisis: Nigeria needs prayers, says Atiku

ORMER Vice-President Atiku Abubakar last night described the security challenges facing the nation as grave and strange to him. He said in all his years, he has never seen Nigeria undergoing the type of crisis it is experiencing at the moment. He pleaded with Nigerians to pray for the country more than ever before. Atiku, who spoke at the breaking of fast with reporters in Protea Hotel, Asokoro District in Abuja, said this is not the time to shift blame. He said: “This period, as far as we are concerned as Muslims, is a Holy month dedicated to mankind, when gifts are shared

From Yusuf Alli, Managing Editor, Northern Operation

and we also engage in philanthropy. “It is a sober month for us. I want to appeal to everybody irrespective of your religious inclination, we need to pray for the country. “In all my years in life, I have never seen this country facing this type of challenge. May God hear our prayer and restore our country in a path of peace.” Atiku, who said the session was not for political fireworks, added: “This means that we must all work together for the progress of the country irrespective of where we come from, religious inclinations and so on.

•From left: Vice Chancellor, University of Jos, Prof. Hayward Mafuyai; Chancellor, Dr. Rufus Aladesanmi and Pro Chancellor and Chairman of Governing Council, Chief Don Etiebet, at the university’s endowment fund raising... yesterday. PHOTO: NAN

Wema Bank secures $70m facility from foreign banks, DFIs W EMA Bank has secured $70 million facilities from foreign correspondent banks and Development Finance Institutions (DFIs) to support its operations. Over $50 million of the loans came from the bank’s foreign correspondent banks, while the remaining $20 million loan was from Development Finance Institutions (DFIs). In a statement yesterday, Wema Bank said the $20 million DFIs fund would be deployed in funding Small and Medium Enterprises (SMEs) among others in the country. The lender said by obtaining the loans, it has reaffirmed its capacity to handle large international trade transactions, provide

By Collins Nweze

necessary finance and support for SMEs while also underscoring the confidence of foreign financial institutions in its risk management systems. Wema Bank reaffirmed that it was committed to providing

Nigerite unveils Klassik Ceil

S part of its drive to sustain the new vision of being the number one innovative building components solutions, while also remaining the market leader, Nigerite has unveiled a new product called, four feet by four feet Klassik Ceil. The product was unveiled to distributors, carpenters and customers in Lagos, Ogun, Oyo, Ilorin and other parts of the Southwest. This happened a few months after the launch of Nigerite Prestige, which is already making waves in the market. Speaking at the event, the Marketing Director of Nigerite Limited, Toyin Gbede, an architect, said: “Nigerite will not relent in its effort to continuously aim towards modernisation without compromising on quality”, adding: “The new product came into being as a result of a survey, which shows that customers love three certain types of pattern and so three pattern machines were manufactured for that purpose. These gave birth to Nigerite Prestige, Klassic Ceil and another, which will be launched at a later event.”

value for its customers while also giving financial support to various sectors of the economy, especially the SMEs sub-sector. The lender’s recent return to profitability has been hailed as outstanding by industry watchers and investors, given the chal-

lenges faced before the new management came on board. However, the management’s commitment to the transformation process it put in place has been hugely successful and has seen it return to profitability within four years while also instituting sound corporate governance and risk management frameworks in the process.

“Although, Klassik emerged the most loved during the survey, it was the one we found most challenging in terms of coming up with the pattern machine. It is the first ceiling product of that size and it comes in white and grey. It can also be combined with prestige and plain,” Gbede said. He assured distributors that plans are underway to air radio commercials and programmes, introducing the new products to people in order to drive sales. The representative of Deemarks Limited, Nigerite distributor of over 40 years, Mr. Akeem Tijani, said Nigerite has been number one in terms of bringing out innovative products despite the harsh market environment. He added: “They are very good at what they do and that is why they are the best in the market. For us at Deemak, the new Klasssic ceiling is one product that will definitely fly because of its sleek design and quality.” Another Nigerite distributor of 34 years, the Chief Executive Officer of Joyinola Nigeria Limited, Mrs. Victoria Olagbaju,

said Nigerite Prestige has been a game changer in the market and the arrival of Klassik Ceiling will go a step further to seal Nigerite’s position as the number one for building solution. “The design is superb and I don’t see any reason why it will not break even in the market,” she said. At a similar event, the Professional Carpenters and Furniture Makers Association of Lagos State (PCFA) applauded Nigerite’s innovation in the production of Klassik ceil into the building solution market. Speaking through its president, Comrade Abimbola Aluko, the association said the formulation behind the production of the new product has confirmed its superiority over other products, adding that members of the association would do their utmost to make sure that they continue to support Nigerite in its efforts to improve the built industry. According to him, “we want the company to maintain the high standards it is known for, and make sure that the management intensifies efforts to maintain its leadership position in the industry.”

Why I didn’t support Fayose, by Oni

ORMER Ekiti State Governor Olusegun Oni has declared governor-elect Ayodele Fayose as a wrong role model for youths. Speaking on a radio programme, “Face the Nation”, broadcast on RockCity 101.9 fm Abeokuta, Ogun State, Oni said this was one of the reasons why he did not support Fayose and the Peoples Democratic Party (PDP) during the poll. He said: “Fayose had been governor of Ekiti State. His records are there and cast your mind back and judge in your own mind whether what I’m saying is true. It is about the personalities of the two people involved, it is about the future of our state, who can place it firmly under , it is about the fact that we don’t want a governor whose image will rubbish us . “I have been governor and if anybody comes to that office and misbehaves, I will feel like it is the office that has misbe-

haved. If your governor misbehave, anytime, I will feel like it is the office that has misbehaved and if the office of the governor misbehaves, I will feel bad that a part of me has misbehaved.” Oni, who is the Deputy Chairman of the All Progressives Congress (APC), said he held no grudge and had forgiven those who played a role in his abrupt exit from office four years ago. “ I have forgiven Dr. Fayemi, I have forgiven Fayose, I have forgiven everybody, and so, the issue of vengeance did not come in. But I look at both of them, who will make us as Ekiti people more confident about the future, our children more secure and our future more assured, who I can recommend to my child or other children as their role model. Because I will never campaign for anybody for the governorship of any state and I want to tell you, if I cannot point

to that person as a role model for the children in that state or my own children. I’m sorry, I am not here to run down anybody.” “ People will ask me,why are you doing this against PDP,is it because the party offended you? And I say I have forgiven everybody including institutions that offended me, but why would the PDP for God’s sake not listen to what we keep saying,” Oni queried. The former governor insisted that Fayose did not win the PDP primaries. “They arranged it for him and if you must arrange anything for somebody,let that person be very credible, let that person have the image, let that person be that who will lift us up not an image that will undermine, so they arranged for the wrong person and my conscience would not stand beside Governor Fayose on the podium to ask people to vote for him as governor,” he said.

THE NATION MONDAY, JULY 7, 2014

NEWS RAMADAN KAREEM

Ramadan 7TH, 1435AH

•Senator Ganiyu Solomon (left), Dr. Muiz Banire, Alhaji Musibau Oyefeso, Mr. Jibola Banire and Olatunde Adepitan during the Iftar hosted by Dr. Banire at his GRA residence, Ikeja.

•Governor Fashola; Mr. Wale Tinubu and Ahmed at the event.

Fashola, Tambuwal, Ajimobi urges tolerance others preach peace O ‘

AGOS State Governor Babatunde Raji Fashola (SAN) has described the Ramadan season as a month to seek peace and a season of joy for all Muslims. Fashola, who spoke at the 6th Alhaji Kafaru Oluwole Tinubu Memorial Ramadan Lecture at Lagos Television (LTV) Blue Roof in Ikeja, urged Muslims to be Godfearing. He enjoined them to shun corruption and cheating to enable peace to reign. Speaker, House of Representatives Aminu Waziri Tambuwal said Ramadan is not just to fast, but to purge oneself of every iniquity and imbibe prophetic teachings. Tambuwal, who chaired the occasion, said: “As Muslims, we are required to rededicate ourselves to Allah, sublimate our desires and ambitions to his will and set ourselves up as examples for others by our honesty, probity and sacri-

By Olatunde Odebiyi

fice. “We must imbibe love for truth, humility, integrity and compassion for one another just like the early practitioners of Islam imbibed, which led them to constantly striving for a society where justice and peace reign”. Tambuwal, who was represented by Mukhtar Ahmed, chided those who commit crime in the name of Islam, saying forcing people to embrace Islam, kidnapoing, killing or maiming innocent people negate the principle of Islam. “It is not also Islam for a leader to steal from the commonwealth and live lavishly while the rest of the people get poorer; it is not Islam to make policies that will leave the people more ignorant and unable to fend for themselves,” he said. He lamented that in recent times, the religion has suffered a lot of blackmailing

and misrepresentations. He enjoined Muslims to use the period of the Ramadan to preach ideals of Islam, which he described as full of virtues and compassion. One of the guest speakers, Dr. Taofeek Abdul Azeez, said Islamic religion has nothing to do with Boko Haram. Dr. AbdulAzeez urged government and the media to stop calling them Islamic militants. The second lecturer, Sheikh Munirudeen Ariyadhi, who spoke on the ‘dichotomy between Muslims and the frontlines,’ noted that wearing of Jalamia, hijab or the likes is not what makes a Muslim, rather their actions. Muslims are Allah’s best creation for the benefit of mankind, he said. Ariyadhi enjoined Muslims to stay away from evil, embrace purity, peace, harmony, and sincerity. “This is what makes you a Muslim,” he said.

YO State Governor Abiola Ajimobi has called on Nigerians to embrace peace and tolerance. He spoke yesterday at Ramadan Lecture organised by the Muslim Association of Nigeria Oyo State branch in Ibadan, the Oyo State capital. While admitting that leaders are sometimes prone to making mistakes, Ajimobi said the power to be in a leadership position resides with God, calling on those involved in governance to respect the will of the electorate and ensure peace to reign in the society. He said: “Governance is a process while government is the institution. God ordains leaders and not man. Many people struggle to be there, but they still fail while those who do not struggle get there. That is the work of God. But the important thing is to make life meaningful for the people and embrace peace. In Oyo State, peace is our top cardinal point and since this government came

Be wary of voluntary hunger punishment, says don

SENIOR lecturer at the Lagos State University (LASU) Dr Mustapha Bello, has enjoined Muslims to imbibe the lessons of fasting. Dr. Bello said anything contrary to this, Muslims risk fasting for 29 or 30 days without any reward. He said people that revert to their old misdeeds after Ramadan engaged in nothing, but voluntary hunger punishment. He spoke yesterday during the Annual Quranic competition organised by AbdurRasheed Mafe Quranic Foundation (AMQF) at Ipaja, Lagos. According to the university teacher, Ramadan is meant to cleanse Muslims of their sins. “Whoever fast for 29/30 days and stayed away from untoward actions, but returns to those actions after Ramadan, such person just went on voluntary hunger punishment because Ramadan is evolved to correct Muslims’ shortcomings and turn them into a new being,” he said. Bello lamented government’s insensitivity to religion, accusing the

By Tajudeen Adebanjo

nation’s leaders of handling it with levity. He said religious study is being gradually faded out from schools. “During our days in school, National Education Policy allowed science students to do religious studies. But it is not like that today. Let it be known, religious education played a great role in curbing youth restfulness,” he said.

AMQF founder Alhaji Abdur-Rasheed Mafe told the gathering that Islam does not forbid acquiring western education as erroneously championed by the Boko Haram. Mafe said Prophet Muhammad encouraged all forms of education and related cordially with the nonMuslims. He wondered how Boko Haram could justify their senseless actions when Prophet Muhammad forbade

bloodshedding. The event chairman Akeem Sulaiman urged Nigerians to be security conscious. Sulaiman enjoined mothers to be wary of their children’s peers. Also speaking, Kamal Salau-Bashua urged Nigerians to be their brothers’ keepers and report suspected moves to security agencies. He believed the country would overcome the insecurity challenges.

Bulgarian president hosts Iftar

N a landmark move, Bulgarian President their faiths. Rosen Plevneliev has for the first time “Regardless of their religion and language, hosted an Iftar for the Muslim commu- our ancestors lived on the same land and drank nity. the same water. Like this, our neighbourly reHosted at the presidential residence in lations and unity has been preserved until toBoyana, the feast marked a change in attitude day,” Haji said. for the country’s 1.5 million native Muslims He also appealed for more places of worship about 25 years after the Communist regime for Muslims in the capital, Sofia, saying the collapsed in 1989. only mosque does not cater for the large conPresident Plevneliev praised the Muslim gregation. community for their prayers and for opening According to official figures, Muslims, mostly their hearts alongside the Orthodox Church ethnic Turkish descendants of the Ottoman during Bulgaria’s recent flooding crisis. Empire’s reach into Europe, make up more than He has thanked Muslims for helping Ortho- 12 per cent of Bulgaria’s 7.8 million population. dox monasteries clean up after the floods. The Fatwa House puts the percentage at nearly Mutual feeling of appreciation was shared by 25. the Bulgarian’s Grand Mufti Alis Haji, who They coexist with Christian compatriots in a praised the ruling regime for offering religious culture known as “komshuluk” or neighbourly freedoms to all Bulgarian people, regardless of relations.

By Fatimah Abdul

to power, peace has reigned in the state. After many years of agitation, we also approve the use of hijab in our secondary schools. Those in position of authority should fear God,” said the governor. National president of the organisation,Alhaji Sulaiman Yusuf, said the forum became necessary because the organisation deemed it necessary to contribute to the development of the nation, adding that the theme for this year was appropriate because of the nation’s struggle to establish good governance. The guest speaker and

Governance is a process while government is the institution. God ordains leaders and not man. Many people struggle to be there, but they still fail.

’

Chief Imam of Federal Polytechnic, Ede, Taofeek AbdulHameed, urged government at all levels to strengthen the capacity of all those who play important roles in anticorruption programmes and enforce stipulated punishment for all corrupt practices.

RAMADAN GUIDE WITH FEMI ABBAS

e-mail: femabbas@yahoo.com Tel: 08122697498

Children in Ramadan

HILDREN are Allah’ greatest gift to man. Their presence in a house is blessing. Their contribution is immense. Those are children for you. They can act as much of teachers just as they are of students. They learn fast, they teach fast. They are a major security for parents in any given environment. Children have both temporal and spiritual roles to play in a matrimonial life. And with such roles, they sometimes create hope for humanity and sometimes, they signal despair. They are the greatest asset in the possession of parents in time of peace. They are also the greatest weapon for them against the forces of Satan. Because of their innocence, they pave way for God’s forgiveness and quick acceptance of prayers. And, most importantly, children guarantee the continuity of man’s existence on earth. It is only with them that the fulfilment of today’s promise is possible tomorrow. In the Qur’an, children are mentioned many times and most often with reverence. They are treated in that glorious book as a major issue in the life of man. As orphans, they do not only have a role to play, they also compel some adults to play a role relating to them. As heirs to their parents, they have substantial shares in inheritance. Muslim children are like cubs. They follow the footstep of their parents or guardians a lot. They are often with their parents during the five daily prayers. They watch their parents as the latter give charity to the poor. They accompany them to public lectures and Islamic social gatherings. And, in Ramadan, children are part of the Muslims’ total spiritual package. They wake up with them at night. They fast with them in the day. They break the fast with them at sunset. They join their parents at Tafsir and night lectures. They participate in Laylatul Qadr and in giving Zakatul Fitr to the poor. In all these activities, they are supposed to be encouraged. At the tender age of seven, they should be guided to fast even if for half a day. And when they reach the age of 10 they should be strengthened in faith and in religious deeds through fasting. They should be provided with necessities of life both on the temporal and spiritual grounds. With these, they will grow up to become the fulfilment of their parents’ dreams. Most children grow up as good or bad citizens by emulating their parents. A child is therefore what his parents make him. If advantage of Ramadan is not taken by parents to mould their children into good Muslims what other platform will be used? Your child is your sun. Make hey while it shines.

THE NATION MONDAY, JULY 7, 2014

FOREIGN NEWS Kingsbridge murder: Teen dies after taxi rank ‘altercation

Honduran miners: Search continues

OPES of finding eight miners trapped in an artisanal gold mine in southern Honduras are fading, rescuers say as they continue their search. “Let’s see if it’s possible at least to retrieve the bodies,” said Anibal Godoy, who is leading the effort near El Corpus, about 110km (70 miles) south of the capital, Tegucigalpa. Three miners rescued on Friday are recovering in hospital and remain in a stable condition, doctors say. They emerged dehydrated and exhausted. The men were cut off last Wednesday after a landslide blocked their tunnel exit at the small mine - at a depth of 80m (260 ft). “We believe the missing miners are trapped some six to eight metres from where the others were rescued,” said Mr Godoy, a geologist. But he said that the search might be abandoned if they are not found there. The mayor of the nearby town of El Corpus said there were more than 50 informal mines in the area Informal mines are common in Honduras but the lack of adequate safety means serious accidents are not unusual. The mine is in an area prone to landslides and earthquakes. The mayor of the nearby town of El Corpus, Luis Andres Rueda, said there were more than 50 informal mines in the area. He estimated that hundreds of people use ladders to climb down into shafts as deep as 200m every day. Armed with pickaxes, they hack away at the tunnel walls to try to extract minute gold nuggets from the soil.

•Thousands mourned Mohammed Abu Khdair’s death on Friday

Suspects held over Palestinian Mohammad Abu Khdair murder

NUMBER of Jewish suspects have been arrested over the murder of Palestinian 16-year-old Mohammad Abu Khdair, whose death sparked days of violent protests. Israeli police told the BBC that the teenager, abducted on Wednesday morning and found dead hours later, was killed “because of his nationality”. He had reportedly been burnt to death. Earlier, the bodies of three murdered Israeli students were found. Mohammad Abu Khdair’s family believe he was murdered in revenge. Israel’s Shin Bet security agency issued a brief statement confirming the arrests, and said the suspects were being questioned at one of their facilities.

The agency did not comment on any possible motive for the killing, saying details of the case were subject to a judicial gag order. Israel has found itself carrying out two high-profile manhunts: first for the killers of the three Israeli teenagers found dead on Monday; second for the killers of the Palestinian teenager whose body was found two days later. It may be that this second manhunt has achieved more results than the first. The arrest of a number of suspects, described as Jewish, suggests that Mohammed Abu Khdair’s murder may have been politically motivated. But we can’t yet know for sure. Israel’s authorities have banned the reporting of any more details of the suspects’ identities. Palestinians have not immediately celebrated news of the arrests. The Palestinian people largely mistrust Israel’s judicial system and its police force. They see Israel’s institutions as instruments of occupation

- not justice. “The arrests don’t make me happy,” said Hussein Abu Khdair, Mohammed’s father, “Nothing will bring him back.” The parents of the three Israeli teenagers continue to await further word from the hunt for their sons’ killers. Mohammed Abu Khdair’s family believe he was killed in revenge for the deaths of three Israeli students Thousands attended Mohammad Abu Khdair’s funeral on Friday near the family’s home in the Shufat district of East Jerusalem. Hundreds of Palestinian youths clashed with Israeli police in East Jerusalem before and after the funeral. Huge controversy was sparked when mobile-phone footage emerged showing two officers repeatedly beating a teenager suspected of taking part in the violence. The teenager was Tariq Khdair, a 15-year-old Palestinian-American who is also a cousin of Mohammad Abu

Khdair. He was bailed after appearing in court on Sunday, accused of attacking police officers during the unrest. Tariq Khdair: “They came from the side and grabbed me” Mohammad Abu Khdair was seen being forced into a car in Shufat early on Wednesday and his body was found later in a forest in West Jerusalem. A post-mortem examination was carried out by Israeli doctors, with a senior Palestinian medical official in attendance. But Palestinian attorneygeneral Mohammed alA’wewy was quoted as saying fire dust had been found in his respiratory canal, meaning the victim had “inhaled this material while he was burnt alive”. Mohammad Abu Khdair, who had also suffered a head injury, had burns to 90% of the body, it was reported.

Kenyan coastal region hit by deadly attacks

T least 29 people have been killed in two deadly shooting attacks in Kenya’s coastal districts, the interior ministry has said. Witnesses said heavily armed men raided a trading centre in the village of Hindi, in Lamu county, and a police station in Gamba, Tana River county, overnight on Saturday. The Somali militant Islamist group al-Shabab said it was behind the killings. It has made past claims it conducted various other attacks in the region. Deputy President William Ruto, who is currently visiting the region, is on his way to Gamba. Al-Shabab is increasingly becoming a regional force. Outside Somalia, Kenya is its main target. The nature of its attacks there is changing, with a growing use of armed units rather than grenades, improvised explosive devices and single targeted assassinations. It would be wrong to think of al-Shabab as a purely Somali movement. Young, disaffected Muslim men, many from the Kenyan coast, provide a fertile recruiting ground. Al-Shabab has a sophisticated propaganda machine, with radio broadcasts in the local Kiswahili language, and Kiswahili websites with instruc-

tions on how to make bombs. The attacks set fire to homes, vehicles and government buildings in the area A number of people were injured in the two attacks Witnesses said about a dozen armed men had appeared in Hindi late on Saturday evening and opened fire. “They went around shooting at people and villages indiscriminately,” area chief Abdallah Shahasi told Reuters. County commissioner Miiri Njenga told the agency some government offices and properties had been burned down. All those killed were adult men apart from one teenage boy shot as he tried to flee, the AFP news agency said. One woman in the town said the attackers had burned down her home but said they did not want to kill women. “They said they were attacking because Muslims’ lands were being taken,” she told AFP. Suspect freed The Red Cross said another nine people - eight civilians and one police officer - were killed in Gamba, and one person was also missing. The ministry said 20 had died there. Kenyan Police’s deputy inspector general Grace Kaindi described the Gamba attack as “fierce shoot-out” Police and locals searched for

clues at Gamba police station the day after the attack A sign believed to have been left by the raiders indicated the attack was revenge for Kenya’s anti-terror operations in Somalia Gunmen broke into the town’s police station, reportedly freeing at least one suspect who had been detained over a deadly alShabab-claimed attack two weeks ago. One police source told Reuters it was not yet clear how many detainees had been released. Attacks in the Lamu area early last month killed at least 60 people, as gunmen descended on hotels and a police station near Mpeketoni, and attacked locals as they were watching a World Cup match. •September 2011: UK national Judith Tebbutt kidnapped and her husband David killed in raid on Kiwayu island, north of Lamu. She was released six months later by a pirate gang •October 2011: Kenya sends troops into Somalia following Tebbutt’s kidnapping and crossborder raids by al-Shabab; AlShabab warns of revenge attacks •Since then, numerous attacks in Nairobi, Mombasa and northeastern region of Kenya, inhabited by ethnic Somalis •September 2013: At least 67 people killed after al-Shabab militants take control of Westgate shopping centre in Nairobi.

LEX Peguero-Sosa died from his injuries at about 02:20 on Sun-

day A former Plymouth Argyle youth player has died in south Devon after an argument broke out at a taxi rank. Alex Peguero-Sosa, 17, was injured in Kingsbridge at about 02:20 BST and was later declared dead at Derriford Hospital, in Plymouth. A man in his 40s was arrested in Kingsbridge on Sunday on suspicion of murdering the teenager. He is in custody at Torquay police station. Police said members of the public had attempted to revive the boy. A spokesman for Plymouth Argyle said Mr Peguero-Sosa was released from the club last summer. The town’s mayor, Wayne Grills, said Kingsbridge was a very small community and the teenager was well known and liked. He said: “The town is in a state of shock. Waking up to the news on social media, it is very unusual. It has been decades since the last event of this kind. It is a close knit community and this is very unusual.”

•Peguero-Sosa

Uganda militant attack leaves scores dead

T least 58 people were killed after gunmen launched a coordinated attack on police stations and military barracks in Uganda, the army says. The dead included 41 gunmen and 17 police and civilians. The attacks took place in the west of Uganda, near the border with Congo. The military said the attacks were caused by a dispute between rival tribes, but there are fears over the possible resurgence of a Ugandan rebel movement based in eastern Congo. The attacks targeted security forces in the districts of Kasese, Ntoroko and Bundibugyo. An army spokesman said the attacks were not connected to the Islamist ADF rebel group, which was last active in the area more than a decade ago. “What we know is that this militia is not linked with ADF-NALU but we’re studying them to establish their motives and their backers,” army spokesman Paddy Ankunda told Reuters news agency. Seventeen gunmen were arrested and are being questioned in custody, the police said.

THE NATION MONDAY, JULY 7, 2014

CROSSWORD PUZZLE

With ekpoita :funtreatsvilla@yahoo.com / 08077706130

ACROSS

DOWN

1.Create (4) 4.Fence (4) 8. Metric Unit of Measure (3) 10. Contest (3) 11. Pig’s pen (3) 12. Poem (3) 13. Range of Vision (4) 14. Lode of Ore (4) 16. Throw (4) 19. Circle (3) 22. Aposite (4) 24. Toilet (3) 25. Era (3) 26. Try (4) 27. Cease (4)

1.Conceal (4) 2.Skill (3) 3.Vital (3) 5.Confess (4) 6. Cover (3) 7. Look Slyly (4) 9. Unvarying (7) 13. Examine Thoroughly (3) 15. Seasoning (4) 17. Ejected Saliva from Mouth (4) 18. Unit of Movement (4) 20.Eggs (3) 21.Lettuce (3) 23. Gone by (3)

COUNTRY MAZE

The words below are just names of countries converted. you are required to decipher the countries by writing each country beside its appropriate word.An example is given to spur you on.

DARK MEN

DENMARK

GREAT NINA OX MICE LAID THAN

POETRY

it was the first day of the session and a new direct entry student, Mensah, a Ghanaian, joined the class in one of Nigeria’s universities. The Lecturer said, “let’s begin by reviewing some Nigerian history.” The Lecturer asked who said, “I shall return to die in the land of my fathers?” She saw a sea of blank faces, except for Mensah, who had his hand up. Mensah replied: “King Jaja of Opobo, 1875” “very good!” said lecturer.

Your beautiful eyes,

MOON RACE

Shine like gold,

NEE GALS

A wonderous treasure,

The Lecturer snapped at the class; “class, you should be ashamed. Mensah, who is new to our Country, knows more about our history than you do.” The Lecturer heard a loud whisper: “Ghana must go” “who said that?” she demanded, Mensah put his hand up, “Buhari 1984.”

I smile real bright,

Now, with almost mob hyseria, someone said; “You little shit. If you say anything else, I’ll kill you.” Mensah frantically yelled at the top of his voice; “Chris Uba to Ngige, 2004!” The Lecturer fainted, and as the class gathered around her on the floor, someone said; “Oh shit, we’re in Big trouble now!” Mensah whispered; “Chimaroke Nnamani, Ayodele Fayose and Lucky Igbinedon 2007” Someone angrily said; “Dont answer him, he is a fool” Mensah smiled replied; “Obansanjo to IBB, 2011” Now the Lecturer manage to get up and asks Mensah; pls, who’re you? Show your self.. Mensah jumped, yelled and said; Jonathan to BOKO HARAM 2012.d teacher fainted.

Pep Talk

SWAN BOAT

We’re all alone in this place,

That’s untold.

Now furious, another student yelled; “Oh yeah! Eat this!” Mensah jumped out of his chair waving his hand and shouting to the Lecturer, “Indian mistress giving an apple to Abacha, 1998”

ALSO VEIN

Through the sunrise I see your face,

Then she asked again, who said, “The land use act will feed the nation?” Again, no response except from Mensah: “Obasanjo, 1976.”

At that point, a student at the back scornfully said; “Hmmm, you think you are smart?” The Lecturer glared and asked; “All right! Now, who said that?” Again, Mensah said, “Babangida to Abiola, 1992.”

PAIN TASK

SUNRISE LOVE

WORDWHEEL Form as many words as you can with the letters in the wheel below, using the letter in the hub for each word. Avoid proper nouns and 2-leter words. Hidden is a 10-letter word meaning ‘Running’.Words above fifty formed score “Excellent”.

You tell me you love me,

You’re the best thing that’s happened to me,

N S

- BRYTNI MOSLEY

PETALS

Freighted with hope, Crimsoned with joy, We scatter the leaves of our opening rose; Their widening scope, Their distant employ, We never shall know. And the stream as it flows Sweeps them away, Each one is gone Ever beyond into infinite ways. We alone stay While years hurry on, The flower fared forth, though its fragrance still stays.

- Amy Lowell

Life is a stream On which we strew Petal by petal the flower of our heart; The end lost in dream, They float past our view, We only watch their glad, early start.

MIRAGE

R I

BRAIN TEASER:

Two siblings were fighting when their mother went to stop them. She used yesterday’s newspaper and made them stand on it until they made up. How did she get them to stand on the newspaper so that the siblings couldn’t touch each other?

******

What do the following words have in common? FAST,THROUGH,DOWN,AWAY,WATER,NECK .

ANSWER

Each may be preceded by BREAK to give a new word.

The All-Knowing Student

******

She slipped the newspaper under a door and closed the door. She made them stand on the two ends

HUMOUR HUMOUR

RUT KEY

Without inspiration the best powers of the mind remain dormant. There is a fuel in us which needs to be ignited with sparks. – Johann Gottfried Von Herder

THE NATION MONDAY, JULY 7, 2014

NEWS Knocks for state creation proposal as North threatens to quit Conference Continued from page 2

allow justice and selfless leadership take centre stage in our country. Enough is Enough!” Aremu, Vice Chairman, National Conference Committee on Labour, Civil Society, Sports and Youths, said more states were not sustainable. The states, as they are, remain dependent on federal allocation and loans because they are not financially viable. Aremu, who spoke yesterday in Ilorin, said the creation of a state in the Southeast would enable the region, which has five states, to be at par with the other geo-political zones. Ijaw youths expressed anger over the proposal, saying it is skewed to favour some nationalities to the detriment of Ijaw people. The youths described their delegates at the National Conference as “docile without an agenda”. Rising from an emergency meeting in Yenagoa at the weekend, the youths under the aegis of the Ijaw Youth Council (IYC) Worldwide, threatened to block oil exploration, insisting that “our oil won’t be used to develop the proposed new states”. The youths said the conference had undermined all the requests and agitation of the Ijaw people, including their demand for the creation of Toru-Ebe and Oil Rivers State. “The Ijaw made a request for

the creation of two additional states, Toru-Ebe State from the present Delta, Edo and Ondo states and Oil Rivers State from the present Rivers and Akwa Ibom states,” IYC spokesman Eric Omare, said. “However, the conference committee on Political Restructuring and Forms of Government recommended creation of additional 18 states across the country without considering the Ijaw requests. “It is totally unacceptable for the Conference to recommend the creation of additional 18 states without considering the requests of the Ijaw ethnic nationality, which is Nigeria’s fourth largest tribe. “The conference recommendations are geared towards empowering some ethnic nationalities to have more political control to the detriment of other ethnic nationalities in Nigeria and in total disregard to the political marginalisation and oppression of the Ijaws of Delta, Edo and Ondo states,” he added. Omare recalled that the Ijaws were the first to demand a region of their own, even before independence in 1960 when Nigeria had only three regions. He said despite the creation of the existing 36 states in Nigeria, the Ijaws, who first demanded a region, has only one state, Bayelsa. “If the conference recommendations are implemented, there would now be 54 to 55 states out of which the North would have

EFCC ‘probing N2b in judge’s account’ Continued from page 2

the name of interrogation,” she stated. Justice Olotu averred that after her experience with the EFCC, officers of the ICPC, SSS, the police and the Code of Conduct Bureau were now on her trail, making it difficult for her to move freely and to freely and safely stay in her residence. “My residence has now turned a rendezvous for all manner of security agents in Nigeria for the single reason that I filed Exhibit A (the suit against her retirement) and have refused to discontinue it,” she added. She seeks, among others, an order directing all the respondents to tender a written apology to her; an order awarding N5billion as exemplary damages against the respondents and in her favour and a perpetual injunction restraining the respondent, from further arresting, detaining and humiliating her. NJC, in its counter affidavit, denied being behind the retired judge’s experience in the hands of the EFCC. It described Justice Olotu’s allegations as falsehood. “The 8th respondent (NJC) did not at any time instigate the 1st – 5th respondents (EFCC, ICPC, SSS, police and CCB) or any security agency to investi-

gate the applicant (Olotu) in respect of any wrongdoing. “The 8th respondent did not feel or express any anger against the applicant for filing Exhibit A and has not threatened to set the machineries of the 1st to 5th respondents in motion against the applicant,” an official of the NJC, Khadijat Hassan, stated in the affidavit. NJC has urged the court for an order directing Justice Olotu to attend court for cross-examination to substantiate the allegation contained in the affidavit she personally deposed to in support of the motion for enforcement of fundamental right dated March 24, 2014. NJC’s lawyer, Philips JimohLasisi (SAN), noted in the application dated May 2, 2014, in view of the nature of Justice Olotu’s allegation against his client, “it is necessary for an order to be made directing the deponent (Olotu) to attend court for crossexamination”. He relied on Order 27 Rule 1 of the Federal High Court (Civil Procedure) Rules 2009 and contended that since Justice Olotu deposed to the affidavit supporting the main suit, the court could make an order directing her to attend court for cross-examination.

13 Nigerian banks rank high Continued from page 2

Gabon, Kenya, Mauritius, Morocco and Togo. Globally, Senior Editor of the magazine, Philip Alexander stressed that banks in this 2014 ranking “are stronger than ever” as “the level of capital held by banks in this ranking continues to accelerate, with the minimum Tier 1 capital required to enter the Top 1000 World Banks now fast approaching $400m. This has almost doubled since the 2005 ranking”, he added. The Banker, a publication of Financial Times Newspaper which is regarded as the most influential newspaper in the world, is a global financial intelligence magazine published since 1926. It is the definitive publication that provides guide to bank ratings and anal-

ysis globally and the definitive reference on international banking for finance experts, governments, chief finance officers, CEOs, Central Bank Governors, Finance Ministers, and other decision makers globally. According to The Global Capital Markets Surveys (GCMS), the only independent media benchmarking study available in the capital markets industry and provides insight into who reads what at the world’s financial institutions, amongst monthly finance titles globally The Banker is number one monthly finance title read globally, in capital markets; Europe, Middle East and Africa (EMEA) region; emerging markets and bank as well as financial institutions in the world.

28 states; Yoruba: nine states; Ibos: nine states, with additional two to three in south-south. “But Ijaw that is the fourth largest tribe that requested for a region of their own even before independence and their leader Major Isaac Boro declared a 12-Day Republic partly because of state creation would have only one state: Bayelsa State,” he said. Ijaw youth leaders are to meet to reconsider the roles of the Ijaw delegates at the ongoing conference. He said: “The IYC would not and will never allow Ijaw resources to be exploited to fund and develop other states to the detriment of the Ijaws. “And without creation of ToruEbe and Oil Rivers State to liberate the politically oppressed Ijaws, the Ijaw people would have no other option than to reconsider their position in Nigeria. “In the coming days, Ijaw Youth leaders would meet to take a position, especially to consider the role of Ijaw delegates at the ongoing National Confab, who have been docile without an agenda.” The Centre for the Vulnerable and the Underprivileged (CENTREP) also knocked the conference for recommending the creation of additional states and the

return to the old National Anthem. The Executive Director, CENTREP, Mr. Oghenejabor Ikimi, noted that the recommendations were not borne out of patriotic or nationalist consideration. According to him, the conference was set up by President Goodluck Jonathan to discuss the problems that had retarded the growth of the country; and to proffer solutions to them. He insisted that the National Anthem had never posed any problem to the country neither had it retarded the country’s growth. Ikimi said returning to the old National Anthem, which “we had claimed in the past to be a colonial relic, is unacceptable as same would be likened to a dog going back to his vomit”. “We make bold to say that creating 19 additional states to the existing 36 states is senseless, and the said recommendation should be jettisoned. “The present scenario where two thirds of the 36 existing states in the Federation are not financially independent and viable as they depend solely on monthly allocations from the purse of the Federal Government for their survival is pitiable and, indeed, very sad. “Many governors have had to

complain in recent times of shortfalls in the monthly revenue allocations due their various states, which the Federal Government has attributed to dwindling level of crude oil revenue. “Therefore, creating an additional 19 states to the existing 36 states would no doubt be chaotic. The above recommendation as in the instant case is what a country gets, when its leaders adopt the same mentality and methodology with which they used in creating a problem, to trying to solve the same problem,” he said. Ogor said the resolutions of the National Conference must pass through the National Assembly because it has no constitutional backing or force of law. He said efforts and resolutions of the Conference may end up being just a waste of time, as the issue of if or not to subject the resolutions to a referendum does not arise because the Constitution makes no provision for such. Ogor said the fact that the delegates were selected and not elected “ by anybody”, and that their resolutions may pass for law only if “a new constitution is written.” His words: “It would be more like a wasted effort because there is no way you can pass whatever they are doing into law without subjecting it to the process or modalities with which laws are

made, except probably we are going to write a new constitution. “There is no section of this constitution that gives room for what they call referendum. And you have the the provision of Section 1 sub 2 of the Constitution stipulating clearly that any law of Act that is inconsistent with the provision of the Constitution, is to the extent of that inconsistency null and void. “The modality or methodology of making laws is clearly stipulated under the provision of Section 58 of our Constitution. So, how are you going to pass a law without following the 1999 Constitution? Are we going to set the 1999 Constitution aside?” The lawmaker described the misunderstanding of issues, especially the powers of the National Assembly by the delegates as “unfortunate”. “The Conference is there to articulate positions that will be presented to Mr. President, because first and foremost, lets know that the delegates to the Confab were not elected by anybody - they were selected.” To Ogor, the concept of the National Conference is that the executive has the power to put a team together to discuss Nigeria because there are challenges, but the outcome must pass through the National Assembly.

North threatens to pull out of National Conference Continued from page 2

from Northcentral or Middle Belt are not with these Northern delegates mounting pressure on the conference’s leadership. “We are expecting stormy sessions as from Monday but Southern and Middle Belt delegates are ready for these Northern delegates. The battle line is certainly drawn.” The concluding sessions of the Conference, which begin today, are likely to be stormy. The gap between northern and southern delegates has widened. Northern delegates, led by Yadudu, last week accused the conference leadership of working in concert with some southern delegates to rubber stamp an already prepared constitution. Akinyemi’s explanation that the conference secretariat had nothing to do with the “new constitution”, our correspondent learnt, did not satisfy the north-

ern delegates. Meetings of southern and northern delegates were held at the weekend in Abuja. The aim of the “secret” meetings, our correspondent gathered, was to enable the two sides perfect their game plans on how to handle the controversial conference committee report on Devolution of Power. Northern delegates have rejected resolutions and decisions reached on Thursday from the report of the conference committee on Political Restructuring and Forms of Government. Some northern delegates were also not happy that a state was approved for the Southeast geopolitical zone to bring it at par with others. Alhaji Magaji Dambatta from Northwest had argued that an additional state should not be “dashed” to the Southeast zone. But Chief Olu Falae told dele-

gates that “we were all dashed states by the military”. Falae added that “in dashing the states, the military forgot the Southeast”. Falae’s stand foreclosed further arguments on the issue but some northern delegates who waited for the voting to shoot down the proposal were disappointed when delegates overwhelmingly voted in favour. The Devolution of Power committee, which was chaired by a former Inspector General of Police, Alhaji Ibrahim Coomasie and co-chaired by a former Akwa Ibom Governor, Obong Victor Attah, made recommendations on resource control, revenue sharing formula, indigene/ settler problem and state police, among others. Sources at the meeting of the northern delegates told our correspondent that the delegates insisted that the leadership of the conference “must cause dele-

gates to rescind Thursday’s resolutions, if the conference is to go on”. Southern delegates, on the other hand, are said to have resolved not to give in to the “antics of the North to always have their way in issues of national importance”. One of the southern delegates told our correspondent that Professor Yadudu who is allegedly “spearheading the breakup of the conference does not mean well for the country.” The delegate said, “We know very well that they are meeting. We are also meeting. Monday, Tuesday and Wednesday sessions will determine the overall outcome of the conference. “We are determined to do the right thing but delegate should think that he can railroad his wishes and desires on other delegates. It will be fire-for-fire.”

THE NATION MONDAY, JULY 7, 2014

SPORT EXTRA Costa Rica fans stabbed watching Netherlands game in San Jose

NFF to inaugurate Electoral, Appeals Committees today

HE Nigeria Football Federation will on Monday inaugurate the newly–constituted Electoral Committee and Electoral Appeals Committee that will take charge of the coming elections into the NFF Executive Committee and attendant petitions. Speaking in Abuja at the weekend, Acting General Secretary Lawrence Katken disclosed that the inauguration will take place at the Conference Room of the FIFA Technical Centre, National Stadium Package B, Abuja as from 2pm. “It is important that we inaugurate the Committees immediately in order that they can set the stage quickly for conduct of elections into the NFF Executive Committee,” Katken stated. It will be recalled that the NFF Extra –Ordinary Congress that

took place on Saturday in Abuja constituted a new NFF Electoral Committee and NFF Electoral Appeals Committee for the purpose of the coming elections. Members of the Electoral Committee are Barr. Jeriak Rowland (South South); Barr. Usman A. Usman (North West); Mrs Margaret Aku (North Central); Mr. Hassan Adamu (North East); Barr. Emeka Asogwa (South East); Professor Ademola Abass (South West) and; Barr. Christ Essien (South South). The Secretary, in line with the Statutes, is Mr. Lawrence Katken. The Electoral Appeals Committee has Barr. Effiong Oboho, Dr. Isaac Akinloye, Mr. Thomas Awok, Barr. Waribere Sonari and Mr. Simon Gyang. The Secretary is Barr. Queen Otarakpo.

•Katken

Secretary General of the Nigeria Judo Federation, Amaechi Akawo, who disclosed this at the weekend, said the championship which is a reassessment tournament for the Nigeria Judo team ahead of the RIO 2016 Olympic Games in Brazil,will also be used to select Judoskas for the Nigeria Olympic committee scholarship pro-gramme towards athletes qualification for the 2016 Olympic Games.It is also aimed

at selecting the Nigeria Junior and Senior National teams towards the forthcoming world championships, he noted. With the participation Open to all the states of the federation only athletes with valid Nigerian Judo federation licence and duly registered for the tournament would be eligible to take part in the 3-day exercise as July 30 has been announced as the closing date for entries. Meanwhile, The Senior men

will fight in the following categories-55kg,-60kg,-73,81kg,-90kg,-100kg and +100kg while -44kg,-48kg,-52kg,-57kg,63kg,-70kg,-78kg,and +78kg are for the Senior women class. The Junior male categories are -35kg,-40kg,-45kg,-50kg and 55kg,while -28kg,32kg,-36kg,40kg and -44kg are weight categories for the Junior Females. There will be trophies and cash awards for winners.

Messi: Semi-finals were Argentina's 'first goal'

LEJANDRO Sabella's side reached the last four with victory over Belgium on Saturday, but the 27-year-old is not done just yet Argentina skipper Lionel Messi says that his side's first objective at the World Cup was to reach the semi-finals but now they are keen for more. The 27-year-old has been one of the stars of the tournament, scoring four goals as Alejandro Sabella's side have claimed wins in all

five of their games so far. They face Netherlands in the last four on Wednesday and the Barcelona forward wants his side's campaign to keep going. "We've reached our first goal, to be among the final four," he told reporters. "Now we want more. We enjoyed what we experienced on Sunday but let's think about what's coming. We are prepared. "We ran more than ever. We didn't create as much as other

times, we didn't do as much as we did at other times. "Today I played a different game and I had to run more than usual. When I came to the ball, I was a little tired but we are playing as a team." Van Gaal: Krul was the better penalty option Louis van Gaal said the introduction of goalkeeping-hero Tim Krul for the penalty shootout against Costa Rica was premeditated on Saturday. The Netherlands reached

Neymar 'couldn't feel his legs' — Scolari

EYMAR told Brazil team-mate Marcelo "I can't feel my legs" after being injured against Colombia, coach Luiz Felipe Scolari has revealed. The influential forward has been ruled out of the rest of the FIFA World Cup after suffering a fractured vertebra following a heavy challenge from Juan

Zuniga. Scolari has revealed the distress the Barcelona man was in as he lay on the turf in agony during Friday's quarter-final clash in Fortaleza, which the host nation won 2-1. Former Portugal coach Scolari told Marca that Neymar had told left-back Marcelo "I can't feel my legs."

•Neymar

statement reporting that Red Cross responders attended to three victims from a fight in the capital's Plaza de la Democracia. Two of those suffered stab wounds, including one who was left stricken with a knife lodged in his back after the bloody encounter. Police in the Central American nation have arrested eight people suspected of being involved in the disturbance, though the cause of the brawl is as yet unknown and no update has been given on the condition of those injured. The trouble came amid an otherwise peaceful gathering, where crowds flocked to see Costa Rica denied by two Tim Krul saves in the shootout after the keeper had replaced Jasper Cillessen in the last few seconds of the game.

Hazard: Belgium must build on Brazil displays

Judo athletes storm Benin ahead of RIO 2016 Olympic Games UDO athletes from across the country will next month converge in Benin, the Edo State capital for the Maiden Judo federation president Hon. Prince Timothy E.Nsirim Jp National Open Senior and Junior Judo Championship holding from August 6-8,2014 at the indoor sports hall complex of the Zone 2 headquaters of the National Sports Commission, Benin City, the Edo State Capital.

OS Ticos' quarter-final was marred by violent scenes in the Central American nation's capital, with a brawl breaking out as fans gathered to watch the game Two fans were stabbed and another was struck with a bottle as trouble erupted in San Jose during Costa Rica's quarter-final defeat to the Netherlands. Los Ticos saw their World Cup campaign come to an end on Saturday evening in Salvador, where they suffered a 4-3 loss on penalties after holding the Dutch to a 0-0 draw after extra time. More than 1,000 supporters had gathered to watch the encounter in the Costa Rican capital San Jose when violence unfolded in the city's main square. The Costa Rican Public Security Ministry released a

He added: "Marcelo was scared and called the doctor on but the doctor couldn't get on in the confusion. "It was a big shock, the image of Neymar being stretchered off to the helicopter, in difficulty, crying. "Neymar was our benchmark, one of our references because he is a player who makes a difference in any team. We're in a situation where we've lost something we don't want to miss, especially for the semi-final and final." Brazil must now prepare for Tuesday's semi-final without their talisman, but Scolari hopes the 22-year-old will be present at Estadio Mineirao. "He'll be with us if he can be, on the bench or in the stands," he said. "We've asked this. It all depends on his state in the coming days. By his will, I've certainly felt that he will be."

the FIFA World Cup semifinals thanks to substitute Krul, who replaced regular gloveman Jasper Cillessen at the end of extra-time and saved two penalties as the European nation won 4-3 on penalties after a scoreless 120 minutes. Van Gaal's decision stunned many after Cillessen - set to retain his place against Argentina - shut out the Costa Ricans during the 90 minutes and extra time in Salvador. But the incoming Manchester United boss said Krul's introduction was part of the plan due to his superior penalty-saving abilities. "We told Krul that he would be a possibility for the pens, we didn't tell Cillessen," Van Gaal said post-game. "We didn't want to ruin his preparation. "There is no question about who will start next game, it will be Cillessen. But we felt Krul was the better choice here. "We know Krul is the better penalty killer, a bigger reach too. We have practiced penalties, I believe when you're used to a certain shot you'll be more comfortable taking that shot." Van Gaal added: "This is the best group I've worked with. In terms of team spirit, togetherness." The Netherlands will face Argentina on Wednesday in a repeat of the 1978 final in Buenos Aires, which the South Americans won 3-1 after extra-time.

DEN Hazard said Belgium must build on their performances at the FIFA World Cup after they were eliminated by Argentina on Saturday. Belgium's World Cup campaign came to an end in Brasilia as Gonzalo Higuain's eighth-minute strike helped Argentina to a 1-0 win and a place in the semi-finals against the Netherlands. Marc Wilmots' men were seen as a dark horse to win the tournament but they were unable to make the breakthrough against Argentina at the Estadio Nacional de Brasilia, though Belgium forward Hazard said his team-mates could leave South America with their

heads held high. "The early goal was a big blow," Hazard told FIFA.com post-match. "I'm very disappointed, but we've still had a very good World Cup – we achieved our original objective, after all. "We need to make our interactions more automatic, and to do so we'll just have to knuckle down in training. "I know that we could have done much better, but we need to keep our heads up." Hazard added: "We were taught a useful lesson, and it'll be up to us to learn from it. "We've got a young, highly talented team. We need to look to the future. We've already done really well to get this far."

•Eden Hazard

THE NATION MONDAY, JULY 7, 2014

T R A N S F E R S . . .

SPORT EXTRA

Juve set to sell Pogba

Man Utd told £45m for Vidal

C •Dejan

HELSEA have been alerted to reports that Juventus are ready to cash in on key midfielder Paul Pogba this summer. The Blues are known to be very keen on Pogba and it looks as though they could be in with a chance of striking a deal after reports in Italy claimed that Juve are now ready to sell. Juve are keen to add fresh talent to their squad and although they would like to keep Pogba and Arturo Vidal in their ranks, they may have to cash in on one of them, or maybe even both. If Pogba does become available then Chelsea will make a move, but they will also face strong competition from the likes of Barcelona and Real Madrid, along with both Manchester clubs. Jose Mourinho has already been busy when adding Cesc Fabregas and Diego Costa to his ranks, but reports claim the money has also been set aside to swoop for Pogba should he become available.

•Paul Pogba

Barcelona turns down Liverpool’s Daniel Agger offer — reports

Lovren: My head is at Liverpool

OUTHAMPTON defender Dejan Lovren has hit out as his current club and made it clear his thoughts are focused on joining Liverpool. The Saints have rejected a bid from the Reds for Lovren, an offer he says was for £20million and claims the south coast outfit did not inform him about. Having expressed his disappointment at that situation, the 25-yearold Croatia international has emphasised that his "head is already at Liverpool". He has also made reference to what he regards as a lack of ambition from Southampton, who this summer have seen manager Mauricio Pochettino leave for Tottenham, fullback Luke Shaw join Manchester United and midfielder Adam Lallana and striker Rickie Lambert both sign for Liverpool. Quoted in Croatian newspaper Sportske Novosti, Lovren said: "Liverpool sent the offer and the club haven't informed me. "That wasn't right. I found out about the bid from other people which disappointed me and I realised I've got no business staying at Southampton. "Liverpool sent a B£20million offer and they (Southampton) paid £9million for me, so they would've earned more than twice the amount. "At this point, I don't know what I'll do and I don't like it. "It was unbelievable that a few days ago I had an offer of £20million. It was in the morning and by the afternoon the club had said I was not for sale. Frankly, my head is already at Liverpool." On Southampton, he said: "Honestly, I don't know who the main man at the club is anymore. They are now looking for £25million, but I don't think they'll get it. "Look, I'd gladly stay at Southampton if the club had any ambitions, if they kept the key players. Not even the Liverpool bid would have dissuaded me." And on his suitors, Lovren said: "Liverpool is one of the biggest clubs in the world. "Only Real Madrid have as many fans around the world. The last time I played at Anfield, I got chills when I heard 'You'll Never Walk Alone.' "I would like to listen to it all the time."

ARCELONA are believed to have turned down the offer from Liverpool to sign Daniel Agger this summer, with Spanish sporting daily Mundo Deportivo claiming that the Catalan club rejected the opportunity as he technical abilities were not up to the standard they are looking for. There has been no secret made that Barcelona are in the market for defensive reinforcements this summer after the retirement of club captain Carles Puyol, with the club having frequently been forced to play midfielders in the back-line over the course of the last season. Liverpool themselves are looking to make improvements to their defensive options this summer with the likes of Dejan Lovren linked with a move to Anfield, but know they will need to make room for new recruits, with news of Barcelona’s rejection of Agger showing that he is the one the Reds are looking to move on. Barcelona released a statement claiming they had rejected Liverpool’s offer of Agger, telling Mundo Deportivo, “The club received the

proposal three months ago, assessed the player’s technical level, but ended up rejecting it.” The Catalan club may still look to do business with Liverpool as they look to bring in Luis Suarez, but they

have rejected Agger in favour of other targets, with Thiago Silva, Marquinhos, Mats Hummels and Jeremy Mathieu all believed to be on their shortlist for a summer defensive spree.

Schneiderlin undecided over Southampton stay

ORGAN Schneiderlin has held talks with new Southampton boss Ronald Koeman but is unsure if he will remain at the Premier League club. England trio Luke Shaw, Adam Lallana and Rickie Lambert have left the south-coast outfit ahead of the 2014-15 season and France midfielder Schneiderlin has also been linked with a move. Schneiderlin, who represented his country during the FIFA World Cup in Brazil, revealed that he has been in contact with Koeman, but gave no assurances that he will not join the St Mary's Stadium exodus amid speculation that Arsenal could lodge a bid for the 24-year-old. He said: "Yes he [Koeman] called me about a week ago, but what was said will stay between us. "He wants me to stay and we'll see. I don't know yet. I still have three years' contract at Southampton. Nothing has happened, I am going to relax and go on holiday and we will see. "We have a lot of money coming in to the club and now it is up to the board to spend this money. "I have seen how many players left the club. It is the club's choice and I

have nothing to say about their choice." Southampton defender Dejan Lovren's future is also in doubt, with Liverpool said to be keen to sign the Croatia international after taking Lallana and Lambert to Anfield.

UVENTUS have told Manchester United that they want £45m plus Nani for Arturo Vidal. Newcastle's Mathieu Debuchy confirms move to Arsenal. Chelsea legend Ashley Cole close to joining Roma. Manchester United will have to pay Juventus £45m and hand hand over Nani if they want to sign Chilean midfielder Arturo Vidal. According to reports in Italy, the Serie A champions have told United club officials that they won't let Vidal leave Turin for anything less than £45m plus Nani. Newcastle defender Mathieu Debuchy has revealed that he will join Arsenal this summer. The right-back confirmed his imminent move to North London after France's World Cup quarter-final defeat to Germany yesterday. Former Chelsea and Arsenal defender Ashley Cole is on the verge of joining Italian side Roma. According to reports in Italy the ex-England defender has signed a deal with the Italian giants. Luis Suarez is on the verge of completing a stunning £63m to Barcelona. It emerged last night that the Reds had agreed a deal with the Catalan giants to let their star striker leave the club. According to Spanish newspaper Mundo Deportivo, City are willing to pay Barca £40m to secure Sanchez's services this summer. Sanchez, 25, has also attracted interest from Arsenal Liverpool and Manchester United. West Ham are plotting a £12m bid to sign Ecuador striker Enner Valencia. Hammers boss Sam Allardyce is keen to strengthen his striking options this summer and has made Valencia one of his main summer transfer targets.

•Schneiderlin

Liverpool, Arsenal, Chelsea race for unsettled Balotelli •Daniel

IVERPOOL, Arsenal and Chelsea are monitoring Mario Balotelli's situation at AC Milan after the striker indicated he could be ready for a move back to England. Reports suggest that Balotelli has grown tired of the racist treatment he receives in his homeland and is now open to a return to the Premier League. Additionally, the combustible Balotelli has tested Milan's patience this season with occasional petulant outbursts that have grated with the club's hierarchy. But while all three clubs are interested in signing Balotelli if he becomes available, none of them see him as their first choice. It is thought that Arsenal consider Real Madrid forward Karim Benzema their priority and are al-

ready in talks with the Spanish club over a move. However, with Real on a high after claiming their tenth Champions League title over the weekend, the Gunners are wary that they may not be able to prise Benzema away. In that event it is believed that Arsene Wenger would pursue talks with Balotelli's representatives. Similarly, Liverpool see Balotelli as the ideal man to replace Luis Suarez should he be tempted away after the World Cup. The Anfield club are confident it won't come to that after Suarez's recent positive comments about staying in England, but are preparing for the worst-case scenario in any event. Chelsea could similarly enter the race if they miss out on their top striking targets this summer, with Jose Mourinho familiar with the enig-

matic player from his time in charge at Inter Milan.

•Balotelli

TODAY IN THE NATION

MONDAY, JULY 7, 2014 TRUTH IN DEFENCE OF FREEDOM

VOL 9 NO 2,900

COMMENT & DEB ATE EBA

O one epitomises this era of soccer like the Argentine with fleet foot. He is a throwback to a Nigerian hero and maestro of the 1970’s. Like the late Haruna Ilerika, Lionel Messi gives us a diminutive frame, a celerity of dribble runs, an omen of the left foot, the rhythmic tear through any defence, precision passes, imaginative free kicks and an entertainment at once envied and feared by the opponent. Ilerika and Messi are kin in bravura and charisma, even though alien in generation and continent. They are akin in racing but not in race. These two stars should concentrate our minds in this season of the World Cup. The Nigerian team, the Super Eagles, crashed out in the second round, and stopped the heart of many Nigerians who thought the team could fly. Some hoped for a quarter-final berth, a few, semi-final. Some very audacious fantasists even dreamed of a Nigerian team hoisting the trophy after slaying a world giant like Brazil, Germany, or Argentina. That is the lazy optimism of the average Nigerian of this generation. We want to reap where we did not sow. It is the story that pervades every sector of our lives, whether it is the politician who wants to win an election on false popularity or rigging, or the student who romps from a miracle centre, or the contractor who inflates a job and does not deliver even after reviewing the same contract, or the pastor who flatters a flock with a phantom miracle, or the under 17 player who had started juggling the ball when his counterpart from Belgium or England was slobbering over his mother’s breast. Both Ilerika and Messi worked for their genius. Genius is a long patience, or to quote Michael Angelo, “eternal patience.” What did we put in place as a system in soccer that we expect to best France or tackle Argentina and bask in glory afterwards? These countries have developed a strong tradition of hard work and organisation for their soccer. They have a great farm system. Players bloom from childhood, not out of accident. They have a structure that eyes and nurtures the talent from childhood and they naturally develop self-confidence and institutional support as they grow. Messi went through that path. He burst on the scene at the same time with Mikel Obi, in the junior category. When Messi won the prime prize of the tournament, some described it as judgment of racial prejudice. They may be right. But Messi is an enduring genius today. Even though still young, Mikel is fading early. He slides while Messi shines. That is the story of Nigeria. Messi has exercised all the discipline and exposure necessary to sustain his glory. Mikel is going the other way. Ilerika though was not like that. He played

RIPPLES CONFERENCE SCRAPS MAY 29 AS DEMOCRACY DAY-News

Yes, we all knew it was FAKE DEMOCRACY

SAM OMATSEYE

IN TOUCH

intouchnation@gmail.com 08054501081(sms only) Twitter: @samomatseye

Ilerika, Messi and success

‘

The new fad called stomach infrastructure hinges on the same sort of fairy tale faith that the Super Eagles would soar. You cannot soar without wings. Infrastructure is the wing of success •The late Ilerika

•Messi

at a time of conscious appreciation of talent and development. He played in what used to be called the Principal’s Cup in Lagos. It was a special thrill for the locals at that time. Ilerika played for lowbrow secondary schools, but he displayed share dexterity with his left foot. He was recruited by the Stationery Stores, and became the best forward we ever had. In an era of global television and Internet, Ilerika would have enjoyed comparable plaudits with Messi today. But that was a Nigeria, in spite of its imperfections, that worked. Today, we do not have a thriving secondary school system. In Lagos, Governor Babatunde Raji Fashola gave us an example with the revival of the Principal’s Cup. Though still in infancy, its products won the male and female categories in the National Sports Festival in 2012. It needs to grow, not only in Lagos but nationwide. We live in a country where we

’

learn of most of our players when they dazzle Europe. If we lack a cohesive high school policy, our league is a shadow of the past where the Enugu Rangers, IICC Shooting Stars, Bendel Insurance, Mighty Jets of Jos turned the green turf into a carnival of talent and contention for glory. Globalisation has a role in this, but it does not explain it all. Can we not take advantage of globalisation to showcase our league and talent? But what is there to display? England has not won the World Cup since it hosted it in 1966. However, its league is the best in the world both in thrill and profit. But the country is now complaining that the league is its albatross. It solders foreign talents but smothers local ‘latents.’ It is a challenge it has identified and is foraging for formula out of the quagmire. They gave the world the game, but it is shame every four years.

HARDBALL

OR the uninitiated, DPR stands for the Department of Petroleum Resources. It is one of the numerous units, departments and subsidiaries of Nigeria’s shambolic petroleum sector that has become a shadow of itself. To make a bad case worse and in the awkward and cunning manner of Nigeria’s oil bureaucrats, DPR is deliberately a misnomer. Why is the chief monitoring arm of Nigeria’s oil sector tagged Department of Petroleum Resources instead of Department of Petroleum Monitoring? Well DPR may be ambiguous but its name is not really its bane; this most important department in Nigeria’s oil mix has simply gone south, the way of most government businesses in Nigeria. In its heyday and in our saner era, DPR was an institution dreaded and revered at once in the industry. It was always headed by Nigerian of steel and professional integrity and when they spoke, Nigerians listened. Today, Hardball confesses that he does not know the head of DPR and whoever he might be must be happier being Mr. Anonymous. Those days we were comforted know-

Wetin DPR dey do sef? ing that there was a DPR watching over our oil assets. Today, you can’t vouch there is DPR and you never know what it does. In fact, Nigeria’s oil and gas industry could be said to have stumbled fatally upon the demise of DPR. Today, Nigerians hear about DPR when they announce that they have shut one hapless fuel station or the other. Today, DPR can safely be called the Department of Dispensing Stations. Sadly, in spite of its inane exertions pursuing poor petrol attendants, to find a ‘true’ petrol dispenser in Nigeria is akin to finding a virgin in a maternity ward. The most telling indictment of the DPR today is the refrain across the country that Nigeria does not know the quantity of crude oil she produces. Everyone says that the DPR does not have modern or adequate meters to carry out that basic but albeit, crucial task. Nigeria’s oil industry is in such state that we are in the age of brazen oil theft. Nigeria is today like a banana republic that cannot guard and moni-

In Nigeria, we think we can just finagle our way into top glory. What sometimes lures us to hope is the circle of individual stars like Onyeama, Babatunde, Musa. That helps us in the younger stage when not system or pattern or strategy is important, but raw energy. One of our all-time greats and our best ever right winger, Segun Odegbami, has repeatedly made this point. But the big stage calls for big thinking, big organising and big system. We only decide to pick the big talent from abroad with a sprinkling of local names, and poise for the world. We want short-cuts to glory. We also think we can solve anything simply by throwing money at it. It is the same challenge of values that stalks our every step as a nation. In the past few weeks, the word infrastructure has fallen into infamy. We need infrastructure to develop. All the countries shining in the World Cup are thriving on soccer infrastructure built over generations. Every nation’s success is predicated on the efficiencies of its infrastructure from education, to power, to business, to roads. The new fad called stomach infrastructure hinges on the same sort of fairy tale faith that the Super Eagles would soar. You cannot soar without wings. Infrastructure is the wing of success. We must note that the people are not all that foolish. Sometimes when they cavil at the infrastructure of the stomach, it is because of two things. One, they believe that infrastructure is a stylised form of money laundering and corruption. The bigger the contract, the bigger the kickbacks. While the politicians and contractors gloat over their loots, the people groan in their roosts. Before, Nigerians used to say, “leave am make e chop, at least e dey work. See all the roads and bridges.” Now, with poverty deepening in the land, patience belongs to another time. They want to impregnate a woman today and deliver the child next week. Our political elite must be careful to communicate and connect, so that this sort of cynicism does not make sinner of a saint of infrastructure. The danger is that leaders may inherit the popular cynicism and decide not to work but bribe the people to popularity and sweep to electoral fortune. Two, the people do not value infrastructure as in the past. That is why people say “I no come here to look bridge or fine road.” This calls for a great introspection by our political class. The poorer the people, the more cynical they are, and the more disconnected from the idea of government. Doubt is the major crime of this generation. We do not believe anything, anyone, any move. We only believe in miracles. We think everyone else is out to con us. The job of leadership today is first to keep faith, then the people can believe.

•Hardball is not the opinion of the columnist featured above tor her strategic asset; brigands from all over the world simply converge on the Niger Delta to ‘take’ oil. That is the impression out there. This indictment has gone on for many years but DPR never deemed it fit to respond; prove or disprove this ‘street talk’. Apparently, it could not be bothered and in the manner of most government agencies, it does not owe Nigerians any explanation about its operations; in fact, the less Nigerians know about our oil(y) business, the better it seems for DPR. Hardball was, however, jolted last week when it came out that DPR is actually worried about misconceptions of its functions by the public. In media reports, we learnt that DPR held a stakeholders’ parley in Lagos where it was revealed that it faced challenges bordering on under-staffing, under-funding, lack of working tools and public misconception of its functions, to name a few. In spite of this, DPR insists, it remains committed to its key functions of monitoring all petroleum industry operations or activities being carried out under licences and leases in the country… well now that Hardball is wiser, it is safe to reverse oneself and ask: wetin DPR no dey do sef, abi?

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