Tuesday 24th May 2016

Jonathan Calls THISDAY from Cote d‘Ivoire, Says I’m Not in Exile Promises to return soon Iyobosa Uwagiaren in Abuja Former President Goodluck Jonathan has disputed THISDAY’s yesterday report that he had opted to go on exile in Cote d’Ivoire, confirming, however, that he was indeed in the West

African country, but was not in exile.

Speaking exclusively to THISDAY on the phone yesterday, the former president confirmed that he had been

out of the country for over a month, revealing that he travelled to some cities in the United States of America, then departed the country for London before arriving Cote

d’Ivoire via Paris.

When reminded that THISDAY had tried to reach him several times last week to verify allegations that he was in exile, he said: “So

what… I am not in exile. I am here resting.”

He said: “Yes I am in Cote d’Ivoire, I have been here for a week resting and this is my second trip to the country

Fayose Bans Grazing in Ekiti, Declares War on Killer Herdsmen… Page 10

since I stepped down as president.”

He maintained however that he was not in exile because he had no reason to leave Nigeria as he had done his best for his country as president.

Continued on page 6

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NEITI Audit: NNPC Failed to Remit $13bn NLNG Earnings in Eight Years Nigeria earned $58bn from oil in 2013, but lost $6bn Chineme Okafor in Abuja The 2013 audit and financial report of Nigeria’s oil and gas industry undertaken by the Nigeria Extractive

Industries Transparency Initiative (NEITI) has revealed that the Nigerian National Petroleum Corporation (NNPC) did not remit the $12.9 billion

it received from the Nigeria Liquefied Natural Gas (NLNG) Company over an eight-year period to the federal government.

The report was presented

yesterday in Abuja by the Minister of Solid Minerals Development and Chairman of the NEITI board, Dr. Kayode Fayemi.

The report said the NLNG

remittance shortfall from NNPC was from 2005 to 2013.

It further noted that as at 2013 which the report focused on, the state oil firm did not

remit $1.29 billion it got from the NLNG. NNPC, it said, acknowledged receipt of the sum from NLNG. Continued on page 6

Makarfi-led PDP Caretaker Committee Expected to Assume Office Today Party’s secretariat remains under lock and key Police warn factional groups over threat to peace Onyebuchi Ezigbo and Dele Ogbodo in Abuja There were signs yesterday that activities at the national secretariat of the Peoples Democratic Party (PDP), which has been shutdown in the last two days following the removal of Senator Ali Sheriff

as its national chairman, may return to normal as the caretaker committee moves to start work today.

The caretaker committee of the PDP which has former Kaduna State governor, Senator Ahmed Makarfi as Continued on page 6

SHOWCASES HIS PROJECTS NLC: We'll Not Be Part of FG's AMBODE L-R: Lagos State Governor, Akinwunmi Ambode; Vice-President Yemi Osinbajo; Lagos State Deputy Governor, Dr. Oluranti and Commissioner for Works and Infrastructure, Mr. Ganiyu Johnson, during the commissioning of the newly Palliatives Committee… Page 9 Adebule; constructed Ago Palace Way, Okota, Isolo, Lagos… yesterday

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IATA Confirms $575m Foreign Airline Revenue Trapped in CBN Chinedu Eze in Abuja The International Air Travel Association (IATA) has confirmed that $575 million in revenue generated by foreign airlines in the country was trapped in the Central Bank of Nigeria (CBN) as at March this year.

This was disclosed by IATA’s Area Manager, South West Africa, Dr Samson Fatokun, at the Aviation Day in Abuja.

The foreign airlines have

found it increasingly difficult to repatriate their earnings due to the dollar shortage in the country brought on by the low earnings from crude oil sales.

Fatokun however explained that IATA had been engaging government through the Ministry of Transportation, CBN and the vice-president’s office.

“We are engaging government through the ministry, CBN and vicepresident and government

is giving the aviation the best possible attention the sector deserves. We are addressing the issues and government is giving us support,” Fatokun said.

IATA also spoke on the high charges and taxes levied on airlines, saying that African countries have the highest charges and taxes on airlines in the world.

The Regional VicePresident, Africa and Middle East, Hussein

Abbas, said while the continent has the highest charges and taxes in the world, Senegal and Nigeria have the highest taxes on the continent, noting that high taxes discourage passenger patronage and keep travellers away from the airports.

Abbas said since crude oil prices crashed, airlines in Africa still buy aviation fuel at very exorbitant rates, adding that IATA and the International Civil Aviation

Organisation (ICAO) had been engaging governments of nation states in the region to reduce such charges and introduce them in a transparent way so that they would reflect the services they provide to the airlines.

“Governments in Africa see aviation as a cash cow.

Charges and taxes in Africa are 20 per cent higher than any other part of the world.

Despite the fall in crude oil prices, it has not reflected on the prices of aviation

fuel for airlines in Africa.

“The less the charges, the more the passengers will come to the airport. With high charges, you kill the goose that lays the golden egg,” Abbas said.

IATA said it is unfortunate that Africa still depends on primary commodities for foreign exchange earnings, adding that there was need to focus and develop the aviation industry to boost economic development in the region.

optimal collection of revenues due from petroleum profit taxes.

“The legal framework governing the pioneer status is a subsidiary legislation of the Company Income Tax Act (CITA). The CITA does not apply to oil and gas companies, as oil and gas companies are taxed under PPT,” Fayemi noted.

On metering, the report also noted that very little progress had been made on the implementation of enhanced measurement arrangements for both downstream and upstream hydrocarbon flows.

Similarly, Fayemi said N33.86 billion accrued to the federation in 2013 from the solid minerals sector, amounting to an increase of 7.6 per cent over the N31.5 billion generated in 2012

He said of this amount, payments from cement manufacturing companies accounted for N30.47 billion (89.98 per cent); construction companies - N1.98 billion (5.83 per cent); and mining and quarrying companies N1.42 billion (4.19 per cent).

He explained: “The distribution of revenues among government agencies showed that N28.954 billion was collected by the Federal Inland Revenue Service (FIRS); N1.343 billion by the Mines Inspectorate Department (MID) and N704 million by the Mining Cadastral Office (MCO).

He said unilateral disclosures by companies not reconciled in the audit scope came to N2.861 billion while N748 million was reported as unilateral disclosures by government entities.

actors will mobilise into Abuja with effect from Monday 23rd May 2016 and they intend to march through major streets in Abuja before proceeding to the PDP secretariat to manifest their intention.

“Consequently, the IG has directed the deployment of police assets to secure the PDP secretariat and protect the staff until the threat to internal security that is being occasioned by the intra-party crisis within the PDP is stabilised.”

The police action, he

averred, was a proactive measure put in place in furtherance to the statutory mandate of the Nigeria Police to prevent a breakdown of law and order and protect lives and property.

The IG warned all actors in the crisis as well as their loyalists to refrain from any act that may threaten public order, stating that the police will “deal promptly, firmly and decisively with such persons or group in line with their legal obligations”.

NEITI AUDIT:NNPC FAILED TO REMIT $13BN NLNG EARNINGS IN EIGHT YEARS The report added that at the time it was signed off, there were no traces of NNPC’s remittance of the sum into the Federation Account or to the government.

“The audit revealed that Nigeria Liquefied Natural Gas (NLNG) Company paid the sum of $1.289 billion as dividends, interest and loan repayment for 2013.

NNPC acknowledged receipt of this amount but did not remit it to either the federal government or the federation,” said Fayemi in his disclosure of the audit highlights.

He said: “However, it is important to also note that the 2013 figure brings to $12.9 billion the total NLNG payments received by NNPC between 2005 and 2013 but not remitted by NNPC to

the federal government or the federation.”

He added that Nigeria earned $58.07 billion from her hydrocarbon industry in 2013, eight per cent lower than the $62.9 billion earned in 2012.

The country, Fayemi said, produced a total of 800,488,000 barrels of crude oil in 2013.

According to him, the sums of $5.966 billion and N20.4 billion was lost by the country within the period, mainly from NNPC’s operation of the Offshore Processing Agreements (OPA), crude oil swap arrangements and through product theft.

The audit, according to the minister, equally showed that the sums of $3.8 billion and N358.3 billion were still outstanding payments

due to the federation from the NNPC and all of its subsidiaries.

“These outstanding payments were due from unpaid consideration from the divested OMLs, cash-call refunds from NAPIMS, and NPDC liftings from the NAOC (AGIP) JV,” Fayemi explained.

He also stated that due to the absence of a new fiscal regime for the industry, the sum of $599.98 million was reported in the audit as underpayments to the federation from petroleum profit taxes and royalties by oil and gas companies as a result of the use of different pricing methodology by the government and the companies.

On audited crude oil and product losses, Fayemi said: “The report put the total

value of crude oil losses to the federation, as reported by three JV companies in 2013, at $4.7 billion.”

This, he explained, represented an increase of 46 per cent over 2012.

“For downstream, COMD (Crude Oil Marketing Department of NNPC) records showed that out of 38.263 million barrels allocated to the refineries in 2013 for local refining, 2.401mb were lost through theft and vandalism.

“The report noted that the integrity of the pipelines network that supplies products has been severely battered over the years from damage by vandals,” added Fayemi.

The report also condemned the grant of pioneer status to oil and gas companies, saying it had greatly undermined the

MAKARFI-LED PDP CARETAKER C’TTEE EXPECTED TO ASSUME OFFICE TODAY its chairman and Senator Ben Obi as secretary, is planning as part of its initial engagements, to address a press conference today.

However, the premises of the party’s secretariat in Abuja which was sealed on Saturday night by the police, remained sealed last night.

The police deployed in the secretariat refused to allow anyone into the secretariat except food vendors who operate in the premises to access their shops, a situation that has raised questions over which of the factions of the party will be allowed into the secretariat.

However, a source close to the caretaker committee disclosed yesterday that the committee might resume work today and reel out its operational strategies.

Similarly, a reliable source from the Concerned PDP Stakeholders group told THISDAY that the group was scheduled to hold a crucial meeting at the residence of the former Deputy Senate President, Ibrahim Mantu last night on the latest developments in the party.

THISDAY learnt that the governors had asked the Makarfi-led caretaker team to negotiate with the leadership of the Board of Trustees and to try and use the instrumentality of the board to reach out to other aggrieved groups, including the Concerned PDP Stakeholders group, for a possible deal.

It was also learnt that a press conference would be addressed by the committee on its operations and the mandate given to it at the convention in Port Harcourt, Rivers State.

There were also indications that Sheriff and his loyalists in the dissolved National Working Committee may adopted a strategy on how to confront their removal.

According to sources at the closed-door meeting Sheriff had with his loyalists on Sunday night, the embattled former governor of Borno State may be contemplating instituting a lawsuit against his removal at the courts.

The source said that Sheriff has dispatched his legal team to Lagos with a view to continuing with the court case before the Lagos High Court which had ordered PDP not to elect new officers at its Port Harcourt convention.

However, PDP’s Deputy National Publicity Secretary, Abdullahi Jalo, yesterday accused the sacked chairman of plotting to destabilise the party.

Addressing newsmen in Abuja yesterday, Jalo also revealed that the root cause of the persistent crisis that threatened to tear the party apart was the plot

by Sheriff to hold on to power and contest the 2019 presidential election on the party's platform.

The former deputy spokesman said if Sheriff had

refused to vacate the seat, the crisis in the PDP would have continued and might have led to the disintegration of the opposition party.

Jalo explained that during the 71st National Executive Committee (NEC) meeting of the party, it was agreed that his tenure had expired because he was completing the tenure of Alhaji Ahmadu Adamu Mu’azu, which ended in March, and should therefore have vacated the office honourably.

He further explained that Sheriff had not been given a waiver by the party, adding that the NEC took the decision that only the national convention, which eventually sacked him, would have guaranteed the extension of his tenure through voting by delegates.

Jalo insisted that Sheriff should step down honorably for the caretaker committee headed by Makarfi to take charge, pointing out that the committee was legitimate, in order, and has the backing of the law.

He said the objective of the PDP was not for the party to die, but to reign supreme, reclaim power in 2019 and provide good governance to Nigerians.

Jalo stressed that the Gana-led Concerned PDP Stakeholders went out of their way to rescue the party from “imminent collapse” and should not be seen as a tool for the division of the party.

He said: “The convention in Port Harcourt saw the danger ahead and unanimously resolved that we should give way for peace to reign, and the party is more supreme than any individual in the NWC. “So in order to bring peace, Jerry Gana, Ibrahim Mantu, Turaki, Zainab Maina and many others insisted that Ali Modu Sheriff should go.

“His tenure has expired long ago, but he was only granted the favour by the governors to the detriment of long serving members who laboured for the party.”

Meanwhile, the police yesterday justified their closure of the PDP secretariat, stating that intelligence reports indicated that some aggrieved factional leaders and members of the party had perfected plans to engage thugs to disrupts the public peace and security in Abuja.

The Inspector General of Police, Mr. Solomon Arase, in a statement signed by the Force Public Relations Office, ACP Olabisi Kolawole, said any acts geared at disrupting the peace in Abuja will be firmly dealt with.

The statement said: “The plan of the brains behind this development was to infiltrate Abuja and attack the National Headquarters of the Peoples Democratic Party with the intent to forcefully occupy the facility.

“Towards perfecting this criminality, credible police sources confirmed that the

JONATHAN CALLS THISDAY FROM COTE D‘IVOIRE, SAYS I’M NOT IN EXILE “I have made sacrifices for Nigeria. I am praised all over Africa for averting bloodshed and for the peaceful transition from one government to another, but it seems Nigeria does not appreciate my efforts.

“I have done my best for this country and if I have to die for it, I will do so. However, I am taking it easy here (Cote d’Ivoire) and when I am ready, I will come back,” he said.

THISDAY had reported that Jonathan had gone into exile following the resolve by the federal government to arrest him on allegations of corruption.

The perception that the government was going to reel him in was linked to

the heightened attacks on oil and gas installations in the Niger Delta.

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Synagogue Trial Starts on Shaky Note Akinwale Akintunde The trial of the trustees of the Synagogue Church of all Nations (SCOAN) and the two engineers involved in the construction of the collapsed six-storey guest house that left over 116 dead, started on a shaky note yesterday as a prosecution witness scheduled to testify in the matter was disallowed by the court.

The SCOAN trustees, two engineers – Messrs Oladele Ogundeji and Akinbela Fatiregun and their companies, Hardrock Construction and Engineering Company and Jandy Trust Limited – were last month arraigned on a 111-count charge for their involvement in the September 12, 2014 collapse of a six-storey guest house belonging to the church, which led to the death of 116 persons.

The 111-count charge preferred against the defendants by the Lagos State Government borders on criminal negligence, manslaughter and failure to obtain a building permit.

At the scheduled commencement of the trial yesterday, Mrs. Idowu Alakija, the Director of Public Prosecution (DPP), informed the court that one of the eight prosecution witnesses, Adebayo Musiliu Olayinka, was in court and was ready to testify.

But the lead defence counsel, Chief Lateef Fagbemi (SAN) objected to the witness giving evidence, stating that his witness statement was not forwarded to the defence team as required by law.

Fagbemi argued that in criminal proceedings, the proper practice is for the prosecuting team to serve the defence with a list of witnesses and their statements.

Two-Minute Briefing NEWS Kachikwu Calls for Dialogue

with Niger Delta Militants Contrary to application of brutal force against militants in the Niger Delta region, the federal government has been advised to engage the vandals who have been attacking oil installations in the region in dialogue.

Page 8

EDITORIAL Who StoleThe Hiv/Aids Money? ria has the world’s second highest number of people infected with HIV/AIDS after South Africa.The country also accounts for one-third of all deaths from malaria in Africa and is among the top 22 countries with tuberculosis patients…

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POLITICS Job Creation Tops T.B. Joshua He stated that among the eight witnesses listed by the state’s prosecuting counsel, only three had their statements front loaded and served on the defence team.

Fagbemi held that the essence of front-loading witnesses' statements was to allow the defence to adequately prepare for the cross-examination of witnesses.

He insisted that allowing the witness to testify without a statement would amount to an ambush against the defence.

Fagbemi quoted several sections of the Administration of Criminal Justice Act (ACJA) to support his argument and urged the court to dismiss the witness until his statement was served

on the defence.

Counsel to other defendants in the matter, Mrs. Titi Akinlawon (SAN), Chief E.L Akpofure (SAN) and Olalekan Ojo, also aligned themselves with the submission of Fagbemi.

Responding to the argument of the defence team, Mrs. Alakija insisted that the fact that the witness’ statement was not filed and served on the defence does not preclude the witness from testifying in court.

Ruling on the objection, Justice Lateef Lawal-Akapo upheld the argument of the defence and insisted that the witness' statement must be filed and served on them.

He subsequently adjourned the matter till June 1, 2016.

Shekau’s Bodyguard Kills Boko Haram Bomb Maker, Another Loses Sight

Gruesome video of female terrorists beheading victim discovered

The Nigerian Army yesterday confirmed the death of Boko Haram’s chief bomb maker and a high-ranking terrorist.

This is just as a video was released showing the gruesome scene of how female terrorists are tasked with slaughtering women captives in parts of Sambisa forest in the North-east.

Army spokesman, Col. Sani Usman, disclosed this in a statement, confirming that the killing of the sect’s bomb maker happened in the early hours of yesterday.

Usman said that the suspected chief bomb maker, apart from his high status in the command structure of Boko Haram, was one of their capable hands involved in making improvised explosive devices (IEDs), coming after their chief scientist, called Abu RPG who was killed long ago.

“The chief bomb maker was killed by one of the bodyguards of the Boko Haram terrorist leader, Abubakar Shekau, as he was about to abscond just like several others are doing because of the intensity of Operation Crackdown,” Usman said.

He also disclosed that “one Julelebeeb who was appointed to take over is now completely blind because his two eyes were reportedly shattered by shrapnel in the process of preparing an IED to consolidate his appointment”.

There is no doubt, Usman noted that “this development has dealt a devastating blow on the terrorists' capacity on IED preparation, suicide bombing and their

STARTERS

ability to sustain their criminal acts.”

He said the troops were continuing with the clearance and rescue operations successfully in order to completely clear Boko Haram terrorists wherever they might be hiding.

It was also disclosed how the army’s operation in Sambisa forest has uncovered the murderous activities of Boko Haram women fighters with a video showing them slaughtering one of their female captives.

The horrifying video showed a woman who passionately pleaded for her life being beheaded by one of the hardened female terrorists.

Military sources, who spoke on the video, told THISDAY that the terrorists have trained and hardened female killers who are mostly assigned to exterminate their female captives or erring members.

The sources, who said they were aware of the existence of female terrorists in the Islamist sect, revealed that they often disguise themselves as captives and innocent victims, but are deadly.

According to one source, some of the combatants are not only fierce and heartless but sometimes wear military fatigues.

“I think there is the need to expose these female combatants at Sambisa, so that some people don’t erroneously assume they are Nigerian military female combatants. It can best be described as the horrifying atrocities of female Boko Haram terrorists.

“It should even be noted that when these female terrorists are rescued by soldiers, they are treated as though they are innocent females or wives of Boko Haram. That woman who beheaded the female captive acted with deliberate intent to kill,” the source said.

Also speaking, other intelligence sources noted that the discovery was quite revealing about the level of indoctrination and radicalisation of these Boko Haram women.

“I have seen many videos of male Boko Haram members beheading people but certainly not a woman, which is so gruesome.

“You can imagine that a lot of radicalisation has been done by the Boko Haram terrorists to their innocent captives, even women. We must therefore be extremely careful dealing with rescued people, even the females.

“It was purposely for that reason that the Nigerian Army conceived the deradicalisation programme for rescued captives.

“I have seen women carry guns, throwing petrol bombs; I have seen female suicide bombers, but who can say he is done knowing the full extent of these criminal atrocities?” another source asked.

The army spokesman, who confirmed the video, added that the military was taking the necessary precautions to ensure that the female terrorists are not erroneously passed out as captives.

Imansuangbon’s Agenda One of the leading governorship aspirants on the platform of the All Progressives Congress, Mr. Kenneth Imansuangbon, ahead of the September 2016 election in Edo State last week picked the gubernatorial form, promising…

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FEATURES Abakaliki Residents Demand

Improved Electricity Electricity users in Abakaliki, the capital of Ebonyi State now have the unique customers’ clout with which they demand for improved electricity services from their vendor - Enugu Disco.

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BUSINESS Rig Accident: ExxonMobil

to Claim Damages against Contractor Mobil Producing Nigeria Unlimited, a subsidiary of the ExxonMobil Corporation is set to seek financial damages against a drilling contractor for Conoil Producing Limited…

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PROPERTY Promoter of Excellence Estate

Insists on Quality Control in Housing Devt The promoter of Excellence xcellence estate, a new low-density community that is evolving in Arepo, off the Lagos-Ibadan expressway, insists on rendering high quality homes…

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INTERNATIONAL South African Prosecutor to Appeal Order Reinstating Zuma’s Corruption Charges South Africa’s state prosecutor said yesterday that he would appeal against a High Court ruling which could lead to 783 corruption charges being reinstated…

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SPORTS Man Utd FiresVan Gaal,

Mourinho to Seal Deal Today Louis van Gaal has been sacked as manager of Manchester United with former Chelsea boss Jose Mourinho set to be named as his replacement.

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TUESDAY MAY 24, 2016 • T H I S D AY

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NEWS

News Editor Davidson Iriekpen Email davidson.iriekpen@thisdaylive.com, 08111813081

Kachikwu Calls for Dialogue with Niger Delta Militants Tompolo launches manhunt for Niger Delta Avengers, arrests two militants EFCC: How ex-militant defrauded NIMASA of N24bn

Shola Oyeyipo in Lagos and Sylvester Idowu in Warri Contrary to application of brutal

force against militants in the Niger Delta region, the federal government has been advised to engage the vandals who have

Traditional Council Releases Funeral Rites for Oba of Benin Adibe Emenyonu in Benin City The Benin Traditional Council has announced the royal funeral rites of the passage of Oba of Benin, Oba Erediauwa.

A statement signed by the Secretary of the Benin Traditional Council and Frank Irabor, and made available to journalists in Benin City yesterday, said the programme of events would last for 15 days beginning from tomorrow May 25, 2016, to end on June 8, 2016.

Irabor. who listed the funeral rites as Ekioba, Ekenaka, Agbado and Eken (palace rites), noted that performance of the rites was the sole responsibility of the Edaiken N’Uselu and heir apparent to the Benin throne.

He said as soon as the funeral rites kick off, all burial ceremonies in Benin are prohibited.

The statement which advised people to go about their normal businesses, however warned of the need to stay away from places where traditional rites which are not

open to the public are performed.

Assuring that the council would work with security agencies to ensure the safety of lives and property during the period, nonindigenes were nevertheless advised to show respect and cooperate with Benin old-age customs and tradition.

“As Edo people, we cherish the common history and heritage we share, therefore, it is our expectation that we should come together in a common understanding of things we must do during this period of mourning,” Irabor stated.

Warning all trouble makers and their likes who might want to take advantage of the period as an opportunity to foment trouble and cause disorder, the Benin Traditional Council declared that it would not tolerate any such behaviour, adding that unfamiliar sounds which are intended to warn people, especially women to keep away might be heard in places where such rites are being performed, but that this should not case any anxiety among people.

been attacking oil installations in the region in dialogue.

Making the call yesterday during an interactive session with a coalition of civil society groups held in Lagos, the junior petroleum minister, Ibe Kackikwu, said government should use such opportunity to speak to the militants on why their actions are inimical to the oil rich region.

According to Kachikwu, who noted that government had realised that military tanks would not address the problem of the militants, as the activities of militants is working against efforts by the government to improve the Nigerian economy.

The petroleum minister, who was at the session with Minister of Information and Culture, Alhaji Lai Mohammed, said he was prepared to engage the people in dialogue with the

hope to finding lasting solution to the problems in the region “The military barrels cannot stop or solve problem of militancy in the Niger Delta region. I will have to go back to my brothers; they are our brothers we will go and dialogue with them,” Kachikwu said.

Speaking on fuel subsidy and the recent hike in price of petrol, the state petroleum minister said it was no longer feasible for government to continue the payment of subsidy.

He told the civil rights activits that Nigeria lost over N5trillion to subsidy in five years and that subsidy had to be removed because the government was broke.

Explaining that with the policy, the product became available, he said that was because those who would have hoarded the product no

longer hoard because there was no incentive to do so anymore.

He said the problem of over bloated quantity of consumption as a way to increase subsidy payment had been stopped.

Kachikwu said if government continues to subsidise fuel, it might be impossible to provide the citizenry with roads, security and other important infrastructure.

On his part, Mohammed said the dialogue with the civil society organisations would be institutionalised and that it would continue throughout the four year tenure of the administration.

He also assured the people that government would continue with its town hall meetings across the country as a way to engage all stakeholders in the country to prevent disconnect between Nigerians and the

government.

“Governance is about the welfare and wellbeing of the people and our policies would be geared towards alleviating people poverty. Nigerian Labour Congress (NLC) said it is going to join us again for negotiation and one of the issues to be discussed is actually the issue of minimum wage and the palliatives to cushion the effect of the new price hike.

“I can assure Nigerians that this democracy is for everybody and as a matter of fact, the reason we introduced the new price regime was because we felt that the other system was benefiting only a few. If some people less than 100,000 all over Nigeria could share N1trillion in 2015 for subsidy when 160million Nigerians could not get the product. At

Cont’d on page 40

NLC: We’ll Not Be Part of FG’s Palliatives Committee FG praises union for suspending strike Paul Obi inAbuja Contrary to expectations that the Nigerian Labour Congress (NLC) will promptly join the federal government palliative committee set up to cushion the effect of economic hardship brought about by the recent increase in petrol pump price and electricity tariff, the congress said it would not be part of the committee, citing several factors for distancing itself.

This came as the federal government yesterday praised the NLC for suspending its five-day-old strike.

There were expectations at the weekend that having suspended its nationwide protest, NLC would quickly make itself available as a strategic member of the palliative committee, geared towards extending succour to Nigerians hit by the ongoing economic crunch since the President Muhammadu Buhari’s administration came on board.

But speaking with THISDAY yesterday in Abuja, NLC Secretary General, Dr. Peter Ozo-Eson, said NLC, under the leadership of Ayuba Wabba, will not be part of the committee and discussions centred on palliatives, given the process leading to the setting up of the committee.

Ozo-Eson told THISDAY that “we are not part of the committee; we were not part

of the process that sets up the committee.”

Asked if the suspension of the protest excluded NLC joining the palliative committee, Ozo-Eson stated that “if the government wants to talk with NLC, they know what to do.

“We were not part of that process in setting up the committee, so, we will not be part of it.”

He further maintained that “the process leading to the setting of the palliative committee was mismanaged,” therefore, NLC will not be part of it.

Meanwhile, the Minister for Information, Culture and Tourism, Alhaji Lai Mohammed, who gave the commendation on the sideline of an interactive session with civil society organisations (CSOs) in Lagos yesterday, said the suspension of the strike was a win situation for Nigeria.

“Nigeria has won, and I want to take this opportunity to thank the NLC for reconsidering their position and agreeing to join us in negotiation.

“So, it is not who has won, but (it is) Nigeria that has won.’’

He expressed the federal government‘s commitment to actualising its change agenda through sustained communication between it and Nigerians.

ROLE MODELS

L-R: Member, Hallmarks of Labour Foundation, Prof. Grace Alele-Williams; winner of the Foundation 2016 Role Model Award, Justice Mariam Aloma Mukhtar(rtd);Chairman,HallmarksofLabourFoundation,Prof.UmaruShehu,Chairmanoftheoccasion,ChiefEmekaAnyaoku;andanotherwinnerofthe award,Mrs.OlutoyinOlakunri,atthe foundation’s20thanniversaryandRoleModelAwards,2016 inLagos...yesterday SundayAdigun

‘Missing N30tn’: Okonjo-Iweala Refutes SERAP’s Claims, Moves to Set aside Court Order Ndubuisi Francis inAbuja The immediate-past Finance Minister, Dr. Ngozi Okonjo-Iweala, has instructed her lawyers to take steps to set aside the judgment of a Federal High Court in Lagos ordering her to provide information on the spending of an alleged ‘missing’ N30 trillion accruing to the government when she was a minister.

The judgment was delivered last Friday by Justice Ibrahim Buba following a Freedom of Information (FoI) Act request in Suit number FHC/L/CS/196/2015 filed by a non-governmental organisation, Social Economic Rights Project (SERAP).

Reacting to the judgment via a statement issued by her Media

Adviser, Mr. Paul Nwabuikwu, the former minister said her attention had been drawn “to media reports regarding a court judgment alleged to have been entered against the Federal Government of Nigeria and Dr. Ngozi Okonjo-Iweala in respect of an action by the Socio-Economic Rights Agenda (SERAP) pursuant to the Freedom of Information Act.” The statement noted that the court, according to the media reports, ordered the federal government and Okonjo Iweala to provide information relating to N30 trillion allegedly unaccounted for.

“Okonjo-Iweala hastens to state that she was never served with any court processes in relation to the said matter. She has not read the judgment and would therefore defer any comments on the matter.

“However, from the media reports, the case was instituted in February 2015 but was not served until July 2015 after Okonjo-Iweala had already ceased to be the Minister of Finance.

“By the date the said papers were purportedly served, OkonjoIweala was no longer a public officer and could therefore not be the subject of a request for production of any documents or information under the Freedom of Information Act. “The court processes must have been served on others because the attention of OkonjoIweala was never drawn to the matter in which she appears to have been sued personally.

She therefore did not engage any lawyer to act for her in the matter,”

the statement added.

It pointed out that “the decision of SERAP to anchor its case on a baseless and unsubstantiated allegation by the former CBN governor Professor Charles Soludo that N30 trillion – about seven times the total annual budget during the Jonathan administration – is missing confirms SERAP’s dubious motives and its role as a tool for politically motivated actors.”

According to the statement, it is curious that the first time OkonjoIweala was being made aware of a matter filed against her in court was in news reports reporting the delivery of judgment.

“She has instructed her lawyers to take steps to set aside the judgment as it affects her,” the statement concluded.

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TUESDAY MAY 24, 2016 • T H I S D AY

NEWS

Buhari: FG will Continue to Support Lagos Says Nigerian economy will soon recover Gboyega Akinsanmi President Muhammadu Buhari yesterday said the federal government would continue to support Lagos State Government to actualise several strategic projects it had initiated in the state.

The president also inaugurated security equipment which the state government purchased for security agencies at a cost of N1.85 billion, noting that Lagos during Governor Akinwunmi Ambode government “has continued to maintain its leading role in delivering good governance to the people.”

He made the remark after inaugurating the State Emergency Management Agency (LASEMA) Rescue Unit in Oshodi, security equipment at the Tafawa Balewa Square (TBS) and Ago Palace Way in Okota.

Buhari, who was represented at the events by the Vice President, Professor Yemi Osinbajo, promised that the federal government would continue to support the state government.

He noted that the Lagos-Ibadan expressway, Lagos-Kano and Lagos-Calabar rail lines “are projects embedded in the 2016 budget which will benefit the State immensely.”

The president noted that the state government surely “deserves commendation for the good work he is doing, it is what other governors should also emulate

to make life better for people.

The federal government would continue to support Lagos in every way possible.”

He said now that the state was being governed by the same party as the federal government, there should be no excuse for Lagos “not to get the support it deserves from the federal government. Lagos State must benefit even more than before.”

The president assured Nigerians that the biting economic situation in Nigeria would soon be a thing of the past, citing measures that the federal government had taken to ensure economic recovery.

He said the presidency was aware of the prevailing hardship in the land but added that these difficulties “are sign of great future.

This country is going high and is going to be a great nation indeed.”

Buhari said a lot “has happened in the past that is causing the hardship that is presently being experienced in country, but that everyone must be prepared to ensure that Nigeria gets out of economic doldrums.

“This country is going to be a nation where there will be abundance and prosperity but there are teething problems. There is a lot of repairs to be done, there is a lot of re-adjustment, there is a lot that we have to do to ensure that our country becomes the kind of country that we really want it to be.”

While handing over security equipment at the Tafawa Balewa Square, the president said it was a testament to the premium Ambode’s administration placed on safety of lives and property of its citizenry.

He said: “I have also seen already so much attention being paid to security, and just earlier on, we were at the LASEMA rescue operation

Inaugurates N1.85bn security equipment unit which we just inaugurated.

“Also, we are about to inaugurate several security equipment donation to the police and security agencies.

In fact, virtually all the security agencies including Imigrations, Customs and NDLEA are to benefit from this latest gift of the state government.”

He said the state government was blazing the trail with several

commendable projects, including the two roads being constructed in each of the 20 local government areas and 37 local council development areas of the state.

Buhari said: “I must also say that I am impressed with the fact that the whole effort at security is an integrated one and so we have the Light

up Lagos being an important component of that whole effort.

“I want to say that the governor of this state deserves our commendation and all of the praise and support that he is getting. With this special rescue unit, it is evident that we have moved a notch higher. There is no question at all that this facility is a world class facility.”

Fayose Bans Grazing in Ekiti, Declares War on Killer Herdsmen Ekiti workers may begin industrial action, defy resumption directive

Olakiitan Victor in Ado Ekiti

The Governor of Ekiti State, Mr. Ayodele Fayose, yesterday declared war on the rampaging Fulani herdsmen by placing ban on free grazing in Ekiti while also ordering the security agencies and local hunters to gun down herdsmen seen terrorising the people.

Fayose said this in Oke-Ako in Ikole Ekiti during a visit to the beleaguered town where two persons were reportedly killed by suspected herdsmen on Saturday.

The governor, who stormed the town in convoy of about 30 vehicles, was escorted by the state Commissioner of Police,

Mr Etop James, the Director of the Department of State Services (DSS), Mr. Andrew Iorkay and Commander of the Nigerian Security Civil Defence Corps (NSCDC), Mr. John Ikemefuna.

Due to the lethal attack, the town still seemed deserted why soldiers, anti-riot policemen and men of the NSCDC were seen in strategic places in the town to ward off further attacks.

Fayose donated a hilux van and the sum of N5 million to the local vigilante group operating under the auspices of Association of Ekiti Hunters to be able to defend the town while also donating a sum of N2.5 million to the families of

the deceased.

The governor, who said a bill criminalising grazing would soon be passed into law in the state House of Assembly, also ordered that communities should henceforth confiscate cattle found on sight.

He said henceforth, those interested in cattle farming should get their own private cattle ranch.

He warned that government would henceforth confiscate any cattle seen anywhere in the state apart from ranch created for them by their owners.

He described the Fulani herdsmen that attacked Oke-Ako and other communities in the country as Boko Haram members

making tacticalintrution into the South-west.

Meanwhile, 72 hours after the suspension of the nationwide strike, the entire workforce of the state might tomorrow begin another strike over deduction in the December, 2015 salary.

However, most civil servants yesterday failed to resume work despite directive by the National Secretariat of the Nigeria Labour Congress (NLC) to that effect.

When journalists monitored the workers’ resumption reports that only a few workers reported for work as most offices remained desolate as at 10a.m.

T H I S D AY TUESDAY MAY 24, 2016

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TUESDAY MAY 24, 2016 T H I S D AY

T H I S D AY TUESDAY MAY 24, 2016

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T H I S D AY • MONDAY MAY 23, 2016

COMMENT

Editor, Editorial Page PETER ISHAKA Email peter.ishaka@thisdaylive.com

CHALLENGES AND STRICTURES OF 2016 BUDGET

A budget of change that does not deliver the goods and services will make the promise and clamour for change ironic, writes Oseloka H. Obaze

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n out-and-out constancy in Nigeria’s politics and governance is elite shifts and policy changes; which is well-documented in Joe Garba’s 1995 book, Fractured History. Another utter constancy is Nigeria’s budgetary process; the ambiguities, reoccurring sub-heads, unimplemented projects, padding, underperformance of budgets and lost opportunities. Hardly discussed, is the linkage between Nigeria’s underdevelopment and its failure to use the budget as a national development tool. Public budgeting, which ought to be a service-delivery and good governance tool is no longer a means of promoting public interest. The global budgetary ground norm is that government does not spend what is not appropriated. This is hardly so in Nigeria, as the capacity to undertake sound economic and fiscal planning, expenditure management, accountability and evaluation of public sector activities, remain elusive.

There’s one explanation for this dysfunction. Nigerian budgets have never been framed to be results-based. Budgets have over time, been structured and based on certain common assumptions with recurrent and capital programmes framed as envelopes, and adopted in lieu of programmes that should guide development, economic growth and wealth creation. Such practices along with budgetary indiscipline, opacity, and lack of accountability are responsible for past misguided intervention and fiscal abuses. They have impacted negatively on Nigeria’s development and called into question the rationale of governmental budgeting. Hitherto, all kinds of ploys were used to circumvent budgetary controls. Though 2016 budget making offered an opportunity to redress past errors, the process had a false start. This time it was “padding”; a terminology President Muhammadu Buhari claimed to be unaware of. His words: “There is something called “padding”. I’ve been in government since 1975. I never heard the word “padding” until this year.” Besides padding, other challenges persist.

While past budgets were presumably needs-driven, project-specific and based on reform assumptions, our budgets not being results-based, explains why ministries, departments and agencies (MDAs) pad their budgets, and lobby the legislature to pass their sections of the budgets, as presented. Such practices offer the legislature the axiomatic “pound of flesh” and “pork barrel”, from which to extract constituency project funding. Can Buhari change these practices?

A key challenge arising from the 2016 budget presented to the National Assembly on December 22, 2015, and signed into law on May 6, 2016, is its inextricable link to President Buhari’s campaign and reform promises. Delivery and reform goals will definitely clash. Moreover, past efforts at budgetary reform failed due to lack of political will, ownership and bureaucratic resistance. Also with less than six months to implement the 2016 budget, there exist inherent risks of trying to do much in less time. As always, haste will make waste. Contextually, the suggestion that the 2016 budget should be operated until May 2017 is absurd. Such an overlap will only prolong the simmering discord, create turf fights and grounds for fiscal abuses.

The 2016 budget, which outsizes the 2015 N5 trillion budget by N1.6 trillion, is remarkable for its deficit of N2.23 trillion - the highest ever in Nigeria’s history. After the alleged “padding” and debulking, a slightly leaner budget was passed. The variations include a minor reduction from N6.8 to N6.6 trillion. The operational parameters: an

PAST EFFORTS AT BUDGETARY REFORM FAILED DUE TO LACK OF POLITICAL WILL, OWNERSHIP AND BUREAUCRATIC RESISTANCE. ALSO WITH LESS THAN SIX MONTHS TO IMPLEMENT THE 2016 BUDGET, THERE EXIST INHERENT RISKS OF TRYING TO DO MUCH IN LESS TIME. AS ALWAYS, HASTE WILL MAKE WASTE

oil price benchmark of USD38 per barrel at 2.2 million barrels per day and determining exchange rate of N197 to US$1 were retained. The 2016 budget is essentially Buhari’s first budget as president, which in content and size, sets presidential priorities, and will shape and define his governance trajectory, change agenda goals, fundamental political reform, historical and personal mandate, and also distinguish his administration from preceding governments. Entrenching, consolidation and fulfillment of Buhari’s campaign promises will still hinge largely on the 2016 budget and its outcomes. Nonetheless, the budget deficit –some 2.14 per cent of GDP -- will require Buhari to expend some of his political capital to ensure that the budget delivers. Yet, Buhari cannot expect to reform and downsize government’s expenses, end fuel subsidy and enforce spending cuts without hitting severely on the purchasing power and confidence of Nigerian consumers, which is at an all-time low. These realities prompt poignant questions.

One intractable challenge hardly ever discussed, is how best to tackle the subterranean but severe drain on Nigeria’s budgeted resources, by way of Nigeria’s informal support of the economies of neighbouring states. Besides, ongoing labour protestations and face-off with government, for which one side must blink, has government properly benchmarked the budget to preempt abuse, guarantee delivery of services and projects and stop MDAs that engage in budget busting through unforeseen expenses? Can the budget sustain imminent demands for palliatives and wages and kick-start Nigeria’s economy?

President’s Buhari’s the biggest challenge, is how to fund the 2016 budget fully and expeditiously, considering the deficit. Low oil prices remain adversarial and the snail-paced recovery of looted funds, an impediment. That leaves borrowing and taxes. Oil subsidy removal will result in savings that will count as revenue. Yet the impact won’t amount to much until the foreign exchange policies are tweaked and government reviews “its policy of maintaining an artificially fixed exchange rate, in the face of depressed income from crude oil.” As a political and governance tool, past budgets have been near undemocratic, by not guaranteeing trickle down dividends. Same might be true of this budget. So any desired change coming to our budget processes, will require radical altering of orthodoxies in budget making. A change that does not reform the national budget, and a “budget of change” that does not deliver the goods and services, will make the promise and clamour for change ironic.

Attempts to revamp the Nigeria economy using the 2016 budget are fraught with challenges and imponderables. The shock therapy approach is double-edged, since policies meant for common good must be compassionate as they are rational. Demands to rescind the fuel hike is hardly a support for the cabal that gut Nigeria via oil subsidies; but as things stand it’s Nigerians that suffer regardless. Priorities contained in the president’s campaign manifesto along with the 34 priority programmes within six-cluster budget thematic priorities must be attended to in just six months. Ironically, some of these proposals are without delineated matching funds, which guarantees funding turf fights. Regrettably, there has been a very poor articulation of social safety nets and welfare packages that will result from subsidy savings, and how the masses will benefit therefrom. Change and challenge continue to intertwine.

Obaze is MD/CEO of Selonnes Consult Ltd.

THE DAY AFTER

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Israel A. Ebije argues the PDP is capable of upstaging the ruling party if the present state of things persists

he Peoples Democratic Party (PDP) has always managed to drag itself to fringes of disastrous fall since its chequered existence as a political party 18 years ago. Its penchant for mistakes expresses its calamity-prone characteristics wielded at all levels of the party. It is however interesting to note that at the national level of the party sits the worst assembly of politicians loaded with personal ambition with zero interest of collective aspiration.

It is indeed pertinent to intimate that the floodgate of self- based interest, reckless greed, over-bloated ego, pride, impunity, disconnect from the people pushed the PDP out of its soaring political height. We may therefore recall that the erstwhile ruling party was accorded similar goodwill the All Progressive Congress (APC) is presently enjoying on account of prolong military rule.

After losing the elections in its most disastrous outing in 2015, the PDP managed to stay firm in the news for awkward reasons. First major gaffe was the emergence of Senator Ali Modu Sheriff as acting chairman, which snowballed into a parallel convention that has quickly and sharply divided the ailing party. It is however disturbing how the party managed to allow a character like Sheriff to take over its leadership in the first place.

Nigerians may recall that the impunity of the PDP is often evident in the personalities that manage affairs of the party. Bamanga Tukur will be remembered as an emperor who was only successful in dragging the party political

enterprise to the morgue. He didn’t act alone; he was assisted by then government at the centre to embark on senseless internal “cleansing” which later gave APC political advantage to stage a coup de grace in 2015.

What the PDP lacked in managing its onceupon- a - time politically rich deposit in terms of human and perception resource, experience, exposure of politicians from that party cannot be undermined. The party went down based on impunity. The unfolding rattling in the party may present an image of a people who have failed to learn from their mistakes. That may not completely be true.

It is instructive to understand that the intense heat in the PDP only directs to a formation that might rise from the ashes of self-inflicted setback to the saddle.

Already the George Orwell’s “sugar candy” the APC promised Nigerians is becoming elusive: condition of living increasingly difficult and the future completely unpredictable. It is therefore not surprising that many Nigerians who voted for the ‘change’ administration are among persons keenly watching the drama unfolding in the PDP. As the opposition is now taking advantage to herald a new slogan, “Change the Change”.

They may not be like the PDP based on the experience of the “locust years”, but until the APC changes its economic strategy, not many illiterates will understand that aside some badly timed policies like deregulation of the oil sector, hike in electricity tariffs, that the fortune of our crude-oil based economy has cascaded.

With the hopes of many dashed and poverty flying through the roof, and insurgency, militancy tearing through the muscle fibre of the society, the APC might not stand a chance if all that continues. Sadly, people are beginning to see through the “excellent” propaganda of the APC government. They had a lot to feast on based on the gaffes of the PDP, interestingly they never relented on propaganda after winning the election, a tactless strategy that has indeed turned around to haunt them.

Nigerians have come to realise that the APC-led government is not only good at propaganda but is doing well hunting corrupt “PDP” politicians. People have also come to realise that government at the centre have managed to change most of their promises. Nigerians have even started doubting the war on corruption and insurgency.

Sadly, Amina Ali, one of the Chibok girls found recently has been dubbed a charade, a propaganda twist to force attention from the ongoing national strike by the Nigerian Labour Congress (NLC). Who can blame them, when Amina suddenly appeared on the first day of the strike and the wife of the president also shared N55m to victims and families of Boko Haram insurgents? The APC is alleged to be using propaganda to cover up for “poor performance” at the centre.

A lot has happened to Nigerians in the past years of our nation’s democratic experience. The worst part is playing politics with human lives.

Former President Goodluck Jonathan lost all his

political fortune when he failed to manage the “politically” induced insurgency in the North eastern states. Whether the one he allegedly was involved in or the one thrown at him to smear his image, the collateral damage is the cost to human lives.

The Niger Delta Avengers is allegedly raised to distract President Muhammadu Buhari-led administration. Nigerians, and their social, political and economic prebend is whittled and the blood-coated political strategies of our politicians have indeed come to stay. Sadly, Buhari may have to grapple with insurgency from the North and militancy from the South.

With the recent “armed Fulani herders” onslaught on hapless Nigerians spreading like wild fire across the country, it is clear Buhari is on a sloppy path towards losing goodwill among his supporters in the monolithic south. Definitely, it’s a political battle taken to the homes of poor Nigerians by politicians for their political interests.

For the Nigerian victims, it can only be “Buhari’s fault”, just as it was “Jonathan’s fault”.

Democracy has come to stay in Nigeria.

Whether APC or PDP, the climes are changing, the people are becoming stronger, more enlightened and capable of gravitating towards a direction that provides better condition of living.

Once again, under the present circumstance, regardless of the present economic reality, once the storm blows off, the PDP might become the next political alternative if there is no respite for the poor.

Ebije can be reached via ebije05@gmail.com

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T H I S D AY • TUESDAY, MAY 24, 2016

EDITORIAL WHO STOLE THE HIV/AIDS MONEY? The authorities should ensure the criminals bear the full weight of the law

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igeria has the world’s second highest number of people infected with HIV/AIDS after South Africa. The country also accounts for one-third of all deaths from malaria in Africa and is among the top 22 countries with tuberculosis patients, the second most infectious cause of death in the world. But corruption in Nigeria is posing a major challenge to curtailing these diseases which cause so many deaths and tremendous human suffering.

The Global Fund to Fight HIV/AIDS, Tuberculosis and Malaria recently suspended payments to Nigeria over evidence that $3.8 million was stolen by some health workers and consultants. A report by the fund’s inspector general said seven government workers and three information technology consultants stole the money over a five-year period, between 2010 and 2014. It accused the National Agency for the Control of AIDS (NACA) of incompetence as it could not carry out proper audits. The missing money is 95 per cent of the amount budgeted to implement, administer and train users of a web-based reporting platform, but a fraction of the $1.4 THE REPORT IS CLEAR billion of the fund has AND DETAILED, THUS MAKING THE WORK OF been spent fighting INVESTIGATORS MUCH AIDS, malaria and tuberculosis in Nigeria SIMPLER. AND GIVEN the fund’s largest THE GLOBAL NATURE OF — recipient since 2003.

THIS SCANDAL, IT IS ONE WE CANNOT AFFORD The federal TO SWEEP UNDER THE government, in a swift CARPET response to yet another

national embarrassment directed the Economic and Financial Crimes Commission (EFCC), perhaps the only anti-graft institution which still poses a strong challenge to impunity, to launch a full investigation into the allegations. Professor Isaac Adewole, Minister of Health, said President Muhammadu Buhari gave the directive as part of government’s commitment to fight corruption in the country. The president also directed the Secretary to the Government of Federation

Letters to the Editor

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to review earlier audit reports from the office of the fund’s inspector general. Nigerians are waiting for the outcome of these investigations.

Corruption is so widespread in the country that it has turned public service into a kind of illicit but lucrative business and has denied millions of innocent people access to the most rudimentary of services. The Global Fund to Fight AIDS, Tuberculosis and Malaria is a Geneva-based health agency that attracts and disburses resources to prevent, treat and fight these diseases in low to mediumincome countries. It acts as a financing mechanism and has a board that is responsible for setting policy, strategies, and establishing both funding criteria and budgets.

H T H I S DAY

EDITOR IJEOMA NWOGWUGWU DEPUTY EDITOR BOlAJI ADEBIYI MANAGING DIRECTOR ENIOlA BEllO DEPUTY MANAGING DIRECTOR KAYODE KOMOlAfE CHAIRMAN EDITORIAL BOARD OlUSEGUN ADENIYI EDITOR NATION’S CAPITAL IYOBOSA UWUGIAREN

T H I S DAY N E W S PA P E R S L I M I T E D

EDITOR-IN-CHIEF/CHAIRMAN NDUKA OBAIGBENA GROUP EXECUTIVE DIRECTORS ENIOlA BEllO, KAYODE KOMOlAfE, ISRAEl IWEGBU, EMMANUEl EfENI, IJEOMA NWOGWUGWU GROUP FINANCE DIRECTOR OlUfEMI ABOROWA DIVISIONAL DIRECTORS PETER IWEGBU, fIDElIS ElEMA, MBAYIlAN ANDOAKA, ANTHONY OGEDENGBE DEPUTY DIVISIONAL DIRECTOR OJOGUN VICTOR DANBOYI SNR. ASSOCIATE DIRECTOR ERIC OJEH ASSOCIATE DIRECTORS HENRY NWACHOKOR, SAHEED ADEYEMO CONTROLLERS ABIMBOlA TAIWO, UCHENNA DIBIAGWU, NDUKA MOSERI GENERAL MANAGER PATRICK EIMIUHI GROUP HEAD fEMI TOlUfASHE ART DIRECTOR OCHI OGBUAKU II DIRECTOR, PRINTING PRODUCTION CHUKS ONWUDINJO TO SEND EMAIL: first name.surname@thisdaylive.com

TO OUR READERS Letters in response to specific publications in THISDAY should be brief (150-200 words) and straight to the point. Interested readers may send such letters along with their contact details to opinion@thisdaylive.com. We also welcome comments and opinions on topical local, national and international issues provided they are well-written and should also not be longer than (9501000 words). They should be sent to opinion@thisdaylive.com along with the email address and phone numbers of the writer.

LABOUR, IT IS TIME TO THINK

n social and political mobilisation, the mood or body language of the people is very critical to assess, and understand whether the people are prepared for a fight or not before drawing conclusion on the next line of action. It will be suicidal for any mass group to wage any kind of war without the large percentage of the masses solidly behind that struggle. That is tantamount to colossal failure on arrival, and that has happened in this recent protest called by the labour union, it failed. No doubt, when the recent pump hike was announced by the federal government, Nigerians groaned in anger, disappointment but, obviously not ready for a fight (strike, protest).

If the labour unions had a listening ear, a social scientific meter to gauge the people, perhaps they ought to have understood that Nigerians have lost faith in the labour union. It was because the labour union and its civil society groups failed to do its homework very well, they did not do a thorough analysis of the situation on ground to understand the mood of the people. No wide consultation and sensitisation were embarked upon before declaring a strike that the people are supposed to be fully part of. It is the peoples’ fight hence; the people

owever, it is unfortunate that the efforts of this agency to improve the capacity to tackle these three killer diseases which put a substantial strain on health services in our country are being thwarted by some elements with itchy fingers.

According to the report, the auditors found, among other things, discrepancies of over US$4 million between drugs ordered and delivered; US$20 million paid to suppliers without confirmation of delivery; stock-outs of eight months for critical medicines; and a total of US$7.65 million in unsupported expenditures. There were significant problems in the procurement, supply chain, financial and programme management.

The report also pointed out gaping weaknesses in the internal controls around data collection and reporting processes. “This resulted in more than 10% of errors between the data recorded at the facility level and data reported to the state coordinator and the Global Fund.

The issues identified were mainly for the HIV and malaria programmes. Good practice, however, was observed on data recorded for the tuberculosis programmes,” it said.

The report is clear, detailed and explicit, thus making the work of investigators much simpler. And given the global nature of this scandal, it is one we cannot afford to sweep under the carpet. It is another badge of shame and those who inflicted it on the nation must be fished out and made to bear the full weight of the law. That is the only way to assure the international community that it is indeed no longer business as usual in Nigeria.

must be encouraged, allowed to take charge.

The division in the Nigerian Labour Congress was enough for them to have realised that there could be a problem in agreeing for a common position. A house that is not together, cannot work together. It was necessary for Labour to have re-organised, sorted out their differences and be united in one body before any mass action could be called. The last delegates’ convention that held an election in the Nigerian Labour Congress produced two factional executives that had till date worked independently of its own.

Again, state and local government workers are owed salaries for months by their various governors, and we see these governors travelling outside the country for jamboree. Why has labour not challenged these state executives? The labour unions were here when former governors Bola Tinubu of Lagos, Godswill Akpabio of Akwa Ibom, Bukola Saraki of Kwara and others signed into law large sums of money for their allowance and that of their deputies while the state bleeds. It is all these expenses that deplete the state accounts and make it difficult for the states to pay workers’ salaries and pensions.

Uzodinma Nwaogbe, Ikeja, Lagos

FIXING NIGERIA’S BROKEN ECONOMY

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he Minister of Information and Culture, Alhaji Lai Mohammed, last Wednesday, after the Federal Executive Council meeting said, “the country is broke.” He emphasised that it was not a matter of subsidy removal, but the country’s true financial status. Hence government had to make the painful adjustment by increasing the price of fuel to meet its financial obligation. His assertion did not come to us as surprise, given the suffering Nigerians have been facing since the time this government came on board. Nigerians have expected the new government to keep the ball rolling and change the country over-night. This is not possible if one looks at the rotten system the new administration inherited.

Prior to the 2015 general elections, many economists and political observers predicted a gloomy picture for the country’s economy. This was not unconnected with poor management of the resources occasioned by high level of corruption which characterised the Jonathan administration.

The erstwhile governor of Central Bank of Nigeria, Sunusi Lamido Sunusi, in his letter to Jonathan on the missing of $20 billion, warned of the looming danger that might likely befall the country if the brazen looting of public funds was not halted.

He cautioned that corruption at the Nigerian National Petroleum Corporation was alarming and would make the country difficult to have control over inflation, exchange rate and unemployment.

Frankly speaking, these are the problems Nigeria is grappling with now. The massive looting of public funds and the refusal of the former administration to invest in critical infrastructure are still hurting the country. Nigerians are being daily deluged with the news of widespread scandals perpetrated by officials of the former regime. The EFCC has been arresting suspected government officials who feed fat from the public purse. Dasukigate, the NNPC saga, and looted funds for electioneering campaigns have remained the topic of discussion among Nigerians.

No wonder since the inception of this administration, many states have been struggling to pay salaries. As of today, many states owed salaries to workers for several months due to dwindling revenues.

With the statement credited to Lai Mohammed on the country’s economy, the three tiers of government must come up with quick alternative sources of revenue generation. The over dependence on oil must stop forthwith.

Ibrahim Mustapha Pambegua, Federal Ministry of Women Affairs and Social Development, Abuja

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T H I S D AY • TUESDAY, MAY 24, 2016

POLITICS

Group Politics Editor Olawale Olaleye Email wale.olaleye@thisdaylive.com 08116759819 SMS ONLY

EXECUTIVE BRIEFING

Job Creation Tops Imansuangbon’s Agenda One of the leading governorship aspirants on the platform of the All Progressives Congress, Mr. Kenneth Imansuangbon, ahead of the September 2016 election in Edo State last week picked the gubernatorial form, promising to make job creation the primary agenda of his administration if elected. Shola Oyeyipo writes

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igh wired game of politics is already on in Edo State. It is just about four months to the governorship election coming in September and aspirants are already making all the necessary underground moves to ensure that they ultimately get their parties’ tickets.

Though quite a number of people have signified interests in succeeding Governor Adams Oshiomhole , on the list is Kenneth Imansuagnon has particularly harped on his desire to govern the state on the platform of the All Progressives Congress (APC).

According to him, if the people would elect him as governor, he would prioritise the welfare of the people by ensuring that unemployed youths are productively engaged.

As the election date draws nearer, the lawyer, educationist, and philanthropist-turned politician has become the first aspirant to pick the Edo State governorship nomination form of the APC. At that event he reiterated that his desire is to rigorously pursue how to create jobs for the teeming unemployed youths.

Imansuagbon, who goes with the alias ‘Rice Man’ and currently, ‘i-pad man,’ for his seasonal distribution of rice and i-pad to the less privileged and indigent students, said he would restore the lost glory of the state if elected into office.

After obtaining his form at the APC National Secretariat in Abuja last Wednesday, he declared: “If I emerge victorious at the governorship election, youths in the state will be the better for it because most of them will be taken out of the streets to engage in more rewarding endeavour. ‘’I’m running because I believe that the

Imansuagbon…promising to create jobs

In the first six months of my administration, I will create at least 30, 000 jobs through the Edo Farms. Each farm will have some industries attached to it. This will be done in less than 30 days of my assumption of office. I have started discussing with corporate America and corporate Europe on the need to come and invest in our agriculture. My friends in the corporate world are interested in coming to assist me.

The passion must be there to succeed

Edo people need an experienced person to create jobs. Boys and girls must be taken off the streets and to do this you need an experienced hand from the private sector. ‘’What makes America great is not the guns or nuclear weapons they have but the ability to feed every American. I will be the number one chief farmer in Edo State. I will create farm industries. I will make everyone a farmer. ‘’I am known as the rice man but this year we will create rice farms, rice plantations close to the sea, which is my local government. We will make juice of all kinds, tomato paste, and of course, bread. Everybody will be busy meaning that crime will reduce.”

According to him, to address all other problems confronting the state it is best to address the problem of unemployment, which he attribute to insecurity.

He said he has the blueprint to effectively address the problem.

Highlighting some of his road maps to addressing the issue, he said: “The major problem of Edo State is the issue of unemployment.

That is why there is crisis and insecurity everywhere.

This is caused by lack of jobs. A responsible governor must make job creation a priority.

I already have a masterplan of how to create jobs. Fifty percent of my masterplan is hinged on how to improve on agriculture.

“Immediately I am sworn in, I will present a bill to the House of Assembly on ways of improving our agricultural yield. If you

are a young boy or girl of Edo extraction, you must go to the farm instead of loitering around the streets to cause mischief. I will create what will be called Edo Farms in each of the three senatorial districts of the state.

“In the first six months of my administration, I will create at least 30, 000 jobs through the Edo Farms. Each farm will have some industries attached to it. This will be done in less than 30 days of my assumption of office. I have started discussing with corporate America and corporate Europe on the need to come and invest in our agriculture. My friends in the corporate world are interested in coming to assist me. The passion must be there to succeed.”

Good proposal, but good as it is, since collecting the form is not the only prerequisite to becoming the party’s candidate - there is the huddle of the party primary, which is the yardstick for playing the level of politics he aspires to; but Imansuagbon said he is certain to get his party’s governorship ticket despite the rumoured endorsement of one the aspirants, Mr. Godwin Obaseki, by Governor Oshiomhole.

“Obaseki is not an issue. It’s you guys (the media) that are making him an issue. He is not an issue. What makes him an issue? He was an aide of the governor? If the governor muscles his way in the party primaries, can he do the same during the general elections?

The Buhari government knows that Edo State is vital in the present political dispensation.

Winning the election in the state this September will play a big factor in the party’s winning of the 2019 presidential election. So, everything will be done to ensure that the APC primary is free, fair and credible.

“Nobody has endorsed anything. There is nothing like endorsement. That is a wrong rumour coming wrong quarters. It is the Edo people that will endorse a candidate in a free primary that is going to be held by the grace of God in June. It is the Edo APC delegates that will endorse their choice as the party’s flagbearer.

“So, nobody will force a choice on the people.

It will be the people who will endorse whom they want. Power belongs to God and the people, not one individual. Edo State of today is not Edo State of yesterday. Nigeria of today is not the Nigeria of yesterday.

President Muhammadu Buhari has set the ball rolling. He said it is your Permanent Voters Card (PVC) that would henceforth determine who wins election. It means that there will be a free and fair primary and a free and fair general election. So, where does the endorsement come from?

“I can tell you that categorically. I am not bothered by the reckless statement of anybody that there is an endorsed candidate. What endorsement? It is even insulting to the will of the people. It is an affront; a confrontation for one man to sit somewhere and say he has endorsed someone. What triggers trouble are little things like these,” he said.

17

T H I S D AY • TUESDAY, MAY 24, 2016

POLITICS&ISSUES

South West PDP: Centre Still Not Holding Despite several meetings and deliberations, the Peoples Democratic Party (PDP) in the South West is still divided against itself, writes James Sowole

Fayose...plunging the party into avoidable crisis?

W

hen the communiqué of the Peoples Democratic Party (PDP) Stakeholders’ Meeting held in Akure, Ondo State capital on May 4, 2016 was read and reported particularly on the aspect that the zone had settled for the position of the National Secretary among others, many people thought that things were beginning to take shape in the party in the zone.

Prior to that meeting, there had been reports that some leaders of the party had insisted that the zone would not accept anything less that the position of the National Chairman.

However, the caliber of the leaders and personalities that attended the Akure meeting and its outcome not minding a parallel one that was held at Ijebu-Igbo, Ondo State on the same day, raised the hope that the dust was beginning to settle. It was the believe of many that since there were no immediate objections to the resolution of the Akure meeting even from those that attended Ijebu-Igbo meeting, the differences of the aggrieved members and leaders had been resolved.

Rather than thaw, events that preceded and followed another major assignment of the party in the South-west zone further expanded the hitherto frosty relationship among leaders and officers of the party on Thursday, May 12 when a Federal High Court, Lagos ordered that the proposed congress of the zone scheduled for Saturday, May 14, should not be held.

Justice Ibrahim Buba had ruled on an ex- parte application brought before him on Thursday by the incumbent PDP South-west Zonal Secretary, Chief ‘Pegba Otemolu, and restrained the party from going ahead with the scheduled congress.

The judge said the order would subsist until the final determination of Otemolu’s main suit.

However, the Ondo State Governor, Dr. Olusegun Mimiko, who is the Chairman of the PDP Governors Forum and his counterpart in Ekiti State, Mr Ayodele Fayose led some members of the party from the zone to hold the congress in Akure. The two governors and other leaders were said to have been emboldened by the statement of the Chairman of the party, Alli Modu Sheriff, who said he had not received the court order.

As scheduled, the event was held at the new Ondo State International Event Centre, known as dome and was attended by delegates from the six states that constitute the zone of the party.

The zonal congress supervised by the former Governor of Rivers State, Dr. Celestine Omehia as the chairman of the electoral committee, elected

Mimiko...centre cannot hold in southwest

the former Commissioner for Information in Ondo State, Hon. Eddy Oloroogun Olafeso as the new zonal chairman of the party.

Others are; Rev. Bunmi Jenyo (Osun) as Secretary; Hon Wasiu Bankere (Ogun) as Organising Secretary; Hon. Femi Adetola (Oyo) as Youths Leader; Mrs. Ajigbeda Oshunleke (Ogun) as Women Leader; Hon Abiola Makinde (Ondo) as Publicity Secretary; Chief Aifoji (Lagos) as Financial Secretary; Hon. Aminu Gbenga Ogundele (Oyo) as Auditor and the Legal Adviser, Mr. Sunday Ojo-Williams (Osun).

The position for Treasurer was keenly contested

by Mr. Adeola Ogunrinde, the candidate said to be from Fayose’s camp and Mr. Kolawole Ropo, who nominated himself dramatically to cause a twist, also from Ekiti State but the former defeated the latter with 69 votes to 12.

While swearing-in the new zonal officials of

It is on this note that I wish to implore all our respectable governors, leaders, elders and other stakeholders, to stand up for the truth and caution governors Fayose and Mimiko.

They should desist from plunging the party into avoidable crisis.

All we are saying is that there is no justification for the election of new officers into executive positions in the zone when the tenure of the current officers has not expired

the party who were elected by consensus and zoning to their respective states, the chairman of the congress committee, Omehia urged the new leaders to work for the progress of the party in their different capacities, saying “Anyone in the region that is not here, legally shows that he/she doesn’t love the South West and does not love the party”.

Prior to the election, Mimiko said the future of the country is in the hands of the PDP and that the party would determine its future.

“The PDP has a bright future in this country, but our actions and inactions will determine the future of our party in Nigeria. We must therefore stand for integrity as a party with history of integrity and progressivism”.

“The truth which we stand for will vindicate us in PDP in the South-west region. Governor Ayo Fayose and I are working for the progress of the party in the South-west and we shall continue to do that”, Mimiko said.

Similarly, Fayose stressed the need for unity, discipline and personal sacrifice for collective progress among members of the party in the South-west, urging all members to work towards the victory of the party in the 2019 Presidential election.

Fayose, who boasted that he is the only governor that has defeated incumbent governors twice in the nation, refuted insinuations that he was working against the interest the elderly people in the party, saying that “I love our elderly people.

“But the elders should play the roles of advisers and allow the young generation to take over.

This is in line with my stance against Buhari, who is too old to rule Nigeria. There is no future for any country that doesn’t prioritise its youths and women in governance.

He asserted, like Chief Olabode George, who sent a goodwill message, that any other zonal congress aside the one held in Akure was illegal, adding that members of the party who fail to recognise the Akure congress are enemies and elements of retrogression in the zone and party at large.

Fayose described himself as a political prophet that has a record of all his prophecies coming to pass, recounting the deregulation and oil subsidy removal he predicted on Monday.

He said the next on line is the removal of Kogi State Governor, Yahaya Bello.

As expected, the congress generated reactions from stakeholders in the zone as elected officers of the PDP from the South-west said it is wrong for the two governors, Mimiko and Fayose, to preside over the election of new officers into the party in the zone when they

are still in office.

The vice-chairman of the party in the zone, Chief Makanjuola Ogundipe, said in a statement that the two governors should know that the court order must be obeyed. While he described the congress as illegal, he maintained that its outcome should not be respected by the national leadership of the party.

He commended the national headquarters of the party and the Independent National Electoral Commission (INEC) for obeying the court order by staying away from the congress.

“The decision of the national leadership of our great party and INEC to obey the court order is commendable. However, they must go beyond mere rhetoric and stand firm.

Going forward, they have a duty to issue reports invalidating the exercise even before the court nullifies the contraption called the zonal congress. They should show to all and sundry that the age of impunity and political cum executive recklessness is gone for good.

And that no one, no matter how powerful, is bigger than the law.

“It is on this note that I wish to implore all our respectable governors, leaders, elders and other stakeholders, to stand up for the truth and caution governors Fayose and Mimiko.

They should desist from plunging the party into avoidable crisis. All we are saying is that there is no justification for the election of new officers into executive positions in the zone when the tenure of the current officers has not expired”, he stated.

However, the PDP chairman of Ogun State, Hon. Olawale Ogundele asserted that the Akure congress attended by the only two PDP governors in the zone is the authentic one, saying “whosoever that has anything against the credibility of this congress, such person should be referred to the psychiatrist hospital.

“We have credible, upright, responsible and responsive governors as leaders in the zone.

I see nobody of any queried personality to challenge the credibility of the congress,” he said. Ogundele condemned the factional stakeholders meeting held earlier held in his state, faulting the credibility of people behind the divisions in the zone and who he described as people with questionable characters.

He noted that the purported court injunction to stop the PDP congress was obtained through the backdoor and against the guidelines and constitution of the party which moderate their conducts as democrat. He said the injunction was taken at the expense of the internal conflict resolution mechanisms of the major opposition party in the country.

18

TUESDAY MAY 24, 2016 T H I S D AY

T H I S D AY TUESDAY MAY 24, 2016

19

20

TUESDAY, MAY 24, 2016 • T H I S D AY

FEATURES

Acting Features Editor Charles Ajunwa Email charles.ajunwa@thisdaylive.com

Abakaliki Residents Demand Improved Electricity Electricity users in Abakaliki, the capital of Ebonyi State now have the unique customers’ clout with which they demand for improved electricity services from their vendor - Enugu Disco. Chineme Okafor writes

A cross section of participants at the Abakaliki Forum office opening ceremony

A

necdotal studies have shown that a good number of Nigeria’s vast electricity consumers captured in the 11 electricity distribution zones which are serviced by 11 distribution companies (Discos) are absolutely unacquainted with the service privileges owed them by their respective vendor Discos.

Also, for those that may be aware and would want to fairly push through these rights, their abilities have overtime been restricted by the deficiency of an impartial conciliatory platform which could interfere and bring sanity to the service relationships between consumers and Discos.

Until recently when the Nigerian Electricity Regulatory Commission (NERC) opened a consumers’ complaint forum office in Abakaliki, the capital city of Ebonyi State, Mr. Wilson Enwerejiaku has had to live with the difficulties of putting up with the unfair service contract he has with the Enugu Disco which supplies power to his home.

Situated on a building which is on Ezekuna Crescent along the busy Nsugbe Street in the heart of Abakaliki, the multifaceted forum office was set up by NERC to enhance the confidence of electricity consumers like Enwerejiaku in demanding for fair handling of their service complaints by Enugu Disco.

Similar platforms, THISDAY understands

have been set up in other parts of the country.

Nevertheless, Enwerejiaku, a resident of Abakaliki turned up at the inauguration of that of the city, furnished with a folder

In so many occasions, they billed me so high and at a point, it was above my monthly house rent. When I was living at Afikpo Road, I paid above my house rent in a month and when I complained they said it was what I consumed

which contained all acknowledged copies of the electricity bills he had paid to Enugu Disco over the years, as well as other related documents. His intention, he stated was to demand for integrity of service delivery.

He also told THISDAY that he came to put an end to the unfair treatment he was getting from Enugu Disco which he accused of being unfair to him and failing to uphold its own end of the service contract he entered with it.

“The issue is that for a very long time especially in this part of Abakaliki, we discovered that every end of the month, the NEPA staff or EEDC bring electricity bills where they didn’t supply electricity,” said Enwerejiaku.

He added that the electricity vendor had some times in the past calculated his monthly electricity consumption such that it was above his monthly house rent of N9000, saying that such anomaly had persisted with perpetual rebuff of consumers’ complaints by officials of Enugu Disco.

According to him, “In so many occasions, they billed me so high and at a point, it was above my monthly house rent. When I was living at Afikpo Road, I paid above my house rent in a month and when I complained they said it was what I consumed.

“They know the way they do their mathematics but then I arrived at nothing when I complained. I had to pay because I needed

the light. I paid over N9000 and my house rent was N9000 as well as.” Just like other consumers who were at the inauguration with various shades of complaints against the Disco’s poor consumer service delivery, Enwerejiaku said the practice had continued even though he has changed apartments.

“Currently where I live now, I didn’t see a glimpse of light in February but they still gave me a bill of N3500. But I refused to pay because I can’t pay for what I did not consume,” he added.

He relayed the uncanny experience he often encountered in the hands of the Disco officials, one that is quite relative across electricity consumers in Nigeria, saying: “Initially, when we get to the EEDC office to complain, the staff will snub you and will not even look at your face.”

He added: “We get frustrated with this and when they come to disconnect your supplies, you still go back to beg them to reconnect you.” To him, the setting up a consumers’ forum office in Abakaliki could be a huge reprieve from the Disco’s alleged unhealthy acts.

“With the presence of this NERC forum, I have read through the guidelines and discovered that we have a better mechanism to lay our complaints now. We have a place to run to now when we have these kinds Continued on next page

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• T H I S D AY TUESDAY, MAY 24, 2016

PERSPECTIVE

Fashola, Go Easy on Lagos-Ibadan Expressway Wasilat Famojure

T

he Honourable Minister of Power, Works and Housing, Babatunde Raji Fashola, SAN, is one of the shining lights of President Muhammadu Buhari’s cabinet.

A ‘super minister’, the former Lagos governor has been given three major ministries, each of undeniable significance to Nigerian lives. And to whom much is given, much is expected, as the saying goes. He has much to prove, and so he walks the talk, to show that he is a man with a plan. But in so doing, he cannot be seen to be riding roughshod over the intricacies that attend those areas over which he superintends. He must act with a deep sense of responsibility and due regard for the law and the principles of natural justice.

This note of caution does not come a moment too soon. Fashola has been firing from all cylinders over the Lagos-Ibadan Expressway, often sending mixed signals. Hardly anyone can contradict what he said in a speech in December 2015, that, “Good roads will help reflate and grow our economy, reduce travel time, cost of transportation of goods and services, and restore jobs that have been lost to transport dependent services. They will improve safety of lives and property and our security index.”

The Minister followed up with his speech of January 22, 2016, at the Nigerian Pension Industry Strategy Implementation Roadmap Retreat, in which he signaled the willingness to use Pension funds for the provision of infrastructure. The speech sparked an ideological debate among Nigerian intellectuals including Kayode Komolafe, Chidi Amuta and Femi Falana; and caused a concerned Olusegun Adeniyi to ask: “Can we really take a risk with the Pension Fund to drive development, as suggested by Fashola, even with all its implications?”

The Pension speech was illuminating in showing the moral and legal quagmire successive Nigerian governments have got themselves into over the Lagos-Ibadan Expressway, arguably the most important road artery in this country. Government has tied itself up in knots with the many controversial executive U-turns over the road, and Fashola as Works Minister in the current administration, allowed his befuddlement to show in his speech.

Hear him: “The Lagos-Ibadan Expressway is a story of what investors don’t like.” He can say that again. In his summary of how an otherwise historic Concession Agreement went awry between the FG and Dr. Wale Babalakin’s Bi-Courtney Highway Services Limited, tagged “Company A” in the Pension speech, Fashola conceded that it was no way to treat an investor. Noting that “local investors are the most important in any economy,” he

Minister of Power, Works and Housing, Babatunde Fashola

observed that the unceremonious cancellation of Bi-Courtney’s concession was “a not welcoming message” to foreign investors, if patriots like Babalakin could be treated with such disdain.

However, in expressing these concerns, Mr. Fashola did not seem to be entirely clear as to the trajectory – not to mention the causative factors – of the convoluted matters relating to the road through which he must now forge a path for the benefit of Nigerians. He suggested that Bi-Courtney’s first recourse should have been arbitration and not the courts; and went further to imply that a suit brought by the thwarted concessionaire caused the cessation of works on the road.

In a letter dated 25th January, 2016, Babalakin drew Fashola’s attention to the erroneous detail in his keynote speech. For in a letter from exactly three years before, dated 25th January 2013, Bi-Courtney had written to Fashola’s predecessor at the Ministry of Works, Arc. Mike Onolememen, asking Federal Government to set up a Dispute Resolution Board as provided for under the

concession agreement. Government should work in continuity, and Fashola ought not to have been ignorant of the fact that the ministry under Onolememen blatantly ignored Bi-Courtney’s overture. The company was therefore left with no choice but to seek the intervention of the courts.

As stated in Babalakin’s letter to Fashola, “The court that set aside the so called Finance Agreement acted in the only manner available to it. Courts cannot continue to condone acts of government that are demonstrably irresponsible if we have to sustain our democracy and develop our economy.”

The letter also debunked the suggestion of a nexus between Bi-Courtney’s court action and the stoppage of work by contractors put in the frame in a questionable manner by the former administration of President Goodluck Jonathan. “How could an order obtained on 14th December, 2015, be responsible for work that had stopped about seven months earlier?” asked Babalakin.

Since the Pension speech, we have had a lot of motion without movement, an all too

familiar scenario for road users who ply the Lagos-Ibadan Expressway. The minister has made statements about what he plans to do with the road, while exhibiting a worrying disregard for a concessionaire who has stood by the rule of law, in the hope that justice and reason will prevail. No longer mindful of his earlier declared approach of “not going into the merits and demerits of the FGN’s cancellation of (Bi-Courtney’s) concession”, Fashola now says he will “fix” the road. The clouds over the Budget have dissipated finally, and government money will now be pumped into the construction.

Fashola would rather expend taxpayers’ money, in a depressed economy, on the Lagos-Ibadan Expressway when he can go back to basics, and revisit the aberration of a wrongfully cancelled arrangement concerning which the concessionaire cries for justice after losing $300m. “Why should the developmental process of Nigeria and the lives of Nigerians be held in abeyance because you are in court?” Fashola now asks.

It is truly disheartening to hear this from a Senior Advocate of Nigeria. Is it the man who goes to court that has stalled Nigeria’s development, or the government that impedes societal progress in a flagrant disregard for the law? Is this the Change we are selling?

Meanwhile, Nigeria has lost its place as the erstwhile Third Fastest Growing Economy in Africa, and does not even figure among the Top 15 – according to the IMF’s World Economic Outlook for 2016. The World Bank’s Doing Business Report 2016 also ranks Nigeria as one of the worst countries in the world to do business. Instead of mitigating these dire reports by working to reengineer a business friendly environment, government seems bent on giving one of the country’s most courageous investors a drubbing. But at what cost? Why are we so blest?

One is minded to agree with Babalakin when he writes that, “The investment climate of Nigeria has been bedeviled by the shortsighted actions of public officers, especially when dealing with the rights of investors. So many investors have been totally ruined by the utterances and actions of public officers which are detrimental to the development of investor confidence and consequently have an adverse effect on the growth of the Nigerian economy.”

Mr. Fashola needs to set aside political considerations, perchance there be any, and act purely in the interest of Nigeria; and sit down with the erstwhile concessionaire to forge a path through the debacle that is the Lagos-Ibadan Expressway. Fashola’s legacy as Buhari’s ‘super minister’ depends on it, and future generations will thank him if he chooses the right path.

Dr. Famojure, runs a landscaping business in Lagos State

ABAKALIKI RESIDENTS DEMAND IMPROVED ELECTRICITY of experience. “But above all, I want them to push the EEDC to bring the prepaid meter so that I can pay for whatever I consume and not the other way. I want to be responsible for my consumption, I want to know that if I don’t have light, it is because I have no units in my meter,” he said.

The acting head of NERC, Dr Anthony Akah however said when he opened the forum office, that it will handle all appeals on complaints lodged by customer like Enwerejiaku at the various customer care units of the Enugu Disco but which have received unacceptable treatments.

Akah explained that instances of untidy handling of service complaints lodged by electricity consumers by Enugu Disco would now be checked by the forum office which has its members from representatives of all the customer classes, industrial, commercial and residential, as well as professional bodies such as the Nigerian Society of Engineers (NSE); Consumer Protection Council (CPC); Manufacturers Association of Nigeria (MAN) and indeed the Enugu Disco.

Fortunately, he added, the forum offices are localised across the 11 distribution networks in the country both in terms of constituent members and location.

Akah said it was the job of Enugu Disco to serve its customers satisfactorily and that occasions of poor service delivery with no reasonable explanations would be taken up by the commission through the forum office.

He added that the Disco also stands the risk of having its service profile downgraded based on the frequency of complaints against its service deliveries by its customers.

According to him, the more frequent customers complain against a Disco, the more profound the Disco’s operational inadequacies are made, hence the tag of inefficiency on the Disco.

Akah also took the Enugu Electricity Distribution Company (EEDC) to task over rising complaints of estimated billing by it. He noted that the Disco’s metering gap was huge and unacceptable.

NERC, Akah said was closely monitoring EEDC to ensure that they cut down their metering gap and estimated bills to its

consumers. He said about 50 per cent of that gap should be cut down within the shortest possible time.

Akah also said that available statistics with the NERC indicate that EEDC which has a customer base of 732,423, still has up to 70 per cent or 512 335 of them unmetered.

He said the development was unacceptable for quality service delivery.

Similarly, he decried the fact that EEDC has not commenced its meter roll out plan as contained in the performance agreement it signed with the federal government when they took over the electricity distribution company in 2013.

According to him, the EEDC which signed in its performance agreement with the government to install an average of 100,000 meters within its network on an annual basis over the next five years, has failed to live up to this.

That agreement, Akah noted has since been reviewed to ensure that the present metering gap of 512,335 would be closed within the next three years.

“It is sad that Enugu Disco has not com-

menced the implementation of its meter roll-out in accordance with the performance agreement signed with the government under the privatisation programme.

“The Commission has instituted measures to accelerate metering through very close monitoring of distribution companies meter roll-out plan. The present metering gap in Enugu Disco alone is about 512,335 when compared to its total customer size of 732,423. It is expected that the present metering gap would be closed within the next three years,” said Akah who also called on Abakaliki consumers to help the Disco protect its distribution infrastructure.

“In as much as we want consumers to take up their rights with Enugu Disco, we also urge you to live out your obligations to this Disco.

“You can do this by shunning acts of violence, vandalism of electrical infrastructure and stealing of electricity. I will also advise you to pay your appropriate bills and channel all such electricity complaints that were not satisfactorily treated at the Disco level to this forum office for resolution,” said Akah.

22

IMAGES

T H I S D AY • TUESDAY, MAY 24, 2016

Photo Editor Abiodun Ajala Email abiodun.ajala@thisdaylive.com

R-L: Newly elected FCT Area council chairmen ó Hon. Abdulrahman Ajiya (Abaji); Hon. Abdullahi Adamu Candido (AMAC); Hon. Musa Diko (Bwari); Hon. Abdullahi Galadima (Kuje); Hon. Adamu Mustapha (Gwagwalada) and Hon. Joseph Sazin (Kwali) ó during their swearing-in in Abuja...recently

L-R: Pastor Erim Etta, Hon. Lawrence Takor and the General Manager, British American Tobacco Nigerian Foundation (BATNF), Abimbola Okoya, during the commissioning of a solar-powered borehole at Akparabong community in Ikom Local Government Area of Cross River State by BATN Foundation...recently

L-R: Rivers State Commissioner for Environment, Prof. Roseline Konya; wife of the state governor, Justice Suzzette Nyesom-Wike; and widow of late environmental activist, Ken-Saro-Wiwa, Mrs Ken Saro-Wiwa, during the presentation of a Paragon of Light award to the governor’s wife by Catholic women in

L-R: Head, Portfolio Management, Debt Management Office (DMO, Mr. Dele Afolabi; Head, Policy, Strategy & Risk Management, DMO, Joe Ugoala; Vice-Chairperson, Capital Market Correspondents Association of Nigeria (CAMCAN), Chinyere Joel-Nwokeoma; Director General, DMO, Dr. Abraham Nwankwo; Chairman, CAMCAN, Goddy Egene; Head, Organisational Resourcing, DMO, Hannatu Suleiman; and Head, Market Development, DMO, Monday Usiade, at a one-day workshop organised for CAMCAN by DMO in Lagos...rece

L-R: Director, Admin and Human Resources, Lagos State Ministry of Education, Mr. Boye Lawal; Special Adviser to the Governor on Education, Mr. Obafela Bank-Olemoh; Country Manager, Google Nigeria, Mrs. Juliet Ehimuan-Chiazor; and the Communications and Public Affairs Manager, Google West Africa, Mr. Taiwo Kola-Ogunlade, during a meeting between the state government and google management on collaboration of 500 internet technology giant, at Alausa, Ikeja...recently

L-R: Group Chief Operating Officer, ipNX Nigeria Ltd, Kayode Jegede; General Manager, Lagos State Infrastructure Maintenance and Regulatory Agency (LASIMRA), Babajide Odekunle; Agency Secretary, LASIMRA, Yemisi Oyeneye; and Managing Director, Network Services Division, ipNX, Ifeanyi Amah, during a courtesy visit by LASIMRA to ipNX headquarters in Lagos...recently

ormer Vice-President Atiku Abubakar (left) receiving a plaque from President of Ahmadu Bello University (ABU) Alumni Association, Dr Ahmed Tijjani Mora, during a visit by the ABU alumni executive to the former vice-president in Abuja...recently

President, South-East South-South Professionals, Mr Emeka Ugwu-Oju (middle) cutting his birthday cake with some survivors of the recent Fulani herdsmen’s attack during the humanitarian visit to the community at Nimbo, Uzo-Uwani LGA, Enugu State...recently

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Quick Takes Shell Endows Chair in Auto Engineering

The Federal University of Petroleum Resources (FUPRE), Effurun, Delta State will host the latest Professorial Chair that has been established by The Shell Petroleum Development Company of Nigeria (SPDC) operated Joint Venture in support of learning and research in Nigerian universities.

The Shell Professorial Chair at FUPRE is for Lightweight Automobile Engine Development, and will be staffed by a Professor who will sit in the Department of Mechanical Engineering, leading studies and research into the field for an initial period of four years.

“The establishment of the Chair is an important development for the Nigerian automobile industry,” said SPDC’s General Manager, External Relations, Igo Weli.

“We will have the opportunity of a consistent and focused research on an industry, the outcome of which will be good news for the mobility needs of millions of Nigerians.”

The Vice Chancellor of the university, Prof. Akii Ibhadode said: “We are looking for a Professor who should have been in that position for not less than 10 years, experienced in teaching, research and consulting in mechanical and automobile engineering as well as internal combustion engines. The occupant of the Chair starts work in September 2016. This is a unique Professorial Chair and we are grateful to Shell and its Joint Venture partners for the confidence reposed in us.”

BOOSTING SAVINGS CULTURE

L-R: Divisional Head, Managed SMEs, Fidelity Bank Plc, Ken Opara; Regional Bank Head, Apapa and Chairman, Fidelity Save4 Shelter Savings Promo Committee, Obaro Odeghe; Acting Managing Director/Chief Executive Officer, Fidelity Bank Plc, Mohammed Balarabe; Executive Director, Shared Services & Products, Fidelity Bank Plc, Mrs. Chijioke Ugochukwu at the 6th and final draw of the Fidelity Save4 Shelter Savings Promo in Lagos…recently

Rig Accident: ExxonMobil to Claim Damages against Contractor Ejiofor Alike Mobil Producing Nigeria Unlimited, a subsidiary of the ExxonMobil Corporation is set to seek financial damages against a drilling contractor for Conoil Producing Limited, which allegedly damaged ExxonMobil’s pipeline, thus halting significant production of the company’s Qua Iboe grade of crude oil, THISDAY has learnt.

A drilling rig, which was contracted to drill for Conoil on the Anim Field, located in the Oil Prospecting Lease (OPL) 290, allegedly collapsed on an ExxonMobil pipeline, after developing mechanical

ENERGY faults, causing damage, which resulted in both oil spill and production curtailment.

THISDAY gathered that the jack up rig, christened ‘Monarch’, was operated by Nigerian service company, Depthwize, which was working for Conoil.

The rig damaged the pipeline, which pumps hydrocarbon fluids from Oso condensate and Usari oil fields to the ExxonMobil’s Qua Iboe Export Terminal.

Though ExxonMobil did not shutdown the export terminal, the damage impacted heavily on the pipeline to disrupt

significant production of Qua Iboe grade.

A source at ExxonMobil, who craved anonymity, told THISDAY during the weekend that the company was set to seek huge financial claims against the drilling contractor for the company’s loss of production, as well as the oil spill caused by the accident.

“It was safety issue. The company failed to abide by best practices in the area of HSE (health, safety and environment) and that resulted to the avoidable accident. So, they will pay for the loss of production and will be responsible for the clean-up and remedia-

tion of the impacted sites. A joint investigation visit was scheduled over the weekend to access the extent of damage to the environment at the spill sites,” he explained.

Mobil Producing Nigeria (MPN) had earlier confirmed that “on Sunday, May 8, 2016, the Monarch drilling rig, owned by Depthwize Nigeria Limited and drilling on behalf of Conoil Producing Limited, damaged MPN pipelines when the rig intentionally grounded itself in the JV operating area after experiencing mechanical difficulties.”

The rig accident forced the Continued on page 24

IPMAN: We Are Ready for Competition Chineme Okafor in Abuja Independent Petroleum Marketers, under the umbrella of Independent Petroleum Marketers Association of Nigeria (IPMAN) have said they are ready to compete in a liberalised downstream petroleum market in Nigeria following the recent introduction of new pump price of petrol.

IPMAN said recently in Abuja that a liberalised downstream oil and gas industry would engender competition and likely force down products prices, adding that it is willing to fully engage in the sector.

The factional President of IPMAN, Mr. Obasi Lawson made this observation in an

ENERGY interview with journalists. He urged Nigerians to ignore calls for industrial action against the policy.

Lawson however admitted that people will initially feel the pain from the policy implementation, but assured that its benefits would begin to accrue to Nigerians within a month.

“The new policy of the federal government that effected the change in price of PMS is a welcome development. We members of the Independent Petroleum Marketers Association of Nigeria (IPMAN) welcome the policy because it is going to bring about total libralisation

and also engender competition in the industry,” said Lawson.

He further said: “We have also put arrangement in place to import petroleum products so that we can serve our members.

“The policy is a good development so the issue of strike should be ignored. In fact, we are calling on all our members to go about their normal businesses and keep their petrol stations open.”

Lawson also stated that about 7,000 tickets of petrol worth up to N20 billion, some of which were as old as one year were tied up in the loading system of the Nigerian National Petroleum Corporation (NNPC).

He subsequently expressed optimism that it will be easier

to get the tickets released in the new pump price regime.

According to him, it was pertinent that the market be opened up for other stakeholders to participate fully. He noted the NNPC would not be able to fulfil the country’s consumption demands.

Lawson called on Nigerians to be patient as the new policy will be beneficial to all at the end, stressing that tight as the new pump price may seem, IPMAN was looking forward to a gradual price decrease that will accommodate all stakeholders in the near future.

He also urged the federal government to release the Continued on page 24

KEDC Opens Customer Service Centers

In an effort to ensure improved service delivery to its customers, Kaduna Electric Distribution Company (KEDC) has commenced 24 hours operation in two of its customer service centers in Kaduna.

A statement from the company signed by head of Corporate Communication, Abdulazeez Abdullahi said the two customer service centers that have begun service are located at the ground floor of the company’s head office on Ahmadu Bello way, Kaduna and the Leventis service center at Sardauna Crescent also in Kaduna.

The statement said with this development, customers can walk into any of the two centers to transact business at anytime of the day. “Customers with meters can buy their electricity tokens while those that have not yet been metered can visit to settle their bills.”

It further added that Kaduna Electric’s customer care staff are also available to address customer complaints to ensure improved customer experience.

Blockades Hit French Gas Stations

Prime Minister Manuel Valls said on Sunday France had enough fuel reserves to tackle shortages at hundreds of gas stations caused by workers blocking oil refineries and depots in protest at an unpopular labour reform.

About 820 stations out of a total of 11,500 petrol stations in France were out of all fuel on Sunday and another 800 were lacking at least one type of fuel, Transport Minister Alain Vidalies told Europe 1 radio.

France has been hit by strikes after President Francois Hollande’s Socialist government forced labour reforms through the lower house of parliament on May 10 without a vote.

Unions consider the bill unfavourable to workers and want it withdrawn.

“We have the situation fully under control. I think that some of the refineries and depots that were blocked are unblocked or will be in the coming hours and days,” Prime Minister Valls told reporters during a visit in Israel.

“In any case, we have the reserves to deal with these blockades.”

A prolonged strike at refineries in France in 2010 led to a glut of crude in Europe because it could not be delivered to refineries, a spike in refined products prices due to low output from refineries and shortages at thousands of gas stations.

“The Nigeria Industrial Revolution Plan will be implemented o n our watch” Minister of Trade, industry and Investment, Okechukwu Enelamah

24

T H I S D AY • TUESDAY, MAY 24, 2016

BUSINESSWORLD RIG ACCIDENT: EXXONMOBIL TO CLAIM DAMAGES AGAINST CONTRACTOR

company to declare a force majeure on exports of Qua Iboe, Nigeria’s largest export grade on May 13, 2016.

The company, however, said while plans for recovery were being finalised, it was working with its joint venture partner –NNPC, to manage potential supply impacts, and with Depthwize to remove the rig and in order to complete the damage assessment.

The company however, directed that “inquiries about the incident and clean-up plans should be directed to Depthwize and/or Conoil”.

Depthwize is a “world class drilling company, set up to provide leadership and excellence in the largely underdeveloped Nigerian inland and shallow water drilling market”.

Monarch is one of the three rigs in the fleet of the company, which owns and operates three rigs, two Swamp barges and one shallow off shore rig.

Monarch has been on the Anim field since Anim-1 was spud in June 2015.

Conoil had through its subsidiary, Continental Oil and Gas, at the 2007 oil license round, offered $105 million ( then around N13.4 billion) to emerge the highest bidder for OPL 290 on the continental shelf block while Dangote Oil and Gas bidded $21 million for the same oil block.

IPMAN: WE ARE READY FOR COMPETITION

proposed palliatives as quickly as possible to cushion the effects of the hike.

The government had recently announced a new pump price for petrol which it said should not be above N145 per litre.

The Minister of State for Petroleum, Mr. Ibe Kachikwu said the decision was taken to ensure improved supply and competition in the downstream and eventually drive down pump prices, as was experienced with diesel.

Group Business Editor

Chika Amanze-Nwachuku Maritime Editor

John Iwori

AgriBusiness/Industry Editor

Crusoe Osagie

Comms/e-Business Editor

Emma Okonji

Capital Market Editor

Goddy Egene

Senior Correspondent

Raheem Akingbolu (Advertising) Correspondents

Chinedu Eze (Aviation) Linda Eroke (Labour) Eromosele Abiodun (Cap Mkt) Ejiofor Alike (Energy) James Emejo (Nation’s Capital) Obinna Chima (Money Mkt) Reporters

Nume Ekeghe (Money Market) Nosa Alekhuogie (AgriBusiness)

NEWS

Fashola, Contractors Assess Uncompleted NIPP, TCN Projects Chineme Okafor in Abuja The Minister of Power, Works and Housing, Mr. Babatunde Fashola and contractors handling the various electricity projects undertaken by the Niger Delta Power Holding Company Plc (NDPHC) and the Transmission Company of Nigeria (TCN) have agreed to review the status of their projects.

Fashola and the contractors have also made commitments to secure the release of power project materials and equipment that are held in Nigeria’s seaports, which NDPHC claimed, contributed to delay in completion of projects by the contractors.

A statement from the ministry of power in Abuja explained that a meeting where these agreements were reached was convened by the minister.

The meeting according to the ministry was aimed at helping power project contractors overcome the challenges that had stopped them from completing projects awarded to them by the NDPHC and TCN. The statement was signed by the Assistant Director of Press in the ministry, Mr. Haruna Ibrahim.

Fashola was quoted in the statement as appealing to the contractors to go back to their sites and ensure speedy completion of the projects, promising that their complaints would be resolved within a reasonable time frame.

He further disclosed that the purpose of the meeting was to share the concerns of the contractors and ensure that those who abandoned

their projects are immediately mobilised to resume work on their projects.

According to the statement, Fashola was briefed on the status and challenges of projects undertaken for the NDPHC, including issues relating to the evacuation of power from the eastern axis.

Such issues according to the statement had to do with the Alaoji- Ikot Ekpene 300kVA double circuit line and the

switching station located at Ikot Ekpene in Akwa Ibom.

Both transmission projects are owned by the NDPHC. On the agreements that were reached at the meeting, the statement said contractors were to submit to the minister, a list of projects that have achieved up to 70 per cent completion but for which provisions were not made in the 2016 budget approved for TCN; a list of

contractors who have assured on the completion of their projects before the end of 2016 and relevant information about their projects; and a list of contractors who have completed and handed over projects and details of such projects but are yet to be paid.

Also, contractors that have their equipment stuck at the ports and which have attracted accumulated port charges would have the government

intervene to get them released.

However, the responsibility of moving out the cargoes from the ports would be borne by owners.

Fashola equally called on them to begin to look in-ward and make the most of locally manufactured equipment like transmission towers; clamps and cables in completion of their projects to save them the troubles of looking for foreign exchange for importation.

FOR EFFICIENTTAX COLLECTION

L-R: Director, Administration and Human Resources, Lagos State Internal Revenue Service (LIRS), Mrs. Arinola Kola-Daisi; Executive Chairman, Mr. Olufolarin Ogunsanwo; Director, Tax Audit, Mrs. Bolaji Akintola and the Director, Finance & Account, Mr. Maruf Oludare Tijani, during the 18th Annual Conference of Chattered Institute of Taxation of Nigeria (CITN) in Abuja...recently

FG to Build 30,000 Housing Units in Four Bauchi State Govt Refutes Report on Death of 20 States Pensioners and Housing, SAN Mr. and we are expecting big Dele Ogbodo in Abuja The Federal Mortgage Bank of Nigeria (FMBN) and the Federal Housing Authority (FHA), have been directed by the federal government to synergise their skills and capabilities to build 30,000 housing units in Abuja, Lagos, Port Harcourt and Kano. The partnership, THISDAY learnt, will also create 2 million jobs for unemployed Nigerians.

While the FMBN will provide the financing through its mortgage scheme, the FHA will provide parts of its land located in 34 states across the country for the project.

The acting Managing Director of FMBN, Mr. Richard Esin, represented by the Executive Director, Loans and Mortgages, Charles Nyor Ajiva, made the disclosure at the inauguration of the joint committee on housing delivery in Abuja. The FMBN boss said: “Since FHA has land in different locations of this country and FMBN is into mortgage financing, we will use our money to build on the land that they have to produces houses.”

According to Esin, the Minister of Power, Works

Babatunde Fashola, advised the two agencies to use their different skills and capabilities through synergy for the production of houses, which is part of President Muhammadu Buhari’s mandate to deliver 1 million houses annually.

He said: “In view of special skills and capability for FMBN in financing and FHA in the production of houses, we can actually complement each other in the delivery of houses that actually prompted us to come together and began to think of ways that we can partner and have synergy in the housing delivery.” On the timeline for delivery of the project, he said: “We hope to deliver a minimum of an estate by 12 months and so we are looking at the formalisation of modalities and within 12 months we should be able to get an estate and by next week we will start work.

“The minister is working under the president and has prompted the agencies working under him to begin to work towards delivery of houses.

“In his last trip to China housing is part of the component that was discussed

Chinese firms in the housing sector to come in to support the housing delivery.” He dispelled insinuation that poor Nigerians do not have access to houses built by FMBN, adding, “What we do in FMBN is to finance houses for Nigerians who contributors to the NHF. “These are government staff and workers, because when we finance an estate it is only the workers who contribute to the NHF that can access.”

In a remark, the Managing Director of FHA, Prof. Mohammed Al-Amin, admitted that with the collaboration of the two groups together, the desired objective would be met.

He said: “On our part, FHA has land across the country in 34 states of the country and they are all at the level of acquisition or design which we can quickly start work on any of these lands.

“We already had a framework of direction to further look at Abuja, Lagos, Port Harcourt, and Kano. And in all these locations there are lands ready for development, in kano we have 300 units, while we have about 300 hectares in Abuja.”

Segun Awofadeji in Bauchi The Bauchi State Government has refuted media reports that 20 pensioners in the state died during the pensioners’ verification exercise in the State.

The Chairman of the Nigeria Union of Pensioners in Bauchi State Alhaji Abu Gar, had, last Tuesday, in an interview with journalists in Bauchi, disclosed that 20 of their members have so far died while undergoing the pensioners’ verification exercise.

Gar said that the Union was worried over the death of her members.

But, in a statement issued in Bauchi, weekend, the Press Secretary to the Bauchi State Governor, Abubakar AL-Sadique, described the report as a “negative media campaign” targeted towards tarnishing the image of the government.

He said that the “negative media campaign” was aired during a discussion programme last Thursday in the Television Continental (TVC).

“In its discussion programme, ‘Journalists’ Hangout’

of Thursday 12th, 2016, TVC had a promo explaining the issues to be discussed which included the allegation that 20 pensioners died during verification exercise in Bauchi State.

“What baffles us such that no where in the programme was anything relating to the alleged death of Pensioners mentioned”, the statement added.

The Press Secretary challenged the public to bring proof of the details of any of the deceased saying that since the commencement of the exercise, no life has been lost.

“I challenge anybody having proof to substantiate his claim with facts and details of those who lost their lives because, since the commencement of the verification exercise for workers and pensioners, nobody lost his life.

“The mere mention of this an issue to be discussed without substantiating it gives away the thing as another piece of hatchet job done to blackmail the state government into submitting to the whims and caprices of agents of doom”, the Press Secretary added.

A

WEEKLY PULL-OUT

‘CYBERCRIME ACT DOES NOT CREATE A ATE AN ENFORCEMENT AGENCY’ C CY’

24.05.2016

Basil Udotai Esq

2/DASHBOARD

24.05.2016

A Director Owes a Duty of Care to the Company to Carry Out His Duties with Diligence and Care PAGE 4

Inheritance Major Cause of Family Disputes, Says Lagos AG PAGE 5

Family Sues Police IG, others for Harassment and Alleged Unlawful Invasion of their Community PAGE 5

Why Fuel Subsidy in Nigeria is Illegal and Unconstitutional PAGE 6

QUOTABLES

'Nigeria would have witnessed a ferocious economic disaster if the Buhari administration had not emerged. All that is going on now is the rebuilding process of the economy that was so destroyed by the previous administration. We must be patient and rational in our thinking for the inevitable change of the Buhari administration to come. It will surely come, but it is not a magic wand.'

– Chairman, Presidential Advisory Committee on War Against Corruption, Professor Itse Sagay SAN 'There is no doubt that progress in anti-corruption performance is closely linked with justice sector reforms and that we must do more to prevent the way in which corruption could undermine our justice system. Corruption may impinge on proceedings at all stages and undue influence may affect the process of investigation and prosecution; the handling and hearing of cases in the courts, including the treatment of witnesses; the implementation of sanctions and sentencing practices; and in the recovery of illegally gained assets in a way that limits international cooperation.'

– Attorney General and Minister for Justice Abubakar Malami SAN

COLUMNISTS

‘To Make a Successful and Rewarding Career in Law, Reputation should be Treasured more than Wealth’ PAGE 6

Democracy, Law and Change: Imperatives for Nigeria PAGE 7

Paying for Your Ignorance?

A Brief Introduction to the Law on Traffic Offences in Lagos State PAGE 11

ADERINSOLA FAGBURE Aderinsola is a keen writer having written her first article which was published by the junior section of a national daily, at the age of five. She is a graduate of Igbinedion University Okada and has just completed a Master’s degree in Corporate Law at the University College London. She is a member of the Nigerian Bar Association. Her column, “In black and white” discusses the need for innovation in the Nigerian legal scene particularly in the fields of Mergers and Acquisitions, Corporate Finance, Corporate Governance and Energy Law.

Eliminate Litigation Headaches in Business Dealings: Resolve Disputes by Arbitration and Other Alternative Dispute Resolution Methods PAGE 14

MAY AGBAMUCHE-MBU EDITOR JUDE IGBANOI DEPUTY EDITOR TOBI SONIYI ASSISTANT EDITOR AKINWALE AKINTUDE REPORTER TUNDE BUSARI GROUP HEAD OCHI OGBUAKU II ART DIRECTOR

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NIMASA and the Regulation of the Maritime Industry in Nigeria

T

he news that a National Shipping Line is being planned has been received with mixed reactions. Even the disclosure by the Minister of Transport Mr. Rotimi Amaechi at the two-day maritime stakeholders conference that the Ministry of Transportation has adopted a private sector approach to establish the planned national shipping line has still not generated the confidence expected. Former President Obasanjo characteristically wasted no time in warning the Federal Government against the revival of a National Shipping line. His comments on the failings of the Nigerian National Shipping Line (NNSL) sum it all up. He highlighted poor professionalism and high level corruption involved in the management of the defunct NNSL. He further added that ‘19 brand new ships were specially built for Nigeria, we did not take delivery of some of them until I left office in 1979.When I came back in 1999, NNSL had been liquidated with all the 19 ships gone as well as the five ships in existence. Two of the ships were missing for almost two years and it was discovered that one military man was using them all over the world with no accountability.

Until NIMASA became a source where people steal money, nobody knew too much about it’.

A brief history on the establishment of the Nigerian National Shipping Line shows that prior to independence Nigeria saw the need to get involved in shipping by establishing a national shipping line with well defined objectives: 1. To project the good image of Nigeria abroad by flying the Nation’s flag on the high seas and the world’s seaports. 2. To promote the acquisition of shipping technology by creating and diversifying employment opportunities in the shipping industry.

3. To improve the country’s balance of payments position by enhancing the earnings and conservation of foreign exchange. 4. To assist in the economic integration of the West and Central African sub-region and 5. To support the Nigerian Navy in the event of conflict.

The firm owned three vessels at its inception in 1961 and by 1964 it had increased its total count to 16 vessels.

When the firm's vessel were beginning to wear out, the government ordered the construction of about 19 new vessels in 1977.

In the 1990s the firm hit hard times along with other local shipping companies and it had to auction off vessels in an attempt to stay afloat, before finally being liquidated in September 1995. In 1996, a new line was created called the National Unity Line (NUL) fully owned by the Nigeria Maritime Authority and boasting just one ship called MV Abuja. Just like its predecessor it died a natural, early death. The failings of the NNSL and NUL soon left a gap in the market where international shipping lines now dominate and suffocate competition in the indigenous maritime industry.

The Nigerian Maritime Administration and Safety Agency (NIMASA) mentioned by former President Obasanjo is the apex regulatory and promotional maritime agency in the country. Created from the merger of the National Maritime Authority and Joint Maritime Labour Industrial Council (former parastatals

of the Federal Ministry of Transport) in 2006 the agency was established primarily for the administration of maritime safety seafarers standards and security, maritime labour, shipping regulation, promotion of commercial shipping and cabotage activities and pollution prevention and control in the marine environment. The Agency also implements domesticated International Maritime Organization (IMO) and International Labour Organization (ILO) Conventions.

Unfortunately the recent scandals surrounding NIMASA have only brought to light that it had apparently become the cash cow of the maritime industry to be milked at random with corruption thriving unabated as millions of dollars were frittered away with nothing to show for such extravagant expenditure. The question now is do we really need a new national shipping line going by our history, especially now, even if it is privately owned?

We are a shipping nation no doubt but whether we have benefitted from this sector as we should rightly do is not even open to debate; we assuredly have not done so. The freight market for crude oil alone in this area is worth $2.25 billion per annum and the imbalance/absence of Nigerian participation in this space prompted the passage of the Coastal and Inland Shipping (Cabotage) Act 2003. That in itself has not been a success. All the excitement about the Cabotage Act as with so much else in this country was not well thought out and came to nothing.

The Cabotage Vessel Financing Fund (CVFF) established by section 42 of the Cabotage Act was an accumulated fund derived from the 2% surcharge on all vessel contracts involved in coastal trade and other tariffs, fines, fees and licences under the Act. The fund is collected for the purpose of promoting the development of indigenous ship acquisition capacity by providing financial assistance to Nigerian operators in domestic coastal shipping. Notwithstanding the good intent of the fund’s establishment and accrual of a reported sum of between N40billion and N50billion over a decade on from its establishment, little or no transparency exists regarding its use and/or any criteria upon which it is to be evaluated against the achievement of its objectives as stated in the Cabotage Act. Nigeria is certainly well known as an import dependent economy (as evidenced by Nigeria’s balance of trade without oil exports) and as such the maritime industry is crucial to the sustenance of the Nigerian economy. However, before embarking on the proposed national line, we must look at expanding our port facilities and the regulatory agencies need to be carefully scrutinised and re-positioned as it cannot be a case of ‘business as usual’. A review of all legal, institutional and regulatory frameworks with special consideration of our Nigerian peculiarities must be embarked upon.

Maritime matters are regulated by the following laws• the Carriage of Goods by Sea Act 1926 • Admiralty Jurisdiction Act • Coastal and Shipping (Cabotage) Act • Nigerian Ports Authority Act • Merchant Shipping Act and the

Nigerian Shippers Council Act. A cursory review of the Coastal and Shipping (Cabotage) Act 2003 for example indicates that it has failed woefully; that it was badly thought out and fundamentally flawed from the onset. One cannot but commend the intention to stimulate local participation in Nigeria’s coastal trade however we cannot pick laws lock, stock and barrel from foreign jurisdictions and apply them here without taking into consideration our local peculiarities, our weaknesses and strengths. The Act provided that vessels operating in Nigerian waters should be built in Nigeria and owned by Nigerians or by companies wholly and beneficially owned by Nigerian citizens - S. 23 (1)(a) and crewed by Nigerians, -S. 23 (1) (e).

These provisions were made knowing at the time that they constituted a target obvious to all that Nigerians were not capable of meeting and which to this day we have not yet risen to such demanding heights.

Even at that the drafters of the law strategically provided for waivers to be granted by the Minister to foreigners operating cabotage vessels. As a result of these measures, where then did we find ourselves? Right back to square one where we all started from with little or no progress for indigenous operators.

On the issue of disbursement from the The Cabotage Vessel Financing Fund (CVFF) appropriate measures must be put in place with special provisions for monitoring the disbursed funds. The Cabotage Act is one law that needs to be revisited.

There is so much going for the country in the maritime sector where it is undoubtedly strategically placed to take advantage of its proximity to landlocked nations in the West African region. All over the world there are port cities that have become invaluable assets to their nations because of their efficiencies, specialised capabilities (whether for receiving large container vessels or for specialised (off) loading abilities) and/or where there is no alternative competition.

That is the case for Nigeria because of our coastal positioning - Chad and Niger for instance have almost no alternative ports for trade other than ours. It therefore follows that by optimising capabilities at our ports (increasing port loading facilities, cutting down loading times, running a 24 hour port operations etc) they can become strategic trade centres that are unavoidable for the West African region, bringing much needed economic advantage and their positive effects on GDP. Major cities in the world by the nature of their specialised ports and industries have the ability to attract trade and generate economic activity of both national and municipal significance. Shanghai in China is the world’s largest port city by volume, receiving some 33.62 Million TEU (Twenty Foot Equivalent Container Unit) in 2013. Singapore is second with 32.6 Million TEU and other port cities of note are Hamburg Germany at 9.30 Million TEU, Port Said East, Egypt at 3.2 Million TEU and Durban, South Africa at 2.63 Million TEU. By improving and upgrading port facilities to accommodate larger vessels and optimising loading and offloading times Nigeria has an op-

MAY AGBAMUCHE-MBU

LEGAL EAGLE may.mbu@thisdaylive.com

portunity to increase trade activity exponentially.

According to the United Nations Conference on Trade and Development (UNCTAD) Review of Maritime Transport in 2015 it is noted that Greece continues to be the largest ship-owning country, accounting for more than 16% of the world total, followed by Japan, China, Germany and Singapore. Together, the top five ship-owning countries control more than half of the worlds tonnage. Five of the top ten ship-owning countries are from Asia, four are European, and one (the United States) is from the Americas. In South America, the largest ship-owning country continues to be Brazil, followed by Mexico, Chile and Argentina. The African country with the largest fleet ownership is Angola, followed by Nigeria and Egypt.

The Maritime Industry because of its size and nature, for a coastal nation such as ours, holds great economic advantage that is currently only second to our Oil and Gas Industry. However in the long run, with necessary attention to the current threats and weaknesses of the industry, it will surpass Oil and Gas in both economic earnings and as a potential employer of a large proportion of the Nigerian labour market.

Apart from representing such a significant part of the Nigerian economy locally, it is also reported that as much as 90% of Nigeria’s external trade is done by Maritime transport and a good percentage of industrial activity in Nigeria is, unsurprisingly strategically situated around the port cities of Lagos, Warri, Port Harcourt and Calabar.

The maritime sector’s potential involvement in multimodal transportation also represents a great opportunity for economic advancement and development with current transportation networks across the country being incapable of efficiently conveying people and products safely.

The inland waterways can provide an opportunity for capable parties to create national routes along interstate waterways as an alternative to road or rail networks.

I do however believe that there is so very much more requiring attention at this point in time in the maritime sector and a new national carrier (mark 3) should not be the prime consideration.

On a positive note and a feat worth commending is that the Nigerian Navy has been involved in the construction of vessels and has disclosed that President Muhammadu Buhari will soon commission Nigeria’s first set of locally constructed sea vessels into the Nigerian Navy fleet.

4/LAW REPORT

24.05.2016

A Director Owes a Duty of Care to the Company to Carry Out His Duties with Diligence and Care

I

t is an established principle of law that a Director owes a duty of care to a Company to carry out his duties with diligence and care. In the instant appeal, the Court of Appeal held that the 2nd and 3rd Appellants having failed to exercise diligence and care in monitoring the activities of the Company were jointly and severally liable for the illegal and unauthorised sale of the 1st and 2nd Respondents’ shares.

Facts The 1st and 2nd Respondents (“Respondents”) owned 42,000 Nestle Plc shares (“shares”). The 1st Appellant was the firm of Stock Brokers employed by the Respondents to manage the shares on behalf of the Respondents. The 2nd and 3rd Appellants (“Appellants”) were non – executive directors of the 1st Appellant. The 1st Appellant through its former managing director sold the shares without the Respondents’ authorisation. The 1st Respondent on discovering this fact complained to the 3rd Appellant. On receiving this complaint, the 2nd Appellant made a complaint to the Economic and Financial Crimes Commission (“EFCC”). The EFCC conducted investigative proceedings and thereafter exonerated the Appellants from any criminal liability.

The Respondents being dissatisfied with the decision filed a suit vide an Originating Summons at the Investment and Securities Tribunal (“Tribunal”) seeking several declaratory reliefs, refund of their shares and costs for general damages. The Tribunal in delivering its judgment held that the Appellants were jointly and severally liable and ordered them to buy back the shares and all other dividends and bonuses belonging to the Respondents from the date sales took place and consequently awarded cost of N500,000.00 in favour of the Respondents.

The Appellants, being dissatisfied with the decision, appealed to the Court of Appeal (“the Court”) vide a Notice of Appeal (“NOA”) dated 3rd December 2013 containing three grounds from which the following issues for determination were raised; a.Whether by the evidence made available to the tribunal and the provisions of the applicable law, the 2nd and 3rd Appellants were rightly held to be jointly liable for the illegal sale of the 1st and 2nd Respondents’ shares. b. Whether the Tribunal was right to find the 2nd and 3rd Appellants liable to pay costs of N500,000.00 The Respondents on their part filed a Respondents’ Brief dated 29th April 2014 and raised a Preliminary Objection (“PO”) to the Appellants grounds of appeal and issues for determination. The PO raised a sole issue for determination to wit; a. “Whether grounds 1, 2, & 3 of the Notice of Appeal and issues 1 & 2 for determination in the Appellants’ brief ought to be struck out and appeal dismissed in limine.”

On the Preliminary Objection, the Respondents argued that ground 1 of the Appellants’ NOA was incompetent because the particulars of the said ground alleged misdirection on the facts and error in law and the said ground did not flow from the ratio decidendi of the tribunal. They further submitted that when a ground alleges misdirection and error of law, such ground is incompetent and must be struck out. They placed reliance on ELENDU v EKWOABA (1995) 3 NWLR (Pt. 386) Pg 704. The Respodents further contended that contrary to the allegation of the Appellants, the liability of the Appellants never rested on the sale of the Respondents’ shares by the former managing director of the 1st Appellant.

Furthermore, they argued that Issue 1 being that it emanated from ground 1 was incompetent and subsequently Ground 3 which Issue 1 also emanated from was also incompetent. On ground 2, the Appellants submitted the said ground was in respect of cost alone and that since the Appellants failed to seek the leave of court in respect of the ground it was incompetent. He relied on S. 241 (2) (c) of the Constitution of the Federal Republic of Nigeria 1999 and ACB LTD v AJUGWO (2012) 6 NWLR (Pt. 1295) 97.

In response, the Appellants submitted that ground 1 in their NOA does not allege error of law and misdirection but is one of law that relates to the tribunal’s misconstruction of S. 305 of the Investment and Securities Act (“ISA”) and the decision of the Supreme Court in OLAWEPO v SEC (2011) 16 NWLR (Pt. 1272) 122. The Appellants further submitted that no part of the grounds or particulars made reference to the tribunal’s statement of a party’s case to be a misdirection and that ground 1 flows from the ratio decidendi of the judgment of the tribunal and as such Grounds 1 and 3 are competent and subsequently Issue 1 that emanates from the said grounds is competent. On Ground 2, they argued that the ground is competent as

Y.B Nimpar, JCA

In the Court of Appeal In the Lagos Judicial Division Holden at Lagos Before Their Lordships Sidi Dauda Bage Samuel Chukwudimeji Oseji Yargata Byenchit Nimpar Justices, Court of Appeal CA/L/85/2014 Between Securities Solutions Limited Hayatu Muhammed Ike E. Okeke .... Appellants And Mrs Biodun Idowu Adamu-Oladiran Dr. Oladapo Mathew Oladiran Securities And Exchnage Commission ....... Respondents (Judgment Delivered byYargata Byenchit Nimpar, JCA)

it emanates from the final decision of the tribunal and relied on Section 241 of the Constitution.

On Issue 1 of the NOA, the Appellants argued that the tribunal was wrong to have held them liable for the illegal and unauthorised sale of the Respondents’ shares as the Respondents’ testimonies during trial were inconsistent as to establish that the Respondents ever met the Appellants to lay their complaint, and as a result the Tribunal failed to properly evaluate the evidence before it placing reliance on ABUBAKAR v ANOBIH & ANOR (2013) LPELR -20856 (CA). They thereafter submitted that the Court should re-evaluate the evidence by examining the case as a whole. They further submitted that the Respondents failed to show that the Appellants as directors of the 1st Appellant were culpable for the illegal sale of shares and further relied on the principle that he who alleges must prove while placing reliance on CPC v INEC (2011) LPELR – 8257 (SC) Furthermore, the Appellants submitted that there is evidence which showed that the Appellants upon discovering the illegal sale, made reports to the EFCC and other regulatory bodies for investigation and that based on the petition of Respondents to the EFCC prior to instituting this action, the EFCC had exonerated the Appellants from complicity in the illegal sale. They thereafter submitted that it was wrong for the tribunal to have relied on S. 282 of the Companies and Allied Matters Act (“CAMA”) without having regard to S.305 of the ISA and the decision of OLAWEPO in holding the 2nd & 3rd Appellants liable. Additionally, they submitted that it was the former Managing Director of the 1st Appellant that conducted the sale and the 2nd and 3rd Appellants being non-executive directors were not responsible for the conduct of the business of the company at that time and should therefore not be liable.

In response, the Respondents argued that ABUBAKAR v ANOBIH (supra) relied on by the Appellants is not applicable as the Appellants did not show that the Judge

at the tribunal had not taken the necessary steps and they had also failed to show that the finding of the tribunal were perverse to warrant a re-evaluation of evidence. The Respondents further argued that the Appellants were not held liable on account of their directorship but on account of credible and unchallenged evidence of the Respondents’ and as a result all arguments based on their directorship are incompetent and should not be entertained. They further contended that the proceedings are not criminal in nature to warrant the application of S. 305 of the ISA and that there is credible evidence linking the Appellants with the management of the 1st Appellant and also evidence showing negligence on the part of the Appellants in the management of the company as they had failed to investigate the affairs of the company for 3 years. Additionally, they distinguished the case of OLAWEPO stating that it is not applicable in the present case and should be disregarded.

On Issue 2, the Appellants argued that on the premise that they had shown that the Appellants were not responsible for the unauthorised sale of the shares, the Respondents should not be entitled to cost and that by virtue of S. 213 of the ISA, the Respondent ought to have claimed their loss against the Investor Protection Fund thereby mitigating their loss.

The Respondent on their part argued that Ground 2 does not relate to the NOA and that the said ground does not emanate from the ratio decidendi of the tribunal’s decision and should therefore be struck out.

Judgment and Court’s rationale In determining the PO, the Court held that the appeal emanated from a final decision of the tribunal and there is a right of appeal from final decisions of the tribunal to the Court of Appeal either on points of law or mixed law and fact. The Court thereafter held that lack of particulars or defective particulars will not affect the grounds of appeal and therefore, even if the grounds are considered without the particulars, they are good grounds. Reliance was placed on ABE v UNIVERSITY OF ILORIN & ANOR (2013) LPELR – 20643 (SC). The Court finally dismissed the PO and held that the grounds and issues distilled from the grounds were competent for consideration in the determination of the appeal.

On Issue 1, the Court held that the Respondents were entitled to institute proceedings at the tribunal regardless of the fact that the matter had been previously submitted to the EFCC stating that the complaint made to the EFCC were of a criminal nature while the reliefs sought at the trial court were of a civil nature. The fact that the EFCC exonerated the Appellants does not excuse them of liability in a civil claim if proved. The Court further held that the Appellants could not argue that they were non-executive directors and therefore not liable because the Appellants were aware of the activities of the 1st Appellant. The Appellants had been involved in the investigative proceedings at the EFCC by writing and tendering letters on behalf of the 1st Appellant hence they cannot be heard to distance themselves from activities of the 1st Appellant.

Thereafter the Court held that the former managing director of the 1st Appellant acted as an agent of the 1st Appellant while carrying out the illegal sale of the shares making the 1st Appellant liable. The Court further held that a company operates through its directors and officers and the Court could lift the veil of incorporation when the need arises. Furthermore, the Court held that it is the duty of the trial court to evaluate evidence and the Court can only intervene where the trial judge fails to evaluate evidence properly and found that the tribunal had properly evaluated the evidence. The Court finally resolved Issue 1 in favour of the Respondents and held that the Appellants had neglected their duties as directors of the company to exercise diligence and care in monitoring the activities of the company and are thereby liable.

On Issue 2, the Court held that being that Issue 1 had been resolved in favour of the Respondents, costs follow events and thereby the costs awarded by the tribunal was reasonable and in accordance with the law. The Court therefore resolved Issue 2 in favour of the Respondents and dismissed the appeal for lacking merit and subsequently affirmed the judgment of the tribunal.

APPERANCES I.F. Anga, I. Berenibara for the Appellants U. Okoronkwo, G. Nwohamuo, R.O. Uzoechi I.F.Aririhusim P.E.Ogiegor, E.K. Abu (Mrs) for the Respondents Reported by Ibukunoluwa Omotorera Owa, Aluko & Oyebode, Lagos.

24.05.2016

NEWS/5

LEGAL UPDATES

L-R: Lagos State Commissioner for Information, Mr. Steve Ayorinde, Lagos State Attorney General & Commissioner for Justice, Mr. Adeniji Kazeem and Lagos State Solicitor General & Permanent Secretary, Ministry of Justice, Mrs. Funlola Odunlami at the 2016 Annual Ministerial Press Briefing of the Ministry of Justice held at Alausa Secretariat as part of the activities commemorating one year in office of the administration of Governor Akinwunmi Ambode, recently

Inheritance Major Cause of Family Disputes, Says Lagos AG Stories by Akinwale Akintunde

Administrator-General and Public Trustee in commemoration of the International Lagos State Attorney- Family Day. The Attorney-General said General and Commissioner for Justice, Mr. Adeniji Ka- processing of death benefits zeem has attributed the major and the management of the cause of family disputes in the estates of deceased persons country to family inheritance. is a major factor that often Kazeem disclosed this generates unnecessary and last week while declaring evitable disputes between open the 2006 International beneficiaries of such estates.

He said the United Nation Family Day celebration organised by the office of the theme for this year’s celebra-

tion is ‘Family, Health and Sustainable Future’ is a laudable development considering the vital role the office plays in promoting family cohesion.

According to him, the theme inspired series of awareness and the importance to families, including inheritance.

"This was a response to changing social and economic structures, which have affected and still affect the

stability of family units in many regions of the world", he added.

The Lagos AG said the International Day of Families is globally observed on May 15 every year, to celebrate the importance of families and hence promotes the importance of a healthy and well-balanced family.

It was established by the General Assembly of the United Nations in 1993.

Family Sues Police IG, others for Harassment and Alleged Unlawful Invasion of their Community The Okunu Eleku Family of Oko-Olomi village in Ibeju Lekki local government area of Lagos State has instituted a fundamental human rights suit against the Inspector General of Police (IGP), Mr. Solomon Arase for alleged unlawful invasion and harrasment of the members of family by men of the Police force.

The applicants in the suit filed through their lawyer, Mr Bamidele Ogundele before a Federal High Court sitting in Lagos are Chief Tajudeen Eleku, Chief Lateef Eleku, Otolowo Femi Bakara, Otunba Kazeem Amzat, Alahaji Musiliu Idris and Mr Akorese Jimoh.

They are praying the court to restrain the police from further destruction of their village, incessant harassment and intimidation of the 1st to 6th applicants.

Aside the Inspector General of Police, other respondents in the suit delineated as FHC/C/ CS/ 633/2016 are Assistant Inspector-General of Police, Zone 2, Onikan Lagos, OC I.G Monitoring Unit, Force Headquarters, Abuja, Inspector Joseph (The I.P.O)

I.G., monitoring unit force headquarters, Abuja and Toll System Development Co. Ltd as 1st to 5th respondents respectively.

The applicants amongst other reliefs are asking the court to declare that "it is not within the constitutional and statutory responsibility of the Nigeria Police Authority (the 1st to 4th respondents) to dabble into civil case of land matters between the applicants' village, Oko-Olomi and other villages in Ibeju Lekki Local Government area under the 1999 Constitution of the Federal Republic of Nigeria (as amended) and Section 4 of the Police Act, Laws of Federation, 2004.

"The use of instrumentality of the 1st to 4th respondent by the agent of the 5th respondent called Alhaji (Chief) Mutairu Owoeye to dabble into a civil case land matter of the applicants family of Oko-Olomi village and other villages in Ibeju Lekki Local government area of Lagos State purportedly acting in execution of a stale, invalid and unenforceable ruling of Justice Mufutau Olokooba

of Epe High court in suit no LD/4320/2014 without issuance of a warrant of possession by the High Court is illegal and without the sheriffs of the court is illegal".

The applicants stated that the police violates: "the provisions of the 1999 constitution of the Federal Republic of Nigeria (as amended), the Sheriff & Civil Process Act and Judgment Enforcement Rules (Cap S6, Laws of the Federation of Nigeria, 2004).

"The rights of applicants to human dignity, liberty and freedom of movement under Section 34,35(1) and 41(1) of the 1999 Constitution of the federal Republic of Nigeria as well as Articles 4,5,6 and 12 of the African Charter of Human and Peoples Rights (Enforcement and Ratification Act) Laws of the Federation of Nigeria 2004."

However, Chief Tajudeen Mojeed Eleku and two others have also instituted a suit at a Lagos High Court sitting in Epe for an order mandating Chief Owoeye to move out of the land in dispute particularly in

the Verged Blue area in the survey plan of Akin Oyegbola in a survey plan no A00/793/015/2016/ LA in Oko-Olomi village pending the determination of the suit.

Two other claimants in the suit are Mr. Abdulraman Balogun and Chief Lateef Eleku, the head and principal members of Okunu Eleku family of Oko-Olomi for themselves and unbehalf of members of Okunu Eleku family of Oko-Olomi village.

The suit is tagged with EPD/047/2016 is filed against the Toll System Development Co. Ltd, the Executive Governor of Lagos State, the AttorneyGeneral and Commissioner for Justice, Lagos State and the Registrar of Titles, Land Registry, Alausa, Lagos State as 1st to 4th defendants.

The claimants in a motion on notice dated May 6, 2016 and supported with seven paragraph affidavit want an order of court for all enforcement agents to give effect to the order to ensure peace and tranquility and prevent the breakdown of law and order.

UNILAG LAW FACULTY HOLDS AWARDS NITE TO BUILD N2.5 BN EDIFICE The Faculty of Law, in the University of Lagos is set to build a state-of-the-art edifice in celebration of over 50 years of legal scholarship and training. The faculty has produced some of the brightest and best lawyers in Nigeria, including incumbent Vice President, Professor Yemi Osinbajo (GCON, SAN) who is expected as the Special Guest of Honour.

The event titled“Law Alumni Friends Gala Award Evening”is scheduled to hold at the Intercontinental Hotel, Victoria Island, Lagos on June 10, 2016 at 6 p.m. While Lagos State Governor, Mr. Akinwunmi Ambode is also expected as a Special Guest of Honour, the high-profile dinner will be hosted by the Dean of the Faculty of Law, Professor Akin Ibidapo-Obe. The University’s Vice Chancellor, Professor Rahamon Adisa Bello is the Chief Host.

Designed as a forum to also sensitise the faculty’s alumni and friends on the proposed 10-storey building, the project is billed to cost N2.5 Billion. The edifice is planned as one of the best law faculty buildings in the world, and will house lecture halls, law centres, departments, staff and students’ lounges and offices.

The UNILAG Law Faculty is reputed as arguably the best in the country, having produced the greatest number of Senior Advocates of Nigeria (SANs) than any other University in Nigeria, as well as many distinguished judges, leading solicitors, corporate titans and foremost company secretaries among others.

Proprietor Sues Police, Asks Court to Declare His Detention Violation of His Rights The proprietor of D Glory Top Private Schools, Legasa Phase 11, Lakowe, Lagos, Pastor Ochuko Osusu has urged a Federal High Court sitting in Lagos to declare that his arrest and alleged illegal detention by the Police is a gross violation of his right to dignity of human person, personal liberty and private life.

Osusu, in a N5 million fundamental rights enforcement suit marked as FHC/L/CS/680/16 and filed through his lawyer, Kayode Bankole said he was arrested by the Police on May 11, 2016 and was subsequently detained till May 19, 2016 at the State Criminal Investigation Department, (SCID) Panti.

Respondents in the suit are the Inspector General of Police, the Commissioner of Police, Lagos Command, Deputy Commissioner of Police, (SCID) and one Inspector Solomon Ojo of SCID, Panti.

The proprietor, who is also a cleric stated that the Police violated his rights as guaranteed

by Sections 34(1), 35(1), (3) and 37 respectively of the 1999 Constitution of the Federal Republic of Nigeria.

He is therefore asking the court to declare that the act of the 3rd and 4th Respondents in carting away his documents from the school on May 17, 2016 when he was paraded in handcuffs in the said school is contrary to section 34, 1 (a) and 44 (1) of the 1999 Constitution as well as a declaration that the Respondents have no powers to close down his school or threaten to shut it down.

The Applicant also wants the court to declare that the Respondents have no right to interfere with his legitimate activities and therefore should be restrained from further arresting him or threatening to close down his school.

In addition to the monetary damages, the Applicant urges the court to order the Respondents to tender a public apology

for the illegal detention.

In a seven paragraph affidavit deposed to by the Application’s brother, Dr. Odiyovwi Osusu, the applicant said he got a phone call on April the 22nd , 2016 from one Mrs Ogunderu alleging that her three year old daughter has been defiled in school, that she discovered it at home while bathing her daughter.

“They went to a private hospital close to the school when Mr. Ogunderu called to demand that the victim be taken to his private hospital – Doreen Specialist Hospital, Ajah, Lagos, which was done but it was from there that the hospital invited the Police from Ajiwe Police Station Ajah.”

“The Applicant was immediately arrested, his statement taken and detained overnight when he was released on bail on Saturday April 23rd, and was asked to report from time to time which he did and never jumped bail.”

“Then on April 23rd, 2016, Mr Ogunderu took the victim to Lagos State University Teaching Hospital (LASUTH), Ikeja, for medical examination alone without the presence of the Police or the Applicant and curiously nothing was heard by the Applicant about the medical report issued by LASUTH on the victim”, he stated, adding that the Police assured him that he would not be prosecuted since he has no direct link to the alleged crime.”

He claimed that the case was transferred to SCID Panti on May the 11th and the Applicant was held from that day. “ “On the day of the alleged incident, the Applicant never saw or had any contact whatsoever with the victim since he was only the administrative head of the school.

Moreover, he had just arrived from one week spirit convention of the Nigerian Baptist Convention at Ilorin”, he further averred.

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24.05.2016

Why Fuel Subsidy in Nigeria is Illegal and Unconstitutional Abubakar D. Sani

F

or the following reasons, I believe that no attempt at ending the costly, unsustainable fuel subsidy programme in Nigeria will succeed unless it is situated within the context of the law.

To start with, no law backs the practice of subsidising petroleum products in Nigeria. Before reviewing the various extant legislations on the subject, it is essential to understand what a subsidy means. A subsidy is simply an amount of money paid by the government or an organisation to reduce the cost of producing a product in order to keep its price low. See the Oxford Advanced Learners’ English Dictionary, 6th edition, page 1194. No law imposes such an obligation on the government. The relevant extant statutes in this regard are the following:i. The Petroleum Act, 1969, Section 6(1);

ii. The Price Control Act, 1977; iii. The Petroleum Equalization Fund Act 1975; iv. The Petroleum Products Pricing Regulatory Agency Act 2003; v. The provision for subsidies in the annual Appropriation Acts or Budget; vi. Item 62(e) of the Exclusive Legislative List in Schedule Two of the 1999 Constitution of the Federal Republic of Nigeria.

By virtue of this last enactment, i.e., Item 62(e) of the Exclusive Legislative List of the Constitution, only the National Assembly has the power to control the prices of any product in Nigeria. This power is, however, not at large, but is to be exercised only in respect of essential products and commodities as designated by the Assembly. With the exception of drugs, the National Assembly has designated no product as essential. To that extent, the aforesaid statutes are all ultra vires the Assembly, invalid, null and void: see Section 1(1) & (3) of the Constitution. It follows that the practice of the Federal Government, through the NNPC, the Federal

Ministry of Finance, the PPPRA, etc of subsidising petroleum products is also unconstitutional, invalid, null and void.

It is important to stress that what Item 62(e) of the Exclusive Legislative List of the Constitution recognises is price control and not subsidisation; the two are not the same, for, whilst a subsidy is a means of controlling prices, not all price control measures involve subsidies, as it depends on the modalities, if any, applicable in any given case. We submit that the express terms of the relevant one in this case, i.e., the Price Control Act, leave no room for conjecture that the National Assembly intended to subsidise petroleum products.

Accordingly, the annual practice of appropriating funds in the Budget for fuel subsidy payments is illegal because it is inconsistent with the Price Control Act – even assuming, without conceding that the National Assembly has designated petroleum products as essential commodities. We shall now examine the Price Control Act.

The First Schedule to the Act lists nine different products as being subject to price control at the discretion of the Minister of Commerce; petroleum products are item 7 on that list. The Act is not silent on the parameters to be applied in fixing the open market price of any such product. Those parameters are contained in Section 5 of the Act, which recognises two different scenarios – a basic price (Sec. 5(1)(a)) and a permitted variation to the basic price (Sec. 5(1)(b)). By virtue of Sec. 1(1) of the Act, the Price Control Board is the sole body responsible for fixing the basic price and the variation permitted thereto, for the whole country. This, the Board does by notice published in the Federal Gazette.

With regard to the basic price, Sec. 5(2) of the Act differentiates between locally produced goods, and goods imported into Nigeria. In respect of the first, i.e., goods produced (or fuel refined) in Nigeria, the basic price is “the price which, in the opinion of the Board, properly represents the cost of CONTINUED ON PAGE 13

Legal Personality of the Week Dr. Uchenna Emelonye

‘To Make a Successful and Rewarding Career in Law, Reputation should be Treasured more than Wealth’ My name is Dr. Uchenna Emelonye. I was born a twin in the heat of the Nigerian civil war. My twin brother is the famous movie director, Obi Emelonye.

I am a lawyer and diplomat with the United Nations and my career has spanned across four continents, three legal systems and 22 countries. I obtained my bachelor’s degree and first master’s degree in law from Abia State University and thereafter my second master’s degree in human rights law from Central European University Budapest Hungary. My doctorate degree in law is from the University of Helsinki Finland. I was called to the Nigerian Bar in 1995 and I have published extensively in acclaimed international peer-reviewed journals. I am presently the Country Representative of the United Nations Office of the High Commissioner for Human Rights in Uganda.

Have you had any challenges in your career as a lawyer and if so what were the main challenges?

My biggest career challenge has been in becoming a lawyer. I have to admit I was not the greatest student in secondary school. That fact was reflected in my failure to make the Joint Admission and Matriculation Board cut-off mark for law in the University of Nigeria in two attempts. As a matter of fact, I was only successful at the third attempt and when I applied to Abia State University. Within these three frustrating years of what I call ‘academic inertia’, my challenge was purely psychological. I had to deal with my failure to reach my personal goals. As if that was not enough, I also had to contend with the reality that my twin brother, Obi, was in his later years at the Theatre Arts department of the University of Nigeria Nsukka and my immediate younger brother, Mezie, was already in University of Port Harcourt, studying Fine and Applied Arts. My biggest challenge therefore was keeping positive and maintaining a strategic sense of direction, in spite of my inauspicious start.

But since overcoming that rather crazy spell, I can say that I have had a kind of career trajectory that that makes a mockery of my difficult start.

What was your worst day as a lawyer?

Everyone has good and bad days; more so as a lawyer. Due to my kind of legal practice, which is international technical assistance to governments and institutions, I have worked to mainstream human rights and gender equality in peace accords,

back today and cherish my contribution to the drafting of the bill of rights and rule of law chapters of the Constitution of Kenya, which is today acclaimed to be the most progressive in common law countries in Africa. I had similarly influential input in the drafting of the constitutions of Somalia and South Sudan and national development plans of several other countries.

Dr. Uchenna Emelonye

humanitarian assistance and development plans, often times, in charged climates and delicate contexts. My worst days as a lawyer are those days where I have been persuaded by political expediency to lower the threshold of fundamental principles and standards. The give and take, or what I call diplomatic compromises that one is forced to make in these very peculiar scenarios can be painful for a legal purist. I have had to make some of these concessions in my career and each time, I beat myself up for betraying my professional principles and the ideals of my training.

What was your most memorable experience?

For a lawyer in standard practice, you could say that your memorable professional moments are when you have won a big case. Fortunately or unfortunately, that kind of result does not apply to my kind of practice. I would say that my most memorable experience in the practice of law would be one of those eureka moments when, despise political turbulence, polarisation of interests and deep seated mistrust amongst parties, I am able to integrate human rights and gender equality principles into peace deals and post-conflict architecture. For instance, I seat

Who has been most influential in your life?

My life has been influenced by notable personalities. First and foremost, I am forever indebted to my late dad who compelled me, at ten years old and under the threat of the cane, to memorise and internalise the teaching of the great philosopher, Raloh Waldo Emerson. I still remember one of those quotes: “Whatever you vividly imagine, ardently desire, sincerely believe and enthusiastically act upon, must inevitably come to pass”. This verse has been my life’s mantra and my motivational compass to navigate the unending vicissitudes of life.

Also, my mum’s influence has been subtle but remarkable. Her love and abiding faith in my ability, even when I doubted myself have been instrumental in my rise to the top of my profession. My greatest pleasure is that she is alive and healthy today to see me be the man she had visualised and encouraged me to be.

Equally, the role of my entire family has been indispensable in my life; particularly my twin brother Obi Emelonye and my late brother Dr. Chinda Emelonye.

Professionally, I was adopted and mentored

by Mr. Eze Duruiheoma (SAN); currently the Chairman of the National Population Commission. He has been a professional anchor, especially in my early days as a lawyer. Mr. Clement Nwankwo has been another great positive influence in my professional career.

As my one time supervisor, he mentored me and schooled me in strategic thinking. I cannot also forget the role of Mr. Olisa Agbakoba (SAN) in my career.

Why did you become a lawyer?

I actually grew up with the ambition of becoming a Roman Catholic priest. My mum is a devout Catholic and the then President of the Catholic Women Organisation. She had promised God that one of her seven sons would be a

priest. To put a smile on her face, my childhood dream was to be that priest. When becoming a priest was not possible, I grew a desire to become a lawyer. I had always wanted to be lawyer because I want to be a public defender. Today, I am a human rights defender.

What would your advice be to anyone wanting a career in law?

My advice to anyone wanting to make a career in law is to recognise and accept the fact that law practice is not a sprint race. It is a marathon that requires patience, perseverance, stamina, and most importantly exemplary professionalism. My view is that quick ‘fixes’ in law practice are usually not sustainable and durable. To make a successful and rewarding career in law, reputation should be treasured more than wealth. So, in simple terms, you do not need to be brilliant, average quotient suffices. Choose an area of law that you are passionate about, develop yourself academically and professionally in that area, be ambitious, work hard, keep focused, take your chances when they come, and enjoy the ride to the top.

If you had not become a lawyer, what would you have chosen?

If I was not a lawyer, I would have probably been a professional athlete. Before I enrolled as a law student and with little or no technical training and guidance, I competed successfully for Imo State and Akwa Ibom State in junior national track and field championship and national sports festival respectively. As a first year law student, I was penalised for missing classes to participate in university games. According to one of my lecturers, I should decide whether I wanted to be a lawyer or an athlete. I hung up my spike shoes prematurely to become a lawyer.

Where do you see yourself in ten years?

Only God can see the future. Having said that, it is my place to plan and part of my strategic blueprint is to continue in my international civil service role until the age of 54. That will be in the next five years. Then, I would head back home to Nigeria and offer our great country, the benefit of my considerable global experience. God willing, in 5 years, I hope to focus my attention on Nigeria, when I still have the energy to impact positively and help entrench good governance in the giant of Africa.

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Democracy, Law and Change: Imperatives for Nigeria Victor Ndoma-Egba

I

first met Justice James Adesiyun by reputation. My father the late Justice E.T. Ndoma-Egba had appeared before the Honourable Justice Adesiyun as counsel when in, the then Benue Plateau State, soon after the civil war. On his return home he never stopped regaling us with stories about that appearance. What I took away from the stories was that His Lordship was knowledgeable, fair and firm and that he did not suffer fools gladly. I eventually met the great man in person.

In 1974 I found my brother, Christopher Adebayo Ojo, now famously known as Chief Bayo Ojo CON, SAN (now ex this, ex that and everything else), as a new student in the Faculty of Law at the University of Lagos. A friendship was immediately struck before we realised that we were indeed brothers from different parts of the country. This is a story for another day but the long and short of it is that one Folashade Adesiyun now Justice Sade Ojo captured his heart after cupid’s arrow struck it and from that moment I was also enrolled in the Adesiyun household. I remember the quiet, soft spoken gentleman and it took me a while reconciling this genteel gentleman with the no nonsense Judge he was reputed to be in court.

I thank his family and the Ilorin Branch of the NBA for immortalising this great man through the biennial lecture series in his honour and memory.

Definitions I am going to attempt a definition of key terms in the title of this lecture not in didactic or dialectical context but more in practical terms so as to situate them in the context of this lecture.

Democracy Abraham Lincoln (1809-1865) defined democracy as "government of the people, by the people, for the people". This definition has become accepted as easily the most classic definition of democracy which term derives from two Greek words, ‘demos’, meaning people, and ‘kratia’, meaning power, in other words “people’s power”.

The so-called democracies in classical antiquity (Athens and Rome) represent precursors of modern democracies. Like modern democracies they were a reaction to a concentrating and abuse of power by absolute rulers.

The theory of modern democracy was formulated in the 17th and 18th centuries, an age known as the ‘Age of Enlightenment’ when philosophers defined the essential elements of democracy as separation of powers, basic civil and human rights, religious freedom and the separation of church and state, the right to vote, good governance, equality etc. I do not intend to dwell on the definition of democracy as we all recognise democracy when we see it save to add that it is a system of government in which the supreme power is vested in the people and exercised by them directly or indirectly through a system of representation usually involving periodically free and fair elections. According to political scientist, Larry Diamond, democracy has four key elements a. A political system for choosing and replacing the government through free and fair elections b. The active participation of the people, as citizens, in politics and civic life c. Protection of the human rights of all citizens and d. Rule of law, in which laws apply equally to all citizens (Lecture at Hilla University for Humanistic Studies in January 21, 2004,"What is Democracy") Democracy, it is tritely known, is not just a system of government, it has become a tool of modernisation and development. "The democratic skills of compromise, bargaining, superior arguments, give and take, consensus building, lobbying, bridge building and pragmatic resolutions have become yardsticks of enlightenment, human civilization and rapid transmission of societies" (Ajayi T, ‘Twelve Years of Democracy in Nigeria’).

It is generally agreed that there are five progressive stages of democracy. These have been identified as a) Nominal democracy; which is democracy

in its infancy and is essentially the transfer of power from one hegemonic block to another. b) Ritualised Voters democracy; when voters go through the obligatory ritual of registration, campaigns and swearing in of elected officials. c) Transformative economic democracy; the period of public concern for economic growth and social transformation, what we glibly refer to as dividends of democracy. It is said that democracy is the investment of the people while economic growth and social transformation are returns on the investment. d) Constitutional democracy; the phase in which the limits and elasticity of the democratic provisions as enshrined in the constitution and supporting legislations are tested. In this stage the general level of awareness is high enough for both institutions and individuals to pursue collective and individual rights and liberty.

Scholars refer to this stage as “the trial of the Judiciary in democracy, and the gains won are considered the contributions of jurisprudence to democratic growth". This phase entails the use of legal frameworks to determine rights, obligations and justiceable provisions of the constitution.

States may sue States while local government councils may pursue cases in the courts against the central authority and its agencies" (Ajayi T, supra). e) Liberal democracy; considered the highest phase or stage of democracy characterised by high empowerment of civil society and high visibility of non-governmental organisations and the presence of pressure groups and lobbyists.

Observance of human rights is real and not cosmetic and citizenship rights are protected beyond national boundaries.

Democracy is not an event, it is an endless journey as there is no milestone to sign post perfection. Democracy keeps refining, redefining and reinventing itself to meet changing social dynamics. There are no set timelines for nations migrating from one phase or stage to the next. It took the United States sixty years to move from nominal democracy to liberal democracy; Britain about sixty five years for the same journey. It has taken India sixty seven years (from 1949 till date to migrate from nominal democracy to constitutional democracy. The lesson therefore is that democracy is inherently a slow, tedious thread-mill process that requires certain ethics especially patience and a democratic mind-set.

"A functioning, robust democracy requires a healthy, educated participatory followership, and an educated, morally grounded leadership" (Chinua Achebe). Therefore those who believe that democracy is a silver bullet that quick fixes social and economic problems hold an untenable position given the lessons of history. Deliberation and debate stir the soul of democracy while compromise and the rule of law spice it. Democracy, without the rule of law is an incomplete sentence.

Democracy and the rule of law are in theory and practice interwoven, as without the rule of law arbitrariness, impunity and the rule of man will rule and these are inconsistent with democracy.

Law It is said that it is difficult to define what law is, but what it does can be described and what rules apply, can be established. Some legal theorists have however attempted some definitions. The legal positivist John Austin defines law as "a rule laid down for the guidance of an intelligent being by an intelligent being having power over him" and "a body of rules fixed and enforced by a sovereign political authority". Naturalists like Plato and St Thomas Aquinas believe law is an embodiment of reason whether in the individual or community "an ordinance of reason for the common good, made by him who has the care of the community, and promulgated"-Aquinas.

Realist Oliver Wendell Homes believes law is "the prophecies of what the courts will do" while Professor Hart defines law as a system of rules, a union of primary rules. Thomas Hobbes on the other hand believes that "law is the formal glue that holds fundamentally disorganised societies together". Like democracy we recognise law when we are confronted by or with it.

Development In this paper change is used in the context of development.

Senator Victor Ndoma-Egba SAN

The dictionary meaning of development is the process in which someone or something grows or changes and becomes more advanced. (See Cambridge Dictionary). This applies to societies, countries etc.

Social development theory attempts to explain qualitative changes in the structure and framework of society to help society realise her aims and objectives. Development can thus be defined in a manner applicable to all societies at all historical periods as "an upward ascending movement featuring greater levels of energy, efficiency, quality, productivity, complexity, comprehension, creativity, master, enjoyment and accomplishment." {See Wikipedia). Development is thus a process of social change, not merely a set of policies and programmes instituted for some specific results.

The basic mechanism for driving social change is increasing social awareness which in turn should lead to better social organisation. When society senses new and better opportunities for progress it develops new forms of organisation to exploit these new opportunities to its best advantage. Development is governed by many factors that influence the results of developmental efforts. There must be a motive that drives the social change and essential preconditions for that change to occur. The motive must be powerful enough to overcome impediments to the change.

In other words, in a social setting, there must be the political will to effect and to drive the change.

Development is the result of society's capacity to organise resources to meet challenges and opportunities. Every society passes through well-defined stages in its developmental journey.

These stages are *The nomadic, hunting and gathering, *The rural agrarian * The commercial industrial and *The post-industrial stages.

Pioneers introduce new ideas, practices and habits which are usually resisted but later accepted, imitated, organised and adopted by the society with organisational improvements to support the innovations. These improvements can take place simultaneously at the physical, social, mental and psychological levels.

Development and the Nigerian Constitution The Constitution of the Federal Republic of Nigeria (As amended) espouses the vision of development in Chapter 11- Fundamental Objectives and Directive Principles of State Policy.

Section 16(1) of the Constitution provides that "The State shall, within the context of the ideals and objectives for which provisions are made in this Constitution(a) harness the resources of the nation and promote national prosperity and and an efficient, dynamic and self-reliant economy (b) control the national economy in such manner as to secure the maximum welfare, freedom and happiness of every citizen on the basis of social justice, equality of status and opportunity; (c) without prejudice to its right to operate or participate in areas of the economy, other than major sectors of the economy, manage

and operate the major sectors of the economy (d) without prejudice to the right of any person to participate in areas of the economy within the major sectors of the economy, protect the right of every citizen to engage in any economic activities outside the major sectors of the economy.

2) The State shall direct its policy towards ensuring (a) the promotion of a planned and balanced economic development; (b) that the material resources of the Nation are harnessed and distributed as best as possible to serve the common good; (c) that the economic system is not operated in such a manner as to permit the concentration of wealth or the means of production and exchange in the hands of a few individuals or of a group; and (d) that suitable and adequate shelter, suitable and adequate food, reasonable national minimum living wage, old age care and pensions, and unemployment, sick benefits and welfare for the disabled are provided for all citizens” Fundamental objectives are the directive principles laid down by policies which are expected to be pursued in the efforts of the nation to realise the national ideals. The rationale for the provisions is that governments in developing countries have tended to be preoccupied with power and its material perquisite with scant regard for political ideals as to how society can be organised and ruled to the best advantage of all. The rationale is of special significance and relevance to Nigeria whose cardinal features are heterogeneity of the society, the increasing gap between the rich and the poor, the growing cleavage between the social groupings all of which combine to confuse the nation and bedevil the concerted march to progress.

Fundamental objectives prescribe the fundamental obligations of the state to its citizens and the duties of the citizen to the state. They are moral obligations of all citizens to help promote patriotism in the citizens and uphold the unity of the country. The directive principles of state policy, on the other hand, are guidelines for the framing of laws by government. They are guidelines or directions given to the State for the establishment of an economic and social democracy.

Though not enforceable by the courts, welcome as they are, they remain the principles on which governance is based. Directive Principles may be classified as (a) ideals that the State ought to strive towards achieving (b) directions for the exercise of legislative and executive power and (c) the rights of the citizens which the State must aim at securing.

Despite being non-justiceable Directive Principles act as a check on the State, in theory at least, to measure government’s performance.

The economic objectives or developmental vision of the nation are thus embedded in the Fundamental Objectives and Directive Principles of State Policy.

Law and Change, Law and Development In the context of this paper change and development are used interchangeably to connote my aforementioned definition, or better still, description.

There is no technical consensus on how to bring about development or change. Ideas about development which fuel interest in the law encourage the hope that the law could simplify development policy making. In the case of Nigeria this is codified in Chapter 11 of the 1999 Constitution of the Federal Republic of Nigeria (As amended). The Fundamental Objectives have benchmarked the aspirations and through the Directive Principles given the strategy for the realisation of these aspirations. Political and economic choices have to be made within the context and framework of these objectives and directives.

Imperatives for Nigeria- Where are We Coming from?

As at 1st October 1960 when Nigeria got her independence from Britain, her economy was at par with the economies of India, Brazil,

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‘Cybercrime Act does not Create an Enforcement Agency’ The world has indeed become a global village and with it has come challenges, new processes and information systems. But the need for legal and regulatory frameworks to protect individuals, institutions and the global community at large has also become imperative. Nigeria’s large online presence and growing internet culture would ordinarily suggest the presence of an equally robust cybercrime legal framework.However it took the country more than a decade to enact the first of such laws the Cybercrimes Act in 2015. Basil Udotai Esq., ICT legal expert and Cyberlaw specialist told May Agbamuche-Mbu, Jude Igbanoi and Tobi Soniyi what Nigerian lawyers need to do to ensure they seize the opportunities of the modern global ICT law regime. He also spoke on wide range of emerging ICT law issues.

Basil Udotai Esq PHOTOS: Julius Atoi

Y

ou are a renowned specialist in Information and Communication Technology Law, which is a very unique and new area of the law.

Could you enlighten us on this novel area of the law? What do Technology Lawyers do?

First of all, I would like to thank THISDAY LAWYER for visiting our offices today and giving us a chance to have a discussion on law and our increasingly evolving digital economy in Nigeria. It is always a great pleasure for us as a firm to interact with colleagues on these issues, especially as we haven’t had as much time as we used to have in the past to participate in conferences and seminars. Yes, ICT is a new and interesting area of practice and one that captures

the attention of many lawyers. It is however not a walk in the park, not that any area of law is, but ICT is uniquely intricate in the sense that one is not only focusing on the legal frameworks and principles of law, but also requires a good measure of familiarity or understanding of the underlying technologies involved. Sadly, lawyers tend to be technology averse, so the field of ICT law is not as crowded in Nigeria as one would have expected given the tremendous growth in the sector during the past decade.

This may be a good thing from a competition standpoint, as the few specialist lawyers do not have too many firms to compete with. We are not yet aware of any firm that is exclusively focused on this area besides our practice. The other advantage we have is that we get to pick and choose the projects we want to get involved in. Luckily for us, there are many growth areas in ICT, so finding signature projects is never

a challenge. A major difficulty here is finding specialist lawyers to hire. Besides the techphobia syndrome, which I already mentioned, the fact that ICT is regulated under three distinct legal regimes in the country, adds to the difficulties.

So while technologies have largely converged around Telecommunications, Broadcasting and Information Technology to enable what is called triple play (voice, video and data); it is practically impossible to find a Nigerian lawyer today who is versed in all three areas of ICT combined. You are likely to find good telecoms lawyers who know very little or nothing about broadcasting; or good broadcasting lawyers who are not very familiar with information technology law or telecoms for that matter. Many jurisdictions regulate technology services under a single legal framework, not just because of the convergence of technologies, but also to accelerate growth by eliminating needless turf battles between regula-

tors as well as reduce transactional cost. Also to enhance operational efficiencies for businesses. It is very important, in fact inescapable, that Nigeria considers merging the three legal frameworks namely; Nigerian Communications Act; National Information Technology Development Agency Act; and the National Broadcasting Commission Act, into one “converged” legal and regulatory regime for ICT. On what technology lawyers do specifically, I usually like to express the expertise of technology lawyers as attorneys who operate at that intersection between law and technology. Thus, we offer regulatory and compliance services both to industry regulators and operators. We also handle legal risk management by helping clients negotiate, draft and manage technology related contracts (hardware, software, related network infrastructures etc.); as well as advise clients on how to guard against liabilities, and protect their

24.05.2016 "YES, ICT IS A NEW AND INTERESTING AREA OF PRACTICE AND ONE THAT CAPTURES THE ATTENTION OF MANY LAWYERS. IT IS HOWEVER NOT A WALK IN THE PARK, NOT THAT ANY AREA OF LAW IS, BUT ICT IS UNIQUELY INTRICATE IN THE SENSE THAT ONE IS NOT ONLY FOCUSING ON THE LEGAL FRAMEWORKS AND PRINCIPLES OF LAW, BUT ALSO REQUIRES A GOOD MEASURE OF FAMILIARITY OR UNDERSTANDING OF THE UNDERLYING TECHNOLOGIES INVOLVED" sensitive digital and legal assets as they utilise technology and related resources for everyday business operations. Our great area of strength is in legal development, where we work with clients to draft and review appropriate languages into proposed legislation or regulatory instruments to enforce legal mandates of clients or bridge gaps in our legal system in relation to various subject matters. We have served on a number of committees both in the House of Representatives and the Senate in this area, and worked with a host of international organisations as well.

The Legal Profession, by its historic roots, has always been a conservative one.

Decorum, conventions and the preservation of the dignity of the legal profession has remained the preserve of the men and women of the bar for centuries so how do you believe the conservative nature of the profession will be influenced by the more modern and prevalent forms of social media presence and the contemporary ‘art of selling’ a brand on the internet?

Are you referring to Rule 33 of the Rules of Professional Conduct in the Legal Profession?

Well, we had a discussion concerning this rule recently and I had to actually check to see that the rule still exists. And to my surprise it is still part of the rules governing the conduct of our legal business today. It is either we are deliberately pretentious or we just have not had the chance to revise our rules yet. Any law firm with online presence in the country has either violated Rule 33 or risks such violation. How about Rule 34, have you taken a look at it? This interview we are having now may traverse that rule, one way or the other. I know we have a profession with rich conservative history to maintain, but just like the Supreme Court once indicated that law cannot shy away from technology in the context of digital evidence (I am paraphrasing here, of course), if law must continue to operate as the instrument for social engineering, then irrespective of the sophisticated nature of the prevailing technology at any given time, the law must be made to play its role in society. In that regard, I think it is obligatory for us lawyers – to not only progress with society, but also we have to understand that both society and our clients expect us to play our part in articulating legal remedies and managing legal risks even in complex technology environments. So, how can we do this in respect of social media, for instance, if we are not there ourselves, and cannot create profiles for our lawyers and firms? How would today’s “always connected” clients find us? Most youths nowadays are practically “digital natives” and companies are targeting this demographic for products and services. Governments are “sacked” and “installed” on the power of social media. Our entire lifestyles as a generation have migrated “online.” Anything that is left is being readied for seamless interconnection as we speak. In view of these current realities, why should we retain rules in our profession that deliberately set us back?

Maybe we can challenge some of the candidates running to be elected as the next President of the NBA to take up the challenge of reviewing and modernising our rules of practice to make them more contemporary and effective. Should that happen, I will gladly volunteer – to the extent that my services are needed, to work with other colleagues to reform the rules and make them consistent with today’s business practices and the online environment. I doubt very seriously that Rule 33 would survive such a review.

The use of e-commerce and e-payment channels have brought to the fore a variety of legal issues relating to liability for fraud

COVER/9 on banks’ or 3rd party websites. In your view how is liability determined for fraud in e-transactions on a third party’s website?

Irrespective of the platform in question, whether that of a bank or 3rd party, online fraud committed in the course of e-transaction in Nigeria is criminal today by virtue of the Cybercrime Act 2015. So it is no longer an open question as to where responsibility lies in terms of criminal law.

However, as a regulatory matter, all card-issuing banks are bound by guidelines and other regulatory instruments enacted by the Central Bank of Nigeria (CBN) in this regard. There are two important guidelines I can think of here - the Guidelines on eBanking and Card Issuance and Usage Guidelines.

It appears that by virtue of these guidelines, banks are responsible for the security of the payment cards they issue; and are liable to reverse electronic transactions reported by cardholders to have been executed fraudulently, and chargeback (or refund) the amount involved back into the cardholder’s account. This is consistent with global best practice and enshrined in Card Associations Operating Regulations, which the CBN has imported into its regulatory regime through those guidelines. In certain circumstances however, the merchant (or so called third party) may be liable to the bank, especially post chargeback, if the fraud results from a breach of an obligations owed to the bank by the merchant. Even though the legal status of online fraud appears a lot clearer in Nigeria now, realising customer remedies remains a huge struggle. Consumer education is key here. The practical benefits of criminal law as the only legal solution is extremely limited, in the fast paced transactional environment, involving thousands or millions of payment processes occurring simultaneously and repeatedly on a 24/7 basis.

So emphasis should be placed on resolutions of cases in expeditious manner consistent with the fast paced nature of the online world. The enactment of Electronic Transaction Law will also go a long way in reducing incidents of fraud by ensuring that technological and legal measures are adopted to achieve the validation, authentication and enforcement of electronic transactions.

There has been a lot of outcry recently over a Bill in the National Assembly seeking to impose 9% tax on communication services in the country. Some have warned that this Communication Service Tax (CST), as it is called, will retard Internet penetration in the country and slow progress in eCommerce etc. Do you think there is a place for CST in Nigeria?

I was very surprised to learn of the introduction of the Communication Tax Bill at the National Assembly. My surprise stemmed from the fact that there is already in our legal system a communication service tax of sort; and so the Honourable member who introduced this Bill and the entire House of Representatives who chose to take this on somehow missed that fact. S.44 of the Cybercrime Act provides for the levying of a tax corresponding to 0.005% of the value of all electronic transactions. I understand that there are serious difficulties already in trying to enforce the tax provisions of the Cybercrime Act. Typically, operators have a knack for passing taxes, especially service-based taxes imposed on them, to consumers one way or the other. To the extent that CST may raise rates, it may have negative impact on growth. However, I doubt that the Bill will sail through. I am sure that as soon as members become aware that there is already a service related tax in the industry, they may stand down the Bill so as not to unduly overburden

consumers of communication services.

Recently, the Central Bank Governor Godwin Emefiele suspended a deputy governor of the Central Bank and four deputy directors resulting from the hacking scandal at the CBN which saw hackers extract $441,000 from the apex bank. Attacks like this put a spot light on the effective policing of cybercrime and cyberattacks. Do you believe the cybercrimes Act 2015 adequately provides protection for unsuspecting internet users, especially considering the complexity of third-party platforms and internet liability?

On the CBN fraud itself, I doubt very much that it was a case of hacking. Based on publicly available information, it appeared that scammers emailed a fund transfer request to the CBN at a time when the Governor and other key officials were already airborne on a trip to China. The scammer carefully timed the request to occur at that particular time to prevent the request from being authenticated. The fact that officers of the CBN were fired following the incident indicates that the apex bank might have suspected insider complicity. It was a very simple case of email fraud, which sadly led to the loss of a lot of money at the CBN, but it certainly was not hacking.

The incident that concerned me a bit more was the one reported in the Vanguard Newspaper of February 9, 2016 in which the Department of State Services (DSS) was said to have foiled attempts to hack and steal N4.5 billion from The Single treasury Account (TSA) maintained at the CBN. Though there was a lot less information on this, the mere idea that the TSA was targeted and the word “hacking” was used, should be a serious cause for concern to all of us. Now that the government has consolidated the entire revenue of the country into a single account, chances that a successful hack could wreak imponderable havoc on our economy appears high. And yes, the Cybercrime Act has addressed many online frauds in its provisions, including hacking. But just having the law in place does not confer protection. Even countries with long standing history of superb cybercrime enforcement still suffer network attacks and breaches of their most secure communication infrastructures. I am sure that the security systems around TSA are cutting edge, and the structure of the account itself may not be as “single” as it is made to sound, such that a successful attack would not result in zero TSA account balance. The President recently stated that the sum of N2.2 trillion was realised in the TSA account in three months. This is exactly the sort of detail that serious hackers

"IT IS VERY IMPORTANT, IN FACT INESCAPABLE, THAT NIGERIA CONSIDERS MERGING THE THREE LEGAL FRAMEWORKS NAMELY; NIGERIAN COMMUNICATIONS ACT; NATIONAL INFORMATION TECHNOLOGY DEVELOPMENT AGENCY ACT; AND THE NATIONAL BROADCASTING COMMISSION ACT, INTO ONE ‘CONVERGED’ LEGAL AND REGULATORY REGIME FOR ICT"

are interested in having. Besides the very high amount, just being able to successfully hack the central account of Nigeria, is something that holds a lot of bragging value for world-class hackers.

Notwithstanding the fact that cloud computing has been one of the most significant technological advances in recent years it has also raised new legal and ethical issues for lawyers and corporations including confidentiality of client’s information. Given the prevalent nature of such new technologies, how should law firms be preparing to benefit from their advantages while protecting clients from the threats presented by their shortcomings?

Most people today are already using cloud services without knowing it. If you have one of those free emails, or even enterprise emails that are paid for but provided by Google or any of the global mailing and collaboration organisations, you are already in the cloud, trust me! Again, this is the future. It is futile to try to resist it. All that we can do is ensure that our cloud services agreements, including the service obligations contained in the SLA’s are specifically drafted for the services acquired. Cloud operators have standard service agreements prepared by lawyers in their head offices in whatever country they are based. Sadly, I have seen many organisations sign these agreements “as is” without negotiating any elements to reflect their particular circumstances.

This is wrong and totally ill-advised. A law firm is a repository for very sensitive client related information. So service obligations reflecting our businesses must be crafted into the cloud services agreement. We should also keep in mind that cloud computing implies, not in all cases though, that data may be held outside jurisdiction. This means that data access laws in Nigeria which ought to be enforced may be inapplicable, if found to be inconsistent with equivalent laws in the country where the cloud servers are located.

This is where many countries enact the so called Data Sovereignty Policy, which seeks to limit the location of data held in cloud services to being domesticated within jurisdiction. I am not aware that we have such a policy yet in Nigeria.

Part of the ethical consideration arising from the Panama Papers leak include data protection and client confidentiality. In your opinion what key components should a law firm consider in designing a data protection system for the records it keeps for clients?

First of all, let me quickly try to distinguish data protection from data security, because I think what you are referring to here is data security not data protection. From a technology law standpoint, data protection is a set of statutorily conferred rights to individuals whose data is submitted to service providers in the course of electronic services; to limit or determine the manner in which personal data is collected, stored, retrieved and shared; and includes the right to recover remedies (financial and otherwise) for abuses occasioned to such personal data. Data security on the other hand, refers to all measures - technological, legal and physical, etc. adopted to safeguard the confidentiality, integrity and availability of data in a network environment.

Nigeria is yet to enact a data protection law, so law firms and businesses are unable to obtain benefits specific to data protection frameworks for the time being. Concerning data security, the Cybercrime Act has ample provisions in the event of an attack. However, as I have indicated earlier, there are also transactional considerations which firms are advised to undertake, especially in the choice of technology services providers, as well as services agreements especially with commitments specific to security. One fact that the Panama Papers leak proves, once again, is the fact that no system is impregnable. The very first casualty for cases of this nature is usually the organisation’s reputation. Clients’ exposure also means potential lawsuits. The governance rule on this is for the firm to ensure that it complied with all laws and followed best practice principles and policies in its database management and recovery system. No law requires anybody to promise the impossible, which would be the case should any firm offer that its system is not susceptible to attack.

Recently there have been controversies in the Telecoms industry concerning the BVN, SIM Registration and Multiple Identity Databases.

Could you briefly clarify the legal regime and statutory guidelines on the BVN, SIM registration and Multiple Identity Databases and all such customer related data issues?

This is a very troubling subject. We are now witnessing all manners of excuses being advanced for the collection of biometric data of Nigerians.

The danger with having so many databases with these unique human identifiers and credentials mean that folks can manipulate these databases and create actual individuals for any number of

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‘CYBERCRIME ACT DOES NOT CREATE AN ENFORCEMENT AGENCY’ CONTINUED FROM PAGE 9 nefarious purposes. For instance, the BVN database contains those unique credentials upon which a legitimate Nigerian Passport can be issued. This is made extremely easy by the fact that the Nigerian Immigration Services (NIS) maintains an ePassport Database as well, and is linked to the Internet.

Forget the fact that BVN also contains intelligence on the health of our individual financial accounts.

So, integrating or overlaying the BVN data on the SIM database reveals all the individual’s phone numbers and addresses, and the FRSC database will get the individual’s drivers license. It seems that to the extent that we have somehow created an environment where someone can sit in Kiev Ukraine, where a lot of hacks come from these days, and issue a Nigerian Passport, drivers license and a phone number/addresses in the name, face and biometric identity of a very rich Nigerian, it appears that Nigeria has succeeded in enabling a hackers’ paradise. Of course, if a lot of these databases were built by certified professionals, based on strict standards adopted at the national level, with severe consequences for violations, while being monitored by agencies with the required mandate and technology tools, perhaps the chances for abuse might already be curtailed. But we have no such standards, either for the databases or the professionals involved, and so this is an area where financial gains remain the driving force against all else. As far as the legal analysis that you asked for is concerned, my take is that only entities that have statutory authorities to collect and retain personal data of individuals should be able to do so. All other organisations, who only need that data for their regulatory functions should be required to secure privileged access to the databases maintained in agencies with the legal right to do so. If this approach is adopted, we would immediately see that many entities jostling to collect biometric data of Nigerians would be legally incapable of doing so. One organisation with the overriding legal authority over biometric data and databases of Nigerians is the National Identity Management Commission (NIMC). Interestingly the NIMC Act also contains regulatory mandates which the Commission can utilise to spearhead a regulatory clean up of the system.

There has been a marked increase in eGovernment services at the federal and state level. Most salaries and contractors are now paid electronically, and organisations like INEC and FRSC have embraced technology with varying degrees of success. However, the recent effort by JAMB to adopt Computer based tests for candidates did not do very well. What in your assessment was the issue and how can this be corrected in the future?

You are absolutely right, the manner in which government services are being constantly migrated online is very impressive. eGovernment is the responsibility of the National Information Technology Development Agency (NITDA) under the Ministry of Communication Technology. Right after the disastrous outing by JAMB, I had occasion to discuss the issue with people at the eGovernment Department in NITDA. I was very sad to realise that they were not even consulted by JAMB on this. It goes back to the issue of standards I raised earlier. NITDA too has realised that there are many things left undone in its law and working very hard now to accomplish them. I can say this now for sure, because I am in those discussions now. But a situation where a government agency simply hires a technology service organisation to deliver on a critical national project, with tremendous impact on not just citizens but the wider economy as a whole, should be discouraged. NITDA needs to work on standards across service and product line, including professional standards for individuals in the industry and adopt regulatory instruments that compel MDA’s to insist on these standards as conditions for services. This is the only way that projects like the computer based test of JAMB, or any other eGoverment service deployment can work. Technology is not witchcraft. A lot of what we are attempting to do in Nigeria has been done in other places. If we are too shy to copy their methods, we can at least copy their standards. It is allowed!

You have been identified as one of the main architects of the Nigerian Cybercrime Act 2015. Why was this legislation so necessary?

What does the legislation seek to correct from our existing body of laws?

First of all, I would quickly run away from being identified as the main architect of this particular Cybercrime Act. Yes, I was involved for about 6 years in the early days of the drafting of some versions of the cybercrime bill. But when this law was proposed, I had left ONSA and was already in private practice. I was consulted every now and then, but my influence was very limited. This is

why, if you have noticed, I am not a very big fan of this law because a lot of provisions extraneous to both criminal law a very strict area of law, and cybercrime law as a technology field; found their ways into the law. I have also advanced a number of ways to circumvent those challenges and still deliver on respectable cybercrime enforcement on the basis of this law. Since my position is shared by many in the industry I am sure at the right time some of those considerations would be reviewed by the powers that be and appropriate actions taken accordingly. As for the necessity of a cybercrime legislation, it could not be gainsaid.

Having exposed Nigeria to ICT and causing us to migrate practically all personal, business and now official government processes online, the least the government could do is enact and enforce a law to secure those processes and interactions.

Besides, the only way to assure the utilisation of technology as the true engine for economic growth is to secure the computer systems and networks through which ICT services run. The government owed the duty to enact the law and though it took more than ten years to accomplish it, the fact that it is here now should nevertheless be acknowledged.

Regarding the Cybercrimes Act specifically, to ensure proper compliance with the Act, there has to be a robust enforcement regime.

How would you assess the enforcement of the Act since it was passed?

As soon as the Cybercrime Act was enacted on May 15, 2015, I raised the alarm that I foresaw weak if not zero enforcement. And the reason I said that was because the law, unlike other criminal statutes in Nigeria, mandated “all relevant law enforcement agencies” to enforce it. As you would notice, the tradition in our justice administration system is to enact a law, which prohibits certain actions as crime and create an institution to enforce those specific laws. This is why you have NAFDAC enforcing pharmaceutical related law and NDLEA responsible for the narcotic related. The EFCC is responsible for economic crimes and the Copyright Commission is only conferred with the authority to enforce copyright laws. So, this tradition was not only broken with the Cybercrime Act, but the law then ended up creating too many “cooks” in the law enforcement agencies resulting in no one actually enforcing the cybercrime law. The unspoken rule in the law enforcement community, which this law did not bear in mind, is the fact that authorisation to carry out any function by a law enforcement agency must comply with the enabling law of that agency. The side effect of this lacuna is that Nigeria now does not seem to have anyone take up the leadership of enforcing the Cybercrime Act, because nobody truly sees it as their responsibility. That is why from the enactment of the law, it took nearly a year for any action to be taken at all under the law. This occurred a couple of weeks ago or so, when the National Security Adviser inaugurated the Cybercrime Advisory Council, which is only a policy making body under the Act, and does absolutely nothing in the area of advancing the enforcement of the Act. Our recommendation was for the law to create an agency, just like others, to be conferred with the authority to enforce cybercrime and assure cybersecurity in the country. If that recommendation was adopted, not only would we have seen some action on this matter we would have someone to blame for this current lapse in enforcement.

What is Lawful Interception? To what extent

"AND YES, THE CYBERCRIME ACT HAS ADDRESSED MANY ONLINE FRAUDS IN ITS PROVISIONS, INCLUDING HACKING. BUT JUST HAVING THE LAW IN PLACE DOES NOT CONFER PROTECTION" can anti-crime security agencies legally invade our privacy in crime investigation?

Interception of communication is illegal under Nigerian law. S. 12(1) of the Cybercrime Act provides for 2 years imprisonment and a fine of N5 million or both for its violation. Thus, interception is only legal if conducted upon securing prior judicial authorisation by way of an order of court and based on the strict requirements established under S.39 of the Cybercrime Act. So law enforcement and security agencies can validly intercept our communication, whether voice or data as well as location related information, for the purpose criminal investigation if approved by a Judge upon application. This law is complemented by the Nigerian Communication Act which in S.146 and S.147 mandates operators to cooperate with law enforcement in the investigation of crime, on the one hand, and also to make their networks intercept capable, on the other hand. Lawful interception is tricky under Nigerian Law, because a major deficiency in illegally obtained evidence in other jurisdiction is that such evidence would be thrown out in court. Our jurisprudence on this matter tends to indicate that the courts would look and consider evidence, even if obtained illegally, if such evidence is relevant to the case and dispositive of the matter at hand. The only safeguard now with the coming into force of the Cybercrime Act is the fact that law enforcement officials involved may be indicted under S.12 of the Cybercrime Act. Whether this is capable of deterring abuses in the area of interception in Nigeria remains to be seen.

There have been reports on Nigeria’s Digital Switch Over (DSO) of Broadcasting Networks and how Nigeria has been left behind by the rest of the world failing to meet international broadcasting deadlines for the switch from analogue to digital broadcasting. How can this anomaly be addressed to avoid national embarrassment? What are the consequences of failing to switch to digital broadcasting?

Digital Switch Over (DSO) was mandated by the International Telecommunications Union (ITU) for all its members in 2006. Nigeria as a member of the ITU was required to comply with this international obligation. However, only last year was the country able to find resources to enable DSO, which is being spiritedly implemented now by the National Broadcasting Commission (NBC) under the Ministry of Information and Culture. While the country has missed several deadlines already, including one last year in June, the benefits of DSO to television viewers and the broadcasting industry as well as the wider economy are so numerous that it may require another interview to go into it. Briefly, with about 30 million tv households, Nigeria has the largest free view population in the world.

The immediate benefit, which everyone would

notice is the digital quality of the tv broadcast and increased number of channels offered free to all tv households in the country. For content owners, it creates an opportunity for maximum commercial value for content as broadcasters would pay for content, instead of the current situation where content owners are being required to pay broadcasters to have their content aired. DSO is also the strongest antipiracy platform. Nobody who has access to watch original programmes and films free of charge in good digital quality would buy pirated movies from street vendors.

Digital also means that content owners can load and sell contents or license to third parties on valuable commercial considerations to sell in the market. For the broadcasting sector, DSO is the best thing that can happen to Nigeria. It would create thousands of opportunities for employment; establish audience measurements, which will directly impact advertisement value greatly. DSO was recently launched in Jos for about 300,000 tv households.

So we can no longer talk about consequences for noncompliance because it appears the country is already set to meet the new deadline of June 2017. The only thing that remains to be said is for lawyers to educate themselves about DSO as many client offerings and services would be impacted, so they can continue to offer sound legal advise to clients as needed.

What is Critical Information Infrastructure Protection? What would you recommend to the Nigerian Government and business community, including foreign investors, as a means to achieving it?

Right after September 11 2001 many countries realised that several aspects of their national affairs can be gravely impacted if certain communication infrastructures are damaged. So a different set of security requirements were then established for those kinds of infrastructures, whether physical or cyber. That is the idea behind Critical Information Infrastructure Protection (CIIP). It is defined in the Cybercrime Act as “any systems and assets, which are so vital to the country that the destruction of such systems and assets would have an impact on the security, national economic security, and national public health and safety of the country.”

The strategy adopted in the Act for CIIP is two fold. First, an order issued by the President, on the advise of the National Security Adviser (NSA) shall designate infrastructures in Nigeria that constitute CII. Secondly, the Act provides a very high level of penalty for offences against CII. In view of the destruction of telecoms and communication infrastructure in the northern parts of the country by terrorists as well as saboteurs and thieves in other parts of the country, operators have waited for a very long time to see some action on CIIP in the country. It is hoped that when the law is eventually implemented this aspect would attract enforcement priority. A few clients have asked me whether the provisions of CIIP in the Cybercrime Act can be enforced against States and Local Governments who on the basis of their laws and edicts take actions against CII thereby rendering them inoperable, non-functional and in some cases damaged. I think this can be certainly explored, not for the purposes of indicting and prosecuting state officials under the Cybercrime Act, but as a measure to seek a national consensus on CIIP, similar to what Lagos State did under Governor Fashola with the Association of Licensed Telecoms Operators in Nigeria (ALTON).

Currently, technology exists which seeks to replace the roles carried out by humans with robots or artificial intelligence, proponents of this trend believe that it would save time and costs in addition to improving the quality of service delivery to clients. Do you believe that the services lawyers provide may one day be replaced by artificial intelligence?

Lawyers’ role representing clients and advocacy in court, which require direct human involvement and emotional connection with the Judges may defy technology incursion a bit longer, than the mere process related aspects of our work- whether it is legal research, discovery, case management, billing, process filing etc. It is interesting that you asked this because I recently stumbled on an article published by Bob Goodman and Josh Harder as far back as December 2014, in which they both reviewed areas in law practice that are ripe for disruption by smart start-ups. I think you should find and read the article. Quite interesting. In any event, in the list of things to worry about as lawyers, I would definitely worry a lot less about the possibility of my services being totally automated so that I am no longer needed. What may even happen before then, as health and biotechnology develops, is that I may be cloned and my clone(s) work in my firm in other locations. But I would not lose sleep about that happening either.

24.05.2016

/11

Paying for Your Ignorance? A Brief Introduction to the Law on Traffic Offences in Lagos State Ekene Chuks-Okeke

A

few months ago, I needed to see my doctor in Surulere, Lagos. Not being familiar with the route, I turned to the Google Maps app on my phone. Though greatly helpful, it is not a perfect app. On getting to Surulere, I began to doubt the directions the app was giving. As I approached a red light, the traffic slowed, so I picked up the phone to actually see what the map looked like, and in seconds, I had a LASTMA officer at my window, and to my greater alarm moments later, in my car! It was bad enough that it looked like I was on the phone, calling or texting, but the situation was made worse by the fact that the officer was threatening to impound my vehicle, quoting sections of the law that I (the lawyer) could not answer to! I was in too much of a hurry to verify his claims that afternoon, and to cut the long story short, I ended up paying dearly for my ignorance.

‘Ignorance of the law is no excuse’ is a fundamental principle of our Criminal justice system. It is indeed interesting how many - if not most Lagosians, are unaware of the laws guiding the roads we ply every day. In most criminal cases, if it cannot be established beyond reasonable doubt that the accused person intended to commit the offence (and he was also not negligent or reckless), you have no case against him. As a general rule, it is required to prove that the offender had actus reus (that is, he committed the offending act) as well as mens rea (guilty mind, the intention to commit same) at the time he committed the offence.

However, Strict Liability Offences are of a special category. They constitute an exception to the rule that mens rea (guilty mind) must coincide with actus reus (guilty act). Simply put, once a person has committed a strict liability offence by engaging in the “guilty act”, it is not relevant whether he positively intended to do it or not.

Strict Liability Offences- The Rationale It may seem unfair to punish people for honest mistakes, but our laws on health & safety, pollution control, road traffic, possession of drugs and weapons show us why strict liability offences are necessary. For the purpose of this article, we shall limit ourselves to road traffic offences.

Strict liability offences exist for the interest of the public. They are mostly regulatory in nature. The benefits of enforcing strict liability offences on our roads for instance, far outweigh the cost of punishing an innocent offender.

How is an officer supposed to prove that the person that ran a red light, or went above the speed limit, had the intent to do so? You may find yourself on a one way street by mistake (it happens) but if it were possible to plead that you were totally unaware of the fact that it was a one way street, you will agree that everyone would do as they pleased.

It is in the interest of us all that our roads are safe to go along, and with minimum delay. It is pertinent to note that for most traffic offences punishable by fines, at the centre of execution or enforcement of the punishment is the car, not the offender. If a person is caught committing a traffic offence in it, he or she will be pulled over. However, if that person is unable to pay the fine, the car may be impounded and towed to an authorised location. If this offender is not the owner of the car, he may very well abandon the vehicle with the authorities. However, for the owner of the car to recover possession, that owner would have to pay the levy, or leave his car distrained. Unlike other criminal offences, when a traffic offence is committed, it is the car that is “arrested”, not the offending driver.

Traffic Offences: The Legal Framework In Lagos, road traffic is primarily governed by the Lagos State Road Traffic Law, 2012 which establishes the Lagos State Traffic Management Authority (LASTMA) and the Vehicle Inspection Service. While LASTMA’s mandate focuses on the control of traffic and apprehension for

traffic offences, the Vehicle Inspection Service’s duty is to make sure cars are road worthy.

Before I go on to examine the most common traffic offences and their accompanying penalties under the Lagos State Road Traffic Law, 2012 (hereafter, “the Law”), it is important to note that not all traffic offences under the law are of strict liability. Sections 18 - 21, in particular, provide that any person who commits them shall be “liable on conviction” to terms of imprisonment and/or heavy fines. It is easy to understand why mens rea is necessary in these situations. Knocking somebody over with your vehicle, or driving under the influence of drugs or alcohol clearly yields different consequences, and holds different implications for safety and order than driving against traffic, or unauthorised parking.

Please also observe the fines attached to each offence. Some unscrupulous officers in our law enforcement agencies are known to exaggerate the values, and in this, you may fall prey as well.

Section 18 “Any person who causes the death of another person by driving a motor vehicle recklessly, or at a speed above the stipulated limit which is reckless or dangerous to the public, having regard to all the circumstances of the case, including the nature, condition and use of the highway, street or other place, and the amount of traffic in the vicinity at the time, or which might reasonably be expected to be in the vicinity, shall be guilty of an offence and liable on conviction to imprisonment for a term of seven (7) years.”

Section 19 (1) Any person who drives a motor vehicle on a highway recklessly or negligently, or at a speed above the stipulated limit or in a manner, which is dangerous to the public, having regard to all the circumstances of the case including the nature, condition, and use of the highway, and to the amount of traffic which actually is at the time, or which might reasonably be expected to be on the highway, shall be liable on conviction to a fine of One Hundred Thousand Naira (N100,000) or to imprisonment for two (2) years or both.

(2) If upon the trial of a person for an offence under the provision of Section 20, the Court is not satisfied that the person’s driving was the cause of the death but is satisfied that he is guilty of driving as mentioned in subsection (1) of this Section the Court may convict that person of an offence under this Section.

Section 20 (1) Any person who drives a motor vehicle on a highway without due care and attention,

or without reasonable consideration for other persons using the highway, shall be guilty of an offence and be liable on conviction to a fine of fifty thousand naira (50,000) or in the case of a second or subsequent conviction to a fine of one hundred thousand naira (N100,000) or to imprisonment for three (3) months or both.

(2) Where a person is charged with an offence under subsection (1) above and the Court is of the opinion that the offence is not proved, then at any time during the hearing or immediately after, the Court may, without prejudice to any other power exercisable by the Court, direct or allow a charge for an offence under this Section to be preferred forthwith against that person and may proceed with that charge, so that the person charged or his counsel shall be informed of the new charge and be given an opportunity, whether by way of cross-examining any witness whose evidence has already been given against him or otherwise, of answering the new charge and the Court shall, if it considers that he is prejudiced in his defence by reason of the new charge being so preferred, adjourn the hearing.

Section 21 (1) Any person who when driving or attempting to drive, or when in charge of a motor vehicle on a highway is under the influence of alcoholic drink or a drug to such an extent as to be incapable of having proper control of such vehicle, shall be liable on conviction to a fine of one hundred thousand naira (100,000) or to imprisonment for two (2) years or both.

(2) A person convicted of an offence under Section 20, and 21 (1) shall, unless the Court for special reasons thinks fit to order otherwise, and without prejudice to the power of the Court to order a longer period of disqualification, be disqualified for a period of twelve (12) months from the date of the conviction from holding or obtaining a driver’s licence.

Now, let us examine some common strict liability traffic offences in Lagos and the accompanying penalties under the Lagos State Road Traffic Law, 2012: Offences punishable by a fine of N20,000 for 1st Offenders and fine of N30,000 for subsequent offenders: 1. Disobeying traffic control personnel 2. Failure to yield to right of way of pedestrians at a zebra crossing 3. Failure to give way to traffic on the left at a roundabout.

4. Smoking while driving 5. Tailgating an emergency vehicle 6. Failure of slow moving vehicle to keep to the right lane 7. Illegal U-turns

8. Making or receiving phone calls when driving without hands free 9. Use of BRT Lite corridor 10. Motorist resisting arrest 11. Failure to display reflective warning sign at point of breakdown 12. Driving without a strapped seat belt 13. Counting money, or being otherwise engaged in other activities when driving Parking on a walkway or kerb is an offence punishable by a flat fine of N20,000.

The offences of ‘Exceeding a Prescribed Speed Limit, and ‘Wrongful Overtaking of Another Vehicle’ are punishable by a hefty fine of N100,000.

On the 5th day of February, 2016, the Lagos State Government inaugurated the Special Offences (Mobile) Court to summarily deal with cases of road traffic offences, as well as environmental abuses in the State.

As provided by the law, traffic offenders are liable to the option of fine, imprisonment or both fine and imprisonment upon summary trial and conviction. These mobile courts are presided over by magistrates, and defence lawyers from the Office of the Public Defender are available to accused offenders.

It is also interesting to note that by virtue of Section 1 (g), the Authority reserves the right to “demand of a psychiatric evaluation of any person who drives against the normal flow of traffic or who fails to comply with any of the provisions of this Law, if in the opinion of any officer of the Authority such an evaluation is necessary for the purpose of determining the person’s ability to operate a motor vehicle provided that such shall be at the driver’s cost.”

CONCLUSION Agreed, the existence of the Lagos State Road Traffic Law, 2012, and its enforcement are two different things, but I hope this has been enlightening. Now that you are aware, share this with your peers, your family, and perhaps most importantly, educate your driver - to avoid paying for his ignorance as well!

In this article, I refer to the above mentioned traffic offences as common because they happen every day. Whether people are aware that all of these are offences is not likely, but as we have established so far, ignorance of the law is no excuse. Neither is the absence of intent, nor the fact that you as the owner of the car did not personally commit the traffic offence.

For more traffic rules and regulations, see the Lagos State Road Traffic Law 2012.

Chuks-Okeke writes from Consolex Law Firm, Lagos

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24.05.2016

IN BLACK AND WHITE ADERINSOLA FAGBURE

afagbure@yahoo.com

Succession Planning Make Or Buy?

J

ust like you I could not comprehend the meaning of the above phrase when I first stumbled on it. I thought a more businesslike question would be “to buy or to sell”? To unravel the dilemma I decided to research on the phrase and was able to deduce its meaning. A make-orbuy decision is the act of choosing between manufacturing a product in-house or purchasing it from an external supplier. In a make-or-buy decision, the two most important factors to consider are cost and availability cum production capacity.

It is for this reason that a car may be described as a product of a particular country but most if not all the components would have been manufactured in other jurisdictions which boast of cheap labour and a reduced cost of doing business.

The shift towards outsourcing is not only relevant to products but is now applied in making employment decisions.

In the context of this article, the phrase refers to the decision large companies make as regards the appointment of Chief Executive Officers. While carrying out my official research, I came across the Economist of 23rd April 2016. The article I stumbled upon reported that “to make or to buy” is perhaps the most basic question in business.

It further explained that statistics released by PWC, the globally renowned accounting firm, state that a growing number of corporations opt for the “buy” option when it comes to appointing CEOs. To buy would mean paying a huge salary to attract a top-shot from another organisation. The buy option is similar to making a transfer offer for a top-notch player within the Premier League. Making on the other hand implies grooming a high flier from as low a level as a graduate trainee, such that this candidate has fully imbibed the organisations culture, before being handed the leadership mantle.

Succession planning is a much talked about subject in modern corporate governance. Traditionally boards used to turn to outsiders only as a last resort; when they have to boot out incumbent CEOs or when something goes amiss and the pipeline of internal candidates runs dry. Modern trends reveal that firms increasingly go for outsiders as part of their succession planning strategy. As with most things in life, both approaches have advantages and disadvantages. In my view, as will be explained subsequently, the cons out number the pros. Nigerian corporate governance rules, though at the rudimentary stage, are greatly influenced by those in the UK and US. It would not be out of place to assume that the buy option will soon begin to gain ground locally.

One wonders if the necessary checks are in place to accommodate the anticipated preference for outside bosses.

The change in the mantle of lead-

ership at JC Penny in the fall of 2011 will be used to buttress “the make” argument in detail. Ron Johnson was appointed not just as CEO of JC Penney, but was touted as the messiah who was needed to revamp the ailing retail business, having had a successful tenure as Apple’s Retail Chief. He had achieved unprecedented success in his former employment, as he was said to have lead Apple’s remarkable ascension to the top of the corporate world.

I dare say that JC penny was no better off, under his short but much talked about leadership. Reports reveal that Johnson gutted the company from top to bottom through his untested strategy to remake the retailer into the clothing version of Apple. Shareholders and consumers are not known to be patient and in a short while clients fled to competitors as a result of which investors began to sell. Considering an outside candidate was however successful in the case of Polo. On retirement, Ralph Lauren, founder of the Polo brand handpicked his successor, a newcomer to the firm, Swedish retail executive Stefan Larsson. His prior experience was at discount-oriented retailing brands, but he was nonetheless a rising star in the business of fashion and was successful in his new employment.

It is evident that every company is unique and what works for one establishment may not work for the other. A strong case may however be made for insiders. This is because the insider knows the company, and has a good understanding of

the industry, the employees within the system, existing flaws as well as the useful networks. He or she is expected to have been groomed to understand the corporate culture and policies as well as the rationale behind such policies. Most important, to employ another common but useful cliché, the insider is likely to be more sensitive to the cost of throwing the baby out with the bath water. Such an Executive enjoys team support as a result of the fact that he is working with a familiar set of employees. The challenge of dealing with the learning curve, associated with a new entrant is eliminated. A good succession plan should be designed such that high fliers are identified and exposed.

Exposure may come in the form of higher responsibilities and opportunities to attend conferences, training sessions and leadership programs.

The make approach is therefore similar to practice in royal families where heirs are groomed from the moment they are born. Where this system is adopted effort should be made to reduce top-level employee turnover to the bare minimum.

This may be done by establishing employee trust schemes and other such welfare packages, which may be incorporated into the constitution of the relevant organisation.

The down-side of grooming a leader in-house is the fact that he or she is likely to be guided by tradition and may not be inclined to make radical decisions that could sometimes be necessary, particularly in times of economic difficulties.

Where a CEO has gone through the system, there might be a tendency to be beholden to the board and this is likely to limit creativity.

Further the fact that the helmsman is working with a familiar team could be a disadvantage because if there have been compromises along the way, it is easy to continue in that vain for one who has been in the system for very long. It should be noted though, that bringing a Chief Executive from outside gives the feeling that an artificial ceiling has been placed on promotion.

There is no doubt that the feeling of limitless possibilities is good for the workforce.

The pros and cons of both arrangements must be understood by the Nominating/ Remuneration Committee of the Board. This subset is often charged with the responsibility of ensuring that remuneration arrangements support the strategic aims of a business and enable the recruitment, motivation and retention of senior executives, while also complying with the requirements of regulation. The services of legal advisers may be sought to make the committee’s work easier. Lawyers can give advice along the lines that the CEO should as far as practicable be a local and emphasis should be placed on sourcing persons from related industries, bearing in mind competition rules. These rules may be built into the terms of employment. The contributions of lawyers in this respect should not be to the exclusion of Human Resource experts and Financial Consultants.

24.05.2016

THE LIGHTER SIDE/13

LEGAL HUMOUR

We Hold Your Brief JUDE IGBANOI jude.igbanoi@thisdaylive.com

Dear Counsel, My nephew who is based in Scotland will be coming home for his traditional marriage next month. Initially he sent some money for the preparations, but in our conversation on the phone yesterday he told me that one of his friends in Scotland had informed him that it is now illegal to spray money on celebrants at parties in Nigeria.

He therefore requested that the new Naira notes we had already procured for that purpose be used for something else.

I particularly don’t like the idea of spraying money at parties, because I think it is ostentatious and can attract thieves and robbers. But as for being illegal, I could not really verify that, which is why I am sending you this mail for clarification on the legal position on this.

Please kindly enlighten me on this.

Mrs. K.E., Eket, Akwa Ibom State.

Dear Mrs. K.E., The idea of ‘spraying’ money at parties is one of the old cultural practices in Nigeria that has refused to die with time.

Over the years, it became so pervasive that the government had to do something about it. This was for the obvious reason that the act resulted in defacing the currency notes used.

For this reason, the Federal Government passed a law by an Act of the National Assembly in 2004 which makes it not only illegal but punishable under the CBN Act. According to the CBN 2004 Act, “unless prohibited by the law relating to the control of exchange, the bank shall issue and redeem on demand at its head office, Nigerian currency against other currencies eligible for inclusion in the reserve of external assets”. Specifically, sections 3 and 4 of the currency offences Act Cap C44 LFN 2004 provides thus, “if any person buys or sells or offers to attempt to buy or sell, induce or attempt to induce any other persons to buy or sell, offer or accept, or offer to accept in payment of debt or otherwise, any notes or coin at or for lower value other than the same imports, he or she shall be guilty of an offence and on conviction to imprisonment for a term of five years or fine of N1,000 or to both imprisonment and a fine.”

It further prohibits ‘throwing’ Naira notes at parties.

However, this act continues because law enforcement agents and the authorities have not strictly enforced this.

WHY FUEL SUBSIDY IN NIGERIA IS ILLEGAL AND UNCONSTITUTIONAL production of the commodity, plus the manufacturer’s profit” – Sec. 5(2)(a). In the second case, i.e., imported goods, the basic price is “the duty-paid landed cost in Nigeria plus the importer’s profit” – Sec. 5(2)(b). Sec. 5(3) of the Act permits a variation to the basic price, being an amount which, in the opinion of the Price Control Board, “represents the transport and other costs plus the distributor’s profit, which ought properly to be added to the basic price in order to represent a fair controlled price, wholesale or retail, in any State.” This provision is the subject matter of an entire statute, the Petroleum Equalization Fund (Management Board, etc) Act, 1975.

It can be seen that the two, i.e., the basic price and the permitted variation, constitute the controlled price of the commodities listed in the First Schedule to the Act. This much is clear, I submit, because Sec. 18(1) of the Act defines “controlled price” as “the controlled price, wholesale or retail, fixed in accordance with Section 5 of this Act”. I submit that by virtue of Sec. 6(1) of the Act, the controlled price of a commodity under the Act is the open market price of that commodity. It provides that: “It shall be unlawful for any person to sell, agree to sell or offer to sell any or employ any other person, whether or not that other person is of full age, to sell any controlled commodity at a price which exceeds the controlled price.” (emphasis supplied).

Sec. 4 of the Act is peremptory in its mandate that “price control shall continue to be imposed in accordance with this Act on any goods which are of the kind specified in the First Schedule to this Act.” (emphasis supplied). This means that the prices of the goods listed in the Act should be controlled exclusively in accordance with the provisions of the Act, the maxim being expressio unius est exclusio alterius – the express mention of one thing in a statute suggests the exclusion of others which otherwise might be reasonably implied or included. I submit that this excludes Sec. 6 of the Petroleum Act which, after all, merely empowers the Minister of Petroleum Resources to fix the prices of petroleum products. In any event, neither statute requires the government to absorb part of the cost of the importer or local producer of petroleum products in order to reduce their open market or controlled prices. In other

Judge: The charges against you are that you ran over this man, and also speeding.

Motorist: Yes, your Honour - I was hurrying to get over him.

Judge: If this trial is interrupted by anyone, that person will be thrown right out of this courtroom.

Prisoner: Hooray for the Judge!

Prosecutor: What were you doing on July 15 at 9 o'clock in the evening?

Prisoner: I was eating a hamburger.

Prosecutor: What were you doing at 9:30 p.m.?

Prisoner: I was taking a bicarbonate of soda.

Prosecutor: Do you expect us to believe you?

Prisoner: You would if you had eaten one of those hamburgers.

Two men in a pickup truck went to a newhome site to steal a refrigerator. Banging up walls, floors, etc., they snatched a refrigerator from one of the houses, and loaded it onto the pickup.

The truck promptly got stuck in the mud, so they decided that the refrigerator was too heavy. Banging up *more* walls, floors, etc., they put the refrigerator BACK into the house, and returned to the pickup truck, only to realise that they locked the keys in the truck -- so they abandoned it.

CONTINUED FROM PAGE 6

words, none of them requires the government to subsidise petroleum products.

Both statutes were given judicial consideration by the Federal High Court, Abuja in a judgment delivered by Honourable Justice Adamu Bello (now retired) on the 19th day of March, 2013 in Suit No. FHC/ABJ/CS/591/09 between Bamidele Aturu and the Hon. Minister of Petroleum Resources, the Hon. Minister of Commerce & Tourism and the AttorneyGeneral of the Federation. In it, the court ordered the government to “fix the prices of petroleum products as mandatorily required by the Petroleum Act and the Price Control Act.” It is important to note that the court merely ordered the government to fix – not to subsidise – fuel prices. The noun ‘subsidy’ has already been defined. The verb ‘fix’ on the other hand, in relation to prices, simply means “to make a decision in relation to a price or amount, and not allow it to change.” See Macmillan English Dictionary, 2nd edition page 563.

This judgment is currently on appeal at the instance of the government. But it subsists and has not been set aside. Until then, it is clear that the government would be remiss not to ‘fix’ the prices of petroleum products as provided by the Price Control Act and the Petroleum Act. Given that neither of those statutes requires the government to subsidise petroleum products, but merely to fix their prices (which do not mean the same thing, as aforesaid) it is obvious that complying with the terms of the judgment would actually enable the government to end the current regime of subsidies in the petroleum sector, albeit fortuitously.

This is because, applying the parameters in Sec. 5 of the Price Control Act (as ordered by the court in Bamidele’s case) would mean passing the entire costs of production, refining and importation of fuel to the consumer at the pump – in the open market - with the Government under no legal obligation whatsoever to absorb any part of those costs. It bears repeating that in Bamidele’s case the court ordered the government to fix the prices of petroleum products in accordance with the Price Control Act: no one in his right senses will blame the government for complying with a court order.

The question now is: what would it take? A campaign of sensitisation and awareness of the Nigerian

public, in my view, particularly critical stakeholders such as the labour movement, petroleum marketers, transporters etc. - as well as the constitution/composition of the Price Control Board as provided by Sec. 1(1) of the Price Control Act. By way of mitigation, the Government can waive the custom duty required to be paid on imported fuel. I submit that the only component of the Price Control Act which is open to negotiation is the profit margin of the marketers – to expect the Government to do more, in my view, would be asking it to bend the law to breaking point.

On a final note, it is also not open to the National Assembly – for the time being, that is – to repeal or amend either the Price Control Act or Sec. 6 of the Petroleum Act, nor to designate petroleum products as essential commodities as aforesaid. This is because to do so now would overreach the Court of Appeal and present it with a fait accompli, given that those are precisely the issues submitted to the court by the Government in its appeal in Bamidele Aturu’s case as aforesaid. In other words, it would infringe the principle of separation of powers under the Constitution.

SUMMARY AND CONCLUSION The current practice of subsidising petroleum products and the legal framework that underpins it is ultra vires both the National Assembly and the Federal Government under the Price Control Act, the Petroleum Act and the 1999 Constitution. Accordingly, it is invalid, null and void.

Pending the determination of the appeal in Bamidele’s case (leading, possibly, to total deregulation), the way forward, in my view, is for the Government to comply with the provisions of Section 5 of the Price Control Act by periodically fixing the prices of petroleum products, in consultation with the marketers and other stakeholders, secure in the knowledge that doing so would not result in subsidisation but, rather, its elimination. For the Government to achieve this, however, it must be resolute that under no circumstances, will it continue to bear part of the costs of the marketers, as to do so would obviously perpetuate the unwholesome status quo – apart from being manifestly illegal as aforesaid.

Mr. Sani, a constitutional lawyer writes from Kano

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24.05.2016

Eliminate Litigation Headaches in Business Dealings: Resolve Disputes by Arbitration and Other Alternative Dispute Resolution Methods

Juwon Adenuga

because, every State develops laws and legal processes to satisfy the notion of justice within their respective jurisdictions. Enforcing the decision of a justice system in another may necessitate prior agreements on adaptations and reciprocations. With arbitration, parties have the freedom to base resolution of their disputes on their choices of international laws, rules and suitable treaties.

If potential investors, particularly foreigners engaging in commercial activities in any economy, are with no alternative but National Courts of Law to resolve commercial disputes, it should be expected many will look elsewhere to invest. Any economy that does not open up to international businesses will constrict its own growth.

O

ccurrence of disputes is inevitable in human interaction. Disputes can be harmful to relationships when poorly managed. Damaging effects of disputes are quite significant in business relationships because they diminish economic well-being of affected parties.

It is wise therefore, that parties going into business relationships, prepare, ahead of contractual agreements, for possibilities of disputes occurring and how best to resolve them when they do. Doing that may help prevent costly disruptions or failure of otherwise profitable business ventures.

Traditionally, we seek justice through litigation in our National Courts of Law. Over time however, several countries, Nigeria inclusive, have come to accept Arbitration and other Alternative Dispute Resolution methods, as legal means of resolving conflicts in contractual, business relationships. An Arbitration Award backed with the force of law, has the status of a Court Judgment in any jurisdictions that embrace arbitration.

In desire for collective economic well-being therefore, this paper seeks to, first, remind participants in business activities; a. Never to overlook possibilities of disputes occurring in their business interactions. b. Never to take for granted, how emotionally and financially costly these disputes can become.

Then secondly, to minimise the damaging effects of disputes by; c. Understanding and choosing arbitration to resolve disputes in business relationships because it is more suitable for that purpose than litigation. The reasons shall be set out later in this paper, under the advantages of arbitration over litigation.

Exactly What Is Arbitration?

Arbitration is the process that occurs, when two parties in a contractual relationship of commercial nature, agree that disputes relating to their contract, shall be referred to a neutral third party of their choice, who will fully and finally settle referred disputes in a judicial manner.

That neutral third party is either a sole arbitrator or body of arbitrators, which are both referred to as the "arbitral tribunal". The decision of the arbitral tribunal is called an "arbitral award".

An arbitral award is final, binding and not subject to appeal in respect of disputes referred and decided upon.

The arbitration award is actually an equivalent of a court judgment, but, an arbitral award is not subject to appeal.

Though national courts play supportive and supervisory roles to support arbitration, the courts are generally averse to interference with the substance of arbitral awards. The supportive and supervisory roles of national courts are only applied to assist procedures that parties or tribunals lack authority to carry out.

National courts would not interfere with arbitration, particularly the substance of arbitral awards because; a. The extent of national courts' involvement in arbitration is set out by law. The provisions are to enable such supportive and supervisory roles as, subpoena of witnesses, appointments, removal and replacement of arbitrators and use of coercive powers when needed. b. By agreement to submit to arbitration, it is taken that the parties have agreed to be bound by its outcome.

In arbitration, parties in dispute have opted to choose their own judges and by extension, have agreed to be bound by their judges' decisions.

Mediation is Another Alternative to

Frequently Asked Questions Question 1.

What is the point of arbitration? It's all a waste of time. All cases are going to end up in court anyway!

Litigation in Resolving Disputes There are a number of dispute resolution methods that present alternatives to litigation.

Mediation (or Conciliation) is another commonly used method. In mediation, a neutral third party (the mediator) helps disputing parties come to an agreed compromise. The negotiated settlement that evolves is the decision of the parties, not the mediator's, and the compromise is not binding until signed into an agreement by the parties.

Advantages of Arbitration and Other Alternative Dispute Resolution Methods Over Litigation Arbitration and other Alternative Dispute Resolution methods are conducted in private tribunals. In the business community, these alternatives are often preferred to litigation because: 1. A familiar occurrence in litigation is the halt of commercial activities from which disputes arise, by court injunctions pending the outcome of cases. That can be financially traumatic for principal investors, workers, consultants and all incidental service providers connected with affected commercial activities.

While observing restrictive court orders, all stakeholders and participants in affected projects do and earn little or nothing until the injunctions are lifted. Meanwhile, interests on loans for the projects continue to accumulate.

Arbitration and other ADR methods, unlike litigation, are informal, friendlier and flexible.

Subject to mandatory arbitration laws and rules, it is the parties seeking resolution of their disputes that jointly; a. choose location of the arbitration, b. appoint arbitrators, c. agree dates, time and venue of sittings, d. agree language for proceedings, e. agree on applicable laws, f. agree on nature of proceedings and duration of the process.

Parties have a lot more control over arbitral and other ADR proceedings than litigation processes. These are some of the reasons why arbitration and other ADR methods run with minimal disruptions to commercial activities from which disputes arise and outcomes are less likely to damage contractual relationships the way litigation tends to do.

2. To the investor, time is money. Quick resolutions of their disputes are desired. As investors are unable to control the speed of

justice dispensation in Courts of Law, their preference will be to submit to Arbitration or Alternative Dispute Resolution (ADR) processes for decisions on their disputes.

This is because the parties can control the speed of proceedings in Arbitration and other ADR tribunals. The tribunals are private to disputing parties.

3. People and Corporations in business would rather avoid discussing their trade secrets or mistakes in public. Arbitration and ADR proceedings are confidential in nature. The tribunals are private and therefore preferred by business operators to the open and public systems of Law Courts.

4. Disputing parties who are foreigners, (individuals, corporate organisations or Government institutions), may be reluctant to submit to the jurisdiction of national courts in opposing parties' home State. The concerns could be: a. Lack of familiarity with foreign courts' rules and procedures. b. Language barriers. c. Doubts as to neutrality of national courts on subject matter of dispute or interest of their citizens. d. Sovereign pride of foreign Governments and their institutions.

In these circumstances, Arbitration or Alternative Dispute Resolution processes, operating as private tribunals of the parties in dispute, will be the more convenient and acceptable choice for dispute resolutions than litigation.

5. Business people expect real justice. In other words, decisions on disputes should be final, binding and enforceable without undue delay, if not willingly obeyed by parties that should. In this aspect, Arbitral and other Alternative Dispute Resolution decisions offer more convenience to business people than judgments of Law Courts because; a. Arbitral decisions are final, binding and not subject to appeal. Court judgements on the other hand can drag through three tiers of court proceedings; the high court, appeal court and supreme court. b. Secondly, Arbitral decisions are easier to enforce internationally under supportive treaties.

An example of such a treaty is the New York Convention 1958 that had 149 contracting States (Nigeria inclusive) as at 2013. Enforcing a court judgment in a different jurisdiction is not quite as simple. Understandably so

Answer 1.

It is not unusual for an unsuccessful party in arbitration to demonstrate reluctance in accepting and obeying an unfavourable outcome.

Also, access to courts of law is an undeniable right of every citizen. The unsuccessful party can go to court but what matters are: a. The successful party already has a judgement and the substance of that judgement is not subject of appeal. b. The concern of the courts will be whether or not due process was observed. Once it is established that mandatory and procedural laws and rules, set out to protect justice standards are observed, an arbitral award will be recognised and enforced in jurisdictions that embrace arbitration.

Question 2.

How am I sure the other party will cooperate with arbitration? After all, it is a sovereign right of every citizen to seek redress of unwanted situations in court.

Answer 2. a. Compliance with legal, contractual agreements will be enforced by courts of law.

National laws governing arbitration provide that a party who approaches the court to resolve disputes in defiance of an agreement to arbitrate should be compelled to go back and honour that arbitration agreement, except the other party agrees to abandon their arbitration contract. b. It is very important therefore, to ensure an arbitration agreement is documented as part of a contract signed by both parties from the onset of their commercial relationship. That is so the option of arbitration is available to parties when disputes arise. Without prior agreement, parties cannot be compelled to submit to arbitration when disputes later arise between them, and at that point, they are less likely to be cooperative with one another.

Valid arbitration has to be consensual and contractual. c. Please give a deep thought to possibilities of dispute occurrences at the formation stages of contracts, and with the advice of arbitrators, come up with an arbitration agreement broad enough to be applicable for any type of dispute you may encounter in your commercial relationship.

Question 3.

What is this awareness campaign in aid of?

Answer 3.

Ultimate aim is to support national economic growth by pro-actively encouraging readiness to seamlessly resolve disputes when encountered in commercial activities. Letting the business community know how best to resolve commercial conflicts is one of the contributions arbitrators can make to national economic progress and our collective economic well-being.

The quality of life citizens enjoy is directly related to the state of their national economy.

Juwon Adenuga is an Arbitrator

24.05.2016

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DEMOCRACY, LAW AND CHANGE: IMPERATIVES FOR NIGERIA CONTINUED FROM PAGE 7 Indonesia, Malaysia and Singapore. Nigeria had three Regions, the Eastern, Western and Northern Regions. In 1963 the Mid-West Region was created out of the Western Region.

Infrastructure was basic but functional. Schools and hospitals were good. The Regions contributed to the Federal purse. The Regions were substantially autonomous and had their constitutions and had representative offices abroad. The Federal government was given exclusive powers over defence, foreign relations and commercial and fiscal policy. The equivalent of local government councils today which were County Councils and Native Authorities, built schools, roads and hospitals. Native Authorities in the Northern Region ran their own police. The economy of Nigeria was among the fastest growing in the world. Indeed economic historians postulate that by 1965 the economy of the then Eastern Region was the fastest growing in the world.

The mainstay of the economy was agriculture, and mining. The Northern Region was world famous for its groundnut pyramids, hydes and skin, the Western Region for its Cocoa and rubber, and the Eastern Region for oil palm, rubber and cocoa. In 1965, as a primary school student my school St. Martins Primary School Ikom in today’s Cross River State, received two prominent visitors; the first Roman Catholic priest from the then Ogoja Diocese, Rev Father Joseph Edra Ukpo, who retired as the Metropolitan Arch Bishop of Calabar, and some Malaysians whom we were told had come to collect oil palm seeds.

On 15 January 1966, a group of young military officers mainly of Ibo extraction led by Major Chukwuma Nzeogwu overthrew the government and assassinated the Prime Minister, Abubakar Tafawa Balewa, the Premier of the North, the legendary Sir Ahmadu Bello, the Premier of the Western Region, Chief S.L, Akintola and many others including senior military officers of mainly Northern extraction and the flamboyant Minister of Finance, Chief Festus Okotie-Eboh.

After some manoeuvres, which some historians refer to as another coup, Major General Johnson Thompson Aguiyi Ironsi, the first indigenous head of the Nigerian Army, became Military Head of State.

General Ironsi was unable to quieten the ethnic tensions that arose from the Nzeogwu led coup and also failed to produce a constitution acceptable to all sections of the country. Most fateful for General Ironsi however was the promulgation of Decree No. 34 which sought to abrogate the Regions and the federal structure and create a unitary State. This led to another coup by largely northern officers in July 1966 which established the leadership of the then Lt. Col Yakubu Gowon.

On May 30, 1967 Lt. Col. Chukwuemeka Odumegwu Ojukwu, then Military Governor of the then Eastern Region announced the secession of the Eastern Region from Nigeria and declared the Republic of Biafra. To pre-empt him General Yakubu Gowon (as he now was) had on 27 May 1967 announced the dissolution of the four Regions and the creation of twelve new States.

Generals Murtala Mohammed and Olusegun Obasanjo who succeeded General Gowon created nine additional States, General Ibrahim Babangida created eleven States while General Sani Abacha created six bringing the total number of States to the thirty six that we have today. All States were thus created by Military regimes apart from the defunct Mid-West Region that so far remains the only component to have been created in a democracy. In summary between 1960 to 1963 we had three Regions, by 1963, four Regions, twelve States by 1967., 1976 to 1987 ,19 States, 1987 to 1991, 21 States., 1991 to 1996, thirty States and the Federal Capital Territory and from 1996 ,thirty six States. In thirty six years therefore we moved from three federating units to thirty six, an average of one per year, easily the most prolific bifurcation of federating units in history.

Where are We? Can we say we are still at par with the referenced countries? A simple look at some features will give us an answer; India Population; 1.276 billion Land mass; 3,287,260 km2 or 1,269,220 sq.mi GDP (PPP) USD 8.07 trillion; nominal USD 2,182 trillion per capita; USD 1,688 Number of States; 29 Brazil Population; 205 million Land mass; 8,515,767 km2 or 3,287,597 sq. mi GDP (PPP) USD 3.208 trillion, nominal USD 1.534

Per capita USD 8,802 Number of States; 26 Indonesia Population; 255 million Land mass 3,287,260 km2 or 1,269,220 sq. mi GDP (PPP) USD 2.840 trillion (nominal) USD 895 billion Per capita USD 3,511 Number of provinces; 34 Malaysia Population; 31 million Land mass; 330,803 km2 or 127,720 sq. mi GDP (PPP) USD 800, 16 (nominal) USD 375.633 billion Per capita USD 12,127 Number of States; 13 Singapore Population; 5.5 million Land mass; 719.1 km2 or 278 sq . mi GDP (PPP); USD 452.686 billion (nominal) USD 308.051 billion Per capita; USD 56,319 Number of states, nil; city state NIGERIA Population; 182 million (estimated) Land mass; 923,768 km2 or 356,667 sq.mi GDP (PPP); USD 1.667 trillion, nominal USD 605.275 billion Per capita; USD 2,640 Gross Domestic Product (GDP) is the monetary value of all the finished goods and services produced within a country’s borders within a specific time, usually an annual basis. By GDP India and Brazil are among the top ten countries of the world, India at number 7 and Brazil at number 9. Indonesia is number 16, Nigeria 23 and Malaysia 33. However all other economic indices like inflation rate, unemployment rate, budget deficit and change in real GDP put the referenced countries ahead of Nigeria. So do social indicators.

What Did We Share?

Brazil and Indonesia share the commonality of our experience of Military rule. In spite of the disruptions of military rule they have made substantial economic progress nevertheless. Theirs, therefore, are examples, which in spite of the disruptiveness of military rule, show development is possible. Indeed the military regime of Getuilo Dornelles Vargas of Brazil is credited with the transformation of Brazil and the introduction of Estado Novo, "the new state" though it was characterised by the over centralisation of power at the expense of the provinces. Nigeria has had a feast of military regimes, Ironsi, Gowon, Murtala Mohammed, Obasanjo, Buhari, Babangida, Sani Abacha and Abdulsalam Abubakar, cumulatively spanning almost thirty years of our post-colonial period, but in my view, hardly transformative, indeed disruptive, totally distorting our federalism especially by over centralising power and resources and effectively creating a unitary State.

What Did We Do that they Did Not Do? Relative to their land mass and populations they have fewer and therefore larger federating units, whether as States or Provinces. Their federating units have been largely numerically stable and where there has been bifurcation, division or creation, it has not been as dramatic, prolific and as rampant as it has been in the case of Nigeria. In a sense there is the economies of scale in federating units.

I had earlier said that between 1960 to 1996, a period of thirty six years, we moved from three Regions to thirty six States, that is, on the average a new State per year of that period. This rate of proliferation has had systemic and structural implications and complications.

Implications And Complications As earlier mentioned, as at 1965 Nigeria’s economy was among the fastest growing in the world and that of the defunct Eastern Region reputed to be the fastest growing in the world. My deduction is that structurally we were at optimal point of structural efficiency that guaranteed economic development, and this was empirical, it showed in our economic growth rate.

We need to do comparative analyses of the national budgets and other economic indicators to find the breaking point, which is the point where through states creation we became structurally inefficient, to be factual and authoritative. I however have some informed suspicions.

Up to and including when we had twelve States, the Federal and the State governments delivered massively on infrastructure. The then Head of

President Muhammadu Buhari

State, General Yakubu Gowon was famously quoted to have said that ‘money was not the problem but how to spend it’.

By the time we got to nineteen states payment of salaries to workers in the states' public services had become an issue. Delays in workers’ salaries were common and retrenchment of workers was a familiar feature. Delivery on infrastructural projects slowed considerably.

With subsequent state creation exercises payment of workers’ salaries became celebrated as major achievements by state administrations.

Infrastructure became mere promises and inane achievements were by propaganda elevated to the sublime. Let us compare Sir Ahmadu Bello, Michael Okpara, Obafemi Awolowo and Dennis Osadebe of the four Regions; the Northern, Eastern, Western and Mid-Western or Samuel Ogbemudia, (Mid-West) Alfred Diete Spiff (Rivers), Audu Bako (Kano), U.J. Esuene (South Eastern State), Mobolaji Johnson (Lagos), David Bamigboye (Kwara), Usman Farouk (North Western) Ukpabi Asika (East Central) and Adeyinka Adebayo and Oluwole Rotimi (Western) States of the twelve States structure with later day Governors, whether military or civilian. One conclusion is inevitable; the progressive depreciation of governance with each State creation exercise and indeed, each subsequent dispensation. Why? 1. Bloated Bureaucracies Each newly created state required a bureaucracy and there are as many bureaucracies as there are states. With each state creation people were promoted into positions for which they were not ready. I know of a State where school teachers, without any prior experience, were appointed directors-general; as permanent secretaries were then known. In fact a disc jockey whose only experience in government was having been a councillor in a Local Government was also appointed a director general in that dispensation.

Inefficiency and incompetence were thus promoted in the system. Inefficiency and incompetence breed corruption. Corruption is the taking of advantage of inefficiency or weaknesses in the system for private advantage or gain. The same inefficiency and incompetence were fed to the federal system.

The higher the number of States the higher the theatres of corruption and the bigger the infrastructure for corruption.

2. Federating Units and The National, and States, Budgets; A comparative study and analyses of the federal and Regional/State budgets from 1960 till date will need to be done for my postulation to be factual, scientific or objective. However, I strongly believe that there is a direct correlation between the number of Regions or States and the ratio between the capital and recurrent budgets and the extent of budget implementation.

States in Nigeria, were never created on economic considerations or as economic units; rather they were created whimsically on political and personal considerations. Economic viability of States was not a criterion in the creation of States. The States were therefore conceived as consumption and not production centres. Up to and including the twelve State structure, States were able to massively deliver on infrastructure

because in my yet to be verified view the various budgets, federal and State, the capital/recurrent ratio weighted substantially in favour of capital.

As more states were created the ratio progressively reversed to a point where the capital components of both the federal and state budgets was barely twenty percent.

It is the capital component of the budget that delivers development and poverty reduction through the implementation of capital projects.

It is the aspect of the overall national budget that determines the allocation of funds to finance capital projects and critical infrastructure such as the construction of roads, bridges, hospitals, schools, railway, irrigation systems, prisons, electricity, water, purchase of machinery and equipment etc. The capital budget is used to finance or fund durable assets. The recurrent component is the 'consumption' component more or less; providing for emoluments and overheads essentially. Our current structural configuration has therefore become a drag and indeed, a burden.

Corruption There are several factors that breed corruption, inefficient and incompetent bureaucracies as a result of intemperate States creation which has resulted in the institutionalisation of essentially a unitary system of government and a nominal federalism is one of them. Corruption is very costly. PriceWaterhouseCoopers (PwC) believe that if the level of corruption in Nigeria were at the level of Ghana's, Malaysia's and Colombia's, Nigeria's economy worth USD 513 billion in 2014 would have been twenty two percent larger.

By 2030 PwC predicts that Nigeria's economy should triple and that if Nigeria manages to reduce corruption to Malaysia's level the economy could increase by 37 per cent. The additional gain would be worth USD 534 billion after adjusting for inflation; which is about the current worth of the economy. Clearly, the price we are paying for corruption is needless.

The Way Forward The way forward, to put it simply, is to dismantle the infrastructure for corruption, the inefficiency and incompetence promoted by a debilitating and suffocating federal structure.

We must agree that the structure that we have now is not working. The States are bankrupt.

Most of them cannot pay salaries and or clear refuse. Poverty and unemployment are biting.

The way out is restructuring the federation in a way that the federating units are economic units and therefore economically viable. We must be bold to face our current reality and have the courage and the will to do the needful.

Conclusion Our current structure cannot deliver development. We should not continue in self-deceit or in self-denial. Every society must adapt to changing realities otherwise it dies. Nigeria has great realisable potential. Nigeria is a potentially great nation. Making her great is a choice only Nigerians can make. That choice we must make.

And make now.

Being a paper presented by Victor NdomaEgba OFR, CON, SAN at the Justice James Moradeyo Adesiyun Biennial Memorial Lecture held on Monday 16th May, 2016 in Ilorin.

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24.05.2016

Mr. Babatunde Raji Fashola, SAN,

Hon Minister for Power, Works and Housing

Mrs Kemi Adeosun,

Hon. Minister for Finance

Prof. Yemi Osinbajo, SAN, GCON, Vice-President of the Federal Republic of Nigeria

Dr. Ibe Kachikwu Hon Minister of State for Petroleum Resources

Dr. Lanre Babalola, Former Minister of Power

THE NIGERIAN BAR ASSOCIATION SECTION ON BUSINESS LAW

10th ANNUAL

BUSINESS LAW CONFERENCE THEME: LAW REFORM & ECONOMIC DEVELOPMENT A forum for regulators, lawyers and business executives to dialogue on policies and regulations that shape economic growth

JUNE 22nd - 24th

Transcorp Hilton, Abuja, Nigeria

CONFERENCE AGENDA Opening Ceremony/Dinner 6pm Wednesday. June 22 Day 1 Thursday, June 23

Day 2 Friday, June 24

SESSION 1 LAW REFORM AND ECONOMIC DEVELOPMENT IS THIS THE MISSING LINK?

SESSION 6 MOVING NIGERIA UP THE LADDER IN THE EASE OF DOING BUSINESS METRICS? HAS ANYBODY GOT A MAGIC WAND?

SESSION 2 MANAGING NIGERIA'S ECONOMY IS THERE A NEED FOR INSTITUTIONAL REFORMS? SESSION 3 VEHICLES FOR DOING BUSINESS IS THE CAMA FIT FOR A MODERN GROWING ECONOMY? SESSION 4 FUTURE PROSPECTS FOR THE OIL & GAS INDUSTRY THE CHALLENGE OF REFORMING THIS SLIPPERY SECTOR. SESSION 5 RESOLVING DISPUTES IS THE ARBITRATION AND CONCILIATION ACT STILL FIT FOR PURPOSE?

SESSION 7 PROMOTING COMMERCIAL AGRICULTURE AS AN IMPERATIVE WHAT IS REQUIRED TO AWAKEN THIS SLEEPING GIANT? SESSION 8 NIGERIA'S SOLID MINERALS AS A SOURCE OF ECONOMIC DEVELOPMENT TAPPING A LATENT RESOURCE? SESSION 9 POWER SECTOR REFORM WHEN WILL THE LIGHTS COME ON? SESSION 10 VISION FOR NIGERIA'S INFRASTRUCTURE DEVELOPMENT WHAT DO WE NEED TO GET THERE?

For registration and online payments: www.nbasbl.org.

Email: info@nbasbl.org. Tel: 0805 488 1300

25

T H I S D AY • TUESDAY, MAY 24, 2016

BUSINESSWORLD

ENERGY

Ihenacho: My Passion for Investing in Modular Refinery Chairman of Integrated Oil and Gas Limited, Capt. Emmanuel Ihenacho, in an interview with journalists, said his decision to invest in a scalable refinery was largely to prove a point that Nigeria has the resources to add value to her crude oil. Ejiofor Alike presents the excerpts: The concept of modular refinery has been a subject of strategy debates over some time now with some players in the upstream sector looking at it as suboptimal processing model. What ideas propelled your modular refinery project?

The modular refinery is an idea whose time has not just come but whose time has nearly passed. We cannot continue as a country that produces oil without capacity to refine it. If you produce oil and export all as it is the case currently, it is creating value in somebody’s economy in terms of the money you pay for the freight in carrying that oil there. And if try to add value to it by processing it at a refinery that is located elsewhere, then you create additional value there.

And if you take the products and put it in a ship that doesn’t belong to you, and bring to your home, you also create additional value elsewhere. So we want to capture the chain of value that we have lost historically by saying ‘our oil is going nowhere.’

We take oil; we refine it and sell it. So we want to make the country a hub for oil processing in the continent.

People frequently call me all the time and say, ‘I want to buy some Automotive Gas Oil (AGO),’ and I am very embarrassed to reply, ‘I’m sorry we don’t produce AGO.’ This happens because we export our oil raw to Europe and they refine it and produce AGO and we import it. So we want to change that.

My motivation to invest in scalable refinery is not necessarily to make money. It would be nice to make money but I have a point to prove: that we can do it; that Nigeria can and it has the necessary human resources to add value to its crude.

I want to pay tribute to the new DPR. They have been absolutely very professional, fully supportive of what we are doing. I had a recent meeting with them and I was very surprised how they turned up right on time, young people bristling with ideas, listening to what we had to say and making commitment towards ensuring that we work together to develop this idea of modular refinery.

At where you are now do you intend to develop into an optimised refinery operator?

I absolutely agree with you, and we are already looking forward to possibilities of optimising the economies of the process by taking the benefits of scale. But we really wanted to start in a phased process. Modular refinery allows you to put a module, and once that one is successful you could add another module. You can gradually build it up to 50,000 barrels per day unit by which time it will no longer be a modular refinery.

It will be a full scale refinery.

So our modular model is a very good way to learn rather than learn with a huge refinery that will cost you $9 billion and at the end of the day you may not be successful. So it is better to dip the toe with smaller risk than to take a dive and risk all. We learn the ropes at every phase until we absolutely know everything about the refineries. We are confident that we are going to do a good job.

How much do you think you have invested in the domestic economy since you stepped out of public service?

I cannot tell you now. It is really enormous.

But money is really a marker. The thing is really that if you rise intellectually to a point where you really don’t worship money but look beyond money to focus on things money can provide: good life for the people, you have arrived.

How have you been able to combine politics

particularly maritime. I am thankful to God about the progress we have seen and the successes we have achieved with regards to all that we have put our hands in.

With all the businesses ideas and ventures that fill up your hands, how do you capture all of them in one integrated business model?

It is really a difficult call but it is not an impossible one. It really interferes with how you live your life. You will like to do business all the time but you would also love to have a family life. When you have a lot of ideas cutting through your veins at all times, sometimes something gives. Your wife would sometimes say ‘snap out of this and let us go have a meal just like ordinary people’.

The thing for me is not to be idle. We need to be productive all the time. We have to be fully engaged, and that is what I have done for so many years.

Ihenacho and managing a fast growing business? Are there points of friction in driving conflicting programmes simultaneously?

I really appreciate how you have summarised what we have been doing in the Genesis Group for quite a number of years. I have been in politics because I wanted to participate in policy making process so that we would have a country that is very successful, that creates superior living conditions for its people. That is why I ventured into politics.

Well for obvious reasons some the ambitions din not come to pass. My aspirations in politics didn’t really materialise. But that didn’t stop

So, our modular model is a very good way to learn, rather than learn with a huge refinery that will cost you $9 billion and at the end of the day you may not be successful

us. We have a fall-back position which is to go back into business. The purpose of going back to business for me is not become richer.

It is to create value that would impact on the wellbeing of common people around us.

That is what we are doing.

We articulate novel ideas, pull the necessary resources together and deliver superior values to the society in the process.

You started and gained popularity as a shipper, then you ventured into petroleum, and now the group has continued to diversify.

May we know your current scope of business?

Well, let me tell you that when people describe me as a marine based businessman they forget that I am actually a broad based businessman. Apart from being a Master Mariner, I hold a Masters Degree in International Transport. I also hold MBA in General Management from Bradford University.

So the sum total of this practical experiences in managing businesses in maritime, in acquiring further exposure academically has really led to the fact that I am very versatile in a lot of things that I do.

So, in the maritime sector, my company, Genesis Worldwide used to be the largest private sector ship owner in the country.

And at a time Genesis was in fact a national carrier. I ventured into petroleum because of the ancillary relationship between oil transportation and shipping.

So when we started trading oil and gas I owned tank farms.

I ventured into aviation also but that is not generally known by a lot of people that I own an aviation company. In fact we have gotten our air operating license as an aviation company.

I also have interest in port development ventures. So, I have a lot of interest in the maritime and also in things that are not

How have you been able to drive through all these with the level of funding constraints that we see across the economy?

It is very simple. When you ask somebody who is not a businessman why he is not investing he would say there is no capital.

You have to realise if you are a businessman that yours is to conceive ideas. It is not your business to put your hands in the pocket and find the money. There are people who are institutionally prepared to finance any business if they can be properly articulated.

So what you have to do is to have very fertile business imagination, intellectual capacity to conceive how certain things can be done that can impact in a positive sense in the area you live. So if you are able to articulate those ideas and have been able to convince the people who own capital that this would happen, they will provide the funds.

So that is the way I have built my businesses.

I conceive of ideas, and I understand the distinction between the businessman and providers of capital. So I conceive these things and I sit lenders down and convince them that they will work. And if they believe me they will provide the money; and that is the way it has worked all this time.

Some of the business concepts and ventures are of deep pocket dimension. May we look at their commerciality profile in the context of the prevailing economic situations?

It is the bottom line that forms the dream.

Actually in every business idea that we conceive of we have to show you what the commercial outlook is, we also have to show you what the cost implication of that business idea is, we have to show you what the revenue stream is, and every bank of provider of capital has a mechanism for carrying out due diligence to see if your assumptions are valid or if they are just pies in the sky.

We don’t invest in pies in the sky! We invest in things that are verifiable. You can reference those things against what has been done before. I need to say it here that absolutely all the things we have conceived are top of the line businesses.

The group business structure is so rapidly expanding that it compels attention to the sustainability profile?

The structure is very sustainable because we depend on the availability of very clever human resources; not just ourselves. We scout around all the time for clever people and we invest in them. We also try to act as motivators to very young people with the hope that we retire they will follow the models we have established.

26

T H I S D AY • TUESDAY, MAY 24, 2016

BUSINESSWORLD

ENERGY

As Military, MDA Debts to Discos Skyrocket Debts owed the 11 electricity distribution companies by MDAs and the military, have risen to over N78 billion. Chineme Okafor writes that the situation could hamper the ability of Discos to deliver

High Voltage Transformer Figures obtained from the 11 electricity distribution companies (Discos) in Nigeria’s electricity supply industry have shown that as at April 31, 2016, the various ministries, departments and agencies (MDAs) of the federal and state governments still owed them a total of N78, 676,366,684.22 .

Also, on this inglorious list of debtors to the Discos are the various military and paramilitary formations, as well as the Nigerian Police stations scattered across the country which actually owes a larger chunk of the debt of N50, 048, 702, 696.3 or 64 per cent.

The Discos- Abuja, Ibadan, Benin, Enugu, Eko, Port Harcourt, Ikeja, Kaduna, Kano, and Yola, as well as Jos all have bitter tales of how these debts had skyrocketed.

They stated at a recent briefing that such was a heavy burden on their operations. Mr. Sunday Oduntan who is the Director for Research of their representative platform, the Association of Nigerian Electricity Distributors (ANED) told reporters that so far, discussions on payment of these debts have not been very successful.

He stated that in view of the impact of the debts on the operations of the Discos, efforts to cut off supplies to these historical debtors have been initiated by the Discos.

What the huge debts means to Discos.

Specifically, Oduntan gave a breakdown of the debts owed by the military, police and paramilitary formations to the Discos to include Abuja- N3,805,039,794.87, N371,945,359.84, N11,800,433.36 respectively; Benin - N1,837,363,099.47, N120,721,997.61, N2,713,562.91; Eko - N3,689,271,605.46, N158,315,423.73 and N4,558,968.69 respectively; Enugu -N897,346,450.10, N73,865,841.93 and N34,826,750.72; Ibadan - N2,527,003,645.51, N168,373,253.80 and N7,581,718.90; Ikeja N2,781,453,670.00, N648,224,118.00 respectively;

and Jos - N1,623,369,157.17, N649,243,065.99 and N11,038,786.04.

Also, the three formations owe Kaduna Disco the N2,053,947,838.95, N144,782,630.10, and N22,835,595.16; Kano - N619,847,824.60, N36,720,871.72; Port Harcourt - N1,710,382,864.36, N72,780,889.47, N11,931,786.31 and Yola - N935,990,027.02, N167,970,684.54 respectively. They all summed up to the outstanding N50, 048, 702, 696.3.

Other federal, states and local governments

Similarly, industry experts have described the failure of the military and the MDAs to pay their electricity bills as unethical on the side of government who invited the Disco operators to take up management of the networks on the pledge of good faith and conducive business situations

MDAs also owe the Discos -N4,909,382,489.92; N700,831,976.07 and N574,296,266.39, while the Prisons, Customs and Immigration owe the electricity distribution companies the sum of N533,600,628.01; N207,621,125.66 and N23,430,265.71 respectively.

Oduntan explained that the debt has defining impacts on the capacity of the Discos to continue to make investments in the distribution networks. He noted that key equipment such as transformer; consumer meters and others relevant to their operations are often procured in limited quantities because of the debt overhang.

He further stated that of all the debts owed the Discos that of the military remained a big task for the Discos to recover because of what he described as the oppressive attitudes of the military to staff of the Discos.

Similarly, industry experts have described the failure of the military and the MDAs to pay their electricity bills as unethical on the side of government who invited the Disco operators to take up management of the networks on the pledge of good faith and conducive business situations.

They stated that such debt overhang at the different levels of government was a moral constraint to the government who also expects that the Discos would follow through the service level agreements they signed with it when taking over the networks.

Further in their explanations, they noted that most of the revenues the Discos receive go into pay operating and maintenance costs.

They added that purchasing power and fuel are the single largest operating expenses that the industry has to meet, in addition to taxes, cost of salaries, materials, supplies, services, and a variety of other expenses which must be met.

Odutan claimed that the Discos do not

make profit from their operations at the current state of affairs in the sector. He said today the country’s electric industry operates in a hybrid model of competition and regulation, adding that for the Discos to commit more money into network expansions and rebuilding, such huge debts owed them, must be recovered.

Past proposals that could be reconsidered At inception, the Nigerian Electricity Regulatory Commission (NERC), which regulates the industry to ensure balance, said that it had made a proposal to the National Assembly to consider passing a law that could prevent debts for electricity consumed by strategic government formations and agencies from accumulating.

NERC had explained then that it proposed a strategy to the National Assembly to adopt the earmark strategy practised in the United States.

The strategy, according to commission stipulates that each MDA’s budget would have clear earmarks for paying electricity bills and with conditions that the money cannot be used for anything else.

The commissioned stressed then that should such funds which would be marked clearly as electricity bill payment be diverted to other purpose by any MDA, such agency would be deemed to have violated a parliamentary law, and then its officials punished accordingly.

NERC also suggested then that the National Assembly can as part of its oversight function, demand for the certificate of compliance to be sure that MDAs have paid their electricity bills to the Discos that service their networks.

NERC’s former chair, Dr. Sam Amadi had expressed confidence then that these measures, if adopted and implemented by the National Assembly, was capable of reversing the historical trend of government agencies owing for electricity supplied to them.

27

T H I S D AY • TUESDAY, MAY 24, 2016

BUSINESSWORLD

INTERVIEW

Enelamah: The Nigerian Economy Needs to be Broadened The Minister of Trade and Investment, Okechukwu Enelamah recently spoke on some of the measures put in place by the federal government to revitalise the economy down?

The point to make about the relationship with China is it’s multi-faceted. There are agreements that the private sector players signed, which were about $6 billion – but you have to realize that there’s a pipeline, because many Nigerian and Chinese businesses are shaking hands and saying hello to each other.

And that pipeline is really going into tens of billions of investment with China. It’s a bigger connection. What the government is doing in infrastructure is also tens of billions of dollars, and the discussions between the Nigerian Central Bank and the Chinese Central Bank and the Chinese financial institutions also run into billions.

So, while I can’t give you a specific number, I think it’s very material.

People have complained particularly about the naira policy, the restriction of dollars, which is causing difficulties for producers to get the imports that they need. With your investment hat on, is this really a policy that you can support?

We had no illusions coming into government.

The oil price had come all the way down when Buhari took over. Now this has serious implications. It is like a person who has a portfolio of just one stock that’s 90per cent of the portfolio, and that stock crashes 70per cent. You don’t need to be a genius to know that the economy needs to be adjusted. We must be realistic about what we face. These are very tough times. They say tough times don’t last, but tough people do. What we want to do is to make sure that whatever solutions we come up with, our economy diversifies away from oil. We must deal with the fundamental problem. What you’re talking about is a symptom and we’re trying to deal with it.

So what are you doing to deal with it?

In order to solve this problem, you have to have a long-term view about the diversification of the economy, which means the economy needs to be broadened to manufacturing, industrial, and other productive sectors.

In doing that, we’ve had to do some things about the environment – to create an enabling environment. We’re working on a foreign exchange system that will increase supply and create some more flexibility in system.

We’re working crucially for people to have infrastructure for businesses to succeed.

I’m interested in all those points, but particularly the policy of increasing foreign exchange supply. How would that work?

In order to increase the supply, you have to take a long-term view. It’s not rocket science.

You have to construct exports, construct investments.

Now, each of them requires a program, right? A strategy. And some of them have some immediate impact – for instance, for exports, anything that boosts export proceeds is good for the economy.

We have to look for ways to do that, including looking at the foreign exchange achieved around export receipts. For investment, same thing.

Which is a long-term ambition, which I understand. But what about in the shorter term? Producers are struggling. They can’t get enough FX. What do you do to help out? Is there something?

Being realistic about where exchange rates have gone in emerging markets, until recently, at least, Nigeria is the anomaly. Do you see some sort of depreciation?

We shouldn’t fall into the trap that I think a number of journalists are falling into, which is getting obsessed because the President said ‘I don’t like devaluation.’

It’s almost like trying to play a game to see who blinks first, and I think that’s actually not wise. The real question is around the foreign exchange management policy.

Remember, the President is not an economist, so it’s really about those who are economists, who are standing behind him. So, I’m not falling into the trap of, ‘are you going to depreciate the currency or not,’ because that argument is frankly somewhat academic.

I suspect in foreign-exchange policies, we’ll eventually create some flexibility in the system. The concern the government actually has, including the President of Nigeria, is to make sure that whatever flexibility scheme we introduce, that it will have the right result.

This is a simplistic point, but if you don’t push exports, for whatever reason, never mind why, and you depreciate your currency, net-net you lose.

An enabling environment is important. The

Enelamah policies to encourage industrialization are important. And thirdly, the things we are doing to boost the investment. And I think it’s that package that will create the result.

I’m confident that what will come out of our policies, the market will respond well to. Unfortunately, when the market doesn’t know this, it’s extremely short-term.

It’s like, give me the fix now. But if you’re a parent, you know that you have to cook the food properly and then feed the child.

I want to pick up on your investment theme, because one of the headlines that we have been running as journalists is all about Buhari and your trip to China just recently, where, beyond the billions of dollars that were discussed in deals, you also expressed personally your admiration for China for what had been achieved in bringing hundreds of millions out of poverty

I suspect in foreign exchange policies, we’ll eventually create some flexibility in the system.The concern the government actually has, including the President of Nigeria, is to make sure that whatever flexibility scheme we introduce, that it will have the right result

in the space of a generation, and I want to quote you, because you said, ‘China has done it. Nigeria can do it.’ How? It’s exactly that. If you look at China, they did it by creating the right incentives ultimately for industry, and ultimately for export. Those incentives were brilliant. They come down to creating the enabling environment around special economic zones.

They do this by being an enabler, providing funding and other things people needed to do their business. Nigeria needs to do all of that.

My ministry is playing a fairly important role in all that. No. 1 is the enabling environment, and the very key to move up vis-à-vis the Ease of Doing Business Index. And the reason is that a lot of these things are things we want to be doing, we are doing, and why not put yourself to the rankings of the World Bank. So, we’re working through that process.

No. 2 is creating the infrastructure. You need special economic zones for industry to thrive. The other thing we need to do is to compete in sectors where we’re going to have an advantage and give them the incentives to be productive.

The third thing we’re doing is to partner with capital - partnership capital as someone called it - and know-how, just like China did.

That’s why China is so important, because China views Nigeria as an important economy in Africa.

We’re well received at a state level, business-to-business as well. Over 200 Nigerian businesses were there, multiple Chinese businesses. These were tangible things. We even went as far as saying, given that the renminbi, or yuan, is not a convertible currency, maybe the imports coming from China or the trade with China need not be through dollars, which was well received back home.

Just putting it in money terms, how much do you expect to come from the agreements that have been initiated with China, and what does they look like? What’s the break

You talked about opening up Nigeria, and one of the things you mentioned just now was the World Bank Ease of Doing Business Survey. And let’s be honest: Nigeria over the past decade has done abysmally there.

It’s dropped 75 places to rank 169th out of 189 countries. You’ve got your work cut out.

One hundred and sixty nine out of 189 is not good. The most important thing is to start a positive trend of moving down those rankings in a positive way.

So what we want to do is to actually look at these 10 or 11 parameters they look at and start working on them, and get very good feedback from the World Bank.

We are committed to making progress here.

It’s not rocket science. Frankly, my experience tells me that if people are committed to a cause and they go for it, logically, they’ll get the results. Life is very principle centered, principle based. So, I’m not actually concerned that we will not improve in Nigeria. I just want to be sure that we mean what we say, we take our time to plan.

Another statement that you’ve made is that you want to create an industrial revolution in Nigeria. How do you achieve that?

The previous government had a plan called the Nigeria Industrial Revolution Plan, which is actually a good plan on paper.

A lot of things are not so difficult to do.

It’s just you need to focus on these things.

So, our commitment is that we will do those things. If you look up what was happening in cement and sugar, there was a commitment to pursue industrialization.

It’s not something you do half-heartedly, then you stop, and you restart. And that’s the commitment we are making to our people and to the international community –that we will be focused.

The Nigeria Industrial Revolution Plan will be implemented on our watch. It won’t all be done in one day because it’s a five-year plan.

We’re just about a year since Buhari came in in the surprise election victory -- a huge, momentous occasion for Nigeria in the democratic transfer of power. With your investor hat on, give Buhari a scorecard a year on. How would you rank his performance?

I would say, so far so good. In some respects, things could have been faster. He was deliberate in appointing his ministers, it took six months, but most people accepted the cabinet when they saw it.

He has said that fixing the economy will take time. You may call that delayed gratification.

But you know investors, and you work with them. People when they are going through it, they say, ‘Why can’t you fix? Give me a fix today? I can’t wait till tomorrow.’

-Frontera (www.frontera.vc) is a global platform to connect investors, entrepreneurs, and financial experts dedicated specifically to the world’s frontier and emerging markets

28

T H I S D AY • TUESDAY, MAY 24, 2016

BUSINESSWORLD

INDUSTRY

Driving Socio-economic Devt through Dairy Production Crusoe Osagie explains the need to promote dairy production as a means of stemming the herders, farmers crisis and increasing the prosperity and productivity of the HausaFulani

Dairy production Apart from meat, the other essential product from cattle is milk. The dietary, nutritional and culinary importance of milk and milk products can hardly be overemphasised. To give children a good nutritional start in life, milk must be a key component of their daily meals.

FG’s Milk Plan Little wonder therefore the federal government plans to provide a litre of milk a day for each of the 30,000,000 children in secondary and primary schools under the school feeding programme.

Minister of Agriculture and Rural Development, Chief Audu Ogbe has been a key advocate of this initiative.

Ogbe quoted UNESCO statistics, which states that 24 per cent of Nigerian children under the age of five are under weight while 37 per cent are under nourished and declared that the federal government will tackle the problem of malnutrition which adversely affects the cognitive ability of children.

To address the problem, Ogbe said the federal government will embark on a programme to develop massive grazing grounds for cattle to bring roaming and its attendant problem to an end.

The minister disclosed that the Federal Ministry of Agriculture and Rural Development will acquire 10 deep water rigs from the Borno State Government and build windmills to operate wells that will provide water for the planned grazing grounds.

He added that the grazing grounds will not only improve the quantity and quality of beef and milk produced in the country, they will also make cattle rearers more sedentary.

Speaking further on the quality of cows reared in Nigeria, Ogbe said the ministry will partner some universities abroad and in Nigeria to establish an artificial insemination programme in 200 centres in the country; he challenged researchers to look for and introduce into the proposed cattle breeding

programme animals that adapt well to the Nigerian climatic condition.

It is hardly possible to adequately dimension the extent of Nigeria’s blessing in terms of human, material and natural resources.

That the massive West African nation possesses huge potential in agriculture has become more or less a cliche. But not even the people who constantly make the claim fully understand the enormity of the nation’s farming potential.

Dairy farming, an occupation that is the lifestyle of one of the largest ethnic groups in country, the Fulanis, forms one of the major sources of revenue and employment for developed countries of the world such as Denmark and the Netherlands.

Perhaps, the population of the Fulanis in Nigeria, 80 per cent of whom are engaged in dairy farming in one way or the other, will surpass the entire population of the

However, the Dairy Development Programme (DDP) is an intensive project that requires both professional attention and infrastructure to succeed

Netherlands, yet Nigeria as a whole cannot contend with just one village in the Netherlands where cattle are raised for milk.

This makes it abundantly clear therefore that whatever methods Nigerians, which in this case largely refers to Fulanis, are adopting in terms of dairy production is vastly inefficient and needs to be improved.

Nomadism and migration of cattle and their herders, which has turned out to be the precursor of one of the most dangerous threats which Nigeria faces at the moment has to be reevaluated and assessed for the purpose of modifying it to a method that will engender peace and enhance productivity.

Dairy Development Programme To this extent, a scheme being promoted by FrieslandCampina WAMCO, may be worthy of an in-depth study by both government and the Fulanis themselves.

Termed the Dairy Development Programme (DDP), the scheme engages local farmers to produce and supply raw milk to the company.

According to the Managing Director of FrieslandCampina WAMCO Nigeria Plc, Mr. Rahul Colaco, “To further increase its local content and support the federal government’s initiative to grow the agricultural sector, we commenced the DDP in August 2010. This is gradually developing into a full national programme as the company is dedicated to make the DDP a success by ensuring the transfer of technology know-how on milk production for Nigerian farmers.”

He said through DDP, the company’s investment in local diary sector by sharing knowledge and expertise, will contribute to improving the quality and quantity of raw milk, the social position of farmers, increase self-sufficiency and food security of the nation.

Throwing more light on the DDP, the company’s Public Affairs Manager, Temitola Adeola, said the aim of the programme is to support the federal government’s initiative to develop dairy farming in Nigeria by providing

the required technical know-how on milk production to Nigerian farmers and also provide the necessary market for the farmers.

“To achieve this, our team of experts visited a number of locally established dairy farms to determine the availability of fresh milk in Nigeria. Series of examination were also carried out by our quality control unit to check the quality impact of using fresh milk in our product recipe, “she stated.

She added that WAMCO went into discussions with viable farmers from this area who can possibly meet the production demands of the company in the future if provided the right training and market.

According to her, the company signed a Memorandum of Understanding (MoU) with the former governor of Kwara State, Dr. Bukola Saraki, to launch the dairy farming programmes in Shonga Farms and has since taken delivery of its first 1,000 litres of fresh milk from Shonga in Kwara State on August 1,2015; and since then have been taking delivery of 11,000 litres of fresh milk per day from Shonga.

With this, WAMCO is the first dairy company in the country to use raw milk material from the country to manufacture evaporated milk.

“We are indeed proud of this and hope to take it to greater heights. However, the Dairy Development Programme (DDP) is an intensive project that requires both professional attention and infrastructure to succeed. In view of this, the company signed MoU with the Federal Ministry of Agriculture because milk production in Nigeria is currently low and the development process will take some time. The Dairy Development Programme therefore needs the support of the government and substantial investments in livestock and equipment. Again, as the dairy expert, we are committed to providing the required technical know-how on milk production to Nigerian farmers but we can only succeed on this project with the support of the government,” she said.

29

T H I S D AY • TUESDAY, MAY 24, 2016

BUSINESSWORLD

NEWS

Dangote Revives Flour Mill to Boost Production, Employment Targets 900,000mtpa of wheat production in Kano Crusoa Osagie The Dangote Group at the weekend re-opened its N10 billion flour mill in Kano. It bought back the mill from Tiger Branded Consumer Goods and rejuvenated it to boost local production of flour in the country.

Dangote noted that the investment by the company was also to create employment opportunities for the teeming unemployed youths in the country and to save over 3000 jobs threatened by the former owners’ decision to shut down the mill.

The Africa’s richest man explained that the company has re-engineered the mill to meet the emerging challenges in the market place and also to meet the ever changing needs of its esteemed and loyal consumers.

He however stated that plans are underway to surpass its target of producing about 900,000mtpa of wheat in the country in order to save the nation’s scarce foreign exchange used in importing the commodity, calling on its shareholders, distributors and consumers to join its new board of directors to achieve this feat.

“I will like to assure you that we are back for good and we will never close this mill again.

It has always been my desire to increase our investment in Kano.

We are also looking forward

to venture into farming in the State where we can create a lot of jobs and I think this flour mill will help us achieve this in Kano,” he said.

According to him, Kano is very strategic because most of its products receive tremendous patronage in the State, saying that the company’s return to Kano is a sign of good things to come.

“We decided to make this investment in November when Tiger Branded Consumer Goods decided to leave the country and we do not want over 3000 jobs to be lost. You can imagine these 3000 people going back into the job market in Nigeria.

So we decided to seek ways to assist to ensure that these jobs are secured by injecting fresh cash of about N10 billion into the business,” he said.

In his words, “I want to assure our customers that we will continue to support you to make sure that we assist you with the necessary things needed to make your businesses a lot easier and more profitable. I am looking forward to you supporting the entire team to make sure the company surpasses its targets of 900,000 metric tonnes of wheat annually.

I want to assure you that with the new board we have, this company will definitely excel with or without my presence.”

Earlier, the Chairman, Dangote Flour Mills Plc, Mr.

Ighodalo Asue, stated that with the takeover, the mill will become stronger, better sophisticated and more focused, stressing that it has taken a lot of steps to reposition the company through expansion and innovations programmes.

“We are also using this medium to restate our commitment to increasing our shareholders value and our dear customers.

Let me assure you that we will continue to invest in the State and other parts of the country and even beyond the country, because we believe in job and wealth creation. It is our hope that our return to Kano will create more job opportunities and impact positively on the economy of the State,” he said.

Asue said: “I will like to commend Aliko Dangote for his investment in Dangote Flour Mills, a few months ago when Tiger Branded Company was going to leave the country, it appears that the fate of the company was in jeaopardy, but Aliko Dangote’s decision to buy back the company has saved the jobs of about 3000 employees and the shares of over a million shareholders.

More importantly, the multiplier effect of his investment in the country is incalculable. We want to use this medium to thank you for your foresight and your hardwork.”

He commended its loyal distributors and customers for their loyalty to the company,

maintaining that the company will continue to interact with its customers to get feedbacks on how to improve its businesses operations to serve the economy at large.

The Group Chief Executive Officer, Dangote Flour Mills Thabo Mabe, commended the customers and distributors for their unwavering support and also standing firm with the company during its challenging period.

“I am particularly glad about the huge turnout of customers and distributors who came from far and wide to witness the occasion. We are using this opportunity to thank our loyal customers and distributors for their patience

and understanding during our challenging moments. We have fully repositioned as a company to serve you better and to say we are here for a long hall.

We do not only create jobs for people but provide a lot of incentives to customers to encourage them to grow their businesses so that you can grow our business.

As our customers, you are critical stakeholders in our business and we will ensure that your needs are fully met.

We will continue to count on your support as we also move to grow our market share in the industry. It is my hope that we continue to impact positively on your business and the entire economy at large,” he said.

Union Bank’s Rebrand Wins Two International Awards Mary Ekah Union Bank’s new brand identity, which was unveiled in October 2016 has won two Gold awards at the Transform Awards MENA 2016 held at the Waldorf Astoria Hotel in Dubai on May 18th 2016.

Union Bank won the award for ‘Best Brand Development To Reflect Changed Mission / Vision / Positioning’, beating Abu Dhabi Sports Council, Bank Al Bilad, Bahrain Finance Company, Commercial Bank of Dubai, Industry Gulf Finance and VOX, and ‘Best Visual Identity From The Financial Services Sector’ beating Bank ABC, ADCB, Commercial Bank of Dubai, Industry Gulf Finance and MAF Finance.

The Head of Corporate Affairs & Corporate Communication, Ogochukwu Ekezie-Ekaidem, who managed the rebranding exercise for Union Bank said: “To be recognised at the Transform Awards and competing against premier brands across Middle East and Africa is truly a fantastic validation of the hard work that went into the development and execution of our new identity. Our brand identity is a critical piece of the Union Bank’s overall transformation and our goal was to depict a more contemporary and energetic institution while maintaining our authenticity and key elements of the brand heritage.

We are extremely pleased to share this success with our agency, Landor, who led the creative effort and worked

with us in great collaboration and partnership throughout the entire process.”

The Chief Executive Officer, Mr. Emeka Emuwa said the bank’s award winning identity reflects its new proposition to make banking simpler and L- R: Nollywood Actress, Shola Shobowale, students of Wellspring College Omole Phase 2 with the Chef Adeniyi Williams, during the Art of smarter for its customers. Milk initiative among schools in Lagos State by Peak Milk …recently “Following the brand launch, Union Bank has introduced two innovative savings products – UnionKorrect and UnionGoal to the Nigerian market. We have rolled out the new identity in 80 branches across the country, Chineme Okafor in Abuja Agency (NESRA). and beating while they are Ejiofor Alike ensuring that our customers are He also explained that the not responsible for the poor able to bank in a modern and The Nigerian Electric- partnership will see NERC The 11 electricity distribution power supply in the country. professional environment. We ity Regulatory Commission driving a new programme companies in the country under “We are the one that give continue to launch new branches (NERC) is considering a ban to optimise energy usage the aegis of the Association of you bill. We are the one that every quarter”, Emuwa said. on importation of electrical in government offices and Nigerian Electricity Distribu- collect money from you. We Speaking further, he noted: appliances that consume huge buildings using demand side tors (ANED) have cried out to are the one you will insult; “Our technology and banking volumes of electricity into the management measures.

President Muhammadu Buhari we are the one you will beat. platform upgrades, along with country, the agency’s acting “At NERC, we have done a to stop the brutality against the This morning, one of our staff, the transformation of our head, Dr. Anthony Akah has lot, including developing an electricity workers by officers Mr. Abdulahi Mohammed in processes have reduced our said. energy efficiency framework, and men of the Nigerian armed Zamfara State, around 10.0am transaction processing times Akah said in an interview partnership with SON on a forces, saying the assault on this morning, was beaten up by over 20%. The impact of with THISDAY in Abuja said proposed energy efficiency the workers is the height of by soldiers. As usual with their these changes are being felt by that the commission was rating labelling for all electri- impunity by soldiers. impunity, soldiers from 1 Base our customers and reflected in working with the Standards cal appliances and equipment Executive Director of ANED, Ammunition Depot in Gusau, reputable independent surveys Organisation of Nigeria (SON) manufactured or imported into Mr. Sunday Oduntan told Zamfara State, beat up the guy which show a marked improve- to identify and label electrical the country so that consumers journalists in Lagos that soldiers this morning because the guy ment in Union Bank’s industry appliances that are either can make informed choices had been beating up electricity went to disconnect them for not rankings on customer service. manufactured or imported and get value for money,” workers carrying out their paying their electricity bill for We are also attracting new into the country to enable said Akah. legitimate duties for a number over two years. That is the kind customers to the bank and consumers pick the energyHe added: “Above all, we of years, without any action of problem we are facing in the growing our overall customer efficient ones. plan to get the support of against such erring soldiers by sector. You cannot continue to base which boosted our deposit beat our staff and say that you He said other agencies of other government institutions the military authorities. book by 12% in 2015.” government which NERC to ban the importation and Oduntan called on Buhari to can get away with anything,” He revealed further that given had also approached to get manufacturing of such high call soldiers to order, insisting Oduntan explained. the positive feedback we have their backing on the new energy consuming electrical that “you can’t continue to run Oduntan also alleged that a received on the new identity, effort include the Energy appliances and equipment. a country, where soldiers will serving army major had led a locally and now internationally, Commission of Nigeria (ECN), “Empirical evidence has be beating our staff when we groupd of soldiers from Alamala Union Bank will continue to Rural Electrification Agency shown that a well-articulated are only asking them to pay Barracks under 35 Artillery Bripush forward to ensure that our (REA), National Orientation and implemented energy ef- their bills.” gade Headquarters in Abeokuta products and services continue Agency (NOA) and National ficiency program do reduce Oduntan argued that the to attack the workers under to reflect our brand proposi- Environmental Standards and electricity bill by at least 30 distribution companies have Ibadan Electricity Distribution tion,” Mr. Emuwa concluded. Regulations Enforcement per cent.” continued to receive insults Company.

LEADERS OF TOMORROW

NERC, SON May Ban Importation Discos Urge Buhari to Stop Soldiers’ of High Energy Appliances Brutality against Electricity Workers

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PROPERTY & ENVIRONMENT Promoter of Excellence Estate Insists on Quality Control in Housing Devt The promoter of Excellence estate, a new low-density community that is evolving in Arepo, off the Lagos-Ibadan expressway, insists on rendering high quality homes, complete with lush green areas that will replicate the ambience of Ikoyi, report Bennett Oghifo and Fadekemi Ajakaiye

Architectural presentation of Excellence Estate, Arepo, Ogun State

E

state developers along the Lagos-Sagamu stretch of the Lagos-Ibadan Expressway are beginning to add classy designs in their construction process to ensure faster uptake.

The latest to adopt that upscale rendition is the evolving Excellence Estate, which is about 15 minutes from Alausa Central Business District.

The estate, which is modelled on the low density ambience of Ikoyi in Lagos, is located close to the Journalist Estate at Arepo. The project is being built on 20-acres of prime land. Already, construction work has started on site.

According to the Managing Director of Inclusive Concrete & Engineering LTD, Engr. Misbau Opeyemi Aminu, promoter of the exquisite estate, construction work would take three years and prospective investors would get a million naira payback deal on construction cost. He stated that Inclusive Concrete & Engineering LTD, a building and Civil Engineering Construction Company established in 2008, has worked with both private and public sectors, various companies like Zenith Bank, GTB, Vitafoam, and the Lagos state government, and many more.

The company would bring its wealth of experience in various field of construction in both the public and private sectors to bear in development of Excellence Estate, he said.

He stated that the success of the company’s previous projects gave rise to Excellence Estate.

“The company is out to do things right and also follow proper routine. These tenets have kept the company going for a long time. We are not developers but a construction company with integrity,” he said.

Excellence Estate is a combination of horticulture and aesthetics. It comprises homes that are fully detached, semi- detached, terraces, and block of flats. The estate is subdivided into two; the built-up area, which is about two- thirds of the land, and the site and services plots that form about one-third of the land, he said.

He stated that the built-up area would be strictly regulated and fully designed. “This property is sold either as a building or acquired land, which is developed to stated regulations and design.

The other one-third affords the buyer coming up with personal designs.”

However, the structural elements of these buildings are not negotiable, he said. “The regulation will begin from foundation, frame structure, slabs, among others, in order ensure the security of the buildings,” he said.

He stated that the entire estate was service-driven, and so its pristine nature is not negotiable. “The horticulture, that is, the green areas are also not negotiable.”

Other facilities in Excellence estate would include, a shopping mall, church, mosque, school, hospital, corner shops and the recreational facilities like the park/green park, he said. He explained that a pay- back value was “an incentive given to our buyers. This is in form of discounted amount that will be given to them during construction of the buildings. These will include but not limited to expertise services, cement provision, that will be provided to them at discounted rate.”

There is tight security provision for the estate, according to him. Aside the estate been fenced round and having a gate, there is provision for CCTV monitoring the entire premises, security officers, as well as the presence of Divisional police, he said.

He stated that the buildings could be bought in stages either as; carcass, or semicompleted, and the completed stage. The completed building is targeted at people in the diaspora who are expected to buy and just move into a completed decent apartment.

The carcass stage of a 3-bedroom apartment goes for N9 million; semi completed stage of same is at N12 million; while the completed stage of the apartment goes for N16 million.

The fully detached comes with 2 BQs; it goes for N24 million at carcass stage; N34 million at semi completed stage; and N45 million at completed stage.

Others include, the semi- detached with a BQ at N17 million carcass stage; N23 million for the semi completed; while the completed building goes for N31million. The terraces also come with a BQ at N12 million at carcass stage; N14 million at semi completed stage; and N17 million for the completed building.

He stated that the mode of payment was flexible as 30% could be paid up front, while the balance is spread through 18 months. The Excellence Estate project is being financed

by Zenith bank.

CDK Integrated Industries to Commence Production CDK Integrated industries, has disclosed plans to commence production of high quality standards porcelain tiles and sanitary wares soon in its state-of-art factories in Shagamu, Ogun state.

According to the Chief Executive Officer of CDK Integrated Industries, Dr Khater Massaad, “We are building world class factories here in Shagamu, Ogun State Nigeria with a global standard that will stem the importation of ceramic tiles and sanitary wares from outside.

It is clear that Nigeria imports over sixty five million square meters of tiles, according to an international magazine with specialisation on ceramic tiles and sanitary wares; we are going to change the Nigerian narrative in this area as we build the CDK Integrated Industries with the most sophisticated modern equipments known in the world for manufacturing of tiles and sanitary wares.

“CDK Integrated Industries’ goal is to be the hub of ceramic tiles and sanitary wares in West Africa and we have started the journey of building two world class factories, a great place to work and a place Nigerians will be proud to be associated with as we are also environmentally friendly in the nature of our construction.” Massaad sasid, “To achieve the world class status, we are training Nigerians

Members, board of directors of Infinity Trust Mortgage Bank (ITMB), Babatunde Olaleke; Patrick Ikweato; Company Secretary, Mrs. Tolulope Osho; Chairman, Adeyinka Bibilari; Managing Director, Mr. Olabanjo Obaleye; Mr. Dada Ademokoya; Mr. Akin Arikawe; and Maj.Gen. Ishaku Danladi Pennap (Rtd), at the bank’s annual general meeting in Abuja… recently

and investing in equipments that will make us produce high quality products of ceramic tiles and sanitary wares.

“With one million square meters of land in Shagamu, Ogun state we are set for the world to experience something new and wonderful

from Nigeria. It is going to be the most modern factory in the world today and our training of staff is world class.

“We are producing super high quality products in this country, products that will surpass what is available in Europe. We are already set to

meet international standards and our experience is global.”

He said CDK Integrated Industries Sanitary Wares factory would be producing five hundred thousand pieces of several models of European designs collections, with the best technology, best raw materials, highest standard, world class fittings and soft closing hinges amongst others annually. CDK Integrated Industries Porcelain Tiles factory will be producing 60X60, 30x60 and 40x40 polished glazed, glazed polished and soluble salt tiles with superior quality state of the art technology and digital printing.

“We want to be a respected partner in the business across the globe; with the aim that everyone that comes in contact with the CDK Integrated Industries brand of ceramics and sanitary wares will be glad to do so,” he said.

A lot of people, he said would benefit from their existence in the country “as we will help save the country some needed foreign currencies instead of it being used to import over sixty five million square meters of tiles from Europe.

“Nigeria is the biggest economy in Africa, and it is providing a great platform for us to establish factories in a country with almost all the raw materials needed in the manufacturing of tiles and sanitary wares,” he said.

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PROPERTY & ENVIRONMENT

Udo Okonjo: Bridge Between Innovation and Profit is Successful Marketing Fine & Country West Africa in collaboration with the Institute of Real Estate Excellence (IREE) will host a hands-on training on real estate marketing for developers next month. In this interview with Bennett Oghifo, the Chief Executive Officer of Fine & Country, Maryanne Udo Okonjo says participants will learn how to achieve the bottom line, which is, for any serious investor, to successfully sell or lease their property to the best tenants at a premium price, and for institutional investors to exit profitably within an allotted time Give us your professional assessment of the real estate industry in Nigeria The Nigerian real estate industry has come a long way in the last 7-8 years. The caliber of residential, commercial, retail, hospitality and mixed use developments on the market and the quality of professionals continues to grow and is getting more impressive. We are beginning to see more astute and institutional investors changing the skylines of Nigeria, especially those of Lagos, and Abuja with innovative, good quality, and some iconic real estate projects that largely offer standards comparable to other key commercial cities and hubs globally. A few factors continue to dampen the projected growth of the real estate market. Some of the factors include, the difficulty in accessing well priced mid-long term mortgages, the current monetary and economic realities, such as the low crude prices, the impact of the foreign exchange policies, the recent subsidy removal and rising inflation which all converge to weaken the appetite for major new real estate transactions. However, the recently signed budget, which has the Ministry of Works and Housing with one of the largest budgets, should help with the infrastructure side of the sector, which in turn will have a long term impact on the quality of real estate investments all around. Lack of infrastructure and the cost of infrastructure has been a major deterrent to investors and a contributor to the excessive cost of most real estate projects. With specific regard to commercial projects, although currently, there appears to be an over supply of grade A/prime offices, however, the massive capital requirement, the technical sophistication needed and the difficulty in accessing finance will continue to present high barriers to entry into this segment, which will ultimately be positive for those who are able to finance such projects unlike most residential projects which has more competition due to lower barriers to entry. In the medium term (7-10years), we project a strong and stable commercial office segment, as investors make the required adjustment occasioned by the current economic and market volatility.

What fueled your desire to do the Intelligent Real Estate Marketing Conference and Training?

The bottom line for any serious investor is to successfully sell or lease their property to the best tenants at a premium price and for institutional investors to exit profitably within an allotted time. The bridge between innovation and profit is successful marketing which powers successful sales and leasing outcomes but which for some weird reason most developers in emerging economies don’t seem to find relevant.

Recently one of the observations and questions I get asked as an adviser very frequently, is about the over supply of prime real estate versus the demand, and the high vacancy ratio of these properties especially in prime locations such as Ikoyi, Victoria Island, some parts of the mainland, Lekki, but also Abuja, and Port Harcourt in both residential and office segments. In addition, we are all witnesses to multiple residential blocks specifically on Gerard Road Ikoyi, Banana Island, and environs which have been on the market in excess of 2 years in some cases and still waiting for buyers or tenants. There are also many office and retail projects that fail to meet their projections. The big question is this- what questions did these developers and their financiers ask before the project started? Were they the right questions?

Who was their target market? Was it clearly defined? Did they actually do a stress test of an identified clientele base, to assess that what was being built was what was required, both in terms of design, specifications and pricing? You will be amazed what answers we get to these

right audience. It will help them understand what their particular target audience needs and not what they think the market wants or would like. We will also guide developers and their advisers on how to use objective parameters to determine what and where to build, how to position and price to achieve sales success, and applicable strategies even if they’ve already built the projects.

How do you intend to measure the success of the training?

The measurement of success will be assessed by the actions taken by the participants when they leave the session. Ultimately, knowledge applied is the only true measure of any knowledge gained through training or experience and the only way to change an outcome is to change the action being taken based on new perspective gained. Change usually starts from a change of perspective, which is what the Intelligent Real Estate Marketing session intends to bring about. Finally, as we are very keen to see growth in the industry in terms of improved sales results, part of our follow up strategy is to assess whether participants actually applied and experienced a different and better result. These will then be used as case studies for future trainings.

Maryanne Udo Okonjo

questions even from top projects financed by top financiers and high net-worth clients. One of our most unique experiences in Nigeria has been dealing with a lot of new developments, and interestingly we have seen even astute investors go in semi-blindly led by a general sense of what they liked, or preferred or thought would do well. In many cases, their project vision did not align with the strategy adopted and the obvious outcome was than satisfactory.

The question for example when building a prime residential project with a significant number of units, anything from 10 units, should be what type of apartments are likely to be taken up easily based on current demand, why build only 3 beds or 4 beds? What determines the ratio of 3 beds, 4 beds and maisonettes for example? Should I include 1 or 2 beds?

Why? What determines the design? Is it the demand, the regulations or is it a developer’s preference? If it’s an office, what truly does a Grade A office need to have to qualify for that vey specific description? Does a building need the bells and whistles we frequently include and what’s our real objective? How will we realise the gains? Over what period? What is a grade B office? Is there a demand for it and at what price point? Is location truly the most important consideration to end users or are there other critical factors? What experience do more discerning end users expect, especially as the market gets more competitive with increasing supply of top grade real estate assets in all real estate categories? Are you offering those experiences or are they easily replaced by another development? What makes one real estate stand out and others fade into oblivion over time?

How do you future-proof your development?

Is it possible to build brand equity into real estate projects and how do you do this for sustainable profit to all stakeholders? To what extent do real estate documentation/contracts, facilities management, and other key issues play a role in attracting and retaining the right clients (tenants/buyers/end users) both in the short and medium term. What are the

future trends that investors should anticipate from a rapidly changing and more dynamic target market? And finally, how quickly can we sell or lease and at what price? How do we achieve the best price in a tough market or any market? What are realistic prices and timelines and how are these determined in a non-transparent sector. These are a few of the intelligent real estate questions that we expect investors, developers and anyone working with them to ask and which this training and conference seeks to answer.

What impact do you think the conference would make in the operations of real estate practitioners?

In terms of impact, we want more investors to achieve better profitability both in the short term and long term. There’s a science to the madness that we currently see in all the unoccupied real estate and there’s no need for any developer worth its salt to have a project sit on the market for years, in some cases.

There’s a clear strategy and solution to any sales or leasing problem, no matter how tough the market is.

The challenge is the assessment and diagnosis.

Participants will get to understand the market dynamics from a practical perspective as we are using a case study approach to engage them to draw their own conclusions and hopefully seeing things differently so they can achieve better results in terms of financial profitability but also long term brand equity through positioning and other strategies which we will discuss. This is particularly relevant for those who have a strong vision and are in the business of real estate development /investment as a serious part of their long term portfolio.

Some developers build what they cannot sell.

How will the training change this dilemma?

This training will address the need for developers to understand the market and create products that answer the right questions asked by the

Tell us about your resource persons and what they will bring to the conference Our resource persons include some of the most decorated and notable experts across business disciplines, branding, marketing, sales, legal and real estate strategy, who will be sharing tried and tested principles. Mr. Dan Agbor is a Managing Partner at Udo Udoma & Belo Osagie one of the leading and most respected commercial law firms with diverse experience in advising and representing multinational investors, and Ultra High Networth investors (local and inbound).

They represent a growing list of real estate and infrastructure investors. Dr. Ogechi Adeola, is a multi award winning Lecturer in Marketing at the Lagos Business School, with multiple papers and lectures as well as practical experience in this area. Dr. Fabian Ajogwu, SAN, also a Lagos Business school alumni and professor, has an astute and strategic business mindset which he brings to bear from his combined experience and expertise in business, lecturing and winning some of the toughest legal battles as a Senior Advocate of Nigeria. Chizor Malize, MD and Founder of Brandzone, the curators of the notable Brand Innovation summit, is recognised as a leader in her industry. I am also facilitating the session. Fine and Country as content curator working alongside the Institute of Real Estate Excellence has provided advisory services for the top quartile of real estate investors across West Africa and globally, and will also bring a wealth of knowledge from real life development research, advisory, marketing and strategy cases. Attendees will leave, knowing what to do and what not do with regards to creating winning projects and marketing their developments profitably.

Do you have prospective participants that have confirmed attendance? Tell us about them.

The prospective participants include developers of commercial, and residential developments, some financiers of real estate projects and mortgage providers who, of course, want to ensure they understand the critical success factors for projects they fund, and real estate professionals who are looking at delivering better results in their respective businesses. Portfolio managers for private High Networth investors have also been in touch. The training session is really for those who wants to achieve sustainable real estate results in a tough and changing market.

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TUESDAY MAY 24, 2016 • T H I S D AY

INTERNATIONAL

email:foreigndesk@thisdaylive.com

South African Prosecutor to Appeal Order Reinstating Zuma’s Corruption Charges South Africa’s state prosecutor said yesterday that he would appeal against a High Court ruling which could lead to 783 corruption charges being reinstated against President Jacob Zuma. The decision will bring some relief to Zuma as he faces mounting calls to quit from the opposition and even from members of the ruling African National Congress after a damning constitutional court judgment against him in March.

The main opposition party stepped up its criticism on Monday, saying the state prosecutor’s decision was an attempt to shield the president and buy him time before elections in August. A decision by the National Prosecuting Authority (NPA) in April 2009 set aside hundreds of charges allowed Zuma to run for president the same month.

The NPA’s decision at the time was based on phone intercepts presented by Zuma’s legal team that suggested the timing of the charges in late 2007 may have been part of a political plot against Zuma.

But the High Court last month ordered a review of the NPA’s decision to drop the charges, terming it “irrational”.

“I have decided to apply for leave to appeal against

the judgment,” the National Director of Public Prosecutions Shaun Abrahams told a televised media conference in the capital. “I will always do what is correct, irrespective of whether the individual is an ordinary person, a Cabinet minister or a sitting president.”

Abrahams said the law allowed the prosecutor a discretion that can be exercised at various stages of the an investigation, and that the court ruling could dilute the NPA’s powers.

“It is also a matter that seriously affects the separation of powers. This is an important matter of principle which affects all prosecutions, it is so important. I believe it needs the decision of an appeal court,” Abrahams said. The hundreds of corruption charges relate to a major government arms deal arranged in the late 1990s.

Zuma said last month that an investigation into the deal had found no evidence of corruption or fraud. Critics denounced the findings as a cover-up and said they would continue to campaign for justice.

The opposition Democratic Alliance party said in a statement that Abrahams’ decision was “a blatant delaying tactic to shield Jacob Zuma from facing the 783 charges of corruption, fraud and

racketeering leveled against him almost a decade ago.” ANC spokesman Zizi Kodwa said

the NPA had taken its decision independently.

Cuba to Help Nigeria Upgrade Medicare Bolaji Adebiyi in Abuja The Ambassador of Cuba to Nigeria, Mr. Carlos Trejo Sosa, yesterday expressed his country’s preparedness to help Nigeria upgrade the quality of its Medicare, saying plans had reached advanced stages to increase the number of Cuban medical specialists that were working in Nigeria.

“We have spoken to different stakeholders in Nigeria that we can bring here things of excellence, including about 100 specialists who have quality experience in different areas of Medicine,” he told journalists in Abuja.

He said Cuba was ready to share with Nigeria its rich experience in rendering quality and efficient Medicare to people, adding that this would help Nigeria to improve on her service delivery in the health sector and safe some of the money Nigerians spend on medical tourism.

“What we want is to work with Nigerian doctors. They are very

good doctors. So we can bring our specialists to work with yours here,”Sosa said, explaining,“This will help to save part of about €1 billion your country spends on medical tourism in 2014.”

The Ambassador said Cuba was prepared to help Nigeria eliminate malaria, a fit his country had achieved in 1967.

He spoke about the healthcare record of Cuba that Nigeria stood to benefit from, “In terms of healthcare, as you know we have a comprehensive system in Cuba, it has been working very well in decades. Life expectancy in Cuba is about 80 years. Women live longer than men, about half a year longer than we (men) live.

“Infant mortality rate in Cuba is only 4.2 per 1000. It is one of the lowest in the world. With the system we have put in place over the years, it is now the cheapest in the world and we have been able to cover all the needs of the population. So we have been able to achieve high life expectancy and quality.

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NEWSEXTRA

N23bn Delta IPP Probe: My Hands are Clean, Says Okowa Says his government created 17,173 jobs in 11 months Omon-Julius Onabu and Monday OsayandeinAsaba

Governor Ifeanyi Okowa of Delta State has said his hands are clean regarding contracts for the ill-fated multi-billion naira Delta State independent power project (IPP) located at Oghara, which is currently under the searchlight of local and international probes.

Okowa, who stated this while fielding questions from journalists during a media parley in Asaba yesterday as part the first year

anniversary of his administration, disclosed that his government was able to create a total of 17,173 jobs in its first 11 months.

Over N19 billion was said to have been expended by the Delta State Government on the IPP project awarded to Davnotch Nigeria Limited, a company established by ex-speaker of the state, Mr. Victor Ochei, without any concrete thing on ground to show for the huge amount spent.

The state House of Assembly instituted a probe into the project

Fayose: We Removed Modu Sheriff to Prevent Polarisation in PDP OlakiitanVictorinAdoEkiti Ekiti State Governor, Mr. Ayodele Fayose, has said the former chairman of the Peoples Democratic Party (PDP), Senator Ali Modu Sheriffled National Working Committee (NWC) of the party was dissolved and caretaker committee appointed at the last Saturday National Convention held in Port-Harcourt, Rivers State to save the party.

The governor said even though he was one of those who supported the former chairman, he had no option than to support his removal so as to forestall disintegration of the party, adding that; “We cannot sacrifice the party for any individual.”

Special Assistant to the governor on Public Communications, Lere Olayinka, in a statement issued in Ado-Ekiti yesterday urged Sheriff to accept his removal in good faith and join others to build the party.

The governor said; “I supported Senator Ali Modu Sheriff in good conscience. But when it became obvious that his continuous stay

in office as the National Chairman will jeopardise the collective interest of the party, I had no option than to support his removal.

“To me, the general interest of the party overrides that of any individual and there is no how I can stand in support of any plan to sacrifice the party for any individual.

“Anyone whose ambition threatens the collective interest of the party should be removed to save the party and that’s exactly what we have done.

“I therefore urge Senator Ali Modu Sheriff to accept the dissolution of the NWC and appointment of the SenatorAhmed Makarfi-led Caretaker Committee in good faith and cooperate with other well-meaning members of the party to reposition it so as to achieve the much needed electoral victory in 2019.

“To Sheriff and other well-meaning members of the party, what should be important is the party and not the individual and no sacrifice should be too much for anyone to make for the party at this time.”

Detained Shi’ite Leader, ElZakzaky Asks Court to Order His Release Tobi Soniyi in Abuja An application for the enforcement of his fundamental rights filed by the leader of the Shi’ite Islamic Movement of Nigeria, Ibrahim El-Zakzaky, at a Federal High Court in Abuja could not be heard yesterday because of the absence of the respondents namely, the Department of the State Services (DSS), the police and the Attorney General of the Federation.

This compelled the trial judge, Justice Gabriel Kolawole, to adjourn the case to June 18, 2016, for mention and for the respondents to appear in court.

El-Zakzaky was arrested in December 2015 following a clash between the military and members of his sects in which hundreds of the sects members were killed.

In the motion filed on his behalf by Mr. Femi Falana (SAN), El-Zakzahy is asking the court for an order for the enforcement of his fundamental rights.

He is also asking the court to declare his continued detention for over five months without trial as illegal.

The grounds of the application include the following: “That the arrest and detention of the defendant since December 14, 2015, is unconstitutional and a violation of his rights to personal liberty, as enshrined in section 35 of the constitution; “That the arrest and detention of the defendant since December 14, 2015, without arraigning him before any court of law is unconstitutional and a violation of section 36 of the constitution.

“That the detention of the defendant by the respondent since December 14, 2015 without access to his medical doctors is in violation of his fundamental rights to health and association, as enshrined in article 16 of the African Charter of Human and Peoples Rights”.

The Shi’ite leader also asked the court to declare that his detention since December 14, 2015, without access to his family was a violation of his rights to freedom of association as enshrined in section 40 of the constitution.

He wants the court to issue an order restrainting the respondents from further violating his rights.

situated in Oghareki, Ethiope West Local Government Area of the state which was awarded at the cost of N23 billion to Davenotch in 2009.

The former Delta assembly speaker, who spoke through his personal aide, Mr. Nkem Osu, told THISDAY last week that Ochei ceased to be a director in the company about five years ago, having “resigned from the board even before he became Speaker, in accordance with the Code of Conduct Bureau.”

However, reacting to a question that he must have been aware of the deal since he was then Secretary to the State Government (SSG), Okowa said, “I can beat my chest because I speak with a clear conscience.

Yes, I was SSG, but was not the commissioner for energy. So, I can pride myself that I never received one kobo from the (Oghara) IPP.”

Okowa denied stopping the probe by the lawmakers into the state IPP at Oghara, saying his government had opted for a new IPP to be located in Delta North.

He noted that these handicaps of the botched project included establishment of a gas supply access trunkline, evacuation facility and hooking of the facility to the national grid, all of which the governor said would cost the state billions of naira.

He observed that although the situation on ground was very gloomy due to the economic downturn and financial crunch in the country, he began streamlining government’s expenditure to meet the exigencies of governance.

Okowa, attributed the relative success of his government since its inauguration on May 29, 2015 to what he called “superior planning” which ensured that the budget was

prepared and sent early to the state house of assembly thereby making possible its early passage and signing into law.

According to Okowa, “When I addressed the state immediately after my swearing-in as Governor on May 29, 2015, we were in the middle of a serious economic crisis, our monthly revenue both from the Federation Account and Internally Generated Revenue (IGR) had dipped significantly; the non-oil sector of the economy remained largely untapped; the level of youth unemployment was troubling, posing a clear and present danger to the socio-political stability of the State; our credit was in bad shape, and the financial system was at best, shaky and at worst, perilous. Indeed, our promise of prosperity for all Deltans seemed illusory, but, we

moved swiftly and decisively to restructure our liabilities and instituted processes and procedures to plug leakages, eliminate wastes and ensure fiscal discipline.”

Of the 17,173 jobs reportedly created by the government, Okowa said: “This figure consists of 6,800 direct jobs and 10,373 indirect jobs of both skilled and unskilled workers. As a Special Purpose Vehicle, the Office of the Chief Job Creation Officer accounted for 7,522 of these jobs while the remaining 9,651 were created through projects, programmes and initiatives implemented through the various MDAs. The sectoral breakdown of the job creation scorecard is contained in the First Year performance report to be issued within days of this briefing.”

DAMNING REVELATIONS

L-R: Executive Secretary, Nigeria Extractive Industries Transparency Initiative (NEITI), Mr. Waziri Adio; Minister of Solid Minerals Development, Dr. Kayode Fayemi; members, National Stakeholders Working Group (NSWG) on NEITI, Alhaji Lawan Hantewa; and Mr. Gbenga Onayiga, at the public presentation of 2013 Oil and Gas Industry Audit Reports in Abuja....yesterday NAN

Attacks on Oil Facilities: We Won’t Reward Criminality with Medals, Says Presidency We will not shield any militant, Wike assures military

Iyobosa Uwugiaren in Abuja and Ernest Chinwo inPort Harcourt

Amidst tension in the Niger Delta over attacks on oil facilities by the new militant group, the Special Adviser to the President on Niger Delta Affairs, Gen. Paul Boroh (rtd), yesterday warned that the federal government would not reward criminals with medals under the guise of seeking peace.

The presidential aide asked those involved in the renewed “acts of economic sabotage against Nigeria,’’ to retrace their steps or be ready for the consequences of such criminality, which according to him, has no basis whatsoever in the status of the region.

Addressing journalists in Abuja, Boroh said it was wrong for criminals to embark on wanton destruction of revenueproducing facilities after the federal government had already given general amnesty to militants, and was actively training those who signed up to the programme.

Boroh drew the attention of those pressing for a new amnesty for the militants that the federal government had consistently kept faith with the implementation of the amnesty it declared on June 25, 2009 and was drawing to an end with an exit strategy put in place.

According him: “There is no plan to go back on the amnesty programme of the federal government and all men of goodwill in the Niger Delta should do all they can to support President Muhammadu Buhari’s peace and development effort in the region.

“Let it be made known that no amnesty programme lasts forever and that the one in the Niger Delta cannot be elastic. The programme had a set deadline which had since expired but the president graciously extended it and put an exit strategy in place to cater for the interest of all.

“Any individual or group that engages in criminal destruction of economic facilities in the Niger Delta under the guise of militancy

should understand that there are dire consequences for such acts and that the law enforcements agents will not fold their hands and watch them do so.’’

Meanwhile, Rivers State Governor, Nyesom Wike, yesterday declared that his administration would not shield anybody from military operations against militants sabotaging the nation’s economy.

He said the state would rather assist the military fish out those blowing up oil pipelines in the state.

Wike spoke yesterday at the Government House, Port Harcourt when he granted audience to the country’s Military High Command led by the Chief of Defence Staff, General Abayomi Olonisakin.

The Chief of Defence Staff was accompanied by the Chief of Army Staff, Lt General Tukur Buratai; Chief of Naval Staff, Vice Admiral Ibok Ibas; and the Chief of Air Staff, Air Marshal Sadiq Abubakar.

Wike stated that all Niger Delta governors oppose the use of violence to settle grievances,

pointing out that the governors were billed to meet with the Vice President on June 7 to discuss and proffer solutions to the security situation in the region. “What’s happening affects our state revenue.

We shall help the military to fish out militants blowing up oil pipelines in the region,” he said.

The governor said the state government was worried about the resurgence of militancy in the Niger Delta as it negatively affects development in the area. He said: “As a government, we cannot support economic sabotage. What is going on is economic sabotage.

Production is being negatively affected, with the revenue of states dwindling.

“There are ways to channel grievances and it is wrong to do what will negatively affect the people of the region.”

Earlier, the Chief of Defence Staff, General Olonisakin, said the recent resurgence of militancy in the Niger-Delta was of serious concern to the military.

TUESDAY MAY 24, 2016 • T H I S D AY

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Sirika: Why FG is Shopping for Investors for National Carrier, Airport Concessions, Others Dele Ogbodo inAbuja The Minister of State for Aviation, Mr. Hadi Sirika, yesterday said the absence of a strong carrier, lack of major Maintenance, Repair and Overhaul (MRO) facilities and the inefficient airport operations were some of the reasons why the government was shopping for partners to invest their resources to recreate the sector.

The minister, who was

represented by the Permanent Secretary in the ministry, Mr. Sabiu Zakari, made the disclosure at the International Air Transport Association (IATA) conference in Abuja, said the country which serves both the West and Central African market of 600 million people had no significant aviation businesses.

On partnerships, he said: “The aviation sector is full of opportunities, some of which

Court Grants EFCC Order to Detain Fani-Kayode for Additional 21 Days Akinwale Akintunde An Ikeja Magistrate Court yesterday granted the Economic and Financial Crimes Commission (EFCC) an order to further remand former Minister of Aviation and Goodluck Jonathan Campaign Organisation spokesperson for the 2015 presidential, Mr. Femi Fani-Kayode, in its custody for 21 days over an alleged N1.5 billion fraud.

Chief Magistrate Bola Osunsanmi gave the order following a remand application filed by EFCC, stating that keeping the former spokesperson further in custody would give the commission the opportunity to conclude investigations on several fraud cases concerning him before he is charged to court.

Fani-Kayode appeared in court in a white kaftan and peer of black slippers.

EFCC counsel, Mr. A. N. Anana, also submitted that keeping the suspect in their custody will further help prevent

him (Fani-Kayode) the chance of tampering with evidences already gotten against him.

“We have an application before the court, an order of remand dated May 10 brought pursuant to Section 261 of ACJL. Attached with it is a nine paragraph affidavit of urgency deposed to by one Tosin Ngbodagha.”

Anana therefore urged the court to grant the application.

Opposing EFCC’s remand application, Fani Kayode’s counsel, Mr. Wale Balogun argued that granting such application would amount to breach of his client’s constitutional rights.

He told the court that the defendant had been earlier granted an administrative bail by the EFCC on May 12 but was not released.

He also informed the court the anti-graft agency had gotten the same order of remand for 14 days before an Abuja Chief Magistrate Court, adding that the commission came to Lagos to get another remand order after the. Abuja order expired.

Metuh: APC’s Smear Campaign was Injurious to Jonathan’s Image, Says Witness Alex Enumah inAbuja A fourth defence witness (DW4) in the ongoing trial of the erstwhile National Publicity Secretary of the Peoples Democratic Party (PDP), Chief Olisa Metuh, Mr. Antony Okeke, yesterday told a Federal High Court in Abuja that the ‘smear campaign’ of the then opposition party, All Progressives Congress (APC), injured the image of former President, Dr. Goodluck Jonathan, badly.

The witness, a lawyer and a former acting National Publicity Secretary of the PDP, who handed over to Metuh in September 2013, told the court at the resumed trial that it was not surprising for him to learn that the sum of N400 million was authorised by President Jonathan to counter the opposition campaign.

Okeke said APC’s campaign had a devastating impact on Jonathan’s image which warranted the engagement of a number of consultants to help change public perception about the former president before the 2015 presidential election.

The witness in his testimony disclosed that Jonathan’s image was surrounded by a lot of issues that needed clarification.

He said: “The image of the

party and that of Jonathan was seriously battered by the APC, and as a result of that, the important assignment of the party at that time was the re-election.

“The party was doing all it could to be accepted by the voting public, so it has to present a good image to the public.”

He also told the court that funds raised by individuals for the purpose of the campaign were paid directly to Jonathan and that Jonathan was responsible for the disbursement of the funds.

Under cross-examination by Tochukwu Nwugbufor (SAN), counsel to the second defendant, the witness said no fund was passed to him when he assumed the office of acting National Publicity Secretary of the party on June 20, 2013, and he also did not pass any to Metuh by the time he (Okeke) handed over to Metuh in September of the same year.

According to Okeke, Metuh is a man who had “an unrivalled passion for his job and was so determined to make a success in his job as the National Publicity Secretary of the party.”

However, prosecution counsel, Sylvanus Tahir, did not crossexamine the witness.

include the concession of the Abuja, Kano, Lagos and Port Harcourt airports, partnership to establish a national carrier, and establishment of MRO centre.

“Aviation Leasing Company (ALC), Development of Agrocargo Terminals and associated infrastructure partnership to upgrade the Nigerian College of Aviation Technology (NCAT) in Zaria.”

He said government would also partner the private sector in hospitality, hotels, resorts and logistics, adding that it would include facilitation of taxi and car hire services.

According to Sirika, the present administration would use aviation as a tool for national development and economic rejuvenation. The West and Central Africa belt hubs which Nigeria services is a big market waiting for exploitation.

He said: “This belt, with a population of 600 million people, is with a total absence of any significant aviation businesses.

However, as bad as this may sound, it will surely gladden the heart of an investor.

“So Nigerian aviation is as virgin as you would love it. The Nigerian economy has high rate of return on investment in excess of 30 per cent.”

The minister explained that arrangements had reached advanced stage for the local production of aviation fuel (jet A1), adding that this brings down its cost and regularises supply.

He called on investors to put their resource in the setting up of a refining facility for local consumption and export.

“High cost of aircraft maintenance- government is in the process of establishing

a major MRO through PPP to allow for A to D checks of most aircraft type.

“The MRO will have an engine, battery, wheels and brakes, upholstery and galley shops. Because of shortage of manpower, government is partnering the International Civil Aviation Organisation (ICAO), donor countries and agencies to establish an aviation university in Abuja.”

In a remark, Mr. Hussein Dabbas, IATA’s Regional Vice President for Africa and the Middle East, called on African governments to prioritise the development of aviation to bolster economic growth and development.

According to him, Africa is set to be one of the fastest-growing aviation regions over the next 20 years, with annual expansion averaging nearly five per cent.

This, Dabbas admitted, would open up economic opportunities for the continent, adding that by transporting 70 million passengers annually, aviation sector already supports over seven million jobs and $80 billion of economic activity on the African continent.

Also in her remarks, the Secretary General of the African Civil Aviation Commission (AFCAC), Ms. Iyabo Sosina, said studies alluded to the fact that aviation traffic in Africa would double in 2030, adding that there is need for governments to increase its human and infrastructure capacities.

She said only African countries have pledged their commitment to operate a single African aviation market. Sosina urged for the removal of multiple taxation and reduction of high operation cost which she said limits the growth of local carriers.

MEETING WITH CSOS

L-R: Founder, Coalition Against Corrupt Leaders (CACOL), Mr. Debo Adediran; Minister of State for Petroleum, Dr. Ibe Kachikwu; and Minister of Information, Art and Culture, Alhaji Lai Mohammed, during an interactive session with a coalition of civil societies and professional bodies, in Lagos...yesterday Kola Olasupo

AfDB Predicts Slow Economic Recovery for Nigeria Projects 3.8% GDP growth rate this year, 5% in 2017 Kunle Aderinokun inLusaka, Zambia Despite the appalling real GDP growth rate of -0.36 per cent recorded in the first quarter of this year, the African Development Bank (AfDB) has projected a real GDP growth rate of 3.8 per cent for Nigeria by the end of the year and even painted a brighter outlook for the country in 2017 with a projection of a real GDP growth rate of five per cent.

The bank predicted that there would be a slow recovery of the economy this year as some of the reforms of the federal government begin to take effect.

AfDB, which made the projection in its Africa Economic Outlook (AEO) launched yesterday at the ongoing annual meetings in Lusaka, Zambia, noted that “Nigeria has had sluggish economic growth since the end of 2015 with the rate dropping to an estimated three per cent in December 2015, leading the authorities to adopt

an expansionary 2016 budget that aims to stimulate the economy.”

Irrespective of AfDB’s estimated real GDP growth rate of three per cent as at December 2015, the Nigeria’s economy grew by 2.11 per cent growth rate as at fourth quarter-ended December 2015, which even plummeted to a historic -0.36 per cent in the first quarter of this year, according to the National Bureau of Statistics (NBS) figures.

Stating that “in West Africa, growth slowed in 2015 due to the sharp fall in commodity prices and the Ebola crisis, AfDB pointed out that, “ In Nigeria, Africa’s largest economy, oil production remained low and growth of the non-oil sector weakened as the government cut spending due to lower oil revenues.”

Specifically, it pointed out, the Nigerian economy had been adversely affected by external shocks, in particular a fall in the global price of crude oil.

The bank added that, “privatesector activity was also adversely

affected by tighter monetary policy and foreign exchange restrictions, which were implemented to counter depreciation of the currency. Growth is expected to recover gradually with the help of a more expansionary government budget.”

AfDB noted that “the 2016 outlook is for slow economic recovery as some of the reforms begin to take effect and measures to boost the economy, such as increased spending on infrastructure, are implemented.”

According to the bank, “some specific reforms pursued by the new administration to lay a foundation for renewed growth are commendable.

The key reforms include the rationalisation of the public sector in order to cut the cost of governance; enforcement of the single treasury account to block financial leakages; renewed efforts at enforcement of tax compliance; preparation for zero-budgeting starting in 2016; and increasing the ratio of capital to recurrent

expenditure to 30:70.”

It, however, pointed out that, “security remains a major challenge, in the northeast in particular.”

“While the military has stepped up the fight against the Boko Haram insurgency the humanitarian situation has continued to deteriorate. The number of internally displaced persons is estimated at over 2 million, located mainly in the cities where conditions are safer. Both the government and development partners continue to explore additional ways of improving the situation,” it noted.

Generally, AfDB said, Africa’s economic performance held firm in 2015 amid global headwinds and regional shocks, positing that, the continent remained the second fastest growing economic region after East Asia.

According to the forecast of the AEO, the continent’s average growth is expected at 3.7 per cent in 2016 and pick up to 4.5 per cent in 2017, provided the world economy strengthens and commodity prices gradually recover.

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Court Orders DSS to Allow Dasuki Meet His Lawyers on Neutral Ground Tobi Soniyi inAbuja An Abuja High Court has rejected the plans by the Department State Services (DSS) to confine the detained former National Security Adviser (NSA), Col. Muhammed Sambo Dasuki (rtd) to its premises for the purpose of allowing Dasuki to have access to his lawyers for the purpose of preparing his defence to multiple charges filed against him by the federal government.

The court ordered that Dasuki must be allowed to have access to his lawyers at a neutral place instead of the premises of the DSS headquarters in Abuja so as to enable him prepare adequately for his defence in the trial.

Justice Husain Baba Yusuf, who issued the order in Abuja yesterday, directed that henceforth the detained ex-NSA should be allowed by the DSS operatives to access his lawyers within the premises of the Federal Capital Territory Judiciary Headquarters in Maitama Abuja between Monday to Friday this week.

The judge’s ruling followed a

complaint by Dasuki’s lawyer, Mr Adeola Adedipe, that the legal team for Dasuki had not been allowed to have direct access to him in spite of a court order made on April 6.

At the resumed hearing of the case, counsel to the federal government, Mr. Rotimi Jacobs (SAN) had told the judge that the case was slated for commencement of trial and that he was fully ready with his witnesses.

However, Adedipe rose and told the court that he was not ready for any trial because the ruling of April 6 which ordered DSS to allow the lawyers access to their client for briefing so as to prepare his defence had not been complied with by the security agency.

The counsel claimed that following the April 6 ruling, a letter by Dasuki’s lead counsel Mr. Joseph Daudu (SAN) dated April 13 was dispatched to the DSS requesting for permission to access Dasuki outside the DSS office as contained in the ruling of the court.

To their surprise, Adedipe said the prosecution counsel, Jabobs, replied on April 18 to the effect

that the access to Dasuki would be granted at a convenient room and unhindered in a special room at the DSS headquarters.

He said in order not to put a question mark on the trial, Dasuki must be allowed access to his lawyers in a neutral place in the interest of fair trial.

Justice Yusuf who had earlier indicated that he was not going to grant any further adjournment however saw reason with the defence and adjourned the case till June 6 for the DSS to comply with his April 6 ruling.

The judge ordered that as from yesterday till Friday, Dasuki must be brought by the DSS operatives to the premises of the Abuja High Court as a neutral ground where Dasuki should be allowed unhindered access to his lawyers to enable him prepare adequate defence in the criminal charges against him.

Justice Yusuf asked Jacobs to prevail on his client to always obey orders of the court in order not to impede the trial.

KACHIKWU CALLS FOR DIALOGUE WITH NIGER DELTA MILITANTS present, the product is now more expensive but at least t the suffering is reduced and the product is much available and we are going to use that money for general well-being,” he said.

Meanwhile, ex-militant leader, Chief Government Ekpemupolo alias Tompolo, has launched a a personal manhunt for members of the new militant group, Niger Delta Avenger (NDA).

A pointer to this direction was the arrest of two militants in a creek in Gbaramatu Kingdom last Friday night while trying to bomb an oil pipeline close to Oporoza, his community in Warri South West Local Government Area of Delta State.

Security sources disclosed exclusively to THISDAY that Tompolo personally supervised the arrest of the militants when he got wind of plans to burst some pipelines in his domain.

The ex-militant leader had last week decried the continuous siege on his Oporoza community and Gbaramatu kingdom in general by soldiers in search of members of the new militant group, Niger Delta Avengers.

He had described in an online statement that the continuous military siege on him and Gbaramatu kingdom was unfortunate.

“I wish to humbly express my disappointment and displeasure with the federal government and the Nigerian military on the continuous siege on me and Gbaramatu communities under the guise of looking for members of the nascent Niger Delta Avengers,” he said.

Tompolo said he was baffled that the military has refused to believe that he is not part of the Niger Delta Avengers and its activities as contained in his several media statements.

He said he was obviously a victim of circumstance in the unfolding scenario because of his case with the Economic and

Financial Crimes Commission (EFCC), wondering how he could resort to destruction of oil facilities because of what he described as trumped-up charges against him by the commission when his lawyers were already challenging the faulty process of legal service on him.

To prove his innocence, THISDAY gathered the exwarlord had an opportunity last Friday night when he heard about the presence of some militants planning to blast pipelines around his community.

Sources said Tompolo mobilised some of his boys and went after the hoodlums at about 10.30p.m. and caught the boys around some pipelines, apprehended two of them while others escaped in their speedboats.

“He is keeping the two suspects in his custody since then apparently to extract information that will lead to the arrest of others. I think he is doing that to show that he has no connection with the group,” the security source said.

Contacted for confirmation, the Media Consultant to Tompolo, Mr. Paul Bemenimibo, said he was not aware of the arrest but promised to contact his principal and get back to THISDAY. He never did three hours after before filing this report but sources in a government undercover agency confirmed the arrest, saying they are monitoring the development as it unfolds.

However, the EFCC yesterday told a Federal High Court in Lagos how one of the companies belonging to a former Niger Delta militant, Government Ekpemupolo Niger Delta militant, Government Ekpemupolo was overpaid by the Nigerian Maritime Administration and Safety Agency (NIMASA) to the tune

of N24billion.

An EFCC witness, Ahmed Ghali, said Global West Vessel Specialist Limited (GWVSL), owned by Tompolo, defrauded NIMASA by over N24billion for a security contract.

Testifying yesterday before Justice Ibrahim Buba, the witness (Ghali) told the court that the company belonging to Tompolo was paid using a fraudulent benchmark.

The witness said the company paid N700million to former NIMASA Director-General Patrick Akpobolokemi as kickbacks.

Tompolo, who is still at large, was charged with Akpobolokemi, GWVSL, Odimiri Electricals Limited, Kemi Engozu, Boloboere Property and Estate Limited, Rex Elem, Destre Consult Limited, Gregory Mbonu and Captain Warredi Enisuoh.

EFCC, in the 40-count charge before Justice Buba, said the suspects allegedly diverted N34 billion for personal use.

Led in evidence by EFCC prosecutor, Rotimi Oyedepo, the first prosecution witness (PW1) said NIMASA and Tompolo’s company entered into a public private partnership (PPP) agreement on April 3, 2012.

The agreement was for, among others, “improvement of security within the Nigeria maritime domain, improvement in data collection, improvement of cabotage and revenue generation enforcement, improvement of safety of life at sea and enhancement of search and rescue, improvement in pollution control and management leading to cleaner waters.”

The witness said the fraud began when a benchmark for sea protection levy was altered, adding that despite protests by a NIMASA director Victor Onwuzuruike, the alteration was approved by Akpobolokemi.

TUESDAY MAY 24, 2016 • T H I S D AY

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FG Initiates Biometric Data Collation for N5,000 Cash Payments to the Poor The federal government yesterday reiterated its resolve to alleviate poverty across the country with N5,000 using biometric data collation.

The Special Adviser, Social Investment, Office of the Vice President, Mrs. Maryam Uwais, said this while speaking at the

international conference on “Child Poverty and Social Protection in Western, Central Africa,” in Abuja.

The News Agency of Nigeria (NAN) reported that the conference focuses on proffering solutions to tackle child poverty, protection to children across the West and Central African region.

Destructive Pests: Kaduna Declares State of Emergency on Tomato Farming John Shiklam in Kaduna

The Kaduna State government has declared a state of emergency on tomato farming in the state, following the outbreak of a destructive pests.

The Commissioner of Agriculture, Dr. Maigari Daniel Manzo, who disclosed this at a press conference in Kaduna yesterday, said 80 per cent of tomato farms have been ravaged by a pest which blights tomato, called Tuta Absoluta.

Manzo said over 200 tomato farmers in three Local Government Areas of the state were affected by the destructive pests, adding that the farmers had suffered loses worth one billion naira in the last one month.

The commissioner said, already some officials of the ministry agriculture were sent to Kenya to liaise with experts with a view to finding solution to the problem.

“I want to say that Governor Nasir El-Rufai has declared a state of emergency on tomato in the state.

This is as a result of invasion of the crops by a pest named tomato blight botanically known as Tuta Aboluta.

“In the past one month 12 local government areas of the state who produce tomatoes have lost 80 per cent of their tomatoes harvest.

“In three local government areas about 200 famers have lost One billion naira worth of their tomatoes. So you can imagine the magnitude of the lose.

“It is so severe that even Dangote who has established a tomato processing plant in Kano, had to shut down production” the commissioner said.

He explained that the problem with the disease which is caused by a moth, “is that no amount of spraying will kill the adult. You spray it, after about three hours, it revives back to life. So, we have sent some of our officials to travel to Kenya and meet our partners.

Kenya has a good advantage on this issue over us.

“We understand that they use a plant extract to take care of this problem. But we do not have that knowledge yet. We expect them to return very soon with a short and medium term solution”.

Manzo disclosed further that the state government will vaccinate 7 million livestock in the state to secure both man an animal from infections.

He noted that “about 63 per cent of all diseases that infect man are transmitted by animals. So vaccinating cats, sheep, goats and even poultry, is to protect man”.

According to her, government allocated money to assist the poor and is ensuring that communities determine the poor within them for proper interventions.

“For the first time government has budgeted money for the poor in this country, and first and foremost we have been given the mandate to develop a credible register of poor people.

“So we are actually going into the communities organising group focused discussions, asking the communities what poverty means to them and we ask them who fits into the parameters they have defined.

“When we get all those names, we go back, do the enumeration with Bank Verification Number (BVN) and National Identity Management Commission (NIMC) because we don’t want to create ghost beneficiaries.

“We want to get the actual identities, we want them to have an identity number and a BVN number because we want the banks to pay directly

to the beneficiaries this N5,000,” Uwais said.

According to her, the government will do unconditional transfers initially and add livelihood support.

“In doing unconditional transfers, we target the productive people in a particular family, because when we go back to do the BVN, NIMC and the identity enumeration, we ask questions from each household.

“There is a whole list of questions that we ask; for the children we will take pictures, for the adults we take biometrics.

“We are setting up mechanisms for payment directly and we are supported

by NIMC and by the banks to go in and ensure that the money goes directly to these people.

“These people will be paid in their communities, they will be paid N5,000, and won’t need to travel to the capital to go to a bank branch or go to where

an ATM is,” she said.

According to her, the banks have to get the monies through the market place down to the beneficiaries.

She added that they were starting with 30 per cent of the poverty population of each state, their local governments and then move up to 50 per cent in 2017.

Uwais stated that government agencies were supporting the project, adding that they have the resolve to implement it.

Mr Enrique Delamonica, UNICEF Nigeria, Chief Social Policy Officer, said that it was important to reduce child labour and poverty for a better society.

He said: “Economic integration can help with reduction of child poverty in countries within the region and having common frame works of social protection also.

“It also requires facilitation of labour market integration.”

According to him, the government is on the right

path to the eradication of child poverty and protection with dialogues, investing in nutrition, among other interventions.

He stated that there had been remarkable result in the Millennium Development Goals (MDGs), adding that the Sustainable Development Goals would enable the government record more milestone in child poverty eradication.

Mr Dennis Zulu, Nigeria, Ghana, Sierra Leone Country Office Director, International Labour Organisation (ILO), said a significant number of children across the world and Africa were involved in child labour due to poverty.

Zulu said that poverty ravaged care givers and guardians of children who compel them to make income for their families.

He added that consented efforts needed to be made by governments to ensure that national social protection laws were guaranteed at the national level.

Strike: Soldiers Take over Government Offices in Bayelsa YOU ARE WELCOME Emmanuel Addeh inYenagoa A detachment of soldiers and mobile policemen were yesterday deployed in various government offices in Yenagoa, Bayelsa State, following a planned protest by organised labour in the state.

The workers who haven’t been paid salaries since this year, last week embarked on an industrial action to compel Governor Seriake Dickson to fulfil the government’s obligation to them.

At the state Secretariat Complex, men of the Joint Task Force (JTF), Operation Pulo Shield and some cops were seen at the gates and its annexes located few metres away from Creek Haven, the state Government House.

However, majority of the workers failed to turn up for work, in defiance of the state government’s “no work no pay rule.”

Few civil servants who reported for work yesterday were barred from accessing their offices by officials of organised labour, while the state government reportedly opened a register for those who came to work.

The state Chairman of the Nigerian Labour Congress (NLC),

Mr. John Ndiomu, noted that though discussions were going on with the government, the workers would not resume work until the talks were concluded.

“Series of meetings are going on with the government and we shall also be meeting today (Monday), but I am still urging our members to remain at home.

“The strike is now on its third day, and we are still on it, it is true that the state government has started the payment for January alone but we will continue to stay at home until the union reaches a favourable decision.

“The strike which commenced on May 19 would not be called off until the government clears the backlog of salaries owed civil servants,” the labour leader said.

Chairman of the Trade Union Congress, TUC, Tari Duonana, noted that the strike would continue despite the ‘threats’ by the government.

“We cannot be intimidated. We know the tactics of all these people.

They will come with this type of arrangement but they are not God. They have the guts and the money, but we have the population by us,” the TUC chairman said.

President Muhammadu Buhari (sitting right), receiving Governor Ibikunle Amosun of Ogun State at the State House in Abuja...yesterday.

With them is the Chief of Staff to the President, Mallam Abba Kyari

Mark, Ogbeha, Faleke Mourn Obaro of Kabba Former Senate President, Senator David Mark and Senator Tunde Ogbeha yesterday mourned the passage of the Obaro of Kabba in Kogi State, Oba Michael Folorunsho Olobayo, describing his death as the loss of a quintessential royal father who lived his life for the growth of his community as well as the Okun nation.

In separate condolence messages to the Obaro family, the Kabba community and Kogi State government, the duo said the late royal father was a detribalised Nigerian who cultivated friendship beyond the frontiers of Okun land.

Specifically, Mark stated: “Kabiyesi in humility built friendship far beyond the shores of Okun. He was a brother, friend and committed patriot who sought the best for his people.

“He was an embodiment of peace and preached this to everyone who came his way during his lifetime. We shall

sorely missed him.

“He will be remembered for the development which characterized his 30 year reign as Obaro of Kabba.”

Mark therefore urged the people of Kabba and Okun nation in general to uphold the legacies of peace, unity and unwavering commitment to development which the late royal father stood for.

He urged the children of the late Obaro to take solace in the good works their father left behind.

On his part, Ogbeha who represented Kogi West senatorial district in the Senate from 1999 2003 and 2003 -2007 noted that the late Obaro Olobayo was a pillar of support during his electioneering days.

He said the people of Kogi State will miss the wise counsel of the late Obaro who was always handy especially during trying times.

Ogbeha therefore enjoined the government of Kogi State to immortalise the late Obaro for his immeasurable contributions to the unity and development of the state.

Until his demise, the late Obaro Olobayo was the Obaro of Kabba and the chairman of Okun Traditional Council of Chiefs in Kogi State.

Also, the deputy governorship candidate in the November 21, 2016 governorship election in Kogi State, Hon James Faleke, described the death of Oba Olobayo as a huge loss not only to the state but the country in general.

In a statement signed on his behalf by the Director, Media and Publicity, Audu/Faleke Political Organisation, Hon. Duro Meseko, Faleke, said the demise of the frontline monarch came as a monumental shock to Nigerians especially Okun people.

“When I read the report in

the newspaper that Kabiyesi (Oba Olobayo) had joined his ancestors at age 71, I was dumbfounded. The stark reality quickly dawned on me that Nigerians, Kogites and indeed Okun people had lost a rare unifier, a bridge builder, an astute and charismatic leader who exuded uncommon forthrightness all through his years on the throne,” he lamented.

For us in the Audu/Faleke Political Organisation, “Nigerians have lost a rare gift, a humble royal father who contributed in no small measure to the development of the country, Kogi state and indeed Okunland.”

Faleke urged Okun people especially Kabba people to take solace in the fact that the late monarch had laid a solid foundation for peace, unity and development of the community, and that all hands must be on deck to build on those legacies.

42

T H I S D AY • TUESDAY,MAY 24, 2016

BUSINESS/MONEYGUIDE

Senate Urged to Pass Audit Bill Obinna Chima Members of the Senate have been advised to ensure the passage into law, the Audit Bill 2014.

THISDAY learnt that the lawmakers are expected to deliberate on the bill this week. The bill seeks to repeal the Audit Ordinance Act of 1956 and the Public Accounts Committee Act 1990. If passed into law, the bill would also lead to the detachment of the Office of the Accountant General of the Federation (OAGF) from the presidency and establish an Audit Service Commission.

Towards the end of the immediate past administration, the House of Representative had passed the bill and is now with the Senate for concurrent.

The same bill was passed by both chambers during the 7th Assembly. Two of the members of the 7th Assembly who sponsored the bill are still in the Senate.

Senator Lawal Ahmed was the chairman of the public account committee of the Senate who sponsored it is still there. Senator Solomon Adeola was Public Account Chairman of the House (PAC), and was the sponsor. He is now a senator.

“Some interest groups within and outside the office of the auditor general are now going round to contacting the Senators not to allow the bill to pass or for hearing at all. This bill was passed by both Chambers as sent to Mr. President for his assent along with the 40 others, which Mr. President did not assent to any.

“The bill will strengthen the office in order to fight corruption. All countries in the world have audit laws except Nigeria.

No wonder the high level of corruption. The first act was passed in 1956 over 60 years.

So many changes have taken place in the world. One therefore wonders what the Office has been doing. From 1999 so many bills have been passed why not the audit bill?

It pointed out that President Muhammadu Buhari is widely known as an anti-corruption crusader and must be supported by all Nigerians, adding that one area to fight corruption would be through the speedy passage of the Audit Bill so that government can function effectively.

MTN Slumps after FG Suspends Talks on $3.9bn Fine MTN Group Limited shares fell after Nigeria suspended talks about a $3.9 billion fine on the South African mobile-phone company while the country’s House of Representatives completes an investigation into the nature of the penalty.

The stock declined as much as 2.9 percent, the most since May 12, and traded 1.5 percent lower at 126.50 rand yesterday in Johannesburg, valuing the company at 233 billion rand ($15 billion). The shares have plunged almost 35 percent since the fine, originally set at $5.2 billion, was levied in October.

“Any delays in finding a resolution for the MTN fine will play into trading and keep MTN’s share price suppressed,” Bloomberg quoted an analyst at Mergence Investment Managers, Peter Takaendesa to have said by phone from Cape Town on Monday.

“The big event to watch this

week will be MTN’s annual general meeting, where the market might also get additional clarity.”

Nigeria’s decision to put talks on hold will frustrate Johannesburg-based MTN as it seeks to resolve a fine that was levied for missing a deadline to disconnect customers deemed unregistered in the country, which is battling an Islamist insurgency. The company’s stock decline has cost MTN the title of Africa’s biggest wireless company by market capitalisation, losing it to crosstown rival Vodacom Group Ltd. “MTN cautions shareholders not to make any decisions based on media reports,” spokesman Chris Maroleng said in e-mailed comments. Investors will be informed of any update to the fine negotiations via the stock exchange news service, he said.

The Nigerian lawmakers “have set up a committee to investigate

the MTN saga and they are still on it,” spokesman for Nigeria’s Ministry of Communications, Victor Oluwadamilare said by phone from Abuja, the capital.

“Until they are through with it, nothing can be done.”

Executive Chairman Phuthuma Nhleko returned to the helm in November for a six-month term to resolve the crisis, yet he remains in charge having not fulfilled his mandate. He will address shareholders at the annual meeting in Johannesburg on Wednesday.

“The federal government, the Nigerian Communications Commission and the Ministry of Communications can do nothing about the MTN case until the committee concludes its thorough investigation,” Oluwadamilare said.

“There’s no point dealing with a particular organisation from different fronts. It would be counter-productive.”

United Capital Arranges N50.59bn Bank Guarantees for GenCos United Capital Plc, one of Africa’s leading investment banking and financial services groups, in partnership with United Bank for Africa (UBA) Plc, has served as advisers on the structure by which the Nigerian Bulk Electricity Trading Company Plc (NBET) will now be able to provide Bank Guarantees (BG) to power generation companies (GenCos) in line with the provisions of the Power Purchase Agreements and Power Purchase Activation Agreements executed between NBET and the GenCos. The arrangement involves the assignment of BG, valued at

N50.59 billion, to the GenCos. The BG will be held by security trustees (United Capital Trustees Limited) and will serve as payment guarantee to the GenCos. Speaking on the development, Group Chief Executive Officer, Mrs. Oluwatoyin Sanni said: “The transaction enables the Federal Government of Nigeria to demonstrate it’s clear commitment to the far-reaching power sector reform, ensuring that the entire value chain runs efficiently.

It underscores the importance of developing a well-structured power sector that is fair and equally beneficial to the interests of consumers, generators, and

distributors.”

According to her, the structure enhances the existing payment security to the GenCos and payments received will enable GenCos to fund working capital and raise capital expenditure towards upgrading their operations and increasing capacity, to meet the demands of the Nigerian economy.

“Advantages of the structure include speed/ease of execution, cost efficiency and risk mitigation by providing recourse to an alternative source of payment for the GenCos to the satisfaction of all parties,” she said.

Heritage Bank Promotes Financial Inclusion Heritage Bank is set to launch a comic book to drive financial inclusion among children. The launch of the book is one of the highlights of the bank’s Children Banking Month 2016, which is a financial literacy campaign to commemorate the May 27th Children’s

Day celebration.

In a personal letter conveying details of the Children Banking Month 2016 of young customers of the Bank, Managing Director/ Chief Executive, Heritage Bank, Mr. Ifie Sekibo explained that May 27 is set aside nationally as Children’s

Day and to honour children, the bank declared the entire month of May as Children Banking Month.

“We are dedicating this month to you, our young customer, because of the important position you hold in the destiny of our great nation, Nigeria.

Senate President Bukola Saraki

MARKET INDICATORS MONEY AND CREDIT STATISTICS

(MILLION NAIRA)

FEBRUARY 2016 Broad Money (M2)

20,489,166.72

-- Narrow Money (M1)

9,095,578.34

---- Currency Outside Banks

1,377,483.11

---- Demand Deposits

7,682,095.23

-- Quasi Money

11,429,588.38

Net Foreign Assets (NFA)

5,471,351.78

Net Domestic Assets(NDA)

15,w017,814.94

-- Net Domestic Credit (NDC)

22,414,322.75

---- Credit to Government (Net)

3,424,029.62

---- Memo: Credit to Govt. (Net) less FMA

4,807,604.55

---- Memo: Fed. and Mirror Accounts (FMA)

1,383,574.93

---- Credit to Private Sector (CPS)

18,990,293.13

--Other Assets Net

7,396,507.81

Reserve Money (Base Money)

5,095,380.23

--Currency in Circulation

1,711,623.51

--Banks Reserves

3,383,756.72 • Source - CBN

MANAGED FUNDS Initial Price (N) Stanbic Balanced Fund

Buying Price(N)

Selling Price

1,660.29

1,685.29

Stanbic IBTC NEF

1,000.00

11,002.32

11,326.67.11

Stanbic SIBond

20

120.47

120.47

Stanbic IBTC Ethical

1

1.10

1.13

Stanbic IBTC GIF

142.90

143.38

UBA Balanced Fund

1.2563

1.2493

UBA Bond Fund

1.3443

1.3443

UBA Equity Fund

0.8205

0.8074

UBA Money Market Fund

1.1510

1.1510

ARM Aggressive Growth Fund

N13.0544

N13.4480

ARM Discovery Fund

N288.2515

N296.9425

ARM Ethical Fund

N22.5268

N23.2060

ARM Money Market Fund

13.1030 (Yield % ) • Monetary Policy Rate - 13%

OPEC DAILY BASKET PRICE AS AT FRIDAY, 20 MAY 2016 The price of OPEC basket of thirteen crudes stood at $44.77 a barrel on Friday, compared with $43.84 the previous day, according to OPEC Secretariat calculations.

The new OPEC Reference Basket of Crudes (ORB) is made up of the following: Saharan Blend (Algeria), Girassol (Angola), Oriente (Ecuador), Minas (Indonesia), Iran Heavy (Islamic Republic of Iran), Basra Light (Iraq), Kuwait Export (Kuwait), Es Sider (Libya), Bonny Light (Nigeria), Qatar Marine (Qatar), Arab Light (Saudi Arabia), Murban (UAE) and Merey (Venezuela).

SOURCE: OPEC headquarters, Vienna

43

T H I S D AY • TUESDAY, may 24, 2016

Nigeria’s top 50 stocks based on market fundamentals

23-May-16 20-May-16

% Change

Capitalisation

EPS

P/E

P/S

Div. Yld

Price/ Book Value

01 Dangote Cement Plc

167.09

167.09

0.00%

2,847,298,382,301.45

10.64

15.70

5.79

4.79%

4.42

02 Nigerian Brew. Plc.

125.30

126.00

-0.56%

993,516,341,266.40

5.37

23.34

3.60

2.87%

5.83

20.02

20.20

-0.89%

589,212,208,064.48

3.38

5.93

2.57

8.84%

1.42

730.00

732.50

-0.34%

578,639,063,960.00

29.95

24.38

3.83

3.97%

15.22

05 Zenith Bank Plc

15.17

15.95

-4.89%

476,284,810,733.62

3.37

4.51

1.10

11.87%

0.80

06 Lafarge Africa Plc.

77.40

77.40

0.00%

352,549,400,094.00

5.93

13.06

1.32

3.88%

2.00

07 Ecobank Transnational Incorporated

15.12

15.12

0.00%

277,445,214,370.80

1.39

10.86

0.54

4.10%

0.74

08 Forte Oil Plc.

212.47

213.00

-0.25%

276,738,159,954.41

4.45

47.76

2.22

1.62%

5.98

09 Seplat Petroleum Dev. Co. Ltd.

355.00

355.00

0.00%

196,425,161,115.00

23.48

15.12

1.74

4.48%

0.70

10 Stanbic IBTC Holdings Plc

16.54

15.01

10.19%

165,400,000,000.00

2.04

8.12

1.40

0.60%

1.47

11 United Bank for Africa Plc

4.40

4.45

-1.12%

159,629,915,816.80

1.64

2.68

0.51

13.64%

0.48

12 Access Bank Plc.

5.10

5.35

-4.67%

147,532,655,318.10

2.28

2.24

0.44

10.78%

0.40

13 Guinness Nig Plc

95.10

95.10

0.00%

143,209,966,678.80

0.78

122.19

2.87

0.00%

3.20

14 FBN Holdings Plc

3.80

3.85

-1.30%

136,402,112,609.60

0.42

9.00

0.27

3.95%

0.24

31.00

31.00

0.00%

117,282,183,750.00

0.32

98.36

1.98

0.16%

14.65

16 7-Up Bottling Comp. Plc.

141.00

141.00

0.00%

90,323,241,183.00

11.12

12.68

1.16

1.56%

3.76

17 P Z Cussons Nigeria Plc.

21.81

22.95

-4.97%

86,596,104,351.45

1.10

19.88

1.20

5.96%

2.06

18 Dangote Sugar Refinery Plc

6.60

6.30

4.76%

79,200,000,000.00

0.96

6.87

0.78

7.58%

1.36

19 Oando Plc

6.00

6.00

0.00%

72,207,713,364.00

0.50

12.00

0.13

12.50%

0.46

19.98

19.98

0.00%

65,819,100,614.40

0.64

31.26

3.56

1.25%

5.46

175.00

175.00

0.00%

63,104,170,850.00

13.51

12.95

0.98

4.11%

4.11

22 Flour Mills Nig. Plc.

22.83

23.00

-0.74%

59,911,334,979.21

1.84

12.40

0.18

8.76%

0.58

23 Julius Berger Nig. Plc.

45.00

45.00

0.00%

59,400,000,000.00

1.85

24.34

0.44

3.33%

2.45

169.00

169.00

0.00%

57,379,190,453.00

11.92

14.18

0.28

8.28%

3.53

25 Transnational Corporation Of Nigeria Plc

1.19

1.17

1.71%

46,077,986,935.75

0.05

22.68

1.13

0.00%

0.53

26 Sterling Bank Plc.

1.60

1.57

1.91%

46,064,669,001.60

0.36

4.48

0.42

5.63%

0.48

03 Guaranty Trust Bank Plc. 04 Nestle Nigeria Plc.

15 Unilever Nigeria Plc.

20 International Breweries Plc. 21 Mobil Oil Nig Plc.

24 Total Nigeria Plc.

27 Diamond Bank Plc

1.91

1.91

0.00%

44,236,342,928.88

0.24

7.82

0.20

0.00%

0.21

19.50

18.81

3.67%

37,456,855,546.50

2.70

7.22

0.51

5.13%

0.51

1.24

1.24

0.00%

35,913,606,258.08

0.48

2.58

0.24

12.90%

0.20

30 Presco Plc

35.71

35.71

0.00%

35,710,000,000.00

3.28

10.89

3.14

0.28%

1.59

31 Cadbury Nigeria Plc.

17.24

17.24

0.00%

32,380,203,169.60

3.21

5.38

0.96

7.54%

3.13

32 Wema Bank Plc.

0.74

0.76

-2.63%

28,545,104,899.94

0.06

12.27

0.62

0.00%

0.62

33 FCMB Group Plc.

1.44

1.39

3.60%

28,515,903,524.64

0.24

5.99

0.19

6.94%

0.18

34 Cap Plc

40.00

40.00

0.00%

28,000,000,000.00

2.49

16.10

3.97

2.88%

18.42

35 Okomu Oil Palm Plc.

29.00

29.11

-0.38%

27,663,390,000.00

2.76

10.51

2.84

0.34%

2.29

36 Glaxo Smithkline Consumer Nig. Plc.

22.42

22.42

0.00%

26,811,550,860.96

0.81

27.78

0.88

1.34%

2.03

37 National Salt Co. Nig. Plc

8.15

8.30

-1.81%

21,592,922,780.70

0.79

10.25

1.33

6.75%

3.05

38 Custodian And Allied Insurance Plc

3.61

3.61

0.00%

21,233,529,743.95

0.71

5.06

0.71

3.88%

0.81

39 Mansard Insurance Plc

2.01

2.11

-4.74%

21,105,000,000.00

0.16

12.70

1.27

2.49%

1.21

40 Skye Bank Plc

1.13

1.17

-3.42%

15,684,740,593.30

0.85

1.32

0.11

26.55%

0.11

41 Honeywell Flour Mill Plc

1.70

1.70

0.00%

13,481,336,018.60

0.14

12.03

0.27

9.41%

0.63

42 Continental Reinsurance Plc

1.08

1.03

4.85%

11,202,563,856.96

0.21

5.23

0.57

11.11%

0.72

43 Cement Co. Of North.Nig. Plc

7.86

7.86

0.00%

9,877,487,240.76

0.96

8.22

0.76

1.27%

0.97

44 Unity Bank Plc

0.77

0.78

-1.28%

9,000,790,215.34

0.54

1.42

0.14

0.00%

0.10

45 Nigerian Aviation Handling Company Plc

4.56

4.36

4.59%

7,406,437,500.00

0.33

13.77

0.87

4.39%

1.21

46 UACN Property Development Co. Limited

4.12

4.12

0.00%

7,081,249,979.40

1.81

2.28

0.63

16.99%

0.21

47 Wapic Insurance Plc

0.50

0.50

0.00%

6,691,369,126.00

0.10

5.16

0.94

6.00%

0.45

48 Resort Savings & Loans Plc

0.50

0.50

0.00%

5,664,866,202.00

4.68

0.11

0.02

0.00%

1.89

49 AIICO Insurance Plc.

0.75

0.76

-1.32%

5,197,653,360.00

0.28

2.71

0.16

6.67%

0.54

50 Fidson Healthcare Plc

2.10

2.00

5.00%

3,150,000,000.00

0.50

4.23

0.38

2.38%

0.50

28 U A C N Plc. 29 Fidelity Bank Plc

TOTAL

8,667,251,991,571.48

TOTAL MARKET CAP

9,278,618,214,596.13

% OF MARKET CAP Annotation - MA* = Simple Moving Average

93.41%

Table 1 Market Statistics Mkt Indicators NSE All Share Index NSE Market Cap (N'Trillion) Thisday BGL 50 Index Thisday BGL 50 Market Cap (N'Trillion)

Open Close Change % 20-May-16 23-May-16 27,116.45 9.31

27,015.97 9.28

-0.37% -0.37%

111.74 8.70

111.32 8.67

-0.38% -0.38%

Table 3 Top 5 Gainers Stock

Open Close Change % 20-May-16 23-May-16

Stanbic IBTC Holdings Plc Fidson Healthcare Plc Continental Reinsurance Plc Dangote Sugar Refinery Plc Nigerian Aviation Handling Company Plc

15.01 2.00 1.03 6.30 4.36

16.54 2.10 1.08 6.60 4.56

10.19% 5.00% 4.85% 4.76% 4.59%

Table 4 Top 5 Losers Stock

Open Close Change % 20-May-16 23-May-16

P Z Cussons Nigeria Plc. Zenith Bank Plc Mansard Insurance Plc Access Bank Plc. Skye Bank Plc

22.95 15.95 2.11 5.35 1.17

21.81 15.17 2.01 5.10 1.13

-4.97% -4.89% -4.74% -4.67% -3.42%

Market ASI sheds 0.37% Market pulse on the Nigerian Stock Exchange (NSE) today – Monday, May 23, 2016 ended on a negative note as the market closed red due to selling pressure. This was further highlighted by negative performances from all NSE Sub sectors; Banking, Insurance, Consumer Goods and Oil & Gas. Trading activities decreased in volume as 316.74 million shares worth N1.91 billion in 3,924 deals exchanged hands today. This is a decrease from the 559.08 million shares worth N3.59 billion in 4,902 deals carried out on Friday. Topping in volume terms was Zenith Bank Plc, Transnational Corporation Of Nigeria Plc and United Bank for Africa Plc, while Guaranty Trust Bank Plc and Zenith Bank Plc ended trading as the most active stocks in value terms.

The All Share Index (NSEASI) closed negative with a 0.37% (-100.48) decrease to 27,015.97 from 27,116.45 the previous trading day. Market Capitalization depreciated in tandem to N9.28 trillion from N9.31 trillion of prior trading day. Similarly, the Thisday BGL 50 Index followed suit with an decrease of 0.38% to close at 111.32 from 111.74 recorded the previous trading day, while its market capitalization stood at N8.67 trillion from N8.70 trillion of the previous trading day.

A total number of 14 stocks gained on the bourse today while 28 stocks declined, leaving 56 stocks unchanged. Stanbic IBTC Holdings Plc emerged the toast of investors as it topped the Thisday BGL 50 Index gainers’ list with a gain of 10.19% to close at N16.54 per share. It was followed by Fidson Healthcare Plc with a gain of 5.00% to close at N2.10 per share. Others on the gainers list include; Continental Reinsurance Plc, Dangote Sugar Refinery Plc and Nigerian Aviation Handling Company Plc, while on the decliners’ list P Z Cussons Nigeria Plc led with a loss of 4.97% to close at N21.81 per share. It was followed by Zenith Bank Plc with a loss of 4.89% to close at N15.17 per share. Others on the losers list include; Mansard Insurance Plc, Access Bank Plc and Skye Bank Plc.

REQUIRED DISCLOSURE This report has been prepared by BGL Plc. BGL Plc does and seeks to do business with companies covered in its research reports. As a result, the firm may have a conflict of interest that could affect the objectivity of this report. Investors should use this report as one of many other factors in making their investment decisions.

For more details go to www.thisdaylive.com

44

T H I S D AY • TUESDAY,MAY 24, 2016

MARKET NEWS

Market Sheds N35bn on Profit Taking as Trading Resumes Goddy Egene and Eromosele Abiodun Trading at the Nigerian stock market began the week on negative note as some investors locked in profit while others await the outcome of the Central Bank of Nigeria(CBN)’s Monetary Policy Committee (MPC).

The market has recorded significant gains in the past weeks.

However, profit taking by some

investors led to a decline of 0.4 per cent in the Nigerian Stock Exchange (NSE) All-Share Index to close at 27,015.97. Similarly, market capitalisation shed N34.7 billion to close at N9.3 trillion.

The volume and value of trading was also lower. Investors traded 316.5 million shares worth N1.9 billion, showing a decline of 43.4 per cent and 46.8 per cent in volume and value respectively company Friday’s

performance.

Market analysts linked the low volume of trade to decision of some investors to wait for the outcome of the MPC meeting, which began yesterday and will end today.

Analysts at FBN Capital said the monetary policy decisions to be taken by the MPC had been made more complicated by the public release of the national accounts for first quarter (Q1)

2016 on Friday.

According to the analysts, they had penciled in a 150bps increase in the policy rate to 14.50 per cent by the committee to combat rising inflation and the related expectations.

“Then we learnt that Gross Domestic Product (GDP) had contracted by -0.4 per cent in the first quarter (Q1) and, more importantly in this context, the non-oil economy by -0.2 per

cent. The committee therefore, has to contend with a shrinking economy that is likely to contract further in the current quarter and rapidly rising inflation, as well as exchange-rate policy,” they said.

Twenty-eight stocks depreciated, compared with 14 stocks that appreciated. The major losers that dragged the market included Zenith Bank Plc, Access Bank Plc and Nigerian Breweries

Plc, which fell by 4.9 per cent, 4.7 per cent and 0.6 per cent in that order. But the loser’s table was led by PZ Cussons Plc and Union Dicon Salt Plc with 4.9 per cent apiece.

On the other hand, Stanbic IBTC Bank Plc led the price gainers with 10.2 per cent, followed by DN Meyer Plc with 8.2 per cent, just as Fidson Healthcare Plc appreciated by 5.0 per cent.

DAILY STOCK MARKET REPORT T H E

N I G E R I A N

STO C K

E XC H A N G E

Prices for Securities Traded as of 23/05/2016

Printed 23/05/2016 14:32:09.009

PRICES FOR PREMIUM BOARD SECURITIES

Price List (Equities)

FINANCIAL SERVICES S/N 1

BANKING ZENITH INTERNATIONAL BANK PLC

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

476,284.81

15.17

-4.89

419

35,369,375

419

35,369,375

BANKING S/N

OTHER FINANCIAL INSTITUTIONS

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

136,402.11

3.80

-1.30

374

26,943,216

OTHER FINANCIAL INSTITUTIONS

374

26,943,216

FINANCIAL SERVICES

793

62,312,591

2

FBN HOLDINGS PLC

INDUSTRIAL GOODS S/N 3

BUILDING MATERIALS DANGOTE CEMENT PLC

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

2,847,298.38

167.09

-

24

64,015

24

64,015

BUILDING MATERIALS INDUSTRIAL GOODS PREMIUM BOARD TOTALS PRICES FOR MAIN BOARD SECURITIES

24

64,015

817

62,376,606

Price List (Equities)

AGRICULTURE

110

COURTEVILLE BUSINESS SOLUTIONS PLC

S/N

COMPUTERS AND PERIPHERALS

S/N

ELECTRONIC COMMUNICATIONS SERVICES

TRADES

VOLUME

-

2

7,052

-

1

502

3

7,554

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

18,060.00

4.30

-

1

2,500

1

2,500

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

S/N

PROCESSING SYSTEMS

117

E-TRANZACT INTERNATIONAL PLC

PROCESSING SYSTEMS S/N

TELECOMMUNICATIONS SERVICES

TELECOMMUNICATIONS SERVICES

0

0

ICT

5

160,054

INDUSTRIAL GOODS

TRADES

VOLUME

S/N

BUILDING MATERIALS

1

100,000

120

ASHAKA CEM PLC

23

467,006

121

BERGER PAINTS PLC

2

2,300

122

CAP PLC

MARKET CAP(Nm)

PRICE

26

569,306

123

CEMENT CO. OF NORTH.NIG. PLC

VOLUME

124

DN MEYER PLC.

125

FIRST ALUMINIUM NIGERIA PLC

126

LAFARGE AFRICA PLC.

128

PORTLAND PAINTS & PRODUCTS NIGERIA PLC

129

PREMIER PAINTS PLC.

%CHANGE

CROP PRODUCTION MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

1,980.00

0.99

3.13

36

2,166,326

36

2,166,326

FISHING/HUNTING/TRAPPING

0

LIVESTOCK/ANIMAL SPECIALTIES AGRICULTURE

0

62

2,735,632

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

2,647.29

1.00

-

4

15,787

319.10

0.82

-

3

8,358

2,573.31

3.96

-

1

875

CONGLOMERATES A.G. LEVENTIS NIGERIA PLC.

MARKET CAP(Nm)

IT SERVICES

-

9

0

%CHANGE

8.99

-

DIVERSIFIED INDUSTRIES

0

1.61

-0.03

S/N

VOLUME

PRICE

0.50

LIVESTOCK FEEDS PLC.

0

TRADES

970.92

35.71

LIVESTOCK/ANIMAL SPECIALTIES

%CHANGE

796.88

29.00

8

PRICE

TRIPPLE GEE AND COMPANY PLC.

1,100.00

S/N

MARKET CAP(Nm)

150,000

NCR (NIGERIA) PLC.

35,710.00

FISHING/HUNTING/TRAPPING

150,000 VOLUME

0

IT SERVICES

27,663.39

S/N

1

115

OKOMU OIL PALM PLC.

FTN COCOA PROCESSORS PLC

1 TRADES

114

PRESCO PLC

CROP PRODUCTION

%CHANGE

S/N

5

4

0.50 PRICE

ELECTRONIC COMMUNICATIONS SERVICES

6

S/N

1,776.00 MARKET CAP(Nm)

COMPUTER BASED SYSTEMS COMPUTERS AND PERIPHERALS

11

JOHN HOLT PLC.

12

S C O A NIG. PLC.

13

TRANSNATIONAL CORPORATION OF NIGERIA PLC

48,381.89

1.19

1.71

14

U A C N PLC.

37,456.86

19.50

3.67

151

37,405,058

42

320,858

DIVERSIFIED INDUSTRIES

201

37,750,936

CONGLOMERATES

201

37,750,936

TRADES

VOLUME

0

0

TRADES

VOLUME

0

0

%CHANGE

TRADES

VOLUME

19.08

-

14

150,136

2,260.62

7.80

-

9

28,000.00

40.00

-

4

9,877.49

7.86

-

11

54,020

256.75

0.79

8.22

5

179,500

MARKET CAP(Nm)

PRICE

42,728.77

-

ELECTRONIC AND ELECTRICAL PRODUCTS

131

CUTIX PLC.

1,055.18

0.50 77.40

-

58

289,612

1.96

-4.85

14

331,300

10.39

-

1

3,000

117

1,071,545

PRICE

%CHANGE

TRADES

VOLUME

1.58

-

2

784.00 1,277.97 MARKET CAP(Nm) 1,391.44

1

ELECTRONIC AND ELECTRICAL PRODUCTS S/N

PACKAGING/CONTAINERS

133

BETA GLASS CO PLC. TOOLS AND MACHINERY

656

77

2

77

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

21,613.79

43.23

-

2

210

2

210

PACKAGING/CONTAINERS S/N

4,425

352,549.40

BUILDING MATERIALS S/N

58,896

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

TOOLS AND MACHINERY INDUSTRIAL GOODS

VOLUME

0

0

121

1,071,832

TRADES

VOLUME

NATURAL RESOURCES 136

CONSTRUCTION/REAL ESTATE S/N

BUILDING CONSTRUCTION

MARKET CAP(Nm)

PRICE

%CHANGE

BUILDING CONSTRUCTION S/N

BUILDING STRUCTURE/COMPLETION/OTHER

MARKET CAP(Nm)

PRICE

%CHANGE

BUILDING STRUCTURE/COMPLETION/OTHER S/N

INFRASTRUCTURE/HEAVY CONSTRUCTION

17

JULIUS BERGER NIG. PLC.

18

ROADS NIG PLC.

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

59,400.00

45.00

-

12

2,909

165.00

6.60

-

1

133

13

3,042

INFRASTRUCTURE/HEAVY CONSTRUCTION S/N 19

REAL ESTATE DEVELOPMENT UACN PROPERTY DEVELOPMENT CO. LIMITED

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

7,081.25

4.12

-

11

134,880

11

134,880

REAL ESTATE DEVELOPMENT S/N 20

REAL ESTATE INVESTMENT TRUSTS (REITS) SKYE SHELTER FUND PLC

21 UNION HOMES REAL ESTATE INVESTMENT TRUST (REIT) REAL ESTATE INVESTMENT TRUSTS (REITS)

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

2,000.00

100.00

-

1

1,214

11,305.89

45.22

-

1

2

2

1,216

26

139,138

CONSTRUCTION/REAL ESTATE CONSUMER GOODS S/N 23

AUTOMOBILES/AUTO PARTS DN TYRE & RUBBER PLC

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

2,386.33

0.50

-

2

15,500

2

15,500

AUTOMOBILES/AUTO PARTS S/N

BEVERAGES--BREWERS/DISTILLERS

24

CHAMPION BREW. PLC.

25

GOLDEN GUINEA BREW. PLC.

26

GUINNESS NIG PLC

27

INTERNATIONAL BREWERIES PLC.

28

NIGERIAN BREW. PLC.

29

30

PREMIER BREWERIES PLC BEVERAGES--NON-ALCOHOLIC 7-UP BOTTLING COMP. PLC.

TOTAL NIGERIA PLC.

993,516.34

125.30

-0.56

72

196,562

1

458,572 VOLUME

7

2,727

7

2,727

MARKET CAP(Nm)

13,481.34

1.70

-4.71

24

905,070

34

MULTI-TREX INTEGRATED FOODS PLC

35

N NIG. FLOUR MILLS PLC.

6.65

-

36

NASCON ALLIED INDUSTRIES PLC

21,592.92

8.15

-1.81

13

781,071

38

TIGER BRANDED CONSUMER GOODS PLC

23,650.00

4.73

-1.46

117

3,727,711

1,861.25 1,185.03

PRICE

1,300

HONEYWELL FLOUR MILL PLC

0.50

-

1 1

20,000 200

3,422.20

12.52

-4.94

3

102,500

282

10,363,916

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

32,380.20

17.24

-

13

174,113

FOOD PRODUCTS

578,639.06

730.00

-0.34

50 63

248,855

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

43

NIGERIAN ENAMELWARE PLC.

1,886.86

29.78

-

1

500

44

VITAFOAM NIG PLC.

4,482.19

4.30

0.23

16

174,721

17

175,221

FOOD PRODUCTS--DIVERSIFIED

HOUSEHOLD DURABLES PRICE

%CHANGE

TRADES

VOLUME

86,596.10

21.81

-4.97

14

80,260

117,282.18

31.00

-

24

74,075

PERSONAL/HOUSEHOLD PRODUCTS

38

154,335

542

11,419,126

FINANCIAL SERVICES ACCESS BANK PLC.

48

DIAMOND BANK PLC

49

ECOBANK TRANSNATIONAL INCORPORATED

50

FIDELITY BANK PLC

51

GUARANTY TRUST BANK PLC.

52

SKYE BANK PLC

53

STERLING BANK PLC.

54

UNION BANK NIG.PLC.

55

UNITED BANK FOR AFRICA PLC

56

UNITY BANK PLC

57

WEMA BANK PLC.

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

147,532.66

5.10

-4.67

185

11,209,239

44,236.34

1.91

-2.62

93

11,894,123

277,445.21

15.12

-

15

123,285

35,928.75

1.24

-1.61

76

7,845,439

589,212.21

20.02

-0.89

352

23,544,149

15,684.74

1.13

-3.42

93

11,652,094

46,064.67

1.60

1.91

INSURANCE CARRIERS, BROKERS AND SERVICES

2,891,739

84,679.03

5.00

-

20

98,062

159,629.92

4.40

-1.12

362

58,544,863

9,000.79

0.77

-1.28

12

1,060,884

28,545.10

0.74

-2.63

35

5,170,348

1,256

134,034,225

BANKING S/N

13

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

10,292.50

0.50

-

1

5

58

AFRICAN ALLIANCE INSURANCE COMPANY PLC

59

AIICO INSURANCE PLC.

60

AXAMANSARD INSURANCE PLC

61

CONSOLIDATED HALLMARK INSURANCE PLC

62

CONTINENTAL REINSURANCE PLC

64

EQUITY ASSURANCE PLC.

7,000.00

67

GUINEA INSURANCE PLC.

3,070.00

0.50

69

LASACO ASSURANCE PLC.

3,661.72

70

LAW UNION AND ROCK INS. PLC.

1,787.41

71

LINKAGE ASSURANCE PLC

72

MUTUAL BENEFITS ASSURANCE PLC.

5,197.65

0.75

-1.32

23

2,285,914

21,105.00

2.01

-4.74

10

569,981

3,000.00

0.50

-

2

88,264

1.08

4.85

17

0.50

-

1

100,000

-

1

232,000

0.50

-

2

84,965

0.52

1.96

3

106,525

4,000.00

0.50

-

1

500

4,000.00

0.50

-

1

4,685

11,202.56

3,854.77

920,654

73

N.E.M INSURANCE CO (NIG) PLC.

0.73

-1.35

22

1,117,518

74

NIGER INSURANCE CO. PLC.

3,869.74

0.50

-

10

10,994,286

78

STANDARD ALLIANCE INSURANCE PLC.

5,996.59

0.50

-

1

188,126

79

STANDARD TRUST ASSURANCE PLC

3,070.54

0.50

-

1

100

82

UNIVERSAL INSURANCE COMPANY PLC

8,000.00

0.50

-

1

140,000

83

WAPIC INSURANCE PLC

6,691.37

0.50

-

4

636,278

101

17,469,801

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

2,492.44

1.09

-4.39

10

394,866

10

394,866

INSURANCE CARRIERS, BROKERS AND SERVICES S/N 85

MICRO-FINANCE BANKS NPF MICROFINANCE BANK PLC

MICRO-FINANCE BANKS S/N

PRICE

%CHANGE

TRADES

VOLUME

87

ASO SAVINGS AND LOANS PLC

7,370.87

0.50

-

1

175,000

90

MORTGAGE CARRIERS, BROKERS AND SERVICES UNION HOMES SAVINGS AND LOANS PLC.

3,095.70

3.17

-

1

3,789

2

178,789

MARKET CAP(Nm)

MORTGAGE CARRIERS, BROKERS AND SERVICES S/N

OTHER FINANCIAL INSTITUTIONS

91

AFRICA PRUDENTIAL REGISTRARS PLC

92

CUSTODIAN AND ALLIED PLC

93

DEAP CAPITAL MANAGEMENT & TRUST PLC

94

FCMB GROUP PLC.

98

STANBIC IBTC HOLDINGS PLC

99

UNITED CAPITAL PLC

MARKET CAP(Nm) 5,860.00

PRICE 2.93

%CHANGE

TRADES

VOLUME

2.81

61

1,391,523

21,233.53

3.61

-

5

238,818

780.00

0.52

-3.70

1

149,100

28,515.90

1.44

3.60

157

33,263,693

165,400.00

16.54

10.19

56

1,557,138

12,240.00

2.04

-2.86

OTHER FINANCIAL INSTITUTIONS FINANCIAL SERVICES

78

-

2 2

1,840

%CHANGE

TRADES

VOLUME

2,130.97

0.50

-

1

182,500

1

182,500

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

127.60

0.58

-

1

1,840

660

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

72,207.71

6.00

-0.17

152

3,437,379

152

3,437,379

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

15,960.90

23.00

-

24

22,449

4,029.81

3.09

-1.59

35

1,557,057

276,738.16

212.47

-0.25

31

84,913

63,104.17

175.00

-

6

9,278.21

36.53

-

11

4,636

57,379.19

169.00

-

25

57,173

132

1,728,282

0

PETROLEUM AND PETROLEUM PRODUCTS DISTRIBUTORS S/N

EXPLORATION AND PRODUCTION

149

SEPLAT PETROLEUM DEVELOPMENT COMPANY LTD

MARKET CAP(Nm)

PRICE

%CHANGE

195,571.61

347.10

-

TRADES

EXPLORATION AND PRODUCTION OIL AND GAS

15

VOLUME 0

VOLUME

2,054

VOLUME 31,680

15

31,680

299

5,197,341 VOLUME

SERVICES S/N

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES 0

0

S/N

APPAREL RETAILERS

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

151

ADVERTISING

LENNARDS (NIG) PLC.

210.49

3.00

-

1

1,617

1

1,617 VOLUME

ADVERTISING

APPAREL RETAILERS S/N

AUTOMOBILE/AUTO PART RETAILERS

152

R T BRISCOE PLC.

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

588.18

0.50

-

1

AUTOMOBILE/AUTO PART RETAILERS S/N

COURIER/FREIGHT/DELIVERY

153

RED STAR EXPRESS PLC

154

TRANS-NATIONWIDE EXPRESS PLC. HOSPITALITY

15,182

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

2,416.94

4.10

-

3

10,000

264.43

1.33

-

1 4

10,700

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

COURIER/FREIGHT/DELIVERY S/N

15,182

1

700

74,742

MARKET CAP(Nm)

CONSUMER GOODS

47

ETERNA PLC.

MRS OIL NIGERIA PLC.

33

BANKING

144

148

757,773

S/N

PETROLEUM AND PETROLEUM PRODUCTS DISTRIBUTORS CONOIL PLC

147

VOLUME

UNILEVER NIGERIA PLC.

S/N

52,851

4,069,591

P Z CUSSONS NIGERIA PLC.

143

67,960

133

9.84 PRICE

INTEGRATED OIL AND GAS SERVICES

7

68

PERSONAL/HOUSEHOLD PRODUCTS

OANDO PLC

33

55

46

INTEGRATED OIL AND GAS SERVICES

141

-

TRADES

45

ENERGY EQUIPMENT AND SERVICES

S/N

-

4.76

S/N

S/N

19.98

TRADES

2,164.37

OIL AND GAS

95.10

-

1,367

MARKET CAP(Nm)

ENERGY EQUIPMENT AND SERVICES

65,819.10

-

1,367 VOLUME

660

143,209.97

%CHANGE

2

186,367

MOBIL OIL NIG PLC.

2.81

2 TRADES

6

FORTE OIL PLC.

PRICE

%CHANGE

NATURAL RESOURCES

146

141.00

3.76 PRICE

1

145

-0.74

HOUSEHOLD DURABLES

THOMAS WYATT NIG. PLC.

16,447

%CHANGE

NESTLE NIGERIA PLC.

PAPER/FOREST PRODUCTS

139

123,452

6.60

42

S/N

2

2,751.58

1,565.08 MARKET CAP(Nm)

PAPER/FOREST PRODUCTS

18

90,323.24

%CHANGE

MINING SERVICES

-

22.83

S/N

MULTIVERSE MINING AND EXPLORATION PLC

-

59,911.33

CADBURY NIGERIA PLC.

138

2.80

79,200.00

FOOD PRODUCTS--DIVERSIFIED

MINING SERVICES

0.85

FLOUR MILLS NIG. PLC.

41

ALUMINIUM EXTRUSION IND. PLC.

S/N

231.34

MARKET CAP(Nm)

PRICE

METALS

21,922.59

DANGOTE SUGAR REFINERY PLC

S/N

137

METALS

VOLUME

32

UNION DICON SALT PLC.

S/N

TRADES

31

40

FOOD PRODUCTS

B.O.C. GASES PLC.

MARKET CAP(Nm)

CHEMICALS

%CHANGE

BEVERAGES--NON-ALCOHOLIC S/N

CHEMICALS

PRICE

MARKET CAP(Nm)

BEVERAGES--BREWERS/DISTILLERS S/N

S/N

4,398,571

358

40,998,843

1,727

193,076,524 VOLUME

HEALTHCARE

155

TANTALIZERS PLC

1,605.81

0.50

-

1 1

160,000

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME 453,964

HOSPITALITY S/N

HOTELS/LODGING

157

IKEJA HOTEL PLC

159

TRANSCORP HOTELS PLC

4,178.38

2.01

-4.74

9

40,282.14

5.30

-

5 14

464,994

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

HOTELS/LODGING S/N

MEDIA/ENTERTAINMENT

160

DAAR COMMUNICATIONS PLC PRINTING/PUBLISHING

162

LEARN AFRICA PLC

164

UNIVERSITY PRESS PLC.

6,000.00

0.50

-

1 1

10,000

PRICE

%CHANGE

TRADES

VOLUME

655.73

0.85

-

4

52,206

2,109.59

4.89

-

1

PRINTING/PUBLISHING S/N

ROAD TRANSPORTATION

MARKET CAP(Nm)

PRICE

%CHANGE

ROAD TRANSPORTATION S/N

SPECIALTY

166

INTERLINKED TECHNOLOGIES PLC

11,030

MARKET CAP(Nm)

MEDIA/ENTERTAINMENT S/N

160,000

10,000

10,000

5

62,206

TRADES

VOLUME

0

0

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

946.80

4.00

-

1

2,499

1

2,499

TRADES

VOLUME

SPECIALTY S/N

TRANSPORT-RELATED SERVICES

MARKET CAP(Nm)

PRICE

%CHANGE

168

AIRLINE SERVICES AND LOGISTICS PLC

1,229.96

1.94

-0.51

6

169

NIGERIAN AVIATION HANDLING COMPANY PLC

7,406.44

4.56

4.59

39 45

741,178

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

941.41

0.50

-

1

50,000

4,858.24

1.45

-3.33

3

206,000

4

256,000

TRANSPORT-RELATED SERVICES S/N

SUPPORT AND LOGISTICS

170

C & I LEASING PLC.

171

CAVERTON OFFSHORE SUPPORT GRP PLC

SUPPORT AND LOGISTICS SERVICES MAIN BOARD TOTALS PRICES FOR ASEM SECURITIES

111,200 629,978

77

1,724,376

3,098

254,080,512

TRADES

VOLUME

Price List (Equities)

CONSTRUCTION/REAL ESTATE S/N

PROPERTY MANAGEMENT

172

SMART PRODUCTS NIGERIA PLC

MARKET CAP(Nm)

PRICE

%CHANGE

45.90

1.02

-

1

360

PROPERTY MANAGEMENT

1

360

CONSTRUCTION/REAL ESTATE

1

360

CONSUMER GOODS S/N

FOOD PRODUCTS

173

MCNICHOLS PLC

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

412.83

1.39

-

6

102,970

FOOD PRODUCTS

6

CONSUMER GOODS

6

102,970

TRADES

VOLUME

102,970

FINANCIAL SERVICES S/N

MORTGAGE CARRIERS, BROKERS AND SERVICES

MARKET CAP(Nm)

PRICE

%CHANGE

MORTGAGE CARRIERS, BROKERS AND SERVICES

0

FINANCIAL SERVICES

0

0 0

TRADES

VOLUME

PHARMACEUTICALS

0

0

HEALTHCARE

0

0

HEALTHCARE S/N

PHARMACEUTICALS

MARKET CAP(Nm)

PRICE

%CHANGE

OIL AND GAS S/N 177

PETROLEUM AND PETROLEUM PRODUCTS DISTRIBUTORS CAPITAL OIL PLC

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

2,928.77

0.50

-

1

150,000

PETROLEUM AND PETROLEUM PRODUCTS DISTRIBUTORS

1

OIL AND GAS

1

150,000 150,000

SERVICES S/N

FOOD/DRUG RETAILERS AND WHOLESALERS

180

JULI PLC.

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

349.83

1.75

-

1

25,000

FOOD/DRUG RETAILERS AND WHOLESALERS

1

SERVICES

1

25,000

ASEM TOTALS

9

278,330

3,924

316,735,448

TRADES

VOLUME

EQUITIES TOTALS

25,000

S/N

HEALTHCARE PROVIDERS

PRICE

%CHANGE

TRADES

100

EKOCORP PLC.

1,765.05

3.54

-

1

795

101

UNION DIAGNOSTIC & CLINICAL SERVICES PLC

1,776.57

0.50

-

1

291,000

2

291,795

MARKET CAP(Nm)

PRICE

%CHANGE

TRADES

VOLUME

1

LOTUS HALAL EQUITY ETF

535.06

8.63

-

251.09

1.65

-

1

3,971

2

NEWGOLD EXCHANGE TRADED FUND (ETF)

359.25

2,395.00

-0.54

6

1

3,971

3

STANBIC IBTC ETF 30

824.18

72.00

-

0

0

%CHANGE

TRADES

VOLUME

4

VETIVA BANKING ETF

100.18

2.74

-1.44

1

312,492 122,768

MARKET CAP(Nm)

HEALTHCARE PROVIDERS S/N

MEDICAL SUPPLIES

102

MORISON INDUSTRIES PLC.

MEDICAL SUPPLIES S/N

PHARMACEUTICALS

103

EVANS MEDICAL PLC.

104

FIDSON HEALTHCARE PLC

105

GLAXO SMITHKLINE CONSUMER NIG. PLC.

106

MAY & BAKER NIGERIA PLC.

107

NEIMETH INTERNATIONAL PHARMACEUTICALS PLC

108 109

MARKET CAP(Nm)

PRICE

COMPANY

0.50

-

1

100

5

VETIVA CONSUMER GOODS ETF

3,150.00

2.10

5.00

9

257,520

6

VETIVA GRIFFIN 30 ETF

22.42

-

6

1,246

7

VETIVA INDUSTRIAL ETF

366.17

999.60

1.02

-

5

17,150

1,491.07

0.95

-

5

46,539

NIGERIA-GERMAN CHEMICALS PLC.

556.71

3.62

-

PHARMA-DEKO PLC.

422.80

1.95

-

1 2

323,420 619,186

TRADES

VOLUME

ICT PRICE

%CHANGE

MARKET CAP(Nm)

PRICE

%CHANGE

0

0 11,230

77.48

6.67

-0.15

1

1,895.04

12.60

-

0

85.75

19.57

0.05

1

43,638

9

490,128

9

490,128

TRADES

VOLUME

0

0

0

0

ETP TOTALS

401

29 32 MARKET CAP(Nm)

Price List (ETP)

0

464

PHARMACEUTICALS

COMPUTER BASED SYSTEMS

S/N

26,811.55

HEALTHCARE S/N

PRICES FOR ETP SECURITIES

PRICES FOR DEBT SECURITIES S/N

COMPANY

BONDS TOTALS

Price List (BONDS) MARKET CAP(Nm)

PRICE

%CHANGE

T H I S D AY TUESDAY MAY 24, 2016

45

46

T H I S D AY •TUESDAY MAY 24, 2016

TUESDAYSPORTS

Group Sports Editor Duro Ikhazuagbe Email duro.ikhazuagbe@thisdaylive.com

Man Utd Fires Van Gaal, Mourinho to Seal Deal Today Louis van Gaal has been sacked as manager of Manchester United with former Chelsea boss Jose Mourinho set to be named as his replacement.

Van Gaal, 64, leaves after two years of a three-year contract and is discussing severance terms.

The former Netherlands boss is believed to earn around £6.4m a year.

Mourinho’s appointment is expected to be confirmed after the 53-year-old Portuguese meeting with senior United officials today.

United has made an offer to Ryan Giggs, van Gaal’s assistant, for him to stay at Old Trafford, but it is not known what role he would have and whether he would accept.

BBC Sport reported on Saturday that United’s FA Cup win over Crystal Palace would be van Gaal’s last game in charge.

He arrived at Manchester United’s training ground early yesterday for a meeting.

Forty-five minutes later, League

Managers Association lawyer Paul Gilroy QC also drove into Carrington.

According to his profile page on the Nine St John Street Chambers website, Gilroy has advised and acted for a number of football clients, including Roy Hodgson, Martin O’Neill, Sir Alex Ferguson, Harry Redknapp, Roy Keane, Roberto Martinez, Sam Allardyce, Brendan

Rodgers, Alan Pardew, Nigel Pearson and Steve McClaren.

Van Gaal took control of United after leading the Netherlands to the semi-finals of the 2014 World Cup in Brazil.

Manchester United’s FA Cup final win over Crystal Palace gave the Red Devils a 12th success in the competition and a first since Sir Alex Ferguson led them to

victory in 2004 The Old Trafford club finished fourth in the Premier League in van Gaal’s first season in charge to qualify for the Champions League.

But Manchester United finished fifth this term and will play in the Europa League next season.

It only scored 49 league goals – the club’s lowest total since 1989-90.

Saturday’s FA Cup success at

Wembley gave United a first trophy since Sir Alex Ferguson won the Premier League in 2013 in his last season before retirement, but it was not enough to stop van Gaal from losing his job.

Mourinho was sacked by Chelsea last December, just seven months after leading the London club to the Premier League title.

Giwa FC Appeals Expulsion from NPFL Duro Ikhazuagbe Embattled Jos-based Giwa FC yesterday made a formal request to have its ejection from the Nigeria Professional Football League (NPFL) re-examined.

The League Management Company, (LMC) confirmed in a statement yesterday that Giwa FC has appealed its ruling of last Friday which threw out the team from the NPFL after missing three cumulative games of the ongoing season.

Giwa is asking for its appeal case to be handled by a commission for fairness.

“The above subject matter refers. We are in receipt of your letter of 20th May, 2016 on the above subject matter. We hereby notify you that we do not accept any of the sanctions imposed on our club and further add that we elect to be dealt with by a commission,” Giwa FC wrote in a letter dated May 21, 2016 to the league organisers.

While the appeal matter is pending, the LMC has already effected the cancellation of all matches played by Giwa FC this season from its official website.

The Jos club is now 20th on the log after expunging all results it chalked up in the 2015/2016 from the official teams standings.

Giwa FC was thrown out of the country’s top division for missing three cumulative matches which flouts Rule B13.28 of the NPFL Framework and Rules for the season.

The rule states:“If a club fails to honour three matches cumulatively within the league season without an acceptable reason to the LMC such a club shall be expelled from the league and its matches played and unplayed shall be cancelled.”

No date has been announced to hear the appeal of Giwa FC though the LMC stated that the club “will now appear before the relevant authority in the coming days to hear their appeal.”

Atawodi, Adeleke Clinch Gadzama Golf Honours Olawale Ajimotokan in Abuja AVM Saliu Atawodi at the weekend posted 69 nett in very clement conditions to emerge the overall winner of the 9th edition of JK Gadzama LLP Golf Tournament.

A guest list of 180 golfers made up the field for the event.

Atawodi, who plays off handicap 17, edged the youthful E.Iloghalu on the count back, to claim the 18- hole title played over the IBB International Golf and Country Club, Abuja.

Iloghalu, however, did not lose out entirely, as his 69 nett guaranteed him the Men Division 3 Best Nett first position, ahead of S.U Ahmadu (70) and A.O Ugochukwu (71).

Fei Shen carded 72 nett to wrap up Division 2 honour, while Adebanjo Adeleke submitted 71 to emerge the Division 1 Best Nett

winner.

On the basis of the performance, Adeleke, who teed off as an 11 handicapper, ended with his handicap reviewed to 10, his lowest as an amateur.

The. Chief Judge of FCT, Justice Ishaq Bello performed the morning ceremonial tee off.

Justice Bello stressed the essence of the tournament as an activity that brings judicial officials out of their sedentary life to maintain fitness and sound health that will enable them discharge their responsibility.

“The persistence of JK Gadzama SAN, that judges and lawyers generally must play golf to be healthy must be commended.

This tournament is also the groundwork for the Bar and Bench Golf tournament,“ Justice Bello said.

Wawrinka Through to Next Round Defending champion Stan Wawrinka recovered to beat Czech Lukas Rosol in the French Open first round.

Swiss Wawrinka, 31, who beat Novak Djokovic in last year’s final, eventually came through 4-6 6-1

3-6 6-3 6-4 in three hours and 11 minutes.

Spain’s Garbine Muguruza, last year’s Wimbledon finalist, progressed with a 3-6 6-3 6-3 win over Anna Karolina Schmiedlova of Slovakia.

Louis van Gaal...sacked from Man Utd job

Enyeama, Emenike Arrive for Yobo Testimonial Ideye rues missing the Garden City game

Nigeria’s ex-internationals,Vincent Enyeama and Emmanuel Emenike, have arrived the country for the JosephYobo Testimonial game slated for Port Harcourt on Friday, May 27. The Joseph Yobo Foundation is in partnership with Rivers State Government for the Centenary Game.

The two players who were both at the World Cup in Brazil withYobo as captain of the Super Eagles, arrived the country at the weekend after a long season in Europe.

They both announced their readiness to honour Yobo who remains the first Nigeria’s senior national team player to achieve 100 caps.

Enyeama and Yobo are close friends.Yobo forged good relationship with the Lille of France safe hands when they both played for the Eagles, with the former Everton defender playing Enyeama’s best man role at his wedding in 2006.

Another Nigerian player recalled to the Eagles, Brown Ideye has said he would have wished to feature in Friday’sYobo Testimonial, but for the fact he has been recalled by the Super Eagles for friendlies against Mali and Luxembourg.

The Olympiacos hit-man said it would have been a great personal honour to be part of the Yobo Testimonial in Port Harcourt.

“I really wanted to play. I had

called and made enquiries last month concerning this particular game (Yobo Testimonial) because I didn’t know I would be invited to the national team,”he said.

“I was like let me come home with my family play the game then go to the United States of America for holidays, but I got called up for the friendlies.”

He added:“I was really looking forward to the game, to play for him because I played under him and he is a very good guy and it would have been a great honour to support him.”

Top players from various parts of Europe especially the EPL will be in Port Harcourt for the match. The

list of those who have confirmed for the testimonial include Samuel Eto’o, Didier Drogba, John Terry, Thierry Henry and Wayne Rooney, the Ayew Brothers: Andre and Jordan, Sulley Muntari, Djibrin Cisse and Tresor Lualua amongst others.

Yobo featured at three FIFA World Cups and six AFCON tournaments, leading Nigeria to victory in his last outing in South Africa.

Some of the corporate bodies who have indicated their support for the Joseph Yobo Centenary Game include, Sifax Group, NICON Insurance and Beko Electronics Ltd.

Olah, Shao Hold Sway at ITTF Premier Lotto Nigeria Open Finland’s Benedek Olah first trip to Africa ended in celebration after the Finnish claimed his first ITTF World Tour title at the 2016 Premier Lotto Nigeria Open on Sunday.

Also, Jieni Shao’s second trip to Africa ended well as she retained her women singles title at the Nigeria Open.

To emerge as men singles champion, Benedek Olah beat Egypt’s Khalid Assar in the final 4-1 to lift his first title in an ITTForganised tournament.

Prior to his berth in the final, Olah had defeated Nigeria’s duo

of Bode Abiodun in seven games (12-10, 9-11, 8-11, 5-11, 11-5, 11-9, 11-5), before overcoming Segun Toriola in a six-game contest (9-11, 11-8, 11-5, 12-10, 9-11, 11-6).

“I really enjoyed myself in Lagos, I think the fans were unique and I really felt them whenever I was playing; this is not common across the world, here the fans were always supporting us”, said Benedek Olah.

“I hope to come back because I really played very well particularly the quarter-final and semi-final matches against Nigeria’s Bode

Abiodun and Segun Toriola”, added Benedek Olah.

“They were my toughest opponents because they played with a lot of spin with different kind of style.

“My game is now on another level because I was consistent in this tournament and this paid off for me to win my first World Tour title; I had a good feeling throughout the tournament and I hope to be back next year”, concludes Olah.

He insisted that he did not invitation to the tournament by

Aruna Quadri. “I did not regret being invited by Quadri Aruna; I think there was a good atmosphere for the players and I must also commend the organisers for a good job.

For Portugal’s Shao Jieni, the winner of the women’s singles event in Lagos there is also progress but not quite as dramatic as that experienced by Olah.

The top seed recovered from an opening game deficit to beat Hungary’s Szandra Pergel, the second seed, in five games (9-11,11-8,11-4,116,11-9) to clinch the top prize.

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MISSILE Diaspora Group to Fulani Herdsmen

“Who actually owns the herds? Why are the herdsmen allowed to carry weapons? Why are the security forces in Nigeria not doing their job? Who are behind this systematic agenda?Who regulates the activities of the herdsmen and their herds?... What we do not want is to reach a situation whereby citizens will arm themselves and protect their lives and properties” – Igbo World Assembly (IWA) condemning what it described as the “nefarious activities of the Fulani herdsmen” in states across the country.

BENMURRAYBRUCE MAKING COMMON SENSE

ben.murraybruce@thisdaylive.com

Of State Sponsored Weddings in a Depressed Economy

T

he International Monetary Fund (IMF) just released its World Economic Outlook for 2016 and listed 15 of the fastest growing economies in Africa and Nigeria was nowhere to be found. The sad thing is that Nigeria had been listed by experts as the world’s third fastest growing economy in 2014. We were also acknowledged as the fourth fastest growing economy in 2011 by the British government. So what happened in just one year? How could we have deteriorated so badly in such a short period of time?

This is beyond Muhammadu Buhari or Goodluck Jonathan. This is beyond the All Progressives Congress (APC) or the Peoples Democratic Party (PDP). I am not a proponent of politicising the economy.

I am not playing politics here. Nigeria is in economic trouble and we have to put our heads together to get us out of this bind. If you are queuing up to buy petrol at as high as N250 in some places, the fuel attendant does not care if you are APC or PDP. If you go and buy a dollar for N320, you do not get a discount because you are APC or PDP. Our economy is tanking and those of us in government cannot respond to this by buying new jets, new SUVs and build new mansions. We must cut our coat according to our cloth. If we are not producing wealth for Nigeria we should not be consuming wealth from her! We must ask ourselves serious questions like, do we really need 36 states with 36 state assemblies and 36 judiciaries consuming 55 per cent or our national annual revenue? Should we continue to spend 70 per cent of our budget paying the salaries of an ineffective public service?

What is the delay in implementing the Orosanye report to cut down the number of ministries and parastatals that are duplicating their efforts and delivering activity instead of results?

In the year 2016, we need our economy to be not just up to date, we need it to be up to tomorrow! A situation where we spend what little money we have on paying salaries

Buhari

and have to borrow for capital expenditures is a tired yesterday economy that has brought us precisely to this point we are in today. I call on President Buhari to call an emergency all party conference at the Presidential Villa where the federal cabinet, the National Assembly, the judiciary and the 36 state governors can meet to urgently take steps to reform Nigeria.

Surely we cannot continue like this. We are already a debtor nation. If we do not change our ways, we will soon become a beggar nation.

Right now, the only thing that is growing in Nigeria is our population. A growing population and a shrinking economy is not a good combination. We must do something before it is too late otherwise we the elite will have to turn our houses to prisons by building bigger walls and gates to protect us from the people whose future we are squandering. Look at what is happening in Zimbabwe and Venezuela.

Their currencies have fallen flat, their stores are empty of goods and their people are living in despair. There is a real risk that the same could happen in Nigeria if we are not proactive in curbing our rate of consumption and leading our people out of poverty.

And we should not let our huge population scare us. There are precedents of nations in similar situations as that currently facing our nation who still managed to turn around their situation. China was in a similar situation as we are in the 70s as was India in the 80s. Between these two nations, their leaders managed to pull over a billion people out of poverty. India did it largely by tapping into her large diaspora population who were repatriating not just wealth, but more importantly technology back home. This is a model that best suits Nigeria because we have about 2 million of our citizens in the diaspora of Europe, the Americas and Asia who send home an average of $21 billion per annum.

How have we leveraged on these our diaspora citizens? Do we even have a database of these class of Nigerians? You can imagine the impact if the federal and state governments worked with the private sector to come up with investment ideas and then sent an email blast to the email addresses of these over 2 million diaspora Nigerians asking them to invest!

We could provide the database to the Nigerian Stock Exchange (NSE) to send text blasts to diaspora Nigerians encouraging them to buy shares in the Nigerian listed bourse.

State governments can further target them

with tempting offers to attract funds to their states. Just something as simple as selling lands to diaspora Nigerians to build a retirement home could attract billions of dollars worth of capital inflow into our economy.

But instead of thinking of this, what I read in the paper really boggles my mind. I read about states sponsoring mass weddings for their citizens who cannot afford it. I mean, how can this be a priority in the midst of an economic storm? If a state sponsors mass weddings, will they also sponsor mass child support for the products of the mass weddings? Let us think big picture! No Nigerian state should have to sponsor weddings. Instead, let states sponsor free education and their citizens will be able to sponsor their weddings and pay taxes! I am just thinking out loud here and I encourage, nay challenge, other public intellectuals to also think creatively and come up with ideas. Let us help this administration with the intellectual process of thinking our way out of this current economic doldrum before we all go to bed and wake up as Zimbabwe or Venezuela!

My name is Ben Murray-Bruce and I just want to make Commonsense!

• Murray Bruce is the senator representing Bayelsa East and chairman of the Silverbird Entertainment Group

A growing population and a shrinking economy is not a good combination. We must do something before it is too late otherwise we the elite will have to turn our houses to prisons by building bigger walls and gates to protect us from the people whose future we are squandering Printed and Published in Port Harcourt by THISDAY Newspapers Limited. Lagos: 35 Creek Road, Apapa, Lagos. Abuja: Plot 1, Sector Centre B, Jabi Business District, Solomon Lar Way, Jabi North East, Abuja .

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