The Nation July 02, 2012 by The Nation

Nigeria’s widest circulating newspaper

Seven die in raid on Boko Haram

Senate recalls Maina over N273.9b cash

NEWS

Page 5

Page 6

•Pension chief to be grilled again

•Police chief: we lost two men

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VOL. 7, NO. 2174 MONDAY, JULY 2, 2012

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•SWEET VICT OR Y: Spanish players celebrating with the trophy after winning the Euro 2012 championship at the Olympic Stadium in Kiev, Ukraine...last night. Story on page 61 VICTOR ORY

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Lawan: Otedola gave me $250,000 in hotel room Lawyers seek thorough probe Police ‘sure it’s sting operation’

AROUK Lawan’s lawyers have petitioned the Inspector General of Police, Mohammed Abubakar, on the need to thoroughly investigate the bribery allegation levelled against their client by billionaire oil magnate Femi Otedola. Otedola has accused Lawan, former chairman of the House AdHoc Committee on fuel subsidy probe, of demanding $3m bribe to

From Yomi Odunuga, Abuja

ensure the removal of his companies from the list of indicted firms in the N1.7 trillion fuel subsidy scandal. But in two petitions dated June 22 and signed by four lawyers - Mike Ozekhome, Rickey Tarfa, Isreal Olorundare and Sam Ologunorisa - Lawan faulted some of the statements credited to Otedola, includ-

•Where is the $620,000 bribe cash? •Did Hon. Lawan put part of the money in his cap and pocket as allegedly portrayed by the video? •Did Hon. Lawan collect money in Mr. Otedola’s Lagos home? •Did Lawan solicit bribe from Otedola or the businessman pressurised him?

ing where, how and when $500,000 was collected in two tranches at the businessman’s insistence, accord-

ing to him. Describing stories making the rounds about the lawmaker’s or-

deal as “funny, phony, insidious and invidious “, the lawyers stated that Lawan never visited Otedola’s house in Lagos to collect $500,000. Neither did he at any time hide the money “in his pocket, and the leftover inside his cap” as was alleged in a publication, they said. Tarfa had, in a four-page petition, raised issues concerning the infringement on Lawan’s rights for his 48 hours detention without trial while he was offered what he described as “onerous conditions” for bail. Continued on Page 4

•POLITICS P13 •SPORTS P23 •CEO P32 •JOBS P37 •MOTORING P43

THE NATION MONDAY, JULY 2, 2012

NEWS

Nigeria, a rugged

•Vice-President Namadi Sambo (right), Co-ordinating Minister of Economy/Minister Of Finance, Dr Ngozi Okonjo-Iweala (left); Minister of Justice, Mohammed Adoke and Minister of Petroleum, Mrs Diezani Allison-Madueke (standing) at the Meeting On Petroleum Industry Bill in Abuja... at the weekend PHOTO: NAN

•Co-Chairman and Trustee, Bill and Melinda Gates Foundation, Mr Bill Gates and President, Dangote Group, Alhaji Aliko Dangote discussing at the Forbes’s 400 Summit on Philanthropy in New York, United States.

•From left: Minister of Health, Prof. Onyebuchi Chukwu cutting a tape to open a cardiovascular centre at the University College Hospital, Ibadan... at the weekend. With him are: Chief Medical Director, Prof. Temitope Alonge and Chairman, PHOTO: NAN Medical Advisory Committee, Dr Abiodun Otegbeye

•Kaduna State Governor Patrick Yakowa (middle), Chief of Army Staff, Lt.-Gen Azubike Ihejirika (left) and the Chief of Policy Plan, Maj-Gen Olakunle Akinyemi d uring a visit to the governor in Kaduna... yesterday PHOTO: NAN

Despite bomb blasts, gun attacks, kidnappings, industrial-scale oil theft, armed robberies, investors keep coming into Nigeria. Reasons: alluring returns in this high-risk frontier market; a huge and growing population with latent potential for a consumer boom; light crude oil ideal for making motor fuel; and sophisticated financial markets, writes REUTERS

OMB blasts, gun attacks, airline crashes, kidnappings, industrialscale oil theft, armed robberies and fraud costing billions of dollars. Such things might give pause to anyone thinking of opening a business. In Nigeria, they happen with alarming frequency, and yet investors just keep coming. The reasons are many: alluring returns in this high-risk frontier market; a huge and growing population with latent potential for a consumer boom; light crude oil ideal for making motor fuel; and sophisticated financial markets. “We know it’s not risk free,” says Charles Robertson, global Chief Economist at Renaissance Capital. “But look around the world and find another economy with 160 million people growing at 7 percent with such potential. It’s a struggle to find them.” Nigeria can look like it’s teetering on the cusp of chaos, but it is also Africa’s second biggest economy and top oil producer. “Nigeria is the best kept secret in the world. Anybody who doesn’t invest in Nigeria only has himself to blame, going forward, if he misses out,” industrialist Aliko Dangote told Reuters in an interview at his Lagos office. “I don’t really know of any place where you can make as much money as you make in Nigeria.” As Africa’s richest man, he should know. Last year, the cement tycoon’s Nigeria investments boosted his personal fortune more than fivefold - a bigger rise than anyone else on the Forbes list of world billionaires - to $13.8 billion. Dangote is from northern Nigeria, where Islamist insurgents of the Boko Haram movement have killed hundreds in daily gun and bomb attacks this year in a bloody anti-establishment offensive. Dangote, whose interests are mostly in the south, with some exposure to the north, does not let the violence affect his business decisions. “Boko Haram has not destroyed any business here. They have not gone to any factory and planted a bomb,” he said. “Because of drugs barons fighting with the Mexican government, does it mean no one will go and invest in Mexico? No. People are rushing there.” “DEMOGRAPHIC DIVIDEND” TRUMPS INSTABILITY? Still, if you want an example of how violence and political instability in Nigeria can slice millions of dollars off your profit margin, look no further than PZ Cussons. The soap maker announced two profit warnings in the first quarter of this year, blaming a hit to sales from social unrest in Nigeria, its biggest market, where it makes a third of its revenue.

‘

We know it’s not risk free. But look around the world and find another economy with 160 million people growing at 7 percent with such potential. It’s a struggle to find them

‘

The country erupted into strikes and protests in January when President Goodluck Jonathan’s government made an abortive attempt to end a popular fuel subsidy. The strikes lasted only a week, but the central bank said they cost $617 million a day. The violence in the north also worsened around that time. “Insurgency in the north clearly had a detrimental impact on PZ’s business, and on (food maker) UACN, which has distribution hubs there,” Matthew Pearson, Standard Bank’s head of African Equity Product, told Reuters on a visit to Lagos. But in the longer term, both firms are betting Nigeria’s big population will turn into a massive consumer market. “The demographic dividend is colossal,” Pearson said. A failure to recognise such longterm opportunities in emerging markets astounds Stephen Jennings, CEO of investment bank Renaissance Group. “Whether we are talking about political evolution in Russia, or economic development in Africa, there remains a clear overemphasis on current difficulties and constraints, and an under-appreciation of the pace and magnitude of modernisation and structural change,” he told an investor conference this week. Some clearly appreciate it. The CEO of South Africa’s Shoprite, Whitey Basson, said in February he saw scope for 700 stores in Nigeria, up from two now, arguing that even if 60 percent live in poverty, the other 40 percent still outnumber South Africans. And oil companies like Shell are making enormous profits in Nigeria - and renewing onshore licenses - despite the fact that armed gangs steal a growing portion of their oil. Foreign direct investment into Ni-

THE NATION MONDAY, JULY 2, 2012

NEWS

road to high returns

•Osun State Governor Rauf Aregbesola (second right), Chairman, Vintage Press Limited, Mr.Wale Edun (second left), Managing Director/Chief Executive Officer, Mr. Victor Ifijeh (right)and Executive Director (Finance and Admin), Mr. Ade Odunewu during a visit to the governor at the Government House, Osogbo... yesterday

•Robertson

•Basson

•From left: Oyo State Governor Abiola Ajimobi, President, Association of Advertising Agencies of Nigeria (AAAN), Mr Rufai Ladipo, Chairman, Advertising Practioneers Council of Nigeria (APCON), Mr Lolu Akinwumi and Mrs Iquo Ukoh at AAAN’S Congress In Ibadan... at the weekend

•Knott-Craig

•Jennings

geria has hovered between $6 billion and $8.5 billion since 2007, World Bank figures show, apparently unresponsive to its various crises. FEAR OF OFFICIALDOM Business people say the risk from such insecurity pales compared with that of government interference. Jonathan’s administration says it is working to remove impediments such as corrupt officials and onerous bureaucracy, but they admit it is a huge task. “Look at the port. That’s a bigger investor concern than bomb blasts or plane crashes,” said Tony Elumelu, chairman of Lagos-based Heirs Holdings, a fund that invests across Africa. Corrupt officials at Lagos port - one of the busiest in Africa - slow down deliveries to extort money from importers, a bottleneck to growth and cause of Nigeria’s high living costs. “For many businesses, the difficulty of getting goods cleared ... is their biggest complaint,” Elumelu said. “The good news is the government is now taking action to improve it.” Such “official risk” is what oligarchs like Dangote can use political ties to mitigate. Not everyone has such connections, but players with dominant positions in markets that don’t require much government cooperation can still fare well. “If you look at Nigeria Breweries, short of expropriation, it’s going to continue to effectively print money, because of the size of the market ... irrespective of the management of the country,” said Fola Fagbule, Vice President of Origination and Coverage at Africa Finance Corporation. Other sectors, such as infrastructure, face daunting hurdles from obstructive officials. Telecoms firms need licenses. They need land to put up masts. They need permits to set

up base stations. All complain of extortion by officials to keep stations open. The downside was enough to persuade Vodacom to pass up investing in Vmobil - now owned by Bharti Airtel - in 2005, citing an “inappropriate level of risk”. Yet telecoms is now one Nigeria’s most profitable sectors, and Nigeria is Bharti’s most profitable African market. In his last year as Vodacom CEO in 2008, Alan Knott-Craig said he regretted the decision not to set up shop in Nigeria. Vodacom is now making moves to come back. Rival MTN had no such qualms, and today it is Nigeria’s leading operator. Among the risks it faces are “poor infrastructure, lack of security, vandalism, multiple taxation, over-regulation ... unlawful interference with telco infrastructure by government agencies and ... prejudicial court judgments,” says Funmilayo Omogbenigun, MTN Nigeria’s corporate affairs manager. Despite that discouraging litany, Nigeria remains MTN’s biggest cash cow, making $2.5 billion in core profit in 2010 and again in 2011. The telecoms success has raised hopes for Nigeria’s moribund power sector, if the government gets round to privatising it. “Nigeria’s often surprised on the upside, and telecoms is a classic example. People are looking at power in the same way,” Fagbole said. “It looks messy, it looks difficult, but if you sit on the sidelines and it turns out to be this massive honey pot, you’ll live to regret it.”

•Anambra State Governor Obi (middle), his wife, Margaret, receiving the award of the ‘Good Financial Planning Governor of Our Time’ bestowed on him by Enugu Anglican Church from Bishop Emmanuel Chukwuma during the first session of the 15th Synod of the Diocese at All Saints Church, GRA, Enugu. Story on page 8

•From left: Former Senate President Ken Nnamani; Chairman, Board of Directors, Godfrey Okoye University Enugu, Prof. Ikechukwu Chidubuem, former Minister of Petroleum, Mr Odein Ajumogobia and wife of the late Justice Anthony Aniagolu, PHOTO: NAN at a memorial lecture dinner in honour of the judge in Enugu

THE NATION MONDAY, JULY 2, 2012

NEWS

‘Jonathan not soft on corruption’

•Group Sports Editor The Nation Mr. Ade Ojeikere, lighting the Olympic Torch before taking his turn to run with it in the United Kingdom...at the weekend.

Why President won’t honour House invitation, by official

RESIDENT Goodluck Jonathan may not honour the invitation of the House of Representatives for a session on the Boko Haram insurgency – for “security reasons”. Some presidency officials have opened talks with the House’s leadership on available options. Options include: •Sending officers such as the National Security Adviser (NSA), the service chiefs, the InspectorGeneral of Police (IGP) and the Director General of State Security Service (SSS) to brief the

From Yusuf Alli, Abuja

House; •a restricted interaction between the President and the House leadership; and •forwarding a detailed report on how the government is addressing the insecurity in the North. Following fresh gun attacks on Yobe and Kaduna, the House, on June 19, summoned the President to interact with him on how to check the recurring insecurity in some parts of the North. But the invitation has raised constitutional issues on the

right of the House to do so. Sources told our correspondent that the President might not appear before the House because of the sensitive nature of the issue. A top government official, who spoke in confidence, said: “Going by the sensitive nature of the issue in question, the President may not honour the invitation of the House. Some of the challenges and classified information are not what the state can just divulge to a large forum like the hallowed chamber of the House. Continued on Page 60

RESIDENT Goodluck Jonathan has been living up to his promise of zero tolerance for corruption, the Presidency said yesterday. It added that Dr. Jonathan has takes various measures in his push against corruption, in a statement by his media adviser Dr. Reuben Abati. Abati was reacting to “reports, comments and agitations aimed at creating the totally false impression that the Jonathan administration is not doing enough to curb corruption.” The statement said: “President Goodluck Ebele Jonathan clearly enunciated his Administration’s zero tolerance for corruption on his assumption of office and has since worked to strengthen the nation’s anti-corruption agencies for greater efficiency and effectiveness. “Certainly, nothing has been done or left undone under the President’s watch to justify the labeling of his Administration as ‘soft on corruption’. “He has appointed a tried and tested corruption investigator to head the EFCC. He declined to swear in a nominee for the chairmanship of the ICPC when questions were raised by the public about the propriety of his nomination and clearance by the Senate; and recently nominated a more acceptable replacement. Much of the politically-motivated agitations alleging tardiness in the war against corruption revolve around the Administration’s handling of the reports of probes that have been undertaken into the management of fuel subsidies in the country. “President Jonathan wishes

From Vincent Ikuomola, Abuja

to reaffirm, once again, that there will be no sacred cows in the matter and that any organisation or individual found guilty of fraud or corruption will ultimately face the full weight of sanctions prescribed by the extant laws of the country. “The report of the House of Representatives Ad-Hoc Committee on Fuel Subsidies has already been referred by the President to the EFCC through the Minister of Justice and Attorney-General of the Federation. “In compliance with the President’s clear and unequivocal directives, the EFCC is currently undertaking a thorough and painstaking investigation of all indictments made by the committee with a view to establishing watertight cases that will be taken before courts of competent jurisdiction as quickly as possible. “The report of the Committee headed by Mr. Aigboje Aig-Imoukhuede, which was set up by the Federal Government to verify fuel subsidy payments, has also been received and is being expeditiously reviewed. Appropriate action will follow. “President Jonathan urges Nigerians to be patient and assured that the guilty will definitely not go unpunished as justice will certainly be done in the matter. “It is also noteworthy that to strengthen ongoing reforms and transformation of Nigeria’s Petroleum sector, and in furtherance of efforts to achieve greater transparency and accountability in government, President Jonathan re-

cently approved the re-composition of the executive management team of the Nigerian National Petroleum Corporation (NNPC). Furthermore, in continuation of efforts by his Administration to sanitise Nigeria’s entire petroleum sector, entrench probity, transparency and accountability, and rid the sector of fraud and corruption to ensure that ordinary Nigerians enjoy more benefits from this God-given natural resource, President Jonathan has directed that the report of the technical committee which reviewed the Petroleum Industry Bill be speedily evaluated and appraised by relevant government ministries and presented to the Federal Executive Council for approval before being returned to the National Assembly for speedy promulgation. “President Jonathan remains fully committed to the diligent and effective implementation of his Administration’s Agenda for National Transformation and the eradication of official corruption which is evidently antithetical to the attainment of the stated goals of his administration. “In the prosecution of the war against corruption, President Jonathan believes that the interests of national peace, stability, progress and development override all other considerations and are therefore beyond any compromise.The President continues to uphold this belief in all his private and official actions. “He therefore urges Nigerians to be wary of those who seek to heat up the polity by politicising the issue of corruption in the pursuit of their selfish personal and sectional agenda.”

Lawan: Otedola gave me $250,000 in hotel room Continued from Page 1

The lawyers challenged the police chief to investigate the “circumstances whereby the complainant in this instance is now being made an accused and being hounded into detention while the culprit is left to roam the streets and continue to grant interviews and make damaging comments against our client while the police look the other way”. Giving a blow-by-blow account of what transpired between his client and Otedola, Ozekhome said, out of desperation to ensure that his companies were not indicted in the probe, visited Lawan in his hotel room in Abuja and attempted to influence the report by offering him $250,000 on April 21. He said the money and another $250,000 that was handed over to Lawan at Otedola’s Aso Drive home on April 22, were deposited with the Chairman of the House Committee on Drugs, Narcotics and Financial Crimes on April 24. Claiming that Lawan made a verbal report of the attempted bribery to the Chairman of the Economic and Financial Crimes Commission (EFCC) on April 20, without any specific reference to Otedola, Ozekhome said the EFCC chairman instructed the Director of Operations to be on “standby in case Mr. Otedola calls again”. The nine-page petition titled “Honourable Farouk Lawan

Police work on fresh clues to retrieve $620,000 bribe cash

HE police are working on fresh clues on how to retrieve the $620,000 “bribe” given the suspended Chairman of the House Committee on Fuel Subsidy Management, Farouk Lawan, by businessman Femi Otedola, it was learnt at the weekend. The three policemen accused of “smuggling” out Lawan from custody have been relocated from Force CID to Asokoro Police Station where they are being detained. Also at the weekend, it emerged that Lawan’s defence decided to hire a foreign forensic expert following the suspicion that Otedola might have conducted the “sting operation” alone, without involving the State Security Service(SSS). One of the counsel to the embattled House member, Chief Mike Ozekhome(SAN), yesterday insisted that the House Committee on Ethics and Privileges can probe the bribery saga. It was gathered that the police may have stumbled on fresh clues to retrieve the $620,000. “All I can tell you is that before the conclusion of investigation, the bribe cash will be retrieved,” police source said. The police may issue a bench warrant for the arrest of Mr. Adam Jagaba, chairman of the House Committee on Drugs, and Mr. Femi Otedola: When the complainant becomes the suspect”, with many annexures, read in part: “Our client briefed us that he never solicited from Mr. Femi Otedola the sum of Three Million US Dollars ($3, 000, 000, 00) or any other sum at all, as bribe, to enable his oil firms to be left off those indicted. “The truth is that contrary to

From Yusuf Alli, Abuja

Narcotics and Financial Crimes, if he fails to report. The source added: “We have the extreme option of declaring him wanted but we want to handle this matter with decorum and decency. This case involves a crucial arm of the government; we do not want it to degenerate further. “If Jagaba remains adamant, we know what to do and no one will blame the police.” On the plan to hire a foreign forensic expert; a member of the defence team said: “We are bringing a forensic expert to analyse the so-called sting operation and vet the video clip in possession of Otedola. “We are suspecting that Otedola conducted the sting operation himself without the involvement of the SSS. “A forensic expert can assist us to get to the root of the matter.” One of the counsel to the embattled House member, Chief Mike Ozekhome(SAN), yesterday insisted that the House Committee on Ethics and Privileges can probe the bribery saga. Ozekhome said: “The police can investigate the criminal aspect which has to do with the bribery, whereas the House

the various false publications in the press, which appear to swing the mood of the public against our client, our client maintains that whilst the report of the Committee had been compiled, written and presented before the House and he was putting finishing touches to its formal debate in his hotel room at Protea Hotel, Apo, Abuja (where he re-

is entitled under Sections 88 and 89 of the 1999 Constitution to direct its Ethics and Privileges Committee to look at the conduct of any of its members. “In other words, the Police are not right to have claimed that the House is interfering in its ongoing investigation of the bribery. “Besides being Lawan’s counsel, I also speak as a constitutional lawyer. Going by the Doctrine of Separation of Powers, the House can also look into the case.” The three policemen, who allegedly smuggled Lawan out from custody to go and bath at home and freshen up, have been relocated from the Force CID in Area 10 Abuja to Asokoro Police Stattion. Another source added: “They are still in detention because investigation is in progress on the alleged professional misconduct they committed. “Although some people have been taking up issues with the police on why these men are still in detention when Lawan is on bail, but they should know that this a professional /security issue. “The police have its own rules and regulations and it has its internal disciplinary process. The rules will be applied accordingly.”

located from his house to escape the unbearable pressure mounted on him by oil marketers, including Mr. Femi Otedola, he was surprised when Mr. Femi Otedola surfaced in the hotel on Saturday, 21 April, 2012 and called his room number. “When our client let him in, he brought out a bundle of documents which he

claimed showed that one of his oil companies, Zenon Oil, already indicted in the report, did not participate in the fuel subsidy scam. Our client states that, at this time, both Zenon Oil and AP Petroleum (Forte Oil) had been both indicted, based on available evidence. Mr. Femi Otedola claimed that he was already aware of this indictment

hence he decided to personally bring documents to convince our client that was not the case. “Our client collected the documents. As Mr. Otedola was about to leave, he handed over the sum of $250,000 US dollars to our client, which he said was to ensure that his companies were removed from the list of indicted companies. This was the evening of Monday, the 23rd of April, a few days before the report was to be debated in the House, but few days after the final report had actually been laid before the House on the 17th of April, 2012. Our client informed us that he had collected the money to display as exhibit that the committee had been under severe pressure and subtle threat to compromise its report. “Our client states that Mr. Otedola then called him severally and even pleaded with him to come to his house at Aso Drive, Abuja, for more of the documents which he claimed to have forgotten to bring to our client’s hotel room at Protea Hotel, Apo, Abuja. “Our client said he played along by going there to Otedola’s house in the early hours of the 22nd of April, 2012 during which Otedola handed over more documents and a further sum of $250,000. Our client states that Mr. Otedola further offered to make a total of $3millon US dollars. Continued on Page 60

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THE NATION MONDAY, JULY 2, 2012

NEWS

New breed politicians lack discipline, says Afenifere chief Ajayi

LDER statesman and Afenifere chieftain Sir Olaniwun Ajayi has reflected on party politics in this dispensation, saying that many politicians lack discipline and devotion to principle. The foremost politician drew a link among party discipline, party loyalty and party supremacy, which he said, are now absent in the political parties and among key actors. Ajayi, who was Commissioner for Education in the defunct Western State, also complained about what he called the mad rush for power and wealth by leaders. He attributed the dwindling economy and soaring poverty to thriving corruption and general maladministration, stressing that the corridor of power has become an avenue for primitive accumulation. The frontline Awoist urged politicians to return to the path of sanity to halt the national drift to perdition. Ajayin spoke with reporters in his Isara, Ogun State home on the havoc wreaked on the polity by military

By Emmanuel Oladesu Deputy Political Editor

rule and post-Second Republic civilian actor, who, in his view, departed from the path charted by the symbol of the old order. Delving into history, he recalled that the first generation of politicians elevated ideas and principles over the pursuit of worldly possessions, adding that they made sacrifices for common good. He stressed: “What can this generation learn from great actors of old: Hon. M.S. Sowole, Dr. Olu Ibukun, and Bishop T.T. Solaru? Sowole,

a member of the House of Assembly, was penciled down for regional ministerial appointment. All the ministerial slots had been distributed. However, Bode Thomas noted that Lagos was excluded, despite the claim of the West that Lagos was part of the West. That was how Oba C.D. Akran was named to replace Sowole. “The question of who would inform Sowole arose. Party leaders asked the late Chief Obafemi Awolowo to inform him because he was his friend. Awo told Sowole that he would not be a min-

ister again. To every body’s surprise, Sowole accepted his fate, saying that the party is supreme. How many politician can do that today. Awolowo later made him Parliamentary Secretary”. Ajayi also recalled the virtue of tolerance and discipline exhibited by Dr. Ibukun, who was asked to step down for Hon. Oluofin in Akure Constituency, stressing that after his withdrawal from the House of Assembly race, he was appointed a member of a government parastatal. He added: “Look at the case of T.T. Solaru, an Oxford Uni-

versity-trained man. The Federal Government asked Action Group to nominate an AG member to serve on the Board of Airways. When they were embezzling money there, Solaru resigned. The son of Esua, who was nominated for similar position called it quits because she could not associate with corruption. When Awolowo was Premier, a minister was asked to refund mileage allowance he collected. Chief Simeon Adebo was the Secregtary to Government and head of service. The minister was reported by his Permanent Secretary, an expatriate officer. Awo said he did not need government money to travel to his constituency”.

Jonathan, Mark for Okiro’s book presentation From Gbade Ogunwale, Assistant Editor, Abuja

RESIDENT Goodluck Jonathan, Senate President David Mark, the Ooni of Ife, Oba Okunade Sijuwade, the Oba of Lagos, Oba Rilwan Akiolu as well as Peoples Democratic Party (PDP) National Chairman, Alhaji Bamanga Tukur, are some of the personalities expected at the presentation of a book written by a former Inspector General of Police, Sir Mike Okiro. The event is slated for 11 am tomorrow, at the Ladi Kwali Hall, Sheraton Hotels and Towers, Abuja. The book, entitled: Overcoming Security Challenges serves as a guide on security, awareness for Nigerians caught in the labyrinth of the prevailing security challenges, the author said: “The book is a collection of thrilling true life stories of cases I investigated and unravelled, the who, the how, the what, the when, the intrigues, and the subterfuge, including the lessons to be drawn from each case”, Okiro said. He added that the book is a manual on crime prevention and a compendium of expedient clues that could guide the reader through the rubble of the prevailing security challenges.

•Niger State Governor Babangida Aliyu (second left); District Governor (2012/2013), Rotary International District 9125, Mr. Felix Obadan (left); Managing Director, United Healthcare International, Dr. Kolawole Owoka and Minister of Health Prof Onyebuchi Chukwu at the Rotary’s fundraising dinner at the Ladi Kwali Hall, Sheraton Hotels and Towers, Abuja...at the weekend. PHOTO ABAYOMI FAYESE

Senator Tinubu makes case for displaced kids From Onyedi Ojiabor, Abuja

HE Federal Government has been urged to initiate a programme that would rehabilitate children affected by terrorism. The Vice-Chairman of the Senate Committee on Labour and Productivity, Senator Oluremi Tinubu, spoke in Uyo, the Akwa Ibom State capital, at the end of Senate Retreat. The lawmaker said the programme should include creating foster parents for the affected children. She noted that the call became necessary to care and redirect children who were brutally separated from their parents. Though the senator agreed that a lot of issues were raised at the retreats, she called for a decisive action from the government to address crippling security challenges in the country. Senator Tinubu expressed sadness that those who lost their parents to Boko Haram insurgency are thrown into the society without any rehabilitation agenda being planned for them. She criticised Federal Government’s position of no compensation for victims of terror attack. Apart from addressing emerging problem of terrorism, she wanted definite action on poverty and unemployment. She said: “Yes a lot of national issues have been raised over the last couple of months, especially security issues but we are yet to see the issues well addressed. “Speaker of the House of Representatives, Aminu Tambuwal did hit the nail on the head during the opening ceremony of

the retreat. “He said that all the Boko Haram and terrorism issues boil down to poverty and mass unemployment. For me that is the main issue. “When we look at all the children that come out as a result of terrorism, some that have lost their parents, they are thrown into the society especially when the President is saying no compensation for the victims. I think that is rather hard. “There should be a programme where those children can be rehabilitated or where a fostering kind of arrangement can be made for the children.” Insisting that the Federal Government should take up the challenge of catering for those affected the Senator said that children and other vulnerable peoples affected by terrorist activities are not abandoned to their fate in other countries. She went: “Government has to look at all these issues because despite the fact that what is happening is rather foreign, when you look at developed countries, there are areas where such children are taken care of. “They are not abandoned to their fate, no they are taken care of by the authorities. “We have a lot of educated people in this country, we have to start thinking of how and where these children can be taken care of. “We are a nation in crisis, we wake up every morning thanking God that we are alive because there is the possibility that it could have been me”.

Manufacturers, Obasanjo hail Dangote Cement’s ‘leading role’

ANUFACTURERS Association of Nigeria (MAN) has hailed what it called the leading role being played by Dangote Cement in the implementation of government’s backward Integration policy in the cement sector. It urged the government to replicate the policy in other sectors. The manufacturers spoke in Lagos during their 40th annual general meeting

(AGM). They described Dangote Cement’s position on the policy as noble and commendable. MAN President Kola Jamodu, who was reacting to the remarks by former President Olusegun Obasanjo at the meeting, noted that there is need for the policy to be replicated in other sub-sectors of the economy. Jamodu urged the government to play its role well so that others would embrace

the policy. He attributed the success being recorded by Dangote Cement in the continous expansion of its plants to accommodate local consumption and export to the policy consistency of the Federal Government. He urged the government to keep it up. According to him, there are lots of opportunities for investors, if the right policies are in place. He cited the example of

Dangote, who he said was just “a cement bagger, but keyed into the policy of backward integration to become a leading manufacturer worldwide”. Jamodu added: “There was no special privilege enjoyed by him from the government. He only embraced the policy and was determined to make something out of it. “Dangote was not singled out for any favour; he only embraced the policy. Initial-

ly, there were attempts to truncate the policy but thank God, it’s still subsisting.” Obasanjo, who was a guest speaker, expressed the hope that Nigeria could become an industrial giant with the right policies and manufacturers displaying the right attitude. He recalled how his administration made the policy, saying he was happy that the policy has become a blessing in the efforts toindustrialise the country.

Seven die in raid of Boko Haram From Duku Joel, Damaturu

TWO soldiers, two policemen and three suspected members of the Boko Haram sect are believed to have died during a military raid at the weekend on Boko Haram hideout in Damaturu, the police said. Gunshots were heard at about 6pm on Saturday, the official curfew time in the Yobe State capital, as members of the Joint Task Force(JTF), who acted on a tip off, raided a hideout believed to have been housing some members of the militant sect. The police said two of its men died in the shootout between the sect members and security forces. Both the JTF and the Yobe State police declined to speak on the actual casualty recorded on the side of the security operatives. But a top security officer however, said that apart from three sect members who were killed during the raid, two soldiers also died. According to the source, “the JTF raid was initially very successful, as two of the sect members found in the hideout were killed in a shootout. A cache of arms were also recovered; but unfortunately for the JTF operatives, and unknown to them, one of the sect members who was hiding somewhere, suddenly opened fire on them, killing two soldiers”. Yobe State Police Commissioner Patrick Egbuniwe, told reporters on the telephone that: “A gang of armed terrorists attacked two military vehicles of the Joint Task Force (JTF) while patrolling Nayinawa area by 6.30pm on Saturday, using explosives. As the soldiers returned fire to repel the attackers, two of our policemen in the JTF were killed in the fierce gun battle that lasted for three hours in the area.” Egbuniwe said he could not confirm the casualty figure on the side of the soldiers. He however said two of the gunmen were killed. One of the uncompleted buildings in Nyanya ward of the metropolis was demolished.

Nigeria, two others for Commonwealth electoral committee From Augustine Ehikioya, Abuja

NIGERIA, with South Africa and Kenya, has been elected to represent Africa on the Commonwealth Electoral Network (CEN) in its eightmember steering committee chaired by Canada. A statement yesterday by the Chief Press Secretary of the Independent National Electoral Commission (INEC), Kayode Idowu, said other members of the committee are Australia, Jamaica and India. The new committee members, he said, replaced Ghana, Bangladesh and Zambia, whose two-year tenure in the apex organ has just ended.

THE NATION MONDAY, JULY 2, 2012

NEWS Osun to explore cultural diplomacy with Brazil

HE Osun State Government and Brazil are set to have cultural diplomacy, the House of Assembly Speaker Najeem Salaam has said. The Speaker was speaking on a discussion he had with Governor Rauf Aregbesola during a tour of cultural sites in Brazil’s capital, Rio De Janerio, and the State of Bahia in the South American country. In a statement by his Press Secretary Goke Butika, the Speaker noted that the tour of cultural sites in Brazil was an eye opener to opportunities in tourism potentials that abound in Osun State. Salaam said he was taken aback when he visited an artistic impression in company of the governor in the heart of Rio De Jenario, where the bronze head of Olokun, the symbol of Yoruba civilisation, was placed atop an artefact. Salaam said: “When Governor Aregbesola asked me to accompany him to some tourism sites in Brazil, little did I realise that we were set out for an eyeopening and a thought-provoking adventure. But when I sighted Ori Olokun atop an arch in the heart of Rio De Janerio, my mind told me that the State of Osun sits atop tourism potentials that could turn around the fortune of our state.” The Speaker said the government and some states in Brazil may partner for what he described as a “positive engagement to developing our tourism sector to full capacity”. He added: “Mr Governor has assured me that cultural diplomacy between our state and Brazil will be engendered for the purpose of exploring our tourism sector for the collective benefits of our people in terms of economy and historical values.

78-year-old man, 13 others benefit from MTN’s Goodwill Automania

OURTEEN customers of MTN Nigeria Limited, including a 78-year-old man, Babafemi Ladipo, at the weekend in Ibadan, the Oyo State capital, benefitted from the company’s Goodwill Automania. The second prize presentation of the fund, which began on May 11, will end this month. The Director, Compliance and Enforcement, of the National Lottery Regulatory Council Mr Sajo Mohammed said the trust fund had grown to about N4billion since 2009 after it was established under the 2005 Lottery Act. Speaking at the MTN promo tagged: 100 Hyundai I x 35 SUV, Mohammed explained that the funds accrued from the mandatory 20 per cent remittance from every lottery promo in the country. Mohammed, who said there were two types of lotteries, added that some companies were given permanent licence while others, like MTN, were given temporary licences, which would not exceed one year. According to him, any organisation trying to organise a lottery is expected to pay 20 per cent of the proceeds which would be used to fund the management of natural disasters, education and sports.

•Osun State Governor Rauf Aregbesola (middle) with Ondo State Action Congress of Nigeria (ACN) governorship aspirants, from left: Prince Festus Oluwole, Jayeola Ajayi, Ifedayo Abegunde, Dr. Boroffice Ajayi, Chief Rotimi Akeredolu (SAN), Prince Olumuyiwa Oniye, Chief Tayo Alasoadura, Comrade Sola Iji and others, after a meeting with the governor at the Government House, Osogbo, Osun State...yesterday

We are for ACN victory in Ondo, say aspirants

NDO State Action Congress of Nigeria (ACN) aspirants yesterday resolved to present a common front to confront the candidate of the Labour Party (LP), Dr Olusegun Mimiko, in the October 20 election. Twelve of the aspirants met in Osogbo, the Osun State capital, to endorse the processes leading to the emergence of a governorship candidate, who may be officially named by the

racy, as being witnessed in all ACN states. “We have reviewed all the processes and procedures leading to the final endorsement of one of us as the candidate of the party and the structures and strategies aimed at winning the October 20 election. “We are committed to the emergence of ACN government in Ondo State. We shall do everything within our

power to ensure that our great party emerges victorious. We shall work for the ACN to emerge victorious in Ondo State and enjoin our coaspirants, who are unavoidably absent at this meeting, to join hands with us. “We hereby call on all our members not to be distracted by enemies of our collective resolve. Our hope is renewed and we are confident of victory.”

Pension scam: Senate to grill task force chief Maina

Osun monarchs call for improved security

HE Senate has said it will invite the Chairman of the Pension Task Team, Mr. Abdulrasheed Maina, on the mismanagement of over N273.9 billion pension fund. The Chairman of the Senate committee which investigated the scam, Aloysius Akpan Etok, broke the news in Abuja. He said a fresh letter of invitation would be sent to Maina today.

By Emmanuel Oladesu, Deputy Political Editor

party leadership this week. Signatories to the “Osogbo Declaration” are: Mr. Festus Oluwole, Senator Omololu Meroyi, Mr. Olutayo Aribo, Senator Ajayi Borofice, Mr Wale Akinterinwa, Mr Jayeola Ajatta, and Mr Abegunde Ifedayo. Others are: Comrade Sola Iji, Chief Tayo Alasoadura, Mr

From Onyedi Ojiabor, Assistant Editor

The lawmaker noted that based on the resolution of the Senate, Maina is expected to appear before the committee before the week runs out, failing which he risks a warrant of arrest. Etok declined comments on the specific issues Maina would be grilled. He, however, hinted that “the decision to summon him

Rotimi Akeredolu (SAN), Mr. Ayodele Adedipe and Prince Oniye Olomoyewa. In a statement at the end of the meeting, the governorship contenders, under the aegis of “Forum of aspirants of Ondo State ACN”, noted that the people of the state have been short-changed by the LP government. The forum said: “There is an urgent need for Ondo State to enjoy the dividends of democ-

again is in consonance with the resolution of the Senate”. The Senate Joint Committee on Public Service and Establishment and States and Local Government Administration had recommended, among other things, that Maina and all members of his team be arrested and prosecuted by the police for “the crimes of embezzlement, fraud, misappropriation, misapplication, illegal virements, contract splitting, award of contracts to non-

existing companies, outright stealing of police pension funds, among others”. The committee also recommended that the Maina-led task team be immediately disbanded “as its continued existence and usurpation of statutory functions and violation of extant laws is illegal as also recommended by the two former Heads of Service, Chief Steve Oronsanye and Prof Adedapo Afolabi as well as the incumbent, Alhaji Isa Bello Sali”.

Rotary Club to fight polio with peace

OTARY Club 9125 is to use peace to reduce violence that has stifled the progress of polio vaccination in parts of the country. Its new District Governor, Felix Obadan, spoke in Abuja at the weekend during a fund raising dinner in his honour. Personalities at the event include Niger State Governor Babangida Aliyu; his Bauchi State counterpart, Mallam Isa Yuguda; the Minister of Health, Prof. Onyebuchi Chukwu; elder statesman, Chief Edwin Clark; Senator Oluremi Tinubu, House of Representatives members, Kamil Olasunkanmi and Austine Opara, Brig.-Gen. Theophilus Bamigboye (rtd), Col. Rasheed Shekoni (rtd), Haruna Ibrahim, Mai Kaltungo and Deputy Chairman of the Gombe State Council of Emirs and Chiefs, Alhaji Saleh Mohammed, among others. Obadan assured Gombe State residents of the club’s support against snake bites. In conjunction with Greenwich University, the club donated 700 antidotes to the community. The district governor decried the negative effect of violence on the fight against polio eradication, saying it is not impossible to wipe out polio in Nigeria. He said: “In line with this year’s theme of Pace Through Service, we are going to pursue peace-building in the district because, more than anything in Nigeria today, we need peace.

From Dele Anofi, Abuja

“Whatever we are planning to achieve, without peace, it will be impossible. This is one of the challenges we are facing now on polio vaccination that will be carried out by vaccinators who cannot go to high-risk areas. “Ironically, these high-risk areas are also the places with high security challenges. So, if we can build peace, we will be able to send in these vaccinators to the high-risk areas and deal with polio there. “We need to eradicate polio in this country. The whole world is looking up to Nigeria

to get it through. India, with over 1.2 billion people, has just eradicated it, compared to Nigeria that has less than 200 million people. “It is not impossible to eradicate it in this country, but we need peace. That is why we intend to pursue the theme with vigour. We will organise symposia, workshops, conferences and whatever it takes in every area of our district to build peace and bring people together as well as encourage them to serve the community selflessly. “We believe that when you render service to people and assist them, there will be less

tendency to embark on violence.” As at Friday, over 90 people had been hospitalised at the General Hospital in Kaltungo, Gombe State, according to the monarch, Mai Kaltungo, Alhaji Saleh Mohammed. He said the hospital was in a terrible state. Niger State Governor Babangida Aliyu urged Nigerians, especially public servants, to embrace transparency, accountability and volunteerism of the Rotary Club in discharging their duties.

Oil firm to buy Nigerian assets in $850m deal

ERITAGE Oil has agreed to buy a stake in a string of Nigerian oilfield assets, known as OML 30, in a deal the company yesterday said would diversify its portfolio and significantly increase its production capabilities. The oil firm and its Nigerian partner, Shoreline Power, have agreed to buy a 45 per cent

stake in OML 30 from oil majors Shell, Total and ENI. They will also buy a further 45 per cent stake in other assets under the joint operating agreement for OML 30, which includes a segment of the Trans Forcados pipeline, for a total cash consideration of $850 million, net of costs. “The acquisition of OML 30 is transformational for Heri-

tage, providing a material change in production and reserves,” Heritage Chief Executive Officer Tony Buckingham said in a statement. Nigeria is Africa’s leading oil producer. Heritage said the OML 30 deal would increase its net production to around 11,350 barrels of oil per day (bopd) from 605 at present.

Ogun community to Amosun: save us from epidemics

ESIDENTS of Ota, Ogun State, have urged Governor Ibikunle Amosun to save them from epidemics. The appeal foll owed the abandoning of a body on the Abeokuta Expressway in the past four days. The body was still lying at Gateway bus stop in Ota yesterday afternoon. A resident, Timothy Babatunde, said: “The

By Olalekan Ayeni

man is a lunatic. He had been staying there (bus stop) for a long time. His body has been there for over four days and it is decomposing. This is a danger to the health of the people in the area. “We are appealing to Governor Amosun to come to the aid of the residents to remove the body.”

From Adesoji Adeniyi, Osogbo

ORTY-THREE traditional rulers in Osun State at the weekend said there is need to improve security in their communities, the state and the country. Rising from a meeting in Osogbo, the state capital, at the palace of the Ataoja, Oba Jimoh Olanipekun, the monarchs from the Osun Central and West Senatorial Districts urged security agencies to be proactive in their duties. They include the Akirun of Ikirun, Olufon of Ifon-Osun, Aragbiji of Iragbiji, Olobu of Ilobu. The monarchs said the time has come for security operatives to adopt a well coordinated strategy to forestall the breakdown of law and order. In a communiqué by their Secretary, the Aragbiji of Iragbiji, Oba Abdulrasheed Olabomi, after the meeting, the monarchs, under the aegis of the Osun Divisional Conference of Obas, urged Osun State residents to be vigilant. They warned the people in various communities to be security conscious and monitor strangers, particularly in places of worship, and examine their bags and luggage. The monarchs reaffirmed their support for the programmes and policies of the Rauf Aregbesola administration, saying they could transform the state. They urged local security outfits, including the vigilantes, to work together to secure the lives and property of the residents. The traditional rulers advised the people, irrespective of their religious or political affiliations, to cooperate with the government in its efforts to transform the state. The monarchs commiserated with the people of Iloko-Ijesa in Oriade Local Government Area and Ikotun in Egbedore Local Government Area on the death of their traditional rulers.

THE NATION MONDAY, JULY 2, 2012

NEWS Oyo to introduce NHIS, Abiyamo programmes

YO State Governor Abiola Ajimobi has said his administration would soon introduce the National Health Insurance Scheme (NHIS) to improve the healthcare delivery of his administration. The governor spoke in Ibadan, the state capital, when he received the Health Minister, Prof. Onyebuchi Chukwu. He noted that the Abiyamo programme, being proposed by his administration, would come on stream in the next two weeks. Ajimobi said the scheme would be community-based and that all strata of the society would be involved to improve the health status of the people. The governor expressed his administration’s commitment to the eradication of malaria, which he described as one of the highest killer diseases in the state. He noted that it would do the residents a lot of good if malaria is wiped out.

•Ogun State Governor Ibikunle Amosun (middle); his deputy, Prince Segun Adesegun (second left); the state Chairman, Action Congress of Nigeria (ACN), Alhaji Tajudeen Bello (left); House of Assembly Speaker Suraj Ishola Adekunbi (second right); and the Secretary, Adewole Adeniji, at a meeting of the party’s leadership with former chairmanship aspirants and candidates in the forthcoming local government elections, in Abeokuta...at the weekend.

‘Ondo ACN deserves victory in October’

NDO State Action Congress of Nigeria (ACN) governorship aspirant Dr Olu Agunloye yesterday urged party members to close ranks and focus on the October 20 governorship election in the state. He said: “Our efforts and activities as well as the mood of the people indicate that ACN is on the verge of victory and all hands should be on deck to ensure power shift from Labour Party (LP) to our great party.” The former Mines and Power Minister said his Omoluabi Platform, which has tentacles in the 18 local government areas, would be available for the governorship candidate, immediately he is named by the party leadership. He dissociated himself from the rumour that he would defect from ACN, if he is not picked as the flag bearer. Dr Agunloye said the rumour was the handiwork of detractors who were deliberately peddling falsehood to tarnish his image. He said: “I have invested a lot in ACN in Ondo State. I am not a stranger in the party. I am a top stakeholder. The governorship ticket is not the end of life. I have a big stake in the party and there is no way I can be ignored when the time is ripe for compensation for loyal party members. I am still

•Agunloye: my ambition is power shift from LP

Group vows to resist rigging

FRONTLINE politician in Ondo State and Vice-Chairman of the Nigerian League of Democrats (NLD), Mr. Femi Johnson, at the weekend said the group would align with the Action Congress of Nigeria (ACN) to unseat Governor Olusegun Mimiko in the October 20 governorship election. Johnson, who was a Senior Special Assistant (SSA) on Youth, Planning and Strategy to the former governor, Dr. Olusegun Agagu, said the group has put in place the machinery to prevent the ruling Labour Party (LP) from rigging the poll. He said members of the group in the Southwest were holding talks on how to ensure the legitimate victory of the ACN at the poll and make the election hitch-free. The politician said the group’s decision to align with ACN is in conformity with the report of a five-man committee it set up to review the past and present achievements of political parties in the Southwest. Johnson noted that ACN is a progressive party that has the interest of the people at heart. According to him, the party deserves the group’s support to liberate the residents from political captivity and economic hardship under the Mimiko administration. He said members of the groups would resist any attempt by any political party to rig or influBy Emmanuel Oladesu, Deputy Political Editor

an active senior member of the party.” The former minister, who spoke on phone, admitted that “losing the ticket after a hard

From Damisi Ojo, Akure

ence voters during the election. Johnson said the groups would meet in Osogbo, the Osun State capital, next month to deliberate on all issues that might affect the conduct of the election. He said: “We have unanimously resolved to throw our weight behind ACN in the forthcoming governorship election in Ondo State, and we are very optimistic that ACN will triumph in the election. “The Regional Integration Agenda of the party is very crucial to us and that is why we have come up with our resolution on the election. An election is not about making unnecessary noise. It has to do with planning and strategy; that is what we are doing. “Whoever knows Mimiko should tell him to forget about the election because the pendulum will not swing to his side. Those that are singing praises of his re-election are looking for what they will eat. “We know the stand and position of Ondo State people on the October election. Birds sing the same songs. Their position is our position.” The politician urged the leadership of ACN to pacify aggrieved aspirants and party members on any issue that may surface in the course of picking the party’s candidate.

work is a bitter pill”. He, however, noted that the interest of the party should supersede personal ambition. Dr Agunloye added: “We have swallowed it with all pleasure and moving on to work for the party. We must work

harder for victory so that we can all enjoy the fruit’s of our collective labour.” The politician urged his supporters to remain calm, committed and steadfast so that their hard work for the party would not be in vain.

Why I wrote Jonathan to reinstate HE Alaafin of Oyo, Oba Salami, by Alaafin Lamidi Adeyemi, has explained why he wrote

President Goodluck Jonathan to reinstate the suspended President of the Court of Appeal, Justice Ayo Salami. Oba Adeyemi, who said it is important for Dr Jonathan to uphold the principle of rule of law, noted that it is his responsibility to fight injustice. Speaking at the weekend in Osogbo, the Osun State capital, at a book presentation in honour of the Akinrun of Ikirun, Oba Rauf Olayiwola Adedeji, the first-class monarch said he urged the President to ensure justice in the matter by implementing the recommendations of the National judicial Council (NJC), which directed that Justice Salami be reinstated. The monarch, who is the Chairman of the Oyo State Council of Traditional Rulers, visited Governor Rauf Aregbesola at the Government

From Adesoji Adeniyi, Osogbo

House in Osogbo. Oba Adeyemi said it is the tradition of every Alaafin to stand up against injustice and protect the people from a misapplication of the law. According to him, by writing the President to be just in the Justice Salami case, he is only following the tradition of his ancestors, who never tolerated any form of social injustice. He said: “Basically, somebody must challenge social injustice. Somebody must act to defend the interest of the Yoruba race. At different times in the history of Yorubaland, past Alaafins had not been found wanting. “My own intervention in Justice Ayo Salami’s case is not the first occasion where the Alaafin

would rise up to defend the cause of the Yoruba nation. When the French were making inroad into the Yoruba nation, around 1880 AD, my greatgrandfather, Oba Adeyemi I, had to write to the British to intervene. At that time, there was an internecine war in Yoruba land. The British came, intervened and the Yoruba nation was saved. “The Alaafin also wrote the British to bring enlightenment and education to the Yoruba nation. In 1883, the Alaafin signed a treaty with the British to open Yoruba land to commerce and trade. So, I am just following the tradition of every Alaafin in standing up to the cause of the Yoruba race.” The monarch warned that unless the political structure of the nation is redesigned from its present unitary system, Nigeria may be at risk.

•Oba Adeyemi

He noted that all over the world, a multi-ethnic, multicultural, multi-religious and multi-lingual country, like Nigeria, must balance its differences by operating a federal system of government. Oba Adeyemi urged the Federal Government to reduce its powers and fortify the federating units the more for the nation to grow and progress steadily.

Driver kills corps member in Ondo From Damisi Ojo, Aikure ATIONAL Youth Service Corps (NYSC) members in Akure, the Ondo State capital, were bereaved at the weekend when a reckless driver hit and killed one of them. The deceased, Mr. Olaniyan Tosin Michael, with call-up number 0D/11c/0301, was said to be on his way to the venue of the weekly community development service when he was killed. It was learnt that the driver, Mr Olaoluwa Fasemo, is a worker at Coopcocoa Industry in Akure. He was allegedly on excessive speed. Olaniyan was crossing the road to the Akure South Local Government Area’s secretariat at 9am. One of the corps members, Miss Kemi Omilana, said the noise of passersby drew the attention of everybody to the scene. She said most of the corps members, who were already inside the council secretariat, rushed to the scene. They discovered that Olaniyan was lying in a pool of his blood. The corps member said the driver abandoned his vehicle in the middle of the road and ran away following the incident. The deceased was reportedly rushed to the state hospital in Akure and was later referred to the Federal Medical Centre in Owo, where he was confirmed dead a few hours later. The Public Relations Officer of the NYSC in the state, Mrs. Christy Olatoye, said Olaniyan hailed from Aramoko-Ekiti. She said the state NYSC was shocked by the death. Mrs Olatoye said the state NYSC had informed the family of the deceased, whose primary assignment was at Goodnews Grammar School, Fadeyi Street, Osinle, Akure. The spokesperson said the state NYSC would play its part in the burial of the deceased. Police spokesman Adeniran Aremu confirmed the incident. He said the driver has been arrested and his vehicle impounded. Aremu said investigation into the matter has begun and that the suspect would soon be charged to court.

Ogun rescues 20 lunatics, 32 others for rehabilitation From Ernest Nwokolo, Abeokuta

HE Ogun State Government has begun evicting beggars, the destitute and vagrant lunatics from the streets and other public places for rehabilitation. The Ministry of Women’s Affairs and Social Development started the exercise in Abeokuta, the state capital, at the weekend. Fifty-two persons, comprising 22 beggars, 10 destitute and 20 vagrant lunatics, have been evacuated. The commissioner, Mrs. Elizabeth Sonubi, told reporters that the ministry plans to empower the affected persons instead of watching them roam the streets, begging for alms and constituting threats to the public. Mrs Sonubi noted that the affected persons would undergo skills acquisition and vocational training to enable them become selfreliant, productive and useful to themselves and the society. She said: “The next step after this raid is to rehabilitate, empower and engage them with skills to earn a living.” The commissioner decried the increasing nonchalant attitude of some families towards the welfare of their less fortunate members. She noted that this, among other factors, accounts for the reason such people have become destitute, beggars and vagrant lunatics. According to her, after rehabilitation, the beggars and destitute will be re-united with their families while the vagrant lunatics will be taken to the Neuro-Psychiatric Hospital in Aro, Abeokuta, for treatment. The Commissioner for Health, Dr Olaokun Soyinka, has urged traditional and religious leaders to cooperate with the government to free youths from illicit drugs. Dr Soyinka, who spoke at this year’s International Day against Drug Abuse and Trafficking, warned that youths in the state and other parts of Nigeria may not realise their potential as leaders of tomorrow if they destroy their lives today through trafficking and consumption of illicit drugs. The programme, with the theme: Global Action for Healthy Communities without Drugs, was organised by the state’s Drug Abuse Control Committee. Dr. Soyinka was represented on the occasion by the Permanent Secretary in the Health Ministry, Dr. Tunde Olowonyo.

THE NATION MONDAY, JULY 2, 2012

NEWS

Yakasai, Abdullahi under fire over comments on Mark

GROUP, The Middle Belt Patriots, has urged a Second Republic politician, Tanko Yakasai and former ViceChancellor of Ahmadu Bello University (ABU), Kano, Prof. Ango Abdulahi, to apologise for criticising Senate President David Mark because of his comments on the lukewarm attitude of northern leaders in dealing with the Boko Haram insurgence. In a communique after its retreat in Jos and signed by Joshua Kumsha and Stephen Mairabo, the group condemned what it described as unwarranted attacks on the Senate President. It noted that Mark’s straightforward advice should not have triggered any controversy.

‘Accord Party not deregistered’

• Group demands apology From Dele Anofi,

Abuja Mark had warned that the Boko Haram killings could force people of different religions to start a religious war or even lead to the break-up of the country. He accused some of the elders of pretending to know members of the sect, just to gain relevance. The group described the reaction of Yakasai and Abdullahi as vituperations of opportunists whose stock-in-trade is to stoke the embers of disunity and further aggravate the fragile security situation in the region. It noted that the duo’s remarks were unfortunate and self-serving

and were aimed at shrouding a simple straight-forward advice into a needless controversy. The group, therefore, demanded an immediate apology from them. Besides, the group said the criticism of Mark’s unbiased assessment of the attitude of the northern leaders is not what the region requires but a conscious and conscientious attempt to stop the senseless killings in the North. According to Mark’s contributions to deepen democracy in the country has never been in doubt, adding that it’s too early in the day to forget the stabilising role he played in the days of uncertainty surrounding the death of late President Yar’Adua.

•Mark It is on record that the Senate President has piloted the affairs of the Senate in a manner that Senators from all parts of the country and of different religious persuasions have never had cause to complain of arbitrariness or sectionalism and have by so doing helped to stabilise our democracy.

Anglican Church to 25 governors: conduct council poll

OR failing to conduct elections into the local government areas in their domains, 25 governors have been berated by the Church of Nigeria, Anglican Communion Diocese of Awka, the Anambra State capital. The knock was part of its 13-point communiqué issued at the end of second session of the Ninth synod of the church held at Immanuel Anglican Church, Enugwu-Ukwu, presided over by Bishop Alex Ibezim. The communiqué was signed by the synod secretary, Venerable Clement Mgbemena. It reads: “The synod observes with disappointment the absence of democratic structures at the third tier of government in about 25 states of

•Tariff increase ‘is no solution to power problem’ From Odogwu Emeka Odogwu,

Nnewi Nigeria, including Anambra state. “Most worrisome is the fact in some of these 25 local government areas, elections have not been conducted since the exit of military from the political scene 13 years ago. “It notes that local government areas are important because they form the base of our democratic structure , as it is one of the tripods on which our three tier democratic administration stands. “The synod calls for local government elections to be conducted without further delay, so as to foster grassroots development.

“Christians should come together to remind themselves that God still rules in the affairs of men and apply the weapon of prayer to tackle the battle spiritually. For we know that the weapons of our warfare are not carnal, but mighty through God to the pulling down of strongholds as recorded in Corinthians 10: 4. “The Synod further notes with regret the unending crisis in the electricity sector, given the primacy of electricity in the economic and social life of contemporary society, the synod calls for a state of emergency in the sector with a view to kick-starting Nigeria’s economic development.

“In particular , the synod calls for the de-regulation of the sector to allow investors to stir up the sector and condemns the use of an increased tariff as the solution to the problem of electricity supply. “The synod notes with regret the obvious huge mismanagement of the oil resources of this country, which in recent times has manifested in the much publicised oil subsidy probe scandal. “The synod laments the reported mismanagement and misappropriation of well over N1 trillion by relevant institutions and groups involved in the subsidy payments for three years.

•Ekiti State Governor, Dr Kayode Fayemi (second right); Managing Director/CEO, Wema Bank, Mr. Segun Oloketuyi(right); Regional Executive, Southwest, Mr. Dele Olaolu (left) and Executive Director Mr. Nurudeen Fagbenro during a courtesy visit by the bank’s management team to the Governor, in Ado-Ekiti...at the weekend

Ebonyi CAN condems ban on religious broadcast

HROUGH its Southeast chapter, the Christian Association of Nigeria (CAN) has carpeted the Ebonyi State government for placing an embargo on the airing of religious programmes on state-owned Ebonyi State Broadcasting Corporation (EBBC). According to the association, the step taken by the government was a violation of the codes governing broadcasting in the country and urged the state to revert the decision, which it maintained was detrimental to the moral standards of children. Stating the association’s position at the weekend, Chairman of CAN in the zone, Bishop Emmanuel Chukwuma said the decision will

From Ogbonnaya Obinna,

Abakaliki not augur well for the fledgling state. The cleric, who described the decision as ungodly, obnoxious and misleading, stated that it was an infringement on the people’s freedom of worship. He further noted that the decision will not only impact negatively on the spiritual condition of the state but also entrench the reign of total darkness. His words: “I totally condemn it. In fact, it is ungodly for any state government to do so. “This decision of the government will bring about total spiritual darkness for the state and her people. This is unethical and a

complete violation of the codes governing broadcasting in this country. This ban will spell doom and total darkness for the state.” Urging Governor Martin Elechi to rescind the decision, he said it was imperative for residents to have the opportunity of watching and listening to religious programmes that would benefit them in all ramifications. The Director-General of the EBBC, Mr. Ubaka Onwuanibe, had through a June 19 memo placed a ban on religious preaching on the station. It (memo) reads: “This is to notify and inform all staff that due to an intended EBBC general programme audit all religious preaching programmes are hereby put on hold. “No new ones will also be accepted until further notice. For avoidance

HE leadership of Accord Party (A) has debunked the rumour that the party plans to sue the Independent National Electoral Commission (INEC) over its decision to deregister it for not meeting the stipulated requirements of a national party. Its National Publicity Secretary Dr Samson Isibor said Accord does not only have a wide spread in three geopolitical zones but also has eight House of Assembly members in Oyo, Anambra and Delta states and at least five House of Representatives members. Urging the public to disregard the rumour, Isibor said the party has scaled the conditions and requirements for registration under INEC. He said: “The Accord Party wishes to inform our teeming supporters and Nigerians that our party has scaled all the conditions stated by INEC. “It is, therefore, a misconception by some mischievous sections of the press to align us with those political parties without any Assembly members. The party is, therefore, disassociating itself from the so-called 52 political parties that went to court to sue INEC for the plan to be deregistered.”

Boko Haram: Don, Rep seek Muslim/ Christian dialogue By Tajudeen Adebanjo

AGOS State University (LASU) Professor of Islamic Studies, Ishaq Lakin Akintola and a member of the House of Representatives, Maruf Akinderu-Fatai, have called on Muslim and Christian leaders to unite and address the Boko Haram issue. The duo warned religious bodies not to play into the hands of the group by fighting each other. The plot of Boko Haram, Akintola said, is to create chaos between the faithful of the two religions with the intention of breaking up the country. They spoke yesterday at the fourth Merit Award of the Ansar-Ud-Deen Society of Nigeria (ADS), Oshodi branch, at Ikeja Grammar School, Bolade, Oshodi, Lagos. Among the awardees are, Akinderu-Fatai, Alhaji Mikail Badru, a former chief mechanical supervisor of the Federal Ministry of Housing and Alhaji AbdulFatai Ibraheem, a former assistant general manager with the CFAO Nigeria Limited. Akintola warned youths against any form of retaliation to the heinous activities of the Boko Haram. He said: “I want to reiterate that Islam has nothing to do with violence. The message of the Quran is very clear; it never encourages violence even while demanding for one’s rights...”

Obi honoured for financial prudence

OR Anambra State Governor Peter Obi, this is the season of awards, he was honoured at the weekend by the Enugu Anglican Diocese as the “Good Financial Planning Governor of our Time”. The award was presented to him at a service to mark the end of the first session of the 15th Synod of the Diocese at All Saints Church, GRA Enugu. Presenting the award, the Bishop of the Diocese, Rt. Rev. Emmanuel Chukwuma, said Obi has demonstrated prudence, transparency and accountability in the management of public resources for the collective welfare of all. The cleric, who recalled that the governor championed the return of schools to missions, explained that while the church remains

unrelenting in its criticism of the shortcomings and excesses of those in public offices, there is equally the need to commend those doing well. Receiving the award, Obi commended the clerics’ choice of those who have distinguished themselves in the service to humanity for their awards. He appealed to the church to continue to pray for the country and its leaders to combat the various challenges including insecurity and the prevailing global financial crisis. Obi noted that the country is grasping with the burden of high domestic debt, incurred on consumption instead of production. The governor called on leaders to promote exemplary conduct to restore decency in governance, even as he urged the people not to encourage impunity in service.

THE NATION MONDAY, JULY 2, 2012

NEWS Ex-Ondo perm sec’s wife buried

Oyo to regulate outdoor advertising

From Sulaiman Salawudeen, Ado-Ekiti

HE first wife of Chief Deji Fasuan, a retired Permanent Secretary in the old Ondo State, Mrs. Clara Fasuan, was at the weekend buried in Afao-Ekiti, the country home of her husband. The late Mrs Fasuan died on May 23. She was 70. The late Mrs Fasuan was a member of the Ajibesin/Sowemimo family of Abeokuta, the Ogun State capital. She married the former Permanent Secretary in 1963. She was an air hostess at the defunct West African Airways office in Ikeja, Lagos State, and she later joined the Production Department of the Premier Hotel, Ibadan, Oyo State, where she remained until 1976 when the old Ondo State was created. At a church service at St. David’s Anglican Church, Afao-Ekiti, Anglican Bishop of Ekiti Diocese, Rev. C.T. Omotunde hailed the deceased for contributing to the growth of the church. He said: “She was faithful to the Lord till the end of her life.” At the service were: Ekiti State Governor Kayode Fayemi, represented by his Chief of Staff, Mr. Yemi Adaramodu; Deputy Governor Mrs. Funmi Olayinka, represented by Mrs. Kehinde Daramola; Aare Afe Babalola (SAN) and his wife; Chief Makanjuola Esan; Chief Dele Falegan and his wife; and Chief Ojo Falegan and his wife. Also present were: former Ekiti State Governor Navy Capt. Atanda Yusuf (rtd), Chief Festus Famuagun, Chief Festus Daramola, Elder Wale Fasuan (a younger sibling of Chief Fasuan), and former Secretary to the State Government (SSG), Chief Bade Gboyega. She is survived by Olabisi, Folake, Gbonjubola, Olatunbosun, Olaleke and Oladunni.

•’Shabby structures to go’ From Tayo Johnson, Ibadan

•Ajimobi

YO State Governor Abiola Ajimobi has said his administration would regulate the outdoor advertising environment to rid the streets of ramshackle advertising structures. The governor spoke in Ibadan, the state capital, at an interactive session with Outdoor Advertising Practitioners

in the state. A few weeks ago, the Oyo State Advertising Agency (OYSAA) started removing badly positioned and illegal billboards from the streets. Ajimobi noted that when his administration came on board, the outdoor advertising environment was “an apt metaphor of the landscape of the state in all ramifications”. According to him, the government has been making efforts to restore the state to its past glory. He said: “The outdoor advertising and signage in the state is deplorable. It is not acceptable to our government that a high percentage of billboard structures display torn posters, some dilapidated, many completely broken down, while

some are adorned with faded posters. This is in addition to the challenge of clusters of billboards that we currently encounter.” Represented by the Senior Special Adviser on Special Duties, Mr Segun Bolarinwa, the governor noted that since April 20, when the Signage and Advertising Law was passed by the House of Assembly, it has not been easy managing the battered outdoor advertising environment. Ajimobi said: “This administration has an eye for aesthetics, and the task of making the state investorfriendly and aesthetically appealing is the government’s priority. We will ensure that the outdoor space of the state is safe and conducive for business so that both government

and stakeholders will continue to thrive.” OYSAA’s Director-General Yinka Adepoju said the agency would remove dilapidated billboards from the streets. He said the law on outdoor advertising was put in place to regulate and control outdoor advertising practice, adding that it is an offence to practise outdoor advertising in the state without being registered by the agency. Adepoju said: “The tasks before me are herculean. To succeed in this new position, it requires the cooperation of stakeholders. Our major goal is to transform the state in such a way that it will attract investors and advertisers, besides promoting economic activities, with a view to creating a win-win situation for regulators and operators in Oyo State.”

THE NATION MONDAY, JULY 2, 2012

CITYBEATS

08033054340, 08034699757 E-mail:- ynotcitybeats@gmail.com

Lagos to establish academy for community policing

Court extends arrest warrant on Lagos businessman

HERE is Lagos businessman Sunday Akinyemi, who is standing trial for allegedly stealing N90 million? This was the question at the Lagos High Court, Igbosere, where he is standing trial with his aide, Olu Osho, following the prosecution’s claim that he is in the country, but trying to avoid trial. The prosecutors said Akinyemi had been seen in church and at social gatherings. Based on this information, Justice Adeniji Adebajo extended the bench warrant he issued for Akinyemi’s arrest. At the last hearing, Justice Adebajo granted the prayer for the Economic and Financial Crimes’ Commission (EFCC) for extension of time within which to execute the bench warrant issued on June 18. Akinyemi was to be produced in court on June 28. Akinyemi and Osho are

By Eric Ikhilae

standing trial for alleged conspiracy to steal, stealing, forgery and altering. They were arraigned before the court on May 11, 2010 on a 30-count charge. The EFCC accused them of conspiring to steal about N90 million from Texas Connection Ferries Limited. When the case was called on June 28, the prosecutor, Rotimi Oyedepo, told the court that the EFCC was yet to execute the bench warrant. He said the commission was doing all it could to get Akinyemi and sought an adjournment to July 18 to enable the EFCC produce him. The defence counsel, A. K. Ishola-Oshobu, for Akinyemi and A. O. Olaleye for Osho, did not oppose Oyedepo’s application. The court granted Osho bail last year, but ordered Akinyemi remanded in Ikoyi prison, despite his

claim that he was ill. While in prison, his lawyer, Femi Falana, secured his release on medical ground. In an application before Justice Mohammed Idris of the Federal High Court, Lagos, Falana secured Akinyemi’s bail on the ground that he is suffering from cancer. In his judgment on a fundamental rights application by Falana, Justice Idris ordered Akinyemi’s release on the ground that he was suffering from cancer. Justice Idris held that an accused must be kept alive to face trial. Akinyemi has not been to court since then, despite his lawyer’s claim that he is not running from trial. According to his lawyer, he will make himself available for trial, once he is considered medically fit. Akinyemi and Osho were arraigned by the EFCC on March 16, 2010 before Jus-

By Miriam Ndikanwu

•Akinyemi

tice Oke Lawal of the Lagos High Court. On March 24, Justice Lawal refused him bail because of his alleged

criminal record. The case was later transferred to Justice Adebajo following a petition by Akinyemi.

Mushin people are committed Awoists, says Fashola

AGOS State Governor Babatunde Fashola has reflected on the politics of Mushin, a Lagos suburb, praising the commitment of its leaders and their followers to the ideals of Awoism. He spoke at a lecture entitled: “Mushin in Lagos: The past in the present,” delivered by Emeritus Professor of Anthropology from the University of Pennsylvania, United States, Prof. Sandra Barnes. The lecture, which held at Malaria Research Auditorium, Lagos State University Teaching Hospital (LASUTH), Ikeja, was organised by the Obafemi Awolowo Institute of Government and Public Policy, in conjunction with Lagos State University, Ojo. The Institute’s DirectorGeneral, Prof. Adigun Agbaje, reiterated the centre’s commitment to research and development, saying more scholars would be invited to share their experience on contemporary socio-economic and political issues. Chairman of the ceremony and National Chairman,

• Sandra Barnes frowns at neglect of populous slums By Emmanuel Oladesu, Deputy Political Editor

Action Congress of Nigeria (ACN) Chief Bisi Akande, who also doubles as the Institute’s Board of Trustees (BOT) chairman, thanked Prof. Barnes for documenting an aspect of the history of Mushin for posterity. Also at the lecture were Special Adviser on Regional Integration to Fashola, Rev. Tunji Adebiyi, who represented the governor; LASU Vice Chancellor Prof. John Obafunwa; his deputy, Prof. Dapo Asaju; former University of Ibadan Vice Chancellor, Prof. Femi Bamiro; renowned essayist Prof. Adebayo Williams; Prof. Sophie Oluwole; Mrs. Francesca Emanuel; Senator Ganiyu Solomon; Hon. Dauda KakoAre; Mr. Ibukun Fakeye; Dr. Jide Oluwajuyitan; Mr. Odia Ofenum; Mr. Kunle Abimbola and Dr. Wale Adebamwi. Barnes lived in Nigeria for five years, spending four of the years in Lagos. As a teach-

er, anthropologist and community researcher, she took special interest in rural living, prospects of urbanisation and peculiar vices associated with a crowded environment in Lagos. Her excursion into the past brought to the fore the memory of foremost Mushin leaders, including Pa Rafiu Solomon; Alhaji Lateef Jakande; Alhaji Olatunji Hamzat and Mr Lawani Oluwo (aka Omo Pupa), whose activities shaped political history in the area. Prof. Barnes drew attention to the tendency of a growing community sandwiched by rural suburb and cosmopolitan Lagos, which, judging by its closeness to the sea is another civilisation harbour. She spoke on the relationship between the extreme social behaviour exhibited by Mushin people neglected by successive administrations, stressing that, that also accounted for its eternal label as a dreadful zone. Mushin was caught in the web of political struggles

between the defunct Western Regional Government and Federal Government, which had sought to make Mushin, Apapa and Ikorodu part of federal territory. The scholar warned against the neglect of backward, populous areas, saying it is inimical to the growth and sustenance of mega city projects. Fashola through Adebiyi applauded the guest lecturer for her abiding scholarly interest in Africa, particularly Lagos, saying other researchers would build on her work. He paid tribute to the political sagacity of Mushin, whose people he described as committed Awoists who have also played progressive politics from pre-independence era. The governor recalled that Mushin is an agricultural hub and supplier of food stuffs to Lagos before mansions sprang up from those farmlands of yore. He said when politicians fought for the soul of Mushin

How to achieve true federalism, by Gbajabiamila

INORITY Leader of the House of Representatives Femi Gbajabiamila has suggested how true federalism can be attained. According to him, it can be attained through a gradual amendments. He spoke at the University of Lagos (UNILAG) when members of the Justice Kayode Eso Student Chambers of the Faculty of Law gave him and Lagos State House of Assembly Speaker Adeyemi Ikuforiji outstanding leadership awards during their Annual Law Week programme. In a keynote address which centered on the feasibility of true federalism, Gbajabiamila said: “true federalism is feasible in Nigeria and it can be achieved in a gradual constitution amendment process. The process, he said, could go through, at least, three

•UNILAG law students honour Rep, Ikuforiji, others By Oziegbe Okoeki

consecutive constitution amendments speaking up to six to eight years to arrive at a true semblance of federalism where the autonomy of states, state policing, resource control and revenue allocation based on derivative principles would be prioritised both in theory and practice. Ikuforiji said it was time Nigeria re-enacted the era of true federalism as witnessed during the first republic when the regional governments developed at an even pace and were competing healthily with one another at ensuring that their people fared better than those of other regions. He praised the students for their insights in planning

such an event as well as their comportment and moral etiquettes. Their attitude and organisational acumen speak volume of the quality of moral and academic teaching at UNILAG, Ikuforiji said. Chairman of the occasion, Prof. Oyewole Oyewo, the Dean of the Faculty of Law, stressed the import of the legislature in the constitutional development of any polity, adding that the achievement of true federalism depends largely on the commitment of lawmakers at the state and federal levels since they are the makers and custodians of the law. The programme was also in honour of former Supreme Court Justice Kayode Eso, who will be 87 in September.

Guests and students extolled Justice Eso. Other recipients of the leadership award were Hon. Lanre Ogunbote, a member of the House of Representatives representing Epe Federal constituency, Mr Kunle Akinrimisi and Mr Moses Siasia, an aide to President Goodluck Jonathan. Members of the Lagos State House of Assembly at the event include; Dr Razak Balogun, the Chief Whip, Hon. Segun Olulade, Chairman, House Committee on Information, Strategy, Security and Publicity, Hon. Bashir Oloto, Vice-Chairman, House Committee on Transportation and Hon. Muyiwa Jimoh, Vice-Chairman, House Committee on Local Government and Chieftaincy Affairs

in the days of hot regional politics, its people refused to desert the late Chief Obafemi Awolowo, who was serving a 10-year jail term in Calabar. Fashola praised his predecessor, Asiwaju Bola Ahmed Tinubu, for halting the neglect of Mushin by fighting infrastructure decay in the area. He said: “Government will continue to provide social amenities for Mushin and factor it in the on-going implementation of mega city project.”

THE Lagos State Government has announced plans to establish a training academy for the retraining of Neighborhood Watch officials to ensure effective grass roots security. Commissioner for Rural Development Cornelius Ojelabi disclosed this during the monthly interactive session of the ministry with leaders of Community Development Committees in the 20 Local Governments and 37 Local Council Development Authorities and Chief Watchers of Neighbourhood watch in the state. He said the plan was in furtherance of the government’s commitment to strengthening Neighbourhood Watch personnel to meet the challenges of community policing. The academy will be open for both graduates and other personnel who will be employed and trained in various acts of policing. To Ojelabi, the volatile security challenge currently being witnessed in the northern part of the country, informed the need for the government to encourage young people to key into its agricultural programme that will serve as a strategy to address food crisis. He tasked leadership of the CDCs on the need to caution youths in their neigbourhood to stop harassing contractors handling government projects.

Nollywood star Funke Akindele, Yaw, Banky W, others lift Olympic torch By Mercy Michael

IGERIA frontline showbiz personalities Funke Akindele, Yaw, Banky W, Shasha P yesterday, joined top notch football star, Kanu Nkwakwo, to carry the Olympic torch in Birmingham, United Kingdom for the stipulated 300 meters. The event made the 44th day of the 80-day on-going Olympic torch bearing relay. The relay, which kicked off on May 19, when the first torch was lit by former England football captain, David Beckham, will end on July 27, marking the beginning of the Summer Olympics to be hosted by London. Reacting to the feat, first lady of storm, Shasha said: “I am so excited to be a part of this history, when I was notified that I had been selected in March I couldn’t stop smiling, but I wasn’t allowed to share the information yet, it is a great honour and opportunity I will not take for granted; God is truly amazing!” For Funke Akindele, the achievement continues to make her a news material on the Nigerian entertainment scene. Indeed, Funke has shown that she understands show business and is on top of her game.

THE NATION MONDAY, JULY 2, 2012

NEWS EDO 2012

ACN warns against rigging

HE Action Congress of Nigeria (ACN) has warned against rigging the July governorship election in Edo State. In a statement in Lagos yesterday by its National Publicity Secretary, Alhaji Lai Mohammed, the party said the warning became necessary in view of the desperation of the People Democratic Party (PDP) to capture Edo State. The ACN said the PDP is desperate to win Edo State as a trophy for its Chairman, who is bent on ensuring his party wins the first election under his chairmanship and also as a foothold for President Goodluck Jonathan’s presumed ambition for 2015. It said events leading to the election have shown that the PDP is bent on creating an atmosphere that will be hostile to the holding of a free, fair and transparent poll. It urged its members and supporters in Edo State to resist any attempt by the PDP to rig the poll, saying they must not only

By Tajudeen Adebanjo

turn out en masse to vote for Oshiomhole, on the basis of his performance in office, but must also stay behind until the votes have been counted and the result announced, contrary to the ‘vote and go’ rigging strategy of the PDP. “In the years since Nigeria’s return to democratic rule in 1999, the PDP has evolved from bare-faced rigging on election day to a new system in which the ruling party, in collusion with malleable and unpatriotic security agencies, makes free and fair elections impossible by intimidating the opposition and instigating violence ahead of voting, thus paving the way for the imposition of a ‘curfew’ on election day that will ensure voters only come out to vote and return home, handing the PDP and its cohorts in INEC and security agencies a carte blanche to determine the outcome of the voting. “Already, the trend is glaring: At least two attempts have been made on the life of Governor

Oshiomhole, first when a truck rammed his convoy and killed many into after narrowly missing him, and last week when suspected political thugs attacked the governor, top government officials and ACN stalwarts in Usen town. Add that to the cold-blooded killing of the governor’s Principal Private Secretary Olaitan Oyerinde, and the evil machinations against the Governor and his party begin to manifest. “The strategy is simple: Go after the governor and scare off his teeming supporters, and then hope they will fight back, thus precipitating chaos that will then be capitalised upon by the PDP Federal Government to declare a curfew, at best, and a state of emergency, at worst. But while we urge our members and supporters to be peaceful and to resist playing into the hands of the PDP, they must be vigilant, they must know that it is against the Electoral Act for anyone to ask them to leave the polling station after voting. They must not leave until the

votes have been counted and the results announced,” the party said. ACN said what happened in 2011 must not be allowed to repeat itself, when gullible international observers, after witnessing a seemingly orderly process in which patriotic voters queued and cast their votes, then returned to their hotels to declare the elections free and fair, without witnessing the events at the collation centres where most of the rigging took place. The party said the PDP is more emboldened to manipulate elections now, knowing full well that it has almost emasculated the judiciary, which gave respite to some of the candidates who were robbed in the previous elections, and also because it has muscled through a constitutional amendment that prevents robbed candidates from getting justice after 180 days. It advised President Goodluck Jonathan to pull the brakes on the runaway rigging

Crown Prince lauds Oshiomhole

•Mohammed

train of his party before it derails the nation’s democracy under his watch. The party said: “If the PDP is as popular and acceptable to Nigerians as it claims, why is it afraid of a free and fair election? If President Jonathan believes his party is the only truly national party that can meet the yearnings and aspirations of Nigerians, why is he unwilling to call his party to order now that it is bent on pushing the nation into the abyss of violence through election rigging?”

CNPP to Jonathan: ensure free, fair poll From Gbenga Omokhunu, Abuja

THE Conference of Nigeria Political Parties (CNPP) yesterday urged President Goodluck Jonathan to ensure that the governorship election in Edo State is free and fair. The CNPP said Jonathan should not disappoint Nigerians by favouring his party, the Peoples Democratic Party (PDP). According to a statement in Abuja by the National Publicity Secretary, Osita Okechukwu, CNPP said: “Conference of Nigerian Political Parties (CNPP) challenges President Goodluck Jonathan, to muster the political will to actualise the proclamation he made yesterday in Benin, ‘I guarantee hundred per cent security for your election and there will be no manipulation, election results will be entered at the various units and nobody will change figures.’ “We are refreshed with Mr. President’s proclamation and call for proper follow through; as the recent political killings in Edo State have been astonishing, especially the killing of Comrade Olaitan Oloyede, principal secretary to the governor. It is on record that neither the killers have been found nor anybody arrested in connection with the killing. A few days ago, Governor, Adams Oshihmole narrowly escaped death.”

•President Goodluck Jonathan exchanging pleasantries with Edo State Governor Adams Oshiomhole during his visit to Benin City ...on Satrurday. Watching is Vice-President Namadi Sambo

THE Crown Prince of Benin Kingdom and Nigeria’s former Ambassador to Italy, Prince Ehenede Erediauwa, has commended Governor Adams Oshiomhole for the massive development in Benin Kingdom. Prince Erediauwa spoke in Benin City at a reception to mark his return from ambassadorial tour of duty. He said: “I’m not campaigning. I’m just stating the facts. I’m following my father’s footsteps. So, I want to thank the Comrade Governor. So, the prayer that our father said we should pray for the gubernatorial candidate that God has made it to come through, that God has brought it to reality in the person of my friend, not political friend but personal friend, God has brought it to fruition in the person of Comrade Governor ably supported by his Deputy, Pius Odubu.”

Labour roots for governor THE youth wing of the organised labour at the weekend in Benin held a rally in support of the re-election of Governor Adams Oshiomhole. Speaking at the rally, Oshiomhole challenged the Peoples Democratic Party’s (PDP) candidate, Maj.-Gen Charles Airhiavbere (rtd) to join him on a walk round the markets in Benin City to test their popularity with the electorate. The President of the Nigeria Labour Congress (NLC), Comrade AbdulWaheed Omar, said: Oshiomhole has proved that union leaders can be good administrators. The President of the Trade Union Congress (TUC), Comrade Peter Esele, said the people want continuity of progress. Esele said: “Oshiomhole is excellent. If he has delivered, why do you want somebody else?”

INEC chair Jega condemns violence

HE chairman of the Independent National Electoral Commission (INEC), Prof. Attahiru Jega, has described as worrisome the political violence in Edo State. Prof. Jega spoke with reporters in Abakaliki at the weekend. He was in the Ebonyi State capital for a one-day workshop for election stakeholders, with the theme: “Appraising the role of stakeholders in sustaining credibility and transparency in elections”. Jega was represented by a National Commissioner and the Chairman of the Board of

From Ogbonnaya Obinna, Abakaliki

Electoral Institute of the commission, Prof Lai Olurode. The INEC boss blamed political violence on the win-atall-cost syndrome of politicians. Jega said: “It is frightening and INEC is worried about the safety of even those who are going to work during the election and deliver on a credible, feasible, fair and free election. “There is a kind of spectre of violence and this does not augur well, it may affect the lives of the youth corps members and you know what we had to do to convince the NYSC management

to release these youth corps members after the massacre in some parts of the country in previous election. If the orgy of violence continues how do we convince the NYSC of the safety of their corps members. “Politicians should see politics as an investment to human lives. If you want to kill the same people you say you want to serve, how do you convince them that you want to serve them? “Not too long ago, an assistant to Edo State governor was killed. The signals coming from there is disturbing and the signals they are sending to the international com-

munity is that we cannot organise ourselves, that we cannot run an election in a state of less than two million voters. How do people begin to trust Nigeria? How do they begin to see Nigeria as an investment haven? How do we expect them to bring there resources here and invest? “What we are communicating to the world is that we are not ready for the rule of law, we are not ready to allow the people’s choices to be the only recruitment scale of the country’s leaders. And whether we like it or not the most popular form of leadership recruitment is that which allows the people to have a say

in preference aggregation. “You cannot appropriate for the people of Edo sate no matter how powerful you are, you can’t do that. You should allow the people to have a say. You drown the people’s voice in the activities of the party. “The activities of some political parties and political leaders in Edo State imply that there is no need for people to come out and vote but that they would determine for them by force. This doesn’t augur well for us. If you lose this time, there is still another time. It is not the end of life. Let people start being civil in election administration in this country.”

MONDAY, JULY 2, 2012

POLITICS THE NATION

E-mail:- politics@thenationonlineng.net

COUNTDOWN TO EDO 2012 At a Peoples Democratic Party (PDP) rally, former chairman of the party’s Board of Trustees (BoT) Chief Tony Anenih described his presence alongside two-time governor” Dr Samuel Ogbemudia and Chief Gabriel Igbinedion, the Esama of Benin, as the “complete circle.” Correspondent OSAGIE OTABOR explains why the “circle” may fail to deliver the victory PDP badly wants.

Can Anenih, Ogbemudia and Igbinedion give PDP victory? T WO weeks to the Edo State governorship election, the Peoples Democratic Party (PDP) has rekindled hope in its ability to defeat the ruling Action Congress of Nigeria (ACN) in the July 14, election. This position received some boost following last weekend’s campaign by the major opposition party led by President Goodluck Jonathan and Vice President Namadi Sambo. Aside the presidential train, it was the first time in recent times that the trio of two-time governor of the defunct Bendel State, Dr. Samuel Ogbemudia, former Chairman of PDP Board of Trustees (BoT), Chief Tony Anenih and Chief Gabriel Igbinedion, the Esama of Benin, came together and resolved to take back the state their party ruled for 10 years. At the party’s rally at the Samuel Ogbemudia Stadium, Benin City, the former BoT chairman declared with relish and much confidence that the presence of Ogbemudia and Igbinedion at the rally meant something more than the ordinary. He described their presence as a “complete circle”. He reminded the audience that it was the first time that the three would be at a campaign rally in the state since the return of democratic governance in 1999. The three chieftains of the party from the state were not the only bigwigs who graced the campaign. Indeed, the vice president, Namadi Sambo, who is the chairman of the Edo 2012 Election Committee for the PDP, was also present. In Anenih’s words: “With the presence of Dr. Samuel Ogbemudia and Chief Gabriel Igbinedion, the Esama of Benin at this rally, the circle is complete”. Also there to boost the hopes of the PDP supporters and faithful was Captain Hosa Okunbor and his Oghomwan group. To many, the July 14 election is a straight two-horse race between the ACN and the PDP. But they also hold that it is now more like a straight

•Oshiomhole

fight between the incumbent Governor, Comrade Adams Oshiomhole and what is now referred to in political circles as the “old triangle”. The combined support of the trio of Ogbemudia, Anenih and Igbinedion is perceived by PDP supporters across the state and even outside it as very crucial to their winning the polls. They believe that it was possible for Governor Oshiomhole to win the election in 2007 because of the support given him by Chief Igbinedion. However, ACN chieftains have dismissed the new found love between the trio as “insignifican and inconsequential”. They contend that the sterling performance of the governor has already won the election for the ruling party. As an encore, after the rally, Chief Anenih paid Igbinedion a private visit where crucial discussions were said to have been held. The relationship between the trio hit the rock during the second tenure of Lucky Igbinedion over who

•Anenih

•Ogbemudia

should take control of the soul of PDP. The imbroglio was carried over to the 18 month-administration of Prof. Osherheimen Osunbor. PDP members were divided between what they regarded as the A and O factions. Prof. Osunbor fell out with Anenih when he attempted to build his structure within the party hierarchy, apparently to have a stronghold on the party. Ogbemudia pitched tent with Osunbor while Igbinedion kept sealed lips on PDP activities in the state. The factional crisis made the PDP hold two state congresses where two state chairmen emerged. One was led by late Samson Ekhabafe and the other faction, loyal to Ogbemudia, was led by Edward Sadoh. After Osunbor was sacked as governor, the factional crisis lingered as Igbinedion and Ogbemudia boycotted rallies organised by the PDP. The analysts say Ogbemudia was yet to openly campaign for the PDP.

This fact, they say, was corroborated by Ogbemudia’s statement at the PDP campaign rally. He said: “Edo people will acquit themselves creditably well during the election. They will vote for the candidate that will occupy Osadebey Avenue on July 14. The PDP candidate is Charles Airhiavbere”. Before the PDP rally, Ogbemudia, who assured Oshiomhole of victory when the latter paid him an unscheduled visit while inspecting road projects in the area, had said “Benin people have already spoken. Your Excellency, I salute your dedication, vision and loyalty which are all that you need to be sworn-in in July. You go there, win and leave the rest for us. Your job is to go and win and come back to Osadebey Avenue. “Those PDP people who came to see me, I asked them how did you come. They said they came through a brand new good road. And I said don’t you think you should say thank you to Governor Adams Oshiomhole who built it. They said

their thank you will not go to Adams Oshiomhole but to the contractors who built it. And I told them that we should learn to give credit to whom credit is due”. Also speaking last week at the 40th anniversary of the Institute of Continuing Education, Ogbemudia said he was now confident to officially hand over the baton to Comrade Oshiomhole. He said: “Your Excellency, circumstance has thrust on your shoulders, the opportunity to shape the destiny of the people of Edo State. It is my recommendation that you should leave behind sufficient evidence for historians to appreciate so that the verdict of history for many years to come will be favorable to you. “I came here for two particular reasons; first to thank the Management and Governing Council of ICE for the way they have managed the institution for forty years. “The second reason, which is perhaps more important, is for me to officially hand over the baton to Comrade Adams Oshiomhole. It is said that event is history after 50 years of its occurrence, but Comrade will bear witness to the fact that history is already on the verge of exonerating you. “Education is very close to my heart and the Governor did well by putting primary, secondary and tertiary schools in good stead.” Igbinedion did not make any statement at the rally. But some stakeholders told The Nation on condition of anonymity that the antecedent of his son, Lucky, as a governor actually spelt doom for the party in the state. And that whenever people think of what the governor has done and what the PDP did in 10 years, and what the Comrade Governor has done in just three and a half years, it would increase the chances of Governor Oshiomhole winning the polls. It was learnt that some ACN members including lawmakers elected on the platform of the ACN were under pressure from their leaders to defect to the PDP.

PDP arm-twisting INEC on Edo polls, says Oshiomhole campaign

• Jega

HE Oshiomhole Campaign Organisation has criticised what it called arm-twisting of the Independent National Electoral Commission (INEC) by the Peoples Democratic Party (PDP) over use of members of the National Youth Service Corps (NYSC) for the governorship election. The Campaign organisation, in a statement by its director of media

and publicity, Mr. Kassim Afegbua, accused the PDP of attempting to usurp the role of the electoral umpire. Afegbua said the PDP was deliberately heating up the polity in order to attract unmerited attention to itself. “We find it ludicrous that the PDP is crying wolf where there is none, simply because they realise that all their nefarious plans are not yielding fruits. “Having realised that Oshiomhole is already coasting home to victory by virtue of the people’s verdict, the PDP has suddenly become avuncular and livid with anger for no just reason. Why must the PDP be afraid of using Corps members when that has been the tradition all over the country? “Why are they demanding for a shift of the electoral goal post midway into the game when all is set for the final demolition of the PDP

at the polls? I think, talking very seriously, somebody must call them to order”, Afegbua added. Afegbua said: “The PDP in Edo State is a political party peopled by political spent forces and weatherbeaten chieftains who are struggling to seek shelter in order to have opportunity to plunder the state again. “They tell lies. They advertise ignorance with perfunctory disdain, they distort facts of history, they manipulate figures and situations all in a bid to score cheap political points. “When they saw President Jonathan preached the one man, one vote mantra, you could see the way their eyes recoiled in utter surprise as if to say, this President can’t be serious. They turned away their eyes from the sermons of the President on the one man, one vote mantra, to which every right thinking Edo person must subscribed”, Afegbua stated.

The Edo election is barely two weeks away and the soundbites coming from the nation’s heartbeat signpost that it will be a straight fight between the ruling Action Congress of Nigeria (ACN) and the PDP. The Oshiomhole Campaign Organisation has expressed optimitism about the elections, warning the PDP to desist from trying to dictate the rules of the game for INEC. “The PDP cannot be dictating to INEC what it desires before, during and after elections. It cannot possibly assume the role of INEC because the provisions of the law are very clear. When it was convenient for them, they supported the use of Corps members in Kogi, Adamawa and Kebbi elections. Now that it is their turn to play opposition here, they are frowning at the law. That is the height of hypocrisy and self-righteous indignation, call it double standard if you like. Afegbua contended that the PDP

is allegedly lazy about campaigns. Pledging that the Action Congress of Nigeria (ACN) is up to the task, Afegbua also alleged that the leading opposition party is relying on the use of thugs in a desperate bid to win the election. “They will be shocked to find that the ruling party in the state has tremendous goodwill to checkmate all their shenanigans. We will enforce the rules according to the dictates of the law and encourage INEC to be respectful and mindful of what the law says. Any attempt to circumvent the process would be met with very stiff resistance and opposition”, he said. According to Afegbua, “INEC has the powers to decide who would be selected and recruited to serve as electoral officers and Corps members are better off, but it should not be at the behest of the PDP to decide what goes for all, in a game that requires level playing field”.

THE NATION MONDAY, JULY 2, 2012

POLITICS

House image not dented, says Bamidele Honourable Michael Opeyemi Bamidele represents Ado/Irepodun Federal constituency and he is the Chairman, House Committee on Legislative Budget and Research. In this interview with journalists, he speaks on the position of the House on the Farouk Lawan bribery saga and declares that even though the image of the House has suffered a setback, it has not been dented. MUSA ODOSHIMOKHE was there.

N the last one year, there has been some decorum in the House. But with the Farouk Lawan-Otedola saga and the OtehHembe scandal, do you think the image has been soiled? The image of the House has suffered a setback, but the image of the House is not dented. Let me explain. The image of the House itself is a concept, something that has to do with our day-to-day activities, how we carry ourselves, the degree of strength of character on the part of the individually elected members, the level and quality of debate that takes place on the floor of the House; it has to do with how we carry ourselves and conduct the business of the legislature. In saying this, personally, I do not have the illusion that in a House where there are 360 people, and in a Senate of 109 people, that we won’t occasionally have situations to manage. I think that is part of leadership. Leadership is about managing policies and programmes, managing conflicts and their resolutions, and managing people and resources. One thing that we have going for us in the House of Representatives, which I think would help our image ultimately is that we have a leadership that is trusted and that was put in place in accordance with the constitutional provision that says, members of the House of Representatives shall, among themselves, elect a Speaker. I guess it would have been a different case if it was a leadership that was installed. Do you trust the leadership of the House? Part of the reasons why there haven’t been rancorous situations on the floor of the House is because people trust the leadership of the House. We can disagree, call our executive session, but it will not go beyond that point. Tambuwal would never have been able to tinker with the allowances of members or reduce it by one Naira if he did not enjoy the support of that House. How many times have you seen Tambuwal, the Speaker going about in Presidential jets or using any of the paraphernalia of office? It is a conscious decision because as far as we are concerned, if we are going to be able to implement the kind of legislative agenda we have set for ourselves to the letter, and not surrender our oversight authority, either on the platform of party patronage or succumbing to threats or largesse or intimidation, we also have to be careful as to how we want to run after paraphernalia of office. The House seems to have dissociated itself from the Lawan – Otedola saga. Why is this so? As much as possible, we believe that whatever happens, if any member of the House is given an assignment, either an ad hoc assignment or as chairman or member of a standing committee, and you get yourself involved in things that end up soiling yourself or creating a problem of integrity that could possibly affect the image of the House, then we need to dissociate the House. And that is what we had to do in the matter of Hembe and Farouk Lawan. We have not even condemned Farouk Lawan; he has not been suspended as a member of the House of Rep-

Kaduna based rights activist Mallam Shehu Sani facilitated the meeting between former President Olusegun Obasanjo and the Islamic insurgents Boko Haram. In this interview, he reveals how the government officials sabotaged ceasefire overtures by the group, the frustrations of Obasanjo and Dr Datti Ahmed and the new efforts to end the violence. LEKE SALAUDEEN reports.

‘How Jonathan’s men sabotaged Boko Haram’s peace moves’

• Hon. Bamidele

resentatives. You know the rules of the House give us the power to do that; we can suspend him from coming to that House; we cannot remove him as a member that is why the constitution makes provision for a recall process. It is only those who elected him that can recall him, if they so feel. If they still feel he has the integrity to represent them, they can leave him, but we can decide that he cannot sit with us, and that is why the rules allow for suspension. We have not done that, but have referred the matter to the House Committee on Ethics and Privileges, which is responsible for investigating allegations against members of the House. But in the meantime, we have said ‘we don’t see how you can continue with this assignment as chair of the ad hoc committee on oil subsidy. We have also said while this matter lasts, we don’t see how he can continue as the chair of the House Committee on Education. There are moral issues, but we have not come to any conclusion; we have not condemned him. We will allow the security agencies to finish their investigations. We also would wait for the Committee on Ethics and Privileges to finish its work. But, it is part of the legislative agenda that if anyone does anything to compromise himself, we will distance the House from him. How far has your committee gone is setting up the National Assembly Budget and Research office? We have just finished cleaning up the National Assembly Budget and Research Office (NABRO) Bill, and by the grace of God, before the end of July, I should have that bill on the floor of the House. NABRO is the office that is supposed to serve as a resource centre for both chambers, and members of the public, including the media, and members of the international community interested in knowing about our budgeting. The office would have copies of budget for different years as well as enhanced capacity building for members of the parliament. But part of the reason why not much has been done at that level was because the previous National Assembly had not been able to put the necessary legal framework in place. The office just commenced about two months ago; it is in operation now. We have

an office in the PDF building, and we are using a whole floor directly in front of Transcorp Hilton in Abuja. We seconded some members of staff from the National Assembly there. As a matter of fact, the former Director of Budget at the National Assembly, Mr. H.O Olutoye is the administrative head of the NABRO office as we speak. The office has taken off, and we also feel that part of the way we would be able to give meaning to the Freedom of Information (FoI) Act that was passed into law, is for us to also have the NABRO as a major resource centre. I say so because it is one thing for people to be able to say they want to enforce their rights under the FoI, it is another thing to have a resource centre, through which you can discharge that responsibility. There probably will be a public hearing on the NABRO bill at some point. What are the limits of legislative oversights? How do we respect the doctrine of Separation of Powers between the Legislature and the Executive? Sometimes there is a lot of overzealousness, but let me make one point very clear, and it is important that all of us appreciate this. We are talking about 469 people. 109 of them in the Red Chamber and 360 of them in the Green Chamber What this suggests to us, is that with 469 people, we have all sorts of people, from different backgrounds coming to work together. The National Assembly, containing 469 people is a reflection of the larger Nigerian society, again, where you have all sorts of tendencies and different degrees of strength of character, and different understanding of issues. So, we must first face that, and going beyond that is to first address the issue of constitutional provision. Sections 88 and 89 of the 1999 Constitution, as amended, give to the National Assembly, the power of oversight. As a matter of fact, Section 89 (1c) gives the National Assembly or any of its committees the power to drag to the floor, any Nigerian, including Mr. President. That’s why I am surprised that some people are angry that we have invited the President. Even though it didn’t happen before, it is the law, Section 89(1c) of the 1999 Constitution.

OW did you establish links with Boko Haram, given the general impression that they are faceless ? To start with, I don’t know any of them in person. It was when they mandated Dr Datti Ahmed to enter into peace talk with government that they sent the same young man that facilitated their meeting with Dr Ahmed to me that I should join him in negotiating peace with government. But, I hesitated in teaming up with Dr Ahmed because I was not convinced that the Federal government was ready for dialogue with the group. My position was vindicated because Dr Ahmed’s peace move was sabotaged by government officials, especially those in the security sector. All proposals put forward by the group were on the pages of newspapers the following day against what was agreed that only the outcome of the meeting should be made public. This development infuriated the group and they directed Dr Datti Ahmed to pull out of the negotiations. It was thereafter that I facilitated the meeting of the former President Olusegun Obasanjo with the group in September 2011. Initially when I approached Obasanjo, he declined but with persuasion he agreed to follow me. The meeting was held in a mosque. They told Obasanjo not to disclose matters discussed at the meeting and his dialogue with government to pressmen. Obasanjo extracted commitment from them that if he intervenes and majority of their demands were accepted by government, there will be a ceasefire. Obasanjo met with the government and presented the group’s demands towards ending the violence. What we did was to categorise Boko Haram into three: Top leaders or the high profile class; foot soldiers and their wives and children held in detention. The suggestion we made to government was release the last category in response to a ceasefire promised by the group. The government’s security sector are opposed to dialogue because they believe in the use of force. Since last year when Obasanjo submitted his recommendation to government, nothing has come out of it. If the security advisers have not prevented the President from implementing Obasanjo’s recommendations, the violence would have come to an end since. What is your reaction to those branding Boko Haram as a faceless group? Let me tell you that when people say the group is not prepared for dialogue, I believed that initially. I have come to a conclusion that there are very few people in government that support dialogue, but there are many in the security angle that believe in the use of force. A month or two ago, the group,

• Sani

through the young man they trusted so much, presented a proposal on how to end the violence to government. Again, the proposal is being sabotaged by some persons in government who believe that it is a sign of weakness to negotiate with terrorists. As for the use of force, if that would produce desired result, I have no objection, but a situation whereby you have to kill 10 innocent people before you get on Boko Haram does not make sense. Using innocent people as collateral damage is unreasonable. To me, the idea of asking the group leader Shekau to come over to Abuja for dialogue is impossible. If you are for dialogue, you must make necessary contact. You must be honest and sincere that you are not preparing ground for them to be arrested. You must also be prepared that whatever that was discussed and agreed on would be implemented. Did they tell you the type of people they want from government to negotiate with them? To my understanding, there is only one person that they trust whom the government is aware of but I won’t disclose his name for security reasons. He has done a lot. For a person to mediate between the group and government, he must have the acceptability and trust of the group and recognition from the side of government. Many of those that are asking the group to come out for dialogue are not recognised by the group. The young man I am talking about showed me the proposal on peace negotiation that he submitted to the government. I am very sure if the government accepts it, we will have an end to the insurgency. It is good to let Nigerians know the truth. It is not that government is interested in peace and the group is not. The fact is that there are people from the angle of security that are sabotaging the dialogue option either because of what they benefit from the fat budget of N983 billion or for the reasons best known to them.

• Third left: Anambra State Governor Peter Obi, former governor of Anambra State, Dr. Chukwuemeka Ezeife, (left) Chief Emeka Anyaoku and Prof. Hope Eghagha (representing Delta State Governor Dr. Emmanuel Uduaghan during the Second Emeka Anyaoku Lecture in Awka.

THE NATION MONDAY, JULY 2 , 2012

TITLE

Conflict resolution chief honoured Bayelsa

MONDAY, JULY

COMMITMENT

SUCCOUR

Ajimobi praises council chief

Man benefits from widows’ relief initiative

Ogun

2, 2012

Cross River

Page 17

Email: news_extra@yahoo.com

OMETHING great is happening in the remote parts of Oyo State, and the people are relishing it. Potable water is now available in communities with a long history of thirst. Once impassable roads are wearing a new look. Dilapidated schools are coming back to life. And there is more. The residents say it is a new phase of life and are thankful to the administration of Governor Abiola Ajimobi as well as the three-year-old state Community and Social Development Agency (OYSCSDA) which drives the developmental projects. The agency, headed by Mr Busari Jelili, is funded by the state government and the World Bank. Jelili’s brief is to complement the efforts of the local councils by ensuring that development spreads throughout the suburbs. The agency plans to set up 233 micro-projects in 39 communities; out of that number of projects, 45 have been completed across various local councils in the state. This would not have been possible without the monthly contribution of N100 million by the sate government yearly as mandated by the World Bank. Although Newsextra gathered that most of the projects that were facilitated by the agency were initiated by the communities, especially in areas of health, education, electricity, among others. In Ibadan North East Local Government, over N9 million was spent by the agency in Koloko Idi- Obi in the construction of an ultra-modern health centre, sinking of three boreholes, road rehabilitation and provision of electricity poles and cables for the community. A good health centre has since taken off in the community. In a chat with Newsextra, the chairman of the health project, Mr Amos Olaniyan, said the past 10 years were horrible for Koloko community, especially in the area of health centre, noting that the closest hospital to them was one kilometer away. Olaniyan said: “We wrote a let-

ter to OYSCSDA to relay our plight to them and we were asked to arrange our needs in order of priority and we chose the health centre. We really appreciate them because they have brought happiness to our

•Governor Amosun

GUN State has found oil and will soon join other states in the federation which produce the mineral. An indication of this came when a delegation from Gasoline Associate International Limited led by Mr Agboola Ezekiel, an engineer, visited the office of the Special Adviser to the state Governor on Energy Matters, Mr. Taiwo Fagbemi to intimate him with the progress made so far by the establishment. Gasoline Associate International Limited is an oil prospecting firm that was given approval in 2009 to build a refinery at Ipokia in Ipokia Local Government Area of the state. According to him, the refinery to be sited on 1000 hectares of

•Koloko Idi-Obi community health centre

Oyo rural dwellers relish growth Community savours clinic From Tayo Johnson, Ibadan

community and our generations to come will be forever grateful for their kindness.” He admonished the residents of the community to look after the facilities and ensure it is not abused. The community health officer in charge of the health centre which comprises two wards, one labour

Residents hail agency room, and a toilet, Mrs Folake Ajayi, noted that over 40 patients have received treatment so far in the clinic. They were treated for malaria, typhoid, diarrhoea; a baby boy named Wasiu Kehinde has also been delivered at the clinic. There were equally other services such as immunisation and growth

Ogun strikes oil Ogun State is open for business and as such government would not relent in its campaign to give access to investors who are willing to transform the socio-economic status of the state From Ernest Nwokolo, Abeokuta

land is expected to produce 100,000 barrels of petroleum products daily. The products in-

clude Premium Motor Sprit (Petrol) kerosene, diesel and fuel oils. Ezekiel pointed out that his establishment has had periodic meetings with stakeholders in the community with a view to

monitoring. Also, in Idera Oluwa community of Ibadan North East Local Government, the OYCSDA has spent close to N6 million on the road rehabilitation with the provision of 3 steel culverts and drainage, elec•Continued on Page 46

smoothening their relationship. He added that so far, the meeting has yielded positive results. Fagbemi disclosed that the Amosun administration remains committed to providing a comfortable environment for business in the state. “Ogun State is open for business and, as such, government would not relent in its campaign to give access to investors who are willing to transform the socio-economic status of the state,” he said. He urged the firm to forward its prospecting license obtained from the Department of Petroleum Resources to relevant government agencies for issuance of Certificate of Occupancy and other logistics.

THE NATION MONDAY JULY 2, 2012

Ajimobi praises council chief YO State Governor Abiola Ajimobi has praised the chairman of Ibadan North Local Government Area Hon Lapade Idris for his commitment towards uplifting the living standards of the people. He said the council is lucky to have such a chairman as he would take both the people and the council to the next level as his efforts are complementing the state’s transformation agenda. Governor Ajimobi made the commendation while inaugurating some of the completed projects as part of the celebrations of his one year in office. The projects include complex constructed for the staff of the local government, construction of Salau Road Agbowo Ibadan, Ileoke Oke-apon Road, drainage and asphalting of Total Garden- Oje Igosun Road, relief materials for flood victims, in the local government, among others.

Governor Ajimobi said of the chairman: “The party has made the right choice in appointing you as the chairman caretaker committee of this local government as you have joined the train of the transformation agenda of the state government with the building of this magnificent office complex and other road projects which will serve as means of development for this local government. “I am assuring people of this local government that they will witness more of the good work of the state government in their local government.” The chairman attributed his achievement to the effort of the state governor in his bid to transform the state. He further disclosed that the achievements are just few of the signs that the council is committed to ensuring that the welfare of the people is properly taken care of.

Oyo By Jeremiah Oke

The event, which was attended by prominent politicians in the state, including commissioners, local government chairmen, special advisers to the governor, party loyalists and other dignitaries, was organised by the local government as a showcase of some of the achievements of the governor after one year in office. Hon Idris promised that the council would deliver more dividends of democracy to the people by completing ongoing projects. He said: “Coming closely on the heel of this, the construction of the bridge along Bodija-secretariat Road which is flood-prone is in progress. Workers are on site both day and night to ensure speedy completion of the project.

HE Federal Government of Nigeria has said that it would partner with the Ogun State government to revamp the various farm settlements in the state. The farm settlements were established by the late Chief Obafemi Awolowo when he was the Premier of Old Western Region. Unfortunately, the farms, over the years have suffered various degrees of under-utilisation and almost went moribund until the administration of former Governor Gbenga Daniel concession them to private individuals. The Federal Government, having realized that agriculture is the bedrock of any country’s economy, has resolved to support Ogun in the

Council chief promises more infrastructure

•Governor Abiola Ajimobi (right), Lapade Idris (left) during the inauguration of the office complex

Fed Govt partners Ogun on farm settlements rehabilitation

HE chairman of Ifelodun Local Council Development Area, Hon Fatai Ajidagba, has promised not to relent in his effort to transform the area through infrastructural development. Speaking at an event marking his 200 days in office, Hon Ajidagba explained that his administration would strive hard to consolidate on the achievements recorded so far. He said: ”I want to emphasise that our achievements so far in the areas of capital projects and infrastructural development would be consolidated so as to make life meaningful for residents. “Among many other strings of achievements, we have put in place a new council complex that accommodates a multi-purpose hall, a modern library and a skill acquisition centre. “We have also been able to rehabilitate Jimoh Ojora Primary School with a 300 metre fence for adequate security of facility.” Expatiating further on his stewardship, he said that the council had embarked on flood abatement campaign for “improvement on en-

Lagos By Kunle Akinrinade

vironmental sanitation by dredging Bakare Faro and Mile 2 canals in order to complement the efforts of the Lagos State government towards ensuring environmental safety and development.” The occasion witnessed presentation of set of computers with power generating sets to Jimoh Ojora Primary School while General Certificate on Education (GCE) forms were also presented to some youths in the council area. Those present on the occasion included Deputy Speaker of Lagos State House of Assembly Hon Kolawole Taiwo, former Special Adviser on Rural Development to Governor Babatunde Fashola, Hon Kalejaiye Paul, former member Federal House of Representatives, Hon Olusegun Odubanjo and Action Congress of Nigeria (ACN) Apex Leader in Badagry Division, Prince Rabiu Oluwa.

‘Inspire your subordinates’

IGERIANS in position of authority have been advised to give adequate recognition to their subordinates in order to inspire them and establish a good working relationship. This was the view of staff of Mushin Local Government Area as they organised a befitting sent-forth party for their retired council manager Mr. Sunday Oduwole. The chairman, National Union of Local Government Employees (NULGE) Mushin Local Government branch, Comrade Raji Rasaki said that Mr. Sunday Oduwole exhibited character traits that portrayed him as a servant of the people. He urged council managers who are still in service to carry the entire staff along in their day-to-day activities, even as he advised them to endeavour to have listening ears. The chairman of Mushin Local Government Hon Olatunde Adepitan said he was impressed that the management and staff of the council could organise a befitting sent-forth party even when the council was proposing one for the retirees at a later date. He charged the entire staff to work as indivisible entity, irrespective of cadres, profession, creed or colour. He promised to ensure that workers’ welfare became the responsi-

Lagos bilities of his administration. Adepitan said he enjoyed his working relationship with Oduwole for the few months they worked together. He said: “Mr Oduwole exhibited high spirit of patriotism, humility and understanding. If only I could change the hand of the clock, I would have written a letter to the Local Government Service Commission to extend his retirement age. But as a civil servant, retirement is inevitable. Recently, executive members of National Association of Nigerian Student (NANS) conferred on him the award of excellence in Local Government Administration. Responding, Mr Oduwole expressed his appreciation to the council chairman, members of the executive council, legislative council, the management, the NULGE executive, the entire staff and the people of Mushin Local Government for the tremendous support he enjoyed while in the service of the local government. He appealed to the members to extend the same support and cooperation he enjoyed from them to his successor.

•Hon Adepitan in a handshake with Mr Oduwole during the send-off ceremony

Ogun From Ernest Nwokolo, Abeokuta

area of agriculture to boost food production. The Federal Government made disclosed this in Abeokuta, the Ogun State capital, through the Minister of Agriculture, Mr Akinwunmi Adeshina at the flag off of commercial agriculture credit scheme and official roll out of the growth enhancement support for farmers in the state. Adeshina, who described agriculture as business, and not a way of life, said no nation

ORE than 15 per cent of Nigerians are short of toilet facility, the Minister of Environment, Mrs. Hadiza Mailafia, has said. The minister disclosed this at the celebration of 2012 National Environment Sanitation Day, held in Abuja. Mrs Mailafa said: “Over 15 per cent of Nigerians don’t have access to toilet facilities, therefore making them urinate and defecate by the walls of buildings and on streets respectively. fifty per cent of Nigerians make use of pit latrines and only thirty per cent have good toilet facilities.” She lamented poor hygienic state of the country. She said the situation has adversely contributed to the nation’s record on high mortality rate. Malaifa identified unhealthy environment as a major cause of children’s medical problem such as cholera among others. “Cholera, Decentry and Malaria are caused by lack of good hygienic environment. Scavengers die when they come across dangerous sharp objects that have been contaminated, she added. However, the Minister noted that the federal government has completed plans to avert airport, seaport trans-boundary diseases. She said the environment ministry will be working in partnership with the ministry of health to safeguard the health condition and ensure cleanliness of the people. Malaifa identified lack of sanitary facilities, inadequate water supplies, public toilets and good drainage systems as some of the challenges preventing good hygiene in the country. She called for the collaboration of state, local governments and other stakeholders to respect the law on sanitation. The 2012 celebration is themed: ‘My Environment, My Life: Sanitation My Duty.’ In his remark, the representative of the United Nations Children Fund (UNICEF), Mr Bisi Agberemi said that about thirty two per cent of the nation’s population makes use of unhygienic restroom. Agberemi noted that the country losses about N455 billion annually as a result of poor tech-

Briefly •From left: Supervisory Councilor for Education, Hon Fatai Hamzat; Council Manager, Mr Oladunjoye Olufemi; Vice-Chairman, Hon Abdullateef Ojora-Adejiran; Hon Ajidagba (middle), Education Secretary; Mr Adewale Adeogun and Secretary to the council , Mr Adewale Garuba with pupils of Jimoh Ojora Primary School

Amosun reassures workers on welfare

GUN State civil servants have been reassured of the government’s commitment to their welfare. The state governor, Senator Ibikunle Amosun gave the assurance in Abeokuta, the state capital, while delivering an address during this year’s Civil Service Day celebrations. According to him, plans were being concluded to give the workers car and housing loans, just as government was planning to construct a new world-class staff development centre to sharpen their skills. In addition to the plan is a civil service club where they could unwind after a hard day’s job. There are other benefits coming. While describing the workers as major stakeholders in the mission to rebuild the state, the governor praised their level of commitment and proficiency in the discharge of duties. He also congratulated the leadership of the workforce for providing people who have done the state proud and left their footsteps on the sand of time. Delivering the commemorative lecture

titled “Capacity Building, Development and Management for the implementation of Ogun State Transformation Agenda”, the immediate past Head of Service of the state, Princess Iyabo Odulate Yusuf, submitted that in order to enthrone an excellent and qualitative service, the capacity of the officials in the civil service must be adequately built, developed and managed. She added that since the transformation agenda required an exceptionally dedicated and competent workforce, officers should be empowered in all ramifications to assist the government to successfully implement its 5point agenda. Princess Odulate-Yusuf explained that the provision of qualitative and affordable education required educationists, administrators and support personnel to transform the sector for its hitherto chaotic state to its pre-1973 glory, emphasising that the attainment of quality health care delivery system was quite tasking as stakeholders in the sector must synergise and be properly situated for the attainment of the agenda.

Lawmaker facilitates free medical services THE member representing Isuikwuato/ Umunneochi Federal Constituency at the House of Representatives, Hon Nkeiruka Onyejiocha in collaboration with Living Hope Ministries, a medical team from America, has started a five-day free care programme f or her constituents. The programme which lawmaker attracted has been accessed by thousands who were treated for one ailment or the other, with several of them lauding their benefactor for her good gesture. Speaking at the event at Nkwoagu, Umunneochi Local Government Council headquarters, Governor Theodore Orji said that his administration has approved the renovation and equipping of all the general hospitals in the state. Orji said that the renovation and equipping of the general hospitals is aimed at ensuring quality health care delivery to all members of the state, stressing that he is determined to govern over people who are healthy and not dead or unhealthy people. The governor who was represented by his Commissioner for Health, Dr Okechukwu Ogah, said that his government has constructed about 250 health centres for improved health care delivery, apart from the diagnostic centres in both Aba and Umuahia with dialysis departments.

will be secured without taking agriculture seriously, adding that the Federal Government is determined to use agriculture as tool to diversify the country’s economy. “The Federal Government will support Ogun State in using cassava to produce flour, and in revamping those farm settlements to improve agriculture as the bedrock of the economy,” Adeshina said. He stressed that agriculture accounts for 40 per cent of the country’s Gross Domestic Product (GDP) and creates 70 per cent of the employment opportunities. Adeshina stressed that the Federal Government will collaborate with the state government in reviving all farm settlements across the state. According to him, 232 tons of high yielding cocoa seeds would be distributed free to farmers across the state to increase the production of the commodity from 40,000 tons to 48,000 tons. •From left: Regional Trade Marketing Manager MTN, Lawrence Akharume; ace footballer Mutiu Adepoju; events and sponsorship specialist MTN, Adline Okeke; one of the winners 78-yr-old, Babafemi Ladipo and ace actor, Olumide Bakare at the presentation of MTN automania SUVs' to the winners in Ibadan

Over 15 % Nigerians have no toilet Council partners with security officer From Olugbenga Adanikin and Adeola Adeyoye, Abuja

nical know how in recycling dirt. While calling on stakeholders to support the government, the UNICEF representative urged the FG to set aside 4.5 per cent of the federal allocation for sanitation development.

HE chairman of Ejigbo Local Council Development Area, Lagos State, Kehinde Bamigbetan has stated that his administration is ready to partner with the police and other security agencies to ensure the security of life and property in the locality.

•Chairman, Ejigbo LCDA, Kehinde Bamigbetan (fourth left), Police Area D Commander, ACP Omololu Bishi (fourth right), Vice Chairman Ejigbo Local Council Development Area, Monsurudeen Bello-Obe (second left), Ejigbo Police Division DPO, Afolabi Folorunsho (third left), Ejigbo PCRC Chairman, Pastor Johnson Subomi (third right) and others at a courtesy visit to Ejigbo council chairman by the Area commander

‘Ogun model schools govt-funded’

HE Ogun State government has clarified that the model schools which are still under construction are funded by the government. The Special Adviser to the Governor on Education, Dr. Tunji Abimbola, made the clarification during a visit to Kobape and Onijanganjangan sites of the model schools in Abeokuta North and South Local Government Areas. He said: “I wish to clarify that the schools are being fully financed from the purse of the government and not by any contractor. We won’t owe any company or individual on these schools.” The special adviser added: the schools, noted, “The schools would be free in line with the free education policy of the government. All students can attend it, whether they are children of the rich or the poor.” Expressing his delight with the extent of work done at the Onijanganjangan site, he explained that fifteen of the model schools are being constructed in the first phase while the remaining eleven would be accommodated in the second phase. Dr Abimbola,who was accompanied on the visit by the Special Assistant to the Governor on Print Media, Mr Olusola Balogun, assured that the fifteen model schools under the first phase would be ready for commissioning by January 2013. The special adviser also explained why most of the schools were located in the outskirt of towns. He noted that, “the land we need for the project cannot be secured in the town. We need at least four hectares and most of our towns

Ogun are fully developed so we have to look for land where we can get them. Many of them fall on the outskirts of the town. “But that again brings with it its own challenges and benefits as it will allow development to spread to those new areas. Again, I can assure that the government would extend the operations of its mass transit program to the locations of the model schools to convey students, who are not accommodated in the hostels, to and from the schools.”

Lagos By Duro Babayemi

Bamigbetan made this statement when he received the new Divisional Police Officer, Ejigbo Police Division, Afolabi Folorunsho in his office. The DPO was at the council secretariat on a courtesy visit to the chairman. The council chairman while welcoming the police chief, informed him that residents of the council are peace-loving people and for this reason, his administration will create an enabling environment for the DPO and his men to enable them sustain the current tempo on security in the locality. The council boss explained to the DPO that his administration, as part of efforts to guarantee security among the people, deployed members of the council’s Neighbourhood Watch to streets and wards in the council at nights to detect people with criminal tendencies and report them to the police. He added that the council has used this strategy to achieve relative peace in the locality. Bamigbetan stated further that as a way of demonstrating his determination to reduce crime in the council area, the number of Neighbourhood Watchers engaged by the council has been increased from 40 to 70 to enable them cover every nook and cranny of Ejigbo. He disclosed to the DPO that the local government would welcome suggestions and ideas from the police on how to provide necessary facilities at Imakiyo Police Post on Dauda llo Street, particularly now that there is presence of public facilities like primary school, primary health centre, customary and magistrate courts in the area. The council chairman appealed to the police boss to advise his men to handle properly the patrol vehicles donated by his administration to the Ejigbo division, reminding him that the vehicles were bought with tax payer’s money. Bamigbetan also noted that, as a law enforcement agency, the police should be able to set a good standard for members of the public.

•Motorcycles to be distributed to extension workers at the launch of Growth Enhancement Support (GES) scheme in Awka, Anambra State

THE NATION MONDAY, JULY 2, 2012

EDITORIAL/OPINION EDITORIAL FROM OTHER LAND

COMMENT

A muddled political response from the Right

Old habits ... •Rather than seek loans, the FG should check its profligacy

HE more the Federal Government tries to press the argument that it needs new loans to finance critical projects, the more Nigerians appear at a loss to explain how a government which only less than six years ago shelled out nearly $20 billion to exit the Paris and London Club of debtors, would consider going back to the path of peonage. By the latest figures of the Debt Management Office (DMO), the nation’s total debt stock is $44 billion, with the foreign component at $5.9 billion. Just as the issue of the build-up in the nation’s debts at a time of rising national revenues is worrisome enough, the spate of withdrawals from the excess crude account, which has led to unprecedented ballooning of expenditures across the board without corresponding value delivered, is clearly troubling. We are worried essentially because no lesson appears to have been learnt from that ruinous path of debt. Today, everything that is available to be spent is – spent. As if that is not enough, the Federal Government’s appetite for loans is far from being bridled. In 2007, the Excess Crude Account stood at $20 billion. At the time of President Umaru Yar’Adua’s death in 2010, it was $7.8 billion. Under President Goodluck Jonathan, it went on a free fall. Within the first month of his take-over in acting capacity, it went down by $3 billion. Five months later, precisely in August 2010, it plunged disastrously to $460 million, courtesy of the disbursement of $3 billion -- $2 billion shared among the states and another $1 billion for the take-off of the Sovereign Wealth Fund (SWF).

Unfortunately, the period was also being marked with record increases in new debts. In the same month of August 2010, the President made a request to the National Assembly to approve a $5.242 billion foreign loan. And now, under the Medium Term Expenditure Framework 2012-2014, the Federal Government again plans to borrow $7.9 billion. This was the reason for the Finance Minister and Coordinating Minister for the Economy, Ngozi Okonjo-Iweala’s shuttle tour to China recently – to negotiate a $3 billion facility – part of the borrowing plan approved by National Assembly– “to complete some people-oriented projects”. And the “people-oriented projects”? The Abuja Light Rail – said to be in dire need of $500 million; four new international airport terminals in Lagos, Abuja, Kano and Port Harcourt would also require $500 million; just as the 18 large-scale cassava-flour processing plants and 100 integrated rice mills on behalf of the private sector would cost $500 million. There is also the $171 million facility negotiated on behalf of the Bauchi State government for a power plant, and another $100 million on behalf of the Galaxy Backbone for the completion of some information technology projects. We understand that borrowing may be inevitable to bridge financing gaps in the budget, to fast-track delivery of projects considered critical to the economy and sometimes to free funds for other developmental activities. We are however unconvinced that an administration which presided over the disbursement of funds in excess of $17 billion from the excess crude account alone in record five years would

ever be able to put additional funds to any good use – not least loans contracted at interest rates. By the way, couldn’t some of the projects have come under private initiatives – with the Federal Government merely providing guarantees? Of course, the argument that Nigeria’s debt/GDP ratio is 17.45percent compared with say, South Africa or Ghana with 35.6 percent and 38.7percent, respectively, begs the issue. The question is, where is the evidence – in concrete terms – of what could pass as judicious utilisation of the record oil earnings in the more than one decade of the Peoples Democratic Party (PDP) administration? Our candid advice therefore is for the Federal Government to rethink its present course of unbridled fiscal profligacy.

‘... Borrowing may be inevitable to bridge financing gaps in the budget, to fast-track delivery of projects considered critical to the economy and sometimes to free funds for other developmental activities. We are however unconvinced that an administration which presided over the disbursement of funds in excess of $17 billion from the excess crude account alone in record five years would ever be able to put additional funds to any good use’

Abandoned projects •Legislation alone won’t help; we have to sanction those responsible

ITH the high rate at which projects are abandoned in the land, it would not be wrong to affirm that unless the trend is halted, it is just a matter of time before the country itself becomes abandoned. Despite the deficient state of infrastructural facilities, it is sad to note that abandoned projects are increasing at an astronomical rate, costing the nation, so far, a huge N7.8 trillion. Why should prompt completion of projects at scheduled periods and within budgetary provisions become a big deal? The abandoned projects across the country are mainly public buildings, including power plants and grains silos, among others. We recollect that the Senate Committee on Petroleum (Downstream), recently unearthed abandoned projects worth over N2billion at the Petroleum Training Institute, Warri, Delta State. President Goodluck Jonathan was com-

‘We consider as unacceptable the pervasive culture of impunity in the award and execution of contracts ... We strongly believe that until scapegoats are made of some of those involved through prosecution in law courts, the problem would persist, with the nation losing scarce funds that could have been used for other developmental projects’

pelled to set up a Presidential Projects Assessment Committee (PPAC) last year to take inventory of all on-going federal projects and determine if such contract awards were in compliance with due process. The PPAC identified 11,886 uncompleted/abandoned Federal Government projects all over the country. The figures did not include state governments’ projects that would have raised the stakes were they to be within the purview of the committee’s duty. Till date, the report of that committee has not been submitted and like several others before it, it is probably gathering dust on the rusty shelf of some government officials. Sadly, this administration is awarding new contracts despite the avalanche of abandoned ones begging for attention. Thus, the government can be accused of insincerity in prosecuting those responsible for the menace of abandoned projects. Apart from the government, the attitude of public servants and contractors to government projects is awful. Their disposition can further retard the nation, in spite of the avowed transformation agenda of the Jonathan administration. Most of these abandoned projects have gulped billions of naira before their abandonment. Sometimes, they require little amount for their completion but were abandoned due to warped planning, derisory budgetary provisions and calculated delays in funding. In addition, contractors unduly raise contract fees in collusion with corrupt civil servants and elected officers with vested interests in such contracts, making the cost of execution quite despicable. Also, people come up with project proposals that are not

meant to serve the greatest good of the greatest number, but ones to be deployed as conduit pipe for serving personal interests. We know that contractors who abandon projects are no ghosts, which is why we query the avoidable bottlenecks impeding their being brought to justice. They escape being caught because unscrupulous civil servants and some elected officers compromised themselves by cutting corners with such crooked contractors that are paid as mobilisation, fees in most cases, substantial contract sum. Lack of continuity is equally a major problem calling for official attention if the abandoned projects cankerworm must be tackled. We are however aware of government’s move to propose a Project Continuity Bill to be sent to the National Assembly. While this would act as legal framework that would mandate any new government to conclude projects commenced by its predecessor in office, the bill should go a step further by specifying punishment for breach. We consider as unacceptable the pervasive culture of impunity in the award and execution of contracts. So many projects that have been paid for are continually re-listed as new ones in annual budgets without commensurate development being done on them. We strongly believe that until scapegoats are made of some of those involved through prosecution in law courts, the problem would persist, with the nation losing scarce funds that could have been used for other developmental projects.

HE future of the health care system is now back where it should be, out of the hands of judges and into those of voters. With the constitutional question about President Obama’s health care law now settled, the public will have a chance to examine Mitt Romney’s claims that it is terrible for the country. Based on his remarks on Thursday, they will not have much to go on. Mr. Romney’s speech was clearly not the one he wanted to give, and it showed. He stumbled by reminding people that the Supreme Court did not proclaim the law to be a good one, implying the constitutional question was a minor issue. The court’s role, of course, is not to judge the wisdom of the laws that Congress passes, as much as Mr. Romney might wish it had. Because the Supreme Court did not repeal the law, Mr. Romney vowed to do so himself on his first day as president, a vow that will be impossible to fulfill, not just on his first day, but ever if he cannot round up 60 votes in the Senate. Otherwise the heath care law will stay on the books, and as much as he may try to defund it or ignore it, he will have taken an oath to uphold it. Even if he should succeed in a repeal, he has provided very little information on the kind of law he would put in its place. Will he try to provide health care for the nearly 50 million people who are now uninsured, 30 million of whom would have health coverage under President Obama’s law? They went unmentioned in Mr. Romney’s speech, as they almost always do when he is on the stump, except in a vague, indirect reference: “We also have to assure that we do our very best to help each state in their efforts to assure that every American has access to affordable health care.” Not a word, however, on how he will do that, particularly given his plan to severely cut Medicaid and other aid to states, as part of the budget proposed by Representative Paul Ryan, a Republican of Wisconsin, which he has embraced. Far from helping states, those cutbacks would make it more difficult for states to offer insurance or basic care to the poor and the uninsured. If anything, his Web site, which is supposed to provide such details, is even worse, promising only to give states “the incentive and the flexibility to experiment.” That’s hardly reassuring given the abysmal record of many states on health care coverage. Much of what he said was flatly wrong. The law does not add “trillions to our deficits and to our national debt.” It lowers the deficit, as the Congressional Budget Office has repeatedly noted. It does not keep businesses from hiring and will not cause 20 million Americans to lose their insurance. As Mr. Obama noted in his response Thursday, those who have insurance will be able to keep it. The president does not talk often about the details of his own law. But his comments are a good reminder of how it will serve all Americans and a vital response to Mr. Romney’s tired recitation of economic doom. The indifference of voters to Mr. Romney’s prior support for health reform when he was governor of Massachusetts won’t last if he refuses to produce a serious plan of his own. – New York Times

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THE NATION MONDAY, JULY 2, 2012

9EDITORIAL/OPINION

IR: The problem of violence has become intractable. From East to West, North and South, the story is all the same.The latest being the unfortunate bombings of three churches in Kaduna State on Sunday June 17, and the reprisal attacks it triggered off thereafter. As usual passions were inflamed. Compassion and the much touted love for one another vanished into thin air just as peace and tranquility fled Kaduna. Mangled and charred remains of innocent men, women and children littered the streets while properties worth millions of naira were destroyed complicating the already existing vicious cycle of hatred and bigotry. So, where is the brotherhood we profess? Where is the much touted strength and unity in diversity? Why should we always resort to violence as a means of pressing home our demands? What

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Time to end the violence does it profit these demented individuals and their sponsors to unleash mayhem on innocent lives and properties? Military barracks became the safe haven for the displaced. Travellers and tourists passing through and within Kaduna were unfortunately caught in the crossfire. The trauma that people passed through is better imagined. The same government that has consistently failed to take bold steps aimed at nipping most of these crises in the bud confined the people

to the walls of their homes without food, money and other basic necessities. We cannot deny the fact that we have all jointly abdicated our responsibilities as a people. It is becoming very clear that the stability of the nation is being threatened by forces of religious extremism. As a people, we have opted for the path of fake religiosity. While pretending to love our neigbours, we indulge in hateful vengeance and fail to live out our faiths. If we are committed adherents of

tem can not be attributed to the government alone as our lecturers, management and regulatory agencies are just as culpable. The NUC’s failure to streamline and regulate part-time programme ab initio contributed to the present abysmal level of decadence. A situation where our universities see part-time programmes as their cash cow can not be healthy for our education. The prevalence of unemployed 16-22-year olds in various part-time programmes in our universities smacks of irresponsibility and one wonders what manner of future leaders we are grooming, considering the social marginal implication of this

anomaly on the larger society. How did we allow Jambites to usurp a programme that is otherwise designed for matured working men and women? Why must we always bastardise every thing? Now that the regulatory body has risen from its slumber, let’s hope they draw up a parameter for admission into part-time programmes. Those seeking admission must be tested via a written test, and on no account must they be less than 25 years of age. A situation where one just strolls into a banking hall to buy a part-time programme admission form and gets admitted based on the tendering of a school certificate result

our professed faiths, we should never hesitate to stand up for truth, justice and equity. The high and mighty today looks on while senseless killings go on unhindered in our land. In this melee, our political, religious and opinion leaders become shameless abettors who ensure that this mayhem rages on. It is only in a country where illiteracy and poverty hovers over above 80% that people could be brainwashed into fomenting trouble for any ludicrous reason and they gladly oblige. We have

Redeeming part-time programmes in varsities IR: The suspension of parttime programmes in Nigerian universities by the Nigerian Universities Commission (NUC) has evoked mixed feelings among Nigerians depending on which side of the divide one belongs. Despair, despondency and utter bewilderment will be the lot of the teeming students who have invested their hard earned resources with the ultimate aim of obtaining a university certificate for value enhancement in the labour market. The student’s quandary is compounded by the indefinite nature of NUC’s pronouncement. While some Nigerians who have witnessed first hand the charade and impunity which some of this parttime programme represents will see NUC’s decision as a welcome development, another group will also be asking for the universities’ regulatory body’s head for waiting until things degenerated to its present chaotic situation in the various parttime study centres before acting. It’s quite unfortunate that the vulgarization of our educational sys-

which was probably obtained from one of the mushroom special centres in town is uncalled for and must be discouraged in totality. It’s in the overall interest of the universities and students to co-operate with the NUC to check this anomaly so that certificates can best serve its value and not the present worthless sheet of paper some of them are. Recently there was an employment advert in the media where it was indicated that those who obtained their degree on parttime basis need not apply. Isn’t this a dangerous trend? • Alex Okorie Ondo State.

completely lost our sense of judgment. In short, employment opportunities should be created to keep the idle minds busy. Education should also be used as a tool to liberate our people from poverty. Basic amenities like road, water, health care services, and affordable housing programme should be in place for the citizenry. Security is development, for without development there can be no security. Moreover, there should be deliberate effort to re-orientate our youth to embrace peace and be lawabiding. Well-meaning Nigerians, civil society groups, political parties, the media, the Federal Ministry of Information and National Orientation should continue to educate the populace on the evils of violence. Religious, traditional, opinion and youth leaders should also implore their people to abhor violence no matter the level of provocation. Other unresolved national problems such as politics, indigene-settler fracas etc., which constantly throw up mayhem, should be properly addressed. It is high time government faced this problem head long but the society should be a willing ally for the government to succeed. Our laws should bite with its strong teeth to be able to take its course in dealing squarely with individuals, institutions and sponsors of crises and violence. We can as a nation dispel the huge cloud of doubts, uncertainty and apprehension surrounding our ability to get it right. Our strength in diversity should serve as a unifying factor not our Achilles’s hill. • Sunday Onyemaechi Eze Zaria, Kaduna.

FG should act fast on security situation

IR: The rate at which Nigerians are being killed in some parts of the country is becoming unbearable. While death is definitely one stage that every human being would pass through, the gruesome manner in which innocent Nigerians are being slaughtered is unacceptable .

Of course, the daily incidents of bombings in the northern part of Nigeria calls for serious concern. Prior to the Dana Air plane crash which claimed many lives including people on ground, death had become a dime a dozen. The reasons could be traced to high level of poverty and economic hard-

ship brought about by the failures of present and past leaders. Killers are given stipends to snuff lives out of people. We only hope that we can live a good life in the current situation not withstanding the hardship we face as citizens of our nation. We the youths are calling on Presi-

dent Goodluck Ebele Jonathan to listen to the cry of our people. He should urgently find solution to the killing of young and innocent souls in this country and put up drastic measures to arrest the security challenges facing the country. • Adeyemo Oluwaseun Dolapo Ajayi Crowther University, Oyo

THE NATION MONDAY, JULY 2, 2012

EDITORIAL/OPINION

ANUARY, 1980 marked the Silver Jubilee of the introduction of Free Universal Primary Education in the old Western Region, under the leadership of the late sage, Chief Obafemi Awolowo. Then as the leader of the Unity Party of Nigeria (UPN), Awo toured the western states of Oyo, Bendel, Ondo, Ogun and Lagos. He addressed the government and people of Ogun State in the House of Assembly on Monday, January 21, 1980 and made the following remarks. “In this connection, it will be recalled that the scheme (free education), the Silver Jubilee of which we are celebrating today, was greeted at birth with hostility designed to kill it and wipe its traces out of existence. But with the loyalty and cooperation of the majority of our people at the time, the scheme survived the initial as well as subsequent difficulties.” Many years ago, I gave a typical WAEC question on letterwriting to a student in one of the elite schools in Lagos: Write a letter to the Minister of Education telling him the problems facing secondary schools in your country and suggesting solutions to them. I returned the next day only to be confronted with a paragraph or two, to my chagrin. “What’s the problem? You are expected to write at least 350 words but this is less than a hundred…” A fairly good student she was. “I don’t know what further points to write,” she said. “How do you mean?” “We don’t really have any problems in my school. We have everything!” Then the reality dawned on me, quite plaintively, on the kind of society we were building in Nigeria - a stratified society where the children of the rich would get the very best of education while those of the poor would settle for the worst! Of course, it’s needless adding that her friends were also in exclusive private schools. “You know what? The examiner expects you to write from the perspective of public schools, not private schools,” I explained to her! Yes, it is in public schools you have dilapidated classrooms with roofs threatening to collapse on students at the slightest fury of the elements. It is in public schools you have no functioning library and laboratories. It is in government owned schools that teachers are owed months of salaries and allowances. That is where absenteeism, lateness to work, failure to prepare lesson notes, etc. are taken for granted. It is in public schools you have students without textbooks and writing materials… “In fulfilment of his electoral promise to provide free and qualitative education to children of public primary and

‘It is in public schools you have no functioning library and laboratories. It is in government owned schools that teachers are owed months of salaries and allowances’ OKO Haram, the terrorist Islamist sect has again refused the federal government’s offer of dialogue. The latest rejection is the second time in a row since March this year when the earlier one, billed to be mediated by Sheik Datti Ahmed on behalf of the sect collapsed. But determined to pursue a peaceful resolution to the sect’s menace, the federal government, beginning from last month, sent out calls yet again to the sect members to drop their arms and embrace a meaningful dialogue. To underscore the its sincerity, it appointed a Bauchi Statebased Moslem cleric Sheik Dahiru Usman Bauchi as mediator. Before Abdul Qaqa, spokesman of the sect came on recently to denounce Bauchi and the new reconciliatory initiatives the federal government had initiated, the cleric had in a chat with journalists disclosed that the dialogue had got off underway with the active involvement of the Bauchi State government. He tendered a letter signed by the permanent secretary of the Bauchi State Government, Abdu Aliyu Ilelah, on behalf of the committee set up by the government, titled “Federal Government Committee on Negotiation with Jama’atul Ahlu Sunnah Lidda’awa Wal Jihad”. But the Boko Haram sect says “we have closed all doors to dialogue”. It can also be recalled that former President Obasanjo had through the intervention of Shehu Sani, a rights activist initiated a meeting to broker peace between the sect and the government, way back September last year, which was also scuttled by the intransigence of the sect’s members. But despite the recalcitrance of the sect, the government has remained remarkably pacific. Though the extra judicial killing of Mohammed Yusuf, the group’s founder in 2009 took place when the late President Umaru Yar’Adua was in power, the present government has through the Borno State government, paid N100 million compensation to the Yusuf family. Aside this, the government has also ensured that all officers of the Nigerian Police, implicated in the unlawful killing of the former Boko Haram leader are presently facing justice. The irony is that while the latest roundtable efforts of government were on going, the sect remained relentless with its campaign of violence. While this may be as a result of the loose leadership structure of the sect and its adrift character, it also clearly points out the obsession of members of the sect to destabilize the country, which in fact, accounts for the major reason why Nigerians across ethnic and religious divides despise the sect. The Niger Delta militants’ message in their respect for Yar’Adua’s call for a cessation of violence and embrace of peace was their disinterest in the destabilization of the country, a

Free education in Ogun: An evaluation By Opeyemi Soyombo secondary schools,” reports the Vanguard of Friday, January 20, “Governor Ibikunle Amosun of Ogun State, yesterday, kicked off the statewide distribution of free textbooks to children of the two levels of education in the state. “The free textbooks are in the following subjects: Mathematics, English Language, Social Studies, Basic Science, Yoruba Language, Computer Studies, Civic Education and French Language. Others are in Agricultural Science, Biology, Chemistry, Physics, Government, Geography, Literature in English and Economics. “The exercise came on the heels of the free distribution of instructional materials such as exercise books, pencils, biros, file jackets and mathematical sets to pupils of public primary and post-primary schools to facilitate and enhance teaching and learning in the school system… “While recalling that the last time children received free instructional materials of such magnitude from government was during the administration of late Olabisi Onabanjo, Amosun charged school children to make good use of the free textbooks and other instructional materials provided by his administration, adding that ‘every child in Ogun now has the opportunity to get the best of education and compete with their friends in top private schools.’” If you have ever been a teacher in a public school, then you will appreciate what it means for every student in your class to have New General Mathematics, New Oxford English, etc. by reputable publishers like Longman, Macmillan, Evans, etc. The usual practice in a public school is for the class teacher to have each of these textbooks and write the assignments on the blackboard for his/her (their) wards to copy. Most often, the textbooks are creased and torn as a result of long usage. In a class of 40 to 70 pupils, it’s most unlikely you will have more than three pupils that will have one or two textbooks because it’s usually a burden for the peasant parents to even purchase school uniform for their children let alone pay so much on textbooks. So, it’s a huge burden that has been lifted off the shoulders of parents with the introduction of functional free education in Ogun State by the Amosun-led administration. Yes, if you have ever been a teacher, if you ever attended a public school in recent decades or grew up in the rural areas… When, in the course of the recent assessment tour of the 20 local councils in Ogun State by the governor, school children from some far-flung communities displayed their textbooks while welcoming the governor, I knew the depth of indebtedness felt by their teachers, parents and, of course, the pupils themselves. It was a touching moment for many of us... Amosun has opened a new chapter in the lives of these children and they will grow up to remember this, just like the beneficiaries of

the scheme in the old Western Region. I once threw a challenge in one of my write-ups in the press inviting readers to take a weekend off to tour public schools in Ogun State to see the monument of decay inherited by the current administration. Things were so bad that the West African Examinations Council (WAEC) threatened to withhold the results of candidates from public secondary schools in Ogun State because the previous administration refused to pay the examination fees to the body. The counterpart funds on the Universal Basic Education (UBE) that could have enabled the state government to access funds from the Federal Government were not paid by the previous government in Ogun State for two consecutive years (2008 – 2009). Not daunted, the current government, among other laudable achievements, has renovated blocks of classrooms in 100 schools in the first phase. It has targeted 200 schools in the second phase. It has restored payment of running cost to schools. In addition, it specifically paid N135,097,520.00 for provision of science consumables and students’ dossiers in both junior and senior secondary schools. It paid N1.6bn outstanding counterpart funds for 2008 and 2009 UBE intervention funds, thus accessing N1.6bn from the Federal Government under the UBE scheme. 5,000 teachers and another set of over 7,000 were trained under the Capacity Development Programme of the current administration. Above all, salaries and allowances of teachers are now paid in Ogun State as and when due. What is more, in one iconic gesture that is bound to alter the landscape of education in Ogun State and Nigeria, the administration last May, kicked off the construction of 26 stateof-the-art, world class model secondary schools by laying the foundation stone of one in each of the three senatorial districts in the state. The schools will have all the facilities expected of any modern secondary school anywhere in the world, including vocational training. It only takes a man of vision to embark on an enduring project of this magnitude. Awo had said at a lecture given to the Assyrian Union of Teachers in Ibadan in 1947 that “No one can claim to be truly free who is ignorant. An ignorant person is a victim liable to be exploited and cheated at every turn by his more enlightened and unscrupulous fellowmen.” Thus when he became the Leader of Government Business in 1952, a decision on free universal education was taken, which was launched a year after he became the Premier of the Western Region. Amosun had equally sought to banish ignorance from the state long before he became the governor, hence his scholarship programme for many children of the poor. Today, he has seized by the forelock the opportunity placed before him by the Almighty and the overwhelming majority of our people to translate that vision into reality. • Soyombo is Special Assistant on Media to the governor of Ogun State

What has Boko Haram to say? By Bala Yusuf factor that clearly puts them on a higher ground over the Boko Haram. The militants’ campaign was a respectable one that drew global attention to the region’s neglect by successive Nigerian governments, and when it became obvious that the government was serious about listening to them, they dropped the guns and embraced civilized engagement. But we have a Boko Haram that understands no other language outside, “infidels, paradise and seventeen virgins”. This abjection flows from the sect’s leaders down to the “mai gworo” boys they recruit for suicide bombing. It explains why an Abubakar Shekau, the sect’s leader, would think it is holy to slaughter other human beings like rams, but would always run and hide for his own life! It is said that a fool is always wise in his own eyes, but to mitigate the ruin the on-going religious insurgence in the north would bring to the region and its people in the end, every well-meaning Nigerian, particularly Moslems in the north must arise to let Shekau and his flock know that they are chasing shadows. Somehow I can excuse the diffidence of Shekau and his flock over a roundtable with government’s negotiation team. What as a matter of fact would Boko Haram representatives be saying at such a dialogue? That they want to Islamize the country? Or wish to be permitted to carve out an Islamic Republic out of the multi-religious north? Shekau and company may be blood-drunk, yet they well know that serious-minded people at such a dialogue would laugh their heads off at such a drivel. It must be observed that government’s sense of reasonableness makes it ill at ease for it to embark on a wanton crushing of people. Though the will to secure every citizen and any part of the country that comes under threat has seen the government deploy a massive presence of the military to the Boko Haram target states of Borno, Bauchi, Yobe, Gombe, Adamawa, Niger, Plateau, Kaduna, and Kano; seing that it also imposed a state of emergency in selected 15 local government areas of these states, the present government, has always sued for restraint and measured approach by the military in going after the sect members in these states. Yet government is by no means making light of the situation. In the 2012 Budget, it allocated a staggering $5.947 billion to defense and national security, translating to N921.91 billion. This figure represents 20 per cent of the

total budget of the government and the highest allocation ever for defense and security in the history of the country. This also makes Nigeria the biggest spender on defence and security in the entire Africa. The allocation speaks of a zeal and determination on the part of the government to get things done. The 2012 allocation is also a marked difference from the N233 billion in 2009, N264 billion in 2010, and N348 billion in 2011. Government has also ensured that Nigerian security agents received up to minute training in counter-terrorism, and every other necessary capacity building available in the world today for combating terrorism. This training has been continuous, taking place both in and outside the country. So far, the initiative on capacity building has hugely improved the effectiveness of the security agencies in both intelligence gathering and execution. More so, collaboration has hugely been enhanced between Nigerian security establishments and their foreign counterparts. And quite unlike in the times past, cooperation at local level among security agencies has right now peaked in the country as a result of the zeal of government to get things done. • Yusuf is an Abuja-based policy analyst

‘It explains why an Abubakar Shekau, the sect’s leader, would think it is holy to slaughter other human beings like rams, but would always run and hide for his own life! It is said that a fool is always wise in his own eyes, but to mitigate the ruin the on-going religious insurgence in the north would bring to the region and its people in the end, every well-meaning Nigerian, particularly Moslems in the north must arise to let Shekau and his flock know that they are chasing shadows’

THE NATION MONDAY, JULY 2, 2012

EDITORIAL/OPINION

RESIDENT Goodluck Jonathan’s third media chat last week, must have attracted considerable public interest. This is to be expected given the very dire straits the nation is currently passing through. First, the President zoomed off the country to attend the Earth Summit in Brazil at the heat of the bombs blasts in Kaduna State and subsequent reprisal attacks which left many dead. The travel also came shortly after the country suffered a devastating air disaster with scores of its citizens and foreigners sent to their early grave. There was also the scandal of the bribe saga involving the chairman of the ad hoc committee of the House of Representatives on fuel subsidy, Lawan Farouk and businessman Femi Otedola. These combined to heat up the polity and their effects were yet to settle before the President’s journey. Because the reprisal attacks from the bombings pitched Christians against Muslims, there were genuine fears of the prospects of the crisis deteriorating into a religious war. It was thus expected that a man whose house was on fire had no business pursuing rats as the inferno raged. Apparently responding to the welter of criticisms from this, Jonathan on return, immediately sacked the National Security Adviser, Andrew Owoye Azazi and the minister of defense Haliru Mohammed. The media chat must also have been hurriedly arranged to enable the President respond to some of these nagging issues. Not unexpectedly, they were to form the major thrust of his media engagement. The brief has come and gone but the issues raised by the President will for some time, continue to be matters of considerable public discourse. It needs to be pointed out that Jonathan was very frank and forthcoming in responding to some of the questions put to him by the journalists. But in that frankness and show of a high sense of resolve to attend to some of the issues raised, he betrayed the emotion of someone in trouble. His appearance was tense and dense. His composure, that of a man haunted at all fronts who must be very cautious else the enemies will have ample reasons to come after him. Ironically, it was the same President who argued that he had to put up a bold face to attend the summit in Brazil so as not to give the impression to the international committee that there was crisis at home. Why the same consideration could not reflect in his demeanor

deeply rooted in Islam, maybe Dasuki could pull a surprise. Only time will tell. But we must no longer appear helpless in this fight.

Emeka OMEIHE

ABU’s Lamentations:

08121971199 email: EmekaOmeihe@yahoo.com

Jonathan’s Media chat at the live interview is puzzling. As it turned out, he lost the conviviality and congenial ambience of a President who is at home with his people. That was perhaps why he thought ‘criticizing Jonathan has become a big business’. It is not just about Jonathan but the President of Nigeria. Off course as the President of this country, he is public property. His actions or lack of it have far reaching repercussions for the people of this country. If we do not talk about our President who again should we talk about? So it is not entirely tidy for the President to have viewed the searchlight on him as an aberration. His fate is not substantially different from those of his peers in other parts of the world. More so in view of the daunting challenges he is expected to provide answers to. Challenges such as the threat posed by the Boko Haram bombings on churches are issues citizens are itching for immediate solutions. That cannot be wished away. And he spoke very frankly and decisively about them in his chat though the phone-in dimension was a huge embarrassment. He talked about the changing tactics of the dreaded sect, government’s responses to them and the fact that the attacks are instigated to cause disaffection between Christians and Moslems. He said very unambiguously that government was not going to enter into negotiation with a faceless group that has not articulated its grievance several months after it levied war on the country. That is the way it should be. We were told very clearly that at least a very well known Nigerian and Islamic leader Dr. Datti Ahmed has access to the deadly group. What is left to be seen is the decisiveness

Y apologies to readers for this rather weird caption, which sounds more like Hon. Patrick Obahiagbon’s lexical incantations in his usual attempts to explain the nation’s woes. I coined the title after late Godwin Agbroko’s incisive piece Nixonistic Obasanjoism, in which he compared Obasanjo’s failure to openly admit complicity in the Third Term project with Richard Nixon’s failure to admit guilt in the Watergate scandal despite tendering his resignation letter to Americans. The late journalist had also chiselled his title out of late wordsmith, Andy Akporugo’s piece, Nassiristic Ogbemudianism in the 70s in which he drew analogy with the military governor of the Mid-west Region, Brigadier Samuel Ogbemudia, to the late Arab nationalist and Egyptian President, Gamal Abdul Naser. I am drawing similar analogy for the fact Nigerian political actors always act in a similar weird manner. One peculiar attribute of Nigerian legislators is that they hardy learn lessons. And they are poor students of history. I guess both chambers of our National Assembly have in their finishing some amnesiac blend. One wonders why they always forget their constituencies, forget their benefactors, their schools and their villages. Our hopes are often raised and dashed whenever the House embarks on probe. Not long a go, the chairman of the House Committee on Capital Market, Hon. Herman Hembe (whose name forms part of this caption) was made to step aside for his involvement in the N44 million scandal while probing the activities of Securities and Exchange Commission. And now it’s Faruok Lawan, a man who warmed his way into the hearts of Nigerians for having the temerity to implicate the high and mighty in his committee report. But Rep. Lawan is not new to controversy. Although he sounds every inch effeminate, Lawan cuts the inner image of a political Hercules. As a Kano-based reporter during the last general election, I closely monitored how he handled the matter of his gubernatorial ambition with levity despite appearing serious to his team. To compress

‘I don’t really hold brief for Lawan but I doubt if he would be dumb enough to “insist” that bribe be given by a person on whose companies there was no prima facie case of the operational misconduct the House committee was probing’

and efficacy of the responses of the government to stem the dangerous tide. Indications are that Boko Haram is intent in precipitating a religious war in this country. The motive is political even as they have taken refuge in Islamic religion. Knowing that religion is the opium of the people, they are goaded by the reasoning that it is the easiest way to fast-track unmitigated calamity in the country. So we must confront that insurrection very squarely. The removal of Azazi and Haliru was to inject new blood and new ideas into the fight against insecurity. For Jonathan, the security challenges needed people with new approaches. By this the assumption is that the President has done his home work and in the days ahead we will start seeing those new ideas and innovations to justify the appointment of Sambo Dasuki as the National Security Adviser. But one thing people will loath to hear is that he succumbed to pressure by removing Azazi. The impression that only people from the northern part of the country can function effectively in that capacity must not be allowed to fester. Not with what we are currently facing in the hands of Boko Haram. Not with the sophistication and high wired connections of the dreaded sect. Boko Haram could not have held the nation prostrate without the backing of the influential and people very well groomed in brute tactics. These should sufficiently instruct that we must significantly dilute the security hierarchy of this country such that no section of the country can muster the capacity to hold us down. Since Boko Haram is essentially a northern affair

Even as Jonathan was talking of his resolve and strategy to tame insecurity, an interesting episode was playing out at the Ahmadu Bello University, Zaria (ABU). Vice Chancellor Prof. Abdullahi Mustapha cried out openly at the weekend that about 80 students of the institution of Rivers and Jigawa states’ origin were ‘whisked away’ in suspicious manner by their state governments. According to him, buses belonging to the Jigawa and Rivers state governments stormed the institution with armed policemen and took away their students without reference either to the Kaduna State governor or the authorities of the university. The university is worried that the evacuation created panic and confusion even as it wants the federal government to investigate the matter and direct the return of the students as normal academic activities were going on. The worries of ABU are to be understood. But that is how bad the situation has become. If state governments could truncate the academic activities of their indigenes that way so as to save their lives, that speaks volumes. It is equally instructive that Jigawa is one of the states in the north. If it is no longer sure of the safety of its students to the extent of whisking them away in a commando style, one can guess the enormity of the problem. Yet, we are supposed to be one country.

‘The motive is political even as they have taken refuge in Islamic religion. Knowing that religion is the opium of the people, they are goaded by the reasoning that it is the easiest way to fast-track unmitigated calamity in the country. So we must confront that insurrection very squarely’

‘Lawanistic Hembeism’ By Jaafar Jaafar the episodic political soap opera into a single package, Lawan surreptitiously secured the House ticket through tact and treachery without publicly withdrawing from the governorship contest or notifying his campaign coordinator, Malam Kawu Gurjiya. But even without seeing the purported Lawan video, the translucent evidence before the nation shows that Lawan’s paw was actually trapped in the cookie jar. And so the verdict in the public court may not favour him. Although in this digital age the maxim that pictures don’t lie is disparaged by the world’s geeky gait, motion pictures are hardly manipulated. Given the impossibility of a fool-proof motion picture manoeuvre, sometimes the real-time session can be manoeuvred to nail a target. Similar instance occurred when oil giant Chevron’s 16year legal tussle came to a close and appeared likely to go in favour of the people affected by it’s toxic spillage in the Amazon region of Ecuador. The toxic disaster, tagged ‘Amazon Chernobyl’ (the Chernobyl disaster is a disastrous nuclear accident that happened in 1986 at the Chernobyl Nuclear Power Plant in Ukraine, then under the Soviet Union) affected over 30,000 inhabitants of the region. When Chevron explored all legal tricks and delay tactics to frustrate the trial without success, in August 2009, just a week shy to the judgment day, the company finally came up with a video that vaguely ensnared the presiding judge, Juan Nuñez, in a web of corruption. Guess how much was the money involved? It was $3 million! The same amount that is slowly casting credibility deficit on the Lawan’s fuel subsidy report. But then another chapter was opened in the Chevron’s legal drama. A cursory look at the Chevron video by industry experts showed that one of the two persons involved in the secret video taping, Diego Borja, “is a longtime Chevron employee in Ecuador with significant personal and financial ties to the company, including direct association with the oil giant’s legal defence in the very trial his dirty tricks operation was designed to disrupt.” By drawing inference with the above scenario, one can hardly conceal, even in a sleigh of hand, the involvement of the powerful subsidy cabal indicted in the Lawan re-

port. As many Nigerians now posit, the entrapment of Lawan might be a plot by the oil cartel to ridicule the allimportant report. But further scrutiny into the secret footage indicated that Borja’s partner, American Wayne Hansen, “who posed as the owner of a remediation company willing to pay bribes for clean-up contracts” was never into remediation. Here, the fact we shouldn’t blink over is that Femi Otedola, the person behind the video taping, has never been into PMS (petrol) import but rather AGO (diesel) import which has since been deregulated years ago. Why on earth will Otedola, whose companies had never been into petrol import, “play to the gallery” if his industry colleagues, who are involved in the subsidy scandal, do not have hand in setting the camera trap? I don’t really hold brief for Lawan but I doubt if he would be dumb enough to “insist” that bribe be given by a person on whose companies there was no prima facie case of the operational misconduct the House committee was probing. Even our corrupt police would “insist” on taking bribe only if there is primary offence! Knowing full well how the lawmaker often speaks tongue in cheek, I suspected, right from the outset, that Lawan’s defence was anything but credible. Obviously, everyone can make sense in what Lawan said just a day after claiming that neither him nor any of the committee members collected bribe from any of the oil marketers: “I wish to inform you that I was on his (Otedola) invitation, at the residence of their chairman, Mr. Femi Otedola, in Maitama (Aso Drive) ...and he offered me the sum of one hundred thousand US dollars in two bundles of $50,000 each”, he shamelessly made a u-turn. His weak defence that he had presented the marked dollars before a House plenary was also punctured when the Speaker and some principal officers allegedly queried why he had not declared the money until after three weeks (or rather after getting wind of the video in possession of top security chiefs). A litany of reference numbers he reeled out was also nailed when the chairman, House Committee on EFCC and Narcotics, Adams Jagaba denied receiving Lawan’s letter. Now that the poor canary is in the police net, Nigerians are musing a witty Hausa proverb: “a clever bird often falls into snare from the neck.” • Jaafar is a public affairs commentator.

KESHI:

THE NATION MONDAY, JULY 2, 2012

BUSINESS THE NATION

E-mail:- bussiness@thenationonlineng.net

ISSUES All that glitters is not oil News Briefing

Banks get competency framework THE Central Bank of Nigeria (CBN) has issued a competency framework that will guide banking operations in the country. In a draft report signed by the CBN Director, Financial Policy and Regulations, Chris Chukwu, the apex bank noted that the recent global financial crisis exposed the inadequacy of skills and dearth of executive capacity in the banking industry

- Page 26

ID scheme for Lagos

THE National Identity Management Commission (NIMC) is to deploy infrastructure for the enrolment of Lagos State’s residents in the National Identification Number (NIN) scheme.

We are working towards an actionable industrial policy and a robust industrial revolution actionplan, tailored along sector specific lines in order to provide special incentives to each subgroup in the manufacturing sector. - President Goodluck Jonathan

THE CEO

- P. 27

‘Privatisation can’t solve NIPOST’s problems’ - P. 32

CBN, NDIC hire Ernst & Young T for IFRS adoption HE Central Bank of Nigeria (CBN) and Nigeria Deposit Insurance Corporation (NDIC) have employed Ernst & Young, an international consultant, to assist them to adapt their financials to the International Financial Reporting Standard (IFRS) status. The apex bank is expected to migrate to IFRS by the end of this year while NDIC is already at the impact assessment stage of its migration. The IFRS are principlesbased standards, interpretations and the framework adopted by the International Accounting Standards Board (IASB) that requires disclosure on some issues, including risk management measures and changes in accounting policy. Partner/Head, IFRS West Africa, Ernst & Young, Samuel Agbeven, told The Nation that

By Collins Nweze

his firm will be assisting CBN and NDIC in their IFRS adoption. “It is clear that capacity is not available as it is a new concept in the Nigerian environment. But we are assisting them to put all the necessary tools in place,” he said. Agbeven explained that NDIC is at impact assessment stage where the firm’s management of liquidated banks’ assets will be examined. “Are they still holding the liquidated banks as assets; if so, what type of assets are they? When we have been able to identify the type of assets they are, then, we will also decide on the right IFRS model that will be de-

ployed to address issues raised,” he said. The expert said his firm has to support the CBN to move its old records to IFRS status, and also, as a regulator, to supervise the adoption of IFRS in the industry. He noted that some banks are claiming that their financial statements are IFRS compliant, but the CBN can only verify such claims if its staff understand the issues around IFRS. “We are supporting the CBN to develop a template, that at the end of the day, it is able to test the compliance level of the banks as done by central banks in other countries,” he said. According to him, such will also enable the apex bank get

the quality of information that is required for it to find the true state of the banks’financial reporting and statements. “CBN’s internal account supposed to be migrated, but there are issues that need to be put in place before we can start. I believe that by the end of the year, we would have achieved that,” he said. However, he said as a regulator, there are transactions that the apex bank will carry out, adding that such business in the public domain would be challenging. “So, all over the world, central banks’ IFRS report is approached with different styles but in all cases, they need to have the in-house capacity to be able

- Page 26

‘Why MDRI is not working’ INADEQUATE awareness and untrained agents are factors militating against the Insurance Industry Market Development and Restructuring Initiatives (MDRI), the former Chairman Nigeria Insurers Association (NIA) Olusola Ladipo-Ajayi, has said.

- Page 39

DATA STREAM COMMODITY PRICES Oil -$107/barrel Cocoa -$2,686.35/metric ton Coffee - ¢132.70/pound Cotton - ¢95.17pound Gold -$1,800/troy ounce Rubber -¢159.21pound MARKET CAPITALISATIONS NSE JSE NYSE LSE

-N6.503 trillion -Z5.112trillion -$10.84 trillion -£61.67 trillion RATES Inflation -10.5% Treasury Bills -7.08% Maximum lending-22.42% Prime lending -15.87% Savings rate -2% 91-day NTB -15% Time Deposit -5.49% MPR -12% Foreign Reserve $35.8b FOREX CFA 0.2958 EUR 206.9 £ 242.1 $ 156 ¥ 1.9179 SDR 238 RIYAL 40.472

to migrate to the platform,” he said. Agbeven said IFRS is about disclosures and by adopting the platform, both regulators are expected to disclose some things in their financials, which reduce their risk perceptions at the global level. “It is also an extension of this reporting accounting framework that if an entity outside sees you as discreet with information, they perceive such firms as being risky,” he added.

Foreign reserves fall to $36.8b

IGERIA’S foreign exchange reserves dropped by 2.17 per cent monthon-month to $36.82 billion by June 27, compared with $37.64 billion a month ago, after a Central Bank of Nigeria (CBN) intervention to support the naira, figures from the banking watchdog showed last Friday. The reserves were back to the level they were on May 10, at $36.85 billion, but were higher than the $32.01 billion in reserve a year ago. The naira, according to Reuters, has fallen in the last three months due to an exit of offshore investors from the local debt market and strong demand for the dollar. Dealers said the decline in forex reserves was also due to the falling oil prices in the international market.

Fed Govt raises N134.5b in T-bills

T • Managing Director/Chief Executive Officer, Enterprise Bank Limited (EBL), Mallam Ahmed Kuru (right); Ikechukwu Uche of Granada Football Club of Spain super star/Super Eagles of Nigeria striker (middle) and Mr Niyi Adebayo, the bank’s Executive Director, during a courtesy visit by the footballer to the bank.

NAICOM frets over underutilised N400b capital

ITH over N600 billion capital deployed for business by insurance operators, their gross premium has been hovering around N200billion, indicating under-utilisation of the funds, The Nation has learnt. The development has become a source of concern to the industry regulator, the National Insurance Commission (NAICOM) and operators, especially as the industry plans to hit N1trillion premium income target by the end of this year. Available statistics from the Nigerian Insurers Association (NIA) showed that the industry’s volume of business for 2010 stood at N185.72billion, while that of

By Chuks Udo Okonta

last year was N200billion. It was also learnt that the industry is ranked 60 in the world market and fourth in Africa. Managing Director, LASACO Assurance Plc, Olusola Ladipo-Ajayi, said firms are over capitalised, adding that they are not doing enough with their capital. He said: “We are over capitalised. Examine our businesses; how much business are we doing with the capital we have? Insurance does not thrive on capital base. What drives real insurance business is reinsurance back-up. Definitely, we need more money, but our challenge is how to deplore our funds to do businesses to earn more.”

He attributed the low performance of the industry to the collapse of the private sector, adding that insurers now pursue government business to stay afloat. “In Nigeria the private sector has almost collapsed, that is why everybody is running after government business. It is only when you do businesses with government that you see money. Big flow of premium comes from government businesses now, not from the private sector. “People talk of emerging risks, like climate change, terrorism and kidnapping. When insurers develop products along these classes of risks, how many Nigerian would buy them? Note that insurance thrive on a large number, if

only few individuals buy these policies, the aim would be defeated. “We are not supposed to pay claims from our capital base. We are only expected to use our capital base to provide state-ofthe-art equipment, good offices, provide good service, do research. Every class of insurance in theory is supposed to pay for itself. On the long-run, our capital base is just a stop gap. The premium we collect are supposed to run our businesses,” he said. Commissioner for Insurance, Fola Daniel, said if the industry deploys between N500billion and N600billion to do business, it should be able to receive double of the capital as income.

HE Federal Government sold a total of N134.56 billion in treasury bills with maturities ranging from three months to one year at its bi-monthly auction, with yield performance mixed compared with the previous auction, the Central Bank of Nigeria (CBN) said at the weekend. The bank said it sold N21.84 billion worth of 91-day paper at a return of 14.09 per cent, slightly higher than the 14.05 per cent at the previous auction. It issued N52.73 billion worth in 182-day bills at 15.31 per cent, the same return as at the previous auction. A total of N60 billion worth was issued in the 364-day bill at 15.6 per cent rate. The bank did not issue oneyear treasury bills at the last auction, but at an auction on June 7, the 364-day treasury bill was issued at a return of 15.69 per cent. Total subscriptions, according to Reuters stood at N307.88 billion, while investors showed more interest in the one year paper, which attracted about N192.64 billion. The CBN stuck to its initial quantity offered.

THE NATION MONDAY, JULY 2, 2012

BUSINESS NEWS Flight Schedule

Interbank rates ease on budget cash inflow

MONDAY - FRIDAY LAGOS – ABUJA Departure Arrival 1. Aero 06.50 08.10 2. Associated 07.00 09.30 3. Air Nigeria 07.00 08.20 4. IRS 07.00 08.20 7. Arik 07.15 08.15 7. Chanchangi 07.15 9. Air Nigeria 08.15 09.35 10. Aero 08.45 10.05 11. Arik 09.15 10.15 12. Chanchangi 10.00 11.00 13. IRS 11.15 12.35 14. Aero 12.20 13.30 15. Air Nigeria 13.25 14.45 16. Chanchangi 13.30 14.30 17. Arik 13.45 14.45 18. IRS 14.00 15.20 19. Aero 14.10 15.30 20. Air Nigeria 14.50 16.10 21. Chanchangi 15.30 16.30 22. Arik 15.50 16.50 23. Aero 16.00 17.20 24. IRS 16.30 17.50 25. Arik 16.50 17.50 26. Chanchangi 17.30 18.30 27. Air Nigeria 17.35 18.55 29. Air Nigeria (T/TH) 18.30 19.50 20. Arik 18.45 19.45 31. Aero 19.20 20.40

1. 2. 3. 4. 5. 6. 7. 8.

LAGOS – BENIN Arik 07.30 Associated 08.30 Aero 10.50 Arik 11.45 Associated 13.00 Aero 14.25 Arik 15.30 Associated 16.00

1. 2. 3. 4.

Arik Aero Arik Aero

1. Arik 2. Aero 1. 2. 3. 4.

LAGOS – CALABAR 07.30 11.20 12.50 16.00 LAGOS – JOS 10.55 11.15

LAGOS – KADUNA Aero 08.00 Chanchangi 10.00 Arik 10.00 Arik 15.10

08.30 09.10 11.50 12.45 13.40 15.20 16.30 16.40 08.50 12.40 14.10 17.20 12.15 12.45 09.10 11.00 11.10 16.20

LAGOS – PORT HARCOURT (CIVIL) 1. Aero 07.15 08.35 2. Arik 07.15 08.35 3. Arik 09.00 10.20 4. Aero 10.50 12.30 5. Arik 11.40 13.00 6. Air Nigeria 12.00 13.10 7. IRS 13.30 15.00 8. Arik 14.00 15.20 9. Air Nigeria 16.00 17.10 10 Arik 16.10 17.30 11. Aero 16.15 17.30 12. Arik 17.10 18.30 1. 2. 3. 4. 5.

LAGOS – OWERRI Aero 07.30 Arik 07.30 Air Nigeria 13.40 Arik 14.00 Arik 16.30

08.40 08.40 14.55 15.10 17.40

1. 2. 3. 4.

Arik Aero Arik Aero

LAGOS – WARRI 08.15 11.50 11.55 14.55

09.1 12.50 12.55 15.55

1. 2. 3. 4. 5.

LAGOS – KANO Air Nigeria 07.10 IRS 08.00 Arik 12.20 IRS 14.00 IRS 18.15

08.50 09.45 14.00 15.45 19.55

LAGOS – OWERRI 07.20 14.00 16.30

08.30 15.10 17.40

1. Arik 2. Arik 3. Arik

LAGOS – MAIDUGURI 1. IRS 11.15 13.15 2. Arik 15.50 18.00 LAGOS – ILORIN 1. Overland 07.15 2. Arik (M/T/TH/F) 17.30

08.00 18.00

LAGOS – ABUJA SAT/SUN Arik 7.15; 10.20; 2.20; 5.20pm – 7.30; 9.15; 10.20; 2.20; 4.50; 6.45 Aero 07.30; 09.35; 13.10; 14.50; 20.20 – 07.30; 09.35; 13.10; 14.50; 20.20 Air Nigeria 08.15; 14.30; 17.15; 18.30 – 08.15; 13.30; 14.30; 17.15; 18.30

•From left: Chief Executive Officer, CitiServe Limited Lola Ogunbambi; Head, e-distribution, Citi serve Limited Jubril Salaudeen; Regional Manager, e-product, United Bank for Africa (UBA) Oyetunde Oyekunle and Head, Sales, Henry Obike at a forum for merchants on the use of Point of Sales (PoS) terminals by card holders in Lagos at the weekend. PHOTO: DAVID ADEJO

CBN issues competency framework for banks T

HE Central Bank of Nigeria (CBN) has issued a competency framework that will guide banking operations in the country. In a draft report signed by the CBN Director, Financial Policy and Regulations, Chris Chukwu, the apex bank noted that the recent global financial crisis exposed the inadequacy of skills and dearth of executive capacity in the banking industry. The skill gap, he explained manifested in, among others the lack of indepth knowledge of core banking functions and poor understanding of basic banking operations; poor understanding of banking regulations and poor risk management and corporate governance practices. The framework is expected to address the competency challenges in the banking industry, explore growth opportunities as well as critically facilitate improvement in the quality of the industry’s human capital. Under the

By Collins Nweze

framework, successful banks will be those that distinguish themselves by according high priority to continuous enhancement of human capital and lifelong learning. There have also been knowledge gaps in financial markets and treasury management, business development practices; and poor relationship management techniques mainly due to poor training. He said the development of staff competencies has become important in addressing these inadequacies, underscoring the need to train a new generation of banking professionals that is customer-centric, technology-savvy and flexible. “With stability now restored to the Nigerian banking system following several measures and initiatives taken

by the CBN under the on-going banking sector reforms, it is imperative that immediate steps be taken to consciously re-direct the banking industry towards the path of entrenching a sequenced competency development programme,” he said. According to him, the exercise is predicated on the need for banks to accord high priority to the continuous enhancement of human capital and lifelong learning. This will imbue banking professionals with the requisite skills and expertise not only at the strategic and management levels, but also at the technical and operational levels. He said the availability of appropriately trained and competent human resources is a critical factor in supporting the effective performance of the banking industry. This, in essence, implies that continuous strengthening of intellectual resources and capabilities must be undertaken to create a pool of talented and high calibre professionals in the banking industry.

Identity number scheme for Lagos coming, says NIMC T

HE National Identity Management Commission (NIMC) is to deploy infrastructure for the enrolment of Lagos State’s residents in the National Identification Number (NIN) scheme. NIMC’s Deputy Director, Corporate Communications, Abdulhamid Umar, said the exercise would start in about two weeks. He told The Nation on the sidelines of an e-payment forum in Lagos that deployment of equipment for the Lagos enrolment has actually reached advanced stage. “ We have achieved about 95 per cent,” he said, adding that only a minor part of the job is left. He said: “We commenced enrolment in Abuja in February, so we are bringing it to Lagos and when we saw an opportunity here, we decided to make the best use of it, since this is a great event that has to do with cards and the technology - two very important ingredients for our business. We,

By Adline Atili

therefore, have to be physically present here. “Already, we have done a certification of the Lagos office, which includes checking for the quality of images and very soon, we should be able to register the Lagos office at the back end. This means, depending on how fast we get the authorisation, we can actually commence upper week. “Same goes for the other zones we are working on. The representative states of those zones are under verification stages for certification. Once they are successful, they get certified and enrolment can begin,” he added.. At the forum, NIMC demonstrated and enlightened participants on the enrolment process and what the commission has to offer. Umar said the Commission came in

liaison with its project partners, including Chams Consortium, to showcase what they are making available to Nigerians and legal residents. He said the enrolment would be for Nigerians above the age of sixteen as well as non-Nigerian legal residents. Deputy Project Manager, Project Management Office, Simon Ishaku, said what the commission did was only a demo, to teach people how it works and show them the level of commitment of the Commission to the project, in the face of rejection of other means of identification in some quarters. He said: “Responses at the event have been positive; expectations are high, people are eager for the project to kick off in full swing as most people complain about the present ID cards, like the voters’ card not being acceptable in some banks; so it’s not all about the enrolment, a lot of people are actually interested in getting the card.”

ASSBIFI flays members’ sack ATIONAL President of the Association of Senior Staff of Banks, Insurance and Financial Institutions (ASSBIFI), Comrade Olusoji Salako, has warned employers in the finance industry to stop the mass sack of workers in order not to compound the country’s unemployment crisis. Salako, in a chat with The Nation, blamed development on the implementation of the banking reforms put in place by the Central Bank of Nigeria (CBN), saying that any reform put in place that result in the loss of jobs is not good. He said the workers have been at the receiving end since 2009. He said: “We have said any reform that is cutting jobs is not a good reform.

By Dupe Olaoye-Osinkolu

Reforms should be jobs creation friendly. “It should be jobs retention friendly. If you look at it, our members are not the ones that created the problems. Those who created the problems are still walking around freely using the money they made to dislocate this system.” He said similar exercises carried out before the reform was with a human face and was not with impunity, as the case is now. “Even before then, when the rot was on, those management were sacking our people, but not with impunity. From 2009, when the CBN came with these reforms, we have been losing our mem-

bers in droves. In major situations, we have had cause to negotiate redundancy packages, which we believed were okay. But in some other instances, a lot of employers have tried to shortchange us by doing it without an agreement in place. “In some of these instances where we had shortfalls, we have also gone there to fight for our rights as guided by the Labour law, and ensured that they put pen to paper so that they could pay some of them who would be leaving, to start a new life. There are also some other banks that have no unions. For those banks, it was a free day. They had template to do what they wanted to do,” he stated.

IGERIA’S interbank lending rates eased marginally last week to an average of 15.16 per cent, from 15.83 per cent penultimate week, after the disbursal of budgetary allocations to government agencies on Wednesday. The Federal Government distributes money from oil revenue to its three tiers of government from a centrally held account, which provides liquidity for the banking sector and eases the cost of borrowing among banks. Dealers according to Reuters said however, that rates remain high due to some large outflows from the system during the week. “The market was short before the release of the budget allocations because the central bank had been selling dollars directly to banks to support the naira,” one dealer said. Traders said state-owned energy company NNPC recalled a large amount of cash from the system in the week, while bonds and treasury bills purchases also impacted negatively on market liquidity. NNPC, a major dollar supplier to the interbank market, sold an additional $500 million to some lenders on Monday and recalled its naira proceeds to its account with the central bank. “The market opened with a cash balance of about N21 billion last Friday, but we expect that the level will drop next week because of funding for foreign exchange purchases,” another dealer said. The secured Open Buy Back (OBB) eased to 14.50 per cent compared with 15 per cent last week, 2.5 percentage points above the central bank’s 12 per cent benchmark rate, and 4.5 percentage points above the Standing Deposit Facility (SDF) rate. Overnight placement and call money dropped to 15.50 percent each, from 16.50 percent and 16 percent each last week. Traders expected rates would inch up next week as liquidity drops and more funds leave the market for foreign purchases.

MAN hails Dangote’s backward integration policy HE Manufacturers Association of Nigeria (MAN) has lauded Dangote Cement Plc for the implementation of backward integration policy of the government in the cement sector. The group called for the replication of the policy in other sectors. A statement from Dangote said the manufacturers, who converged on Lagos for their 40th Annual General Meeting (AGM), described its position on the policy as noble. President of MAN, Kola Jamodu, who was responding to remarks made by former President, Chief Olusegun Obasanjo, said there was a need for the policy to be replicated in other sub-sectors of the economy. He however, said the government should also play its role for other sector players to embrace the policy. He attributed the successes being recorded by Dangote Cement in the continuous expansion of its plants to accommodate local consumption and export to the policy consistency of the Federal Government. Jamodu urged the government to help manufacturers by ensuring that right policies are not only in place but also consistent. Earlier, Obasanjo, who was a guest speaker on the occasion, expressed the hope that Nigeria could become an industrial giant with the right policies and manufacturers displaying the right attitude.

THE NATION MONDAY, JULY 2, 2012

ISSUES

Nigerian crude oil exports by destination

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All that glitters is not oil Nigeria is a mono-economy dependent on oil. With the drop in crude price in the international market, experts believe that the economy may suffer unless the nation saves for a rainy day.AYODELE AMINU and AKINOLA AJIBADE report

RDINARILY, a fall in crude price should be a relief for the world, but for Nigeria, the reverse is the case. It could spell big trouble for the country because crude oil accounts for over 90 per cent of the Federal Government’s revenue. Because of the volatility in crude price in the international market, the Federal Government in December, last year unveiled a budget of N4.749 trillion based on a benchmark oil price of $70 per barrel. But the National Assembly, despite warnings by the Central Bank of Nigeria (CBN) Governor, Sanusi Lamido Sanusi last March 15 approved a N4.88 trillion budget based on a benchmark of $72 per barrel of oil.

The price of oil, Nigeria’s main export commodity, dropped to around $90, compared with its peak of almost $126, earlier in the year, following concerns over a weak global economy and crisis in Europe. With this development, Nigeria will be losing more revenue if oil price continues to fall. This will no doubt put the economy in trouble – as the Federal Government may not be able to honour most of their obligations.

Effects on economy Already, the fall of oil price from $128 per barrel in March to $97 per barrel on June 16, has led to a loss of monthly revenue of $1.8billion according to experts. They said the figure may rise to $2billion

per month if the price drops to $90 per barrel. Sanusi was the first to raise the alarm about the likelihood of the fall in oil price implications on the economy. He said: “There will be a very bad day and a lot of gnashing of teeth if the oil price crashes and we haven’t saved a thing.” Sanusi noted recent discussions between the United States and other industrialised nations about the possible release of strategic petroleum reserves, and signs that producer countries, such as Saudi Arabia might increase output to help bring down oil prices. “Our major concern is a major decline in the price of oil or (domestic) output would lead to a massive depreciation of the currency, a collapse in reserves and

a huge growth in deficits and some of the states outside the oil-producing region might actually find themselves in a situation where they are not able to pay salaries. “I am trained to think in terms of ‘what if’ and that’s the mindset I bring to my job. What happens if oil prices go to $50 a barrel? It’s happened before.” Asked how far oil prices could fall before they pose a risk to Nigeria, Sanusi said a decline to around $85 or $90 a barrel - from around $120 - could lead to a shortfall in projected revenues and higher budget deficits, if Nigeria’s oil output does not increase. Continued on page 28

THE NATION MONDAY, JULY 2, 2012

ISSUES

All that glitters is not oil Continued from page 27

Managing Director/ Chief Executive officer, Financial Derivatives Company Limited Mr Bismarck Rewane said every one dollar drop in price results in a 0.25 per cent impact on government revenue on the downside. He said if oil price dropped to $90 per barrel (a 20per cent probability), government’s revenue will decline by 34.7 per cent from $4.6billion in January to $3billion in August. The expert added that the naira will fall to N170 in the parallel market. He listed other consequences to include a depletion of external reserves to $29billion by December and inflation rising to 15.5 per cent. “If there will be oil price reduction of 10 per cent, monthly revenue can drop by as much as $2 billion. In January, we had $127 per barrel as oil price and now it is down to $97 so that means price has gone down by 25 per cent,” Rewane said. He said that if the price of Brent Crude falls below $90 per barrel, there would be need for fiscal adjustment. “The fiscal adjustment will have to be for the 2012 Budget. And when it falls below $80 per barrel, there will be need for us to introduce some measures,” he added. Emerging Markets Strategist, Standard Bank Plc Mr Samir Gadio said continued withdrawals from the Excess Crude Account (ECA) by the three tiers of government has “left Nigeria virtually without fiscal savings.” “Had the accumulation of fiscal savings resumed in late 2009-2010 after the global economic crisis, aggregate foreign reserves would now be hovering between $60 and $70 billion. This would have smoothened inter-temporal boom and bust oil cycles, improved sentiments in the foreign exchange market and ensured a more viable exchange rate framework,” he said. In a forecast, Religare Capital Markets, a global emerging market specialist firm, said Brent Crude would fall to $90 a barrel by September buttressing similar predictions by other analysts. The predictions were based on the fact that since March — for the first time since 2006 — oil production has been above consumption level. According to the Energy Intelligence Group, global oil consumption has been declining since the end of last year, falling to 88.5 million barrels per day at the end of April, from 90.4 million barrels per day in late December. Analysts linked the decline to the fact that United States’ (US) demand for oil is at a 15-year low; while the economic crisis in the Eurozone has caused a drop in demand from Europe. However, world oil production has risen steadily for more than a year, largely because the Organisation of Petroleum Exporting Countries (OPEC) has been producing at its highest level since 2008, with output averaging 31.6million barrels in May, which are 1.6million barrels per day more than the ceiling agreed at the OPEC meeting in December last year. Saudi Arabia, which has raised output to over 10million barrels per day, a 30-year high, has been largely responsible for the excess. Former Group Managing Director, Nigerian National Petroleum Corporation (NNPC) Mr Chamberlain Oyibo said the crisis in Europe is impacting negatively on the crude oil business. He said: “The economies of European nations are not doing very well; industrial production is reducing, that is bound to affect oil price and Nigeria. Since we have decided in this country that we would depend solely on oil, then such drop in oil price will continue to affect us.” Oyibo said the problem was likely to persist and might cause a continued decline in oil price, with its attendant consequences for Nigeria.

Flight to safety Last week, Reuters reported that the fall in the value of naira, bonds and stock markets is nothing to cheer about. There is likely to be no change in development in coming months, the news agency said. Meanwhile, investors, are jittery that they could be hit by the falling oil price. The reason is becuase Naira has lost four per cent since April, as offshore investors exit

bonds, while its main stock index is struggling to rise above its 21,000 point support level. “The underlying problem is Nigeria’s great dependence ... on oil earnings. It cuts to the heart of most investor exposure,” said Ms RaziaKhan, Regional Head of Research, Standard Chartered Bank. “For as long as there is concern that oil earnings could be at risk, then Nigeria is unlikely to see a scaling up of foreign portfolio investor flows,” she told Reuters. Nigeria was a darling of frontier investors, with one of the best performing stock markets in 2006/2007. At its 2008 peak, it traded $100 million a day. Now it barely manages $16 million. Bonds too are getting lower foreign interest, with a resultant climb in yields - the most liquid threeyear is trading at 15.5 per cent, up from 11.23 per cent a year ago. Traders said foreign investors are not panic-selling short term debt, noting that when it comes up for maturity, they are taking their money back, rather than reinvesting it. “The main reason for the exit (of foreign funds) is higher global risk aversion ... stemming from concerns over Europe’s debt crisis and a weaker global economy,” said Stuart Culverhouse, chief economist at brokerage firm Exotix. “This flight to safety is not unique to Nigeria.”, he said. It is not likely to change any time soon, however. “We can’t just expect the euro zone crisis to end in a few months, this is a long-standing issue,” said Samir Gadio, emerging market strategist at Standard Bank. “It has the potential to result in intermittent increased financial market volatility,” which would hurt Nigeria. Nigeria’s index is still trying to recoup losses of almost 17 per cent, sustained last year - a 22 per cent loss in dollar terms, caused by the Naira’s weakness. “Were oil prices to fall further to an average of $80 through 2012/13, Nigeria’s current account surplus would narrow ... (and) ... an acceleration in portfolio and other banking sector capital outflows are likely to gain further momentum,” said Andrea Masia, analyst at Morgan Stanley. “This exodus of capital may also lead to significant currency weakness, potentially forcing one dollar to N170.” That might compel an adjustment of the central bank’s 150-160 target band. Naira/dollar eased to a 22-week low of 163.68 two weeks ago, on strong demand by investors repatriating funds, but the bank’s intervention has since lifted it to N162.45 to the dollar. With foreign reserves of around $37 billion and a low debt to Gross Domestic Product (GDP) ratio of around 16 per cent, Nigeria has a leeway to keep defending the Naira at current levels, but nobody knows how long it has to do so. The Federal Government, however, believes that there is no cause for alarm. Director-General, Budget Office of the Federation (BOF) Dr Bright Okogu, said crude price does not pose a threat to the budget. He allayed fears that in the short term, the slide from $120 a barrel earlier in the year to below $83 per barrel in the international market, occasioned largely by the Euro zone debt crisis, could have a negative impact on Budget implementation and put pressure on CBN to devalue the Naira. Okogu said the budget was predicated on a crude benchmark of $72 per barrel, based on a projected production of 2.48 million barrels per day.

Foreign reserves depletion According to CBN, the foreign reserves reduced further by $220million in four days to close at $37.242billion a fortnight ago. The

•President Goodluck Jonathan

•Finance Minister, Dr Ngozi Okonjo-Iweala

•Petroluem Minister, Mrs Diezani AlisonMadueke

•Sanusi

reserves stood at $37.462 as at penultimate Friday. It fell by another $52 million to $37.190 billion few days after and was like that as at last Friday. The Managing Director, Dambis Bureau De Change Limited, Mr Adeboye Adenuga, said the demand for dollars is not being met at the CBN’s window. He said the Naira slipped to a 22-week low last Tuesday exchanging for N163.68 to the dollar at the interbank market. “Nigerian economy is largely dependent on oil. The government gets 90 per cent of its revenue from oil. A steep drop in crude prices translates into less crude revenues and weakens the capacity of the CBN to defend the Naira at its preferred rate. If the CBN cannot defend the Naira, the Naira will depreciate and depreciation of the Naira means whatever gains foreign investors have made in currently held positions in government securities will be wiped out by the depreciation in the exchange rate,” he said.

Vice-Chairman, Anchoria Investments Securities Limited Dr Olusola Dada said the stock market would be affected by the development. Dada said the decline in crude price coincided with the period the stock market is struggling to get out of the woods. He said the issue might scare the remaining foreign portfolio investors if care is not taken. “In 2008 when there was a sharp fall in the crude prices from over $120 per barrel to about $40 per barrel, there was a sharp fall in the value of the naira as foreign investors quit the capital and money markets. This led to the eventual collapse of the capital market, a rapid buildup of toxic assets on banking books and the eventual failure of some banks,” he added.

‘The economies of European nations are not doing very well; industrial production is reducing, that is bound to affect oil price and Nigeria. Since we have decided in this country that we would depend solely on oil, then such drop in oil price will continue to affect us’

Way forward There is a need to have a robust Excess Crude Account (ECA) - where the country saves oil revenues over a benchmark price, currently $72 a barrel or a Sovereign Wealth Fund (SWF). Both can be used to protect the economy when oil prices are down. The onus now lies on the governors who agreed last Monday to boost the excess crude account from $5.3 billion to $10 billion to address the uncertainty in the global economy. The ECA, which contained $20 billion in 2007 now holds around $5 billion despite years of record high oil prices. The effective launch of SWF would also help in mitigating certain risks in the economy, and further provide funds for the running of the government.

THE NATION MONDAY, JULY 2, 2012

PERSONAL FINANCE

Making appropriate order to brokers (1)

Investor’s Worth

Playing the big stakes

HERE are more than 43,000 shareholders of RT Briscoe (Nigeria) Plc. With several shareholders holding as little as 100 shares, RT Briscoe is a growth stock with wide appeal among retail investors. Only two institutions hold more than five per cent equities in the automobile and real estate group. Mikeade Investments holds the largest equity stake of 21.62 per cent while Classic Motors holds 8.26 per cent. The majority controlling equity stake of RT Briscoe however lies in the hands of some 532 shareholders who altogether hold about 76.7 per cent equity stake. Chief Clement Olowokande is the well-known major shareholder in RT Briscoe. With some 0.07 per cent equity stake, Olowokande holds the largest equity stake among the directors of RT Briscoe. Besides, Olowokande is the single largest Nigerian shareholder in Berger Paints with a direct equity control of some 2.53 per cent and indirect holding of 0.94 per cent, putting his total interests at about 3.5 per cent.

From whatever perspective, Olowokande is a big-stake player in the Nigerian stock market. Sitting atop two of the leading quoted companies, he has proven to be a survival strategist and proactive manager sustaining two heritage companies of more than five decades. As chairman of Berger Paints Plc and RT Briscoe Plc, Olowokande has sustained two value-creating companies within two highly fragmented sectors and equally unpredictable •Olowokande macro economy. Berger Paints Plc is one of the two topmost paints and chemi- capital goods that resulted from cal companies in Nigeria with economic recession and liquidcurrent market value of about ity squeeze. RT Briscoe has made N1.86 billion while RT Briscoe bonus issues- which automatiis undoubtedly the leading au- cally increase a shareholder’s tomobile company with market holdings, for nearly six times in value of N2.48 billion. From the past five years. Besides, it has manufacturing to auto trade and paid cash dividends for 20 years real estate, Olowokande controls out of the past 23 years includsynergistic investments that re- ing consistent year-on-year paycycle values within themselves. ment for more than a decade. A regular cash dividend flow For Olowokande, value creation and scrip issues have proven RT is a mutually-rewarding conBriscoe as a value-yielding in- cept, for one and the sundry vestment in spite of the stock shareholders that trust one with market recession and flight from their monies.

Ask a Broker What is net asset value (NAV)?

ET asset value (NAV) simply refers to the remaining assets of a company or investment after deduction of all liabilities. Also known widely as book value (BV), the net asset value is equivalent to shareholders’ funds or equity funds and it’s

regarded as ownership claim and least value of the a company. Where liabilities exceed assets, net asset value could be negative and thus leave shareholders with losses rather than positive value. Net asset value is calculated

by deducting total liabilities from total assets at a given period. For instance, Nestle Nigeria closed the year ended December 31, 2011 with total assets of N76.944 billion as against total liabilities of N53.451 billion, leaving the company with net assets of N23.492 billion.

Ways and Means

Using savings account for global banking

AVINGS accounts are traditionally book-based over-the-counter personal withdrawal accounts. With the owner’s passport photograph boldly embossed on the deposit/ withdrawal book, several banks have customised identity cards for savings accounts holders, altogether making banking relationship a show-me-your-face banking hall affair. Cumbersome, the long queue of savings accounts withdrawers is not only frustrating to customers but it reduces the general convenience of the banking hall. The only attractions to savings account are the relatively low minimum deposit and the absence of charges, otherwise known as commission on turnover (COT). But United Bank for Africa (UBA) Plc is offering the banking public the traditional advantages of the savings account without the traditional hassles and limitations. With a minimum opening balance of N2,000, UBA Savings Account provides the account holder access to several cost-saving electronic banking products and services, which provide the savings account holder access to his money anywhere from any channel including mobile phone. Besides, there are no interstate charges on withdrawals from the savings account. With UBA’s leading operation network as one of Africa’s most diversified financial services group with operations in 19 African countries and three global financial centers- London , New York and Paris, electronic products provide the savings account holder with global access to his

deposits without the encumbrance of withdrawal book. These complementary e-products and services include Automated Teller Machine (ATM), Point of Sale (PoS), U-Direct, UMobile, UBA Verve Card, UBA Visa Prepaid Card and UBA Naira Debit Card among others. UBA’s U-Direct- an internet banking platform, provides all customers all-hours access to their accounts-savings, current, loan etc. With U-Direct, customers are able to conduct most transactions available within UBA branches but without having to visit the branch. They can make payments, transfer funds to other bank accounts within and outside UBA, pay bills, remit money and several other personalised services. In the same vein, U-Mobile, the phone-based money service, practically puts the bank in the pocket of the customer. With their mobile phones, customers can manage their bank accounts, savings or current, and carry out a wide range of financial transactions including instant funds transfer, bills payment, airtime top-up, payment for goods and services, balance enquiries amongst others. All financial transactions on U-Mobile are secured by pin and password that guarantee security of transactions. UBA already have most of the common billers on U-Mobile, making it very easy for customers to renew their satellite television subscription, pay utility bills and other scheduled payments. UBA also has a rich portfolio of cards including debit, credit and prepaid cards. All UBA cards are

•GMD, UBA, Mr Phillips Oduoza

EMV cards with Chip and PIN security. UBA ATMs also provide round-the-clock services to customers including withdrawal, balance enquiry, funds transfer, phone airtime recharge, change of PIN, printing of mini-statement and bill payments. Point of Sale (PoS) allows local and international cardholders to pay for goods and services in a retail environment. The Naira Visa Card is a globally accepted payment card that is directly linked to customer’s Naira denominated current or savings account. It enables the holder to pay for goods and services anywhere in the world at any Visa Acceptance location. Besides, the Verve card, a debit card linked to current and/or savings account, enables cardholder to pay for goods and services as well as transfer funds to beneficiaries in any bank within Nigeria. With all these, UBA Savings Account provides cost-minded customers with the opportunity of saving their money while enjoying the high-value banking services.

SIGNIFICANT proportion of complaints from investors against stockbrokers relates to non-purchase of shares. Both complaints of non-remittance of share sales proceeds and complaints bordering on non-purchase of shares accounted for nearly half of complaints against stockbrokers. With an average of 882 new complaints every year, dispute resolution in the capital market now requires not only adjudication but proactive enlightenment to enable all operators; especially investors understand the imports of certain decisions and requirements. As agents of investors, who are the principals in all transactions, stockbrokers are duty bound to actualise the mandates or orders of investors. However, there are generally two broad reasons why a stockbroker may not effect the order of an investor. The first reason, which may account for the larger percentage of complaints, borders on unrealisable order- due to market conditions and investors’ restrictions. The second reason for delay relates to fraud and undue use of investors’ monies to manage corporate cash flow. It will however, be easier for investors to hold stockbrokers accountable if they understand how to effectively communicate their investment decisions and orders to the stockbrokers. The importance of understanding and making appropriate orders cannot be over-emphasised. For instance, an investor that instructed a stockbroker to “help me sell the stock today” might think he has given a market order to the stockbroker to sell the stock within the week whereas his instruction fell in the category of a “day order” and the stockbroker is not obliged to revisit such order if he cannot actualise it on the mandate day. It’s also possible for the stockbroker, because of familiarity to misconstrue such “day order” to imply sale mandate for some days,

Company Niger Ins Chellarams Seven-Up AG Leventis Evans Medical

Dangote Flour Mills Tantalizers MRS Oil

By Taofik Salako

whereas the investor may be categorical in his specification. Basically, orders are categorised by the absence or presence of any limitation in terms of prices and period of execution. But, marketsavvy investors have overtime learnt to use demandspecific orders to frame their mandates and reduce the possibility of any misunderstanding. Besides, expression of order in specific instructionspelling out the value and volume relating to the order, smoothens the investor-broker relationship and in the event of any unprofessional conduct, exactitude of the order will provide iron-cast evidence for redress. For instance, an investor who has two or more accounts with shareholdings with a broker with different units of shareholdings in Zenith Bank can issue an order: sell my Zenith Bank shares. While the investor may have certain number of shares in a specific account in mind and probably assume that the broker will know he was referring to his most active and trading account, the broker may take the order in the general import of it and sell all the shareholdings in Zenith Bank. Instances of “I-think-my broker-should-know” have been found to be responsible for several complaints and grudges by several investors whose lack of clearly spelt out orders did not allow capital market regulators or established adjudicatory channels to rule in their favour. Besides, a stockbroking firm may have many trading brokers and as such familiarity with a particular broker is not enough reason for vague trade order. An order should be clearly worded and detailed enough to enable any broker trade on it, even without any historic relationship with the account. Issuing a vague order can also play into the hand of a ‘greedy’ broker-dealer in a bullish market. Since a broker-dealer knows the market direction more than the off-

AGM Date AGM Venue 19-07-12 Golden Gate, Ikoyi, Lagos 27-09-12 NA 20-09-12 Muson, Lagos 05-07-12 Mainland Hotel, Oyingbo Lagos 26-07-12 Factory, Km 32, Lagos-Ibadan Express, Ogun State 05-07-12 To be Advised 28-07-12 10-07-12

NA Federal Palace Hotel, VI, Lagos

the-trading-machine investor, he is in a better position to determine an upswing or downswing and may take advantage of any sloppiness in the framing of an order. For instance, in a clearly bullish trading session, a broker may take advantage of his price-moving capacity to purchase his client’s shares or swap in a cross deal at lower price. Based on the maximum allowable price change rule of the Nigerian Stock Exchange (NSE), this can undercut investor’s return by as much as five per cent. Conversely, it can also increase investor’s cost by as much value. Although capital market operators are guided by ethics and sense of higher moral standards, investors must bear in mind that the engagement standards are based on the rules of the trade and as such an ‘obvious’ betrayal of trust to moral sense and ordinary perception, may not appear so to constituted legal dispute resolution channels. While all stockbroking firms have mandate forms that provide detailed guidance to investors about the stock, unit, price and conditions relating to a particular order, it’s still important for investors to understand the import of each specification and the finality of his signature on such mandate form. Besides, the use of electronic channels-such as short text message (sms) and email, to make orders requires that investors understand proper wording of orders. The following are some of the widely used and recognised orders: Market order: A market order is an instruction to the broker to buy or sell certain units of shares or securities at the prevailing market price. A typical market order will read: Date: June 29, 2012 Buy Order Buy order for Johnson Adio, Account Number: 2902567, Clearing House Number: C890246JA, Stock: Eterna, Volume: 10,000 shares, Price: at market value, Valid period: until further notice or subsisting till actualisation.

Time

Div (kobo) Closure

NA NA NA

2.5 10 200

6-07-12 NA 13-07012

27-04-12

12 p.m. NA

NA 10

13-07-12 20-06-12

25-05-12

11.00a.m. 70

Feedback/Comments: Email: taofad2000@yahoo.co.uk; SMS only: 080-2833-0861

15-06-12

THE NATION MONDAY, JULY 2, 2012

MONEY LINK

Cash-less: CBN gets $510,000 data recovery grant

HE Central Bank of Nigeria (CBN) has secured $510,000 grant from the United States Trade and Development Agency (USTDA) for the establishment of a Disaster Recovery Centre (DRC). The centre is expected to assist the apex bank fortify and protect epayment transactions in the country. Head Shared Services, Chidi Umeano, who made this known in Lagos, said the grant will be used to finance qualified US firm to provide expert consulting services in determining the technical requirements, business and operational models for the project. Already, a vendor has been evaluated and selected by the CBN, which has also received a ‘letter of no objection’ from

By Collins Nweze

USTDA. Besides, he said the legal unit of the CBN is already drafting contract agreement that will be reviewed and binding on both parties. He also said the banking watchdog is also developing modalities or work plan for implementation of shared tierthree Disaster Recovery Centre infrastructure and services. The apex bank is also working on shared power infrastructure service to the banks and developing the Nigeria Financial services network (NFSN) to effectively achieve these objectives. “The CBN is also setting up IT Standards Board and requisite governance framework to oversee the administration of IT standards in the industry and drive its adoption across the players

in the industry. We understand that payment is the key driver of cost distribution in the industry and accounts for almost 60 per cent of the industry cost base,” he said. Consequently, Umeano explained that the CBN is working with the banks to ensure more efficiency in the payment system, adding that cash management constitutes almost 80 per cent of bank infrastructure and staff, which directly drive up, the cost of banking service. He said that the CBN having monitored the partial implementation of the cash-less policy and following stakeholder engagement on the effective implementation of the project, decided to reassess its parameters to allow for smooth transition and adoption.

For instance, the apex bank has given exemptions to Ministries, Departments and Agencies (MDAs) of the federal and state governments on lodgments for revenue collections only. Umeano said the cash-less initiative has tremendous benefits for the people and the economy. It will reduce the cost of cash handling and cost of funds; with available statistics showing that the CBN and the banks would have spent over N200 billion on cash management this year. This cost he explained, can be ploughed into infrastructure development. “It would also mean that majority of Nigerians would stop subsidising the cash handling cost of heavy cash users,” he said.

Citiserve sensitises merchants on PoS usage

ITISERVE, a subsidiary of Vigeo Holdings Limited at the weekend, held discussions with merchants on the need to increase usage of Point of Sale (PoS) terminals by card users in the country. Speaking at a forum in Lagos, Chief Executive Officer, Citiserve Lola Ogunbambi said that by encouraging card users to pay with their Automated Teller Machine (ATMs) will promote the Central Bank of Nigeria (CBN) cashless policy initiative, increase merchants’ business turnover as well as save costs associated with cash usage. According to her, despite the huge deployment of PoS terminals by banks to merchants to facilitate the cashless policy, there is a still a gap between

knowledge and adoption, even as technical issues pose a great challenge to the initiative. Ogunbambi said the forum organised by Citiserve with the theme: “Adopting the Cashless Economy: Embracing the PoS”, was the company’s way of resolving some of the key challenges facing the cash-less initiative. She said that there is a need not just to enhance regular use of PoS but take steps that will promote financial inclusion in the country. The Citiserve boss added that a lot of PoS terminals have been deployed in the past few months, but there is need to continually keep them in good working conditions to ensure seamless operations. The Head, e- Distributions,

Citiserve, Jubril Salaudeen said that operators are aware of key challenges facing the use of PoS such as poor network, delayed credit to merchants’ accounts by banks, and poor infrastructure. He said that regular transfer of trained sales staff by merchants makes it difficult to keep experienced hands in the industry. He added that operators are keeping in touch with such employees to ensure they remain useful in the industry. “We are tracking staff movement to ensure that those that have been trained and experienced, continue to remain in the industry to use their experiences,” he said. Also at the forum were representatives of United Bank for Africa (UBA), one of the banks

that Citiserve is partnering in the cash-less projects. Head e-product Sales, UBA, Henry Obike said that complaints arising from the number of days in which settlements are remitted to merchants’ accounts would be addressed as soon as the Nigeria Interbank Settlement Scheme Plc (NIBSS) reviews its guidelines. Obike further explained thus: “the T+1 is temporal. The NIBSS is working towards a same day settlement as soon as issues are resolved. Irrespective of a pending settlement, such transactions would be reconciled once the transaction has been consummated at the NIBSS and receipt of payment received by customers,” he said.

FGN BONDS Amount N

Rate %

M/Date

3-Year 5-Year 5-Year

35m 35m 35m

11.039 12.23 13.19

19-05-2014 18-05-2016 19-05-2016

Price Loss 2754.67 447.80

INTERBANK RATES 7.9-10% 10-11%

PRIMARY MARKET AUCTION (T-BILLS) Tenor 91-Day 182-Day 1-Year

Amount 30m 46.7m 50m

Rate % 10.96 9.62 12.34

Date 28-04-2011 “ 14-04-2011

GAINERS AS AT 29-6-12 SYMBOL

OANDO RTBRISCOE PAINTCOM EBTC DANGFLOUR CCNN EVANSMED DANGSUGAR MAYBAKER FIDSON

O/PRICE

12.80 2.01 1.82 6.10 5.20 5.63 0.64 4.00 1.79 0.90

C/PRICE

13.44 2.11 1.91 6.40 5.45 5.90 0.67 4.18 1.87 0.94

O/PRICE 0.80 26.80 1.04 2.50 0.88 1.13 2.10 0.72 1.56 0.54

C/PRICE 10.76 25.50 0.99 2.38 0.84 1.08 2.01 0.69 1.50 0.52

and finance firm has expanded its funding of Small and Medium Enterprises (SMEs) with $323 million under its management. The firm at the weekend announced that it has invested in over 350 businesses across Africa and the Middle East to date with the SMEs investor and developer’s funds. Chief Executive Officer, GroFin Africa, Guido Boysen said the firm’s improved performance in SMEs funding has assisted beneficiaries in growing their businesses. “We are thrilled to reach this significant milestone, which illustrates the sheer volume of SMEs we have been able to support through our pioneering model with risk capital and business development assis-

tance. These businesses span a wide range of sectors, business stages and countries,” he said. GroFin’s funding of up to $1.5 million per transaction are invested in supporting entrepreneurs and business owners to start or grow a business. With an increase in funds under management, the GroFin Group is poised to open several new offices in 2012 and 2013. He said that firm plans to establish offices in Zambia in addition to its existing nine offices , whilst GroFin Middle East and North Africa opened their regional office in the UAE in May, Jordan will open in September with a further three country offices opening in the next two years in addition to the existing Oman office.

CHANGE 0.76 1.30 0.05 0.12 0.04 0.05 0.09 0.03 0.06 0.02

Exchange Rate (N) 155.8 155.8 155.7

Date 29-2-12 27-2-12 22-2-12

CAPITAL MARKET INDEX Year Start Offer

NGN USD NGN GBP NGN EUR NIGERIA INTER BANK (S/N) (S/N) Bureau de Change (S/N) Parallel Market

Current Before

C u r r e n t CUV Start After %

147.6000 239.4810 212.4997

149.7100 244.0123 207.9023

150.7100 245.6422 209.2910

-2.11 -2.57 -1.51

149.7450

154.0000

154.3000

-3.04

152.0000

153.0000

155.5000

-2.30

153.0000

154.0000

156.0000

-1.96

DISCOUNT WINDOW Feb. ’11

July ’11

Dec ’11

MPR

6.50%

12%

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

8.50% 4.50% 25.00% 1.00% 12.10%

8.50% 4.50% 25.00% 2.00% 12.10%

9.50% 5.50% 30.00% 2.00% 12.6%

NIBOR Tenor 7 Days 30 Days 60 Days 150 Days

NSE CAP Index

27-10-11 N6.5236tr 20,607.37

Rate (Previous) 4 Mar, 2012 9.0417 9.6667 11.2917 12.1250

Rate (Currency) 6, Mar, 2012 10.17% 11.46% 11.96% 12.54%

28-10-11 N6.617tr 20,903.16

% Change -1.44% -1.44%

MEMORANDUM QUOTATIONS Name

CHANGE

0.64 0.10 0.09 0.30 0.25 0.27 0.03 0.18 0.08 0.04

Amount Sold ($) 150m 138m 113m

EXHANGE RATE 6-03-12

LOSERS AS AT 29-6-12

SYMBOL NEIMETH PZ LIVESTOCK PORTPAINT WAPIC TRANSCORP HONYFLOUR JAPAULOIL CUSTODYINS DNMEYER

counters and Automated Teller Machine (ATM).

Firm expands SMEs funding with $323m ROFIN, an investment

Amount Amount Offered ($) Demanded ($) 150m 150m 138m 138m 113m 113m

Currency OBB Rate Call Rate

Sanusi

WHOLESALE DUTCH AUCTION SYSTEM

MANAGED FUNDS

NIDF NESF

•CBN Governor, Lamido

DATA BANK

Tenor

Initial Current Quotation Price Market N8250.00 5495.33 N1000.00 N552.20

He added that only 10 per cent of branch transactions in Nigeria are above N150, 000, but they make up about 77 per cent of the value of cash transactions in the country’s financial system. The initiative will also usher in an era of convenient and secure payment systems, he said. According to him, the policy was designed to promote financial intermediation, financial inclusion, minimise revenue leakages in the economy. He said the policy on withdrawal allows individual customer to make a free cumulative withdrawal or deposit of N500, 000 daily across the

Offer Price

Bid Price

ARM AGGRESSIVE 9.17 KAKAWA GUARANTEED 1.00 STANBIC IBTC GUARANTE 124.54 AFRINVEST W.A. EQUITY FUND 101.91 LOTUS CAPITAL HALAL 0.74 BGL SAPPHIRE FUND 1.09 BGL NUBIAN FUND 0.95 NIGERIA INTERNATIONAL DEB. 1,735.58 PARAMOUNT EQUITY FUND 8.95 CONTINENTAL UNIT TRUST 1.39 CENTRE-POINT UNIT TRUST 1.87 STANBIC IBTC NIG EQUITY 7,485.29 THE DISCOVERY FUND 193.00 FIDELITY NIGFUND 1.67 • ARM AGGRESSIVE • KAKAWA GUARANTEED • STANBIC IBTC GUARANTE • AFRINVEST W.A. EQUITY FUND

9.08 1.00 124.43 101.03 0.72 1.09 0.93 1,725.57 8.51 1.33 1.80 7,289.38 191.08 1.62

Movement

OPEN BUY BACK

Bank P/Court

Previous 04 July, 2011

Current 07, Aug, 2011

8.5000 8.0833

Movement

THE NATION MONDAY, JULY 2 , 2012

MONEY MARKET REPORT

Reserves slump on declining oil price N

IGERIAN’S foreign reserves on June 28 declined to its lowest in one month to ($36.76 billion), losing over $880 million. The reserve was $37.64 billion on June 1, the latest figures from the Central Bank of Nigeria (CBN)indicated. Oil in international market price stood at $95.2 per barrel on June 28, as against $113.81 per barrel in January 2012. Analysts at FBN Capital attributed decline in inflow of foreign exchange partly to the current low crude oil prices in the international markets and other challenges in the policy environment. They urged the CBN to build up adequate external reserves to satisfy the genuine needs for foreign exchange as such is consistent with the increase in the growth in economic activity. It will equally assist in conserving resources and withstanding external shocks. However, at December 2011, the stock of external reserves represented 6.6 months of imports cover, which exceeded the West African Monetary Zone (WAMZ) requirements of three months of imports cover. The expectation was that reduction in oil subsidy would help raise the reserves level but not much is being achieved in this directive. Previously, shady practices in petroleum imports and over bloated subsidy payments by its managers had exerted pressure on foreign reserves, simultaneously weakening the local currency. Same trends led to 40 per cent decline on petroleum import bill after subsidy cut in January. Gregory Kronsten of Macro & Fixed Income, FBN Capital had predicted a volatile forex market this quarter, as oil importers begin to implement their import quotas. He also opined that reduction in subsidy, although a retreat from the proposed deregulation should bring lasting gains in terms of reserves saving, as the large gap between fuel imports and domestic consumption narrows. Renaissance Capital (RenCap), an investment and research firm, said a pick-up in petroleum import demand may slow the buildup of reserves in the short term, but lacked force to reverse the current gains. It expects interest rates to remain high for longer, as a pre-emptive policy to sustain a stable naira. Also, the naira is expected to be weakened by a continuous decline in the prices of oil at the international market, Managing Director, Financial Derivatives Company Bismark Rewane has said. Speaking at the June Monthly Economic Report, he explained that renewed volatility in the exchange rate in May weakened the naira by 0.04 per cent to N155.75 at Wholesale Dutch Auction System (WDAS). This was the result of a 58.82 per cent increase in the effective demand for dollars; which was reflected in total forex auction sale of $1.62 billion in May, as against $1.02 billion in April.

Interbank Interbank lending rates eased marginally last week to an average of 15.16 per cent, from 15.83

Foreign reserves ($ billion)

By Collins Nweze

per cent last week, after the disbursal of budgetary allocations to government agencies on Wednesday. Nigeria, Africa's top energy producer, distributes money from oil revenue to its three tiers of government from a centrally held account, which provides liquidity for the banking sector and eases the cost of borrowing among banks. Dealers said that rates remain high due to some large outflows from the system during the week. "The market was short before the release of the budget allocations because the central bank had been selling dollars directly to banks to support the naira," one dealer said. The secured Open Buy Back (OBB) eased to 14.50 percent compared to 15 per cent last week, 2.5 per centage points above the central bank's 12 per cent benchmark rate, and 4.5 percentage points above the Standing Deposit Facility (SDF) rate.

T-bills N134.56 billion treasury bills with maturities ranging from three months to one year was sold at the bi-monthly auction, with yield performance mixed compared with the previous auction, the central bank said on Friday. The bank said it sold 21.84 billion naira worth of 91-day paper at a return of 14.09 percent, slightly higher than the 14.05 percent at the previous auction.

Access to finance The CBN said that access to finance is a key determinant of Nigeria's economic development. Speaking at a forum in the United States, CBN Deputy Governor, Financial System Stability Dr. Kingsley Moghalu said opportunities abound to invest in Nigeria's growing sectors such as education, health, manufacturing, Small and Medium Scale Enterprises (SMEs) and agriculture. He said Nigerian economy has undergone significant reforms to attract investment, particularly from the United States. According to him, the Small and Medium Enterprises Credit Guarantee Scheme (SMECGS), Nigerian Incentive - based Risk Sharing System for Agricultural Lending (NIRSAL), Commercial Agricultural Credit Scheme (CACS) and other initiatives of the CBN are aimed at jump-starting the economy financially.

NDIC The Nigeria Deposit Insurance Corporation (NDIC) has identified the lack of proper understanding of its legal status as liquidator/depositor insurer by legal prac-

•Sources:

Debt Management Office (DMO), FBN Capital Research

titioners and the courts as a constraint to its operation. Managing Director of the Corporation Umaru Ibrahim disclosed this at the sensitisation seminar for stakeholders on the challenges to deposit insurance law and practice in Nigeria in Abuja. He noted that one of the major challenges confronting the corporation was the "lack of proper understanding of the legal status of NDIC as liquidator/depositor insurer by legal practitioners, the court and the public at large." Other challenges that handicap the NDIC are the menace of liquidation related litigations which make it difficult for the corporation to completely wind up failed banks in accordance with the law and settle depositors and other creditors within a reasonable time."

Africa's economy Regional Head of Research, Africa, Standard Chartered Bank, Ms Razia Khan has said Africa has huge growth potentials that will be sustained in the coming years. In a World Economic Forum (WEF) report,Khan said since the global financial crisis, African growth has returned to trend, and as more countries build on previous successes, growth may eventually ex-

ceed the trend seen before the crisis.

Power, aviation fund The CBN said it has disbursed a total of N144.6 billion under its Power and Airline Intervention Fund (PAIF) as at December 31, 2011.The banking sector regulator disclosed this in a chart titled: "Power and Airline Intervention Fund (PAIF) Cumulative Fund Disbursed as at December 31, 2011" posted on its website last week.

Financial inclusion The Chartered Institute of Bankers of Nigeria (CIBN) said plans are underway to introduce a draft on financial inclusion aimed at deepening financial services penetration and mobilising credit for the real sector. The institute in a statement lamented that the financial industry has failed to create banking services that meet the needs of the rural dwellers noting that 70 per cent of Nigerians are unbanked and poor, with poverty rate rising sharply.

Customer complaints Deposit money banks have in the last two years, refunded a total of N4.3 billion to customers over

‘The expectation was that reduction in oil subsidy would help raise the reserves level but not much is being achieved in this directive. Previously, shady practices in petroleum imports and over bloated subsidy payments by its managers had exerted pressure on foreign reserves, simultaneously weakening the local currency’

breaches of transactional agreements. The fund covers 3,306 petitions lodged at Consumer and Financial Protection Division of the CBN from March 01, 2010 to March 31, 2012, The Nation exclusively gathered. The unit is mandated to educate consumers and defend their interest, detect money laundering and combat financial terrorism as well as enhance awareness on these issues.

Bank to bank report Ecobank Transnational Incorporated (ETI) has concluded a Memorandum of Understanding (MoU) with the Export-Import Bank of India (EXIM Bank) to promote and finance trade and investment flows between Africa and India. The bank said the agreement will see EXIM Bank co-operating with Ecobank to explore joint trade and investment opportunities in the future across the group's networks in 32 countries in Middle Africa. India's trade with Africa has doubled over the past four years to over $50 billion, with the Indian government setting a 2015 bilateral trade target of $90 billion. This has been accompanied by stronger investment ties, with Indian investments in Africa totaling $2.4 billion in 2008. Unity Bank Plc held its first national draw on the ongoing 'AIM, SAVE & WIN' promo on Saturday, June 30 at its corporate headquarters in Abuja. The draw, which is the first before the grand finale, is targeted at costumers from various regions across the country and will have a lucky winner going home with the star prize of a brand new car.

THE NATION MONDAY, JULY 2, 2012

THE CEO With advances in information technology (IT), many have lost faith in the Post. They are now used to the Internet and related devices. But Post-Master General and Chief Executive Officer (CEO) of the Nigerian Postal Service (NIPOST) Alhaji Ibrahim Mori-Baba tells ADLINE ATILI that the Post will remain relevant in the communication world. All that is needed for the postal public operator to prove its mettle is to commercialise it, he says.

‘Privatisation can’t solve NIPOST’s problems’

ITH advances in Information Technology (IT), do you think postal services are still relevant? The Post is the oldest form of communication service. It has been relevant; is relevant today and will remain relevant for a very long time. There is this erroneous impression that the Information and Communications Technology (ICT) revolution has dealt a blow on postal services. ICT is actually an enabler of all businesses and processes. ICT is impacting on all endeavours; be it finance, architecture, medicine, law or the Post. For example, the deployment of ICT in banking has not led to irrelevance of the banking sector neither has e-learning led to closure of universities and educational institutions. In the same way, ICT deployment in communications can impact positively on it. ICT is a product of the Post; an improvement on the traditional physical mail. Take a closer look at the Internet - it is simply the physical mail delivery process that has been virtualised. The sign of Internet is an ‘envelope’?the official logo of the Post globally. In fact, the Internet Protocol (IP) is Post Office Protocol (POP). All the processes from writing the mail to delivery is based on the • Continued on page 33

• Ibrahim Mori-Baba

THE NATION MONDAY, JULY 2, 2012

THE CEO

‘Privatisation can’t solve NIPOST’s problems’ •Continued from page 32

postal service procedure. It is a thing of pride that the technology that has changed the whole world today is a derivative of the Post. The Internet has brought about a massive surge in parcel deliveries in many countries via electronic commerce. What steps are you taking to woo online shopping sites and shoppers to utilise your post offices for delivery of products? As a direct substitute to personal letter mail, Internet usage has drastically impacted on person-to-person mail volumes. On the other hand, volumes of parcels and small packets are growing as a result of online shopping. In fact, as of today, the bulk of items received from abroad and delivered locally are products of e-commerce. Currently, we are well-positioned to support e-commerce delivery if the market is properly structured. As things stand in Nigeria, e-commerce is at its infancy not because of the Post, but because of the low level of ICT penetration in the country. There are still issues of cyber security, high level of cash transactions, low broadband access, and so on. Talking about cyber security, is there collaboration among NIPOST, the Economic and Financial Crimes Commission (EFCC) and other security agencies, as well as international security organisa-

tions on cybercrime? Yes.We take keen interest in fighting local and trans-national crimes through the postal network by collaborating with local and international security agencies, such as EFCC, to detect and intercept criminal items ranging from fake financial instruments worth billions of dollars ($24 billion in 2009 and $6.5 billion in 2010); assorted illicit drugs and chemicals; to highly sophisticated weapons including rocket launchers and ammunition making machines, routed through the postal system. Some of these agencies have commended us for such cooperation. What do you think the Federal Government should do to reposition the postal industry for greater economic contribution? The Post is a global organisation under the umbrella of the Universal Postal Union (UPU) with over 600,000 postal networks. The changes in the postal industry are universal and World Postal Strategies have been drawn up to confront the challenges. Among these is product diversification. From time immemorial, the Post has operated on a tripod: Physical delivery (mail), financial services (savings/remittances) and Digital (telegrams). This has been the tradition in many countries. Unfortunately in Nigeria, as a result of funding problems, only the physical aspect has been in existence.

‘We have done well, given our price regime of N50 to deliver mail to any destination in this vast nation as against thousands of naira charged by courier companies for delivery only to cities. Their cherry picking and comfortable price regime makes it possible for them to make profits and invest in new technologies’

• Mori-Baba

This has to change, to include the financial and digital aspects in a more diversified approach. This has been emphasised in the Nigerian Vision 20:2020 document, which recognises the extensive postal network and diverse product offerings as a necessary tool for achieving social, financial and digital inclusion for the unserved and underserved areas of the country. To achieve this diversification agenda requires an enabling environment, such as, a progressive policy regime, a review of the Postal Act to separate the regulatory aspect from operations and injection of capital. All these are being tackled at the ministerial level as well as by relevant stakeholders. Right now, we are working with the Central Bank of Nigeria (CBN) and relevant stakeholders to actualise a Public Private Partnership (PPP) arrangement that will facilitate the realisation of the financial and digital inclusion aspects. How will these partnerships address challenges in the industry? Attempts to introduce innovative products and services, such as Postcash and roll out cyber cafés in post offices have actually been stunted by dearth of infrastructure. Hopefully, the PPP initiatives of the CBN and the Ministry will help overcome these. A recent UPU research on global development on postal e-services shows up to 55 different types of e-services categorised into e-post, e-finance, ecommerce and e-government. Some of these are integrated. For instance, e-commerce also requires e-financial payment services to be successful. There are challenges to these innovative approaches particularly giving the state of infrastructure such as electricity and broadband connectivity, which are key drivers of technology. Like I said, these partnership initiatives will help us address these problems for overall economic development. Analysts say privatising NIPOST to make it a cost-effective universal service provider will go a long way in making it a commerciallyviable entity, offering affordable, reliable, universal, and more efficient postal-delivery services. What is your take on this? Privatisation has been suggested by many as the panacea to the problem of the Post in Nigeria. It was on that basis that international consultants were engaged by the Federal Government. However, the studies and recommendations show that Nigeria is not ripe for that. As a matter of fact, there are only a very few countries that have privatised their Posts. The answer for now is commercialisation. That is, make the public postal operator (NIPOST) autonomous with powers to operate as a commercial entity. This is due to the Universal Service Obligation (USO) of countries. In this, the Federal Government has the social responsibility to guarantee a constitutional right, based on international laws, to ensure the basic level of communication for its citizens. For postal services, this fundamental right is cemented in the concept of the USO, which corresponds to the essential minimum postal services that the State is obliged by international treaty under the charter of the United Nations to guarantee to the entire society. Thus, the responsibility to provide this USO lies with NIPOST. Under this obligation, NIPOST has to provide postal services to Nigerian citizens whereever they are, within a certain quality range at affordable rates. It, therefore, follows that NIPOST’s services to the public are at a highly

• Mori-Baba

‘Studies and recommendations show that Nigeria is not ripe for privatisation. As a matter of fact, there are only a very few countries that have privatised their Posts. The answer for now is commercialisation. That is, make the public postal operator (NIPOST) autonomous with powers to operate as a commercial entity’ subsidised rate, as charging economic rates to deliver letters in every nook and cranny of the country would appear expensive and unaffordable to the average citizen as evidenced by charges of courier companies. The cost of offering universal service is, therefore, high; and without adequate compensation from government, it becomes impossible to cover costs let alone make profit. What are your major challenges? One of the major challenges NIPOST has been battling with is the issue of appropriate cost recovery. The dilemma has been that of previous governments not considering postal infrastructure as a priority area for public spending and, at the same time, not allowing the organisation to charge economic rates that would allow for cost recovery with minimal profit. There are over a thousand functional post offices in Nigeria. Of this number, more than 80 per cent cannot meet the daily cost of providing service; even at the level of using just one employee to deliver service. Presently, more than 70 per cent of mails generated and delivered in Nigeria are for the cities, while a meagre 30 per cent is spread over the 923,000 square kilometres of the country’s landscape. In essence, more than 60 per cent of expenditure on delivery is spent on rural delivery, which amounts to only 30 per cent of total mail volume. Since 1986, EMS/Speedpost has operated as the courier and business arm of NIPOST. Over the years, a lot of courier companies have sprung up. How has the company been able to handle competition, especially from entities such as UPS and DHL? As at the end of 2011, almost 300 courier companies were registered

and officially doing business in Nigeria not to talk of the several illegal operators. In fact, the postal sector in Nigeria is probably the most deregulated in the world. This tells you the level of competition. Unfortunately, the framework on which the postal sector operates today in Nigeria puts the responsibility of regulation of the industry on NIPOST, thus making it both a player and a referee at the same time. This situation, coupled with the fact that the laws do not stipulate stringent punishment for violations, compromises effective regulation, allowing sharp practices among private companies. The Courier Regulatory Department of NIPOST is often accused of bias when it tries to sanction violators. That is why we are favourable to the Postal Bill that will separate regulation from operations to achieve a level playing field. In terms of how we have fared against courier companies, such as, DHL and UPS, I will say we have done well, given our price regime of N50 to deliver mail to any destination in this vast nation as against thousands of naira charged by those companies for delivery only to cities. Their cherry picking and comfortable price regime makes it possible for them to make profits and invest in new technologies. Despite funds constraints, NIPOST delivers at least 80 per cent of mails nationwide within stipulated time lines. As I mentioned earlier, we operate under international standards and supervision. The EMS/Speedpost is performing creditably well as any of these courier outfits but our Nigerian mentality of preferring anything foreign push many to patronise the foreign companies.

THE NATION MONDAY, JULY 2, 2012

EQUITIES

Market returns 4.2% gain in first half

NIGERIAN STOCK EXCHANGE DAILY SUMMARY AS AT 29-6-12

HE Nigerian equity market closed the first half on the positive as equities rallied on the back of good corporate earnings to override negative return in the first quarter. The All Share Index (ASI)- the benchmark index at the Nigerian Stock Exchange (NSE), which tracks price changes in all equities, closed the first half at 21,599.57 points as against its year opening index of 20,730.63 points, indicating a gain of 4.19 per cent. Aggregate market capitalisation of all quoted equities also showed modest increase of 5.54 per cent at N6.895 trillion compared with its value

By Taofik Salako and Tonia Osundolire

on board of N6.533 trillion for the year. The market had closed the first quarter with a negative year-todate return of 0.38 per cent as declines in share prices of highly capitalised stocks overwhelmed the market. The benchmark index at the Nigerian Stock Exchange (NSE), the All Share Index (ASI)- closed the quarter at 20,652.47 points as against its 2012’s index on board of 20,730.63 points, representing a drop of 0.38 per cent. Aggregate market capitalisation of all equities closed the first three months at N6.550 trillion compared with

its year’s opening value of N6.533 trillion, a slight increase of 0.26 per cent, which was attributed to new listings during the period. Meanwhile, total turnover last week at NSE stood at 5.38 billion shares worth N22.47 billion in 17,019 deals. Banking sub-sector was the most active with a turnover of 4.78 billion shares worth N18.81 billion in 8,778 deals. Nestle Nigeria led 30 other advancers with a gain of N21.25 while Guinness Nigeria Plc placed second with N8. On the other hand, Flour Mills Nigeria Plc topped the losers’ list with a loss of N2 while PZ Cussons Nig dropped, N1.50.

Operators laud SEC’s new regulatory approach

APITAL market operators have commended Securities and Exchange Commission (SEC) on the sensitivity of the regulator to their concerns and adoption of open-door approach to market regulation. Operators, who spoke after the conclusion of registration meeting by the apex capital market regulator said the decision to hold the registration meeting in Lagos was cost efficient and more convenient. Besides, they described the meeting as friendly, engaging and conducted in a more relaxed environment without causing major disruption in their businesses. Registration of operators, which is one of the regulatory tools of SEC is usually carried out at the Commission’s headquarters in Abuja. For the first time in recent times the meeting was held between Wednesday and Friday in Lagos. Managing Director, FBN Se-

curities Limited, Mr. Bisi Oni said he was highly delighted with the new initiative which he said, resulted in cost and time saving for his institution. “Holding the registration meeting in Lagos is a very good proposition for us as individual and company. Apart from cost savings, it has also saved us time. The cost of going to Abuja is high with the attendant hotel accommodation costs. Even if we were to go early in the morning to come back later in the day, there is cost of rushing to the airports, both in Lagos and Abuja,” Oni said. According to him, on Thursday alone, his company was able to save over N1.3 million that it would have incurred if it was in Abuja. Besides, while having the meeting in Lagos, it was easier to coordinate the company’s businesses with little or no disruption. “This is very encouraging and we want the commission

to continue like this, especially now that our incomes are going down. “The climate under which the interview was conducted was very encouraging. The mien has changed greatly. It is no longer what can be termed as master-servant relationship; rather it was a very engaging discussion between us and SEC officials.” Oni said. Chief executive officer, Arthur Steven, Prince Lawrence Onyiuke, said the new management in SEC has shown wonderful pragmatism in handling the registration issues, which ought to have been done several months back. He noted that things like appropriate registration and monitoring are what build confidence in the market as new companies would start doing business while others with lesser number of sponsored individuals will have the required number as specified by the regulation. “I am really impressed and it has also shown that the new management knows what should be done to improve the market and they have just started doing them. I am not surprised because the acting Director General is a stockbroker who knows where the shoe pinches,” Onyiuke said.

NIGERIAN STOCK EXCHANGE DAILY SUMMARY AS AT 29-6-12

THE NATION MONDAY, JULY 2 , 2012

EQUITIES WATCH

Email: taofad2000@yahoo.co.uk

May & Baker Nigeria Plc significantly outperformed the average return at the Nigerian stock market last month. But with a share price at 42 per cent below net book value of the company, is the current value the worth of May & Baker? TAOFIK SALAKO reports

AY & Baker Nigeria Plc emerged one of the best-performing stocks in June with a month-on-month gain of about 39 per cent. In a generally negative market situation where the average month-on-month return was negative at -2.12 per cent, in June, May & Baker Nigeria played the contrarian stock in the past month. But still, the last month rally belied the depreciation that had characterized the healthcare company's share pricing trend in the second quarter and the stock's negative year-to-date return. Compared with a positive average year-to-date return indicated by benchmark index at the Nigerian Stock Exchange (NSE) for the first half, May & Baker closed the first six months with negative return of -6.0 per cent. The negative return was largely due to the depreciation in the second quarter, which 18 per cent decline eroded modest appreciation of 14.6 per cent recorded in the first quarter. Altogether, May & Baker has struggled so far this year around its lowest valuation in the past 18 months notwithstanding the dividend payment that yielded more than seven per cent dividend yield at average price for the period. The healthcare company has traded this year with a high and low range of N2.90 and N1.23 per share compared with a range of N5.61 and N1.81 for 2011. It had opened 2012 at N1.99 and trended upward to close the first quarter at N2.28. However, in spite of a dividend per share of 10 kobo declared during the period, the second quarter saw steady decline in the market consideration of the stock dropping to N1.35 by the end of May. It rallied to close the first half at N1.87 per share.

What fundamentals for pricing? With dividend cover of 2.6 times, earnings per share of 26 kobo and net assets value per share of N3.20, latest audited report of May & Baker showed appreciable recovery in key fundamentals of the company. Audited report and accounts of the company for the year ended December 31, 2011 showed a 32.5 per cent growth in profit after tax from N192.98 million in 2010 to N255.47 million in 2011. Turnover grew by 4.3 per cent from N4.6 billion in 2010 to N4.8 billion in 2011. Profit before tax rose from N307.8 million to N339.47 million. With earnings per share rising from 19.7 kobo in 2010 to 26.1 kobo in 2011, shareholders received a dividend per share of 10 kobo for the 2011 business year, the first payout in two years. But while the full-year report showed better prospects, the subsequent interim report for the first quarter ended March 31, 2012 showed a generally negative position. Turnover closed first quarter 2012 at N923.90 million compared with N957.31 million recorded in corresponding period of 2011. Gross profit dropped from N396.25 million to N337.08 million. The company posted a loss before tax of N34.78 million in 2012 as against profit of N34.33 million in 2011. After taxes, net loss stood at N34.78 million in 2012 compared with net profit of N23.34 million in 2011. With this, earnings per share was a loss of 3.55 kobo in 2012 as against modest gain of 2.38 kobo in 2011. Net assets also showed slight decrease from N3.15 billion to N3.12 billion. Coming few weeks after each other, the audited report and interim report presented conflicting outlooks. But the company said the full-year report was the true reflection

What value for May & Baker Nigeria? of its growth trajectory. The first quarter report, it explained, was due to usual yearstart lull and relatively higher expenses to position the company for better performance in the remaining quarters. Most analysts agreed that the first quarter performance might not be approximate outlook of the company.

Underlining strengths Besides the fundamentals, May & Baker has invested significantly in manufacturing capacity and research and development in recent years. The completion and commissioning of a World Health Organisation (WHO) prequalified pharmaceutical factory known as the PharmaCentre in 2011 had more than doubled May & Baker Nigeria's pharmaceutical manufacturing operations. The PharmaCentre, which could not contribute to the company's performance in 2011 on account of preparations for WHOprequalification inspections, would start contributing to the operations of the company as from 2012. Chairman, May & Baker Nigeria, Lt. Gen, Theophilus Danjuma (rtd), said the company was hopeful it would improve significantly on dividends to shareholders as it begins to reap from the benefits of its investment in the ultramodern pharmaceutical manufacturing centre. According to him, the dividend payout of 10 kobo per share being paid for the 2011 business year would serve as benchmark for future returns as the board and management continue to identify new areas of investments for future growth. "We are very positive about the future of our company. We intend to aggressively drive our business diversification and market penetration and expansion strategies, leveraging on the potentials of our newly completed world class manufacturing plant," Danjuma said. Also, in line with the company's vision to become a leading conglomerate in Nigeria, one of the new subsidiaries, Osworth Nigeria Limited commenced operations in 2011 while the company also commenced the export of its Mimee brand of instant noodles

in 2011, with significant inroads in Sierra Leone, Ghana and the United Kingdom. May & Baker was also said to be working on a number of new products which are expected to be launched before the end of this year. The major snag in the fundamentals of the company is the huge exposure to bank loans, with attendant high interests and pressures on earnings. With the downtrend at the capital market, May & Baker had depended heavily on bank loans to push through the completion of the PharmaCentre. These now pose threats to earnings and returns. May & Baker Nigeria's interest expense rose by 40 per cent in 2011 from N172.88 million in 2010 to N242.89 million in 2011. The company's short-term bank overdrafts had increased from N948.5 million in 2010 to N1.22 billion in 2011. Besides, May & Baker Nigeria has outstanding term loans of N1.41 billion. Without refinancing, mid-line costs could pose serious challenge to the bottom-line in the years ahead and in the event of a sluggish top-line, the company would be worse for it. But the company appeared to have secured a major lifeline and creative way to deal with its debt issue. Shareholders had initiated and passed a resolution empowering the company to source for loans from its largest shareholder and Chairman of Board of Directors, Danjuma (rtd). While appealing to Danjuma, a well-known multi-billionaire to assist the company, shareholders unanimously passed a special resolution authorising the board and management of the company to source personal loan from Danjuma. The resolution allows the company to explore the unconventional way to source capital and reduce its financial leverage, bypassing the traditional loan sourcesbanks and finance houses. Danjuma holds the largest equity stake of 24.38 per cent in May & Baker Nigeria through his company, T.Y Holdings Limited. Most shareholders urged that Danjuma could deploy his personal wealth to assist the company to mitigate exposure to bank loans and ensure better returns to shareholders, especially the minority retail investors who depend on the cash dividends. There are indications that Danjuma, a philanthropist,

â&#x20AC;˘MD, May&Baker Nig, Mr Nnamdi Okafor

would provide necessary soft landing for the company.

The future lies ahead More importantly, the recent announcement the Federal Government has given approval for the renewal of the joint venture agreement between the central government and May & Baker for the local production and distribution of vaccines in Nigeria. The renewal is expected to impact significantly on the prospects of May & Baker Nigeria's subsidiary, BioVaccines Nigeria Limited, which has been largely inactive due to government's lukewarm attitude to the partnership. Vaccination is a multi-billion Naira budget for Nigeria, which imports virtually all its vaccines. With several rounds of vaccinations for children and women, BioVaccines Nigeria has a ready market to tap into. For expanding companies, the capacity utilisation in the Nigerian pharmaceutical industry is still low and there is enormous room for growth. With estimated industry value of some N115 billion, capacity utilisation by the plethora of domestic drug manufacturers is around 40 per cent while Nigeria relies heavily on importation. Federal Government's policy stand that favours local production as indicated by the Local Content Act and recent fiscal adjustments should impact positively on farsighted domestic manufacturers. With all these, the harvest period may not be far for May & Baker.

THE NATION MONDAY, JULY 2 , 2012

DUE DILIGENCE

UACN: What prospect for new business model ?

AC of Nigeria (UACN) Plc recorded considerable growth in turnover last year but the overall outlook was shaped rather by the exceptional income from the sale of the company's equities in certain businesses. UACN, Nigeria's largest and second oldest surviving conglomerate, continued with the rethinking of its business model and strategic positioning in 2011 with the sale of 49 per cent equity stake to Tiger Brands of South Africa as strategic partner in the newly formed UAC Foods Limited. UAC Foods Limited took over the businesses of the erstwhile foods and dairies divisions of UACN as well as Spring Waters Nigeria Limited (SWAN). The net proceeds of N5.7 billion from the sale of the 49 per cent equity stake accounted for almost 44 per cent of pretax profit, which rose by 83 per cent from N7.09 billion in 2010 to N12.98 billion in 2011. Audited report and accounts of UACN for the year ended December 31, 2011 showed that group turnover rose by 22 per cent driven largely by the conglomerate's paints, real estate and food and beverages businesses. The top-line performance represented significant recovery for the conglomerate, which sales had contracted by 7.6 per cent in previous year. It, however, struggled with fast-paced costs, which depressed margins and underlying profitability of the group. Gross profit margin dropped by three percentage points while net operating margin was almost unchanged. Besides, the overall performance of the company was mixed with exceptionally-driven increases in returns shadowed by high financial leverage, lower liquidity and less efficient cost management. Notwithstanding the excitement of the huge increase in net earnings, the conglomerate maintained a prudent sustainable dividend policy, increasing cash dividend by 36 per cent.

By Taofik Salako

against N56.78 billion in 2010, representing an increase of 9.1 per cent. Increase in liabilities was driven mainly by 24 per cent increase in current liabilities, which rose from N32 billion to about N40 billion. The financing position of the conglomerate weakened during the period with a double in financial leverage from 15.5 per cent to 31.3 per cent. Current liabilities amounted to 35 per cent of total assets in 2011 as against 31 per cent in 2010 while long-term liabilities/total assets ratio declined from 24 per cent to 19.5 per cent. The proportion of equity funds to total assets inched up from 44.5 per cent in 2010 to 45.5 per cent in 2011.

2007

in 2011 as against N3.6 billion in 2010 while turnover from the real estate business improved from N8.2 billion to N10.8 billion. The group's commercial vehicles and corporate services businesses were the main drags with Efficiency varying declines in sales. The business restructuring obviously Group cost of sales, however, rose resulted in rightsising as average by 27 per cent to N45.61 billion comnumber of employees in the UACN pared with N35.9 billion in 2010. This Group dropped by 18 per cent from depressed gross profit growth to 9.3 4,150 persons in 2010 to 3,402 persons per cent in 2011 at N17.98 billion as in 2011. However, staff costs only against N16.45 billion in 2010. Operdropped marginally by 3.2 per cent ating expenses showed modest infrom N4.70 billion to N4.55 billion. crease of 9.7 per cent at N9.02 billion Average cost per staff thus increased in 2011 as against N8.22 billion in 2010. from N1.13 million in 2010 to N1.34 Selling and distribution expenses inmillion in 2011. Total cost of business, creased from N1.18 billion to N1.65 excluding finance charges, increased to billion while administration exabout 86 per cent of total sales in 2011 penses inched up from N7.04 billion compared with 84.3 per cent in 2010. to N7.37 billion. Operating profit thus Pre-tax profit per employee stood at increased slightly from N8.23 billion N3.80 million in 2011 as against N1.71 to N8.96 billion. With net income of million in 2010, partly reflecting the disN5.7 billion from sales of 49 per cent posal of previous contributions in disequity stake in UAC Foods counterposed assets. balancing sundry exceptional items that undercut the bottom-line by Profitability N1.55 billion. Profit before tax rode on the back of moderate decline in UACN witnessed considerable imfinance charges and increases in nonprovement in profitability in 2011 with core business incomes to N12.98 bilgroup's performance driven by apprelion in 2011 compared with N7.1 bilciable growths in incomes from paints, lion in 2010. Profit after tax rose correal estate and food and beverages busirespondingly by 87 per cent from nesses. While largely uncontrollable N5.45 billion to N10.20 billion. cost of sales impinged on gross marSegmental analysis of the profitabilgin, the group's net operating margin ity of the conglomerate showed its remained steady at 13.5 per cent in 2011 Financing structure relatively small pension business as against 13.45 per cent in 2010. Subwith the highest profit margin of 35 Group paid up share capital remained stantial exceptional income from parper cent. The paints business folunchanged at N800 million, consisting tial divestment further accentuated the lowed with pre-tax profit margin of of 1.6 billion ordinary shares of 50 kobo bottom-line, turning what appeared 30 per cent while the real estate busieach. Total equity funds, however, infundamentally to be marginal imness posted a margin of 25 per cent. creased by 13.5 per cent from N45.59 provement in profit to almost a double The foods and beverages business, billion in 2010 to N51.74 billion in 2011. in bottom-line. the largest business category, reTotal assets rose by 11 per cent to N113.7 Group turnover rose by 22 per cent corded a margin of about 8.1 per cent. billion in 2011 compared with N102.4 from N52.31 billion in 2010 to N63.59 The commercial vehicles business billion in 2010. Current assets grew by billion in 2011. Segmental top-line made a loss while the profit of the 18 per cent from N48.55 billion to analysis showed that the main foods logistics business declined considerN57.32 billion while long-term assets and beverages business segment inably. inched up by 4.8 per cent from N53.82 creased turnover by 23 per cent from Overall, group gross margin billion to N56.39 billion. Total liabiliN35 billion to N43 billion. Paints busidropped from 31.4 per cent in 2010 to ties stood at N61.96 billion in 2011 as ness recorded turnover of N4.3 billion 28.3 per cent in 2011. Meanwhile, pretax profit margin imFiscal Year Ended December 31 2011 2010 proved from 13.6 per Nmillion 12 months % change 12 months cent to 20.4 per cent. Profit and Loss Statement Return on total assets Main Business Segment 43,170 23.4 34,971 leapt from 6.9 per cent Total turnover 63,588 21.6 52,314 to 11.4 per cent while Cost of sales 45,607 27.2 35,863 return on equity increased from 12 per Gross profit 17,981 9.3 16,450 cent to 20 per cent. Operating expenses 9,018 9.7 8,217 With total net earnInterest and other incomes 5,671 683.3 724

Finance expenses Pre-tax profit(loss) Post-tax profit (loss) Basic earnings per share(kobo) Gross dividend (Nm) Cash dividend per share (kobo) Net Assets per share (kobo) Balance Sheet Assets: Fixed assets Total long term assets Trade debtors Current assets Total assets Liabilities: Trade creditors Bank loans Current liabilities Long-term liabilities Total liabilities Equity Funds Share capital Total Equity Funds

1,650 12,984 10,202 637 2,401 150 3,232

-11.5 83.0 87.2 86.8 36.3 36.4 13.5

1,864 7,094 5,451 341 1,761 110 2,848

30,159 56,385 6,624 57,315 113,700

-0.6 4.8 23.3 18.1 11.1

30,355 53,824 5,374 48,548 102,372

5,220 16,203 39,773 22,191 61,964

-32.3 128.8 24.1 -10.2 9.1

7,707 7,082 32,061 24,723 56,784

800 51,737

0.0 13.5

800 45,588

2008

2009

2010

2011

ings per share increasing from N3.41 in 2010 to N6.37 in 2011, the conglomerate increased gross dividend from NN1.76 billion to N2.40 billion. Dividend per share thus stood at N1.50 in 2011 as against N1.10 in 2010. Dividend outlook further improved with dividend cover of 4.25 times in 2011 as against 3.10 times in 2010. Net assets per share also improved by 13.5 per cent from N28.48 in 2010 to N32.32 in 2011.

Liquidity The liquidity position of the conglomerate declined marginally in 2011, but it remained sufficiently adequate, according to acceptable global best practice. Current ratio, which measures ability of the company to meet emerging financing requirements by relating current assets to relevant liabilities, slipped from 1.51 times in 2010 to 1.44 times in 2011. The proportion of working capital to turnover declined from 31.5 per cent to 28 per cent. Debtors/creditors ratio stood at 127 per cent in 2011 as against 70 per cent in 2010.

Governance and structures UACN is a large group of several active companies spreading through manufacturing, services, logistics and real estate sectors of the Nigerian economy. Listed in 1974, UACN Group also include two quoted subsidiaries-CAP Plc and UACN Property Development Company (UPDC) Plc, each leader in its business segment. Other members of the group include UAC Foods Limited, GM Nigeria Limited- a joint venture with General Motors Corporation of the United States MDS Logistics Limited, Warm Spring Waters Nigeria Limited, Grand Cereals Limited, UAC Registrars and Unico CPFA Limited. The conglomerate's iconic brands- Gala sausage roll and Mr. Bigg's have become the generic names for their industries. UACN is owned by more than 187,000 shareholders but the controlling equity of the conglomerate is concentrated in the hands of some 224 shareholders, who altogether hold about 60.5 per cent equity stake. However, only one shareholder holds more than five per cent equity in the conglomerate. The board and management of the conglomerate remained stable. Sena-

Fiscal Year Ended December 31

â&#x20AC;˘GMD, UACN, Mr Larry Ettah

tor Udoma Udoma still chairs the Board of Directors while Mr Larry Ettah leads the group executive management. UACN is a well-structured company with long-established corporate best practices in compliance with local statutes and rules and global standards.

Analyst's opinion The future outlook of UACN depends on the success of its remodelling strategy and ability to optimise potential of each constituent business. With the adoption of full franchise model for its restaurant business and transition of the conglomerate into a holding company, UACNâ&#x20AC;&#x2122;s performance would depend largely on its resourcefulness at driving the several businesses without unnecessarily duplicating costs. It's too early to determine the success or otherwise of its remodelling and franchising options since the spin-off of UAC Foods and the full adoption of the franchise took effect in the past year. But with a large portfolio of market-leading companies and highly competitive brands, there is reasonable basis to assume that UACN possesses the inherent strengths to cope with emerging challenges and deliver appreciable returns.

2011 %

2010 %

Financing structure Equity funds/Total assets Long-term liabilities/Total assets Current liabilities/Total assets Debt/Equity ratio

45.5 19.5 35.0 31.3

44.5 24.2 31.3 15.5

Profitability Gross profit margin Pre-tax profit margin Return on total assets Return on equity Dividend cover (times)

28.3 20.4 11.4 19.7 4.25

31.4 13.6 6.9 12.0 3.10

Efficiency Pre-tax profit per employee (Nm) Staff cost per employee (Nm) Cost of sales, operating exp/Turnover

3.80 1.34 85.9

1.71 1.13 84.3

Liquidity Current ratio Working capital/Turnover Debtors/Creditors

1.44 27.6 126.9

1.51 31.5 69.7

JOBS THE NATION

Website:- http://www.thenationonlineng.com

THE NATION MONDAY, JULY 2, 2012

• Participants at a grant writing workshop in Lagos.

Can you write? Then you don’t have to look too far for a job. Many government departments, charity and non-profit organisations and educational institutions need good writers to prepare their prosposals for request for donations from foundations and allied agencies. DANIEL ESSIET writes.

Better life for grant writers G

LOBAL funders, such as, Bill and Melinda Gates Foundation and the Ford Foundation, give away billions of dollars yearly for various causes through grants. Governments and private organisations depend on these donations to undertake some projects. To be founded by these agencies, non governmental organisations (NGOs) and government departments submit proposals. Whether

they get the money depends on the persuasiveness of a single document: the grant proposal. In essence, the job of a grant or proposal writer is to secure funds for individuals, non-profit organisations, businesses and governments. The grant writer prepares the document requesting for funds; so he has to be versed in many aspects as the failure or otherwise of the request rests on him. As more individuals and organisations

are giving out money for various causes, charities, NGOs, educational institutions and other agencies seeking sponsorship of one project or the other are engaging the services of professional grant writers. At a workshop organised by Onboarding Impact Consultancy in Lagos, the need for professional grant writers took the front burner. The consultancy’s Executive Director,

Mrs Winihin Jemide, said grants make up a significant portion of many nonprofit organisations’ revenue. She said the difference between a badly written grant proposal and a good one is getting the million dollar grant – or being rejected . Besides, grant reviewers are impatient readers. They are busy • Continued on page 38

THE NATION MONDAY, JULY 2, 2012

JOBS

Better life for grant writers • Continued from page 37

people with limited time and look for any excuse to stop reading, so the grant proposal writer must be concise, intelligent and have the ability to persuade with few chosen words. Grants are rejected if the donors have to struggle to understand the writer or learn what the project is all about. She said a lot of organisations cannot access foreign aid available for developing countries because they don’t present acceptable grant requests. This, Mrs Jemide blamed on the dearth of good grant writers. With the millions of dollars at stake, she said it is understandable why good grant writers are in demand. Non-profit organisations, she said, are springing up yearly and have to find sources of funding. Once the potential funding sources are spotted, the crucial part of the grant writer’s job begins. According to her, the grant writer is expected to use his or her writing skills to ask for money. The grant writer convinces the potential funding organisation that giving the grant is to its benefit. Because of limited funding and the challenges in development business management, most NGOs now employ specialists, with background as grant and proposal writers. She said her organisation de-

cided to address the challenge because much is expected from specialists in community development work. To address the skill gap, she said the workshop focused on grant writing process, effective ways to write and prepare grant applications and finding sources of funding using available databases. Mrs Jemide said the training provided participants the knowledge and tools to become better and more effective leaders of their organisations. Regional Co-ordinator of the Framework Convention Alliance – Afro (FCA), a Cameroon Nonprofit Organisation, Mr Tih Ntiabang, a resource person at the training, said the demand for training in grant writing is high because of the growing shortage in fund seeker leadership. He said aspiring candidates need to complete the training in proposal and grant writing to hone their skills. As community development team specialists, Ntiabang said they are required to show competence in project or programme consulting and management, funds management, contract administration, management analysis, project or programme budget estimates, public information, personnel management and staff supervision. Whether working as an independent contract grant writer doing business

• Ajijola

• Mrs Jemide

from home or in a grant-seeking agency, or as an employee of a nonprofit or community organisation, there are many opportunities for the grant writer. The demand for them will keep on growing, he said. Beyond foreign donors, governments and corporations give grants to nonprofit organisations, schools, colleges, health care agencies and governmental bodies for job creation and entrepreneurial activities. So, there are many places the grant writer

can work. Ntiabang urged graduates and those looking for jobs to train for grant writing and fundraising. Ntiabang foresees a stronger role for grant writers in the labour force. Managing Director of CGMIE Consulting Limited, and resource person Mr. Abiodun Ajijola said many people are running businesses without equipping themselves with the skills to make them succeed. The winner of the Fate Foundation Business Plan Competition

2004 and, LEAP Africa Youth Leadership Award 2007, said writing a business plan helps an organisation to draw a road map for the future, adding that there is huge demand for people who can write good business plans and proposals. What does it take to become a grant writer? A degree in Social Sciences and training in businees plans, proposal and grant writing are all what it requires. It takes between three and six months to train a grant writer.

MOVER AND SHAKER

Chevron Nigeria gets new GM

• Haastrup

HEVRON Nigeria Limited (CNL), operator of the NNPC/Chevron Joint Venture, has announced the appointment of Mr Deji Haastrup as its General Manager, Policy, Government and Public Affairs (PGPA) Department. Until his new appointment,

Haastrup was the General Manager, Security Services. Haastrup, according to a statement, has a Master’s degree in Communication Arts from the University of Ibadan. He joined CNL in 1995 as a Co-ordinator, Government and Community Affairs and has handled assign-

ments of responsibilities in Chevron operations within and outside Nigeria. He has worked in most PGPA Manager roles including Manager Corporate Responsibility, Manager Communications, Manager Community Relations, Public Affairs Superintendent

(Escravos – Delta State), PGPA Manager, East (Port Harcourt), and Manager PGPA Business Services (Lagos). Haastrup has also worked in the United States as International Liaison for Latin America Business Unit and as Corporate Responsibility Project Advisor. He replaces Femi Odumabo, who has been appointed to another position within the company.

CAREER MANAGEMENT

Networking options for job hunting (II) Y

OU are seriously looking for a job. I know. But are you looking for it in the right places? Are you asking/talking to the right people? Are you putting in the right amount of time and other resources? Are you deploying these resources in the right direction? These are important questions. Knowing whether you are doing the right thing can be the key to your unending job search. Networking as an option in job hunting is a targeted effort to talk to people about your job search. It should be a calculated campaign to contact people for ideas, suggestions and information. You should systematically pursue new contacts and information. As essential as networking is to job search, many people have problems with formal networking as job searcher strategy- some are embarrassed to admit they are looking for work. Some feel it is like begging for work. For others, it is “I don’t want people to feel I am taking advantage of them” these are excuses on their kneels – lame excuses, they call it. Looking for work does not carry any

By Olu Oyeniran

stigma, most people change job on the average every four to six years. People are more understanding than you think. A basic principle of networking is that you are looking for information-you shouldn’t ask for a job. Asking for information shouldn’t be too much. In job search network, as in all networking situations, endeavor to make it mutually beneficial. There are four basic categories of networking contacts, each with its own unique value. And you should draw from each category: • People you know well-friends, family, neighbours, colleagues, etc • People you see occasionally – acquaintances and business contacts. • Referrals from your other networking contacts. Below are some general networking guides: • Initial contact for the sole purpose of

networking. Do not wait to bump on people. • Develop a networking list. Endeavor to make contact with everyone on your list. Add new people you meet or use referred to by your contacts. • Set networking goals. What do you want to achieve with each contact. How many contacts would you make per week? How many would you want to see/phone per week? Check progress. • Come to meetings prepared. Know what questions you want to ask. Take notes. Always have your Curriculum Vitae (CV) handy. Contacts may turn to become potential employers in seconds or may want to refer your CV to someone else. • Always ask if the person knows of anyone else you should meet. Find out if you can use his/her name when contacting much people. • Maintain networking filling system including a record of outcomes of each contact and obtained information. • Face-to-face meeting is always better. • Show appreciation for opinion, assistance, time and information.

• Plan your follow up, implement followup plans. • Say thank you often. Better in writing (or e-mail) Stretch your network by meeting new people who are friends, associates and acquaintances of your networking contacts. Of course by now you are most probably out of your comfort zone, Go on. This is where real action is, and the good news is that you are closing in on a job. When approaching a referral contact, introduce yourself with a lead statement that attracts attention. Use the name of the person who referred you (except he forbids it or it is not tactical to do so). State your proposal. If it is a face-to-face meeting, respect his time, be prepared and be professional. Olu Oyeniran is the Lead Consultant, EkiniConsult & Associates. Website: www.jobsearchhow.com E-mail: oluoyeniran@yahoo.com Tel 08083843230 (SMS Only).

THE NATION MONDAY, JULY 2, 2012

INSURANCE

‘Why MDRI is not working’ I

NADEQUATE awareness and untrained agents are factors militating against the Insurance Industry Market Development and Restructuring Initiatives (MDRI),the former Chairman Nigeria Insurers Association (NIA) Olusola Ladipo-Ajayi, has said. To enhance profitability, NAICOM launched the MDRI programme. It consists of six compulsory insurance. They are buildings under construction insurance, motor vehicle, public buildings, employer’s liability, medical liability and group life for employers. He said until the government assists insurers with appropriate laws, the problem would persist. He said: “On our part, we have

Stories by Chuks Udo Okonta

our challenges, but the only area of success that has been remarkable is where insurance companies working with enforcement agents in some states to enforce certain aspect of the law. We would not get there over night, MDRI is a very good initiative meant to deepen the industry. “We have to train agents, keep them by paying allowance pending when they are able to produce. But, one wonders how long we would be able to keep them. If it gets to a position when people are penalised for not providing the insurance they took for their losses, it would become easier for insurers to sell. Now, if you go to an average Nigerian and tell him to insure his house

because there is law for such, he would ask you, does the law exist? Most Nigerians do not even know about the law.” Investigation has revealed that most agents contracted by underwriters to market the initiative have resigned because of their poor remuneration. The underwriters, it was also learnt, are grumbling over low returns from the agents. Chairman, Technical Committee Nigerian Council of Registered Insurance Brokers (NCRIB) on MDRI, Mr Siyan Oyebadejo, said the committee hopes to write the National Insurance Commission (NAICOM) to save the situation, adding that unless something drastic is done, the initiative would fail to meet the industry’s expec-

tations. He said the committee has also recommended to NAICOM the need to increase the remuneration paid to agents who are the drivers of the initiative. He noted that it is worrisome that graduates engaged as agents are paid peanuts to win businesses to their employers. He said the initiative would only succeed if the agents are well motivated. Sections 64 and 65 of the 2003 Insurance Act makes it mandatory for people constructing any building that is more than two floors to insure their liability caused by their negligence or that of their servants, agents or consultants, which may result in injuries or death or damage to property of any workman on the site or of any member of the public. Anyone who fails to insure such buildings is fined N250,000 or three

•Ladipo-Ajayi

years’imprisonment or both on conviction.

New NIA chair unveils seven point agenda

From left: Company Secretary, Oasis Insurance Plc, Mrs. Sarah Osedo; Chairman, Mr Samuel Adegbite; Managing Director, Mr Tunde Oshadiya and Director, Mr Yomi Adewusi, at the 19th Annual General Meeting (AGM) of the company in Ibadan, Oyo State.

HE new Chairman, Nigeria Insurers Association (NIA) Remi Olowude has announced a seven-point agenda of his administration in moving the industry forward. He disclosed this in his acceptance speech at the association’s Annual General Meeting (AGM) in Lagos. He listed his priority as re-focusing the association to win support from stakeholders; improving the quality of insurance education and practice; building better communication between the association and member companies; working with his predecessors; improving relationships between the association and regulators, collaborating with

42 firms link industry’s data base

HE Nigerian Insurers As sociation (NIA) has said 42 firms have linked their policies with the Nigerian Insurance Industry Database (NIID). The NIA established the database to collate statistics of insured vehicles in the country. According to a report by the Information Technology Committee of the NIA, “The NIID project went live on September 8, 2011. Member companies commenced motor insurance

policies data upload immediately and over a total of 550,000 motor policies records had been uploaded by 42 members underwriting motor. “Selected members of the committee had been highly instrumental to the development, implementation and test running of the NIID system. Committee members had also been involved in training their companies’ branch officers, having undergone the initial train-the

trainer briefing on the aims of the NIID.” NIA said the benefits of the project include monitoring and authenticating insurance transactions documents, reducing incidences of fraudulent insurance transactions and policies, most especially for motor and marine policies, reducing red tape and corruption by integrating with the vehicle registration system of the FRSC, the police and other

Recapitalisation: PenCom to transfer funds of failed PFAs

HE National Pension Commis sion (PenCom) has said it would transfer workers’ pension contributions in failed Pension Fund Administration (PFAs) to firms that successfully recapitalised, The Nation has learnt. According to PenCom, this would help secure the contributions managed by the failed firms. The commission said it would ensure that contributors’fund are safe, and urged the public not to panic. A source, who pleaded not to be named, said three firms that were unable to meet the recapitalisation deadline have been acquired. They are: Amana Capital Pension Limited which was bought by Sigma Pension Limited, First Alliance Pension by ARM Pension Limited and Crib Pension by OAK Pensions Limited. The commission urged the public not to worry as their funds would be transferred to forestall any loss, adding that Pension Fund Administrators were mandated to raise their capital through right issues, mergers and acquisition. The source said the licences of com-

panies that failed to recapitailise would be revoked. Director-General PenCom Mohammad Ahmad, said the commission would push for amendment of the Pension Reform Act (PRA) 2004 to protect contributors’fund. He said Section 69 of PRA 2004 may be amended to provide for the establishment of a “Pension Protection Fund”, adding that the fund would, among others, guarantee minimum pension to retirees as well as take care of those with low balances in their accounts. He noted that a proposal by the commission on the matter would be presented to the Federal Government. He said: “Section 173(3) of the 1999 constitution provides for pension review every five years or together with salary increases whichever is earlier, as inflationary adjustment. However, the compulsory pension scheme was not designed to incorporate increases in pension as inflationary adjustments are reflected in the investment yields of accumulated pension assets, while monthly contributions do increase

relevant agencies and ensuring access to data for decision making. He said the project would also help develop capacity in NIA to monitor and authenticate underwriting and facilitate information sharing on stolen vehicles through technology-driven collaboration between relevant agencies. Director-General NIA Sunday Thomas said the customised ereaders to be used by security agents to verify vehicle policies would be distributed nationwide.

others to deepen insurance penetration and promote ethical standard among members. He said: “All around us, we see challenges and opportunities that abound in our industry and the nation’s economy. These include restrictive laws on insurance practice, issue of multiple taxation, inefficient power sector,Nigeria Content Policy on oil and gas. “Others are ensuring the workability of the market agreement, ensuring greater insurance awareness and penetration and migration to international financial reporting standard.” He noted that despite the challenges before the operators, the association under his regime would look inwards to take advantage of the untapped potential demand for insurance, adding that tapping the untapped potential is a major step to engender the relevance of the industry’s growth. He noted that the association will partner with the government to move the industry forward. “We shall work closely with other stakeholders including the government to maximise the benefits derivable from the provision of the Insurance Act 2003 and other related legislations. We invite other trade groups to join hands with the NIA for us to have a coordinated approach to resolving issues than working at cross purposes,” he added.

NAICOMdecriespoorcorporategovernance

•PenCom boss, Ahmad

whenever salaries are reviewed. There is, however, the need to adjust the pension element of the accrued benefits of retirees in accordance with the provisions of Section 173(3) of the 1999 Constitution.”In order to protect participants in the compulsory pension scheme in case there is any shortfall or financial losses arising from the investment activities of the Pension Fund Administrators, Section 69 of PRA 2004 may need to be amended to provide for the establishment of a “Pension Protection Fund.”

OOR corporate governance is a major challenge in the indus try, Commissioner for Insurance Fola Daniel has said. He said this at forum in Lagos. He noted that this is a problem not only in Nigeria, but also abroad. He said there have been renewed interest in the practice by companies. He noted that to stem poor corporate practices, and in line with international best practice, the Commission in 2009 introduced a Code of Good Corporate Governance in the industry, stressing that it would ensure that it is obeyed. He said a major condition for the development of insurance is a healthy legal regime, adding that the industry may likelyget a new insurance regulatory regime before the end of 2013. He said: “The legislations are not only weak, but sometimes difficult to enforce. The regulatory framework is ‘compliance-based’ rather than ‘frame-work’ as is the case with most advanced jurisdictions. This arrangement hardly gives the commission the capacity to take regulatory initiatives in urgent and critical situations.

“It is, therefore, desirable that the various pieces of legislations constituting the existing legal framework should be consolidated. The Insurance Law Review Committee appointed by the Federal Government to review the insurance laws completed its assignment since 2010. ”The draft revised Consolidated Insurance Bill is ready for passage to the legislature by the executive. Depending on the agenda of the National Assembly, the country may expect a new insurance regulatory regime before the end of 2013.” President, Lagos Area Committee of the Nigerian Council of Registered Insurance Brokers (NCRIB) Mr Tunde Oguntade said the image of the industry could be improved through the adoption of Corporate Social Responsibility and prompt settlement of claims. He said it is worrisome that people hardly hear of corporate social responsibilities in the industry, as is obtainable in the banking sector. He noted that banks ‘patronage is high because bankers associate closely with the people through social responsibilities.

THE NATION MONDAY, JULY 2, 2012

LABOUR

Changes in NNPC may affect reform policy T

HE Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has said the changes in the leadership of the Nigeria National Petroleum Corporation (NNPC) might affect ongoing reforms in the oil and gas sector. The association’s President, Mr Babatunde Ogun, told The Nation in Lagos that the ongoing Turn Around Maintenance (TAM) in some of the nation’s refineries could suffer setback. Ogun was reacting to the sacking of the NNPC’s Group Managing Director (GMD), Mr Austin Oniwon, and three executive directors on Tuesday by President Goodluck Jonathan. The PENGASSAN boss who picked holes in the incessant changes in the management of the NNPC expressed fear that the changes could delay the growth of the oil and gas industry. He expressed fear that the changes could affect the ongoing investment drive in the oil and gas sector. Ogun said the rehabilitation

• Stories by Dupe Olaoye-Osinkolu

of the four refineries which were being restored to operate at their installed capacities could equally be delayed as a result of the changes. He recalled that in the past few months, the NNPC management had been working on how to bring back the refineries as part of its transformation drive. “The Kaduna and Port Harcourt refineries have started working progressively towards their installed capacities while there are plans to put back the Warri refinery,” Ogun said. The union leader expressed fears that the new management might abandon the ongoing TAM of the refineries, which could compel the Federal Government to sell the refineries. He said the experience of the leaders would have been tapped in kick-starting the successful take off of the impending Petro-

•Ogun

leum Industry. Ogun said PENGASSAN, without prejudice, was not happy with the process of appointment and removal of the NNPC management, saying it had always set the industry backward.

“It does not engender continuity in development policies as every GMD comes with his own style and discontinues the growth policies of previous administrations,’’ he said. Ogun pointed out that in the union’s various engagements with government, it had always demanded that the appointment of the NNPC GMD should be based on tenure, just like what existed at the Central Bank of Nigeria (CBN), Nigerian Communications Commission (NCC) and the Bureau for Public Enterprises (BPE). He recalled that in the past 10 years, the NNPC had had six GMDs from Dr Jackson GaiusObaseki to Mr Austin Oniwon, unlike other agencies that had just two changes. Ogun congratulated the new GMD, Dr Andrew Yakubu, and his team, urging them to follow the laid down reform policies and plans of the outgoing team. He urged the Federal Government to address the concerns of workers, saying it would go a long way in enhancing the growth of the oil and gas industry.

Katsina NMA threatens strike over deteriorating health care

HE Katsina State Branch of the Nigerian Medical Association (NMA) has given the government three weeks ultimatum to address deteriorating health care services and other health issues face industrial action. Dr Abduljalil Abdullahi the state’s chairman of the association, told The Nation the association was dismayed at the poor state of health care delivery hence its

decision to issue the ultimatum. He said: “It is sad that Katsina State with a projected population of six million people and 34 local government areas has the worst health care indicators in Nigeria.” He said the state’s maternal and child mortality rates were among the highest in the country as most

of its 22 hospitals were being manned by doctor or at most two. “A hospital should have a minimum of four departments namely, internal medicine, paediatrics, surgery and Obs & Gynae with a senior medical officer heading each department with three other doctors under him but in Katsina

State it is not so. “In fact, Katsina General Hospital, our only training institution has no consultant in internal medicine and surgery and this is affecting the quality and credibility of internship programme which in turn impacts on the lives of the citizens of the state. “

Union seeks pension review in Taraba

HAIRMAN of the Taraba State Branch of the Nigeria Union of Pensioners (NUP), Mr Stephen Galadima, is seeking upward review of pensions. He said the union has told the state government to review the pay of pensioners upwards “to reflect current realities.” Galadima told journalists in Jalingo that salaries of all categories of workers had been reviewed upward several times but that pension allowances had not been reviewed. “Pensioners go to the same market and hospitals with others and their children pay the same school fees with other children. “Collecting the old rate as pension allowances is, therefore, not good enough for a group of people who put in their best in the service of the country and had retired,” he said. The chairman, however, praise Governor Danbaba Suntai for ensuring that the issue of nonpayment of entitlements to retired officers had become history in the state. “I must praise Governor Suntai for making sure retired workers get their entitlements as and when due,” he stated. Galadima called on all pensioners to be patient as the union was doing everything possible to convince the government to increase their pay as the case with serving workers.

Ministry to partner ADB on job creation THE Federal Ministry of Labour and Productivity is set to partner with the African Development Bank (ADB) on skills and infrastructural development. Labour Minister Chief Emeka Wogu made the commitment while receiving the delegation of ADB led by its Chief Country Economist Dr. John Kofi Baffoe. Baffoe said: “The main purpose of our mission is to present some proposals for a buy-in. We have come out with two strategic pillars that we will like your Ministry to be involved in and they are; infrastructure development in term of energy, power, road as well as Agro business and the value change, the second is the issue of Skills Development in tackling unemployment especially for the youths. We are presenting these in view of the need for skill development to improve the employability of the youths in Nigeria” Dr. John Koffi stated.

Shortage of teachers hit Kogi secondary schools KOGI urgently requires additional 2,000 teachers for effective teaching in its 238 public secondary schools, the acting Chairman of the State Teaching Service Commission, Alhaji Salu Aliu has said Aliu told The Nation that the 3,000 teachers currently engaged in the schools were inadequate for quality teaching. He said the situation had been compounded by the fact that many teachers would soon retire. Aliu blamed the predicament on the staff auditing exercise carried out by the state government in 2009 during which more than 2,000 secondary school teachers were “shown the way out of service.” He said the effect of the shortage was more pronounced in core subjects of mathematics, English and the sciences. Aliu said a proposal to recruit teachers to fill the vacancies had been sent to Governor Idris Wada and appealed to the government to quickly accede to the request. He called on stakeholders in the education sector, especially the government, teachers and parents, to come together to rescue the sector from total collapse. The chairman suggested that government should provide quality teaching equipment, adequate and qualified teachers, while parents should monitor their wards.

Nigerite to pacify workers

• Lagos NMA Chair Dr Edamisan Temiye discussing some health issues

We can revive NITEL/MTEL if given opportunity, say workers

HE Senior Staff Association of Communications, Transport and Corporations (SSACTAC) is seeking a lasting solution to the problem of the Nigerian Telecommunications Limited (NITEL). SSACTAC President Mr Adetunji Adesunkanmi made the appeal in a telephone chat with The Nation. He was reacting to the House of Representative’s rejection of a motion which sought to privatise NITEL. Adesunkanmi said the union would ensure the revival of the company, if given the opportunity and made to sign a two years’ per-

formance bond. The House of Representatives last Wednesday rejected the motion at its plenary session. The motion had desired the House to mandate its committee on communications to recommend how the former telecommunications giant would be unbundled. Adesunkanmi urged the government to work out appropriate ways to revitalise the national carrier. “ Government should seek proper information on what to do with our communications company because there is no country without a national carrier,’’ he said. He also blamed the poor condi-

tion of NITEL on policy failure and inconsistency. Adesunkanmi advised the government to fight corruption and embezzlement in public enterprises. The Federal Government has been making unsuccessful efforts in the past 10 years to sell NITEL and its subsidiary — MTEL. In 2002, Investors International Ltd of London offered $1.137 billion to acquire the company but later defaulted. The Bureau of Public Enterprise (BPE) later engaged PENTASCOPE of the Netherlands to manage the company, but this did not succeed.

FOLLOWING the sit-in industrial action by employees of Nigerite Limited, the roof and tiles manufacturing company has initiated plans to pacify the workers by meeting their welfare needs. The hint was dropped at the weekend by a top management staff of the company, when contacted on the latest developments over the faceoff between the workers and its management. The source said “there has been an on-going discussion between the company’s management and representatives of the workers” on welfare issues. It will be recalled that the workers had, in a move to press home their demands on welfare, embarked on a sit-in industrial action with a view to attracting management’s attention to their various needs. Consequent upon this, the management has commenced discussion with the workers with a view to finding amicable resolution of the issues at stake. Prior to this, the relationship between management and workers has been cordial. This was properly depicted when the organisation’s ten point agenda was launched last year.

MOTORING

THE NATION

MONDAY, JULY 2, 2012

Website:- http://www.thenationonlineng.net

The new Nissan Almera is an affordable yet stylish sedan designed to deliver the requirements of the modern car buyer particularly in emerging markets, writes TAJUDEEN ADEBANJO.

•Almera

Nissan Almera: Classy looks, comfortable ride F

OR auto lovers living in these exciting times, Nissan has introduced the new Almera, a sedan, which is both up market and stylish yet very competitive price. The Almera is an all-new car, complete with modern technology and construction techniques – target to deliver maximum efficiency, superior ride and crystal-clear messages of quality and durability, with a sculpted exterior body oozing both charm and upwardly-mobile styling. It echoes the strong global drive towards ecosensibility with low CO2 outputs and frugal fuel consumption, but packages the sound base in a distinctly smart styling with just the right trimmings. Powered with a 1.5 litre engine, the Almera boasts of manual and automatic transmission. The new Almera was unveiled in Lagos for a test drive penultimate Saturday. From Adeola Odeku office of Alliance Autos in Victoria Island, the drive passed through Ajah and ended at Eleko Beach, an outskirt of the state. Alliance Autos in conjunction with Sun Motors offered motoring journalists an opportunity to pore over all aspects of the Almera. Managing Director of Alliance Autos Mr Ian Middleton described the Almera as a global brand specially packaged to suit Nigeria’s environment. According to him, the recent profile of the new car buyer in African markets has shifted radically from traditional patterns. “The new Almera is one of those clear-cut cases, when a large multinational company is driven in effect by its customers. It is a product which just combines so much of the real-world demand for cars in emerging markets that it’s way beyond coincidence. Classy looks, comfortable ride, reliable and affordable to buy and to run,” Middleton said. “The rapid economic growth, and the process

of motorisation being driven by the flourishing middle-class and with levels of growth continuing to outstrip embattled developed markets, addressing the specific needs of this market has become critical for global players wishing to participate in this promising environment,” he said. General Manager of Sun Motors Limited Pankaj Arora, said:”The world has changed, lets step up. Almera is smart and stylish; it opens the mind of an individual and reexamines ones expectation from a car. Nissan has proved its continuous endeavour to deliver quality and style and value for money to the consumer. Almera is a new world of comfort, sophisticated, crispy sporty rear and provides ample space and promises a level of refinement. One experiences a comfortable and roomy drive.”

Styling It’s been designed for the people who will buy it, hence the sharp creases and strong stance, with muscular shoulders supporting an efficiency-contoured face. Built on the Nissan V-Platform, the Almera features compact dimensions as well as light weight, yet visually strikes chords with a broader and more upmarket spectrum, thanks to a sleek silhouette and those sculpted flanks. Despite the wieldy exterior dimensions, Nissan designers have made effective use of the space available to them to create a roomy and hospitable cabin environment. High-quality materials add to the occasion while rear seat passengers will feel as accommodated as the front with class-leading knee room and a centre armrest with dedicated cup holders. This comfortable yet functional interior endows the Almera with the assets to meet real customer needs, and combine a car which signifies an upwardly mobile status with a sound business deci-

sion for the modern level-headed individual. It is safe and easily suitable for a variety of user from business use to family excursions or shopping runs, and yet is affordably priced and reliably built.

Versatility Based on the same V-platform which underpins the popular new-generation of many Nissan products, the Almera is confident and stable on the road, but with a whole new level of damping control thanks to long-stroke suspension and rigid construction of the shell. This rigidity also allows the platform to be lightweight, giving the engineers the opportunity to do more with less. And the result is the optimum use of available space to create an upscale feel with dynamics to match. With this new model, Nissan also paid a lot of attention to aerodynamic properties in the holistic pursuit of efficiency. The door mirrors were developed for use on the award-winning LEAF EV, the boot lid acts as a discrete spoiler, the step between pillars and windshield is all but eliminated, and the fuel tank and rear suspension beam are flush with the floor to improve the under body airflow. As well as improving fuel efficiency this attention to detail has driven down wind noise, which further enhances the charms of the well-appointed interior. Manoeuvring through urban conditions is simple, thanks to the small size and low weight, to which can be added one of the tightest turning circles in the class. The new Almera will enter the Nigerian market with just one engine option, modern 1.5-litre four-cylinder petrol featuring dual injection as well as variable timing working on both the intake and exhaust cycles to produce 73kW and 134Nm. With a kerb weight of just 1042kg to

propel, these outputs translate into willing performance. Transmission options are between a traditional five-speed manual and a new fourspeed automatic tailored for refinement and economy. The combination of a compact, free-revving engine, low kerb weight, and sculpted aerodynamics combine into a sedan with exceptional eco credentials, while also helping to keep the cost of purchasing and maintenance down without sacrificing engaging dynamics.

Safety In addition to generous lashings of style and comfort, the Almera has been built to exceed modern global safety regulations. All current models introduced for Nigeria, feature driver and passenger airbags as well as Anti-Lock Braking (ABS) and Electronic Brake force Distribution (EBD), electronics managing braking for the shortest stopping distance while maintaining full control in such an emergency situation. Despite keeping overall weight down for the sake of efficiency, the V-Platform also boasts new levels of strength and rigidity, which plays its own part in aiming to ensure that occupants are able to walk away from any unfortunate accident. Both front and rear seabelts feature pretensioning with load-limiters to keep passengers safe and mitigate the harm transmitted in an accident. “With the new Almera, Nissan has not been afraid to do things differently. To get rid of past limitations and creating a car for the present. It is ruthlessly efficient, by being smartly engineered and customised to the needs of the times. And it does this while still looking great, which is why we think it’s going to make a big impact as soon as it lands,” Middleton stated.

THE NATION MONDAY, JULY 2, 2012

MOTORING

Enforcement of commercial drivers’ certification to commence

HE Lagos State government has said it will soon commence the enforcement of commercial driver’s certification at its established Drivers Training Institute. Commissioner for Transportation, Mr Kayode Opeifa, who conducted journalists round at the institute in Oshodi, said professional drivers who are not certified will henceforth not be allowed to operate in the state. Opeifa said the development is not binding on private car owners who drive themselves, but stressed that it is compulsory for commercial drivers operating intra routes; ferrying people from other states to the state; drivers in companies and those driving private persons among others. Opeifa said henceforth, using uncertified drivers would attract penalties of between N50, 000 and N250, 000 fines or jail terms as prescribed by the state traffic law of 2008. He said:“For four years, we have been campaigning and slowly enforcing the rule. We are now ready to enforce it seriously. We have spoken with transport unions, companies and other stakeholders on the need to comply with the new regulation.

By Miriam Ndikanwu

“Giving your vehicle to a professional driver that is not certified is an offence by the owner and the driver. With this new measure, we hope to reduce road accidents in this state by 50 per cent.” Opeifa said the state government had registered only 18, 000 drivers since 2008 as against the 500, 000 it projected. He said the institute would partner with transport unions and other businesses to have accurate data on professional drivers and also facilitate interaction between drivers and prospective employers. “But let me make it clear that the institute is not a replacement of the national driving licence. Before you can be certified you must have your driving licence.” Chief Executive Officer of the Drivers Institute, Mr Ayodeji Oyedokun, who conducted government officials and journalists round the facilities of the institute in Oshodi, said there were five in all in the state. Oyedokun said the institute offered “Mandatory, rehabilitation and instructors’ courses’ for new drivers, those who committed of-

From left: Opeifa, Director, Transport Operators Mr Bola Matanmi, Oyedokun and Special Assistant on Transport Princess Abisoye Phillips at the event. PHOTO: TAJUDEEN ADEBANJO

fences and those who would train others. Oyedokun urged private vehicle owners to upgrade their driving skill and knowledge of roads by voluntarily enrolling for re-

Lagos aids Mega City’s transport fleet

commuting between Ibadan and Lagos or any other place, you must be trained by the institute. It will decrease road accidents.”

Oyo NURTW launches campaign against illegal extortion

HE Lagos State Taxi Drivers and Cab Operators Association has adopted the Great Wall Florid brand as the official taxi cab in the state in conjunction with Busywheels, a private sector initiative. President of the association Alhaji Lateef Useni said the introduction of the new urban taxi scheme is in tandem with the administration’s desire to alleviate the sufferings of the people and Florid was recommended to Busywheels International Service Limited because of its costs, durability and functionality. “In our country, before any vehicle can be used for taxi, such a vehicle must be strong enough to withstand the rough terrain (weather, bad road and traffic situation) and we found these qualities in the Greatwall Florid and that is why we recommended the Florid to Busywheels.” Useni said the taxis and their operators will be marked and registered in such a way to make for their easy identification and location in order to prevent fraud and robbery, adding that other stern measures will be taken to ensure the

habilitation course. He insisted that the state would not exempt any professional driver from its certification, saying, “If you operate in a state, you must obey the law. So, if you are

•Some of the taxi cabs on display By Tajudeen Adebanjo

scheme is not abused. General Manager of Busywheels, Mr Omileye Oluwaseun thanked the company for accepting to partner with his firm, promising to do everything possible to ensure the success of the partnership. Managing Director of CFAO CICA Nigeria Limited Mr Regis Tromeur described the event as historic. Tromeur said the company was committed to the success of the scheme and would do everything within its power to remain committed to the international standard and good corporate governance. “We are committed to the safety

of lives of Nigerians and that is why we in CFAO CICA Nigeria Limited believe in the provision of quality products and services at affordable prices. As a good corporate citizen, we will continue to support and promote those ideals and philosophies that are aimed at uplifting and improving the quality of life of the Nigerian citizen while ensuring their safety and wellbeing.” Tromeur called on other companies, corporate organisations, individuals, religious organisations, NGOs to patronise the company’s quality brand of vehicles which he described as economical, strong, safe, durable and affordable.

ARELY three weeks after flagging off its War Against Thuggery at motor parks, the National Union of Road Transport Workers (NURTW) in Oyo State has embarked on a campaign against illegal extortion of motorists. The campaign, which took the union to several flash points in Ibadan including Oritamefa, Beere, Molete, Challenge, Oritamerin and toll gate was led by the state NURTW Caretaker Committee Chairman, Alhaji Toafeek Ayorinde. In the course of the surveillance which lasted five hours, the Task Force arrested no fewer than 10 ticketing officers of the union at different motor parks for engaging in offences ranging from issuing fake union tickets to unsuspecting motorists. Some others were arrested for indecent dressing which the union leaders maintained was contrary to the newly-introduced dress code for all personnel of the union. While those nabbed with minor offences were reprimanded and let off the hook, those with more grievous offences were taken to the union’s state secretariat at Olomi, Ibadan for disciplinary actions in tune with the gravity of their offences. Oyerinde said the era of unilateralism where anybody can engage in illegality as deemed fit is

•Oyerinde

gone in the Oyo NURTW adding that the present regime will pursue its on-going transformation agenda to logical conclusion while all bad eggs would be shown the way out. He charged the union’s ticketing officers not to collect more than the approved N50 from motorists per day just as he warned selfish politicians who are out for parochial interests to steer clear of the union which he described as a nonpartisan professional organisation. Oyerinde urged members of the public, particularly passengers not to entertain any fear saying the caretaker committee was out to protect their interest.

Bajaj unveils new Boxer Motorcycle

AJAJ Auto Limited, makers of the Boxer Motorcycle has introduced new Boxer BM 100 into the Nigerian market. The new Boxer BM 100 ES motorcycle is armed with electronic start button. Speaking during the unveiling at the Excel Oriental Hotel, Lagos, the company’s Manager, International Marketing, Mr Vidyadhar Joshi the new motorcycle as stronger, more reliable, rugged and specifically built for Nigerian roads. Joshi said the essence of the new product is to assist its end users, Okada riders to get higher earning and less fatigue after their daily work. He listed the benefits of the new

By Tajudeen Adebanjo

motorcycle to include: low fuel consumption, low maintenance cost, long engine life, higher earning, more sitting space, better ride on rough roads, superior riding comfort on roads and stronger and long lasting. Also speaking, DAG Motorcycle Limited Managing Director Mr Monish Lakhani said the support received from the Nigerian government spur the firm to develop a very high technology motorcycle for the populace. Lakhani boasted that the Boxer BM 100 will reduce fatigue for the riders and passengers, hence, the innovation of the new product

which is currently the best in the market. He promised that the company will constantly improve on their products at the appropriate time in order to empower Nigerians. DAG’s General Manager Mr Avinash Darjanani, said the newly introduced boxer has an improved style with quality design. According to Darjanani, the new product has an improved longer seat with carrier to conveniently carry passengers with heavy loads. He said it is safe to ride on any road condition and has the ability to absorb more shock. In a couple of days, Darjanani said, the new product will be seen on roads across the country.

•From:Darjanani watches as Lakhani (left) and Joshi ride the bikes.

THE NATION MONDAY, JULY 2 , 2012

THE NATION MONDAY, JULY 2, 2012

Oyo rural dwellers relish growth •Continued from Page 17 tricity rehabilitation, drilling of two pump bore holes and an ongoing construction of a health centre. One of the beneficiaries in the area, Mr Moshood Adebunmi, an engineer, who spoke with Newsextra, said the agency has remarkably transformed their community, and brought a lot of relief to the longsuffering residents. He said that for over 25 years, the community had no pipe-borne water. ”We are very grateful to OYCSDA for the love and kindness shown to this my area,” Adebunmi said. “We have been suffering for water for the past 25 years and the government has been promising and failing to come to our aid over time, but now we are blessed with two boreholes which are placed in strategic locations in our area. “They have also brought light into our lives bearing in mind that majority of the electricity poles in this area are down but they have provided us with iron poles now. “The maintenance of the projects is in place and we will monitor their usage and nothing will destroy it.”

Another historic feat was also recorded in Egbeda Local Government communities were the agency intervened strategically by building a block of three classrooms and a community health centre, each for the people of Ifesowapo Oloya and Kajorepo communities. The Matron at Ifesowapo Oloya community health centre, Mrs Dasola Adegbenro, noted that community had been making use of a dilapidated structure in the past for the treatment of residents and that it will take about 1km to get to a nearby hospital. She said: ”Since the OYCSDA built this mini-clinic for this community we have had 11 babies delivered here and treated 222 patients in one month, in issues relating to malaria, typhoid and antenatal services. Also the local council has been very supportive by supplying us with adequate drugs quarterly. “We are appealing to the state government to build a laboratory and a standard delivery room for us. Also we need them to rehabilitate the road leading to this clinic and provide us with an ambulance.” In Kajorepo Community Primary

We are very grateful to OYCSDA for the love and kindness shown to our area. We have been suffering for water for the past 25 years and the government has been promising and failing to come to our aid over time, but now we are blessed with two boreholes which are placed in strategic locations in our area

S part of its corporate social responsibility efforts, Chemical and Allied Products (CAP) Plc has repainted the first orphanage in the country. The Nigerian Red Cross Orphanage Lagos State Motherless and Abandoned Babies Home in Lagos had a facelift, thanks to the Dulux Let’s Colour team which visited the facility. Speaking at the occasion, Managing Director, CAP Plc, Mrs. Omolara Elemide, provided some insights on the campaign. She said: “Let’s Colour is an iconic event for Dulux to paint monumental buildings. We are showing that we care for the less privileged in the society; that is one of the reasons why we chose this option. “This campaign has been activated in a number of countries since 2010; as partners of Akzonobel in Nigeria we decided to activate it in the country in 2012. And we decided to use our CSR platform.” She further said: “Our choice of Red Cross Orphanage is so apt; it is the first orphanage in Nigeria founded in October 1954.” Mrs. Elemide added, that it’s an annual campaign, so this year we are repainting the Red Cross Lagos State Motherless and Abandoned Babies Home building. If this Let’s Colour campaign continues till 2013, we will always

School, a block of three modern classrooms was constructed early this year accommodating over 400 students. Assistant head-mistress of the school, Mrs Abioye Oloruntoyin explained that it was through the intervention of the Parents Teachers Association (PTA), in conjunction with the agency, that the classrooms were built, adding that they were previously in a rundown rented four-bedroom flat, which did accommodate the school population. Mrs Abioye said: ”The next primary school closer to us is 8km away and even during the rainy season there is no easy access to the school. But now we are enjoying these block of three classrooms that was built buy OYSCSDA and even some people think that this is not a public school any longer. We therefore want the government to supply us with furnitures and more staffs because we are short of staffs. On the challenges facing the community projects of the agency, the Caretaker Chairman of Egbeda Local Government, Mr Fatai Akinsanmi, a lawyer, explained that the council alone cannot supply the schools with teachers and the clinics with medical staff without the approval of the state government. He said that they had written to the state government on the matter and were looking forward to a favourable response. Akinsanmi, who was represented by the Deputy Director, Personnel Management, Alhaji Lukman Muraina, said: ”We have awarded 2,500 set of furniture to be distributed to schools, and we also promise to join hands with the community members for an effective development.”

•One of the boreholes

•From left: Executive Director, Corporate Services, Mr. Joe Dada; Chief Finance Officer, UACN, Mr. Abdul Bello; Managing Director, CAP Plc, Mrs. Omolara Elemide; Chairman CAP Plc, Mr. Larry Ettah; and Branch Chairman, Nigerian Red Cross, Mr. Onibudo Mobolaji at the Dulux Let’s Colour Programme of repainting Red Cross Lagos State Motherless and Abandoned Babies Home

First orphanage in Nigeria gets facelift By Okwy Iroegbu-Chikezie

make it our continuous social responsibility campaign. “As a result of this exercise”,

We will be putting smiles on the faces of the children at the orphanage as their building wears new colours. And at the same time, we are donating books and other items to the orphanage

she said. “We will be putting a smile on the faces of the children at the orphanage as their building wears new colours. And at the same time, we are donating books and other items to the orphanage.” The chairman of the firm, Mr. Larry Ettah, who declared the occasion open, said: “it is a privilege to be part of the global initiative of Akzonobel and Dulux to transform living places in our communities through brilliant Dulux colours. We have chosen the Nigerian Red Cross Orphanage to make an impact on the community where we do business.”

Also speaking at the event, the Branch Chairman, Nigerian Red Cross Society, Mr. Onibudo

Mobolaji, expressed gratitude to CAP Plc for their social responsibility gesture.

THE NATION MONDAY, JULY 2, 2012

Honour for industrialist

OR his efforts in generating employment, manufacturing industrial and household ware, the chairman of Innoson Group of Companies, Chief Innocent Ifediaso Chukwuma, has won the 2012 African Businessman of the Year award. The award was given to him in London. The business mogul has investments in the automotive industry, motorcycle manufacturing and household plastics, among others. Chukwuma also recently bagged The Sun Businessman of the Year at a ceremony in Lagos. The London award, organised by the Commonwealth Business Council and AfricanBusiness magazine, took place at Grosvenor House Hotel. It attracted political leaders and top business tycoons from various parts of the world, including Alhaji Aliko Dangote, who himself was garlanded for his investments in Senegal. According to the organisers, Innoson Group was considered along with other leading business organisations from the continent, but “towered above others, partly because Council’s consultations and checks showed that no fewer than 7,000 people are employed by the companies”. Giving more insight into the factors that favoured Innoson Group, Mr Galib Virani of Afren International, an upstream oil and gas company, informed the guests at the event that Innoson’s investment record was not only outstanding, but raised the hope of economic growth and development in Africa. Virani remarked: “Innoson Group represents the best of Nigeria, and obviously the Champion of Africa. It is a thing of pride to have such a high profile group in the African conti-

By Jude Isiguzo

nent.” According to panelists’ submission, “there is no doubt that Africa especially Nigeria’s improved reputation today is largely due to the achievements of leaders like Innoson Group, and we wholeheartedly cherish your exceptional contribution to the economic and social development of Africa continent”. The Nigerian Deputy High Commissioner in London O. K. Lawal said: “With this award for excellence which was conferred by an eminent jury panel after considering so many contenders from our great continent, Innoson Group has raised the Nigerian flag far above our neighbours and has given hope to our people that diligence does have great rewards”. A media consultant, Mr Fred Nwosu, who attended the awards ceremony in London, said the organisers were also impressed with the success story of the plastics company, the summary of which was that Chukwuma bought the derelict plant, refurbished and transformed it into a manufacturer of a wide range of industrial, household and utility products like giant drums and refuse bins.

•Chukwuma (middle) and guests at the event Innoson was nominated for the award by the Bank of Industry, which last year officially declared the Group as its best customer in terms of reliability in financial transactions. The

“I can tell you that the honour will encourage us to contribute more towards the development of this country, especially in the manufacturing sector”.

Ogun takes disaster management to schools

S part of measures to enhance crisis management among youths, the Ogun State government has established Disaster Risk Reduction (DRR) clubs in secondary school in the state. Declaring open a two-day emer-

From Ernest Nwokolo, Abeokuta

gency management training programme following the establishment of the club, Commissioner for Environment, Alhaji Adebayo Fari said it was organised to equip the

•Former Chairman of Bayelsa Peace and Conflict Resolution Committee, Chief James Jephthah (second right), his wife Blessing (second left), the traditional ruler of Katampe, HRH Alhaji Adamu Diger (left) and his wife Mrs Diger HE former Chairman of the Bayelsa State Peace and Conflict Resolution Committee, Chief James Jephthah has been honoured with the traditional title of Sardauna Katampe I of Katampe chiefdom in the Bwari Area Council of the Federal Capital Territory (FCT), Abuja. Speaking through the Secretary of the Katampe Traditional Council, Mr. Ismaila Jikoko, the Traditional Ruler of Katampe, His Royal Highness, Alhaji Adamu Diger said the decision to honour Chief Jephthah was in recognition of his immense contribution to the socio-economic development of Katampe Community. He said as the community and Council of Chiefs deemed it fit to honour the former BSPCRC boss in view of his immense contributions to the development of the community as well as assistance to its peo-

bank’s Managing Director, Ms Evelyn Oputu, was also present at the London event. Chukwuma said he was overwhelmed and pleasantly surprised.

Ex-Bayelsa conflict resolution chief honoured By Shola O’Neil, Port Harcourt

ple both from within and outside the territory. The Paramount Ruler of Katampe explained that the title bestowed on Chief James Jephthah “Sarduana Katampe I” means Peacemaker of the Community. “He deserves the honour because he has connected the community single-handedly to electrivity from the national grid, provided water, created employment for our people and has promised to construct a link road from Mpape Road to our community. We are still expecting more from him

as far as socio-economic development is concerned.” Responding, Jephthah said he was elated to have been singled out for honour by the traditional ruler and people of Katampe, saying he was humbled and happy to be recognised as a member of the community and traditional title holder. According to him, the title has motivated him to do more for the people of the Community, adding, “For me to be a Bayelsan living in Katampe and contributing to its development is a wake-up call to other Nigerians to forget the where-youcome-from attitude and help the less privileged and down-trodden in the society.”

students with the required knowledge, training and skills on preventing disasters in and outside school communities. Represented by the Permanent Secretary of the Ministry, Mr Olufemi Falano, the Commissioner commended both the national and state emergency management agencies for organising the training at a time the nation was enmeshed in insecurity and incessant disasters. Fari noted that after the initial training, both NEMA and SEMA would put in place adequate steps to monitor and ensure the sustainability of the club in the five pilot schools and ensure its replication in all public secondary schools in the state. Similarly, Commissioner for Education, Science and Technology, Mr Segun Odubela, a lawyer, represented by the Permanent Secretary of the Ministry, Alhaji Ambali Ishola, assured of the Ministry’s support in sustaining and extending the club to other secondary schools in the state. In his address, the Zonal Coordinator of NEMA, TPL Iyiola Akande who spoke through his assistant, Mr Babatunde Adebiyi described the establishment of the club as a paradigm shift in disaster management, saying its purpose was to

minimise vulnerabilities and disaster risk in the society in order to prevent and prepare for the adverse impacts of hazards. “NEMA believes that children should be centrally engaged in reducing the risk of disasters in order that the negative impacts on communities are significantly reduced. Children have the capacity to contribute, bring a unique perspective to DRR preparations and have the right to play a part in making themselves and the communities safer, thus contributing towards a culture of safety”, he said. His counterpart in the state, Mr Timothy Oyenekan, said a total of 100 students were drawn from five public junior secondary schools in Abeokuta for the pilot edition, saying the choice of junior class students was to ensure that the club is effective and entrenched in chosen schools. He disclosed that First Aid boxes and other disaster management kits would be distributed to participating schools after a thorough training on how to use them. One of the participants, Oluwatumininu Otegbeye, a student of Abeokuta Grammar School, commended the organisers, promising to replicate the knowledge acquired in her school.

Children have the capacity to contribute, bring a unique perspective to DRR preparations and have the right to play a part in making themselves and the communities safer, thus contributing towards a culture of safety

MONDAY, JULY 2, 2012

Udoh, a male student of the Cross River State Special Education Centre found himself the only blessed man among widows to become a co-beneficiary of the wheelchairs presented to physically challenged widows at the occasion by Governor Liyel Imoke

Man benefits from widows’ relief initiative

PHYSICALLY challenged man, Bassey Etuk Udoh, has got a wheelchair, courtesy of a widows-based non-governmental organisation (NGO) operated by the wife of Cross River State governor, Mrs Obioma LiyelImoke. GLOW, the acronym for Giving Life Options to Widows, is the latest in the line of Imoke’s efforts targeted at the deprived. She wants to support them and lift their spirits. The launch of GLOW Initiative and official opening of its project office in Calabar coincided with the commemoration this year of the International Widow’s day. It was an all widows’ affair, but if you think for once to draw the line there, be advised to think again. All of Obioma’s intervention programmes, although focused on specific categories are all identified by a common characteristic – to alleviate the suffering of the vulnerable; with the relief wand landing sometimes, on just any fortunate one within range. Such was the case with Udoh, a male student of the Cross River State Special Education Centre who found himself at this crucial point as the only blessed man among widows to become a co-beneficiary of the wheelchairs presented to physically challenged widows at

•Governor Imoke (right, behind a woman in wheelchair), Bassey Udoh (second right) and other beneficiaries at the launch of GLOW in Calabar By Julius Gbayange

the occasion by Governor Liyel Imoke. It is evident that Obioma’s joy and fulfillment lie in helping others especially those who have found themselves in disadvantaged positions for no fault of theirs. Examples abound. By the same to-

ken, the children of the Destiny’s Child Centre who were the abandoned of society now have the hope they never had; because they now have the chance that was not available to them. The result is what we see today that some have already successfully accomplished their vocation training programmes and ready to stand on their own. Some more are in various schools, including 10 students of Surefoot America

International School who secured admission on scholarship on merit. Other widows whose mobility was enhanced with the gifts of wheel chairs include Victoria Ibanga, Ekaite Etim, and Atim Udo Udo. The GLOW on Bassey’s face expressed his joy probably better than words could ever say. This act of compassion demonstrates the high possibility there is to reach out and touch

lives. This, we can all do in our little ways to uplift the standard of our fellow citizens. Certainly, it is not every day and definitely not in every place that you have the privilege of watching a State Governor humble himself to wait on a physically challenged persons – the lowly of society – and to serve their immediate needs. This is the life worthy of emulation.

Lagos council to establish cassava processing factory

HE Chairman of Surulere Local Government in Lagos State, Hon. Tajudeen Ajide, has said the council would soon establish a cassava processing factory in the area. He spoke in Lagos while listing the achievements of his administration in the last 200 days. Ajide said the decision to establish the factory was borne out of the determination to complement the laudable programmes embarked upon by the Governor Babatunde Fashola administration.

By Tokunbo Ogunsami

He said the factory would be sited at Moshalashi area of the local government. According to him, the gari factory would provide employment for 250 residents. He said it would also provide food for the people at an affordable price. Ajide said: “My administration al-

ways gives priority to the issues relating to youth employment. We have been in the forefront where the matters relating to youth empowerment are concerned. We will ensure that the residents of this local government enjoy the dividends of democracy. “They should, however, play their part by paying their taxes, levies and dues promptly.” •Olufi of Gbongan, Oba Adetoyese Oyeniyi with the Osun State Commissioner of Police, Mrs. Kalafite Adeyemi, when the latter paid him a thank you in his palace in Gongan

•Deputy Speaker, Lagos State House of Assembly, Hon. Kolawole Taiwo (second right) commissioning Aigbaka ward office in Ejigbo Local Council Development Area. With him were Ejigbo council chairman, Kehinde Bamigbetan (left), member Lagos State House of Assembly from Oshodi-Isolo constituency, Hon. Omowunmi-Olatunji Edet (right), councilor representing Aigbaka ward, Hon. Onadeko Damilola (second left) and Ejigbo council vice chairman, Monsurudeen Bello-Obe

Osun monarch hailed for assisting police

TRADITIONAL ruler in Osun State, Oba Adetoyese Oyeniyi has exemplified the ideal relationship between the people and the police. Armed robbers struck in his domain, killing a policeman, Patrick Ojone, and wounding another. Oba Oyeniyi, the Olufi of Gbongan, promptly paid the medical bill of the wounded policeman. The state Police Commissioner, Mrs. Kalafite Adeyemi, visited the monarch to thank him for his concern and generosity. Ojone, an Assistant Superintendent of Police (ASP) was killed on the spot during an exchange of gunfire with the hoodlums. The police boss also visited the family members of the slain police officer to commiserate with them. Oba Oyeniyi said it was through the mercy of God and the quick intervention of the police in Gbongan division that saved the

From Soji Adeniyi, Osogbo

life of his son, who was innocently driving behind the armed robbers. The monarch, who paid the medical bills of the injured police men, said he could not have done otherwise because the policemen put their lives on the line to protect people and their property in his domain. Ten armed men attacked a local foreign exchange market in Sabo, Osogbo, the Osun State capital, making away with more than N3 million in different foreign currencies. After a successful raid on the Sabo market, the robbers, on their way out of town, ran into bank officials and a police escort team moving cash into a bank in the Ogo-Oluwa area. The bandits immediately opened fire and the police confronted them.

THE NATION MONDAY, JULY 2 , 2012

THE NATION MONDAY, JULY 2, 2012

NEWS Fed Govt urged to make health insurance compulsory

•Chairman, House of Representatives Committee on Diaspora Mrs. Abike DabiriErewa being decorated with the Fellowship award by Provost, Adeniran Ogunsanya College of Education (AOCOED), Mr. Olalekan Bashorun (right) at the College’s 29th Convocation at Oto-Ijanikin, Lagos State. With them is Deputy Provost Mr. Oladehinde Agoro. PHOTO: SULEIMON ADEOLA

Local govt not a third tier, say Mamora, Lagos AG

AGOS State AttorneyGeneral and Commissioner for Justice Mr. Ade Ipaye,Senator Olorunimbe

•Mamora on how councils can work By Emmanuel Oladesu

Mamora former Special Adviser on Political and

‘How to fight insecurity’ From Bukola Amusan, Abuja

HE Commandant-General of the Vigilante Group of Nigeria (VGN), Alhaji Ali Sokoto, has said the insecurity in the country requires drastic approach to curtail. Sokoto spoke in Abuja at the weekend. He said the organisation was established to complement the efforts of security agencies. He added that the group has sent a proposal to President Goodluck Jonathan on how to tackle the security challenges. Sokoto said: “Apart from the President, others who received copies of the proposal were the Inspector-General of Police, Mr. Mohammed Abubakar and the DirectorGeneral of the State Security Service (SSS), Mr. Ita Ekpeyong.”

Legislative Affairs, Alhaji Abdulhakeem Abdullateef have declared that local government is not recognised as the third tier of government by the 1999 Constitution. They said the responsibility for the local government administration and finances is vested in the state government. The trio spoke at at a workshop on: “The role of local govenment in nationbuilding” in Lagos. It was organised by Osun State Ministry of Local Government and Chieftaincy Affairs in

partnership with a Lagos training firm, Softtourch Enterprises. Mamora blamed the military for stiffling the growth of local government, recalling that, while the 1979 Constitution empowered the states to create councils, the newly created councils were scrapped by the military which toppled legitimate authorities in 1983. He noted that the existing 774 local governments were created by military fiat without recourse to justice, equity and fair play, adding that Lagos was short-changed in this regard.

HE Federal Government has been advised to make health insurance compulsory for all Nigerians. A communiqué by Premier Medicaid International (PMI) at its Annual General Meeting (AGM) said this would help the country attain the Millennium Development Goal (MDG) of health for all. The communiqué signed by its Vice-Chairman and Chief Executive, Sir Kayode Obembe, urged the Executive and the National Assembly to ensure the enactment of a law to make employers of labour provide health insurance for their workers. The law, it said, should ensure that only employers that insure workers staff should have access to government patronage. The communiqué reads: “It is slave labour for employers to hire citizens without guarantee for their health status through insurance. Out of pocket payment should be abolished. “All impediments inhibiting them from coming on board the health insurance scheme should be investigated and removed.” The Communiqué urged the NHIS authorities and the Health Maintenance Organisations to get the National Economic Council to buy into the scheme. The company suggested the establishment of a ward Health Programme under the community health insurance scheme to cover all the wards in the country. The programme, it said, would ensure that “every Nigerian is a participant, every Nigerian is a beneficiary”. It noted that inadequate funding is a critical challenge in the success of the health insurance scheme and the efforts to attain the MDG of quality health for all by 2015.

Govt targets $136m from cassava chips export From: Olugbenga Adanikin, Abuja

HE Federal Government is set to export cassava chips to China this month. The Minister of Agriculture and Rural Development, Dr. Akinwumi Adesina broke the news at a briefing at the weekend in Abuja. He said: “From this month, we will export one million metric tons of cassava chips to China. This would yield $136 million to the farmers in Nigeria.” He added that World Bank has said, it will support the Agricultural Transformation Agenda (ATA) of the Federal Government with $500 million. It was after a meeting with the bank officials in Abuja. Adesina noted that of the $500 million, $300 million will be used to improve the agricultural value-chains.The balance is for general budget support.

THE NATION MONDAY, JULY 2, 2012

NEWS Punish illegal bunkerers, says Navy

HE Flag Officer Commanding the Eastern Naval Command in Calabar, Rear Admiral O. B. Ogunjimi, has advocated severe punishment for those involved in illegal bunkering of petroleum products. Speaking after the quarterly route march of the Navy in Calabar at the weekend, he said: “I think that the punishment is not commensurate with the offence so I think the law makers should look at that”. He blamed unemployment for illegal bunkering and other criminal acts in the country.

From Nicholas Kalu, Calabar

The FOC noted that the recent arrest of ST Vanessa, which is causing controversy, indicates that some people do not want an end to illegal bunkering. Ogunjimi said the Federal Government is determined to eradicate criminality. He hailed the Cross River State governor for leading an operation against illegal bunkering in the state. He said the route march is a quaterly exercise for the Navy, adding that it is important for them to keep fit.

‘Key into democratic process’ From Clarice Azuatalam, Port Harcourt

EN of the Nigerian Armed Forces have been urged to key into the democratic process to enable them prepare for a settled life after retirement. The Chief of Defence Staff, Air Marshall O.O Petinri gave the advice in Port Harcourt at the weekend. He spoke through the Chief of Research and Development, Defence Headquarters, Abuja, Major-General Abiodun Amao at the Graduation Ceremony of Senior Officers Entrepreneurship and Management Training of the Armed Forces Resettlement Centre in collaboration with Empretec Nigeria Foundation. Petinri urged the military officers to use their knowledge during the one-week training to overcome some major social and health challenges that come with sudden retirement. While noting the commitment of President Goodluck Jonathan in ensuring that soldiers are properly settled after their service, he urged them not to “forget the challenges of the contemporary environment which calls for prudent management of scarce human and material resources”. Wife of former Cross River State Governor and Country Director of Empretec Mrs Onari Duke reminded the military officers of the need to start preparing early for post-retirement because “one day, we must retire from active service and so preparing early for post-retirement is important.” Mrs Duke said “with the development in science, life after service could be as long as life during service and we need to create financial gaps.” The Commandant of Nigerian Armed Forces Resettlement Centre, Oshodi, Air Vice Marshal Clement Aroriode praised the participants for undertaking the programme and urged them to take what they have learnt during the training seriously.

‘Council workers our priority’

KWA IBOM State Government yesterday said it is committed to the welfare of local government employees. Commissioner for Local Government and Chieftaincy Affairs, Effiong Abia, stated this when he met with members of the National Union of Local Government Employees (NULGE), led by its Chairman Felix Udoh. The commissioner recalled the role played by the coun-

From Kazeem Ibrahym, Uyo

cil workers in the resolution of the seeming face-off between the Nigeria Labour Congress (NLC) and the state government over the minimum wage. He said NULGE’s decision to return to work encouraged government to initiate the process leading to the enhanced salary structure for workers in the state.

2011 polls: Akpabio wins in court HE Federal High Court in Abuja has struck out a case instituted by Chief Ime Mbatt Essien challenging the nomination of Chief Godswill Akpabio as the governorship candidate of the Peoples Democratic Party (PDP) in Akwa Ibom State for the April 2011 elections. Chief Ime Mbatessien, had challenged, among other things, the eligibility of Akpabio to contest last year’s election. But Justice Adamu Bello held that the Supreme Court’s declaration of Akpabio as winner of the election foreclosed the hearing of the suit. “This suit has been overtaken by the judgment of the Supreme Court and it is, therefore, struck out,” he said.

•Rivers State Governor Chibuike Amaechi shares a joke with GED, Refinery & Petrochemical of NNPC Tony Ogbuigwe and Captain of Golf section of Port Harcourt Club Mr. Ngeri Abere during the 2012 NNPC Rosebowl Golf Tournament in Port Harcourt at the weekend

Alleged $20,000 theft: FAAN to aid police investigation

HE Federal Airports Authority of Nigeria (FAAN) said yesterday that it would assist the police in investigating the alleged loss of $20,000 at the security screening point of Terminal 1 of the Murtala Muhammed Airport (MMA2) in Lagos. On May 9, 2012, Yakubu Dazhia, a passenger on First Nation Airlines flight from Lagos to Abuja, claimed he lost $20,000 at the screening point of the MMA2. Dazhia said he kept the money in his hand luggage at his hotel room before heading for the airport. He claimed to have discovered the loss when he tried to get a complimentary card for a friend on board the flight. According to Dazhia, he had on arrival at the Nnamdi Azikiwe International Airport, Abuja, reported to the Chief Security Officer of FAAN at the airport. The CSO referred the

matter to the headquarters of FAAN in Lagos for investigation. Dahzia also reported to the Consumer Protection Directorate of the Nigerian Civil Aviation Authority and the Police authorities in Abuja. FAAN began investigating the allegation, while the NCAA also took up the matter. The Inspector-General of Police’s Monitoring team also began its investigation. The Police team last Wednesday moved some suspects to Abuja. A CCTV footage showed that contrary to Dahzia’s claim that nobody accompanied him to the airport on May 9, it was shown that he was accompanied by a man in black trousers and a white short sleeve shirt to the airport. The man slung Dazhia’s laptop-sized bag on his shoulder. The footage further showed both of them engaging in a conversation.

‘AVSEC Officers carry out a important and stressful assignment. These people need to be encouraged and defended until proven guilty of such an offense as stealing’ Dazhia was shown giving something to the man, who collected the unidentified item. On getting upstairs, Dazhia, clutching his hand luggage, which had been handed over to him by the man, approached the walkthrough metal detector. He resisted the instruction of one of the Aviation security officers on duty to remove his shoes and place them with his luggage on the screening machine. It

took the intervention and persuasion of the supervising security officer before he complied. The footage further showed Dazhia’s black laptop-sized bag on the search table, having emerged from the screening machine. Shortly after re-adjusting his shoes, Dazhia picked up his luggage from the table and proceeded to the departure lounge. FAAN said investigation into the matter is ongoing, so it is hasty and irresponsible for anyone to conclude that FAAN’s AVSEC Officers are culpable. The management said it would legally defend and uphold the rights of its workers. “AVSEC Officers carry out an important and stressful assignment. These people need to be encouraged and defended until proven guilty of such an offense as stealing,” FAAN said.

Uduaghan to headteachers: stop imposing illegal fees on pupils

‘Delta to conduct local govt polls soon’

ELTA State Governor Dr. Emmanuel Uduaghan has assured Deltans that the local government elections would hold in the next few months. Dr. Uduaghan, who gave the assurance during a thanksgiving to mark the 55th birthday and re-election of PDP state Chairman, Chief Peter Nwaoboshi in Ibusa, said the amendment bill of the Delta State Independent Electoral Commission (DEISC) would be passed into law soon and the commission inaugurated. Uduaghan said PDP in the state is a united body and called on PDP leaders to imbibe the spirit of “give and take” inorder to continue to foster the unity. “There is no factionalisation in PDP in Delta state, we are one, I must commend the state chairman for the effort he and his Exco have put to achieve this great success.” Governor Uduaghan thanked God for sparing the life of Chief Nwaoboshi to celebrate and called on all PDP faithful to pray for his success in piloting the affairs of the party.

From Yusufu Aminu Idegu, Jos

•Uduaghan

ELTA State Governor Dr. Emmanuel Uduaghan has warned headteachers in the state against extortion and imposition of illegal fees on pupils. He said he would deal

with those engaged in such shady deals. Dr. Uduaghan, who gave the warning during a meeting with stakeholders in the education sector regretted that the programmes that could reduce the financial burden of parents were being sabotaged by headteachers. He said he had received disturbing reports and enjoined Chief Inspectors of Education in the local governments to monitor the headteachers and stop them from the unwholesome practice. “The reports I got is not palatable, I found out that

some headteachers were illegally collecting money from pupils when we have abolished all such fees in primary and post-primary schools in the state”. The governor frowned at the attitude of some absentee teachers and urged them to be disciplined and enforce discipline on pupils. The governor appealed to parents, guardians and traditional rulers to act as social reformers and effect attitudinal change in the life style of pupils. The Commissioner for Basic and Secondary Education, Prof. Patrick Muoboghare,

said 50 head teachers caught collecting illegal levies were facing disciplinary actions. Prof. Muoboghare said they may be suspended from duty. Head of Service, Sir Okey Ofili called on Zonal Permanent Secretaries and CIEs to monitor the implementation of government policies and programmes in the education sector. Sir Ofili urged them not to watch while indiscipline sink to the lowest level. He said they would be held responsible for any unruly behaviour by pupils.

THE NATION MONDAY, JULY 2, 2012

NEWS CNPP sues Kogi over council poll

Man gets life for peddling hard drugs J USTICE Bature Gafair of the Federal High Court in Maiduguri, Borno State, has sentenced a cannabis dealer to life imprisonment. The judgment delivered while the world was celebrating the International Day Against Drug Abuse and Illicit Drug Trafficking, has generated interest among stakeholders. The convict, Saje Modu Askira, 42, is the first person to get a life imprisonment for drug trafficking in the state. According to Justice Gafair, the convict had a pending case before he was rearrested bought in connection with drug trafficking. He said: “It is obvious that he is yet to learn any lesson and practically lacks remorse. It will be difficult for him to be of good con-

By Kelvin Osa Okunbor

duct because while on bail he was caught selling cannabis. There is not enough evidence to prove his innocence. He is therefore found guilty as charged and sentenced to life imprisonment.” The Chairman/Chief Executive of the National Drug Law Enforcement Agency (NDLEA), Ahmadu Giade, hailed the judge for what he described as a bold step towards reducing the problem of drug abuse and illicit drug trafficking in the country. “This judgment is a welcome development. It is in line with our thinking that a desperate malady certainly deserves a desperate solution. This section of the law is a

pointer to the adequacy of the law. It will surely serve as a lesson to others,” he said. NDLEA Commander in Borno State Mr. Ona Ogilegwu said the ruling would transform the operational activities of the command. “No doubt, this ruling will change the face of our operations in the state. People will also begin to appreciate the fact that dealing in cannabis carries a serious penalty in line with the NDLEA act. This convict is a notorious cannabis dealer who was first caught in 2005 with 3.7kg of the drug. While he was on bail, he was re-arrested in 2007 with 1.7kg of cannabis. So, this is a good news to us in the agency because it is the first time in the state

From Mohammed Bashir, Lokoja

T •Giade

that a drug convict will get a life sentence,” Ogilegwu said. Under Section 11 C of the NDLEA Act, Cap N30 Laws of the Federation 2004, anybody who sells, buys, exposes or offers for sale or otherwise deals in or with the drugs, popularly known as cocaine, LSD, heroin or any other similar drugs shall be guilty of an offence and liable on conviction to be sentenced to imprisonment for life.

Plateau trains operatives in counter-terrorism

LATEAU State Government has trained 30 counter-terrorism operatives in Israel. It has also bought bomb-detection equipment and is set to instal early warning system to detect explosives and improve security. A source said the government has recruited and trained 4,000 youths from the 17 local governments in

From Marie-therese Nanlong, Jos

neighbourhood watch operation to curb the escalation of disputes into crises. The source said the government has constituted an internal security outfit, code-named “Operation Rainbow”, to oversee the operations of the operatives, complement the efforts of

the security agencies and ensure restoration of peace. Speaking with The Nation, the Coordinator of the outfit, Air Vice Marshal Bala Danbaba (rtd), urged the indigenes to key into the peace processes initiated by the governor and cooperate with the security agencies to ensure that peace is restored. He decried the state’s in-

ability to restore peace despite efforts, saying the killing of innocent people do not augur well for development. Danbaba said the government would not relent in the quest for peace as it has equipped and trained operatives in information gathering and bought bomb detection equipment to combat bombings.

Oniwon explains delay of Greenfield refineries

ORMER Group Managing Director (GMD) of the Nigerian National Petroleum Corporation (NNPC), Austen Oniwon, has said the construction of three Greenfield refineries by the Federal Government in Kogi, Lagos and Bayelsa states was being delayed due to the “change in the opinion of government” from loan investment

From Sanni Onogu, Abuja

to equity investment. Oniwon spoke at the weekend in Abuja at a round-table meeting on the “Sustainable socio-political development of Kogi Central Senatorial District”, organised by Senator Nurudeen Abatemi-Usman for leaders in his constituency. The ex-GMD said his retirement would not lead to

the relocation of the refinery earmarked for Obokere in Kogi State. He said the NNPC has attracted real equity investment of 80 per cent, adding that government is to add the balance of 20 per cent to enable the projects take off. Oniwon said the projects would be sited at Obokere in Ajaokuta Local Govern-

Kwankwaso reshuffles exco

OVERNOR Rabiu Musa Kwankwaso of Kano State has reshuffled his executive council. Dr. Adamu Yunusa Dangwani was removed as the Chief of Staff and appointed Commissioner for Water Resources. The governor, who spoke after the swearing in of Dangwani, said he was not removed because of an undisclosed offence. He said the latest exco reshuffle is part of the government’s efforts to strengthen governance. Kwankwaso said the new appointments were aimed at repositioning the state, adding that three commissioners were also moved to

From Kolade Adeyemi, Kano

other ministries. “Running a government is like a horse race. If you are in the front, you must strive to retain your position,” the governor said, adding that political appointees and civil servants must work hard to ensure that the government performs well. Former Water Resources Commissioner, Mohammed Gwagwarwa, has been moved to the Ministry of Science and Technology, while the former Commissioner for Science and Technology has been transferred to the Ministry of Projects

•Kwankwaso

Monitoring. The former Commissioner for Projects Monitoring is now the Commissioner for State Affairs.

ment as against the land allotted by the former Kogi State governor, Alhaji Ibrahim Idris, because of sound business sense. He said: “What hope do we have as a people for the Greenfield Refinery slated for Obokere at Ajaokuta? “I will say the hope still remains very high. In the industry, it takes a long time for final investment decision to be taken on projects, especially when you are talking about projects that run into billions of dollars. “The three Greenfield refineries, one in Lagos, one at Obokere and one in Bayelsa are being managed by the same consortium, that is, NNPC and its Chinese counterparts. “We were almost signing the final Memorandum of Understanding (MoU) when the opinion of government changed to go from loan investment to equity investment. Government requested that we should attract real equity rather than loan from investors. I can say confidently that as at today, the three projects were able to attract real equity investment to the tune of 80 per cent.”

Court dismisses N24b suit against FCTA

HIGH Court in the Federal Capital Territory (FCT) has dismissed a N24 billion land suit brought against the Federal Capital Territory Administration (FCTA) and three others by the M/S Petroleum Financial Corporate Limited. FCT Minister Senator Bala Mohammed said in Abuja at the weekend that the said case was instituted against the FCTA and three others in 2006 at the FCT High Court 2 before being reassigned to the FCT High Court 14 due to the transfer of Justice Sidi Bage, to the Court of Appeal. M/S Petroleum Financial Corporate Limited sought a declaration that a property at Plot 445 (about 2.42 hectares), Cadastral Zone A05, Maitama District, Abuja, be

From Bukola Amusan, Abuja

returned. Senator Mohammed hailed the commitment and doggedness of the FCT Legal Services Secretariat. The plot was allocated to the National Board for Technical Education (NBTE) in 1990 but was revoked in 2005 by the minister following the expiration of the grace period granted to erect and complete development on plots within the Federal Capital Territory. M/S Petroleum Financial Corporate Limited claimed to be the attorney to the former original owner of the property, the NBTE that later dissociated itself from the suit.

HE Conference of Nigeria Political Parties (CNPP) in Kogi State has sued the state government to court, saying it should stop the council election slated for Decem-

ber 8. In a statement by the Secretary, Simeon Ojonuba, CNPP opposed the decision of the Kogi State Independent Electoral Commission (SIEC) to fix December 8 as the date for the poll. The law, Ojonuba said, stipulates that the SIEC and parties should agree on a date suitable to all the stakeholders. “The CNPP and all political parties must be given adequate time to prepare for the election after due consultation, rather than stampeding it to contest for the poll. “SIEC is not known to be well constituted, just like the state government that has not constituted its exco,” Ojonuba added. The SIEC Chairman Abraham Olaniyan said the decision to schedule December 8 for the council poll was due to the consultations with the stakeholders.

PDP wins Kwara rerun From Adekunle Jimoh, Ilorin

THE Independent National Electoral Commission (INEC) has declared the Peoples Democratic Party’s (PDP’s) candidate, Abdulfatah Salman Babakini, as the winner of the Kwara State House of Assembly rerun. The election took place on Saturday at Oloje and Alanamu wards of the Ilorin WestNorth Constituency.

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THE NATION MONDAY, JULY 2, 2012

FORIEGN NEWS Storm-hit US states declare emergencies STATES of emergency have now been declared in four states and the US capital after violent storms cut a swathe through the east of the country. Thirteen deaths have been linked to the sudden storms, which, packing hurricanestrength winds, uprooted trees and downed power lines. Amid an intense heatwave, three million people were left without power. Power companies are warning that some may not have electricity restored for up to a week. Officials have warned that the heatwave - compounded by the loss of air conditioning due to power outages - could threaten the very young, old and sick. In Bradley county, eastern Tennessee, the high temperature has been blamed for the deaths of two brothers, age three and five, who were playing outside in 105F (40.6C) heat, Reuters news agency reports. Maryland, West Virginia, Virginia, Ohio and the District of Columbia have all now declared states of emergency. Virginia Gov Bob McDonnell said the state where six people died from the storms - had had its largest non-hurricane power outage in history. “This is a very dangerous situation,” he said, according to Associated Press.

Kenya church attacks kill 17

XPLOSIONS targeting two churches in Kenya near the Somali border killed at least 17 people, the Red Cross said, in the latest spate of attacks on the East African nation. The blasts wounded at least 40 others, the Red Cross said. Regional deputy police chief Philip Ndolo also confirmed the injuries, saying “about a dozen” were critically wounded. A Catholic church and the African Inland Church were both attacked by people wearing balaclavas and bearing guns and grenades, Ndolo said. The attacks took place about 10 a.m. local time. No one immediately claimed responsibility for

the incidents in the town of Garissa. Most of the dead were from the African Inland Church, Ndolo said, including two police officers who were standing guard. Sunday’s blasts happened at two churches in the Kenyan town of Garissa, close to the border with Somalia. The injured were taken to the Garissa Provincial General Hospital, about a kilometer away, he said. “We condemn these attacks in the strongest possible terms,” Ndolo said. “The Kenyan police call for members of the public to come forward with information that will lead to the arrest of the responsible persons.” Additional security forces

‘New Syria pact may not succeed’

HERE is no guarantee that a sweeping new international agreement on Syria will succeed in ending the conflict there, U.S. Secretary of State Hillary Clinton conceded, as opposition activists said the number of dead had skyrocketed in recent months. “There is no guarantee that we are going to be successful. I just hate to say that,” Clinton told CNN. But she expressed optimism that a new agreement hammered out Saturday would help ease President Bashar alAssad out of power. The first plan backed by Russia and China as well as the West, it calls for a transi-

tional government as a step towards ending the 16-month uprising. Opposition activists immediately criticized the deal as leaving open the possibility that al-Assad would remain in power. “The new agreement provides vague language which is open to interpretation,” the opposition Local Coordination Committees of Syria said in a statement Sunday. “This provides yet another opportunity for the regime’s thugs to play their favorite game in utilizing time in order to stop the popular Syrian Revolution and extinguish it with violence and massacres across Syria.”

and police were deployed, and the investigation was under way, he said. “The situation is tense, but under control.” Witnesses have told authorities they saw two attackers at the Catholic church and four at the African Inland Church, he said. Violence have escalated since Kenyan forces invaded neighboring Somalia last year to battle Islamist militant group al-Shabaab, which it blamed for kidnappings of foreigners in the nation. When Kenya pursued the militants, the terror group threatened retaliatory attacks, saying it considers the incursion an affront to Somalia’s sovereignty. Since the invasion in Oc-

tober, Kenya has been hit by a series of grenade attacks blamed on al-Shabaab or its supporters. The grenade attacks have mostly targeted the capital of Nairobi, the port city of Mombasa and northeastern towns and refugee camps near the border with Somalia. Garissa is close to the Somali border and the Dadaab refugee camp, where gunmen kidnapped four aid workers and killed a driver last week. Al-Shabaab is linked to al Qaeda and has been designated a terrorist organization by the United States. U.S. officials have issued warnings of potential attacks in the country since the incursion.

Ex-Israeli leader Yitzhak Shamir dies THE former Israeli Prime Minister, Yitzhak Shamir, has died at the age of 96, officials say. In a statement announcing the death, current Prime Minister Benjamin Netanyahu paid tribute to his “deep loyalty to Israel”. As leader of the right-wing Likud party, Mr Shamir was prime minister between 1983-1984, and in 1986-1992. In office, he gained a reputation as an uncompromising opponent of Palestinian statehood. “He was part of a marvellous generation which created the state of Israel and struggled for the Jewish people,” Mr Netanyahu said in his statement.

NATION NEWS

Lawan: Otedola gave me $250,000 in a hotel room •Continued from page 4

“As soon as he had collected the total sum of $500,000 US dollars, our client immediately wrote a letter at 3.47am on 24th of April, 2012 to the Chairman, House Committee on Drugs, Narcotics and Financial Crimes with the letter titled “Offer of Monetary Inducement by Femi Otedola to influence Committee Report”. Our client attached the sum $500,000 offered by Mr. Otedola to him with a promise to bring another $2.5million US dollars.” The lawyers said certain facts can be deduced from Lawan’s detailed narration on circumstances surrounding the case. They include, among others, the fact that Otedola initiated the move through his persistent phone calls, text messages and subtle threats ; that no security agency be it SSS or any other was ever involved in the so-called sting operation against Lawan; that a sting operation does not take the sting operator nearly two months before telling the press, rather than the police or other security agencies, of his alleged sting operation; and that it was Lawan who cried out to the public through the media and the relevant committee in the House about the attempt by oil marketers to influence the report and that it was this that made the police to contact him where letters were exchanged. The lawyers said Lawan “never placed any money under his cap as he wore no cap on the two occasions he met with Otedola, adding that he remains innocent of any crime and is willing “to have a face-to-face confrontation with Mr. Otedola before you (the IG) in the course of investigation of this matter”. On the controversial video of the sting operation, the lawyers, challenged the “SSS, the police, Mr. Otedola or any other person for that matter, to produce for public viewing the video or film and call logs of the conversation between him and Mr. Otedola, unedited and undoctored, and it will be seen that the entire story sold to the public and the police by Mr. Otedola is nothing but an after thought, total fabrication and a diet of deliberate falsehood and half truths.” He implored the IG to “go beyond the current hysteria, manipulated by a section of the media sympathetic to Mr. Otedola, to unearth the correct facts of this saga in such a

way that the ends of justice will be met and in such a way that the complainant is not turned to the accused, and the hunter is not made to become the hunted.” They urged the police chief to do everything within his power to ensure that the right culprit in the saga will eventually be put in the dock and face the full wrath of the law. A senior police officer, who spoke last night, said: “We have been able to establish that it was a sting operation with the involvement of the SSS. As a matter of fact, the SSS has made the video clip and the details available to us. “Without taking sides and from the evidence at our disposal so far, it will be wrong for anyone to allege that Otedola might have acted on his own. The SSS was involved and it has forwarded all relevant documents to us. “On the way the bribe was offered, Lawan admitted during interaction with the police that he got the bribe sum both at home and in a hotel. This was the same thing that Otedola told us. “It is new for Lawan to claim that he collected money but not bribe sum. He said he informed the EFCC chairman without mentioning the giver. Why didn’t he write the EFCC formally instead of recourse to verbal mention? This position by his lawyers is irreconcilable with our investigation. “If any bribe suspect is playing along with the giver, he should have reported to a law enforcement agency with the evidence. In this instance, Lawan said he informed the Chairman of the House Committee on Drugs, Narcotics and Financial Crimes, Mr. Adam Jagaba, who is not a law enforcer. “Even at that, Jagaba has denied receiving any bribe sum from Lawan. And we have been asking Jagaba to report for interaction and he has been evasive. So, the question is: Who did he report to or which law enforcement agency did he inform that he was playing along with the bribe giver, Otedola. “These are gaps in Lawan’s testimony that we have been investigating. That is why we have invited Jagaba.” The source denied infringement on the rights of Lawan. The source added: “Go to Lawan, he will admit that we treated him with courtesy and honour, we did not violate his rights in any manner. We also detained and granted him bail within the ambit of the law.”

‘Why President won’t honour invitation’ •Continued from page 4

“The President does not mean to slight the House but he is trying to avoid a situation whereby members will dig into ‘delicate security matters.” The official went on: “No doubt, the House deserves to know and have an update on the security situation in the country but there is no way the President will be there without going into sensitive

operational details that might be detrimental to how the government is curtailing it. “There is also the challenge of some members taking undue advantage of the President’s presence to play to the gallery. And instead of finding solutions, we may end up creating division.” Responding to a question, the source added: “The Presidency is weighing other options which have been tabled

before the House. “I think in the next one or two weeks, the government officers would have reached a compromise with the House leadership. “So, you can see that the presidency is willing to compare notes with the House of Representatives on the insecurity in the country. The area of disagreement is just the modalities.”

THE NATION MONDAY, JULY 2, 2012

SPORT EXTRA

Spain takes 2nd straight S Euro soccer title PAIN made an argument for being the best national team ever in soccer after drubbing Italy 4-0 in the European Championship final on Sunday in Kiev, Ukraine. The win was the second championship in a row in the Euro tournament for the Spanish, having won in 2008 in Austria, and in between they won a World Cup in 2010 in South Africa - an incredibly difficult and unprecedented string of success by a national team.

•Crush Italy 4-0 Goals from David Silva and Jordi Alba in the first half gave Spain a convincing lead. Fernando Torres and fellow substitute Juan Mata added late goals. Italy was down to 10 men after the 64th minute. The team had used its substitutes when

Thiago Motta was taken off due to injury. Spain even allowed Italy the majority of first-half possession, yet its trademark quick passing game was lethal when required. Spain captain Iker Casillas was outstanding in keeping Italy's attack at bay.

•Torres

Nigerian athletes set four new records

Stella Bamawo from Port Novo

IGERIA has set four new records in the just concluded All Africa Senior Athletics Championship in Port Novo, Benin-Republic. In the women’s 4x400 metres relay, the quartet of Endurance Abinuwa, Omolara Omotosho,

Margret Etim and Bukola Abogunloko ran 3 minutes 28,77 seconds to set another championship record, while Saul Weipogwa, Amaechi Morton, Abiola Onakoya, and Isah Salihu teamed up to the

4x400 metres men’s relay final in a time of 3 minutes, 2 minutes, 39 seconds. Also in the shot put and 4 x 400 metres women's relay. Earlier, Blessing Okagbare had set a new African championship record in the long jump and the 4x100 metres women’ relay.

FINAL MEDALS TABLE OF THE 18TH AFRICAN SENIOR CHAMPIONSHIP COUNTRY

GOLD

SILVER

BRONZE

TOTAL

Nigeria

Kenya

S/Africa

SENEGAL

Botswana

Algeria

Tunisia

Ghana

Cote D’Iviore

MADAGASCAR

Seychelles

GABON

1 1

Burundi

EGYPYT

Ethiopia

BURKINA FASO

Cameroon

Liberia

MAURITIOUS

BENIN

Sudan

THE NATION MONDAY, JULY 2, 2012

SPORT EXTRA Imo intensifies preparation for Lagos 2012

Kanu /Greensprings Football T Camp kicks off today I HE first annual Kanu Greensprings Football Camp kicks off today at the Lekki campus of Greensprings School in Lagos The camp, which is the brainchild of Greensprings School in collaboration with Super Eagles’ former captain, Nwankwo Kanu as well as the West Africa School Sports Union (WASSU) will have coaches from current English Premier League champion, Manchester City and Liverpool as resource persons. Also, erstwhile Super Eagles’ coach, Joe Erico will lead the indigenous coaches to the oneweek clinic with hundreds of students across the country taking part. The Manchester City coach Lewis Grimshaw and Michael Horton are in charge of development under manager Coach Roberto Mancini. According to the organisers, their compatriots from Liverpool - Gary Lewis and Gary Judge, will join the Man City coaches. The coaches arrived Nigeria yesterday from their base in Manchester to be part of the exercise.

The world class sporting facilities at the Lekki Campus of Greensprings School will host the one-week clinic. According to Greensprings' Director of Education, Professor George Hickman, each participant would receive two full kits included in the registration fee; boarding houses are in readiness; local pick-up transportation to and from would be available for students not staying on campus. Hickman said that participants should expect highest level of football training, which he believes would enrich their skills as well as bring innate abilities prevalent in Nigeria. He added: “However, the week's training will not only include football, because we believe that a variety of sports and other activities are important to maintain interest and to also increase opportunities to mould character through sports in swimming, tennis, basketball, track and other

planned bonding fun-filled days. I would also like to emphasize that the camp will be fun, and friendships will be forged, which will remain for years to come. Participants can rightly expect excellent organization and administration in all aspects of the camp,” Hickman assured.

•Kanu

Also, in order to update the knowledge of Physical Education (PE) teachers, a train-thetrainers workshop will also be part of the camp with top sports experts like Clement Fasan, Gloria Obajimi and Patrick Omo-Osagie handling proceedings during the exercise.

MO State government has assured the athletes of the State of the best of preparation for the forthcoming National Sports Festival (NSF) slated for Lagos in November. The new Permanent Secretary, Ministry of Youth and Sports, Obinna P. Ufomadu made this known to NationSport recently during his on-the-spot assessment of the facilities/working visit to the Dan Anyiam Stadium, Owerri. Ufomadu who said his visit to the Stadium has enabled him to know what to discuss with the State Commissioner for Youth and Sports, Comrade Kenneth Emelu opined that Imo athletes would have improved practice sessions ahead of the Eko Festival better than the one had preparatory to the Port Harcourt edition of the games. “We are looking at ensuring that our state athletes are better motivated and prepared for Eko Sports Festival than the previous ones held and for

From Tunde Liadi, Owerri

that to be possible discussions have reached advanced level and very soon they will be hitting camp. “My visit to the Stadium has afforded me the opportunity to see for myself the facilities here and what to advise the Commissioner on since I would not have known what to say without seeing those things myself,” Ufomadu said. The Perm Sec was taken round by the acting Director of Sports, Imo Sports Council, Mrs Chizotam Aretola and other staff of the Council. Earlier, Mrs Aretola welcomed Ufomadu to the Ministry of Youth and Sports and charged him to give the Commissioner for Youth and Sports useful adivise based on the current state of the Stadium. She added that with proper motivation of athletes and good camping the next NSF could be the State’s best in recently held Festivals.

NATIONSPORT TUESDAY, JULY 2, 2012

EURO TRANFER

• Guardiola

• Terry

• Pranjic

www.thenationonlineng.net

MONDAY, JULY 2 , 2012 TRUTH IN DEFENCE OF FREEDOM

TOMORROW IN THE NATION

‘The last time I checked, innocent NYSC members were slaughtered in the northern killing fields. But the real tragedy is that there is absolutely no guarantee such slaughter would not happen again’ VOL 7 NO 2,175

C OMMENT & D EB ATE EBA

HE appointment of Sambo Dasuki as national security adviser should leave him more awed than happy. Given the redrawing of the map of the North from an agrarian haven to a tapestry of blood, fear and death, he should not joy in the wavelets of congratulations. The media may serenade him with flattering biographies. They may cast him as a doer and hero. But he should remember that we have heard such sweet-coated eulogies before. He should realise that the life of a public officer endures like a bubble. It shines, is outsize and impresses us with the fragility of its glamour. Whether it is a governor, a senator, a minister, or even a president, we know the reign will pass and they know it too, often too late. While it lasts, most of them inhabit a denial. They live as though on an eternal clock, an impregnable sanctuary, a peacock of illusion. The aphrodisiac prevents the new occupant from ruminating on his predecessor’s sudden vacancy of glamour, the wan and ashy aftermath of power. So they come to power humble, abide in it as peacocks and leave as peacocks learning how to be humble again. That is why I think Dasuki’s task is daunting. Last week, I wondered about the rationale for this appointment. Was it a royal sup, an appointment to suit a northern establishment rather than a real crack at the protracted problem of Boko Haram. These we know about the new NSA. He is an ex-soldier, and ADC to former head of state, General Ibrahim Babangida. He belongs to the Royal family, and is the son of the deposed Sultan Ibrahim Dasuki. We also know that he has worked in the nest of coup plotters and fled to exile when his alleged plot ran upon the rocks in the military era. Does any of these qualify him as an NSA? Not many will agree. He was in the military for about a dozen years, and was not known to have worked in the intelligence department. He was familiar with infantry and artillery. His blueblood is his greatest asset. He grew as a protégé of General Aliyu Gusau, a former NSA and presidential aspirant as well as a close friend of the deposed sultan and father of Sambo. Gusau is also close to IBB. IBB was also helped into the army because of his association with Gusau and the Dasuki family. So, Sambo’s rise to the position of ADC came partly from his asset as a blueblood. The appointment could also be a Jonathan sup to Gusau and IBB for losing out in the presidential sweepstakes in which Jonathan triumphed. Giving the post to Dasuki is like giving it to the Gusau

RIPPLES NIGERIA IS CRAWLING–Obasanjo

Yes, it used to LIMP when Baba was there.

SAM OMATSEYE

IN TOUCH

intouchsam@yahoo.com 08054501081(sms only) •Winner, Informed Commentary 2009& 2010 (D.A.M.E)

A prince and his paupers

• Dasuki camp. Some sources say it might open the way for appointing Gusau as defence minister. Dasuki’s appointment is also a reaction to criticism that Azazi, President Jonathan’s kinsman, was appointed to protect him rather than Nigeria. Now, he has given a northerner the post to restore the underbelly of Nigeria’s security: the North. But the choice of Dasuki poses some issues. One, Dasuki is a royal and that places him in a class that is increasingly alienated from the source and temper of Boko Haram: the nadir class of al majiris, the poor, uneducated and zealots. Two, this new position is a new

T is interesting watching Nigeria’s hyperactive House of Representatives at work. This year alone they have launched probes and public hearings without number in the name of oversight activity. Unfortunately, many of these initiatives have generated more sound, fury and scandal than genuine light. Since these investigative endeavours are funded from the public purse, we are entitled to question whether we are getting value for money, or simply unsolicited entertainment. Take the fiasco that has been the House’s bid to probe the activities of the Securities and Exchange Commission (SEC). Ostensibly aimed at gaining insight into the collapse of the capital market, it soon dissolved into a torrid soap opera with the erstwhile SEC Director-General, Arunma Oteh, accusing former committee chairman, Herman Hembe, of soliciting a N39 million bribe as well as a further N5 million from the Commission. Both the accused and accuser have since been ousted from their positions, but the credibility of the House hearings have been left in tatters – never mind that a replacement ad-hoc committee has been constituted to carry on from where

breath of life for the northern royalty, whose families have been fractured for over a decade since the ouster of Ibrahim Dasuki from the throne. Sambo Dasuki’s new position offers a new platform for relevance, reconciliation and recognition for the royal families and traditional authorities in the North. But if that is Jonathan’s calculation, then it is cynical in that it does not address the apparent raison d’etre for Dasuki’s new assignment. Redressing the royal rift is good for royalty. But how does that keep bombs from markets and churches? One of Dasuki’s first tasks was to visit royal authorities in Yobe State. That shows that he brings a regal mindset to the job. From the actions and utterances of the Boko Haram faithful, they have no respect for the traditional rulers. Most of the emirs have kept petrified lips over the rumblings of violence across the North. The lone voice of courage has been the Sultan of Sokoto. If Dasuki approaches his job by using the traditional authorities, then he might have started on the wrong horse. His is a royalist who does not seem to look at the problem from an underclass standpoint. His job helps him and brings his family pride of place in the calculus of royal power and may help soothe the friction with the Maccido family that benefited from the family’s ill fortune. Governor Wamakko of Sokoto has been playing a noble game of reconciling both families. What of the big picture of enduring peace in the North and the nation at large? Gone are the days of royal preeminence in Nigerian history. Obas, obis and emirs have little to offer the people these days and that explains why the urban underclass and rural poor have been manipulated by gover-

OLAKUNLE ABIMBOLA

nors and senators and even presidents. They dispense handouts that monarchs cannot match. That is why governors can create political infrastructures and election machines that undermine the traditional rulers. Apart from the governors, the underclass pays more obeisance to their clerics than the emirs. It has been argued that an NSA does not require an intelligence background. In the U.S., they are often academics. Americans see the position more in terms of securing U.S. interests abroad, hence both Henry Kissinger and Condoleezza Rice were both NSAs and secretaries of state. In Nigeria, NSAs focus on internal security. The jobs are defined differently in both countries. Nothing wrong with that. Dasuki also comes from a tradition of soldiery in which soldiers fight with suspect loyalty. Poet W.B. Yeats describes them this way: “Those that I fight I do not hate, those that I guard I do not love.” The Boko Haram falls in the context of the theocratic faithful. They love who they guard and hate who they fight. Regular soldiers in Dasuki’s mould view Boko Haram as army without rhythm. They see them the way Prime Minister Winston Churchill described Vladimir Lenin of revolutionary Russia: “His purpose is to save the world; his method is to blow it up.” A chasm lurks between Dasuki and Boko Haram. Dasuki should bow to understand the ways of the underclass. That is the sort of good soldier that Dasuki needs to be to succeed. He will have to heed the words of Leo Tolstoy in his novel of generals, War and Peace: “It is better to bow too low than not low enough.” The chip on his shoulders is to convince us that his blue blood is vitaminised enough to checkmate red-blooded militants. It is a tough task. I would not recommend Mark Twain’s historical fiction, The Prince and the Pauper, though it can serve as a cautionary tale. It is the story of a pauper and prince who switch places based on the story of the son of King Edwards of England in the 16th century. Both played their roles imperfectly and the prince had to claim the throne when the king died. If anything, it shows that you cannot fake your class. With the Jihad of Uthman Dan Fodio in 1804, the princes and the paupers worked under a theocratic bond. But after two rude centuries of Western incursions and capitalism, Dasuki’s challenge is to show that the Fulani prince can come to terms with the paupers of today.

HARDBALL

•Hardball is not the opinion of the columnist featured above

Overdose of oversight

Why was it necessary to issue this decree when the process is already proceeding nicely according to law? The latest example of the House’s overdose of oversight activity has to do with their investigation of the bribery scandal involving businessman Femi Otedola and the former chairman of the ad-hoc committee of fuel subsidy payments, Farouk Lawan. The excuse for the latest hearing is that the chamber had sent the matter to the Ethics committee which has no choice but act. However, there is the little matter of the police claiming that the lawmakers were interfering in their business. We cannot begin to imagine what will emerge from the legislative probe, but invariably anything unsavoury will end up with the police and prosecuting authorities for action – especially since criminal matters as well as ethical issues are involved here. Given all its image problems the last thing the House needs is come across as this meddlesome interloper creating cofusion all over the place in the name of oversight activity. Perhaps they can channel their excess zeal towards researching and writing laws that can positively impact our democracy.

Hembe’s panel left off. The zeal with which the House jumps into these probes and hearings would have been admirable if only it didn’t give the impression of lawmakers haring off in all directions – trying to look busy. Their overzealousness if not checked could soon turn the business of governance on its head. After the Dana Airlines crash in Lagos, Nigerians were demanding answers. As usual the House was quick to oblige with another elaborate hearing. But by leaping in without looking, the legislators seemed unconcerned that their action could be a distraction to the Accident Investigation Bureau (AIB) which is empowered by law to probe such air disasters. The lawmakers are not content only with probing; they have developed an appetite for issuing military-type orders and generally throwing their weight around. Last week they ordered the management of Dana Air to pay compensation to families of the 153 passengers killed in its aircraft in one week.

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