The Nation March 12, 2012

Nigeria’s widest circulating newspaper

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VOL. 7, NO. 2062 MONDAY, MARCH 12, 2012

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11 dead in Jos as suicide bombers attack church

•Youths and soldiers in Rayfield, Jos after the attack ... yesterday. SEE ALSO PAGE 3

22 hospitalised Youths attack soldiers Jonathan to Nigerians: don’t be discouraged

J

OS, the crisis-prone capital of Plateau State, was in turbulence again yesterday.

Youths went on the rampage as soldiers shot sporadically to prevent an escalation of the violent protests that greeted the suicide bombing of a Catholic church.

Yesterday’s bombing of St.

From Yusufu Aminu Idegu and Marie-Therese Peter, Jos

Finbarr’s Catholic Church in Reyfield, Jos was the second attack on a church in two weeks in the Tin City.

Seven parishioners, including an expectant woman, were among the 11 peaople confirmed dead in yesterday’s bombing; 22 were in-

jured.

On February 26, a suicide bomber drove an explosive-laden car into the Church of Christ in Nigeria (COCIN). Four people were killed.

President Goodluck Jonathan swiftly denounced the bombing. He urged Nigerians “not to despair or be discouraged”, in a statement by Continued on page 4

•A victim of the bomb blast at St. Finbarr’s Catholic Church in Jos being rushed to the hospital ... at the weekend PHOTOS: NAN

Sultan, Ooni, others insist on unity M •Sultan

ONARCHS have foreclosed the negotiation of Nigeria’s unity.

Voting for unity yesterday in Osogbo, the Osun State capital, are: the Sultan of Sokoto, Alhaji Saa’d Abubakar, the Emir of Kano, Alhaji Ado Bayero and the Emir of Zauzau, Dr. Shehu Idris.

Aregbesola hosts monarchs From Adesoji Adeniyi, Osogbo

They were guests of Governor Rauf Aregbesola at the Government House.

Acting as the spokesman for the

Emirs, Dr. Idris said for centuries, the traditional institution had charted a way for the promotion of unity among Nigeria’s ethnic communities.

The Emir of Zauzau said: “We

have for centuries charted a course in the promotion of unity and progress of this country by visiting one another in our respective domains and we also encourage our subjects to follow suit. With this, we hope that our visits will foster unity and harmony in the country.”

Continued on page 4

•CITYBEATS P8 •POLITICS P17 •SPORTS P23 •JOBS P27 •CEO P30

THE NATION MONDAY, MARCH 12, 2012

2

NEWS

The Pension Fund cesspool •Panel battles to unravel who stole billions A probe into the administration of pension funds in the office of the Head of Service shows that corrupt officials are feeding fat on the sweat of retired senior citizens, write ONYEDI OJIABOR and DELE ANOFI

D

RAMA, intrigues and, in some instances, calculated attempts to cover up irregularities trailed the investigation.

At the end, the findings were mindboggling. For instance, who would have imagined that British colonial officers who left the country 52 years ago are still drawing pension from Nigeria?

The names of a former InspectorGeneral of Police and Economic and Financial Crimes Commission (EFCC) Chairman, Mr. Ibrahim Lamode, were used to draw money as estacode for a trip to the United States for verification of pensioners.

Lamode was put on the witness box and it turned out that he did not make the trip but some hefty cats in the police pension office collected the estacode meant for him for their personal use.

The Senate, at its sitting on November 2, last year, mandated its joint committee on Establishment, Public Service, States and Local Government Administration to investigate the management and administration of pension funds and payment of pensioners.

The probe took members of the committee to all geo-political zones of the country. Their discovery shows that the Head of Service Pension Office turned a veritable gold mine for corrupt public officials who helped themselves at the expense of suffering pensioners they were supposed to take care.

Senate President David Mark, said some of those who manage the nation’s pensions were not sincere.

Mark, who spoke through Senate Leader Senator Victor Ndoma-Egba at the inauguration of the committee in Abuja, said: “Today in the management of our pensions we hear mind boggling stories. Administrators of pensions, we hear, are perhaps among the richest Nigerians. If your wealth is from peoples’ pensions, then that is blood money.

“It is blood money because you cannot take away the sweat, the entitlements of an old man or an old woman who is looking up just to that little appreciation from his country and believe that you will live in peace.

“You cannot because the prayers of those old men at home will not only follow you, it will also follow your children and their children’s children.”

The drama began in Abuja when the controversial chairman, Pension Reform Task Team, Mr. Abdulrasheed Maina, fired the first salvo.

Maina detailed what he called behind-the-scene operations in the Head of Service and Police Pension offices.

But some others said Maina was no more than a usurper who took office to superintend over a terrain he was totally unfamiliar with.

Assistant Chief Accountant, Police Pension Office, Mr. Toyin Ishola, led those who wanted Maina crucified for alleged fraudulent activities.

After Ishola’s testimony, the com-

mittee thought it has achieved a breakthrough with sufficient facts to nail Maina.

It issued a warrant of arrest against Maina mandating Inspector General of Police, Mr. Mohammed Abubakar, to produce him dead or alive.

Maina was rattled. After his dramatic reappearance, he was asked to explain how the names of the EFCC Chairman and a former InspectorGeneral of Police found their way into the list of 15 persons who allegedly travelled abroad for biometric data capture.

Maina doubted the authenticity of the document presented to him by the committee. He requested for the original copies of the document before he could respond to the allegation.

Coordinating Minister for the Economy and Minister of Finance, Dr. Ngozi Okonjo-Iweala, debunked some of Ishola’s testimonies.

Okonjo-Iweala said the Federal Government has saved N74 billion through biometric exercise conducted by the Pension Reform Task Team.

The minister did not, however, rule out some elements of fraud, even in the activities of the task team. She said there was fraud in the Head of Service and Police Pension Office before and after the inauguration of Maina headed task team.

The minister said her involvement in the Police pension matter began when she got wind of fraud and illegal movement of funds there from the Pension Reform Task Team Chairman.

She said: “I assumed office here on August 17, 2011 and it was beginning of September that Mr Maina came to me to make certain reports. That is why I said I don’t have too much to say because all of these things you are recounting, I was not there and I am not aware of these details.

“As Finance Minister, my first instinct was to seek the permission of Mr. President to freeze the accounts, and that is exactly what I did. We had to make sure that every activity regarding the accounts had to be stopped.

“Those monies that were found by the task force, I asked for evidence of that and they submitted to me, out of their work on the biometrics. We garnered that, I think for this year we would be able to have additional N74billion representing recovered money by the task team.”

The minister said she engaged KPMG to audit the books.

KPMG, she said, confirmed that N1.5billion was being paid to Police Pensions Office monthly when only about N500million was required.

She said: “The firm also confirmed that N24billion was kept in account meant for the payment of harmonisation arrears.

“KPMG also confirmed that accounts were being opened and monies belonging to the Police Pensions were being moved around. It was discovered that every new management opened new accounts in banks and moved funds around.

“They confirmed that there was a

•Mark

•Orosanye

struggle among the Head of Service, the Task Force Team and the Police Pensions office for control of these accounts.

“There were irregularities in the administration of the police pensions before the appointment of the task team and the misnomer continued during the period of the operation of the Task Force Team.

“So, there is need to clean up the system before handing it back to those who will administer it.”

Former Head of Service Prof.

Oladapo Afolabi said the situation in the pension office was messy.

He said: “I met a situation whether it was a perception or in deed true that anybody, just anybody who had anything to do with pension from Permanent Secretary, was compromised.”

Maina said the initial pension scam his team discovered was N12 billion.

Later, said he, N18 billion pension fund was discovered to have been diverted.

He said the discoveries led to the arrest of the Director of Pension Department in the Office of the Head of Service, Dr. Sani Teidi Shuaibu and 32 others. They were charged to court.

Maina added that N4 billion was discovered in the account of a teacher in Kebbi State and another N2 billion in the account of another teacher.

According to him, those behind the scam pay the teachers huge sums of money every month and the teachers in turn take 10 per cent of the money and return the balance to those behind the scam in Abuja .

Maina said the National Union of Pensioners was not left out of the scam as N2 billion was discovered to have been siphoned through the union’s account.

He said the Federal Government used to release N5 billion monthly for payment of 141,790 pensioners but after its biometric exercise, the amount was reduced to N825 million

•Okonjo-Iweala

•Maina

•Afolabi

THE FIGURES

71,133 N1b N74 N24b N900m

•The number of fake pensioners discovered

•Amount siphoned monthly at Police Pensions Office

•The amount saved after a biometrics exercise •The amount ‘kept’ for harmonisation arrears •Amount ‘lost’ monthly to death benefits

monthly while the number of genuine and eligible pensioners was established to be 71,133.

Maina said: “Prior to the biometric exercise, government had been paying 141,790 pensioners up to the tune of about N3.3 billion as regular monthly pension.

“Following the exercise, it was found that 70, 657 pensioners were qualified and eligible to draw regular monthly pension out of 141,790 pensioners who were hitherto on the pay roll.

“N825 million from the N3.3 billion previously paid by government, which amounts to N1.4 billion, will serve as monthly saving to government.

“Similarly, between 800 million and N900 million were being paid monthly by government as arrears and death benefits respectively to pensioners, but it was discovered that the money does not get to the next of kin.”

He noted that after the biometric exercise, 44,320 eligible pensioners were captured, while 71,133 fake pensioners were weeded out of the Head of Service pension payroll.

Maina said child pensioners and fake and fraudulent pensioners were also weeded out from the Head of

Service pension payroll.

Maina submitted iPAD to the committee to show graphic details of his team’s discoveries.

Ishola told the committee that N240 million was expended on fictitious data capturing operation of only 20 pensioners in Atlanta , Georgia, USA .

He said most of the people on the delegation for the capturing exercise were not members of either the Police Pension Commission or Head of Service.

Ishola claimed that Maina distorted existing Police Pension Account, transferring a total of N21billion into three different accounts, including Fidelity Bank-N8billion, UBAN3billion and First Bank-N10billion.

Ishola said: “The Task Team within three months period unilaterally opened three accounts in different banks without recourse to extant financial rules and approval from the Accountant General of the Federation and the Minister of Finance “It was gathered that the account in Fidelity Bank, Central Business District Branch, was domiciled in the account of the younger brother of the Chairman Pension Reform Task Team, named Danjuma Zubairu and the said amount was fixed since then

THE NATION MONDAY, MARCH 12, 2012

3

NEWS SUICIDE BOMB ATTACK IN JOS

‘

Prior to the biometric exercise, government had been paying 141,790 pensioners up to the tune of about N3.3 billion as regular monthly pension. Following the exercise, it was found that 70, 657 pensioners were qualified and eligible to draw regular monthly pension out of 141,790 pensioners who were hitherto on the pay roll

‘

•Lamorde

with a monthly interest of over N100 million into the coffers of the perpetrators of the act.

“N3billion was deposited in UBA up till date with no proper documentation has been effected.

“However, it was observed that within the period of the assignment, the chairman of the task team had exceeded his mandate by engaging in frivolous and extravagant expenditures, which were beyond his mandate.

“Among these expenditures were the bogus expenditure of the conduct of the biometric exercise of the retirees in the Diaspora, which he spent a whooping sum of N240million to capture less than 20 retirees and for the local bio data of which over N220 million was spent.

“The Chairman, Pension Reform Task Team, who always claims he is saving government money, has now embarked on frivolous spending without control or putting into consideration the reconciliation aspect of the office and also, disregarding the financial regulation guiding all government expenditures.”

He asked the committee to return Police Pension Office to its former glory by removing the Task Team from Police Pension Office as well as compel Maina to hand over to the Head of Service with immediate effect.

Director, Police Pension Office, Mr. Y.K. Adeyemi told the committee how Maina allegedly opened the three controversial accounts without authority of the Accountant General of the Federation.

Adeyemi claimed that his office was rendered redundant by the Task Team.

He said the team has refused to give them access to operate the Police Pension Account.

Former Head of Service Steve Orosanye recommended that the lifespan of the taskforce should be

•One of the victims of the attack being attended to at the Plateau Specialists Hospital, Jos... yesterday.

clearly stated and strictly adhered to.

Orosanye noted that there was enough funds for the payment of pensions in the Head of Service Office saying there would not have been any reason for pensioners to be owed.

“I told them that the allocation for the payment of pensions was over and above what is needed for the payment of pensions,” Orosanye said.

After his dramatic reappearance to answer questions bothering on the allegation of Ishola, Maina said his non appearance the day the warrant of arrest was issued was due to ill healh.

Maina denied the allegation of removing genuine pensioners from payroll.

On opening of accounts without authorisation, Maina said the Accountant General of the Federation was consulted. He tendered a letetr to back his claim.

On allegation of opening of account in his brother’s name, he said: “Danjuma Zubairu is neither a brother nor relation of mine; rather • People running away from the scene of the blast...yesterday he is the Group Head, Private Banking Abuja Region of the Fidelity Bank Plc. The management of Fidelity Bank Plc can be contacted to further validate this position. Danjuma Zubairu is from a different state of origin from me.”

On allegation of closing and opening of account with First Bank, he said: “I hereby state categorically that no new account was opened with First Bank Plc as alleged. Rather the account was transferred from Lagos to Abuja . In line with the provisions of Section 701(iii) of Financial Regulations Act which the Police Pension Office was in clear breach.

“We could not see any justifiable reason to maintain an out-station account when the police pension office has relocated from Lagos since 2008 but still operated a Lagos based account in violation of Section 701(iii) of the financial Regulations Act.” On allegation of keeping police guards, EFCC and ICPC personnel • • One of the vehicles destroyed by the explosion...yesterday on PRTT payroll: he said: “This is far from being the truth because I am not aware of this. I have just two police personnel attached to me and none to any member of the task team.”

On disruption of Police Pension payment, he said: “We find this allegation as baseless and unfounded.

We had a stint of 10 weeks in the reform of the Police Pension Office but we never disrupted payments of police pensioners as being claimed.

I am affirming before this committee that payments are made as at when due as contained in the letters of authorisation of the CME/HMF to Ecobank Plc referenced HMF/ FMF/2011/1 and dated 5th October, 2011 for payment of September pensions.”

It remains to be seen what good the probe will do to the senior citizens, whose entitlements have been turned into a cesspoll of corruption. • Burnfire set by youths protesting the attack... yesterday

4

THE NATION MONDAY, MARCH 12, 2012

NEWS Why suicide bombers beat security checks

•President Goodluck Jonathan being presented with a Souvenir by Chairman, Transcorp Plc, Mr. Tony Elumelu.

Watching is Senate President, David Mark during the inaugurating of Teragro Benfruit Juice Concentrate Plant, a Transcorp’s agribusiness subsidiary Company, by President Jonathan in Makurdi ... at the weekend.

S

UICIDE bombers beat security checkpoints because they are usually well-dressed and in clean cars, security sources said yesterday.

It was also gathered that the bombers’ humble conduct in their cars makes it difficult for the military and security agents to detect them.

But security agencies have mapped out strategies to curtail the rising wave of suicide bombing.

A source, who spoke on the challenges facing security agencies in Jos and other parts of the country where suicide bombings have taken place, said: “From intelligence analysis so far, these suicide bombers beat security posts because they are usually well-dressed in clean cars, such that those at checkpoints assume that they were decent gentlemen going to churches or office.

“They have been disguising to attack targets in Jos, in particular. If you will recall, the suicide bomber that struck at St. Theresa’s Church, Madalla, Niger State, came in a neat

From Yusuf Alli, Abuja

Honda car with the air conditioners on. Even when he was flagged down by policemen and church security workers, he refused to wind down his side glass to listen to directive.

“All cars engaged for suicide bombings so far were newly bought. People tend to blame the military and security agencies but the methods adopted by these suicide bombers have made their detection difficult.

“Sometimes, the suicide bombers might subject themselves to routine sight and seen checks without any inkling that they are on deadly mission.

“The military and security agents have also been very careful not to shoot or attack innocent Nigerians in error. Again, terrorism is new in this country, we are learning fast to cope with the challenges of this crime.

“Even at that, the military and security agencies have succeeded in preventing many bomb explosions in some parts of the country. But to avoid panic, it is not every time it is made public.”

11 dead in Jos as suicide bombers attack Catholic Church Continued from page 1

his spokesman, Dr. Reuben Abati.

Governor Jonah Jang, who visited the scene and the victims in the hospital, said “rather than crying and mourning, this is the time to pray to God to bring an end to these attacks”.

Dr Matawwal Bitrus, Medical Director, Plateau Specialist Hospital, Jos, confirmed that the hospital had received the corpses of six victims.

Another corpse was said to have been deposited at the mosque of Jos University Teaching Hospital.

The Chief Medical Director, Dr Ishaya Pam, said: “We received 15 casualties from the attack. One of the victims died while 14 sustained various degrees of injuries and are in critical conditions.

“Some sustained varying degrees of burns while three had gunshot wounds. But they are in stable condition and responding to treatment.”

The Nigerian Red Cross indicated that it had taken 22 people injured in the blast to various hospitals in Jos metropolis.

“For now, we have 22 injured at Jos University Teaching Hospital, Plateau Specialist Hospital and Air Force

Don’t despair, Jonathan tells Nigerians

T

HE President yesterday condemned the suicide bombing in Jos. He urged Nigerians’ not to be discouraged, in a statement by his spokesman Reuben Abati. The statement reads: “President Jonathan conveys his sincerest and heartfelt commiserations to the families of the victims of the bomb attack earlier today on the St. Finbarr’s Catholic Church, Jos as well as the entire congregation of the Church and the government and people of Plateau State.

“President Jonathan reiterates his Administration’s total condemnation of this and all other terrorist attacks on innocent Nigerians and reassures all

Military Hospital in Jos. “Many of the injured are in critical conditions but they are stable and responding to treatment. But we also note that some of the injured were taken to different hospitals in the metropolis by different people.

“Those ones that were taken to these hospitals by several people mostly, relatives, we are not able to know their actual number for now,” Mr Manasseh Pampe, State Chairman of the Red Cross said.

The premises of the church

From Vicent Ikuomola, Abuja

Nigerians and friends of the country that the Federal Government is doing everything possible to end the spate of mindless attacks and killings in parts of the country.

“The President urges Nigerians not to despair or be discouraged by the persistence of the attacks, in spite of government’s efforts to deal decisively with the menace of terrorism within the country’s borders because despite seeming appearances to the contrary, government is indeed winning the war against the terrorists and will continue to progressively destroy their ability to unleash murderous attacks on peaceful, law-abiding Nigerians.

“In this regard, it is worthy of note that

was littered with pieces of flesh of the suicide bombers, who were believed to be two in the car that conveyed the bomb. The charred remains of the engine of the car used by the bombers was in front of the building. Its body torn into shreds.

Police spokesman Samuel Dabai said: “Yes; the explosion occurred at St. Finbarr’s Church, Rayfield and from initial reports available to me, there were 10 dead and ten injured. Six of them must have died at the scene of the attack”

in recent weeks, national security agencies have identified and arrested more of these agents of darkness than at any other time. Their hideouts and modus operandi are also being consistently exposed.

“President Jonathan assures all Nigerians that Government will continue to build on these recent successes by our security agencies until terrorism is totally defeated in the country with the support, cooperation and solidarity of all patriotic citizens.

“The President therefore calls on the populace to remain patient and refrain from taking matters into their own hands through actions such as reprisal attacks, as Government continues to take the battle to the merchants of terror and close in on their locations, funding and sponsors.”

Rev. Father Peter Umoren, the parish priest, spoke of another horrific Sunday in Jos. He said: “I don’t know how to describe this; I’m short of words. We just commenced the 10 am Mass when the incident occurred. We finished the early Mass and those who attended it were on their way out of the church while those attending the 10am Mass were trooping in. I was right on the pulpit when we heard the heavy explosion. I did not know when I shouted ‘Jesus’.

The church building almost

collapsed on the congregation, but God saved us; the roof did not come down but the ceiling was shattered.”

The impact of the explosion damaged about 10 vehicles parked within the church premises. It also left the official residence of the Parish Priest, within the church compound, badly damaged.

Glasses and ceilings were shattered. The interior of the church building was in ruins.

St. Finbarr’s Catholic Church is about 200 meters from the Plateau State Government House. It shares a

fence with the Plateau Radio and Television Corporation.

An eye witness, Sebastine Adah, said: “The car driven by the suicide bombers forced itself through the main gate of the church and let off the bomb right in front of the church. The mystery in this particular attack is how the suicide bombers were able to get through all the military check points in Rayfield without being noticed. I’m afraid there is no security in Jos in spite of the state of emergency.

“There is more military presence in Rayfield, Jos, due to the presence of the Government House and the fact that many influential persons live in the area, which makes it unthinkable that such high scale attack could happen there.”

However, youths in the area vent their anger on the soldiers who rushed to the scene after the attack. This forced the soldiers to shoot sporadically to disperse the rampaging youths. About five youths were shot in the clash with soldiers. The youths set bonfires on the road to prevent the soldiers’ entrance. They claimed that the soldiers were nowhere to be found when the suicide bombers came in with the bomb.

Continued on page 60

Sultan, Ooni, others insist on Nigeria’s unity Continued from page 1

The Ooni of Ife, Oba Okunade Sijuwade, who led his northern counterparts to the Government House, appealed to all political and religious leaders to drop all impediments to national cooperation.

Aregbesola said Nigerians have no option than to sustain the corporate existence of the country since they have no other they can call their own.

The governor also called on leaders in all sectors of the economy to be wary of the factors capable of holding down the country, pointing out the country could attain loftier positions in the comity of nations in an atmosphere of peace and unity.

Clearing the air on allegation that ha is championing a secessionist agenda because of his belief in regional integration, Aregbesola said: “I want to seize the opportunity this visit offers to call on all of us political leaders, spiri-

tual leaders, military leaders and traditional leaders to drop whatever it is that is beclouding our focus to build a virile, united and people-oriented country that we shall be proud of.

“We all must rally round our leaders and focus on things that can make us not just a mere big nation but a nation that is big in population, big in size and big in charting a course for all the Black people of the world.”

Aregbesola expressed gratitude to the monarchs for the visit, saying that their coming to the State of the Living Spring despite the growing insurgency in the northern part of the country indicated that no sacrifice could be too much to make for unity.

He said: “We can be great. Our traditional rulers are already showing us the path to greatness. Unity is the basis of progress. Let all of us come together and work towards the progress, •Governor Aregbesola about to present a souvenir to Sultan Abubakar Sa’ad at the Government House, Osogbo ... development and peace of our nation.” yesterday. Watching are Deputy Governor, Mrs Titi Laoye-Tomori and Oba Sijuwade.

PHOTO: STATE HOUSE

ADVERT HOTLINES: 01-280668, 08070591302, 08052592524 NEWSROOM: LAGOS – 01-8962807, ABUJA – 07028105302 COMPLAINTS: 01-8930678

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THE NATION MONDAY, MARCH 12, 2012

NEWS

‘One of my captors was a young Nigerian from Kano’ The killing of British hostage Chris McManus in Nigeria is a wake-up call to the threat posed

by Islamic militants in Africa, warns former kidnap victim Robert Fowler, who spent 130 days in the hands of al-Qaeda’s African ‘monsters’

I

N December 2008, I was making my third trip to Niger as the United Nations Special Envoy, attempting to broker a peace between the government and rebel Tuareg groups. One Sunday, two weeks before Christmas, my colleague, Louis Guay, and I were returning to the capital, Niamey, in a UN vehicle when a truck passed us, slewed in front and forced us to a stop.

Two AK-47s were aimed at the face of our driver, and within the blink on an eye all three of us were torn from our seats and thrown into the back of their truck. The whole grab took perhaps 40 seconds.

Thus began our 56-hour descent into hell, a 1,000 km off-road nightmare into the middle of the Sahara desert. Twelve hours into that appalling journey, we stopped for a couple of hours rest. As I paced back and forth, the sentry, a young Senegalese, looked up from where he was making tea and asked, “Have you figured out who we are yet?” Refusing to acknowledge the dawning reality, I shook my head and he spat “We are al-Qaeda,” enjoying the effect as the bottom fell out of my world.

Three days later, we were ushered toward a large, dark tent, and when I saw the assembled video equipment, I despaired at the thought of my family watching a You Tube video of our beheading.

Instead, we recorded a message in which I stated that we had been captured by al-Qaeda in the Islamic Maghreb (AQIM), and urged the UN and the government of Canada to bend every effort to secure our

release and — as instructed — warned them to avoid violence in any effort to win our freedom.

We then settled uncomfortably into the rhythm of our desert captivity, but from the outset it was made excruciatingly clear by the 31 members of the group which held us, that as representatives of the hated United Nations, we were “prisoners of war” and not some random targets of opportunity.

We had spent five days reaching their operations area deep in the desert, remained in the first “camp” for 56 days and then spent the final 68 days shuttling vast distances among 23 different camps. A camp, though, was simply a place in the sand where a thin tree might offer a little shade from the unrelenting sun. We were always held in the open: no buildings, tents, furniture, or toilets. There were venomous snakes and scorpions and wild dogs, hyenas, and a variety of biting insects, and awful food; but the greatest threat to our lives was so evidently from the two-legged monsters who held us.

Indeed, there was hardly a moment when I didn’t anticipate it would end with my head being sawn off.

They were the most singleminded group of young men I have ever encountered. Our captors had no desire for cool sunglasses, no interest in aping the antics of film stars or footballers, no passion for sports or music; their only concern was pleasing their jealous and stern God. They would often explain how the Prophet had said that 99 out of 100 would not make it to paradise, but their place beside

•Fowler (middle), Guay (right) and their abductors, which included a Nigerian

those rivers of milk and honey was assured for they were fighting Allah’s fight and would soon, they hoped (as did I) be occupying the house of the mujahideen in paradise. At one point one of them thrust his rifle at me, saying: “kill me now, I’m ready for paradise.”

Kidnappings of Westerners have fueled debate among securocrats as to whether our AQIM captors might simply bandits flying an Islamic flag of convenience. I know that to be the wrong answer. Our kidnappers were utterly focused religious zealots who believed absolutely in their cause. They sought to expel Western infidels from Muslim lands and to destroy what they saw as apostate Westernstooge governments who were usurping God’s purposes across the Muslim world. The concepts and ideals we hold most dear were anathema to them: liberty, freedom, justice, democracy, human rights, equality between the sexes — all matters which they considered to be the exclusive province of Allah.

Our kidnappers were certain, they would prevail, but whether it took 20, 200 or 2,000 years was of no consequence. God’s will would be done.

Their objective was to establish a 7,000 km wide caliphate, stretching from Nouakchott in Mauritania to Mogadishu in Somalia, to be ruled by stern Allahfearing Islamic sages who could be relied upon to understand and execute God’s will. AQIM believe that by replicating across the Sahel the chaos and anarchy caused by

their Al Shabaab colleagues in present day Somalia, they will be creating the perfect growth medium in which their vision will flourish.

In the face of the murderous rampage of Boko Haram in Nigeria over the past year, which included the bombing of police headquarters in Abuja and the destruction of UN headquarters; many hundreds have been killed (thousands over the past decade).

There seems, though, to be a reluctance to believe that it is all part of the same jihadi movement.

Many want to believe that Boko Haram is different, somehow less dangerous than Al Qaeda’s other African affiliates. While I understand the reluctance to acknowledge that Al Qaeda might have won a solid foothold in Africa’s most populous and important country, again, I know that to be the case. One of my captors was a young Nigerian from Kano; clearly what we would call an “exchange officer.”

The threat to the stability of the northern half of Africa posed by militant jihadi Islam is present and real. It has been exacerbated by the fall-out from our Libyan adventure, which has caused weapons in untold quantities to spew across one of the most fragile parts of the world. Not only do Al Qaeda’s predations endanger the development gains of the past halfcentury in the upper part of Africa, but chaos there will very directly impact Western Europe as human emergencies of immense proportion bloom, and illegal

SEC approves new listing rules for NSE

T

HE Securities and Exchange Commission (SEC) has approved amendments to the listing rules at the Nigerian Stock Exchange (NSE).

Highlights of the amended listing rules, according to a statement from the Exchange, included: the reduction in the required minimum public float from 25 per cent to 20 per cent and the reduction in number of years of financial summary from five years to three years.

The new listing rules of the NSE states that the public shall hold a minimum of 20 per cent of each class of equity securities of a company quoted on the main board, 15 per cent of each class of equity securities of a company quoted on the Alternative Securities Market (ASeM) and 10 per cent of each class of equity securities of a dual-listed company.

Public float is technically a synonym of public shareholder and it refers to the shares of a quoted company held by ordinary shareholders other than those directly or indirectly held by its parent, subsidiary or associate companies or any subsidiaries or associates of its par-

By Taofik Salako

ent company; its directors who are holding office as directors of the entity and their close family members and any single individual or institutional shareholder holding a statutorily significant stake, which is 5.0 per cent and above in Nigeria.

Public shareholders and public float do not include shareholders or shares held directly or indirectly by any officer, director, controlling shareholder or other concentrated, affiliated or family holdings.

Besides the minimum public float, the listing rules also require a company on the main board to have a cumulative consolidated pre-tax profit of at least N300 million for the last three years, with a pre-tax profit of at least N100 million in two of those years and the company must have been in operation for at least three years.

Promoters of the company are also required to retain 50 per cent of their shares prior to the Initial Public Offering (IPO) for a minimum of 12 months after listing while the number of the public shareholders shall be at least 300 for equity shares.

Chief Executive Officer, NSE, Mr Oscar Onyema said the NSE reviewed the rules because some of the stakeholders including prospects, listed companies, issuing houses, and brokers said the rules were not flexible enough.

He said the requirement that companies must have a five-year financial and operating track record was cited as hindrance to many companies that would have been listed on the Exchange, especially some exploration and production companies, which are not in a position to provide such records.

“Our research reflects that many leading exchanges have greater flexibility than we do, particularly on the quantitative requirements in the area of profit, market capitalisation, price, public float, among others,” Onyema said.

General Manager, Listings Sales and Retention, NSE, Mrs Taba Peterside said the main board listing requirements for New York Stock Exchange, London Stock Exchange, Johannesburg Stock Exchange, Singapore Stock Exchange, NASDAQ and other leading exchanges were reviewed vis-a-vis the Exchange’s.

refugee flows multiply by orders of magnitude. Our African friends need help to defeat such a scourge, and we, throughout the West, need to get a lot more serious — and very quickly - about discouraging the Saudis and Gulf States from their generous funding of radical Salafist madrassas across the world, and most immediately in Africa where they are providing the recruits to Al Qaeda’s African franchises.

After intensive diplomacy on the part of all manner of regional players, Louis and I were freed after 130 days of captivity, along with the two female members of a group of European tourists who had been kidnapped by a separate AQIM faction. Six weeks after we returned to Canada, another of that group, the Briton Edwin Dyer, was killed by his captors. Louis and I are very lucky to be alive and we owe our lives to a great many fine, imaginative and hard working people who made it possible.

I welcome this opportunity to extend my deepest sympathies to the families of Chris McManus and Franco Lamolinara, who were not so fortunate. They were murdered this past week following their kidnapping in north-western Nigeria last May. So often during my captivity did I worry about the risks of a rescue attempt, only to fear that it might not be made, so I also extend my empathy to the brave professionals who made the attempt, for I know the extent of their distress at the failure of their enormously risky mission.

•Culled from www.telegraph.co.uk

Zenith bank posts N60 billion profit •To pay dividend of N95k per share

•Zenith Chief Emefiele

Z

ENITH Bank has released its 2011 financial year end result posting an impressive Profit Before Tax (PBT) of N60bn which represents an increase of 21 per cent over the N50bn recorded in the corresponding period of 2010.

Profit After Tax (PAT) stood at N44bn over N37bn, an increase of 18 per cent.

Following what financial analysts have described as a very impressive performance considering the difficult operational terrain, the Bank has proposed a dividend pay -out of N29.8 billion up from N26.7 billion paid out in 2010.

The much expected result (the first in the banking industry) which was released on the floor of the Nigerian Stock Exchange (NSE) in Lagos on Friday shows the bank’s gross earnings rose by 27 per cent to N244bn, from N192bn, indicating an increasing dominance in its market share.

By this performance, Zenith Bank has surpassed analysts’ projections at Gabros Capital who had forecast a gross earning of N217.95 trillion and a profit after tax of N51.63bn.

The bank has grown its total assets by 25 per cent to N3.5 trillion from the N2.8 trillion of the previous year. Total credit facilities stood at 4.00 per cent, a remarkable improvement over the 5.53 per cent recorded last year.

THE NATION MONDAY, MARCH 12, 2012

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NEWS NUPENG serves 72 hours strike notice From John Ofikhenua, Abuja THE Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) yesterday served the Federal Government a 72-hour strike notice should it fail to intervene in the dispute between members of the Jetty and Petroleum Tank Farm Owners of Nigeria (JEPTFON).

A communiqué by NUPENG’s General Secretary, Comrade Elijah Okougbo said all the unions under NUPENG would embark on a “full scale” strike.

With this notice, only a lastminute action by the government can save the country from fuel scarcity if the industrial action begins on Wednesday, the communique added.

A loan repayment deal to banking institutions owed by JEPTFON members, which is a sub-union under NUPENG, is said to be at the centre of the dispute.

The Federal Government, said Okougbo, reached an agreement with the union in 2010, but failed to implement it.

Part of the union’s demand is predicated on government’s failure to implement a section of the agreement on a 15-year time frame to pay back all the loans to meet the demand of fuel importation by JEPTFON members.

But NUPENG had also prevailed on the government to allow the debtors pay a three per cent interest rate on the loans.

Ekiti, Keystone Bank join hands

Falana accuses CBN of paying states with Naira fund

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CTIVIST-LAWYER Mr Femi Falana has urged Central Bank of Nigeria (CBN) Governor Sanusi Lamido Sanusi to justify the alleged CBN management’s decision to treat Section 162 of the 1999 Constitution and the Monetary Policy with disdain.

He alleged that contrary to constitutional provision, the CBN has been substituting foreign currencies paid into the Federation Account with Naira funds before distributing them to the three tiers of government.

Falana said in a March 5 letter to Sanusi on behalf of Messrs. Henry Olujimi Boyo and Adaighofua Ojomaikre that the CBN action has adverse effect on the economy.

He said: “Take notice that this request is anchored on Section 2 of the Freedom of Information Act. Therefore, you are required to accede to our clients’ request within seven days of the receipt of this letter.”

Falana warned that should the CBN fail to make the information available, he would be left with no other alternative than to pray the Federal High Court to compel him to justify the action The activist lawyer wrote: “Our clients have instructed us to find out why the Central Bank has refused to comply with the aforesaid provision of the Constitution.

“Indeed, the Monetary Policy Thrust of the Government Transformation Blueprint Vision 2020 states that ‘one potentially enduring solution which would avoid the creation of new money and boost the Naira value in the foreign exchange market, relates to the allocation of foreign exchange earned from oil to the three tiers of Government rather

‘Families of slain Briton, Italian paid £1m to Boko Haram’

•Demands information on foreign currencies paid into Federation Account

By Joseph Jibueze

than monetising it.’

“The use of dollar certificates eliminates capital flight, money laundering and smuggling.

Consequently, our clients demand to know by which authority CBN continues to violate Section 162 of the Constitution.

“Our clients also demand for clear information on the following: All dollar revenues, which have been substituted with naira in monthly allocations (and the applicable rate for substitution) in the past five years; “Monthly balances in the Excess Crude account, and the details of all withdrawals from the Excess Crude account; total value of monthly borrowings with sales of Treasury Bills and Bonds and related interest rates and service charges; “Total value of monthly auctions of dollars to commercial banks and applicable exchange rate; total value of monthly allocation of dollars to Bureau de Change and applied exchange rate; total monthly profit made by CBN on all auction sales of dollars; “Total monthly credit balances in foreign reserves account; total value of fuel subsidies paid monthly for fuel imports; tabulation of annual budget deficits; tabulation of annual rates of inflation.

“All above information are required for the period 2007 to 2011. Our clients also demand for clear information on the source of the total amount of bailouts advanced to the banks since 2007. This infor-

mation should clearly distinguish the total sums and the sources of AMCON intervention in the banking crisis.

“Our clients also demand for a clear statement on Nigeria’s debt portfolio (external/domestic) and the tenor an applicable interest charges on these loans; the structure and yield on our foreign reserves and their current locations.”

Section 162 states: “There shall be a Federation Account into which all revenues collected by the Government of the Federation shall be paid except the proceeds from the personal income tax of the personnel of the Armed Forces, the Nigeria Police Force, the Ministry or department of government charged with responsibility for Foreign Affairs and the residents of the Federal Capital Territory, Abuja.”

It is further stipulated that “any amount standing to credit of the Federation Account shall be distributed among the Federal and State Governments and the Local Government Councils in each state on such terms and in such manner as may be prescribed by the National Assembly.”

Falana said the adverse effects of the substitution of revenues in foreign currencies with Naira funds on the national economy include sustaining high double digit cost of funds and increasing production costs, thereby occasioning national de-industrialisation.

It also contributes to fueling inflation at rates that pauperise and make pension contribution a worthless pursuit,

T

•Falana creating increasing unemployment with over a third of our working population idle with the collateral risk of rising insecurity, weakening the Naira value and instigating high fuel prices with increasing subsidy component.

The substitution, Falana added, instigates national debt accumulations at exceedingly high cost projected at over N500 billion in the budget, and creates an adverse economic ripple that deepens poverty, when dollar revenue increases.

On the contrary, compliance with the aforesaid constitutional provision and payment of foreign accruals to beneficiaries of the Federation Account by means of dollar certificates, Falana said, leads to low single digit cost of borrowing across the board.

It also leads to low production costs for made-in-Nigeria products; low fuel prices, much below the old level of N65/litre; minimal inflation rate of not more than 3 per cent; and strong, stable and realistically valued Naira with attendant increased purchasing power for all income earners.

It also results in low motivation for capital flight; rapid increase in employment through sustainable industrialization thereby checking widespread poverty; and minimal national debt and reduced debt service charges.

THE stage is set for the Ekiti State Government to form a partnership with Keystone Bank for the rapid development of key sectors of the state’s economy.

In the eight-point agenda designed by the Dr. Kayode Fayemi-led administration are: education, healthcare, industrial development, tourism, women empowerment and agriculture.

Fayemi, who received the management team of the bank led by its Managing Director, Mr Oti Nkom, in Ado-Ekiti at the weekend, said his administration was passionate about making fundamental difference in the lives of the people and would leave no stone unturned to accomplish his vision.

He identified human capital resources as the greatest asset of the 15-year-old state, despite the belief in some quarters that the state •Special Adviser to Ekiti State Governor on Public Private Partnership (PPP), Mr. Olufemi Tolani (left); Dr. Fayemi; Nkom; was poor.

Assistant General Manager, Public Sector Group, Mr. Abubaker Jose and Commissioner for Finance, Mr. Dapo Kolawole...at the weekend

HE families of British construction worker Chris McManus and an Italian hostage had paid £1million to secure their release, it was claimed last night.

Reports in the Italian media claimed the money was a down payment on a £4million ransom demand by terrorists in Sokoto who executed Mr McManus and colleague Franco Lamolinara during a daring raid by the Special Boat Service.

There was no indication as to whether Mr McManus’s family had paid the money themselves.

There were also said to be high hopes his colleague Mr McManus, 28, from Oldham, Greater Manchester, would be freed, too.

According to Italian reports, members of Mr Lamolinara’s family were in Rome last Tuesday to view a video that had found its way into the hands of intelligence chiefs.

The tape showed the men, who were kidnapped at gunpoint from their Kebbi apartment last May. Two days later, an unsuccessful mission by the SBS and Nigerian special forces resulted in both hostages being shot dead by their captors after a gun battle at the kidnap gang’s hideout.

Senior British Government sources said last night that there had been no ‘coherent’ ransom demand from the terrorists.

Turin-based La Stampa newspaper reported that negotiations had been taking place for the release of the Italian hostage through contacts in the west African state of Mauritania.

Another report last night said that Mauritanian businessman and politician Moustafa Ould Imam Chafi had been at the centre of the negotiations.

Italian news reports said an autopsy on Mr Lamolinara, whose body was flown back to Rome yesterday, found that he was shot in the head three or four times at close range.

British officials have insisted that Prime Minister David Cameron had no choice but to order the rescue bid on Thursday morning after intelligence reports revealed that Mr McManus and Mr Lamolinara were about to be moved, or possibly executed by their hardline captors from the Al Qaedalinked group Boko Haram.

But a friend of the dead Italian’s family, local politician Carlo Riva Vercoletti, told The Mail on Sunday: ‘Franco’s wife Anna was hopeful this would soon be over. They had maintained a dignified silence at the request of the Italian Foreign Ministry because they were told things were in hand.

ACN condemns moves to name Maitama District Extension after Jonathan

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HE Action Congress of Nigeria (ACN) yesterday described the decision to name the Maitama District Extension in Abuja after President Goodluck Jonathan as a ‘poisoned chalice’ which the President must refuse to drink from.

In a statement in Lagos by its National Publicity Secretary, Alhaji Lai Mohammed, the party said while President Jonathan may not have been the one behind the decision, it is incumbent on him to exhibit a sense of decency

and modesty - which many have attributed to him - by rejecting it.

The statement said: ‘’A President who has been described by his erudite spokesman as ‘thoughtful’, ‘highly experienced’, and ‘scholarly’ is definitely not expected to allow himself to be hoodwinked into accepting such an offer of having anything named after him while still in office. ‘’In the first instance, none of President Jonathan’s predecessors, including the man

who initiated the Abuja idea, the late Gen. Murtala Muhammed, and the man who finally moved the capital city from Lagos to Abuja, Gen. Ibrahim Babangida, has a district named after him, whether in or out of office.

It went on: ‘’Secondly, it is the height of immodesty for a sitting President to agree to any decision to name a street, a monument or a district after him, even when he may not have been the one who initiated the idea. This probably explains why ‘District

Six’ in Cape Town, South Africa, was not changed to ‘Mandela’s District’ when he (Mandela) was in office, or why the Manhanttan area of New York has not been named after US President Barack Obama.

“Back home in Nigeria, we have no scintilla of doubt that Governor Babatunde Fashola of Lagos State will reject any offer to name the Victoria Island Extension after him while in office. ‘’President Jonathan should know that whoever is

behind the idea to name the Maitama District Extension in Abuja after him is not doing so for altruistic reasons, and he should not fall for such a cheap idea that amounts to self glorification. When he leaves office, and on the basis of the legacy he is perceived to have left behind, his successor will decide - and Nigerians will acclaim which street or monument should be named after him. ‘’Until then, Mr. President, please concentrate your energy on how you can deliver the

dividends of democracy to our long-suffering people, who have waited in vain since 1999 - under successive PDP administrations - for the goodies that come with this much-acclaimed system of government,’’ ACN said.

The party warned that if the President allows the heroworshippers behind the district-naming idea to have their way, he should remember that there is always the ignominy that goes with having such actions reviewed and reversed in future.

THE NATION MONDAY, MARCH 12, 2012

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NEWS

Ondo needs change, not continuity, says Agunloye

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CTION Congress of Nigeria (ACN) governorship candidate in Ondo State Dr. Olu Agunloye said at the weekend that the state needs change and not continuity next year. He urged the people to brace up for the challenges of power shift.

The former Power and Steel Minister, who toured the Ondo South Senatorial District, lamented the marginalisation of the zone by the Labour Party (LP) administration, assuring the people that, if elected governor, he would restore its sense of belonging.

A crowd of party supporters welcomed the former university teacher and Chief Executive of the Federal Road Safety Commission (FRSC) to Oke-Igbo, Odigbo,

By Emmanuel Oladesu and Leke Akeredolu, Akure

Ore, Irele and Okitipupa, where he opened his campaign offices.

Prominent ACN chieftains, community leaders, women groups, youths and non-indigenes welcomed him to the communities.

Waving the broom at the crowd in Ile-Oluji, the people responded with shouts of “Omoluka of Erusu”, “Oluomo of Akoko” and “Omoluabi of Ondo State”.

Addressing the people, Agunloye, who recalled his previous national assignments as a university teacher, road marshall and minister, said he had dedicated his life to the service of the masses.

He said: “We want to take over government for the

masses. We must wrest the state from youth joblessness, fraud, arrested development and lack of focus.

Only the ACN can do it and I think I can lead the battle”.

Turning to the women at Ile-Oluji, Agunloye said: “A woman brought me up. I will improve the lot of women. Women are more important in politics. I will not disappoint you. ACN will serve you better”.

At Ore/Odigbo, Agunloye’s entourage was welcomed by local party leaders, including the chairman, Mr. Rauf Folayan, state executive committee member, Mr. Tunji Fabiyi, and Youth Leader Mr. Olakunle Oluborode.

Representatives of Hausa, Igbo, Ebira, Igala, and other resident-settlers also

Ekiti robbery victim, 10 others get N3.9m lifeline

A •Dr Agunloye

turned up at the mini-rally, where Agunloye urged party members to be faithful to the push for power shift in the state.

It is in the collective interest of the three zones in the state that the curtains should be drawn on the current administration, Agunloye said, adding the coast would be clear during the approaching election.

He also enjoined party members to endure all acts of intimidation, oppression and repression being allegedly perpetrated by the ruling party.

15 years after, Ekiti gets own law

F

IFTEEN years after it was carved out of the old Ondo State, Ekiti has finally detached itself from the appendage of the Sunshine State.

Governor Kayode Fayemi at the weekend assented to the Bill on the first edition of the Laws of the Land of Honour.

Signing the Bill into Law at the first Ekiti State Justice Week at the High Court premises, in Ado Ekiti, the state capital, Fayemi described the publication of the laws as an important milestone in achieving certainty and predictability in the administration of justice in the state.

He said the development would ease the stress of legal practitioners, law students, the academia and stakeholders in the justice sector who hitherto had to “sieve through the laws of the sister-state to find the true position” of Ekiti laws.

Fayemi, who restated his administration’s commitment to the creation of an enabling justice system that is simpler, more efficient, more effective and more responsive to the needs of the Ekiti people, added the administration has a vision to a guarantee a justice system that is fair and equitable.

The governor said that the

•Set to establish Customary Court of Appeal intervention of the Fayemiled administration in the sector was based on four strategic priorities – law reform, crime control, safety and security of the people, access to justice, and Human resource development.

He said: “In addition to the publication of the laws of Ekiti State, we have supported the review of the civil procedure rules initiated by the state judiciary. We are also proud of the enviable strides made by the House of Assembly, especially by its passage of the Public Impact Legislation.”

While noting crime as a major concern for both the government and the public, Fayemi spoke of the need to create a framework, not only for victims’ support, but their compensation.

He promised that the government would continue to provide support to law enforcement agencies in bringing criminals to justice.

Fayemi highlighted the intervention of his administration in relocating the old Ado Ekiti Prisons, noting that a sub-committee of the state security council has been working on a system-

atic reduction of awaiting trial detainees by ensuring their speedy trial.

Speaking on broadening the scope of available opportunities for people to obtain judicial remedies, Fayemi said the government would strengthen access to justice with the establishment of the Customary Court of Appeal before the end of the year as a means of ensuring speedy redress for those who are dissatisfied with decisions in our customary courts.

The governor said: “This administration remains firmly committed to the rule of law. It cannot be otherwise considering that it is an administration midwifed and sustained by the rule of law.

“We are committed to governance and justice without fear or favour, and we are believing God we will see the fruits of these efforts in this Land of Honour”.

Fayemi also inaugurated a 10-man committee for the administration of justice sector reform.

In the committee are: Mr. Wale Fapohunda, Dr. Ifedayo Akomolede, O.J Adele-

Killings in Yewaland: Ogun raises panel N inter- ministerial on Yoruba, Fulani clashes security committee

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has been raised by the Ogun State Government on the immediate and remote causes of unending clashes between the Yoruba communities and itinerant Fulani herdsmen in Yewa North Local Government Area.

The panel comprises representatives of the ministries of Local Government & chieftaincy affairs, justice and the office of the senior special adviser to the governor on security.

No fewer than 12 residents, including a teacher, have died during the lingering Yoruba - Fulani feuds in the last 18 months.

The teacher was allegedly murdered by the Fulani herdsmen on Christmas Eve last year.

From Ernest Nwokolo, Abeokuta

Speaking at the weekend in Abeokuta, the state capital, the Commissioner for Local Government and Chieftaincy Affairs, Muyiwa Oladipo, said the crises had assumed a frightening dimension, requiring quick intervention by the government.

Oladipo said the government cannot allow the situation to degenerate into a full blown ethno-communal war that could disrupt the peace of the state and the nation.

The committee has a mandate to find lasting solutions to the crises by inviting traditional rulers, community leaders, the Seriki Hausawa,

the chairmen and secretaries of the Community Development Associations (CDAs) of the affected areas.

They are all expected to attend a stakeholders’ peace parley on Friday at the Mini Obas Conference Hall, Oke Mosan Abeokuta.

Oladipo urged the chairmen of the transition committees in all the 20 local government areas to submit a comprehensive list of Fulani settlements in their domains to the panel within a week.

The commissioner noted that the panel will not limit its assignment and conflict resolution to Yewa North council alone, but extend it to Yewa South, Abeokuta North, Ijebu-Ode, Odogbolu, Odeda among others areas.

ke, Apuabi J.A, Dr Foluke Dada, the Onisan of Isan representing the traditional council, the Chairman of Ado Ekiti branch of the Nigerian Bar Association (NBA), the commissioner of police and the comptroller of prisons in the state.

HANDKERCHIEF has come for the tears of 11 hospital patients in Ado-Ekiti, the Ekiti State capital. They got N3.9 million from the governent to settle their bills.

One of the beneficiaries is Mr. Fashe Samuel, a bank robbery victim at Okeyinmi in the state capital.

Robbers, early last year, raided a bank and left in their trail, deaths, injuries and other forms of damage, estimated at several millions of naira.

Presenting the cheques to the beneficiaries in Ado Ekiti, the Commissioner for Health, Prof Olusola Fasubaa, said the gesture was not part of the Kayode Fayemi-led administration’s social security scheme.

He reiterated the government’s commitment to the provision of free Primary Healthcare, which is targeted at the less-privileged.

According to him, N3, 887,000.00 was disbursed at the weekend to pay the medical bills of the beneficiaries – a gesture, which Fasubaa said had no political colouration.

On the efforts being made to make the state polio-free, Fasubaa said the government had taken de-

From Sulaiman Salawudeen, Ado-Ekiti

livery of 16 motorcycles, donated by the World Health Organisation (WHO).

He said the motorcycles would boost the routine immunisation scheme across the state, as they would be used for surveying and monitoring polio and other related diseases in the 16 local government areas.

The Co-ordinator of the World Health Organization (WHO), Dr. Kafayat Akinyemi, lauded the efforts of the government at ensuring a polio-free environment.

Dr. Akinyemi said the state could boast of 102 health facilities designated as focal reporting sites for cases of polio and other related diseases.

She highlighted the activities of the health facilities to include reviewing morbidity registers, notification of cases to the next level as well as documentation of activities.

Identifying active surveillance as the most effective strategy for polio eradication, she called for a more “specific and sensitive surveillance” at the grassroots.

THE NATION FRIDAY, MARCH 12, 2012

8

CITYBEATS

E-mail:- ynotcitybeats@gmail.com

Fire guts Eleganza plaza P

ROPERTY worth millions of Naira were yesterday destroyed as fire gutted parts of Eleganza Plaza, opposite SuruAlaba Market, Lagos-Badagry Expressway. Many shops, offices and warehouses were completely burnt.

The fire started around 2am yesterday, when most warehouses, offices and shops situated inside the complex were shut, it was gathered.

Officials of the Lagos State fire Service were at the scene to put out the fire which emanated from an electrical fault in one of the offices.

It later spread to other parts of the complex.

SSS praised for low crime rate in Lagos

•The imposing plaza razed by fire... yesterday

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•Fire fighters and volunteers battling to quench the fire... yesterday

PHOTOS: OMOSEHIN MOSES

Kunle Afolayan's Phone Swap to hit cinemas soon

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HREE entertainment nerve centres, Lagos, Abuja and Ghana are set to witness the Premiere of movie maker, Kunle Afolayan's anticipated movie, Phone Swap. The film will be on at the Eko Hotels and Suites, on March 17, Silverbird Cinemas Abuja, on March 24, and at Silverbird Cinemas Accra, on April 5.

The premiere is expected to involve key government officials, industries executives, movie practitioners and the media. The objective, according to Kunle, is to have a premiere that is comparable to any major film premiere worldwide.

"Golden Effects has broken the ice of high definition movies in Nigeria having produced two successful and widely acclaimed

T • Afolayan

don't have any of my works that's my favorite right now,” he added, when asked to pick the best of his films. Theatrical Release of the movie is on March 30, at Silverbird Cinemas, Ozone Cinemas and Genesis Deluxe Cinemas nationwide.

STATE AGENCIES 4. KAI Brigade Phone Nos: 080-23036632; 0805-5284914 Head office Phone Nos: 3. LASTMA Emergency Numbers: 01-4703325; 01-7743026 080-75005411; 080-60152462 5. Rapid Response Squad (RRS) 080-23111742; 080-29728371 Phone Nos: 070-55350249; 080-23909364; 080-77551000 070-35068242 01-7904983 080-79279349; 080-63299264

1. Fire and Safety Services Control Room Phone Nos: 01-7944929; 080-33235892; 080-33235890; 080-23321770; 080-56374036.

By Oziegbe Okoeki

drawn our attention to security issues and I want to assure you that this synergy will continue. I want to thank you for your assistance to the agency which is the first of its kind in the country and which has complemented the effort of the Federal Government", he said.

The committee also visited Radio Lagos/EkoFM and Lagos Television on oversight duties and commended the stations for doing a great job in reporting the state government. He promised that the House would assist both stations in whatever way it could.

The oversight function also took members to the Lagos state Records and Archives Bureau (LASRAB), a body that regulates, controls and preserves the archives of Lagos state.

Commending the Director General for what he is doing to preserve records and archives of the state, Olulade said he would want schools in the state to find time to visit LASRAB because of the rich historical and cultural value of the place.

Leaders clamp down on erring traders at Ladipo

By Ovwe Medeme

blockbuster feature films, namely Irapada (Redemption) and The Figurine-Aromire" says Associate Producer, Chaste Inegbedion, The flick, stars the likes of Nollywood actress Nse Ikpe-Etim who is gradually turning into a fan favourite, Joke Silva, Chika Okpala (Zebruddaya), Wale Ojo, Hafiz Oyetoro, Ada Ameh, Lydia Forson and a guest appearance from GLO Ambassador, Kunle Afolayan.

An elated Kunle Afolayan dedicated the movie to the Late Sam Loco, who was earlier meant to play the role of Chika Okpala and urged everyone to watch out for Phone Swap which definitely would win Nigeria's first ever Oscar awards.

“My best is yet to come. I really

HE Lagos State command of the State Security Service (SSS) has been commended for the low crime rate in the state.

This commendation was given by the Chairman, Committee on Information, Strategy and Security of the Lagos state House of Assembly, Hon. Segun Olulade, when he led other members of the committee on a visit to the Director of SSS, Mr. Achu Olayi, on Friday.

According to Olulade, apart from the reduction in crime rate, the state has also been spared the security challenge that is currently facing some states in the country because of the alertness of the service.

He appealed to Olayi that the service should not relent in its effort in securing the state.

Olayi said the visit was novel because it is the first time a state Assembly is visiting the SSS because they are used to been invited to Assemblies to come and explain one thing or the other.

Olayi said, "we have enjoyed tremendous cooperation with the House since my assumption of office here; you have always

HE Central Executive Council of the Ladipo Auto Market,(LACEC), at the weekend clamped down on erring traders over illegal street trading and road obstruction which they claimed constitutes environmental nuisance.

Some of the traders' shops were shut and wrongly parked vehicles' tyres were locked. Okada drivers who obstructed free flow of traffic were also severally dealth with.

The seven-man Committee led by Chief Eugene Ajaere, said the clampdown on the erring traders became imperative to avoid the hammer of the Ministry of the Environment. He said officials of the ministry had come to warn on the high rate of filth in the market.

Ajaere who was represented by

LAGOS EMERGENCY LINES 2. Federal Road Safety Corps (FRSC) Lagos Zonal Command Phone No:080-33706639; 01-7742771 Sector Commander Phone No: 080-34346168; 01-2881304

An official of the Lagos State Fire Service, Mr. Fadipe Razaaq, said he got a report on the fire incident around 3am and contacted the fire station at Sari-Igamu to respond to situation: "But I later got another report from our men at the scene that the fire was more than they could control, then, I contacted other fire stations."

Security men were at the gate preventing people from going in when our reporter visited the complex.

Chairman of Coker Aguda Local Council Development Area, Mr Omobolanle Akinyemi, was also at the scene.

070-55462708; 080-65154338 767 or email: rapidresponsesquad@yahoo.com 6. Health Services – LASAMBUS Ambulance Services Phone Nos: 01-4979844; 01-4979866; 01-4979899; 01-4979888; 01-2637853-4; 080-33057916; 080-33051918-9; 080-29000003-5.

Mr. Kenechukwu Reuben, led other members among them, Mr. Asiegbu Raphael, Ukaegbu Godwin, and Mr. Femi Omosuyi and the outgoing Vice Chairman, Hon. Chinonso Chiufo, round the market. He said traders flouting the environmental sanitation laws with impunity needed to be checkmated.

He warned that henceforth, any trader contravening the sanitation laws would have his shop locked, while hawkers' goods would be seized by council. He stressed that there was need to complement the efforts of the Lagos State Government to make the state free of disease and other environment challenges.

The LACEC said environmental sanitation would continue at the market twice in a month pointing out that any trader who makes himself uncontrollable would be handed over to the law enforcement agents.

The LACEC advised council agents operating park and pay services should endeavour to avoid double parking along Ladipo Road, hence-forth.

Mr. Reuben said the Caretaker committee had the mandate to conduct an election to elect new LACEC officers within one month.

THE NATION FRIDAY, MARCH 12, 2012

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CITYBEATS L

AGOS State may prosecute the naval rating, who allegedly killed the baby born by his girl friend, Glory Yusuf.

Joseph allegedly threw the baby into the lagoon at Ajegunle.

The Permanent Secretary in the Ministry of Women Affairs, Mrs. Risikat Akiode said the government has taken up the matter with the authority concerned to ensure that the suspect does not go free.

Mrs Akiode, who represented Deputy Governor, Adejoke OrelopeAdefulure spoke at the weekend at a seminar on Domestic Violence. The theme was “Implementing Domestic Violence Law in Lagos State.” It was

Govt may prosecute naval rating for killing love child

By Adebisi Onanuga & Joseph Jibueze

organised by the Women Empowerment and Legal Aid (WELA) as part of the activities marking this year`s International Women`s Day. She said that Governor, Babatunde Raji Fashola is now fully aware of the incident after it happened and has since stepped into the matter.

According to her, the governor has handed over the assignment to his Deputy, Mrs. Adefulure with specific instructions on what is to be done and how to go about it adding that the governor does not want the

ugly incident to be swept under the carpet.

In her address at the seminar read by her representative, Mrs. Akiode, the Deputy Governor, Mrs. Adefulure said that the state government is irrevocably committed to all legal and advocacy strategies that will effectively reduce and eradicate every form of violence against women and girls.

According to her, the increasing prevalence of violence against women is no longer acceptable to the government adding, "we all need to join hands and stop those who still perpetrate this crime.

Relevant legal

provisions must be enforced and perpetrators brought to book as a deterrent to others.”

The Lagos state deputy governor disclosed that statistics worldwide have shown that at least one woman in every three has been b eaten, coerced into sex or abused in her life time noting that most times, the abuser is a member of her own family.

She said that statistics also showed that not less than 1.3 million women are victims of physical assault inflicted by an intimate partner each year, that 85 per cent of domestic violence are women while females of between 20 and 24 years of age are at the greatest

risk of nonfatal intimate partner violence.

She however expressed regret that in spite of the law put in place to redress the menace, it has continue to manifest in the homes because most cases of domestic violence are never reported to the police.

Adefulure assured that government would continue to sensitize stakeholders on the importance of supporting the global advocacy campaign that says, "Say No Unite Against Domestic Violence" adding that "relevant law enforcement agencies will also be supported by our government to ensure strict enforcement of the law and prosecution of offenders, which we have been doing lately".

Dr. (Mrs.) Biola Akiyode Afolabi in her contribution expressed concern that domestic violence has now reached an alarming state and urged victims to come out and seek redress instead of accepting such violence

unleashed on them as a way of life and cultural consequencies.

She said that it was because victims don't do anything about it that the dastardly acts have been going on with impunity.

In a welcome address, the host, Mrs. Funmi Falana noted that since the law on Domestic Violence was passed in 2007, the public particularly those whose rights are regularly violated, have not taken advantage of the legislation which aimed to prevent perpetuation of domestic crimes and punish offenders, including the police who she said are also completely ignorant of the existence of the law.

Funmi Falana said that it was in the context of the struggle that has been waged against the menace in the different societies in the past that the law seek to resolve issues relating to domestic violence stressing that the law is not to dissolve marriages as being feared but to rehabilitate homes.

• From left: Mrs Remi Agbowu, Prof. Grace Alele-Williams, former Interim National Government Head, Chief Ernest Shonekan and the Lagos State Commissioner for Education Mrs Olayinka Oladunjoye, at the opening of a community library by the CityProfs in memory of Nofisat Yeside Funsho, the first daughter of the CEO of Naston Engineering, at CMS Primary School, Bariga, Lagos... at the weekend PHOTO: ADEJO DAVID

Kenya Capital Markets Authority honours Osifo HE Capital Markets Authority (CMA), Kenya Board, staff and the entire financial services fraternity in Kenya and East Africa have commiserated with the family of the late Managing Director of FBN Capital, Mr Osaze Osifo.

Osifo, one of the best brains in the financial services sector died in his sleep while on official visit to Abuja 12 days ago.

CMA's Chief Executive, Mrs. Stella Kilonzo, in a tribute to Osifo's family and the entire capital markets fraternity, said what stands out about Mr Osifo was his professionalism and achievements from a tender age.

"His sudden death at the prime of his career and with so much more to offer is a vivid reminder to all of us it not a question of how long

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we spend on this earth, but how well we spend the time we have," she stated in the tribute addressed to the Director General of the Securities and Exchange Commission (SEC), Ms. Arumna Oteh.

The CMA boss noted that one of the most succinct memories of Mr. Osifo for the short term that the CMA Kenya team interacted with him in Mombasa were his actions just before the presentation that he made to delegates at the recently concluded International Organisation of Securities Commissions (IOSCO) and the Africa Middle East Regional Committee (AMERC) Conference in Mombasa on February 24.

2012.

"My team and I remember clearly that before he made his presentation, he

requested to have all the presentations and speeches that had been delivered since the commencement of the conference on February 23, 2012. While this may have been overlooked in a conference with nearly 100 delegates, especially since he had a specific topic to present on, it was a demonstration of how a thorough Mr Osifo was in his presentations and was not the type of person to leave anything to chance. It also demonstrates how much he valued other peoples work despite his immense knowledge of the financial market.

"As CMA Kenya bids him farewell, my wish is that the bright memories of his great and impressive contribution to the country of Nigeria, Africa and the AMERC region give peace and consolation to his beloved

wife and children, parents, relatives, colleagues and the entire financial sector stakeholders. May these great memories and accomplished professional life also be a source of inspiration to all.

"Mr Osifo, as you commence your journey, I pray that the Almighty God will comfort and watch over your wife and children, your parents, and colleagues at FBN Capital always. To Mrs Osifo and family we are together with you at this time. Rest assured that we as capital market regulators and practitioners from Africa and the Middle East shall continue implementing the message we received from Mr Osifo in our various capacities.

"To the staff of FBN Capital I challenge you to carry the firm to even greater standard of excellence," she remarked.

German doctor stabbed to death in Lagos

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GERMAN national, Dr Michael Shubert, has been killed by unidentified hoodlums in his Apapa, Lagos home.

Sources said he was stabbed by the hoodlums who invaded his home.

The medical doctor it was learnt was an employee of Lagos Clinic on 14 Bombay Crescent on Apapa.

It was gathered that the deceased, who lived on the

By Jude Isiguzo

same street where the hospital is situated, was stabbed to death by five hoodlums who on February 29.

A source said the hoodlums broke into the compound of the deceased, tied up the security men before heading to his apartment.

"On February 29, about 1am, hoodlums numbering

about four or five, broke into the house of the deceased.

We don't know if it was an assassination or a robbery but the men scattered his home and stabbed him in the neck even though they had guns.

"Although they came in through the door, they escaped through the ceiling.

The deceased died almost immediately as he had lost too much blood."

It was learnt that policemen attached to the Trinity Division visited the deceased's residence at 47 Bombay Crescent, Apapa and had gone to interrogate the domestic workers.

Police spokesman Joseph Jaiyeoba, told our correspondent on the telephone that he is aware of the matter but do not have enough details to speak on it.

controversial storyline about ra

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NEWS Oshiomhole hails monarchs •Calls for fiscal discipline From John Ofikhenua, Okpekpe

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DO State Governor Adams Oshiomhole has hailed the contributions of traditional rulers to the peace and stability of the state.

He pledged his commitment to working with them in the interest of the people.

Oshiomhole spoke at the weekend during the 10th installation anniversary of the Onwueweko of Okpekpe Kingdom in Etsako East Local Government, Peter Abalume Osigbemeh. ‘’Let me assure your royal highnesses here present that we remain committed to working with traditional rulers and consulting them.

“As we have seen in the first three years, when you listen to elders and you work with them, you will be better off.

My relationship with the traditional institutions has translated to benefits for the good of the people.”

The governor explained that his desire to build the Okpekpe road was borne out of the need to give the people a sense of belonging. ‘’I appreciate communities and villages which are located in terrains, such as yours. I believe that the purpose of governance is to make things happen.”

Speaking at a retreat in Benin yesterday, Oshiomhole said: “Full disclosure of information and fiscal discipline is the hallmark of his administration.”

He spoke on the functions and duties of the Board of Directors, Council of State-owned parastatals and institutions.

The governor said: “For the system to work, there must be an atmosphere of conviviality and good working relationship between the chairman and members and this is to ensure that government policies are properly executed. “

Rivers partners UNDP From Clarice Azuatalam, Port Harcourt

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HE Rivers State Government, in partnership with the United Nations Development Programme (UNDP), is set to boost economic development through massive investment.

The Special Assistant to the Governor on International Donor Agencies, Bestman Nwnoka, said this in Port Harcourt at the weekend.

Nwnoka, who is also the state UNDP Partnership Manager, said his duty is to facilitate the proper involvement of relevant Ministries and Development Agencies (MDAs) in both formulation and implementation of projects and programme.

The programme, he said, would enhance the state’s socioeconomic development.

The special assistant said the capacity of the implementing partners has been built in various areas, noting that it has indeed been a viable one that would enhance socioeconomic development in the state.

“We are using this platform to solicit institution of legislative support from the government to further lend credence to efficient functioning of the body and assure its sustainability via the quick implementation of the State Aid Coordinate Policy and Framework,” Nwnoka said.

New car park for Benin Airport

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NEW modern car part is to be built at the Benin airport.

The airport manager, Sunday Ayodele, said the plan to build the car park became necessary following the remodelling of the airport.

Ayodele said shops and other business would also be relocated after the exercise to meet the specifica-

By Kelvin Osa-Okunbor

tion of the airport plan.

According to him, “after the remodelling, the airport can contain between 500 and 600 passengers daily as against its 200-passenger capacity.

“At the end of the remodeling, we are going to see a brand new Benin airport. “

•Rivers State Governor Rotimi Amaechi (right), Deputy Head of Mission, Embassy of Israel, George Deek and Yuval Rabin, son of the late Israeli Prime Minister, Yitzhak Rabin, at the Kesley Harrison Hospital built by the Amaechi-led administration...at the weekend

Army evicts occupants of Bakassi resettlement camp O FFICERS of the 13 Amphibious Brigade in Calabar, the Cross River State capital, yesterday evicted illegal occupants of the Bakassi Resettlement Camp in New Bakassi Local Government.

They said this is to check the invasion of the camp by criminals.

The evicted occupants were taken to the brigade premises, where they were made to sign an undertaking not to return to the camp as a condition for their release.

The spokesman of the Brigade, Capt Joseph

From Nicholas Kalu, Calabar

James, told reporters that following security reports, they raided the camp to free it from militants.

He said those evicted were brought to the barracks for proper identification and documentation.

His words: “We had to document to ascertain the reason why they are there, how they found their way to the camp and source of

‘We told their relatives to write an undertaking that they will never be seen at the camp again. We treated all of them fairly.’ living.

“So far, some relatives have come to identify and bail them.

“We told their relatives to write an undertaking that they will never be

seen at the camp again. We treated all of them fairly.

“It is a settlement centre for Bakassi returnees only.

“These people are not supposed to be there.

“We have reports that the place has become a hideout for ex-militants, who now use it for robbery and all sorts of crimes.”

He said the army was diplomatic in its action.

“We did not harrass anyone. We made them see reason why they should leave the camp for their own safety, considering that they were living there illegally.”

Edo PDP jittery over aspirant’s attitude

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HE Edo State chapter of the Peoples Demo-

cratic Party (PDP) has complained about the relationship between one of its governorship aspirants, Ken Imasuagbon and Governor Adams Oshiomhole.

Imasuagbon, who lost the governorship ticket to Charles Airhiavbare, publicly embraced Oshiomhole in what many described as “a new found alliance”.

Describing the embrace as an ‘unholy alliance’, PDP leader in Esan Central, Godstime Edokpa, accused

•Condemns hugging of governor From Gbade Ogunwale, Assistant Editor, Abuja

Imasuagbon of being inconsistent and insulting to the party in the state.

Edokpa decried Imasuagbon’s action, saying the aspirant decided to spite the PDP simply because he lost the governorship primary.

According to him, leaders should be charitable, either in victory or defeat, stressing that Imasuagbon’s action

speaks volumes about his character.

“What makes a leader is the ability to concede defeat and align with existing party structure for a collective struggle.

“When a candidate loses, he is expected to embrace the party leadership and make his own contribution to the progress of the party.

“The moment Imasuagbon lost the primary election; he started making inflammatory statements against the PDP, alleging that the process was deliberately skewed against him.

“But he was aware that zoning was put into consideration in the process that

led to the primary” Imasuagbon had accused the PDP leadership in the state of robbing him of the governorship ticket in a process the outcome of which he said was “predetermined”.

Asked if the Edo PDP was jittery that the friendship between Oshiomhole and Imasuagbon might lead to the latter defecting to the Action Congress of Nigeria (ACN), Edokpa simply said the party was worried about the development.

“We can’t dismiss Imasuagbon as inconsequential.

“We are worried about his political future. We want him to remain in the PDP fold. Honestly, we don’t want him to leave the PDP,” Edokpa stated.

Bayelsa JP candidate rejects result From Augustine Ehikioya, Abuja

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HE Justice Party (JP) has rejected the outcome of last month’s governorship election in Bayelsa State.

In a statement in Abuja, the party’s National Publicity Secretary, Uche Okoroafor, said the party’s candidate, Gboluseri-Levi Ebikefi, is heading to court to contest the declaration of Seriake Dickson of the Peoples Democratic Party (PDP) as winner of the election.

Okoroafor said the party’s logo was omitted on the ballot papers during the election.

He said: “Based on this premise, the candidate of the Justice Party in the just concluded Bayelsa State governorship election, Gboluseri-Levi Ebikefi, and the Bayelsa State Justice Party executives, hereby inform the public of the decision to reject the outcome of the election held on February 11.

“We will contest it in the court on grounds that Justice Party’s logo was omitted on the ballot papers used for the election, thereby deliberately disenfranchising thousands of our supporters in Bayelsa State.”

THE NATION MONDAY, MARCH 12, 2012

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NEWS No ethnic group inferior in Nigeria, says Oritsejafor

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HE National President of the Christian Association of Nigeria (CAN), Pastor Ayo Oritsejafor, has said no ethnic group is inferior.

He said the nation must forget about the civil war and accord all Nigerians equal rights Oritsejafor spoke yesterday when CAN visited the late Chief Dim Ojukwu’s widow, Bianca.

Presenting a Bible and Cross to Bianca on behalf of the association, he said only Jesus Christ can be her true companion and urged her to look unto him at all times.

The cleric said the late Ojukwu inspired many people.

•CAN urges govt to rename cantonment after Ojukwu From Odogwu Emeka Odogwu, Nnewi

He said: “Your late husband was a great man and great men do not die. We want you and Igbo people to know that nobody is inferior in this nation; everybody is equal. “I urge Nigerians to imbibe the spirit of courage, wisdom, honesty and hard work, which your late husband stood for. The Church in Nigeria appreciates the Federal Government and the Anambra State Government for giving the late hero a national and military burial.”

Members of the CAN

delegation included Oritsejafor’s wife; CAN National Vice-President Mmasinachi Umeh; the National Vice-President of the Pentecostal Fellowship of Nigeria (PFN), Southeast Zone; Archbishop Paul Nwachukwu of the Grace of God Mission International; CAN Southeast Chairman; and Bishop Emmanuel Chukwuma of the Anglican Diocese of Enugu.

Others were CAN Chairman, Anambra State, Bishop Ephraim Ndife; Anambra State PFN Chairman Prof. David Eberechukwu; and Secretary of CAN, Southeast, Apostle

Anambra council polls to hold soon

•ACN: Obi is delaying election •Ojukwu’s son hails governor From Odogwu Emeka Odogwu, Nnewi

•Obi

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HE All Progressives Grand Alliance (APGA) in Anambra State yesterday said Governor Peter Obi is committed to the conduct of local government elections.

APGA said N200 million was allocated to the State Independent Electoral Commission (ANSIEC) in the 2012 bugdet to ensure that the council polls are conducted.

The party was reacting to last week’s protest by chairmanship and councillorship aspirants.

APGA Secretary Mr. C.J Okolie-Akirika said the elections would hold as soon as the suit filed against the ANSIEC by its embattled Chairman, Prof. Titus Eze, is determined.

He said: “Our government is responsive. The council election is in the budget. The

ANSIEC chairman has said in three weeks, the action plan would be rolled out.”

The Action Congress of Nigeria (ACN) alleged that the governor is delaying the election so that he can extend the tenure of the caretaker committees.

ACN’s Publicity Secretary, Mr. Okelo Madukaife, said: “The only person delaying the conduct of the local government election is Obi, because he has an agenda to extend the tenure of the transition committees. We are ready for the election.”

Secretary of the Conference of Nigeria Political Parties (CNPP) Mr. Ken Okafor said the CNPP stopped the election in 2010 because there was no new voters register.

A chairmanship aspirant in Njikoka Local Government Area, Dr. Tim Ifedioramma, said the election is over due.

Also yesterday, son of the late Chief Chukwuemeka Odumegwu-Ojukwu, Emeka described Obi as “a

marvellous man in the heart and in deeds.”

He said this at St. Michael’s Catholic Church, Umudim, Nnewi, after the thanksgiving service for the successful burial of his father.

Emeka said Obi made sure his father received the best medical care in the world when he was alive and also gave him a befitting burial.

He thanked President Goodluck Jonathan, family, friends and Nigerians for supporting the family.

In his sermon, Rev. Fr. Lawrence Nnoyiba thanked God for the late Ojukwu’s life and urged the people to emulate his good deeds.

APGA National Chairman Chief Victor Umeh said the most enduring memorial of Ojukwu is APGA. Obi said that the gratitude for the successful funeral should go to Nigerians, who spoke in one voice.

Mr. Chris Azubogu of the House of Representatives gave the vote of thanks on behalf of Nnewi people.

PDP wins Ebonyi Assembly rerun

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HE Peoples Democratic Party (PDP) at the weekend won the Ebonyi State House of Assembly rerun in Ohaukwu South and Ishiellu North.

In Ishiellu North, Mr. Ikechukwu Ogbu of the PDP got 6,205 votes, while Mr. John Ebeh of the All Nigerian People’s Party (ANPP) scored 1,550 votes.

About 25,670 voters registered, but only 8,212 voted.

Of the 8,212 votes, 8,019 were valid and 193 rejected.

The Independent National Electoral Commission Returning Officer, Dr. Emeka Nwakpu, said: “The election was free, fair and devoid of violence. Voters conducted themselves orderly.”

In Ohaukwu South, Mrs. Mabel Aleke of the PDP had 8,177 votes.

Mr. Nwachukwu Eze of the ANPP got 1,923 votes.

The Returning Officer, Dr. Sunday Okoro, said of the 11,003 votes cast, 10,457 were valid and 546 rejected.

The All Progressives

•ANPP rejects result From Ogbonnaya Obinna, Abakaliki

Grand Alliance (APGA), Congress for Progressive Change (CPC) and Progressive People’s Alliance (PPA) also participated in the election.

Electoral materials arrived on time but there was a low turnout of voters.

Chairman, Ohaukwu Local Government Area, Chief Sunday Inyima said the turn out was low because the election was held on a popular market day.

He said: “The people revere the Okwor and Eke market days and the election fell on the Okwo market day. We persuaded the people to come and vote, but they refused to abandon the markets.”

Urging other candidates in the election to support him, Nwankwo said litigation does not build democracy, but slows down development.

The ANPP rejected the rerun result. It alleged that the election was marred by irregularities.

The elections in the two constituencies and Ezza South were nullified by the Appeal Court, sitting in Enugu, in January.

The rerun in Ezza South will hold on Wednesday.

LOSS OF DOCUMENT I DR. I. M. Chukwu-Ike of No 14 North Second Avenue Trans Ekulu Enugu Lost my Document B.C. of O. Reg. as 30/30/ 1349 and P.O.A. Reg as 69/69/ 1347 at Lands Registry Enugu.

LOSS OF DOCUMENT This is to notify the general public that the Original Agis Regularisation of the Land title Acknowledgement letter in respect of plot 7, Utako District (B05) Belonging to Associated Bus Company Ltd is missing. If found, please contact the nearest police station or the above address.

Joseph Ajujunwa; among others.

Chukwuma urged the Federal Government to rename the 82 Division Military Cantonment, Enugu, after Ojukwu and to begin work on the Second Niger Bridge.

He said: “Nigeria must allow this war to stop and build on the legacies of the late Ojukwu.

As a mark of honour, the 82 Division Military Cantonment, Enugu, should be renamed the Dim Chukwuemeka Odumegwu-Ojukwu Military Cantonment, Enugu.

“The Federal Government should repair federal roads in the Southeast and sack contractors who are not performing.”

He urged the National Assembly to be more active.

Court clears five Anambra lawmakers From Kamarudeen Ogundele, Abuja

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FEDERAL High Court, sitting in Abuja, has vacated the order restraining five members of the Anambra State House of Assembly from being sworn in.

They are Paulinus Onyeka, Ekwusigo Constituency; Vivian Akpamgbo-Okadigbo, Oyi Constituency; Chris Emenaka, Anambra East; John Olubie, Dunukofia; and Rebecca Udorji, Awka North.

Dismissing a suit filed by five aggrieved members of the Peoples Democratic Party (PDP), Justice Abdul Kafarati said the court lacked the jurisdiction to hear it.

The plaintiffs are Egbe Chidi, Solomon Ekweoba, Celestine Ofogbunam, Umerie Uchenna and Boniface Okonkwo.

Setting aside the order stopping the swearing in of the defendants, the judge said the reliefs sought by the plaintiffs can only be granted by the House of Assembly Tribunal, because it is a post-election matter.

The plaintiffs had earlier obtained an exparte order stopping the inauguration of the defendants.

They claimed they were unlawfully excluded from the April 26, 2011, election by the PDP. But the judge said the judgment the plaintiffs were asking the court to give effect to was given in the absence of the defendants, so it cannot be applied.

Justice Kafarati said: “The court lacks the jurisdiction to hear the matter. The motion is dismissed. All other issues are overtaken by events.”

PenCom

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THE NATION MONDAY, MARCH 12, 2012

NEWS

‘Pension assets hit N2.45tr’

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ENSION Industry assets under the Contributory Pension Scheme (CPS) melted N2.45trillion as at December 2011, the National Pension Commission (Pencom) declared at the weekend.

Director-General of PenCom, Mohammed Kabiru Ahmad, said this while testifying before the Senate joint committee probing the pension administration in the country. He added that the amount was exclusive of a monthly contribution of N20billion and 30 per cent annual growth rate.

Ahmad said the Federal Government has been consistent in the remittance of the monthly pension contributions of its employees.

“As at December 2011, the total sum of N604.27 billion had been credited into the Contributory Pension Account with the Central Bank of Nigeria, out of which the sum of N449.35billion had been remitted into the Retirement Savings Accounts (RSAs) of Federal Government of

From Onyedi Ojiabor, Assistant Editor and Sanni Onogu, Abuja

Nigerian employees domiciled with the various Pension Fund Administrators (PFAs),” Ahmad said.

He added that the proportion of the pension assets to Nigeria’s Gross Domestic Product (GDP) grew from 1.4 per cent in 2006 to 7 per cent in 2010.

He lamented that the payment of retirement benefits and death claims to beneficiaries of deceased Federal Government employees has been challenging due to inadequate funding by the government.

Ahmad said: “However, the Federal Government had paid as at 31st January, 2012 the sum of N270.11 billion to its 48,587 retirees and deceased employees under the CPS.” He bemoaned the situation where the N72.36 billion being five per cent of Federal Government’s total wage bill provided in the 2012 Appropriation Bill would be insufficient to off-set the N94.17billion projected pension

for employee slated for retirement in 2012.

According to Ahmad, this amount includes N15billion owed employees who retired as at 31st December 2011.

He also observed that one of the major challenges of the CPS “is the lack of accurate information for prompt remittance of monthly pension contributions of Federal Government employees into their RSAs.” Despite huge financial resources that had been spent for verification and biometric capturing nationwide, the PenCom boss regretted that “there is no comprehensive database of Federal Government employees.”

“Consequently,” he said, “Ministries, Departments and Agencies (MDAs) were requested by the Commission to submit their nominal rolls, which would have provided upto-date information on current grade levels and steps of their personnel, to facilitate computation and remittances of their exact monthly pension contributions.

Fed Govt picks Kano, Ondo for land HE Federal reform scheme improved database on land Government has matters

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selected Ondo and Kano states for its land reform programme to assist owners of land to have titles.

Chairman of the Presidential Technical Committee on Land Reform, Prof. Peter Adeniyi, who dropped the hint during a visit to Governor Olusegun Mimiko in Akure at the weekend, said his committee would implement the programme He said two local

From Damisi Ojo, Akure

governments in Ondo State, Akure North and Ifedore, have been selected, while two were also selected in Kano State for the pilot scheme.

Adeniyi reaffirmed the commitment of the Federal Government to scale up the programme.

According to him, the pilot systematic registration project has the capacity to empower the states by providing

Adeniyi said it would also pave the way for efficient management of the state’s land resources, improve the revenue generation and make it easier for investors to gain access to land for development He said the programme would empower land owners to secure titles for land, use their Certificates of Occupancy (C of O) to obtain loan and improve their socio-economic status.

FCTA to establish security trust fund

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HE Federal Capital Territory Administration (FCTA) may set up a security fund to confront security challenges in the Federal Capital Territory (FCT).

The FCT Minister, Senator Bala Mohammed, spoke in Abuja at the weekend after inaugurating a five-kilometre SunriseGuzape Bypass donated by three companies, Setraco Nigeria Limited, Dantata & Sawoe Nigeria Limited and Gilmor Engineering Nigeria Limited.

The minister said as part of the social corporate responsibility, construction firms and financial institutions operating in the Federal Capital Territory would be challenged to contribute to the fund.

According to him, the fund, when established, would complement the efforts

From: Bukola Amusan, Abuja

of the government, thereby providing such institutions and organisations the opportunity to participate in securing the life and property of residents.

Mohammed said security is everybody’s business.

He said the five-kilometre bypass is a proof that a collaboration between the government and the organised private sector can improve other sub-sectors.

The minister said security could be enhanced if the citizenry formed a proactive and workable synergy.

Mohammed said the inauguration is a testimony that the FCTA is responsive and committed to partner the private sector in improving the lives of the residents, assuring that such partnership will be taken to the next level.

Kwara Assembly to join crusade for from the organisation’s HE Kwara State House of Assembly has vowed child-spacing programmes.

Earlier, the ex-permanent

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to join the campaign for safe family planning and childspacing.

It assured that family planning and child spacing projects would be given budgetary allocation in the next appropriation.

Speaker Razak Atunwa said this while receiving members of the Urban Reproductive Health Initiative (NURHI).

He said government’s intention under the Vision 2020 may not be achievable without due consideration for family planning and child-spacing.

He promised to direct the assembly’s Committee on Finance and Appropriation to liaise with relevant agencies in ensuring the inclusion of the two issues in subsequent budgets.

The speaker noted that statistics on maternal health

From Adekunle Jimoh, Ilorin

showed that only one in five pregnancies in Nigeria is unwanted, adding that it is alarming that about 529,000 women die from pregnancyrelated cases.

He appealed to members of the NUHRI to go to the rural areas and ensure that the people at the grassroots benefit

secretary, Ministry of Health, Dr. Funmilayo Ambali, who represented NUHRI’s chairman during the visit, had decried the high rate of maternal mortality and morbidity in the country and appealed to stakeholders to support the call for sound health for mothers and a wellplanned family life.

PDP America endorses Gambo for national chair

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HE Peoples Democratic Party (PDP) in the United States of America (USA) has endorsed Alhaji Gambo Lawan for the national chairmanship of the party.

A statement signed by the Chapter Secretary, Charles Sado, said its decision to adopt one of the aspirants became necessary, “in order to identify an aspirant who can better identify with the people of Nigeria.”

The statement added: “After a rigorous process of due diligence, we came to the conclusion that the only candidate that can help steer and reposition our party for future challenges is Alhaji Gambo.”

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INTRODUCTION The Kano State Executive Council held its Thirty Eight sitting today during which, various submissions that would improve the standard of life and well-being of State citizens were presented by different MDAs and received the deliberation and blessings of the Council as follows:1. Ministry of Land & Physical Planning Kano State, has for decades, dominated the political and economic life of the nation. The State has continued to attract a very high proportion of both human and vehicular traffic due to its commercial and industrial enterprises. In fact, the Administration met a city not functioning as a modern urban centre with an economy that is sluggish.

The urban planning of the previous Administration lacked coherence and no serious attempt was made to either control the heavy traffic coming in and out of the city or relate the metropolis expansion and development with the surrounding countryside. This failure and with the daily increase of population, Kano is becoming congested and slum-ridden. This Administration has a particular interest on how to modernise our urban centres through the provision of social and economic amenities and the setting up of satellite centres, such as Umarawa, Amana City (Gurjiya), Tumfafi and Jido layouts so that the State could be a pace-setter in the nation. Providing infrastructure within these satellite centres has cost the State over N12 billion.

Nevertheless, controlling and easing traffic congestion have been one of our urban planning agenda.

This explains the recent employment of 250 Traffic Assistants and the plan to add another 250, which is now in the process. These Traffic Assistants are involved in traffic control in major junctions across the metropolis. Despite this effort, the Administration has realized that other measures must be planned to ease traffic congestion caused by articulated vehicles coming in and out of the State Capital.

One of the measures is to provide a major road transport facility that would provide parks for trailers, luxurious buses, and a mechanic village, warehousing and other related facility at the outskirts of the State capital. It is in this vein, that the Council approved the sum of Six Billion Eight Hundred and Sixty Four Million Four Hundred and Sixty One Thousand One Hundred and Ninety Three Naira Fifty Nine Kobo (N6,864,461,193.59) for the construction of a major road transport facility that will provide sites for Trailer Park, Luxurious Buses Park, Motor Park, Mechanic Village, Warehousing and related facilities at Gundutse, KM 21 along Zaria Road. The contract was awarded to Messrs Gerawa Global Engineering Nig. Ltd. In a related development, the Council has approved the sum of Eleven Billion Nine Hundred and Sixty Eight Million Five Hundred and Sixteen Thousand Eight Hundred and Eighteen Naira Ninety Eight Kobo (N11,968,516,818.98) for a similar project at Dawanau. The project which is sited at a 300 hectare stretch of land off both Katsina Road and Dambatta Road would comprise parks for trailers, car city, mechanic village, warehousing and several other related facilities.

Besides reducing traffic congestion, the project would also boost the economic activities of the immediate neighbourhood and the State in general. The contract was awarded to SKY Technical and Construction Company Ltd. Gwarzo road is one of the major roads leading into and out of the State Capital. Mindful over the high level of traffic congestion and accident on the road, today the esteem Council approved the sum of Three Billion Thirty Nine Million Nine Hundred and Ninety Six Thousand Eighty Six Naira Sixty Nine Kobo (N3,039,996,086.69) for the dualization of Gwarzo Road from Kofar Kabuga to B.U.K. New Site. The decision is based on one of the Administration’s fundamental strategies to curtail the problem of congestion and frequent accident on the road and to revive the socio-economic fortunes and status of the State. The contract was awarded to Messrs Triacta Nigeria Ltd. Similarly, the Council approved the sum of Five Billion One Hundred and Sixty Eight Million Five Hundred and Thirty Five Thousand Nine Hundred and Two Naira Ninety Two Kobo (N5,168,535,902.92) for the expansion of Zaria Road being one of the busiest roads in the State to enable the road accommodate the continuously increasing traffic along it.

This road has been dualized but it requires expansion and upgrading to accommodate the heavy traffic along it. The Contract was awarded to TEC Engineering Co. (Nig.) Limited. In the same vein, the sum of Two Billion Six Hundred and Ninety Seven Million Eighty Nine Thousand One Hundred and Thirty One Naira Seventy Four Kobo (N2,697,089,131.74) was approved by the Council today for the expansion of Hadejia Road (from Ahmadu Bello Way Roundabout to Salisu Garba Filling Station). The contract was awarded to Messrs CGC Nigeria Limited. To fulfill the campaign promises of His Excellency coupled with the obvious reason and urgent need, the Council after thorough deliberation has also approved the upgrading and reconstruction of Challawa Road (from BUK Road to Kwanar Madobi to Western Bypass Round Junction) respectively at the sum of Two billion and Two hundred and Fourty Five million and Five and Seventy Seven Thousand and Six hundred and Eighty One Naira and Ninety Kobo. (N2,245,577,681.90) The Contract was awarded to Messrs Soject Nigeria Limited.

THE NATION MONDAY, MARCH 12, 2012

Establishment of a Taskforce Committee on Land Revenue Generation Committee Council approved the establishment of high powered committee to pursue revenue in the State particularly in relation to land activities. The aim is to enable the present Administration fulfills its campaign promises of producing lands certificate to all land in the State and by extension to enable it execute laudable projects which have direct and immediate positive impact to the benefit of citizenry.

2. Ministry for Higher Education Received by Council today is the Executive Council

Rabi’u Musa Kwankawaso

Committee report on payment of students maintenance and other allowances in respect of 2009/ 2010 academic session in which Government has released the sum of Two Hundred and Thirty One Million Seven Hundred and Two Thousand Three Hundred Naira (N231,702,300.00) for the purpose.

The report indicated that a total number of 18,874 representing 93.56% students out of a total of 19,966 students were paid. Council noted and appreciated the development which highlighted that the remaining balance of the sum of Fourteen Million Nine Hundred and Twenty Three Thousand Two Hundred and Ninety Four Naira (N14,923,294.00) proposed for 1092 students representing 6.44% remains in the Account of the State Scholarship Board.

Similarly, the Council has directed the Scholarship Board to start the interviewing of students in tertiary institution across the 42 No. institutions within and outside the State. An aggregate of 22,212 students would be interviewed during the exercise.

3. Ministry of Information, Internal Affairs, Youth, Sports and Culture The sum of (N38,968,600.00) was approved by Council for the sponsorship of Kwankwasiyya Babes players and officials in the International U-20 Football Tournament at Dubai, U.A.E scheduled to hold from 10th – 20th March, 2012. You may recall that last week the esteem Council approved the sum of Two Million Naira (N2,000,000.00) to facilitate State’s participation in 2012 West African Inter – Teams Soccer Championship at Lome – Togo scheduled for 10th – 16th March, 2012. The approval is in recognition of one of the Kano State youth team RACCAH ROVERS sterling performance during 2011 edition of President Peace and Unity Cup conducted here in Kano in which the club took the second position. The performance of the team during the competition resulted for inviting it to partake in West African Soccer Championship organized by Dabur International Sports Consultant/ Participation Agency Lome – Togo in liaison with Nigeria Federation of International Youth Soccer.

4. Ministry of Water Resources The sum of (N61,422,891.60) was approved by Council for the procurement of new pumps for regional water schemes under the State Water Board. This expenditure is necessitated by the fact that most of the raw water and highlift pumps at the various stations are obsolete and most are unserviceable.

Progress Report: Illegal Motor Park Recalling its last week’s deliberation on appreciable progress been made by the Ministry of Works, Housing & Transport for the banning of all illegal motor parks in the State, the Council noted that 30 No. illegal motor parks operators have so far been arrested and prosecuted to Court by the Ministry.

It then called on those behind the operations of all those illegal parks, transport unions, drivers and passengers to cooperate with this measure which was introduced to ensure free flow of traffic and strengthen the security situation of the State Road Construction and Street Lighting Also noted with appreciation by Council today is the level of various works already awarded by Government which included Street and traffic lights at Wudil Road, Katsina Road as well as road construction and lightening installation of Kiyashi Road off Maiduguri Road.

New North West University The Council noted an impromptu visit to the site of the proposed new State University tagged “North West University” by His Excellency, the Deputy Governor. The Council noted that during the visit the contractors handling the constructions of the two faculties have already mobilized to the site and the level of the work is impressive. You may recall that the Council during its 33rd sitting approved the appointment of a Consultant; Messrs AM Design Consults for the construction of faculty building for the North West University to the tune of Seventy Million Naira (N70,000,000.00) and approved the construction of two faculties at the sum of over Two billion Naira (N2,000,000,000:00).

These major roads were selected based upon their economic and social significance as they are the outlets to other States in the Federation. Their reconstruction and expansion clearly support and complement the vision of this Administration of reinvigorating the State economic base. In fact, vital development projects such as this are necessary for the economic development and modernization of the metropolis. This project is the first of its kind in the historical development of the State. As highlighted earlier, these works formed part of the Administration’s effort of fulfilling its campaign promises. One of the cardinal principles of this Administration is to deliver ‘what it promises.’

Taking off of Kano Hospitality Institute Received by Council today is information of the final report on the establishment of Kano State Hospitality Institute in which 120 students were selected to undergo the first training commencing in April this year. It then called on all those interested in the training to contact the program coordinator at former Daula Hotel Building, Murtala Muhammad Way, Kano. Polio Immunization Program The esteem Council while acknowledging the present Administration effort towards eradicating the menace of polio disease in the State, noted the progress recorded so far in the routine vaccination of children against the disease and called on parents and other stakeholders to accord the program maximum support and cooperation.

Also approved by Council today is the sum of Seven Million Two Hundred and Twenty Two Thousand Six Hundred and Six Naira Fifty Two Kobo (N7,220,606.52) for the payment of compensation in respect of site for Almajiri School at Warawa. You may be aware that the Federal Government of Nigeria has decided to intervene in giving Almajiris opportunity to have access to basic education in the Country. In this direction that today, the Executive Council also approved such amount to enable early coming of the Federal Government for the execution of the project.

Private Organizations (Operating in the State) Staff Structure Noted by Council today is the non-compliance of private institutions in the State to the established law which states that all such institutions’ junior staff from grade level 01 to 06 must be indigenes of the State they are operating. In light of this the Council directed all private institutions operating in the State to comply with the law soonest.

You may recall that since inception the Administration has executed numerous projects that have direct benefits to the citizenry. Amongst them are the routine maintenance and beautifications of the metropolitan roads costing the State more than N200 million from June to December 2011. It is in this vein that the Council during its 38th sitting approved the sum of Fifty Million Naira (N50,000,000.00) for continuation of laying of interlock tiles for the following metropolitan roads, viz; Audu Bako Way, Ahmadu Bello Way, Alu Avenue, Race Course Road, Bompai Road, Gwarzo Road’ Airport Road and Emir’s Palace Road (median).

Water Supply in the State On the issue of portable water supply across the State, the Council noted the general improvement of the supply of water and called on all those entrusted with the affairs of handling the process of water supply in the State to be dedicated, honest and up to the task as present Administration would not tolerate any form of indolence to that effect. Also noted by the esteem Council is the pipes earlier approved to be procured abroad and to be laid from Watari to Miltara. The pipes are now at Port in Lagos waiting conveyance to the State for subsequent laying as approved.

You may also remember that the Council has in December last year approved the sum of Twenty Million Naira (N20,000,000.00) for the repairs of Audu Bako Way being one of the busiest roads that shown critical failures in some places, posing usual adverse effects on traffic flow. Also in the same date, the Council approved the repairs of ten major metropolitan roads in the total sum of Twenty One Million Six Hundred and Sixty Nine Thousand Two Hundred and Seventy Nine Naira Sixty Six Kobo (N21,669,279.66). The roads are: Sabo Bakin Zuwo Road, Murtala Muhammed Way by Daula, Sheik Jafar Mosque – Madobi Roundabout, Independence Road, Zaria Road by Audu Bako Secretariat, Bank Road, Darmanawa – ‘Yan tsaki Road, Abdullahi Bayero Road, Tudun Wada - Juma’at Mosque Road and Gwale to ‘Yan Alewa Road. While acknowledging and appreciating the prudence of the Kano Urban Planning and Development Agency (KNUPDA) over returning the balance of Four Million Five Hundred and Fifty Thousand Six Hundred and Sixty Two Naira Sixty Six Kobo (N4,550,662.66), the Council then approved the utilisation of the savings to carry out additional repairs works on Wudil Road.

Transfer of Scholarship Board and Informatics Institute, Kura An extensive discussion was held on the suitability of transferring the staff working in Kano State Scholarship Board who are on posting from the Ministry of Education and Informatics Institute, Kura to the Ministry for Higher Education and Ministry of Science & Technology respectively. The Council approved this transfer for proper and effective service delivery.

Construction of 26No. Magistrate Court Received by Council today is the progress of works awarded for the construction of 26 No. Magistrate Court and the interlocking of some selected roads in the State. The Projects Monitoring Directorate inspected the projects and informed the Council that it is in advance stage.

SIGNED: Hon. Commissioner for Information, Internal Affairs, Youth Sports & Culture

MONDAY, MARCH 12, 2012

17

POLITICS THE NATION

E-mail:- politics@thenationonlineng.net

Many Nigerians want governments across the three tiers to reduce the cost of governance so that more resources could be channeled towards development projects that impact positively on the quality of living, reports Deputy Political Editor EMMANUEL OLADESU.

Reducing cost of governance F

OR any society to make progress, there must be a government to run its affairs. However, citizens would perceive government as a burden when its recurrent expenditure is repeatedly higher that its capital expenditure, which should impact positively on the economy, especially in the areas of employment generation, investment and other activities that induce growth.

This is the challenge that stares Nigeria in the face. It is now incontrovertible that the cost of running a democratic government is high in the country. This is aptly demonstrated in this year’s budget. While N2.472 trillion is proposed for recurrent expenditure, a figure that accounts for the 72 per cent of the expenditure profile, N1.32 trillion, representing 28 per cent, is proposed for capital projects.

Observers believe that this may be due to the fact that political appointees perceive politics as a lucrative career. It is noteworthy that less than one percent of the projected 150 million population consumes the huge sum. The effects of over-bloated political bureaucracies involving the big federal government, 36 state governments and 774 local governments are alarming. There is disquiet among experts who believe that, when recurrent expenditure is high, it may impact negatively on implementation of capital projects and delay the achievement of the Millennium Development Goals (MDGs).

How to reduce the soaring overhead costs has agitated many economists, members of the civil societies and other non-government organisations. For example, foremost politicians, Chief Ayo Adebanjo, Chief Olu Falae and Dr. Chukwuemeka Ezeife, have advocated for a return to parliamentary system. To them, the Westminster model, which was in vogue during the First Republic, is less expensive. At the pre-National Conference Summit in Lagos, Falae, former Secretary to Federal Military Government, said a politician who wishes to serve as the Prime Minister would only campaign in his constituency as candidate for the House of Representatives, unlike a presidential candidate who is expected to traverse the nooks and crannies of the country to solicit for votes.

The expensive nature of the presidential system may have predisposed operators to have the pervading feeling that the quest for power is tantamount to political investment. And normally, returns accrue from investment. An economics teacher at Covenant University, Ota, Ogun State, Adeolu Adewole, warned that when a large sum of money is deployed to the maintenance of government structures, it portends disaster.

“When a rising proportion of government budget, at whatever level, is used to support the administrative structures of government, poverty is bound to be pervasive as economic growth slows down or even stagnates”, said the university don. He added: “If we assume that government is a firm with output measured in GPD, then, it would not be difficult to see why the cost of production(measured

here as cost of governance) seems to have risen over time”.

Other stakeholders have called for a part-time legislature at the federal and state levels. Yet, some believe that local government councillorship seats should be reserved for patriotic and tested retirees in the neighbourhood, who can still serve and receive stipends.

Last year, there was furore over the “presidential expenditure”. Critics raised eyebrow billions of naira were proposed for food, drinks and cutleries by Aso Rock in the fiscal year. Urging the federal government to cut the estimates, Government College Old Boys Association (GCIOBA) led by Mr. Banwo Smith said: “The cost of governance is astronomically high, bordering on extravagance. It is inconceivable that provisions for renovation, food, Aso Rock Clinic, overseas travels etc for the Presidency are too high. Every aspect of the budget is suspect and needs review downward”.

Under former President Olusegun Obasanjo, delegates to the collapsed National Political Conference in Abuja were alarmed by the retinue of presidential aides. No fewer than 60 special assistants, with duplicated responsibilities, swarmed the Presidency. It was a case of jobs for the boys, lackeys and surrogates.

The trend at the local government is more worrisome. Now, council chairmen have a retinue of aides on the council’s payroll. These appointees include special advisers, chiefs of staff, senior special assistance, supervisors for special duties, personal assistants for political matters, community matters, and office of first ladies of the councils.

In many federal ministries, there are ministers, ministers of state, special advisers, and special assistantsall drawing fat salaries. The size of the state political bureaucracy is not a wide departure. Ministries have been split across the states of the federation and numerous commissioners, special advisers, senior special assistance and special assistance appointed. The Senate President, Speaker of House of Representatives and Speakers of Houses of Assembly also have numerous aides without clear-cut schedule of duties.

Many have argued that the rising cost of governance has not been accompanied by corresponding service delivery and efficiency of structures for function performance. The defunct Western Region, for instance, has been split to eight states. However, the output of the states have not matched the achievements of the golden era of Obafemi Awolowo’s premiership.

Echoing this lack of performance, despite the high income, rights activist Lanre Suraj, said those in power make money to the detriment of de-

•President Jonathan

velopmental priorities. “The wage bill for appointees alone shows that little is left for development. That is why they cannot tar roads, create employment, restore electricity and fix the refineries. As those in power get rich, the poor is abandoned in their poverty”.

For four years, the National Assembly has been criticised for drawing a huge income. Nigerian lawmakers earn prohibitive salaries in a country where the minimum wage for workers has drawn a wedge between government and labour. A senator earns N954,096 while a member of the House of Representatives earn N794,084 monthly. In Nigeria, federal lawmakers, under the guise of legislative functions, are fond of hiking figures in the budget.

Unlike a United States senator who earns 174,000 dollars and United Kingdom parliamentarian who earns N14,896,180 annually, a Nigerian senator gets about N29.79 million. More money is allocated to the office of the Senate President than that of the United States President. This has irked the Central Bank governor, Lamido Sanusi, who cried out that, last year, of the N500 billion federal government overhead cost, the National Assembly took N136.2 billion, which represented 25.1 percent of the amount.

Governors have a convenient access to resources through the inexplicable security votes. This is an equivalence of presidential gulfstream jet.

In fact, the Revenue Mobilisation and Fiscal Commission had been overwhelmed by the mounting allowances of public officers across the three arms of government at the state, federal and local levels. Apart from basic salaries, allowances cover details such as accommodation, furniture, overseas trips, motor vehicle loan, car fuelling, medicals, special assistance, domestic staff, entertainment, leave, and severance gratuity. The commission felt that a cut in salary would not be a bad idea.

To assuage the feelings of Nigerians who objected to fuel subsidy removal, President Goodluck Jonathan had also proposed a cut in the salary of the executive by 25 per cent. He

•Senate President David Mark

also promised to trim down foreign trips and entourages.

The move was a delayed response to proposals by the Presidential Advisory Council (PAC) chaired by LtGen. Yakubu Danjuma. The committee had advised President Jonathan to reduce the number of ministries from 42 to 18 and fuse together the non-ministerial agencies to avoid overlap, duplication and redundancy.

However, the President said that the idea of limiting the cabinet size was contrary to the constitution which stipulates that a state should be represented in the Federal Executive Council.

Civil societies have picked holes in the budget, alleging wastage. The Executive Director of Socio-Economic Rights and Accountability Project (SERAP), Tokunbo Mumuni, said certain questionable priorities, which underline the wastage, should be removed from the budget.

He said, at a time poor Nigerians lacked water, electricity, and quality schools, budgetary proposals should reflect national soberness. “The President should show strong political will by cutting down some allocations contained in the budget. These include N13 billion for local and international travels, N45 billion for stationery, magazines, newspapers; N17 billion for vehicle maintenance and furniture, N5 billion for training, N4 billion for generators, N9 billion for refreshment and meals, N2.5 billion for computer software, and N27 billion for research and development.

Religious leaders who expressed worry at the high cost of governance have also supported a drastic cut in emoluments for appointees. At its last synod in Akure, Ondo State capital, the Anglican Church, blamed the inability of some state governments to pay the new minimum wage on the expansion of government structures.

The Bishop of Akure Diocese, Rev. Michael Ipinmoye, who read the church’s communique, lamented that the cost of governance in Nigeria is the highest in the world.

Apparently titling support towards part-time legislature, the cleric said that legislators’ salaries should be

‘When a rising proportion of government budget, at whatever level, is used to support the administrative structures of government, poverty is bound to be pervasive as economic growth slows down or even stagnates ... If we assume that government is a firm with output measured in GDP, then, it would not be difficult to see why the cost of production(measured here as cost of governance) seems to have risen over time’

•Reps Speaker Aminu Tambuwal

based on the number of times they sit, instead of drawing salaries as fulltime workers.

Some critics have drawn a connection between the high cost of governance and corruption. In fact, former Vice Chancellor of Ahmadu Bello University (ABU), Zaria, Prof. Oladipo Akinkugbe, who delivered a lecture in Akure recently titled: “Of stated goals and proven performance”, challenged the presidency and state governments to reduce drastically the cost of running government in order to effectively reduce corruption. The eminent scholar observed that when the large chunk of public money is consumed by political appointees, it is difficult to allocate resources judiciously to critical areas of development.

Cleric and politician, Pastor Tunde Bakare, who objected to the leakages in government, said Nigeria should go back to the past for lessons on governance. He established a relationship between the men of the old order and their latter-day successors, submitting that discipline, morality, ethics and principle have become outdated virtues in politics.

In his view, avarice and perception of the corridor of power as a veritable avenue for private accumulation have drawn the country backward. He queried: “How many politicians today can claim like Papa Ajasin that he entered Government House with the same sets of clothes and left with the same set of clothes or that he went in with the same assets that he left with?”

Instructively, Awo, who never lived in Government Quarters, had admonished his associates in government not to embrace the lifestyle they could not sustain outside office. Falae, who maintained that cabinet system is better than the executive presidency, recalled that Awo achieved that frugality and financial discipline because of the system of government in operation.

He stressed: “Under cabinet system, ministers come from the parliament. Therefore, the number of people that will make the cabinet is already pruned down. The Presidency is ceremonial and the Prime Minister, and premiers, who are the chief executives, are appointed from the parliament. They do not spend much before getting there and there is no mad rush to get the money back. If there is a national conference, we will re-open this option for debate among the ethnic nationalities. it is more efficient”.

THE NATION MONDAY, MARCH 12, 2012

18

POLITICS

‘National Assembly can’t write new constitution’

Belgore: Kwara ‘ll be liberated

K

National Summit Group (NSG) Secretary Tony Uranta spoke with EMMANUEL OLADESU on the activities of the ‘Summit Steering Committee’ set up to prepare the ground for a ‘Peoples Conference’.

T

HE Senate President recently said that the NSG should have routed its demand for a national conference through the National Assembly it is the constitutionally recognised representatives of the people. What is your reaction?

The Senate President is a friend of mine; I respect him a lot, and I empathise with him. Nobody likes to feel threatened. Right from the 3rd national assembly, it has become clear that there will be resistance from elected legislators in Nigeria whether local, state or federal level to any attempt to convene a sovereign national conference. They feel threatened that if you say “sovereign”, you are removing sovereignty from them?

True, we elected them to represent us the people. They are, thus, in a sense custodians of some of that sovereignty that ultimately resides in the people. However, they do not hold all of the sovereignty because it is broken up in different portions. In Nigeria, sovereignty resides on three levels, starting with local government, then the state and lastly the nation. Every citizen has surrendered a measure (not all) of sovereignty to each tier of government.

The basic thing the National Assembly has failed to understand what an SNC would mean, just as they failed to understand the essence of the freedom of the information bill when it was being pushed for over nine years, and they resisted it so strongly because they were ignorant of the essence, value and impact it will have on them as individual or as a body or bodies. In like manner, they are also apparently not knowledgeable about what a Sovereign National Conference would mean.

The people of Nigeria will not by having a National Conference be attempting to remove their allowances and their perks of office.

Why can’t you carry the National Assembly along?

The truth is that the National Assembly members were elected to create laws and oversee the implementation of executive policies and programmes in line with those created laws. However, the constitution of a country is not a law. The National Assembly does not have the power to create or write constitution.

What they are now saying is that, let us keep the 1999 Constitution, which really is a decree masquerad-

ing as a People’s Constitution, and try to tinker or amend it. But what the Leaders at the Dialogue decided is that we need a genuine People’s Constitution that will be birthed by a Peoples National Conference.

What we are proposing is that the peoples of Nigeria should come together and decide the modus Vivendi [how we want to live together as one Nigeria]; and this is not my proposal because whilst a few of us recognised that a Peoples National Conference is necessary, we realised that we could not sit down in our own small corner and make that decision for 160 million Nigerians. But when an Olu Falae is speaking, a Frederick Fasheun is speaking, we must agree that, to a large extent, the Southwest is speaking. When an Audu Ogbeh is speaking, the Middle-Belt is speaking.

When a Balarabe Musa and Mahmud Othman are speaking, the North is speaking. Forget about the rudeness of Dr. Junaid Ibrahim who used such uncouth words as “Balarabe Musa is a nobody”, don’t you wonder at such words?

Many felt that the northern part of the country was not well represented at the summit. Has that not affected the outcome of the summit?

If you look at the attendance sheet, we had over 40 leaders from every zone of Nigeria except the NorthWest and North-East zones which were not represented as we would have wanted them to be; and this is understandable because the first day of the summit was the birthday of Prophet Mohammed ( peace be upon him), it was Eid-el-Maulud day. In fact that the two zones had a lot of Christian Leaders present, and the fact that prominent Muslim Leaders from the two zones, including Mallam Nasser Kura, Mallam Mahmud Othman, Sheikh Abdulrahman Ahmed, Alhaji Balarabe Musa, Alhaji Shettima Yerima, Alhaji Suleiman Yerima, could come, even on this day of importance to our Muslim brethren, meant this summit was considered important enough by them.

The most important thing is that those northern leaders made their positions known. They spoke as I expected every Nigerian to speak: they spoke for their people; but don’t forget that this was not a national conference; it was like a preliminary class in the university. Bombs are exploding in market places, in churches, in schools…in fact, even you are not

•Uranta

sure that as a human being and as a reporter, if you go to cover a crime beat in the police station in the north, of leaving safely…even the policemen’s lives are endangered; and as bad as we complain the police is, take them away for just one day, you will know that they are a very useful crime-deterrent force.

The people of Nigeria will decide whether or not this conference should be sovereign. It is theirs anyway! You don’t give the people sovereignty because it’s theirs. So, I am not waiting for President Jonathan, Senate President David Mark or House Speaker Tambuwal to give any recognition or confer legitimacy on a Peoples’ National Conference; but, we wish they will also join in convening it, when the NSG Steering Committee advises us on what the modalities are to be for the Peoples’ National Conference.

Could you shed light on the activities of the of the steering committee set up by the summit?

All I can say is that they have held an inaugural meeting, but their work is not going to be in the public eye. The Committee is made up of eminent Nigerians like Ralph Obioha, Olu Falae, Alabo Graham Douglas, Obong Attah, Balarabe Musa, Tunji Braithwaite, Shehu Sani, and John Nwodo among others. They started meeting last week and at the end of 30 days we will publish the structures and positions. They will do a lot of consultations at different levels. Government will be involved, we believe.

We have decided to hold a national conference, so, their job is to work out when, where and how. And you know that whilst ‘when’ and ‘where’are easy to know, the ‘how’ aspect of it is very difficult. Because it involves creating structures, sourcing finance, making sure we retain independence? For example, the last Dialogue was mainly funded by a group of young men who do not like their names to be mentioned. Some of them individually put in as much as N5 million.

•Jigawa State Governor Sule Lamido and his Kano State counterpart, Dr. Rabiu Musa Kwankwaso, at the Northern States Governors’ Forum meeting in Kaduna.

WARA State Action Congress of Nigeria (ACN) governorship candidate in the 2011 election, Mohammed Dele Belgore has reiterated his committed to the struggle to liberate the people of the state from the shackles of poverty, oppression and bad governance.

Belgore, a Senior Advocate of Nigeria (SAN), told reporters in Ilorin, the state capital, that, while he and his party have accepted the verdict of the Supreme Court, which dismissed their petition against Governor Abdulfattah Ahmed, “our struggle to liberate our state continues.”

With him at the briefing were top ACN chieftains in the state, including his running mate, Engineer Joshua Adeyinka, ACN National Publicity Secretary, Alhaji Lai Mohammed;,and the party’s chairman in the state, Mr. Kayode Olawepo.

His words: “You are all aware of the Supreme Court’s decision on the 6th of March, which dismissed our appeal against the election that was held on April 26, 2011. The Supreme Court’s decision was not that there were no irregularities, but that, in its own view, the irregularities were not substantial enough to have affected the outcome of the election.

“The Supreme Court is the highest court in the land, it has spoken, and we cannot question its decision.

There is no further right of appeal to the Supreme Court’s decision so, in the circumstance, we accept its decision.

“While that decision therefore brings an end to the legal challenge that we mounted against the election of Alhaji AbdulFattah Ahmed as Governor of Kwara State, the agitation for good governance and the struggle for liberation of the people of Kwara continues.

“Our cause continues. All our efforts move full steam ahead.

We have spoken with our supporters and our party members, and we told them, and they themselves realise that the real work

By Jeremiah Oke

has just begun.

“And that work is not done until we get the Kwara State that we all yearn for, which is a state where people are economically empowered, a state that belongs to all and not to a few, a state where basic infrastructure are not lacking, and a state which we can all be proud of.

“That is our primary objective. That was the basis upon which we started this struggle. It was never about Mohammed Dele Belgore or about Engineer Adeyinka or Alhaji Lai Mohammed or anybody. It was always about the people, and the people’s needs have not changed.

“The people’s concerns have not been addressed yet, and we shall not stop until that has been done. Well, as you know, the propaganda machine will come out and say all sorts of things. They will try to discredit us.

“We will take that in our stride, and move on. The most important thing is that the struggle for freedom, economic empowerment and social justice continues. It does not end with the Supreme Court. It continues. I will continue to be at the forefront of that. I shall not relent until that cause has been achieved.

So, with all your support, we will fight the cause. We thank you very much.”

•Belgore

Ondo oil producing communities marginalised, says aspirant

A

CTION Congress of Nigeria (ACN) aspirant in Ondo State Felix Rawa has objected to the alleged marginalisation of oil producing communities in the state, stressing that only his party can adequately bring development to the far-flung costal areas.

He said he would bring the plight of Ilaje to the front burner and restored their lost sense of belonging, if elected as governor in November. The businessmanturned politician spoke with reporters in Lagos.

In the race with Rawa are Mr. Wale Akinterinwa from Ile-Oluji, Tayo Alasoadura and Olorunnimbe Farunkanmi from Iju/Itaogbolu, Olu Agunloye, Robert Boroffice, Tunji Abayomi, Joseph Ajatta, Saka Lawal and Gbenga Abraham from Akoko, Anifowose, Jamiu Ekungba, Segun Ojo, Awodeyi Akinsehinwa-Apata from Owo axis, and Rotimi Akeredolu.

Rawa, a product of the University of Lagos, fired salvos at Mimiko Administration, alleging that he has neglected the oil-rich communities. He said next year would definitely be a terminal year for the administration, adding that the people should brace up for change.

The aspirant added: “There is nothing like the power of incumbency in Ondo State. Labour Party was nothing, yet, it defeated PDP. It was the AC that supported LP

By Emmanuel Oladesu Deputy Political Editor

to win. Now that ACN is contesting, you should know that an end has come for Labour Party. There is no way Mimiko can escape defeat in November”.

Rawa said justice demanded that the governorship should be zoned to the South District so that an Ilaje can take the slot. He debunked insinuations that Ilaje people in ACN were actually interested in the deputy governorship, stressing that oil communities would never play the second fiddle.

He added: “It is obvious that only Ilaje local council is producing crude oil in commercial quantity. This has resulted into brutality of our ecological system. Our water has been polluted; our source of livelihood, farming, has been utterly devastated. Our people are now jobless. This is due to the exploration and exploitation of crude oil from our land, both offshore and onshore.

“All successive governments are indifferent to our plight. As the only peaceful local government in the Niger Delta part of Nigeria, our peaceful nature has been mistaken for stupidity. Ondo State relies on oil for survival. We are oilproducing communities, but there is nothing to show for it. Our people are impoverished by successive governments. ACN government will redress the injustice”.

THE NATION MONDAY, MARCH 12, 2012

19

EDITORIAL/OPINION EDITORIAL FROM OTHER LAND

COMMENT

Settlement for the Gulf

Not quite •World Bank’s figures on poverty in Nigeria do not reflect the reality

J

UST as it has become fashionable for the World Bank to routinely pronounce on the status of economies worldwide, the bank last week released a rather startling report suggesting that the standard of living in Nigeria, as indeed other sub-Saharan African countries improved slightly for the first time since 1981.

It claims that although 47 per cent of the population of sub-Saharan Africa still lived below $1.25 a day, the $1.25-a-day poverty rate had actually fallen by 10 percentage points since 1999.

That, obviously is nothing to cheer. To start with, we doubt that the World Bank statistics or any of those figures routinely rolled out on the phenomenon, can ever capture the dimensions of poverty and unemployment in sub—Saharan Africa

‘The failure to convert the benefits of oil earnings to expand and diversify the base of the economy through massive investment in infrastructure is clearly at the root of the morass.

When wisdom dictated investment in infrastructure, the last decade has seen rapid expansion in the bureaucracy at all levels and their associated costs. The consequences have been the shrinking real sector and unemployment now said to be at its highest levels ever’

in any appreciable sense. Of course, there are those who would regard the findings by the bank as spurious, given what appears as a contrary picture painted by the National Bureau of Statistics, NBS. According to NBS, whereas in 2004 the percentage of Nigerians living in poverty was 54.7 percent, in 2010 the percentage moved to a frightening 60.9 percent – despite a growth streak at steady seven percent!

But then, it requires some deep thought to appreciate the reality which underlies the World Bank figures. If we interpolate the growth figures that has been bandied about in the last decade with the poverty trend also during the period, the picture comes starkly revealed. It means simply that poverty, (using the $1.25-a-day threshold), has dropped by a mere 10 percent in the entire decade. It means that for the seven percent growth recorded annually, a miniscule fraction, actually less than one percent, is lifted out of poverty during the same cycle.

It comes back to the same dreary conclusion: the so—called growth has neither percolated down to those at the bottom of the society, nor benefitted the larger majority. It reflects in the phenomenon now referred to as non-inclusive growth.

The situation is obviously best explained by the fact that crude oil remains the chief driver of growth. In swelling the national kitty, it presents the nation and no less, the unwary citizen, with the illusion of growth. The other half of the pic-

ture is reign of contraction unleashed on the real sector, no thanks to the parlous infrastructural situation.

The failure to convert the benefits of oil earnings to expand and diversify the base of the economy through massive investment in infrastructure is clearly at the root of the morass. When wisdom dictated investment in infrastructure, the last decade has seen rapid expansion in the bureaucracy at all levels and their associated costs. The consequences have been the shrinking real sector and unemployment now said to be at its highest levels ever.

As always, the antidote to the scourge of poverty is massive job creation. Here again, we say that there is nothing magical about this. Jobs are best created when the environment is made right. It goes right back to the question of the state of the nation’s infrastructure and how this inhibits entrepreneurship.

A good way to start the journey to deepen the economy, as against poverty, is to fast-track the process of opening up the economy through massive investment in vital infrastructure. A good step in this direction is to reverse the current preponderance of recurrent over capital estimates in our budgets, to free more resources for development. It is also time to invest more in education and skills acquisition without which a good number of our hordes of idle youths will never be able to avail themselves of even the limited opportunities available.

One billion points of light •Dangote’s N1 billion donation to varsities is generosity in the right direction

T

HE power of education in transforming a nation is perhaps the most rarefied in the hierarchy of qualities that turned ordinary countries to extraordinary. Even in Nigeria, the heights that individuals and institutions attained in the 1970’s and 1980’s derived from the preponderance of talents who benefitted from a policy on education.

The Western Region under the premiership of Chief ObafemiAwolowo ignited the brilliance with his free education policy that was imitated in varying degrees of imperfection by other regions. The undeniable result was a robust flowering that we envy today, and that explains the recourse to memory in the southwest, where an integrationist agenda is underpinned by an emphasis on the quality of mind.

One man has lent his elan to this newfound energy. He is Aliko Dangote, and he has done it under the aegis of his octopus enterprise, The Dangote Group.

Last week, his company announced a donation of N1 billion to some Nigerian universities. According to the breakdown, the Katsina State University will gulp a sizeable share of the bounty with N200 million. A sense of home also informs this generosity and the lion’s share of N500 million goes for the development of the Bayero State University Business School in Kano and an unannounced sum for the construction of a 500-student capacity hostel complex of the University of Science and Technology in Wudil.

The University of Nigeria, Nsukka, will get N118 million for the squash complex project and N50 million to the University

of Port Harcourt.

He has also put a flavour of politics with the donation of N100 million for the takeoff of the proposed Otuoke University located in Bayelsa State. President Goodluck Jonathan will take notice as it is in his home village. The Dangote Group also unveiled plans to introduce an academy for special training of graduate engineers.

Not since the era of the late Chief M.K.O. Abiola have we witnessed the gusto of a philanthropist for education at the university level in this country. The effort of Dangote deserves profound adulation in the context of the mania by the Nigerian rich to either stash away their ill-gotten or deserved wealth in the labyrinth of the international financial system, in obscure accounts in the guises of names not theirs, or in the vanities of parties in the exotica of foreign lands and in choice properties. The recent disgraceful episode of former Delta State Governor, Chief James Ibori, with extravagant mansions in tony places in England emphasises this point.

What Dangote did cannot bring us the educational bliss we seek, but last week was an inspirational moment. It was also a hint of the potential of the rich to rise above their obsession with ego and crass materialism by translating profligacy to philanthropy.

Again, his efforts only addressed universities. The most critical part of educational development is at the primary level where the minds are malleable and receptive. The United States, facing an onslaught from China, has decided to take

a fresh and vigorous look at its educational system at that level. The Western Region under Awolowo focused on primary education as well.

The other wisdom we can glean from Dangote is that many of our rich can assure themselves immortality from their donations to education. We sometimes think that naming streets and grand avenues after our names grant such status.

Street names stoke egos but never ennoble the world. We hear of Rhodes Scholars and MacArthur Foundation in education because of the minds and destinies they make. That is what the Dangote effort is all about. We hear that this announcement is a dress rehearsal for bigger and grander one for humanity at his birthday on April 10. We wait with bated breath.

‘The effort of Dangote deserves profound adulation in the context of the mania by the Nigerian rich to either stash away their ill-gotten or deserved wealth in the labyrinth of the international financial system, in obscure accounts in the guises of names not theirs, or in the vanities of parties in the exotica of foreign lands and in choice properties. The recent disgraceful episode of former Delta State Governor, Chief James Ibori, with extravagant mansions in tony places in England emphasises this point’

T

HE proposed multibillion-dollar settlement between BP and individuals and businesses hurt by the 2010 oil spill in the Gulf of Mexico is a welcome development. If a federal judge grants final approval, it could spare both plaintiffs and the company a lengthy legal battle with uncertain outcomes. It is also further evidence that BP is willing to pay serious money to atone for its errors. Now it needs to show a similar willingness to meet its obligations in pending suits aimed at assessing civil and possibly criminal penalties for environmental damages.

Under an agreement with the Obama administration, BP put $20 billion in an escrow fund to compensate shrimpers, motel owners and hundreds of thousands of others whose livelihoods were damaged by the spill. Kenneth Feinberg, who administered the fund for the last 18 months, has awarded $6.1 billion to 225,000 claimants. Under the settlement, the court would take over for Mr. Feinberg. BP estimates that it will pay an additional $7.8 billion to more than 100,000 additional claimants.

Claimants will still be able to opt out of the scheme and sue BP separately in court. But, as before, the hope is to get people to settle, not litigate.

Next are federal claims for environmental damages. BP is liable for natural resource damages and penalties under the Clean Water Act. The penalties could cost the company $1,100 for each of the 4.9 million barrels of oil it spilled and $4,300 a barrel, or more than $20 billion altogether, if the Justice Department can prove gross negligence.

The department must seek the best possible deal from BP, brandishing the possibility of a long, nasty trial and a possible conviction for gross negligence.

BP appears eager to put this disaster behind it, so now is the time for the Justice Department to push and push hard.

Congress must also ensure that this money is used to carry out a broad program of restoration in the gulf’s fragile ecosystem: the wetlands and barrier islands that had been dramatically weakened long before the spill by miles of oil and gas pipelines, misguided levee building along the Mississippi River and Hurricane Katrina.

Unless Congress specifically directs the penalties to restoration, the money will flow largely to the federal Treasury and disappear in the general maw.

– New York Times TRUTH IN DEFENCE OF FREEDOM Managing Director/Editor-in-Chief Victor Ifijeh • Editor Gbenga Omotoso •Chairman, Editorial Board Sam Omatseye •General Editor Kunle Fagbemi •Editor, Online Lekan Otufodunrin •Managing Editor Northern Operation Yusuf Alli •Managing Editor Waheed Odusile

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•Deputy Editor Lawal Ogienagbon

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•Deputy Editor (News) Adeniyi Adesina •Group Political Editor Bolade Omonijo •Group Business Editor Ayodele Aminu •Abuja Bureau Chief Yomi Odunuga •Sport Editor Ade Ojeikere •Editorial Page Editor Sanya Oni

• Gen. Manager (Training and Development) Soji Omotunde •Chief Internal Auditor Toke Folorunsho •Senior Manager (sales) Akeem Shoge

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THE NATION MONDAY, MARCH 12, 2012

20

9EDITORIAL/OPINION

S

IR: I have been following the diplomatic row between Nigeria and South Africa and the various comments from different quarters. So many, including eminent Nigerians skilled in international relations, have applauded Nigeria’s reaction to the recent deportation of 125 Nigerians from the Oliver Tambo International Airport in Johannesburg over alleged fake yellow fever certificates. As much as I would say they are in order, my own position on the crisis may be slightly different.

The Nigerian Government may seem to have gotten its head out of the sand for now, but for how long would that last? Does South Africa even consider Nigeria serious enough to tender an apology? I don’t think so.

The tales of ill-treatment of Nigerians in South Africa are not particularly front-page news. It is a known fact that South Africans are xenophobic

S

IR: I would have refused to comment on the recently concluded trial of James Onanefe Ibori, the governor of Delta State between 1999 and 2007 where he sensationally admitted to crimes of fraud, money laundering and corruption but for the attempt of his spokesman Tony Eluemunor to trivialize the issue of his conviction.

While I do not have issues with Tony defending his paymaster, it will be a tragedy of the highest order for him to make mockery of the enormity of the issues at stake.

To appreciate what we are talking about here, the amount suspected to have been stolen is about £250, 000, 000.00 (Two hundred and fifty million pounds) that is approximately N 66, 250, 000, 000.00 (Sixty six billion two hundred and fifty million naira only). That is the amount stolen by one person in that state. I guess Ibori never thought a day will come when he will have to answer to his crimes and as such he has always played his cards quite well by aligning himself with the ruling people to stave off prosecution and live an opulent life with the common patrimony of the Delta people.

But he forgot that the God of the poor people will avenge for them.

In order to appreciate the criminality of this man, we need to bring to the fore what he did with the money. According to Daily Mail of United Kingdom,

EDITOR’S MAIL BAG SEND TYPEWRITTEN, DOUBLE SPACED AND SIGNED CONTRIBUTIONS, LETTERS AND REJOINDERS OF NOT MORE THAN 800 WORDS TO THE EDITOR, THE NATION, 27B, FATAI ATERE ROAD, MATORI, LAGOS. E-mail: views@thenationonlineng.net

Our government, not South Africa is to blame towards Nigerians and many atimes they had gone as far as murder. There was even a time Nollywood was awash with films depicting the gory details. All along, the Nigerian Government has done more of barking than biting, giving the South Africans more bravery to continue in their utter disrespect for Nigerians.

It is a thing of shame that Nigeria talks about helping South Africa surmount apartheid, but what has Nigeria done for itself since then?

Nigeria prides itself as the giant of Africa because of the size of its

military and the money it throws around while its own citizens languish in poverty. Nigeria is like a big brother who does everything for everybody and nothing for itself. South Africa currently ranks among the top 15 economies in the world, where is the so-called big brother? Nowhere! It is good to encourage foreign investments, but better to empower local investors.

Nigerians patronise South African companies more than South Africans.

Over 41.10 million Nigerians are currently

subscribers of MTN as against the 28.8 million subscribers in their own country. DSTV, another South African business concern, is the satellite TV with the highest number of subscribers in Nigeria.

Nigerians presently pay 10,800 naira for full subscription while in South Africa R559 is paid.

Converted to Naira, this is N8,385, a difference of N2,415. What has the Nigerian government done about this? Instead we hear stories about how MTN dishes free airtime, phones and SIM packs to them,

Ibori: the shame of a nation when millions of Deltans do not have homes to call their own he bought a £2, 200, 000.00 (N583, 000, 000.00) house in Hampstead, North London and another house worth £ 3, 200, 000.00 (N 848, 000, 000.00) in Dorset, South Africa. When Deltans do not have mass transportation, he bought several armoured Range Rover SUVs valued at £600, 000.00 (N159, 000,000.00) apiece, a Bentley at £150,000.00 (N39, 750,000.00), a Mercedes Maybach £ 300, 000.00 (N79, 500,000.00). And then he

bought himself a £12,000,000.000 private jet (N 3, 180,000,000.00).

When almost 80% of Deltans live below $2 in a day, Ibori spent £ 126,000.00 (N 33, 390,000.00) in a day.

Yet we have thousands of Deltans who have died of curable diseases just because their governor stole their money, people who died on the roads because they were not motorable, people who couldn’t go to school because they could not afford school fees; the crimes he committed against his people are

crimes against humanity.

Mr. Ibori through his spokesperson cleverly avoided the issues of his earlier conviction in London that made him ineligible to contest as governor in Nigeria because the constitution of Nigeria is very clear on that, that an ex convict cannot aspire to any elective post in Nigeria. I remember clearly that Gani Fawehinmi fought this same case to the Supreme Court of course; he lost because nobody gave him any support to remove a criminal from such an elected

BRF’S magic touch at Abule-Egba

S

IR: Let me use this medium to eulogise the amiable Governor of Lagos State, Babatunde Raji Fashola and his Commissioner for Environment, Tunji Bello for their magic touches all over the nooks and crannies of the state.

These gentlemen and stars in the political firmament of Lagos and Nigeria are to me the calibres of individuals the Yoruba refer to as “Sogbe digboro, saatan doja” (one who transforms filth to beauty).

Those familiar with Abule-Egba junction, where all manner of garbage are the signposts that welcome people would not be surprised by this eulogy. All you see here then were brokendown vehicles, yam rosters, pure water sachets, destitute taking shelters under make-shift houses and most of all, noises of commercial drivers shouting at the top of their voice to call passengers.

The junction was an eyesore and danger to the environment and health of the people.

Today, the descriptions and experiences above have become history with the intervention of the state government in its desire and aspiration to make Lagos a truly urban environment for

conducive social and economic advancement and joy of the populace.

A visit to the place today is a new story, because one is now confronted with a beautiful park/garden-AbuleEgba Triangular Garden with a well and neatly fenced triangle adorned with green beautiful flowers/fields to the admiration of all.

A long time visitor to the area will no doubt mistake the place for another location if not properly guided.

The project which is nearing completion has given a real facelift and beautification to the place; in place of the ever present stench of human wastes, disorderliness and presence of area boys/thugs in the recent past.

Definitely, such kind of transformation of Abule-Egba junction triangle can only be conceived and delivered by a truly focused governor and a well grounded lieutenant of a commissioner in a state like Lagos.

• Olufemi Idowu 44, Ekoro Road, Abule-Egba, Lagos.

buying their already seared conscience in the process.

The country seems never to have gotten anything right. It falters and otters like a baby learning how to walk, but one would think that after all these years it should have perfected its walking skills. At over 50, it is still learning to walk! If it were a human being, it would have been consigned to the home for the physically challenged.

So do not blame South Africa; blame our greedy government, who is like a mother that does not provide for her kids only to let them wander off in search of livelihood.

Our so-called leaders in government are the ones who have insulted us for far too long, not South Africa. South Africa is just telling us that it is time to make them pay!

• ‘Dimeji Daniels Ado-Ekiti, Ekiti State.

position. It is a shame that it took the Metropolitan police to get that out.

Thank God for the United Kingdom government who fought this battle on behalf of the voiceless people of Delta State and also it is a great indictment on all of us that a foreign country will be the one fighting our corruption case for us.

The same case was thrown out by Justice Marcel Awokulehin of the Federal High court in Asaba acquitting this criminal of all the charges against him. I hope the National Judicial Council will take the matter up and query that judge on how he arrived at that verdict.

Another shameful act of all of these is that the UK government was more interested in the case than the Nigerian government. It is not the UK’s government money that was stolen in fact it pays them better to keep the money in their country to earn tax and use the money for their economy but the Nigerian government is rather interested in face saving than an all out war against the corrupt in the system.

I hope what the Economic and Financial Crimes Commission said that he will be tried when he comes to Nigeria and all his accomplices will be done, and just like the UK government said that they will repatriate all his confiscated properties to the original owners – the Delta people.

• Olumuyiwa Ayoola Palmgrove, Lagos.

21

THE NATION MONDAY, MARCH 12, 2012

EDITORIAL/OPINION

Unstoppable transformation roadmap

M

ORE and more, the right spirit and feelings behind regional integration for revived development and restoration of greatness is catching up on the people of South-West. But as expected, opposition to great ideas that are meant to benefit the masses are also arising in disguise.

To actualise the significance and seriousness of the transformation project, after the executives in the region had met and agreed on a collaboration agenda, The Nation newspaper, in conjunction with Ceedee Resources some few weeks ago, organised a successful legislative summit on regional integration in Ibadan. Last week, Afenifere Renewal Group (ARG) followed up with the public presentation of its Development Agenda for Western Nigeria (DAWN) publication.

So far, responses to the reports of the meetings indicate one thing: a consensus on the timeliness of the concept to deliver a hitherto progressive region from truncated development and restore its lost glory. Every opportunity is being used to recollect the South-West well-heeled socio-economic heritage: the base of the first television station in Africa, first modern stadium in Africa, first skyscraper in tropical Africa, free universal education and primary health, among the leading cocoa producer in the world...and many more, all under the leadership of the late sage, Chief Obafemi Awolowo and his Action Group party. In Papa Awo’s time, there was no dependence on federal allocation largely emanating from oil resources. The funding of the party’s agenda was purely on internally generated revenue, mainly from the thriving agriculture sector that also gainfully engaged the bulk of the populace.

The Western Region’s headstart over other parts of the country was indisputable. Yet, even as Papa Awo was never allowed to be in power at the centre, the region under his reign became the envy of others, including those dominating the federal power and common purse. However, over time, the campaign of becoming part of the centre crept in and the wrong heads started assuming the undeserved position of leadership of a politically progressive people. That was the beginning of the region’s developmental downturn. As one of the analysts put it, the re-tagged South-West geo-political zone eventually lost its pace-setting track.

Last week, a friend called from Ekiti State urging me to read Ondo State Governor Olusegun Mimiko’s interview in the Sunday Tribune, especially the aspect of his view on the regional integration issue. I did. While the governor says he

T

HE status of the aviation ministry has recently come to the front burner and has become an issue of discourse in the public domain. It was just most recently given hype by respected members of the Aviation Round Table (ART), a pressure group of professionals led by Capt. Dele Ore, a lawyer and pilot. Capt. Ore, a retired DC10 pilot and one time Director of Flight Operations of the liquidated Nigeria Airways, told aviation correspondents that the Ministry of Aviation should be scrapped and its functions transferred to the Ministry of Transport.

This position of Aviation Round Table, as advanced by Capt Ore, was hinged on certain premises. Aviation Round Table argued that in most developed countries, aviation is in transportation ministries, under which professionals are appointed to man aviation schedules and Nigeria should not be different.

The ART pointed out that both ECOWAS Parliament in 2000 and Vision 2010 had both recommended the scrapping of the ministry and that the transport ministry should supervise aviation.

ART further contended that professionals and aviation sector agencies should be left to manage aviation and that our airports should be privatized.

To further reinforce its position, the ART compared the ministries of information and communications which were merged in 2007 with transport and aviation and concluded that because the former has worked, the later should work.

On a face value, the proposal is in line with what exists in many countries where aviation has advanced remarkably to global standards, such as US, UK and other European Union states as well as in smaller countries with smaller populations and little or no strides in the aviation sector. But nations in emerging markets like India with vast population and ambitious aviation development programmes find it expedient to maintain a highly functional, purposeful and focused ministry of aviation to drive their ambitious programmes.

In fact, India is rated as probably the most focused in aviation development, globally.

Virtually, in all ramifications, from airport development to concessioning, aviation policy, airline development as well as manpower development, India is ahead of Nigeria in the aviation sector and is a classic example of the right focus for emerging markets like Nigeria.

believes in the idea of integration basically, and agrees on leveraging on the potentials of the states within the region, he detests its being made a political issue. Of course, his position is understandable. Being in the Labour Party, he might be finding it uneasy buying into a concept originated by the regional dominating Action Congress of Nigeria that is thrilled for a change. Barely two days after, his representative at the DAWN presentation betrayed his fear. It was as if he was sent for a critical review and condemnation of the published ARG agenda.

Chief Awolowo’s well thought-out political parties’ policies were the basis of his outstanding performances. Successful administration is hardly by chance; it is based on executed programmes that touch the lives of the people. This is to say that enduring legacies are products of implemented relatable agenda that the people key in to. For instance, if a focus were to be on education, what manner of education should be worked upon?

Talk of advancement in education in the days of Awo, it was the heart of his party’s agenda and the impact was evident in the calibre of leadership. Chief Omowale Kuye, the respected retired civil servant was specific about this in his presentation on reviving a viable past at the Ibadan legislative summit.

His words: “The viable past was when we had quality leadership. The leadership was educated. They were the best Nigeria had. It is not just the acquisition of degrees. It is not the kind of education which Boko Haram says is undesirable because our leadership has brought us retrogression in spite and despite their acquisition of superior and multiple degrees which are better than that of our founding fathers.”

Chief Kuye believes that the Western Region of old was not only viable, “it set the competitive targets for other two.” He recalled that the region was the first to start the free primary education programme by introducing the capitation tax of 10 shillings per adult. He also brought back to remembrance some of the region’s exploits: designing and building of Ikeja industrial estate, establishment of farm settlements for youths, establishment of Lafia fruit juice factory – all for the reason that the leadership was aware of what was essential for rapid economic viability.

The successful implementation was possible because of the opportunity of the leadership in power. The fear that a structure set up by a political party can be changed if another comes to power is true in Nigeria situation. But unfortunately, this has been a cause of developmental retrogression which no sincere leader should further encourage. If the people had in the past been tolerating what was responsible for their suffering in the midst of plenty, it might be suicidal taking the same trend for granted by the present generation of leadership as the people are becoming wiser and more sensitive.

The Peoples Democratic Party was in control of the SouthWest for eight years. Simply because the party has nothing to

offer at all levels, the remnants of political enlightenment came to work in the region as the party was swiftly swept off.

That is the truth. It also buttresses the reality that a serious political party cannot afford to be shy of executing its impactful policies.

The fact that the ACN governors are pioneering the idea of regional revival is not enough excuse to see a patriotic Yoruba leader in other political parties working against it so that ACN would not take the credit. A true leader should be more concerned with the welfare of the people and the development of the communities. While the transiency of power is an actuality, political differences should be downplayed and leaders should work together if a good idea is meant to become a reality. The South-West has so many things in common upon a genuine foundation towards sustainable development that would become too herculean for any ravaging enemy of progress to pull down.

What we are seeing is a beautiful intellectual regional developmental packaging that is barely waiting for actualisation. It is inspiring to understand that the regional collaborative agenda will bring forth alternatives to queuing up for oil revenue sharing. This means if the agenda is well executed, it might again become the template of development for other geographical zones as it was in the days of Awo. In the end, this beleaguered nation would be better for it.

The time to come together and re-build the regions is now.

The South-South and the north’s altercation over revenue sharing is a newly introduced diversion of the enemies of progress. When the West of old was not depending on oil revenue for development, the East and the North then also followed suite by building up agriculture and other internal resources to ensure survival.

The Almighty God who blessed the nation with oil could not have meant it to be for under-development. The dilemma of Nigeria’s poverty today is a result of mismanagement of opportunities and crass corruption of wicked leadership. If the self-inflicted economic trauma is not checked now, a time might soon come that the people will rise in all their might to deliver themselves from unworthy pains and agony of poverty.

‘The successful implementation was possible because of the opportunity of the leadership in power.

The fear that a structure set up by a political party can be changed if another comes to power is true in Nigeria situation’

Scrapping aviation ministry’ll be an ill-wind

By Chris Aligbe The Indian model is therefore closer to Nigeria than the US and UK models with decades of stabilized institutions and procedures in the aviation sector, or the ECOWAS States, with comparatively smaller populations and are yet to envision playing in the global aviation sector.

A deeper reflection on our transport sector will reveal a comatose sector that is problematic in every sub-sector. From road transport infrastructure, to archaic railway system, to a revenue- losing maritime sub-sector with its poor port infrastructure, processes and poor corporate governance, as well as very weak regulatory agencies, the transport sector is a story of an under-developed nation.

A similar look at the aviation sector is even more depressing. It is a sector that is suffering from, as it were, congenital infantilism. It has refused to grow and like a child, prefers to permanently sit on its mother’s lap. None of its sub-sectors has grown, let alone stabilize. From service provision to infrastructure, from airline operations to aviation policy and sectoral frameworks as well as regulation and corporate governance, the tale is one “full of sound and fury signifying nothing.”

No doubt, NCAA has done some redemption in the sector in the area of safety regulations and has left us with some pride. But a lot of the multidimensional regulatory issues, particularly economic and environmental regulations, remain unattended to. NAMA, NIMET, NCAT and APIB are all at their imago.

Our airports are a national shame, while there is nothing to beat our chest about in the airline sub-sector.

But for Arik, the only airline rated in Africa, in spite of its operational challenges, Nigeria would have no single representation in the airline sub-sector. All other domestic airlines are limping and crying for bail out. This is the picture of our aviation sector. One can therefore imagine the mega “wahala” of merger of transport and aviation under one ministry. The

result will be obvious immediate collapse of the two sectors or, at best, a worsening off of each.

It is also suggested by ART that when aviation goes under the transport ministry, professionals will be taken in to man the desks. All things being equal, this is what it should be. But where all things are unequal, as in our case, the proposal is a non-starter. One critical question to ask is where is the pool of professionals to draw from?

Today, the pool of highly trained, experienced and exposed professionals has dried up. After the ill-advised liquidation of Nigeria Airways which provided the pool of aviation manpower, no effort was made again to create a new pool.

As at now, in spite of the fact that age has cut up with the professionals of yesteryears, they remain the backbone of NCAA whose success is a factor of the input of returnee professionals.

From records available, none of the aviation agencies can boast of any record of robust manpower development over the years. The dearth of professional manpower is real and frightening. A check on CBN records will show that foreign manpower in the aviation sector has become not only a significant variable in airline economics, but also, is increasing in the percentage it contributes to capital flight in the sector.

A recent survey on aviation manpower indicated the following: there are not more than three experienced airline managers in Nigeria, who can be handed over an airline with a fleet of 10 aircraft to manage; not more than ten acquitted ground operations professionals; virtually non-existent marketers, airline and airport economists, pools commercial and bilateral professionals.

There are just about five aviation lawyers and only one exposed airport manager who can be handed over a modern airport to manage. Most recently, the owners of Skyway Aviation Handling Company Limited (SACHOL) – the

privatized Nigeria Airways Handling Subsidiary, had to go in search of a manager after three years of dwindling fortune. Finding none elsewhere, it had to call out of retirement, the best turn-around manager Nigeria Airways ever had in the ground handling business, Olu Owolabi, to manage it. Incidentally, Owolabi ran the outfit before Nigeria Airways was liquidated.

It is also the view of ART that all the airports should be privatized immediately. Positive and modern as this view is, the mandatory frameworks on which privatization should sit are not in existence. It is the absence of these frameworks that is the bane of all existing concessions in the aviation sector. It is equally due same reason that Public-Private Partnership (PPP) has not thrived and will not thrive in the sector. Again, in emerging markets, outright privatization is usually the last stage in the transfer of the commanding heights of sectors from the public to the private.

What the Aviation sector needs today is a very strong, well-focused and purposeful minister to drive a policy of positive revival that will once again replace all the worn-out, broken and disused live wires of the aviation sector so as to once again reconnect the sector to the “national grid lines” of the much advertised hopeful transformation of the present administration.

I dare say that the present Minister has so far shown all the traits required. The handling of Nigeria/UK BASA issue as well as the deft challenge of unreasonable air fares by foreign airlines, the on-going up- gradation of many airports and the plan for a new private-sector driven National Flag carrier, all support this position.

As Professionals who have left remarkable foot-prints in the annals of aviation, we should worry and canvass for the liberalization of the industry to enable easy entrance, and also proffer solutions to strengthen our domestic airlines beyond the sing-song of bail-out. Is it not time to drive the consolidation of domestic airlines?

We must proffer solutions to renew depleted aviation manpower. We must push for all the frameworks precedent to transformation as in the Power and Oil and Gas sectors; an Aviation Industry Bill probably.

Now is time for concerted efforts.

• Aligbe, an aviation consultant writes from Lagos

THE NATION MONDAY, MARCH 12, 2012

22

EDITORIAL/OPINION

I

N Plato Republic, Thrasymachus held the view that justice or right is nothing but the name given by men actually holding power in any state to any action they enjoin by law upon their subjects; and that all their laws are framed to promote their own personal or class interest. For him therefore, justice is what is in the interest of the stronger, ruling party.

The Marxian perspective of law, judiciary and civic structures also shares much in common with Thrasymachus’ postulation.

These philosophical and definitional issues will come handy in our understanding of some of the issues arising from the recent Supreme Court ruling in the petition filed by the PDP against the election of Governor Rochas Okorocha of Imo State.

The Supreme Court had struck out the appeal by the PDP for lack of merit.

But reacting to the judgment, former governor of Imo state, Ikedi Ohakim who ran and lost under the aegis of the PDP said he received the ‘judgment which came without justice’ with equanimity. The statement further averred ‘together with his great party, the PDP, he fought a good fight to prove that he won the Imo governorship election’ Wikipedia defined justice as a concept of moral rightness based on ethics, rationality, law, natural justice, religion or equity.

It would appear from both the definition of Wikipedia and our common understanding of the subject matter Ohakim must have had in mind another variant of justice when he claimed he received the judgment without justice. We draw this conclusion because events before that election till the conclusion of the case at the Supreme Court do not seem to bear his statement out. Rather, they are a direct opposite of that. Since his perception of justice appears to run contrary to our regular understanding of the issue, it is safe to presume that Ohakim’s concept of justice must either be the Thrasymachusian or Marxian variant. It cannot possibly refer to the justice whose meaning and purport everybody is used to. He must have had in mind that type of justice that is in keeping with what is in the interest of the stronger, ruling party. He did not receive justice possibly because the ruling did not strike a chord with the interest of the stronger, ruling party together with which he fought the battle to prove that he won. Or was he actually talking of poetic justice?

What are the issues? Here was a man who came to power through the benevolence of

P

OLITICAL power in Nigeria is more of might rather than right. As for might, it is the creation of the de facto right.

The seizure of political power leads to the establishment of authority which politicians exert against the people with brute force; coupled with primitive gathering of public funds for selfish ends. For them, the possession of power is just an end in itself and the question of comparing the extent to which they can modify events according to their own will becomes obscure and defective.

It is more pronounced when power seekers criminally mutate into position of authority and use the same power to oppress the citizenry that saw them through to power.

Little wonder that Hannah Arendt, a political scientist of 19th century posited that ‘‘power is never the property of an individual; it belongs to the group and remain in existence only so long as the group keeps together.’’ When we say of somebody that ‘‘is in power’’ we actually refer to his being empowered by a certain number of people to act on their behalf.

The fortifications of political sanity in Nigeria have been breached by the PDP and the barbarians now freely roam the streets within the country political power walls. They have faltered abysmally with the electoral promises they made to the mass of Nigerian people. At every turn, they are either grossly misinforming Nigerians about the state of affairs or they are overt misanthropes!

This borders on the deformity of our political system and experience. Modern day political liberalism is associated with ‘‘one person one vote’’ as promoted by Comrade Adams Oshiomhole detests political domination by a property owning elite and requires government to ensure that equal access to policy makers is a working reality as well as a natural right. But the thinking of PDP is different. They have borrowed a leaf from the fascist Italy under the repressive regime of Benito Mussolini – canvassing an abridged version of democracy based on the idea that only the ruling party – the PDP is capable of understanding the problems of the people while the ordinary citizens are incapable of understanding the great problem facing the nation! Mussolini believed in propaganda and brain washing for indoctrinating the minds of

Emeka OMEIHE 08121971199 email: EmekaOmeihe@yahoo.com

Issues from Imo guber verdict others. He neither printed campaign posters nor did he run any campaign. He was entrusted on the people by contradictions within the ruling party. But instead of seeing his curious emergence as a golden opportunity to serve and align himself to the people, he became swollen headed and arrogant. He carried on as if he was a superstar insulting the people and desecrating some of their revered institutions and traditions. At the level of performance, he was at best a colossal failure, grabbing all manner of bonds and loans without anything to show for them. The resentment was so palpable that before the April governorship elections, his foreboding fate was not in any doubt. And so it came to pass. The people of the state rose and resisted all attempts by him to use all instruments of the state including coercion to foist his discredited leadership on them once more. He boasted of his awesome powers of incumbency; a euphemism for everything that is not ennobling in the exercise of power.

He arrogated to himself the credit of the overwhelming votes given to Jonathan in the presidential election and boasted he was going to re-enact that feat in the governorship election. But the people of the state once again, rose in the ‘Otokoto’ tradition to sanitize their political land. They vowed they had taken enough of that nonsense from the Ohakim regime. In the debate organized for governorship candidates by the Catholic Church, he was booed severally such that he lost control of the situation resulting in a woeful performance. The outcome of that debate spoke volumes but he still trudged on in the hope that incumbency held the ace. To his greatest surprise, he saw himself losing

out before the Independent National Electoral Commission INEC cancelled the polls in four local governments due to acts of violence and declared it inconclusive.

Collated election results from the areas the election held saw Okorocha leading.

In the ensuing supplementary election, Ohakim lost out completely despite the high stake desperation with which he fought that battle of his life. The humiliation was so much so that he hurriedly issued a statement claiming that he had accepted his defeat in good fate and was not going to contest its outcome in the tribunal. He could not have contemplated it in the face of the rage culminating in the dismantling of anything that had to do with him within seconds of his defeat by angry citizens.

Surprisingly however, the same character was later to contrive a subterfuge through his party, the PDP to challenge the same election claiming shamelessly that they did not participate in the supplementary election. Apparently basking on the enormous powers of his party and convoluted conception that anything is possible in this clime including hook and crook, he told the tribunal that he won the April 26th election. He adduced evidence to prove that election took place in the four local governments INEC cancelled. They called witnesses to support their claims. Ironically, almost all the witnesses they lined up contradicted their claims that election held in those areas.

Based on these, both the tribunal and the Court of Appeal ruled that the balance of probabilities weighed against them on the following grounds:

The push for power in Edo

By Erasmus Ikhide the people. Unfortunately for the PDP, the abridgement refused to gain currency in Edo. In modern form, power, providentially, is concerned with which groups or persons dominate, get their own way, or are best able to pursue the general interests of the larger people in the societies. This explains the jostle at ‘capturing power’ in Edo State come July 14.

And those who profit from rumour mongering had thought that there will be internal implosion in the Action Congress of Nigeria, ACN in the state. The reason is simple: they want to benefit copiously from the shell of its crumbling edifice for the retention of the much sought after governorship seat. They want to acquire power for its comic effect.

The PDP have been angered by Governor Adams Oshiomhole’s concerted development within a short period of three and half years; exposing their lacklustre and hopeless corruption that attended their 10 years plus administration. Tarring of roads, even to the godfather’s house was more than daunting task they could not accomplish while the makebelief administration lasted. Edo people must be very careful in casting their vote. It will be unwise to vote based on emotion, especially anger on behalf of the godfather. It is always better to vote with the mind not from the gut; it is more prudent to vote in furtherance of majority’s objective interests than voting to impede them. We will be colliding with the danger that lurks around the corner by placing power in the hands of angry, ignorant people whose minds are capable of only one notion at a time – corruption.

They have been thumping their chests in delight that they will win July 14 governorship election since they have one thing going for them: ‘ability to rig elections’! More to the point; this is evident while Chief Tony Anenih, the godfather and ex-while chairman, PDP Board of Trustees made horrid public statement at a PDP campaign rally recently in Cross River State that Governor Oshiomhole

will be ‘chased out’ of Osadebe Avenue comes July 14. If it is convenient for the godfather to so assume, then so be it. Abstract thinking is a poor and dangerous substitute for the lesson of experience; more so that Governor Oshiomhole earlier shattered PDP rigging machine in 2007.

The evil the PDP mete to Edo people is not hard to phantom. They have been pouncing on Oshiomhole government as if the Edo people didn’t know where their bread is most lavishly buttered. The people are the real democratic push that brought about the infrastructural development that is being witness in every part of the state. They are no more ready to remain standing outside, noses pressed against the windowpane and watch PDP and their cronies drink and make merry inside the elaborate banquet hall of segregation.

Already, PDP is victim of its own misadventure in government and callous estimation on how an average Edo person reasons. They cannot see beyond their immediate goal of looting public treasury to understand why they are being rejected by the people. They believe themselves to be modern day Samsons bringing down the Philistine temple. Instead, they are modern day Philistines bringing down the institution of democracy and development most responsible for the actualization of nation’s greatness. They have gone to such an absurd length in pursuing power that they now stand in danger of the same power – forgetting the essence of it. They are like the obsessed doctor forcing a noxious elixir down the gullet of his struggling, uncooperative patient, then asserting, ‘‘you are going to swallow all this medicine even if it kills you.’’

It will be unimaginable for Edo people to allow these triflers to diminish the attained legacy under the stewardship of Adams Oshiomhole which has been building the state over the last three years. The people already

a) The fact that the results were merely tendered from the Bar, a la dumping b) Witness brought by the appellant contradicted the claim that the election did not take place in the areas where they testified on; yet that was the purpose of calling them. c) INEC that conducted the election and who should ordinarily defend the results honorably owned up to their invalidity and inconclusiveness in the affected local governments. d) Even the over 45,000 disenfranchised voters in the 243 polling units at which petitioner/ appellant confirmed that the election did not hold far exceeded the margin of leading score by which petitioner claimed to have won the election of 26th April 2011.

In the face of this overwhelming evidence against his spurious claims, Ohakim still had the effrontery to insult public sensibilities further by claiming that he did not get justice.

The question that this curious assertion evokes is what type of justice was he actually referring to? Definitely, he could not have been referring to justice in the fashion Wikipedia defined it. Perhaps, his notion of justice is of the Thraysmacusian variant that tallies with the interest of the stronger, ruling party and in this instance, the PDP. It is inconceivable that he could be taking of a denied justice when from all the facts of the matter he lost out even before the election was conducted.

If he knew he won that election why did he issue a statement congratulating Okorocha with a promise not to challenge the outcome?

Can we really trust such a character that says one thing and does the direct opposite? That is a man that wants to rule the state by all means when he knows he was roundly rejected even with the awesome powers he had then. Such a character does not wish the people of the state well. His motivation is vaulting and self-serving. These issues have been raised to underscore the point that Ohakim should be treated with ignominy in the claim that he did not receive justice, which justice one may ask? His curious assertion is at best, a similitude of the proverbial tale by an idiot full of sound and furry but signifying practically nothing.

He did not win and could not have won that election. He knows that much and his party knows it also. So they received justice.

But the justice they got is not one that is in tandem with the interest of the stronger. It is poetic justice and it serves them right. know that they will bear the high cost the exorbitant error will visit on them if the apostles of ignorance are incumbent on foisting their reign on the people. If the PDP have their way, a massive dislocation will ensue in the polity that will jolt the nascent democracy to its foundation. The shock will be such that every lover of enfranchised democracy alive will feel it. Incidentally, I don’t see Edo people verging on casting their patrimonies in the sewer because it will take them back to the old order, where it is convenient for electoral robbers to justify their stolen mandate at the altar of impunity and ineptitude.

Never has the Nigerian nation seen a predominant political party shoved so rudely down the throats of the people with its blink agenda of self-imposed distortion that serves insignificant corrupt section of the country.

PDP has saddled Nigerians with its ornamental misgivings, psychological deceit and incubus graft that now turned morbid on the surface. None of the developed measures of six dimensions of governance: voice and accountability, political stability and absence of violence/terrorism, government effectiveness, regulatory quality, rule of law, and control of corruption has been witnessed in the last 12 years of our democratic governance.

It is apparent that Action Congress of Nigeria, ACN has the sole capacity to bring about the structural development that has shrunken the growth of party democracy in Nigeria. The party alone has a total conception of the commitment needed to instil in the masses the critical self-consciousness that will lead to the overthrow of PDP and the development of new political order.

As it is in Lagos, Edo, Osun, and Ekiti; and most recently in Oyo and Ogun, it is crystal clear that Nigeria democracy, in spite of its shortcomings, has grown from leaps and bounds. We only hope that this superior achievement of ACN becomes the converging platform upon which Nigeria rights all the political wrongs visited on it by the power seeking elite.

• Ikhide, a public affairs analyst writes from Benin City, Edo State.

THE NATION MONDAY, MARCH 12, 2012

25

BUSINESS THE NATION

E-mail:- bussiness@thenationonlineng.net

THE CEO

THE Petroleum Products Pricing Regulatory Agency (PPPRA) has reconciled government’s expenditure on fuel subsidy between 2006 and 2011 with the Nigeria Extractive Industries Transparency Initiative (NEITI).

OPS mulls private sector-driven agric marketing boards THE Organised Private Sector (OPS), under the auspices of the Nigerian Association of Chamber of Commerce, Industry, Mines and Agriculture (NACCIMA), has proposed the establishment of agricultural marketing boards that are private sector-driven.

Union cautions govt on planned sack of civil servants THE Association of Senior Civil Servants of Nigeria (ASCSN) has cautioned the Federal Government on its planned sack of 28,000 civil servants, saying it would worsen the economic situation in the country.

- Pages 26

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 $33.01b FOREX CFA 0.2958 EUR 206.9 £ 242.1 $ 156 ¥ 1.9179 SDR 238 RIYAL 40.472

-Dr Olusegun Aganga, Minister of Trade and Investment

JOBS

‘Govt, banks paying lip-service to agric’, P. 32 News Briefing PPPRA, NEITI reconcile subsidy expenditure

The government has a sectorspecific strategy on how it wants to industrialise this country and it is going to be based on where we have comparative and competitive advantage to become a top 5 in Africaand top 20 globally.

Meeting the global recruitment challenge, P. 29

World Bank, IMF to assess Nigeria’s T financial sector stability HE World Bank and the International Monetary Fund (IMF) are to assess the stability of Nigeria’s financial sector.

The test will be carried out before the end of this year, The Nation has learnt.

The motive for the test, according to a top official of the Finance Ministry, is to examine the strength of the country’s financial system and guide against vulnerability to shocks as experienced in 2009.

The exercise, which falls under the Financial Sector Assessment Programme (FSAP), established in 1999, is a comprehensive and indepth analysis of a country’s financial sector. FSAP assessments are the joint responsibility of the IMF and World Bank in developing and emerging market countries and of the Fund alone in advanced economies, and include two major components: a financial stability assessment, which is the responsibility of the Fund and, in developing and emerging market countries, a financial development assessment, the responsibility of the World Bank.

The focus of FSAP assessments is twofold: to gauge the stability of the financial sector and to assess its potential contribution to growth and development.

The FSAP teams examine the soundness of the banking and other financial sectors; conduct stress tests; rate the quality of bank, insurance, and financial market supervision against accepted international standards; and evaluate the ability of supervisors, policymakers, and financial safety nets to respond effectively in case of systemic stress. While FSAPs do not evaluate the health of individual financial institutions

•IMF MD, Christine Lagarde

By Ayodele Aminu, Group Business Editor

and cannot predict or prevent financial crises, they identify the main vulnerabilities that could trigger one.

Already, the Central Bank of Nigeria (CBN) has given banks templates on how the test will be done to enable them to make the necessary preparations.

The test may also have been necessitated by the decision of the Federal Government to borrow $7.9 billion from the World Bank, African Development Bank (ADB), Islamic Development Bank, EXIM Bank of China and Indian lines of credit.

The funds are to be used to cover pipeline projects in the 2012-2014 External Borrowing Plan.

Under the plan, the government will borrow $2.64

•World Bank President, Robert Zoelick

billion yearly.

Apart from the test, the global financial institutions are also expected to re-appraise the banking sector reform initiated by the CBN Governor, Sanusi Lamido Sanusi, in 2009.

Essentially, the test is to ensure that the banking industry is stable, said a top CBN official, who does not want his name in print because of the sensitive nature of the matter.

Barely a month after Sanusi assumed office in 2009, he said he was alarmed by the fact that the total amount outstanding for banks at the Expanded Discount Window (EDW) was N256.571 billion, most of which was owed by five banks.

He said a review of the activity in the EDW showed that four banks had been almost locked in as borrowers

and were clearly unable to repay their obligations.

A fifth bank, he added, had been a very frequent borrower when its profile ordinarily should have placed it among the net placers of funds in the market.

To get to the root of the matter, the Governor ordered a joint examination of 10 banks by the CBN and the Nigeria Deposit Insurance Corporation (NDIC).

By the result of the examination, which was made public on August 14, 2009, the CBN found five institutions in a ‘grave situation’.

The banking watchdog pointed out that the management of the banks were found to have also acted in a manner detrimental to the interest of their depositors and creditors. The apex bank later started the audit of the remaining 14 banks.

After a review of the find-

ings of the Special Examination of the 14 banks, the CBN announced on October 2, 2009 that nine banks had adequate capital and liquidity to support the level of their current operations and future growth.

The 10th bank was adjudged to have insufficient capital but not in grave situation because it had a healthy liquidity position.

The remaining four banks were found to be in a ‘grave situation’, but two were spared because there were no indication of poor corporate governance practices.

They only lacked liquidity.

The CBN subsequently injected N200 billion as liquidity support and long-term loans in the three banks bringing its financial intervention in the industry at the time to N620 billion.

The banking watchdog has since revoked the licences of Afribank, Springbank and Bank PHB because it said they did not show the necessary capacity to recapitalise.

The apex bank set up “bridge banks”to acquire the assets and liabilities of the trio, which were then sold to Asset Management Company of Nigeria (AMCON).

The banks that sprang from the defunct banks are MainStreet Bank Limited (Afribank Plc; Keystone Bank Limited ( Bank PHB) and Enterprise Bank Limited (Spring Bank).

AMCON has injected N679 billion into the new banks via bonds. MainStreet Bank received N285 billion; Keystone Bank secure N283 billion while Enterprise Bank was given N111 billion.

The Managing of AMCON, Mr Mustapha Chike-Obi, said the three banks will be sold before the end of 2013.

NCAA’s plan for interline pact faces hurdles

P

LANS by the Nigeria Civil Aviation Authority ( NCAA) to effect interline agreement among domestic operators, such that passengers could use one ticket to board any flight in the country has run into a hitch.

This is because the conditions attached to the deal may have provoked a fresh row among carriers over which of them holds the ace as the clearing house for transactions, investigations have revealed.

Director-General, NCAA, Dr Harold Demuren, who confirmed the readiness of the authority to effect the new regime, said consultation is on-going among domestic carriers and other parties on how to achieve a seamless operation.

The Nation learnt that though

By Kelvin Osa-Okunbor

some operators have expressed their readiness to imbibe the new business model, others expressed reservations that if the issues involved are not properly sorted out, some of the airlines may back out of the new arrangement.

Some operators, who pleaded not to be identified, argued that if issues bordering on check -in procedures for individual airlines, fare differentials, terms and conditions of carriage, operational technology and brand loyalty among passengers, are not resolved quickly, the agreement may be delayed.

Airlines that have expressed readiness to participate in the new arrangement include: Arik Air, Air Nigeria, Dana

Air, Aero Airlines and IRS Airlines.

A source hinted that the NCAA could not confirm the readiness of some operators such as Chanchangi Airlines, Associated Aviation and Overland Airways to key into the new operational regime, which is expected to reduce operational cost, and inconveniences to passengers arising from operational challenges, which force them to either reschedule or cancel flights.

Demuren, who listed the benefits of agreement among domestic airlines to include reduced cost and free operation, explained that NCAA was still consulting with the affected airlines’officials on the modalities for the agreement.

He said by interlining, hold-

ers of an airline ticket, would be able to fly on another one operating to the same destination without being sanctioned.

The NCAA, it was learnt, is working out a framework that would enable a holder of a ticket of any airline to travel at any time.

Part of the hurdle, investigations revealed, is how to manage the clearing house, which is expected to be domiciled at the NCAA, for collection of funds accruing from the airlines, such that none of them is shortchanged under the new arrangement.

This anxiety, according to industry experts, is predicated on the financial capacity of some of the carriers that are indebted, thus making it difficult for others to do business

with them.

Demuren explained that part of the exception for the interline agreement may be holders of promotional tickets, which have conditions attached to their use during purchase.

Demuren said: “Interline agreement is good for the airline industry. This is the way to go to retain our business and clients for business to prosper.”

Investigations revealed that issues, including brand loyalty among passengers, who stick to some carriers for their products, and ticket payment platforms, as well as terms of carriage including check-in time for flights, may pose fresh hurdles against the new agreement.

THE NATION MONDAY, MARCH 12, 2012

26

BUSINESS NEWS Flight Schedule

PPPRA, NEITI reconcile fuel subsidy expenditure

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 5. Dana 07.02 08.22 6. Arik 07.15 08.15 7. Chanchangi 07.15 8. Air Nigeria 08.15 09.35 9. Dana 08.10 09.20 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. Dana 12.06 12.26 15. Aero 12.20 13.30 16. Air Nigeria 13.25 14.45 17. Chanchangi 13.30 14.30 18. Arik 13.45 14.45 19. IRS 14.00 15.20 20. Aero 14.10 15.30 21. Air Nigeria 14.50 16.10 22. Dana 15.30 16.50 23. Chanchangi 15.30 16.30 24. Arik 15.50 16.50 25. Aero 16.00 17.20 26. IRS 16.30 17.50 27. Arik 16.50 17.50 28. Dana 17.10 18.30 29. Chanchangi 17.30 18.30 30. Air Nigeria 17.35 18.55 31. Air Nigeria (T/TH) 18.30 19.50 32. Arik 18.45 19.45 33. 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

08.50 12.40 14.10 17.20 12.15 12.45 09.10 11.00 11.10 16.20

1.

2.

3.

4.

5.

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

6.

LAGOS – KANO Air Nigeria 07.10 IRS 08.00 Dana 08.10 Arik 12.20 IRS 14.00 IRS 18.15

08.50 09.45 09.40 14.00 15.45 19.55

LAGOS – OWERRI 07.20 14.00 16.30

08.30 15.10 17.40

LAGOS – UYO 10.35

11.35

1. Dana

LAGOS – MAIDUGURI 1. IRS 11.15 13.15 2. Arik 15.50 18.00 LAGOS – ILORIN 1. Overland 07.15

By Emeka Ugwuanyi

ecutive Secretary, Reginald Stanley partly read: “The Executive Secretary may wish to recall her submission to the House of Representatives Ad Hoc Committee on Monitoring of Subsidy Regime on subsidy claims for 20062011. It is observed that your submission in respect of subsidy figures for 2008 didn’t capture payments made to other marketers during the period under consideration.

“The sum of N370 billion subsidy figure for 2008 quoted by NEITI represents payments to NNPC only.

Therefore, the imbalance noticed in the figures submitted by NEITI and that of PPPRA was due to non-inclusion of subsidy payments to other marketers in your computation.”

A breakdown of the figures sent to NEITI by the PPPRA as subsidy expenditures were as follows: N261.105 billion was spent in 2006 from which

08.30 09.10 11.50 12.45 13.40 15.20 16.30 16.40

LAGOS – PORT HARCOURT (CIVIL) 1. Aero 07.15 08.35 2. Arik 07.15 08.35 3. Arik 09.00 10.20 4. Dana 09.27 10.40 5. Aero 10.50 12.30 6. Arik 11.40 13.00 7. Air Nigeria 12.00 13.10 8. IRS 13.30 15.00 9. Arik 14.00 15.20 10. Dana 15.03 16.20 11. Air Nigeria 16.00 17.10 12. Arik 16.10 17.30 13. Aero 16.15 17.30 14. Arik 17.10 18.30

1. Arik 2. Arik 3. Arik

T

HE Petroleum Products Pricing Regulatory Agency (PPPRA) has reconciled government’s expenditure on fuel subsidy between 2006 and 2011 with the Nigeria Extractive Industries Transparency Initiative (NEITI).

The reconciliation is meant to address discrepancies encountered during the Farouk Lawan-led House of Representatives Adhoc Committee on Monitoring of Subsidy Regime.

During the House’ probe, different organisations including the Ministry of Finance and the NEITI gave different figures as the cost of subsidy.

NEITI had told the probe panel that only N370 billion was spent as subsidy in 2008 as against N630.571 billion. The PPPRA had sent a letter detailing the exact amounts spent on subsidy between 2006 and 2011 to NEITI and the House of Representatives.

The letter signed by the PPPRA Ex-

NNPC got N241.893 billion and other marketers N19.212 billion; in 2007, a total of N278.859 billion was spent from which NNPC got N227.471 billion and other marketers N51.388 billion.In 2008, N630.571 billion was spent with NNPC getting N370.49 billion and other marketers N260.081 billion while in 2009, out of N463.517 billion spent, NNPC got N261.51 billion and other marketers got N202 billion.

In 2010, the government spent N673 billion and NNPC received N389 billion and other marketers got N283.979 billion. PPPRA said as at August, last year, NNPC received N667.534 billion while other marketers received N680.982 billion as at October, making a total of N1.35 trillion.

However, more payments have been made by the government shooting up 2011 subsidy to N1.7 trillion, while more payments are still being expected.

08.00

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: Marketing Manager, North Africa, Distel Limited; Marketing Manager, Nigeria, Mr Leith Whitesman; Global Marketing Manager, Mrs Lizzy Iroha; Miss Eliska Botha; National Sales Manager, Sunny Ukpaka and General Manager, Jacques Mulder, at the launch of Knight Whisky in Lagos.

PHOTO: AJOSE SEHINDEMI

OPS mulls private sector-driven marketing boards

T

HE Organised Private Sector (OPS) under the auspices of the Nigerian Association of Chamber of Commerce, Industry, Mines and Agriculture (NACCIMA), has proposed the establishment of agricultural marketing boards that will be private sector-driven.

Speaking with The Nation, The Director -General of NACCIMA, Mr John Isemede, said unlike the former marketing boards that were fully funded by the government but which were abolished by the military regime, the proposed new board’s modus operandi would be executed in a manner that will be sustained by the private sector.

He noted that the document for the reintroduction of the marketing boards, which was submitted as part of the measures to fortify the agricultural sector,

By Toba Agboola

was also part of the proposals submitted by the Governor of Central Bank of Nigeria (CBN), Mallam Sanusi Lamido Sanusi. “As an expert in agribusiness, an Agricultural Marketing Board is a statutory body for a nation, which acts as a compulsory marketing agent, performing or controlling one or more of the functions of marketing on behalf of producers and farmers of specific agricultural commodities.

“Boards may be established and operated under either provincial or Federal Government’s legislation, depending on whether the products they market or regulate are the local market or to the export market.

Some boards are subject to the juris-

diction of both levels of governments in the developed world,” he said.

“There are currently more than 80 agricultural marketing boards in Canada. Marketing boards operate in every province and regulate a wide variety of agricultural products,” he said.

He noted that in Nigeria, the abrogation of the commodity boards in 1986 definitely remains the off – shoot of the private sectors thinking that trading especially in non-oil export has to be organised.

This is formed by the fact that most export from the country and the sub region are agricultural produce in nature led by cocoa, beans, palm-kernel, groundnuts, runner, ginger, grains among other new entrants – melon, sorghum, Soya beans.

Union cautions govt on planned sack of civil servants T HE Association of Senior Civil Servants of Nigeria (ASCSN) has cautioned the Federal Government over its plan to sack 28,000 civil servants, saying it could worsen the economic situation in the country.

Warning of the consequences of the planned mass retrenchment, the Secretary General, Comrade Solomon Onaghinon, told The Nation in a telephone chat that should the government go ahead with the planned sack, it would have untoward economic consequences.

He said it is the duty of the gov-

By Dupe Olaoye-Osinkolu

ernment to create jobs for people and wondered how government would raise money to pay pensions and gratuity of the affected workers.

“If the government sacks 28,000, how would they provide funds for pensions and gratuities?” he asked.

On employment guidelines, he advised the Federal Government to strictly follow public service recruitment guidelines to avoid employing unproductive workers.

He urged the government to put proper machinery in motion to ensure that applicants meet basic requirements before employment into the civil service. “If the basic requirements are adhered to before employment into the civil service, there would not be cases of unproductive workers.”

He said the government should review its policy on recruitment to avoid the employment of unproductive workers.

‘Policy on made-inNigeria vehicles underway’ From Franca Ochigbo and Frances Ajewole, Abuja

A

NEW National Automotive Policy that will give priority to the patronage of vehicles assembled in Nigeria will soon be sent to the Federal Executive Council (FEC) for approval.

The Minister of Trade and Investment, Mr Olusegun Aganga, disclosed this during a meeting with officials of General Motors, in Abuja.

The group was led by the Managing Director, GM South Africa and President of GM Sub-Saharan Africa, Mr Edgar Lourencon.

Aganga said the new policy was part of the integrated mass transit policy of the President Goodluck Jonathan’ administration.

He said: “The policy, when fully implemented, would fast-track the growth and development of the nation’s automotive industry, create jobs and generate wealth for the country.

“The meeting I held today with officials of General Motors dwelt on their desire to come and set up an automotive plant in West Africa. The choice is whether the plant will come to Nigeria or go to Ghana. But we have held very fruitful discussions with them that Nigeria is the best place for them to establish the plant given our vast raw materials, a huge market, which is the largest in Africa, and, most importantly, the fact that our country has the highest returns on investment.

“We are working on a new automotive policy that will prioritise the patronage of vehicles assembled in Nigeria. The policy is part of the Integrated Mass Transit Policy of President Goodluck Jonathan, which is aimed at providing efficient and affordable mass transit for Nigerians.

“We want to leverage the policy to develop our local automotive industry by ensuring that we patronise vehicles that are assembled here in Nigeria. By so doing, we will be able to boost the productivity of our vehicle assembling plants, create jobs, generate wealth and transform our economy.”

Speaking during the meeting, Lourencon expressed satisfaction with the Federal Government’s policy of prioritising the patronage of made in Nigeria vehicles.

He said it would help the company to take its final investment decision on where to establish its assembling plant.

Govt auctions N150b treasury bills

T

HE Federal Government sold N150.09 billion ($953.56 million) worth of treasury bills last week at a regular debt auction with yields on the 91-day and 182-day bills falling, while the 364-day yield inched higher, the Central Bank of Nigeria (CBN) said on Friday.

The bank sold 42.97 billion of the 91-day Treasury bill at a 14.18 percent marginal rate, down from 14.80 per cent at the previous auction, the regulator said in a statement.

It sold N50 billion worth in the 182day bills at 15.48 per cent compared with 15.50 per cent previously, and N57.12 billion worth of the 364-day instrument at a marginal rate of 15.57 per cent versus 15.55 per cent at the last auction.

The 364-day papers attracted the highest subscription, with investors bidding for a total of N160.58 billion.

Traders said most off-shore investors prefer investing in the longerdated bills.

Total demand stood at N328.78 billion compared with N476.86 billion at the last auction.

The Federal Government issues treasury bills regularly as part of monetary control measures to help lenders manage their liquidity.

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

THE NATION MONDAY, MARCH 12, 2012

27

• Recruitment summit for Africa in London.

Meeting the global recruitment challenge Multinationals spend a fortune on recruitment because of their belief that it takes a good staff to get the job done. But of the large number of graduates hired yearly, Nigerians are few. Why? Recruiting agencies blame it all on the quality of their education. The companies, they say, prefer foreign graduates because they have certain qualities. DANIEL ESSIET writes

C

OMPANIES go for the best in their desire to stay afloat and ahead of the competition. Yearly, multinationals such as Coca-Cola, Citi Bank, Maersk, Procter & Gamble (P&G), Siemens, Barclays, Chevron, Standard Bank, Tigo, Vodafone, Halliburton, Baker Hughes, DOW, Worley Parsons, FMC Technologies, G4S, Safal, Oceaneering, IBM, Total, Rio Tinto, Cuango, Oracle, Catoca and Zain, among others, seek talented professionals to enhance their operations across Africa. They head-hunt to strenghten their personnel with competent professionals.

As businesses grow, the need for professionals with special skills becomes high, opening the way for international recruitment campaigns.

Former Executive Director, Agricultural, Research and Management Training Institute (ARMTI), Julius Onietan, told The Nation that getting the right calibre of workers remains the priority of multinationals. For instance, international banks, keen on expanding their presence, are looking for African candidates with knowledge of the continent’s

markets and experience on Wall Street.

Their search is for the best of graduates worldwide yearly. Unfortunately, of the large number of graduates recruited globally, Nigerians are few because employers complain that they are poorly trained and ill-prepared for work.

International recruiters believe academic standard has dropped in Nigeria and that a university degree is not a guarantee of competence. They believe Nigerian graduates are incompetent to take up international jobs.

Onietan said Nigerian graduates are not getting jobs abroad because they are not competent to operate in the global work place. Multinationals, he said, believe in individual capability, arguing that diverse cultures, languages and beliefs are hallmarks of international workplaces. “Nigerians working in such places operate within a culturally-diverse and stimulating environment, surrounded by new ideas and different ways of doing things,” he said. Multinationals, he said, require a workforce that can work competently and confidently in their organisations across the world.

For Nigerian graduates to have an edge in the global market place, Onietan said, they must display exceptional skills.

He praised the Lagos Business School (LBS) for encouraging its students to broaden their horizon through exchange programmes. This, he said, informed LBS’selection by General Electric (GE) as one of the top business schools to partner with in its “Talent Acquisition” programme to be launched this year.

The partnership proposes to create talents across Africa to power the functional units of GE operations in Africa. It also intends to promote interaction among business students in its partner schools to create a synergy that can advance professional careers.

Through this partnership, GE will assist LBS with programmes such as internship, job placement and knowledge of GE operations in Nigeria and globally. It will involve LBS students in some activities in the organisation, especially those that further professional development.

Onietan said organisations prefer graduates who have lived abroad or travelled extensively, adding that achieving global graduate competence is not just about at-

taining qualifications and excelling in a knowledge-based or professional capacity. “It is also about holistic competency development in outlook, values and character traits,” he said.

Former president of the Institute of Chartered Accountants of Nigeria (ICAN) Dr Richard Uche said multinationals think Nigeria is not operating a highly competitive school system.

According to him, most jobs in foreign firms are taken up by graduates from top business schools outside the country.

Employers, he said, look out for North American and European graduates for their management staff, while local companies tend to hire those within the country.

But Uche warned against foreign graduates having an edge over their Nigerian counterparts, who have proven their worth. But multinationals are unrelenting in their implementation of international recruitment schemes. They try to attract top candidates by paying them internationallyaccepted salaries. They are ready to pay • Continued on page 28

28

THE NATION MONDAY, MARCH 12, 2012

JOBS

Meeting the global recruitment challenge • Continued from page 27

more to graduates hired for their Nigerian operations who they see as critical to having a foothold in the country.

Companies such as Schlumberger with high global profiles seek a significant proportion of talents for its overseas operations. Once recruited, the company helps trainees hone their raw ‘global’ skills, aligning them with company values through on-boarding programmes, tailored development, and immersion in international team assignments. Haliburton and Schlumberger look for outstanding graduates who work well in a team and can hit the ground running. They go for nothing less than a 2:1 graduate in specific disciplines.

The Head of Research and Information Services, Nigerian Economic Summit Group(NESG), Dr Sope Williams-Elegbe, said local institutions lack the capacity to nurture thoughtful leaders, thoroughly trained to take on global challenges.

She said British institutions have proved to international employers that they can produce a strong group of life-long learners who put knowledge into action.

The former law lecturer, University of Nottingham, United Kingdom (UK), said international employers need graduates who can contribute to the growth of organisations using innovative approaches to business and skills to adapt to business needs around the globe.

In the UK, Mrs Williams-Elegbe, a specialist in procurement law, said students have the options of learning three major international languages. She said multinationals look for graduates who speak a second language.

According to her, the environment enables students to absorb a wide range of cultures which help them to think out of the box throughout their post-career development. With intensive training through global business plan competitions, overseas exchange, internship and

• Uche

• Mrs Williams–Elegbe

many other workshops, she said graduates are well trained to think from a wider perspective.

Mrs Williams-Elegbe said UK schools

produce graduates that employers want.

For this reason, majority of employers are seeking graduates educated at the best international business schools in North

‘Financial services are really taking off across the continent, from retail to corporate banking to private equity to venture capital, so there is a strong pull for African expatriates with experience in the sector to go back and join these exciting markets where it’s all happening. They can secure a guaranteed job before they go back, and they leave the city knowing that they might move to a smaller pond, but they’ll be big fishes’

America and Europe.

International recruiters, she said, are attracted to foreign graduates because of their unique skills, adding that multinationals are looking for highly educated young adults who can speak a second language, work with people from other backgrounds and embrace different perspectives.

For those in the Diaspora, it appears it is time to return home and work. Nigerians and other Africans abroad are coming back to help reshape their countries’ economies for roles back home.

Managing Director of Global Career Company (GCC ), a London-based international recruitment consultancy, Rupert Adcock, said Africa is now a leading employment centre.

According to him, many firms operating on the continent are recruiting aggressively, and the job market is robust with a significant increase in the number of jobs available.

His words: “Financial services are really taking off across the continent, from retail to corporate banking to private equity to venture capital, so there is a strong pull for African expatriates with experience in the sector to go back and join these exciting markets where it’s all happening. They can secure a guaranteed job before they go back, and they leave the city knowing they might move to a smaller pond, but they’ll be big fishes.”

The growth of the telecommunications and ICT industries is leading to companies recruiting heavily to meet staffing needs.

According to Adcock, there are increasing investments by some multinationals which intend to use cities, such as Lagos (Nigeria), Luanda (Angola), Nairobi (Kenya) and Dakar (Senegal), as the focus of their operations across Africa on a long term basis. This development translates to high recruitment needs, especially for highly qualified Africans.

CAREER MANAGEMENT

Y

OU probably have attended some interviews with-out an offer of employment coming out of your efforts and emotional investment in the position. In the past you may have experienced this frustrating and sinking feeling that you did not do well in this or that interview.

You may also have noticed the uncertainty in the faces of your interviewers, their failure to warm - up to you as the interview progresses and their eagerness to shoo you out of the interview room, barely disguised by patronizing courtesies.

You then ask yourself, what went wrong? Many things could be wrong for failure of candidates to convert interviews to job offer. This week, we will consider one of the issues you may have pondered about: What do this people want?

All organisations, whether for profit or otherwise, is about combining men, money and materials to achieve the organisational goals and objectives. This assertion holds for commercial companies, nonprofit organisations and civil service.

The key to optimisation of performance is the human capital. A wrong decision of a high level member of management can cost the organisation a lot of money. At the lower level, an unproductive employee is some investment – in terms of cost of recruitment as well as in terms of salary and emoluments. So a recruitment error (an individual recruited but found to be unsuitable) at the

What employers are looking for (I)

By Olu Oyeniran

end of the day is a drain, and usually a drag on the system.

The foregoing explains why employer goes to great lengths to ensure that they offer employment to a square peg in a square hole. They are usually very clear on specification of potential employees they want.

(It is not unusual for them not to get exactly what they want.)

Today, we will dwell on the kind of employees employers desire and prefer. But before we go on, need to point these out: • What we will discuss is more or less general, the attributes desired by most (if not all) employers. But the priority and point of emphasis differ from industry to industry, from company to company, and from position to position.

Also work circumstances and context has their own influence on the desired qualities: is it a new position?Have there been changes in technology and skills needed for the job?

• It is obvious that the requirements for executive positions will differ significantly from that of entry / low-level positions. We will elaborate on additional/specific requirement for senior positions.

• What we will say today may not apply to very junior positions: labourers artisans, factory workers and shop floor employees.

The following qualities are desired by most employees

Basic competence A candidate must indicate he knows how to do the job for which he is to be employed. A driver must show competence for his primary duty (get a vehicle moving, maneuvering in the traffic, finding his way to different locations, etc) even if he can do other things as wellironing, operating a lawn– mower, baking bread etc.

You must show at least a theoretical level of competence, if you don’t have the experience.

A candidate applying for an engineering job is expected to show competence in engineering basics, at least. A sense of competence gives you confidence and given the employ the basis for comparison and performance appraisal. Nothing should be taken to mean an engineer cannot be engaged in anything aside engineering or that a biologist should look for work only in establishments that concern itself with biology.

Communication skills Employers desire employees with good communication skills. Success in most jobs requires writing, verbal and nonverbal communications abilities. Can you easily understand instructions, and pass on instructions to others. Will you be

able to communication with your supervisor as well as your subordinates? How good are your writing skills?

It must be realised that though communicating well has some element of talent, it can indeed be learnsist.

Inter-personal skills A one- man island organisation is probably not in existent, especially when organisation must at least relate to others outside. Interpersonal skills are required to establish, build and maintain relationships that last.

You are expected to do this within your unit, across departments and with your customers and suppliers. This skill is becoming more important as organisations realise that more than ever before that every employer must have the skills to interact with the customer.

Adaptability Change happens daily, and is often resisted, even though it is better than what we have now.

Change management is an important skill in this age of information and rapid technological changes. Will you be able to adapt to changes that may be required and vastly different from you previous experience? For example if a technical position requires some salesmanship, the question then is whether the candidate realizes the full implication of and accept dealing with customers.

Willingliness to learn Rapid changes in technology and an extensive availability of information make obsolescence commonplace occurrences. Skills, process, equipment, knowledge become outdated soon after they are acquired.

Thus successful organisation requires employee are ready, willing and able to learn in this environment of constant change and organised chaos. Do you realise that learning on-going and never ending? Is the candidate organised and predisposed to learning?

Initiative and independence The direction of human resource management is to empower every employee. But for the employee to successfully use his empowerment, the employer needs to be assured that the employee can take on-the spot decisions with infrequent errors. Employers require a work force that can take on tasks and projects and get them done without having to tell them what to do every step of the way. Ability to work on your own is important in the workplace, more so in certain positions such as consultancy.

Olu Oyeniran is the Lead Consultant, EkiniConsult & Assoiciates.

Website: www.jobsearchhow.com E-mail: oluoyeniran@yahoo.com Tel 08083843230 (SMS Only).

THE NATION MONDAY, MARCH 12 , 2012

29

DUE DILIGENCE

Red Star Express: Steady but tough

R

ED Star Express Plc sustained a positive performance outlook in 2011, leveraging on more efficient internal cost management and a healthy balance sheet to curtail the contracting impact of a sluggish top-line.

With a stronger financing position and improved liquidity, Red Star was able to sustain its cash payout.

However, modest increase in operating expenses impinged on average profit per unit of sales just as employee productivity fell simultaneously with reduction in average remuneration. With turnover almost flat, double-digit increase in operating expenses reduced pre-tax profit by almost the same percentage.

The company’s net bottom-line performance was boosted by significant tax write-back, which nudged net earnings by 85 per cent.

This generally reflected on earnings per share and net assets, which trended upward by 84 per cent and 12 per cent.

Financing structure Red Star Express achieved a more amenable financing structure in 2011 as the proportion of equity funds to total assets improved from 47 per cent in 2010 to 52 per cent in 2011. The company sustained its zero gearing ratio, which mitigated the adverse effect of other costs and the sluggish top-line. The proportion of current liabilities to total assets improved from 36 per cent in 2010 to 34 per cent in 2011 while long-term liabilities/total assets ratio stood at 14 per cent in 2011 as against 17 per cent in 2010.

Group’s shareholders’ funds had risen by 12 per cent from N1.28 billion in 2010 to N1.44 billion in 2011.

However, paid up share capital remained unchanged at N295 million.

Total assets was almost flat at N2.77 billion compared with N2.72 billion. Current assets had increased marginally from N1.83 billion to N1.87 billion while permanent assets inched up from N892 million to N896 million.

However, total liabilities dropped by 7.6 per cent from N1.44 billion

Fiscal Year Ended March 31 Nmillion Profit and Loss Statement Main Business Segment Total turnover Cost of sales Gross profit Operating expenses Interest and other incomes Finance expenses Pre-tax profit(loss) Post-tax profit (loss) Basic earnings per share(kobo) Gross dividend 177 Cash dividend per share (kobo) Net Assets per share (kobo) Balance Sheet Assets: Fixed assets Total long term assets Trade debtors Current assets Total assets Liabilities: Trade creditors Bank loans Current liabilities Long-term liabilities Total liabilities Equity Funds Share capital Total Equity Funds

By Taofik Salako

to N1.33 billion in 2011. Both current and long-term liabilities had dropped by 5.3 per cent and 12.5 per cent respectively to N934 million and N396 million in 2011 as against N986 million and N453.1 million recorded in 2010.

Efficiency Red Star Express appeared to have suffered complications in the quest to manage expenses as employee productivity trended downward alongside decline in average staff cost per head. Average number of employees increased from 1,114 persons in 2010 to 1,405 persons in 2011.

Total staff costs rose from N1.19 billion to N1.21 billion in 2011, indicating a lesser average cost per head of N0.863 million in 2011 as against N1.06 million in 2010. With relatively significant increase in operating expenses, total costs of business rose to about 92 per cent of turnover in 2011 compared with about 90 per cent in 2010. Average contribution of each employee to the bottom-line reduced from N0.425 million to N0.293 million.

Profitability Red Star Express struggled to sustain a positive overall top-line performance although declines in incomes and profitability of its main courier business constrained overall performance. Turnover in the courier business dropped by 3.6 per cent from N3.03 billion in 2010 to N2.93 billion in 2011. Also, turnover in the freight business segment dropped by 8.03 per cent from N149.36 million in 2010 to N137.4 million in 2011.

Meanwhile, turnover in the support services business increased by 33 per cent to N587.7 million in 2011 as against N439.5 million in 2010.

Incomes from the logistics business also improved by 8.0 per cent from N516.9 million to N558.2 million.

Total turnover thus inched up by 1.6 per cent from N4.14 billion to N4.21 billion. Cost of sales was almost flat

at N2.79 billion as against N2.77 bilshare increased by 12 per cent from lion. Gross profit rose slightly by 3.1 218 kobo to 244 kobo. Dividend per cent from N1.37 billion in 2010 cover also improved from 1.0 time to N1.41 billion in 2011. to 1.9 times while actual return on However, operating expenses rose equity increased from 14 per cent by 13 per cent to N1.1 billion as in 2010 to 23 per cent in 2011. Howagainst N937 million in previous ever, return on total assets dipped year. With non-core business in15 per cent in 2011 as against 17.4 comes almost unchanged, profit beper cent in 2010. fore tax shrank by same 13 per cent from N474 million in 2010 to N411 Liquidity million in 2011. But with tax writeback, net earnings after tax jumped The liquidity position of the comfrom N181 million in 2010 to N334 pany improved considerably durmillion in 2011. ing the year under review. Current Segmental analysis of profitabilratio, which essentially measures ity showed decline in profitability the agility of the balance sheet to of the main courier business, almeet emerging financing obligathough this was smoothened by tions, improved from 1.86 times in improvements in other segments.

2010 to 2.01 times in 2011. The proGross profit in the courier business portion of working capital to total dropped by 8.6 per cent from N879.1 sales improved from 20 per cent in million to N803.6 million. Support 2010 to 22 per cent in 2011. Debtservices segment posted gross profit ors/creditors ratio stood at 745 per of N211.8 million in 2011, 95 per cent cent in 2011 compared with 619 per above N108.6 million recorded in cent in 2010.

2010. Gross profit in the freight business improved by 12.4 per cent from Governance & structures N62.9 million to N70.7 million while logistics turned in N327.6 million Red Star Express is a wholly compared with N320.9 million in owned Nigerian company. Incorpo2010. rated as a private limited liability Further profit analysis showed that company in 1992, Red Star Express gross profit margin improved became a public limited liability slightly to 33.6 per cent in 2011 as company and was quoted in 2007. against 33.1 per cent in 2011. AverRed Star Express maintains tight age pre-tax profit per unit of sale board and management structures dropped from 11.4 per cent in 2010 and generally complies with all relto 9.8 per cent in 2011. Net earnings evant codes of corporate governper share stood at 57 kobo in 2011 ance. Dr. Mohammed Koguna, the compared with 31 kobo in 2010. The majority core investor in the comcompany distributed N177 million pany, still chairs the seven-man as gross dividends for 2011, the board while Mr Sule Bichi leads same amount paid out to shareholdthe executive management team as ers in previous year. This translated managing director. Red Star Express into a dividend per share of 30 kobo operates defined charity produring the years. Gross dividend/ grammes including the Red Star profit after tax ratio stood at 51 per cent in 2011 as against 94.5 Fiscal Year Ended March 31 per cent in 2010, which allowed the Financing structure company to Equity funds/Total assets build up reserves and im- Long-term liabilities/Total assets prove sustain- Current liabilities/Total assets able dividend Debt/Equity ratio outlook. Net assets per

2011 2010 12 months % change 12 months 2,925 4,208 2,794 1,414 1,060 58 0 411 334 57 0.0 30 244

-3.6 1.6 0.9 3.1 13.2 -0.2 -100.0 -13.2 84.8 83.9 177 0.0 11.9

3,034 4,140 2,768 1,372 937 58 17 474 181 31

739 896 1,204 1,874 2,770

0.5 0.5 6.3 2.4 1.8

162 0 934 396 1,330

-11.7 0.0 -5.3 -12.5 -7.6

183 0 986 453.1 1,439

295 1,440

0.0 12.1

295 1,284

30 218

• MD Red Star Express, Sule Umar Bichi

Foundation, which receives 0.5 per cent of net earnings yearly for scholarships in public secondary schools.

Analyst’s opinion Against the background of the macroeconomic environment, the performance of Red Star Express in the immediate past year is commendable. The proactive diversification project of the company has started impacting positively on overall performance, creating new growth opportunities. Red Star Express needs to sustain and improve on the appreciable performances of the subsidiaries while implementing new strategy to stimulate the courier business, which by far still has the greatest capacity to drive overall performance. Overall, there is reasonable basis to assume that the company could maintain a sufficiently positive overall outlook in the years ahead.

2011 %

2010 %

52.0 14.3 33.7 0.0

47.2 16.6 36.2 0.0

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

33.6 9.8 14.8 23.2 1.9

33.1 11.4 17.4 14.1 1.0

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

0.293 0.863 91.6

0.425 1.06 89.5

Liquidity Current ratio Working capital/Turnover Debtors/Creditors

2.01 22.3 745.0

1.86 20.4 619.1

735 892 1,133 1,830.0 2,722

2007

2008

2009

2010

2011

30

THE NATION MONDAY, MARCH 12, 2012

THE CEO Dr Lanre Talabi, Chairman of Talon Group, believes agriculture holds the key to the country’s sustainable development. Nigeria, he tells DANIEL ESSIET in this interview, has all it takes to develop its agric potentials, if it matches words with action.

‘Govt, banks paying lip-service to agric’ I

S the future of Nigerian agriculture in the hands of big businesses?

The future of Nigerian agriculture is in the hands of small and mediumscale farmers. The good paying new jobs in the economy are being created by small businesses, while the old industrial giants continue to downsize and lay off workers by the thousands. If the future is to be better than the past, it must belong to the small, not the large. The future of farming belongs to the small farms, not to the large. Small farms can be farmed sustainably – benefiting farm families, rural communities, the natural environment, and society in general. Focusing on this scale of farm activity strikes a balance between increasing productivity and job creation without provoking mass exodus of people to urban areas that are ill-equipped to accommodate them.

The government has to build the capacities of small farmers so that more jobs will be created in towns and villages.

There are now opportunities in science and technology, whether on how to make biofuels more efficient, new feed stocks, or finding a way to ensure that those who want to farm can do so with conventional and genetically modified crops and organic crops. What are your thoughts on these?

The consumers and farmers have a choice among conventional, organic and genetically modified (GM) crop production. Agriculture is an open process, which means perfect segregation of the different agricultural production types is not possible in practice. The biotech industry has a responsibility to be able to control what it produces. The consumers have a right to know what they’re buying and eating, and it has to start by labelling foods that contain GE (genetically engineered) or GM (genetically modified) products. Both of them should go hand-in-hand towards the same goal of meeting national food energy demand. We have a largely GE-indifferent food market. This is the case not just for organic markets and GE crop production, but also for commodities differentiated in other ways. The different markets rely on strategies that assure coexistence without interference with one another.

What is your view on building biorefineries?

Rising prices and uncertain supplies of petroleum products, together with environmental concerns regarding fossil fuel combustion has enhanced interest in bio-based products and fuels. The emerging biofuels market created significant demand for agricultural commodities, such as sugar, corn, soybean, cassava, oilseeds and palm oil. On the whole, we can build biorefineries. A biorefinery is simply a processing plant where biomass feedstocks are converted and extracted into a spectrum of valuable products. But I believe in biorefineries using weeds and other agricultural residues. They should use weeds and not food crops. In

• Talabi

terms of biorefinery technology, it will become increasingly essential to maintain the utility of other value products in the feedstocks from agriculture, forestry and marine biomass. In this way, integrated biorefineries with multiple output streams will open up many opportunities for sustainable development.

Groups resistant to genetic modification and other hallmarks of modern agriculture,

such as pesticides and petroleum-based fertilisers, cite concerns about the environment and the high cost of the seeds and chemicals used in modern farming. What is your take?

Group resistance is more in developing economies. In developed countries, such as China, seeds are relatively cheaper for modern farming. The environmental costs are relatively negligible viewed against the

benefits.

Private-sector investment in agriculture is not rising. What is responsible for it?

In Nigeria, private sector investment is not rising – new entrants are rather few. People have become more careful with funds and do not want to invest in new businesses such as agriculture. Banks are uncooperative.

• Continued on page 31

, 2012

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THE NATION MONDAY, MARCH 12, 2012

THE CEO

‘Govt, banks paying lip-service to agric’ •Continued from page 31

Infrastructural investments are essential if the government is to attract private investment in agriculture to drive economic growth. For agricultural development, a key foundation of rural roads, telecommunications and electrification is needed for the private sector to build on, so it can seize the opportunities offered by new technologies and connect farmers with urban and global markets.

The past few years have been tough for the food industry.

Companies are struggling with higher costs of fuel and other commodities that they need to make and transport their products.

Do you see this trend changing?

The trend cannot change unless the cost of generating energy is drastically reduced.

What are the major decisions that the government has taken to help agric development initiatives?

The government’s efforts to help agriculture? We are yet to see or feel the effects. The situation has not improved and since January 2012, it has deteriorated. The government bears the greatest responsibility of creating an enabling environment. It needs to think more strategically about how to encourage the agric sector to meet the nation’s food needs. We want to see this happen.

If government is to focus on higher-impact initiatives,

what will you suggest?

The government should focus on implementing good policies. I do hope they have committed personnel and understanding.

There is a lot of talks on the need for more commercial agriculture ventures; do you think there is a desire by small-scale farmers to increase their capacity?

Many small-scale farmers would want to become medium-scale businessmen if only they have the wherewithal in terms of capital.

The factors hindering their growth are access to capital and the lack of amenities in rural areas.

Are banks willing to lend to the agriculture sector?

No! The banks are not willing.

Agricultural loans are not accessible. The sector will improve greatly, if farmers of all levels got loans to expand their farms. The claim that a lot of money is meant for agriculture in banks is ironic, because the system is not ready to help farmers access the money. It is important that farmers get loans based on what they have as land or other agricultural activities.

The government should explore innovative financing options to support farmers. It would be useful to study how other governments are providing access to capital and risk loan guarantees. The government could realistically emulate or support such approaches. Once the commercial

‘Corruption in the public service has reduced all public sector efforts. The government should reduce public sector spending on recurrent expenditure and facilitate the availability of finances, seeds etc.

Many farmers in Nigeria are small-scale.

They need training to enable them pursue farming as a business and an income generation activity. This can be achieved through training and facilitation on sustainable agriculture’

• Talabi

banks increase loans to the agricultural sector, industry insiders will see improvements. The average small-scale farmer lacks the capital needed for inputs such as seeds and fertiliser. The dearth of loan activity stymied the sector’s development towards economy of scale. We ought to see greater potential and higher production in the domestic and global markets as banks increase yearly loans allocation to the sector.

What are the most common mistakes made by companies when investing in agriculture?

Mistakes by companies wishing to invest in agric! They are too much in a hurry. Agric is a slow business. Not getting adequate capital. Of course, poor business concepts.

Do you agree that the government should work in partnership with the private sector, including foreign investors in food production?

No, private sector cannot seriously work with the government.

However, the private sector holds the key to ensuring a sustainable food supply, but only if a new vision for agriculture is developed, to harness both the expertise of the private sector and the knowledge of local communities.

One of the concerns of local farmers is that large foreign agrofood companies do not limit their activities to trading but extend it to manage the entire integrated supply chains. Does this augur well for the economy?

The sky is large enough for every bird to fly. However, we have not seen the effort of the so-called multinational companies in agriculture. When they begin, we will be able to speculate but I think small farmers will benefit from their actions. Governments must appreciate the role of private investment in their agricultural development strategies and work to facilitate such investment.

Farmers in the North face the challenge of water supply and demand.

Supply of water for farming in the North is still a problem, with little rainfall. The most effective solution is small earth dams to trap water in the rainy season. Some of them are sited where run-off from rains can flow unobstructed into them. The other issue is that during below-average rainfall years, run-offs will reduce and it may fail to replenish the dams sufficiently to meet demand. Ideally, livestock should not have direct access to such dams. They should be served using an outlet pipe from the dam that transfers the water to tanks and troughs. Then, they should practise cultivation of drought resistant crops. Integrating aquaculture into crop farming again will conserve water supply. The River Basin Development Authority encourages better use of water. It is the responsibility of the government to develop schemes to help rural farming communities. Going by the Federal Government’s plan to increase rice supply, the present irrigation infrastructure is not enough for the country to be selfsufficient in rice production. Irrigation development should not be left in the hands of private farmers, particularly in the North where traditional farmers use shadow system of irrigation along river courses. The devastating droughts in recent years have had adverse effect on crops and animal population, resulting in revenue losses.

What about flooding?

The effect of flood has particularly been very devastating in the coastal areas of the country. This has led to severe erosion and consequent loss of agricultural soils.

• Talabi

‘The government’s efforts to help agriculture? We are yet to see or feel the effects.

The situation has not improved and since January 2012, it has deteriorated. The government bears the greatest responsibility of creating an enabling environment. It needs to think more strategically about how to encourage the agric sector to meet the nation’s food needs. We want to see this happen’ The government needs to do more to address the issue.

Why do farmers need microfinance?

Microfinance is greatly needed to get agric growing properly and eliminate middlemanship. Loan assistance to farmers will increase their level of production. The existing credit facilities make seemingly impossible demands. Critics of agric financing sometimes argue that giving loans to farmers living in poverty is risky.

Loans to farmers is not more risky than giving loans to politicians and political farms.

What is your opinion on the agric transformation agenda?

Agric transformation agenda must take off before we develop an opinion. It is yet to assume a position, which we can critically examine; it is still talktalk. Government has not done enough. It is said that the transformation holds the key to increasing employment and accelerating poverty reduction. We are yet to see it. A number of things, most important of which is irrigation is to reduce rainfall dependency and post-harvest losses. The other important programme is creating an enabling infrastructure for the private sector.

What do you think will be the key drivers for the next Green Revolution?

Alliances, funds, skills, innovations are key to driving the Green Revolution successfully. The needs of farmers must be the centre point of the programme. There is an urgent requirement for sub-

stantial investment in building capacity. Alliances among many stakeholders and initiatives have to be strengthened. Farmers must be ready to work together, to add value to the future of agriculture. Farmers need adequate finance, quality seeds, fingerlings and seedlings, improved technology and marketing. Farmers are undercapitalised and advanced seed technology and agronomic practices are not yet well developed.

What problems related to food reforms and environmental impacts have you looked at? What problems would you like to see solved?

Corruption in the public service has reduced all public sector efforts. The government should reduce public sector spending on recurrent expenditure and facilitate the availability of finances, seeds etc. Many farmers in Nigeria are small-scale. They need training to enable them pursue farming as a business and an income generation activity. This can be achieved through training and facilitation on sustainable agriculture. We should work on developing a strong sector that is based on irrigation and rain-fed agriculture; appropriate post-harvest infrastructure and information systems for farmers and for markets; mechanised enough to allow farmers to explore other opportunities; and have strong institutions including farmers’ cooperatives that are capable of sustaining production and development of the sector.

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THE NATION MONDAY, MARCH 12, 2012

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THE NATION MONDAY, MARCH 12, 2012

34

EQUITIES WATCH

Email: taofad2000@yahoo.co.uk

Custodian: Sifting through the rubbles In the midst of the depression in the insurance sector, TAOFIK SALAKO looks at indices that single out potential growth HE insurance sector is at receiving ends of stock market recession. Heavily exposed to the equities market, unyielding depression in shares prices directly builds up losses and provisions in the profit and loss accounts and balance sheets of insurance companies. On the other end, share prices of insurance companies have generally been the worst hit by the recession as a hangover of negative industry perception, streaks of impaired portfolio-induced losses and reticent management combined to single out insurance sector as the highpoint of the bear market.

The most populous sector at the Nigerian Stock Exchange (NSE), insurance sector, with 30 companies accounts for 15.1 per cent of total number of listed companies, far ahead of banking sector, which now accounts for 7.5 per cent with 15 companies. But insurance population means little to the market. None of the insurance companies ranks within the top 20 companies at the stock market, a first-class group that controls more than three-quarter of the market capitalisation. Yet, many other sectors including banking, building materials, breweries, food and beverages, conglomerates, petroleum-marketing and foreign listings are represented in the 20 most capitalised stocks group. Although it mostly trail banking sector on the activity chart, in terms of volume, insurance sector has little influence on the turnover direction at the stock market.

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Discouraging sectoral outlook Insurance sectoral statistics are on the face of it generally discouraging. Its market capitalisation of some N135 billion is just about 2.03 per cent of total market capitalisation of equities and worse still, it represents nearly half of some 221 billion ordinary shares outstanding in the sector.

Currently, 77 per cent of quoted insurance companies are trading at their nominal value of 50 kobo per share while many others trade around their lows below the 100 kobo mark.

While several insurance stocks appeared to have bottomed-out at nominal value, they mostly have lack the resurgence to rebound, stabilise and reflect emerging positive fundamental figures. Although all the main indices and sectoral indices at the NSE declined in 2011, further decline of 14.70 per cent by insurance sector index raised the compounded decline rate between 2010 and 2011 to 51.7 per cent, the worst performance within the period. It should be noted that the All Share Index (ASI), which serves as the benchmark value for the entire market, appreciated by about 19 per cent in 2010. Other key sectoral indices at the NSE also showed significant appreciation with the NSE Food and Beverages Index rising by 41.2 per cent.

The NSE Banking Sector and Oil and Gas Indices gained 18.9 per cent and 17.83 per cent respectively while the NSE 30 Index- the group of 30 most capitalised stocks returned 28.01 per cent.

However, NSE Insurance Index had declined by 37 per cent in 2010. So, while insurance sector’s negative return rate was relatively lower in 2011, it was a worsening of a bad situation.

Searching for value If the overall sectoral outlook and the steep decline in value at the stock market are unquestionable basis for generalisation, then the insurance sector is the nadir of the market place.

But these variables sometimes don’t hold true in all instances. Although the overall sectoral outlook reflects to a large extent the undercurrents in the sector and share prices are mostly the competitive and most realistic values of quoted entities, they are nonetheless not sufficient for generalisation. The herd instinct that tends to drive investors on the bandwagon oftentimes even out growth potentials of few impressive stocks in its presentation of market trend. The market itself could undervalue or overvalue a stock, a sector or even the entire bourse, leaving bargain hunters to search for the pearls buried under the rubbles of bearish ruins.

Custodian and Allied Insurance Plc appears to be a stock to watch in the insurance sector.

Technically, there are two quick flags that attract attention to Custodian: it has remained the highest-priced stock and its outstanding shares fall below sectoral average. Its market capitalisation is still some 58 per cent above the

2003

2004

number of outstanding shares contrary to the general downtrend in the sector.

Beyond the surface, Custodian appears to have been significantly undervalued by the downtrend at the stock market, especially the worse bearishness at the insurance sector. A relation of the company’s technical variables to fundamental measures underlines a sense of undervaluation.

Fundamentals With third quarter earnings per share of 33 kobo

by September 30, 2011, earnings yield at current market value per share of N1.55 stands at 21.3 per cent. Where the third quarter position is taking as the full-year position in a somehow extreme conservative estimate, a 50 per cent payout rate to investors would result into a double-digit dividend yield of about 11 per cent. Both the earnings yield of and dividend yield represent comparatively higher returns to several other stocks in many sectors, and definitely present better value than most money market instruments.

Besides, with a net asset value per share of N2.60 by third quarter 2011, Custodian’s book value is significantly higher than its current market value, indicating that buying investors are literally scooping cash immediately upon purchase. Priceto-book value, otherwise known as market-tobook value, is theoretically expected to be higher than 1.0 given that the main objective of the company is creation of value for its shareholders.

Where such falls below 1.0, it represents market’s frustration with an underperforming stock or innocuous undervaluation by a blind bearish trend. The latter seems more likely in the case of Custodian. With a price-to-book value ratio of 0.60 times, Custodian is trading significantly below even the ordinary net value of its shares. Where the company to be liquidated now, new investors would still make as much as 40 per cent gain from liquidation dividends. The book value or net asset, it should be noted, is the net balance of the deduction of total liabilities from total assets.

While it has consistently paid dividends and remained profitable since quotation in 2008, its recent operational results showed a commendable resilience. Third quarter report ended September 30, 2011 showed a gross premium of N7.6 billion as against N6.08 billion. Net premium increased from N3.44 billion to N4.14 billion while commissions rose from N108.6 million in 2010 to N161.8 million. Investment and other income also improved to N652 million in 2011 as against N640.7 million in corresponding period of 2010.

Consequently, profit before tax grew by 25 per cent to N2 billion compared with N1.6 billion in

2005

2006

2007

Quick View Current Share price EPS (Q3 2011) Earnings Yield Net Asset Per Value Share Q3 Price to Book Value High Low

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2009

2010

N1.55 33 21.30% N2.60 0.60 N2.44 N1.45

2010. After taxes, net earnings closed third quarter at N1.7 billion, representing 18 per cent increase on N1.44 billion posted in comparable period of 2010. Net assets stood at N13.25 billion in 2011 as against N12 billion in previous year.

The third quarter performance followed familiar trend of steady and consistent growths in the top-line and bottom-line over the years. Gross premium rose from N2.71 billion in 2007 to N4.10 billion in 2008 and closed 2009 at N5.28 billion.

Gross premium more than doubled to N13.72 billion in 2010. Profit before tax rose from N1.06 billion in 2007 to N1.85 billion in 2008 and further rose consecutively to N2.02 billion and N2.37 billion in 2009 and 2010. Profit after tax moved from N917 million in 2007 to N1.56 billion in 2008.

It rose further to N1.89 billion in 2009 and closed 2010 at N2.04 billion.

Growth outlook Although its relatively low turnover-to-net assets ratio may on one hand implies underutilisation of shareholders’ resources, it implies significant headroom for underwriting capacity and growth on the other hand. There is still much growth potential in the Nigerian insurance industry. From government to the National Insurance Commission (NAICOM) and to operators, insurance stakeholders have recently taken major steps to enliven the performance of the industry. The passage of the Nigeria Content Development Act and other laws on compulsory insurance by government has opened up tremendous business opportunities for insurance companies. The Local Content Act requires that all insurance risks associated with oil and gas sector including prospecting, exploration, drilling, constructions, shipping, distribution, marketing and transportation must be insured in Nigeria with registered Nigerian insurance company. This law alone represents immense opportunity for wellcapitalised and stable insurance companies such as Custodian.

Besides, NAICOM has also in recent period taken many far-reaching and proactive steps to standardise insurance operations and enforce conformity with best practices.

•MD, Custodian and Allied Insurance, Mr Wole Oshin

Although still a highly fragmented industry with some 51 insurance companies, a company such as Custodian stands to benefit both in the event of industry consolidation or market-driven competitiveness that places premium on security of insurance rather than lower rates.

With estimated penetration of some seven per cent, Nigeria’s large population and expansive economy also put insurers on good footings.

Risks of risk-bearers But the insurance sector is also plagued by inadequate human capital, lack of innovation and creativity, unhealthy competition resulting in sharp practices lsuch as rate cutting, de-marketing and uncollected premium and general public resentment. While insurance industry has suffered less disruption than the banking industry, most investors and average Nigerians still rate banks far ahead of insurance companies, a behavioural perspective that dovetails into market valuations and patronage.

Nonetheless, the potential for some insurance stocks outweighs the risk. The main risk in the insurance sector is that of not looking too far and deep enough, because insurers, like the risks they carry, can oftentimes be unpredictable.

But where the fundamentals flag a bargain, this should tickle further consideration by discerning investors.

THE NATION MONDAY, MARCH 12, 2012

35

PERSONAL FINANCE Investor’s Worth

On the trail of the billionaire

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HARES in Dangote Cement Plc, Nigeria’s most capitalised quoted company, are held in few hundreds of units by almost three-quarters of shareholders. Out of the more than 41,000 shareholders of the cement company, its Prsident, Alhaji Aliko Dangote holds 95 per cent equity stake. For about 74 per cent of shareholders, they hold between one and 1,000 ordinary shares. The larger the volume, the fewer the number of shareholders. Some 43 shareholders hold equities within the range of 10 million shares, this number reduced to 16 persons within the range of 100 million shares while only one person fell within the range of more than 100 million to 400 million shares.

The same scenario applies to nearly all other quoted companies in the Dangote Group, though investors mustered bigger shareholdings in the lowpriced companies. In Dangote Sugar Refinery (DSR) Plc, more than 82 per cent of the nearly 107,000 shareholders hold between one and 10,000 shares.

Only 0.20 per cent hold more than one million shares up to 10 million shares. Dangote controls more than 71 per cent equities.

There are more than 358,000 shareholders in Dangote Flour Mills (DFM) Plc but more than 97 per cent hold between one to 10,000 shares, with their total equities representing some 11 per cent equity stake in the company. Dangote holds more than

73 per cent.

But in all these, there is always a seemingly constant factor: Mr Olakunle Alake trails Alhaji Aliko Dangote as the director with the second largest direct shareholdings. While creating wealth for investors as the Group Chief Operating Officer of Dangote Industries Limited, Alake has also built up substantial nest eggs in the companies within the group. His equities in each of the company run into seven digits and in all the instances, he’s the closest director, in terms of number of declared shares, to Dangote, albeit with a long distance.

Alake’s nest egg in Dangote Cement alone is more than a third of a billion naira and where the market recovers and bring back lost values to DSR and DFM, he will be close to the billionaire club. But, he’s comfortably a multi-millionaire even with the stock market recession.

While the current market value may be indicative, the real value of Olakunle’s investor’s worth lies in the unceasing cash flow provided by his portfolio. Last gross cash dividends exceeded N18 million and these stocks have consistently paid dividends over the years.

Alake has been the Group Chief Operating Officer of Dangote Industries Limited since 2007. With more than two decades experience spanning banking, management consultancy and industrial

N

•Alake

management, he started his career at PriceWaterHouse in 1984 and left in 1990 to join Liberty Merchant Bank Limited as the financial controller. He was later appointed as managing director and chief executive of Liberty Merchant Securities Limited and was a part of the team that provided consultancy services for the take-over of the International Trust Bank Plc, by Dangote Group in August 1996. He joined Dangote Group in 1997.

He was first appointed to the board of Dangote Group in 2001.

A fellow of the Institute of Chartered Accountants of Nigeria (ICAN), Alake holds a Bachelors degree in Civil Engineering from Obafemi Awolowo University, Ile-Ife in 1983.

What is Net Asset Value? 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. To determine net assets per share or book value per share, total net assets value will be divided by the number of outstanding shares. So, with Nestle Nigeria’s 792 million ordinary shares of 50 kobo each, Nestle Nigeria’s net assets value per share was N29.62 by the year end.

Although it is normal for

market value of shares of good and profitable companies to be several times the net assets value per share, but where market value is equal to or less than the book value of a fundamentally good company, then this may represent a significant buy opportunity for discerning investors. The recession at the Nigerian stock market has created several of such buy opportunities. Net asset value is also useful in calculating other variables such as price-to-book value.

Ways and Means

How to save money on car purchase (1)

P

URCHASE of car is a major cost item on the spending pyramid of an average Nigerian, just like elsewhere globally. Whether for luxury, business, transportation, sport and emotional attachment, car occupies important place in the assets of an average family. Given that the price of a new car runs from seven digits upward, it’s a capital intensive purchase, which requires careful consideration.

A recent survey of the middle class indicated that 45 per cent of middle-class Nigerian households did not own a car. Also, while the average number of cars per middle class household was 0.8, the average age of the car was eight years old. All these indicate that buying a car remain on top of the spending pyramid of an average Nigerian.

Most financial management experts suggest that cost man-

agement should focus on capital-intensive items on the spending pyramid. A spending pyramid typically lists areas where an individual spends his money in a top-tobottom order. For most families, housing occupies the first position on the ladder followed by car, child education and others. Savings made on such capital intensive purchases can greatly influence the structure of the family balance sheet as against old-fashioned habit of pinching kobos by clipping coupons for detergent bonus or buy-a-carton get-a-pack-free promotions.

For instance, a 10 per cent reduction on a N1 million car will lead to a whopping saving of N100, 000. Nonetheless, it’s advisable to maintain a prudent and value-minded approach to all purchases to optimise the value derivable from such purchases.

Besides the economic crunch-rising inflation, less

I

N addition to underlying assumptions for forecasts, investors need to consider the potential risks and risk management strategies or mitigating factors for such risks.

Each Initial Public Offering (IPO) prospectus carries a segment on risks and mitigating factors with typical explicit note that “investors should be aware that there are a number of specific corporate risks, industry risks, economic risks, political risks and general business environment risks.”

Potential risks and mitigations

Ask a Broker ET Asset Value (NAV) simply refers to the remaining assets of a firm 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.

NVA is calculated by deducting total liabilities from total assets at a given period.

For instance, Nestle Nigeria

Landmines and goldmines in IPOs (4) LandminesandgoldminesinIPOs(4

disposable income, rising job insecurity, absence of social welfare among others, there is always a psychological feeling of satisfaction that comes with optimising value and striking a bargain deal, just like every other achievement.

To ensure you make the best possible saving on car purchase and avoid wastage, the starting point is to define the reason or objective for the car purchase. Just like every other plan, identifying the objective enables one to focus on the essentials needed to achieve such reason. Are you buying the car for utility purpose of transportation? Is your priority the ‘beauty’ of the car? Are you buying to impress others and announce your ‘arrival’? Are you concerned more with safety, efficiency, convenience, ruggedness and low maintenance cost? Is the sensational feeling of high-speed driving your primary reason?

As correctly pointed out by the prospectus, particular attention needs to be paid to potential risks and the board and management’s plans to mitigate these. At times, this segment points to the board and management’s fears about the future of the business and may be an eye-opening for an investor, especially one with a long-term investment horizon. Investors need to go beyond the surface explanation provided by the company to unearth other possibilities. For instance, where a company’s huge net earnings or profitability is dependent of specific grant or waiver from government, the investor should be able to determine the extent of impact the removal of such grant or waiver will have on the performance of the company going forward. Many of the companies that came for the Initial Public Offerings (IPOs) during the boom period were spin-offs enjoying tax holidays that boosted their initial profits and raised the stakes at the secondary market. The expiration of these tax incentives has seen many of such companies struggling to catch up with previous earnings.

Some of the potential risks are within the control of management and some are outside the control of management.

For the risks within the control of management, it’s important to scrutinise how the management plans to deal with these and their previous experience in managing such risks.

For instance, has the company previously managed the risk of new entrants and increased competition?

For risks outside the immediate control of the board and management, the main mitigating factor is to consider the possibility that such risk may not occur. For instance, a radical change in political leaning and government may lead to equally far-reaching changes in economic policies, institutions and key personalities.

For instance, will the Action Congress of Nigeria (ACN) sustain the broad spectrum of

‘While the technical aspect of financial reports and analyses may be a bit difficult, several segments provide warning flags that can prick an investor to ask question or take a second look at the offer’

By Taofik Salako

the economic policies and leanings of the Peoples Democratic Party (PDP)-led ruling central government should the opposition take over government?

Reading the prospectus Having understood broadly the key issues of capitalisation, valuation, leverage, hidden sweet and bitter pills, earnings and major statutory disclosures, the prospective IPO investor will be in a better position to make meanings of the extensive IPO prospectus, which sometimes runs into hundreds of pages. Firstly, investors must be warned that reading a prospectus may not be fascinating with the labyrinth of legal terms, jargons and sometimes, purposefully vague expressions. But no matter how hard it appears, developing the discipline to read prospectus over and over again until one understands the value or risk inherent in the offer is one of the winning habits of successful investment.

Although the outlay of a prospectus may vary from country to country and from industry to industry, prospectus globally contains similar information and segments. A typical prospectus in Nigeria consists of some 20 segments including the front page, key terms and definitions, indicative abridged time table and the offer. Also included are summary of the offer, corporate directory, board and professional parties, chairman’s offering letter, full information about the company including history and management, financial forecasts and authentications and macro-economic environment. Others are five-year historical financial summary and related issues, statutory and general information, procedure for application, receiving agents, application form and instructions for completing application form.

Each segment provides important information that can greatly influence the success or otherwise of the investment.

While the technical aspect of financial reports and analyses may be a bit difficult, several segments provide warning flags that can prick an investor to ask question or take a second look at the offer.

For instance, under the statutory and general information segment, the company is required to provide information on its incorporation and share capital history, shareholding structure, shareholdings of directors, subsidiaries and related companies, indebtedness, highlights of its Memorandum and Articles of Association, possible business combinations, unclaimed dividends, claims and litigations, material contracts, directors and parties that consented to the IPO, costs and expenses of the IPO, relationship between the IPO-company and its professional parties and documents available for inspections among others.

This segment alone provides a wide window for a discerning investor to assess the offer and determine the risk-return potential. What’s the size of indebtedness and possible legal claims in relation to the offer and the company? A single legal claim can undermine the viability of a company. What’s the level of unclaimed divi-

dends? This can provide insight into whether the company belongs to the category of unscrupulous few that cunningly hold back investors’ dividends after declaration. Do the key professional parties have vested interests and relationship other than the principal-agent relationship that arose from the offer? This particularly was the main conduit for some of the worst cases of manipulations in the last dispensation with banks using their own issuing houses and registrars to determine the course of their offers.

As noted earlier, much of the hidden bitter pills in the several IPOs were in the areas of overcapitalisation. Knowing the incorporation, share capital history, shareholding structure and directors’ shareholdings will enable the investor to track recent changes and determine the appropriateness in the light of the historical performance of the company.

Also, the summary of the offer provides concise details that should quicken investors’ interests. Where the summary fails to excite one’s interest, then it’s better to drop consideration for such offer. One par-

‘Also, the summary of the offer provides concise details that should quicken investors’ interests.

Where the summary fails to excite one’s interest, then it’s better to drop consideration for such offer’ ticular area to watch out for under this segment is the utilisation of net proceeds. Is the fund being raised to be used to settle loans taken from directors-related entity or other sources? Is the fund needed to finance expansion and growth?

The summary of the offer also provides briefs on historical and future financial performances, which should serve as a quick-test to determine further consideration for the offer.

The chairman’s letter, although a best-selling piece by the company to woo investors, nonetheless contains good descriptive information about the board and management, the business and assets of the company and principles of corporate governance. A company is as credible as its board and as profitable as its management, so the credibility of the board and experience and expertise of the management should be major considerations in the final decision mix.

Altogether, the underlining factor for successful investment in IPOs, as well as other instruments, is to develop basic understanding of the variables and concepts and engage in systemic investment decisionmaking rather than relying on sales agents, media campaigns and endorsements by related parties. Definitely, the IPOs, public offers and other primary issues will be back, investors now only need to take this guide now and get prepared to sieve the good from the bad.

•Concluded

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

THE NATION MONDAY, MARCH 12, 2012

36

EQUITIES NIGERIAN STOCK EXCHANGE DAILY SUMMARY AS AT 9-3-12

Investors raise stakes in equities •Mixed reactions trail Zenith’s results NVESTORS upped stakes in equities at the Nigerian Stock Exchange (NSE) by 25 per cent but immediate reactions to the much-awaited earnings reports of banks were negative, raising concerns on a resurgence of bearish market this week.

Investors staked N16.7 billion on 1.92 billion shares in 20,158 deals last week compared with N13.36 billion placed on a total of 2.22 billion shares in 21,433 deals two weeks ago.

The release of the audited report and accounts of Zenith Bank Plc for the year ended December 31, 2011 however, failed to lift the bank’s share price as many analysts said the profit and loss positions were good but below expectation.

The report showed that gross earnings rose from N192.49 billion in 2010 to N244.07 billion in 2011. Profit before tax increased to N60.70 billion in 2011 as against N50.023 billion in 2010. Profit after tax closed 2011 higher at N44.19 billion as against N37.41 billion in 2010. The board of the bank has recommended a dividend per share of 95 kobo.

“Although the bank recorded a remarkable improvement on the top line, these results fell slightly below our expectations,” analysts at Afrinvest (West Africa) noted.

Analysts at FBN Capital

I

By Taofik Salako and Tonia Osundolire

also said the results were below estimates, noting that the initial reactions were based on lower-thanestimated earnings. ”The source of the disappointment in the results was the provisions line,” analysts at FBN Capital stated. Zenith Bank’s provisions for bad loans totaled N24.3 billion, 75 per cent of which fell in the fourth quarter.

But analysts said the results showed a generally positive outlook, which would impact positively on the pricing trend of the bank in the medium to long-term.

Analysts at Afrinvest said they believed the market will pay more for the bank’s impressive profitability profile, high asset quality and consistently lower than average risk ratios in the medium to long-term.

With a dividend per share of 95 kobo, FBN Capital stated that “the implied yield of 6.8 per cent will be appreciated by the market.

Analysts at GTI Capital also expressed similar positive sentiments.

Zenith Bank ranked within the top 10 losers last week as its share price dropped by 49 kobo to close at N13.56 per share.

Meanwhile, the financial services sector accounted for 1.433 billion shares valued at N9.131 billion traded in 11,434 deals.

The

conglomerates sector followed with 217.044 million shares valued at N230.91 billion traded in 710 deals The banking subsector was the most active during the week, with 1.3 billion shares worth N9.04 billion exchanged by investors in 10,929 deals. The volume in the Banking subsector was largely driven by activity in the shares of UBA Plc, Ecobank Transnational Inc. and Zenith Bank Plc. Trading in the shares of the three banks accounted for 676.9 million shares, representing 53.4 per cent, 47.2 per cent and 35.2 per cent of the turnover recorded by the subsector, sector and total turnover for the week, respectively.

In spite of the relapse suffered on the last trading session, the overall market situation sustained a positive outlook as the AllShare Index appreciated by 358.00 points or 1.7 per cent to close last Friday at 20,950.02 points while the market capitalisation of equities to N6.612 trillion.

Also, the NSE-30 Index appreciated by 17.58 points or 1.9 per cent to close at 954.93. Two of the four sectoral indices appreciated during the week, same as during the preceding week.

The NSE Consumer Goods Index appreciated by 130.75 points or 8.02 per cent to close at 1,711.95 while the NSE Insurance Index appreciated by 5.15 points or 4.3 per cent to close at 123.79.

However, the NSE Banking Index depreciated by 7.40 points or 2.4 per cent to close at 300.55 and the NSE Oil/Gas Index depreciated by 2.31 points or 1.0 per cent to close at 216.09.

NIGERIAN STOCK EXCHANGE DAILY SUMMARY AS AT 9-3-12

THE NATION MONDAY, MARCH 12, 2012

37

MONEY LINK

CBN to compel banks publish gender distribution

T

THE Central Bank of Nigeria (CBN) has concluded plans to compel banks to publish their gender distribution on top management and boards.

The CBN Governor, Sanusi Lamido Sanusi said the regulator will this week, issue circular to all the banks demanding that they make public, their levels of compliance with the 40 per cent board membership and senior management positions for women.

Speaking during a conference on women empowerment organised

Stories by Collins Nweze

by Women in Management and Business (WIMBIZ), Sanusi said the regulator will monitor banks to ensure compliance. He said that the CBN will also monitor to ensure that banks include their level of compliance with the policy in their annual reports.

Sanusi explained that the move to empower more women was aimed at boosting the Federal Government’s programme on job creation and poverty alleviation.

He also hinted that the Bankers’ Committee had declared the 2012 financial period “a year of women empowerment,” adding that a subcommittee had been formed to enable Deposit Money Banks achieve that objective.

“The Bankers’ Committee has made 2012 the year of women empowerment. A sub-committee on women empowerment has been formed. We are working at establishing a special fund by the end of the year that will provide credit facilities to women at a single digit

interest rate.”

Sanusi said that political leaders should spell out the roles for women during their campaigns.

But he advised women to be hardworking as such positions can only be given to them on merit.

He said that no woman will be promoted because she is a woman, adding that women have the requisite skills and intelligence to excel in their career paths.

Sanusi said that the CBN is working on achieving between 40 and 50 per cent board membership for women before the expiration of his tenure.

He advised the Capital Market to get quoted companies implement gender sensitive polies that include giving strategic positions to women. He said the apex bank’s policy should not be seen as a

Enterprise, Union Bank UK renew partnership

E

to the next level,” he said.

In doing that however, he said Enterprise Bank will not forget some tested and trusted partners such as the Union Bank UK Plc for choosing to stick with the new institution as partners in progress.

“We need your support as always to continue to grow this bank. I thank you for finding time to visit us all the way from the United Kingdom.

“On our own side, we will continue to build on this established mutual business relationship especially when we know that you have deep knowledge and understanding of the Nigerian and African markets,” he said.

Kuru told his visitors that the current management of Enterprise Bank has not just a road map of growth but a blueprint to build a highly successful commercial bank with bias for retail as well as the critical sector of the economy like oil and gas as well as energy, just to mention a few.

Even though the bank is a limited liability company at the moment, Kuru emphasised that the intention

NTERPRISE Bank’s continued relationship with Union Bank UK Plc has been worthwhile, Ahmed Kuru, Managing Director/ Chief Executive Officer of Enterprise Bank Limited (EBL) has said.

Kuru, who made the assertion when he received the management of Union Bank UK Plc at the corporate head office of the bank in Lagos led by its Managing Director/Chief Executive, Dr. Adekola Ali, said the management at his bank will continue to do business with the offshore bank because it helped speedy its recovery process.

Kuru said: “As I welcome you to our new bank in Lagos Nigeria, I want to use this opportunity to first of all thank you because your bank from what I know, supported the bank that gave birth to Enterprise Bank all through the period even when most offshore banks were not willing to do business it.

“Now that we are fully recapitalised with an enviable record of having one of the cleanest balance sheets as, I think this is the time to move the bank

is to steer the bank as a publicly quoted company, insisting that it is the best way to ensure that all processes run at a globally acceptable standard of sound corporate governance and practices.

Kuru said it is in a bid to achieve all these that the bank has since its inception in August 5, 2011, spent a lot of resources in rebranding, retraining of personnel, and structural enhancement among others.

Responding, Ali said his team is in Enterprise Bank to restate their interest in the partnership. “It is a pleasure to be here because Enterprise Bank is one of the few banks in Nigeria that we have constant business relationship with.

“With the new developments in the bank, we see EBL as a new startup bank and we want to be part of its systematic growth. We want to work together with EBL and grow together.

“For that reason, we have opened up a lot of business opportunities, which will be mutually beneficial to both EBL and Union Bank UK Plc,” he said.

T

ployees (NUBIFIE) has commended the board and management of Ecobank Plc for what it described as their seamless acquisition of Oceanic Bank Plc. National President of the union, Comrade Peter Okafor said Ecobank has complied with due process in relation to job losses by workers adding, that the bank consulted with the union extensively and negotiated redundancies for workers in line with the Labour Act. “We are having challenges with the three nationalised banks especially in relation to the status of our members after the banks were nationalised.

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

WHOLESALE DUTCH AUCTION SYSTEM Amount

Price Loss 2754.67 447.80

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

NESTLE JBERGER NCR CONTINSURE UPL GUINNESS REDSTAREX CUSTODYINS WEMABANK WAPIC

O/PRICE

420.52 23.75 10.74 0.84 3.15 219.55 2.29 1.62 0.50 0.52

Current Before

C/PRICE

CHANGE

441.54 24.93 11.27 0.88 3.30 230.00 2.39 1.69 0.52 0.54

21.02 1.18 0.53 0.04 0.15 10.45 0.10 0.07 0.02 0.21

SYMBOL

O/PRICE

23.55 2.43 2.05 1.64 4.35 1.27 116.00 2.59 26.14 3.30

C/PRICE

CHANGE

22.38 2.31 1.95 1.56 4.14 1.21 110.55 2.47 25.00 3.16

1.17 0.12 0.10 0.08 0.21 0.06 5.45 0.12 1.14 0.14

Date

150m

150m

150m

155.8

29-2-12

138m 113m

138m 113m

138m 113m

155.8 155.7

27-2-12 22-2-12

147.6000

149.7100

150.7100

-2.11

NGN GBP

239.4810

244.0123

245.6422

-2.57

NGN EUR

212.4997

207.9023

209.2910

-1.51

149.7450

154.0000

154.3000

-3.04

(S/N) Bureau de Change 152.0000

153.0000

155.5000

-2.30

154.0000

156.0000

-1.96

NSE CAP Index

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

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

% Change -1.44% -1.44%

NIGERIA INTER BANK (S/N)

MEMORANDUM QUOTATIONS Name

153.0000

DISCOUNT WINDOW Feb. ’11

July ’11

Dec ’11

MPR

6.50%

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%

Offer Price

Bid Price

9.17 1.00 1,177.37 99.76 0.76 1.04 0.88 1,666.70 8.24 1.39 1.87 7,137.57 193.00

9.08 1.00 1,160.06 99.49 0.73 1.04 0.87 1,663.73 7.84 1.33 1.80 6,953.84 191.08

ARM AGGRESSIVE KAKAWA GUARANTEED STANBIC IBTC GUARANTE AFRINVEST W.A. EQUITY FUND THE LOTUS CAPITAL HALAL BGL SAPPHIRE FUND BGL NUBIAN FUND NIGERIA INTERNATIONAL DEB. PARAMOUNT EQUITY FUND CONTINENTAL UNIT TRUST CENTRE-POINT UNIT TRUST STANBIC IBTC NIG EQUITY THE DISCOVERY FUND • ARM AGGRESSIVE • KAKAWA GUARANTEED • STANBIC IBTC GUARANTE

LOSER AS AT 9-3-12

OANDO HONYFLOUR JOSBREW IKEJAHOTEL ETERNAOIL RTBRISCOE DANGCEM IHS PZ VITAFOAM

Rate (N)

C u r r e n t CUV Start After %

NGN USD

Parallel Market SYMBOL

Exchange

Sold ($)

CAPITAL MARKET INDEX Year Start Offer

(S/N)

GAINERS AS AT 9-3-12

Amount

EXHANGE RATE 6-03-12 Currency

INTERBANK RATES

Amount

Offered ($) Demanded ($)

MANAGED FUNDS

OBB Rate Call Rate

The three nationalised banks are yet to reach out to the national union with a view to proactively and collectively address the foreseen employment-related challenges of human resources as likely consequence of the transition,” he said.

He also alleged that some of the banks rather than engaging the union positively to address the current challenges, preferred instead, to alienate NUBIFIE, even as they attempt to find a backdoor way of subverting the rights of workers and their entitlements in the likely event of job-cuts.

DATA BANK

Tenor

NIDF NESF

• CBN Governor, Sanusi Lamido

favour, but as a means of providing an environment for qualified women to take advantage of opportunities available.

Ecobank lauded over Oceanic HE National Union of acquisition Banks, Insurance and Fi nancial Institutions Em-

FGN BONDS

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

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• AFRINVEST W.A. EQUITY FUND NIBOR Tenor 7 Days 30 Days 60 Days 150 Days

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%

Movement

OPEN BUY BACK Previous

Current

04 July, 2011

07, Aug, 2011

Bank

8.5000

8.5000

P/Court

8.0833

8.0833

Movement

THE NATION MONDAY, MARCH 12, 2012

38

MONEY MARKET REPORT

Petrodollars push naira to 65 kobo gain D

OLLAR supply to the Wholesale Dutch Auction System (WDAS) and influx of dollars from the Nigeria National Petroleum Corporation (NNPC) pushed the naira to a 65 kobo gain last week. There were also support from International Oil Companies (IOCs) and offshore investors into local debt instruments.

The local currency strengthened against the dollar on Friday on the interbank market following sales of about $72 million by two local units of oil companies. It closed at N157.30 to the dollar on the interbank, compared to N157.50 inching 12.5 per cent or 20 per cent gain.

But analysts predict depreciation of the naira this week, as there will be less dollar in the market. The interbank lending rates fell further last week to an average of 14.25 per cent compared to previous week’s 14.41 per cent. This came after additional cash inflows from the excess crude account disbursal hit the market. About N102 billion ($648.03 million) came into the system from the excess crude account on, boosting the liquidity level and help push down the cost of borrowing in the interbank.

Traders said rates would have been lower but for the outflows into treasury bills sales at the open market operation and withdrawal by state-owned energy company NNPC, which drained liquidity from the system.

On Wednesday March 7, the naira firmed against the dollar on the interbank market as traders expected additional greenback from the NNPC. The naira closed at 157.50 to the dollar on the interbank, firmer than the 157.80 to the dollar it closed at on Tuesday, representing 19 per cent or 30 kobo gain.

The oil giant sold about $350 million to some lenders, which provided support for the local currency, while expectations of additional sales of $350 million by the energy firm before the end of the week boosted outlook for the naira at the interbank. “The naira is set to strengthen further in the coming days if the NNPC and other oil companies sell more dollars to the market as being speculated in the market,” one dealer said.

Traders said dollar inflows from oil companies and off-shore investors have consistently provided support for the naira despite strong demand built up at both the interbank and official window. The naira had on Monday strengthened marginally against the dollar on the interbank market on, but weakened at the official window as strong demand for the greenback built up at the bi-weekly foreign exchange auction, traders said. The naira closed at N157.90 to the dollar on the interbank, firmer than the N158.05 a dollar it closed at on Friday, representing 15 kobo or 9.4 per cent gain.

Interbank Movement The interbank lending rates fell further last week to an average of 14.25 per cent compared to previous week’s 14.41 per cent. This came after additional cash inflows from the excess crude account disbursal hit the market. About N102 billion ($648.03 million) came into the system from the excess crude account boosting the liquidity level and help push down the cost of borrowing in the interbank.

Traders said rates would have been lower but for the outflows into treasury bills sales at the open market operation and withdrawal by state-owned energy company which drained liquidity from the system.

The market opened with a cash balance of about N67 billion, reflecting gradual drain in liquidity in the system after the NNPC cash withdrawal.

The corporation sold about $450 million to some lenders last week, and was recalling a portion of the naira proceeds to its account with the Central Bank of Nigeria (CBN) as part of statutory requirement and move to reduce excess liquidity in the system.

Traders said cost of borrowing among banks should inches up next week because of further withdrawal by the state energy company and outflows into foreign exchange purchase.

The secured Open Buy Back (OBB) eased to 13.75 per cent, from 14 per cent last week, 175 basis points above the CBN’s 12 per cent benchmark rate, and 3.75 percentage points above the Standing Deposit Facility (SDF) rate. Overnight placement dropped to 14.24 per cent from 14.5 per cent, while call money traded at unchanged at 14.75 per cent.

million. Thus necessitating those institutions to withdraw over N1 million from their correspondent banks in order to service their customers,” the circular said.

Bank to Bank Report

By Collins Nweze

Treasury Bills The CBN last Thursday, sold N150.1 billion worth of Treasury bills at an auction, as subscription levels dropped 31 per cent. The regulator sold N42.97 billion of 91-day treasury bills at a yield of 14.81 per cent, one basis point higher than the 14.80 per cent at an auction on February 23.

Also, N50 billion of 182-day notes were sold with a yield of two basis points lower at 15.48 per cent and N57.12 billion of 364day securities at 15.57 per cent, two basis points higher. Bids totalled N328.8 billion compared with N476.9 billion previously.

“The drop in subscription level is likely the result of tighter liquidity conditions as the central bank had sold N223.3 billion of bills through its open market operations in the previous week,” Alan Cameron, a London-based economist at CSL Stockbrokers Ltd., said. “The slight rise in yield was expected and resulted from the decline in subscription,” Edgar Ebinum, an analyst at Lagos-based Cowry Asset Management Ltd., said by phone. “The higher the demand, the higher investors would drive prices thereby contracting yields.”

Women Empowerment The Federal Government has said it will review and expand its economic window support to the rural women under the Women Fund for Economic Empowerment Scheme.

The scheme, which is being implemented in collaboration with the Bank of Agriculture is aimed at increasing women’s access to agricultural financing. The Minister of Women Affairs, Hajia Zainab Maina, who spoke in

Abuja on Thursday said the soft loans will assist in boosting the productivity of women.

Speaking through the Permanent Secretary of the Ministry, Elizabeth Emuren, she said the present government believes that investing in the rural women is key to eradicating poverty and hunger, which are the prerequisite for the attainment of the Millennium Development Goals.

Governor, Central Bank of Nigeria (CBN), Sanusi Lamido Sanusi, also said the apex bank’s policy encouraging women to occupy top management positions on the boards of banks should not be seen as a favour, but as a means of providing an environment for qualified women to take advantage of opportunities available.

Specialised Banks The CBN has finally waived the daily cash withdrawal limit of N1 million for specialised banks, namely microfinance banks (MfBs) and primary mortgage institutions (PMIs). A circular by the CBN signed

by Acting Director, Banking and Payments System, Gaius Emokpae, said that the waiver was due to the nature of their businesses.

The regulator explained that the practice where commercial banks apply cash withdrawal/deposit limits for corporate organisations to PMIs and MFBs will no longer hold. It explained that they are specialised banks under the new banking model, which have customers that maintain savings demand and time deposit accounts with commercial banks.

“As deposit-taking institutions, they are obliged to honour the withdrawal requests of their customers and other deposit obligations. It is imperative to note that the aggregate withdrawal by the depositors of MFBs and PMIs per day could exceed N1

Sterling Bank Plc said it is committed to becoming a systemically important commercial bank that impacts on all sectors of business in the economy. A report from the bank entitled: “Sterling Bank: Yesterday, Today and Tomorrow,” revealed that the financial institution is strengthening its processes to become a leading tier two bank in the country by 2016.

Sterling Bank’s Chief Strategy Officer, Yemi Odubiyi, said the bank’s customers and shareholders are in for a good time, adding that the institution will remain true to its core values of customer focus, integrity, team work and excellence. He said the bank desires to be a competitive financial services franchise, fully scaled business model with institutionalised processes beyond the stewardship of current owners and managers.

Mainstreet Bank Limited has been authorised to collect Land Use Charges for Lagos State Government. The charge is a levy imposed on owners of properties in Lagos State, which is expected to be remitted to the state government. The Land Use Charge Law is a new parliamentary instrument, which replaces all existing state and local government taxes on real estate in the state.

A statement from the bank said the mandate comes on the heels of a recent one from the Federal Inland Revenue Services (FIRS), which enabled the bank to take advantage of its branches across the country, in receiving funds from payment of taxes and other revenues.

Fidelity Bank Plc said it had fully automated its operations and the entire credit process system in all its branches in the country with the deployment of Credit Quest software. A statement from the bank said this development has put the bank in a vintage position to implement the Central Bank of Nigeria’s (CBN) cash policy, an initiative aimed at reducing the amount of cash used in transactions in Nigeria, starting with Lagos, which has the bulk of commercial transactions in the country.

According to the Executive Director, Risk Management, Mrs Onome Olaolu, the entire credit process of the bank has since gone live with Corporate Banking, lending branches in Lagos, Southwest, Southeast and Southsouth banks while branches in the northern part of the country took off last week.

Lagos State Government withdrew the criminal charge against Suzanne Iroche, Okey Nwosu and Sebastian Adigwe - all former Managing Directors of FinBank Plc on the grounds that the transaction between Zumax Nigeria Limited and FinBank Plc, which led to the case, preceded their tenures in FinBank.

THE NATION MONDAY, MARCH 12, 2012

39

LABOUR Enugu transport workers lament 22 months unpaid arrears

Workers back NITEL’s liquidation S E OME senior civil servants have praised the Federal Government’s planned liquidation of Nigeria Telecommunications Limited (NITEL).

The Senior Staff Association of Communication Transport and Corporations (SSACTAC) said the exercise would pave the way for payment of NITEL’s debts.

The association said liquidation was the best option given NITEL’s decaying assets, which have not been utilised for years.

It urged the government to use the proceeds from the liquidation to offset debts owed third party creditors and pay the entitlements of the over 400 workers manning the moribund assets.

Justifying the planned exercise, SSACTAC President Comrade Adetunji Adesunkanmi, said since the government was not prepared to commit any fund into NITEL, it is better to liquidate the corporation rather than allow it degenerate further. ”We welcome the government’s decision to liquidate NITEL/MTEL because it is a waste of resources for government to continue to keep NITEL. So, it is better the government liquidates NITEL because the structures are degenerating by the day. We advise the government to use the proceeds to settle third party creditors and pay the

Stories by Dupe Olaoye-Osinkolu

entitlements of the 400 workers manning the assets. Government is not willing to commit any fund to NITEL and it does not want to hand it over to the workers to manage, so liquidation will be in the best interest of the economy,” he said.

On the fate of the workers, Adesunkanni said: “The workers are being owed over seven months salaries. Is it not better for the government to pay them their entitlements so that they can move on with their lives rather than remaining there without any hope of survival?”

Adesunkanmi appealed to the Nigeria Communication Commission (NCC) to grant licences to more fixed line operators to make more competitive. This, he explained, will bring down the cost of Global System for Mobile Communication (GSM).

The National Council on Privatisation (NCP) in June 2010 reactivated the Presidential Task Force on NITEL/MTEL Labour Restructuring to sort out the outstanding salaries and allowances owed NITEL/MTEL staff and to determine the number of those to be disengaged to reduce the wage liabilities. The task force, chaired by the Minister of Labour and Productivity, Chief

Chukwuemeka Wogu, presented the government with three options.

According to Adesunkanmi, “The first option is for the government to disengage all current employees and immediately re-engage 455 transition staff from the current 3,389, with a monthly wage bill of N115.5 million from the current N695 million, who will remain to handover to a new core investor. The second option is to disengage all employees who are currently aged 45 and above and those that have served for 25 years and above. This will reduce the current workforce by 2,250, approximately 66 per cent of the staff and reduce the monthly wage bill from N695 million to N187.6 million.

“The third option is to disengage all employees who are aged above 50 and those that have served for 30 years and above.

This will reduce the current workforce by 1,402 approximately 41 per cent of staff and also reduce the wage bill from N695 million to N313.8 million.However, the task force recommended the adoption of the first option where all staff are exited and paid off their entitlements. The government acted on the first option and paid all staff of NITEL’s their entitlements including the 29 months salary arrears.”

Dismissed staff petition minister

N

O fewer than 500 workers of a construction firm, AKS Nigeria Limited (ANL), have petitioned Labour and Productivity Minister Emeka Wogu, over their dismissal.

They claimed that they were sacked without pay by Receiver/Manager of the company, Ajayi Olusegun, following a purported court order.

The company’s branch union Chairman, Comrade Andrew Ebere, alleged that Olusegun, executed a court order.

In the petition sent to Wogu on their behalf, the Steel and Engineering Workers Union

(SEWUN) alleged that due process was not followed before they were sacked.

The company’s branch union Chairman, Comrade Andrew Ebere, alleged that Olusegun and some policemen drove all the workers – both Nigerians and foreigners – out of the factory at Plot 27, LSPDC Industrial Estate, Ikorodu, Lagos in December, last year.

According to him, Olusegun told the workers he wanted to take an inventory of the factory, which would take two days and directed them to report back after 48 hours.

He said the workers who reported back as directed were prevented from entering the fac-

tory by securitymen at the gate without explanation.

Ebere appealed to Wogu to ensure that the dismissed workers are recalled because efforts by the national secretariat to resolve the issue have proved abortive.

He urged the minister to set up an enquiry into the matter.

Ebere said if Olusegun cannot re absorb the workers, he should pay their entitlements in line with the existing conditions of service.

He said the workers can no longer meet their needs because of hardship, adding that their rights have been violated by the receiver`.

NUGU State Transport Company (ENTRACO) workers have appealed to the state government to pay them their 22 months’ salary arrears.

The workers alleged that they have not been paid their salaries since April 2010.

Their leave allowances were paid last in 1999, they added.

The company, an off-shoot of the Transport Corporation of Anambra State (TRACAS), has been a shadow of itself since 1999 when it was last given a new vehicle.

Its management relies on hired vehicles to operate.

A member of staff, who spoke on condition of anonymity, lamented that efforts to get the government to pay them have failed. ‘’What we do is to hire vehicles and take commission on the income generated from such vehicles. ‘’Because we have no vehicles of our own, people register their vehicles with us to use our logo. Under such arrangement, such vehicle owners are saved from police harassments. ENTRACO is owned by a state government. ‘’However, if such a vehicle generates about N100,000, they pay us 10 per cent which is N10,000, for using our facilities, parks and offices, including the company’s logo. But, this is where it ends,” he said.

NUJ rakes in N50m for secretariat

T

HE Nigerian Union of Journalists (NUJ) has received about N50 million of the pledges made to it during the 2011 fund-raiser for the building of its national secretariat.

The NUJ President, Malam Mohammed Garba, told The Nation that part of the amount has been spent on architectural design and building plan of the secretariat.

He said construction of offices and sinking of boreholes had reached about 60 per cent completion, vowing that before his tenure ends, NUJ would stop paying rent.

“The issue of paying of rents has remained our greatest challenge since 2005. In 2012, rents stood at more than N14 million for NUJ and the International Institute of Journalism (IIJ). We are working tirelessly to ensure that this structure is put in place. I want to assure you that before my tenure ends, we will stop paying rents,” he said.

He said the union had acquired a 5.04 hectares at Mabuchi in Abuja valued at N750 million, for the construction of the permanent secretariat.

The president, however, said the union was still striving to source for more funds for the fencing of the NUJ land.

Skills acquisition centres for Kogi

G • Wogu (right) shaking hands with Lokoson at the event.

Unemployment: Wogu seeks security agencies’ input

M

INISTER of Labour and Productivity, Chief Emeka Wogu, has called for input from security agencies to stem youth restiveness.

Wogu spoke at a seminar on National Security for Course 20 of the National Defence College(NDC) in Abuja. He spoke on National policy on employment in Nigeria: Implications for Nigeria’s national security.

He said: “The unemployment situation in the country, notwithstanding, security threats and related issues are of global dimension. Insecurity is not peculiar to Nigeria. I advocate special focus on youthrelated security challenges and its relations to various socio-economic policies and programmes. I suggest as an essential

first step in addressing youth restiveness arising from joblessness, the broadening of the base of policy initiation and implementation by inviting the active participation of appropriate security agencies for their input.”

To fine-tune employment-related policies and fast-track employment generation, he said the government should consider engaging unemployed youths in the agricultural sector.

“I wish to draw a few recommendations from all the various analyses of strategies, which if adopted, will assist to fine-tune employment-related policies and fasttrack employment generation. Government should insist on implementing em-

ployment guarantee schemes that will engage excess labour for productive activities in the agricultural sector and environment beautification, among others,” Wogu said.

While assuring participants of the present administration’s commitment to confronting the twin challenges of unemployment and insecurity, Wogu charged the officers to see insecurity as a project for policy formulation.

NDC Commandant Rear Admiral Thomas Lokoson said the insecurity in the country can partially be attributed to lack of job hence the college singled out unemployment for closer examination.

OVERNOR Idris Wada of Kogi has said the state government is to establish skills acquisition centres to offer training to women and youths.

Wada spoke in Lokoja at the flag-off of an eight-week training for 200 youths.

He said the centres would train the youth in various skills and trades, so they could live on their own and contribute to the economy.

Wada also said the centres would help curb unemployment and restiveness among women and youths.

He explained that the training for the 200 youths was organised to impart special skills on them to become self-reliant and employers of labour within a short period.

He charged the participants to take the programme seriously to justify government’s huge investment in them, promising that the government would not abandon them at the end of the exercise.

Wada emphasised that as future leaders, women and youths would be given special priority by the administration in its programme.

Special Assistant to the Governor on Youth Empowerment, Mr Friday Adams said the programme was introduced to empower the participants to be gainfully employed, fight idleness and reduce thuggery, especially among the youth.

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LABOUR Enugu transport workers lament 22 months unpaid arrears

Workers back NITEL’s liquidation S E OME senior civil servants have praised the Federal Government’s planned liquidation of Nigeria Telecommunications Limited (NITEL).

The Senior Staff Association of Communication Transport and Corporations (SSACTAC) said the exercise would pave the way for payment of NITEL’s debts.

The association said liquidation was the best option given NITEL’s decaying assets, which have not been utilised for years.

It urged the government to use the proceeds from the liquidation to offset debts owed third party creditors and pay the entitlements of the over 400 workers manning the moribund assets.

Justifying the planned exercise, SSACTAC President Comrade Adetunji Adesunkanmi, said since the government was not prepared to commit any fund into NITEL, it is better to liquidate the corporation rather than allow it degenerate further. ”We welcome the government’s decision to liquidate NITEL/MTEL because it is a waste of resources for government to continue to keep NITEL. So, it is better the government liquidates NITEL because the structures are degenerating by the day. We advise the government to use the proceeds to settle third party creditors and pay the en-

Stories by Dupe Olaoye-Osinkolu

titlements of the 400 workers manning the assets. Government is not willing to commit any fund to NITEL and it does not want to hand it over to the workers to manage, so liquidation will be in the best interest of the economy,” he said.

On the fate of the workers, Adesunkanni said: “The workers are being owed over seven months salaries. Is it not better for the government to pay them their entitlements so that they can move on with their lives rather than remaining there without any hope of survival?”

Adesunkanmi appealed to the Nigeria Communication Commission (NCC) to grant licences to more fixed line operators to make more competitive. This, he explained, will bring down the cost of Global System for Mobile Communication (GSM).

The National Council on Privatisation (NCP) in June 2010 reactivated the Presidential Task Force on NITEL/MTEL Labour Restructuring to sort out the outstanding salaries and allowances owed NITEL/MTEL staff and to determine the number of those to be disengaged to reduce the wage liabilities. The task force, chaired by the Minister of Labour and Productivity, Chief

Chukwuemeka Wogu, presented the government with three options.

According to Adesunkanmi, “The first option is for the government to disengage all current employees and immediately re-engage 455 transition staff from the current 3,389, with a monthly wage bill of N115.5 million from the current N695 million, who will remain to handover to a new core investor. The second option is to disengage all employees who are currently aged 45 and above and those that have served for 25 years and above. This will reduce the current workforce by 2,250, approximately 66 per cent of the staff and reduce the monthly wage bill from N695 million to N187.6 million.

“The third option is to disengage all employees who are aged above 50 and those that have served for 30 years and above.

This will reduce the current workforce by 1,402 approximately 41 per cent of staff and also reduce the wage bill from N695 million to N313.8 million.However, the task force recommended the adoption of the first option where all staff are exited and paid off their entitlements. The government acted on the first option and paid all staff of NITEL’s their entitlements including the 29 months salary arrears.”

Dismissed staff petition minister

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O fewer than 500 workers of a construction firm, AKS Nigeria Limited (ANL), have petitioned Labour and Productivity Minister Emeka Wogu, over their dismissal.

They claimed that they were sacked without pay by Receiver/Manager of the company, Ajayi Olusegun, following a purported court order.

The company’s branch union Chairman, Comrade Andrew Ebere, alleged that Olusegun, executed a court order.

In the petition sent to Wogu on their behalf, the Steel and Engineering Workers Union

(SEWUN) alleged that due process was not followed before they were sacked.

The company’s branch union Chairman, Comrade Andrew Ebere, alleged that Olusegun and some policemen drove all the workers – both Nigerians and foreigners – out of the factory at Plot 27, LSPDC Industrial Estate, Ikorodu, Lagos in December, last year.

According to him, Olusegun told the workers he wanted to take an inventory of the factory, which would take two days and directed them to report back after 48 hours.

He said the workers who reported back as directed were prevented from entering the fac-

tory by securitymen at the gate without explanation.

Ebere appealed to Wogu to ensure that the dismissed workers are recalled because efforts by the national secretariat to resolve the issue have proved abortive.

He urged the minister to set up an enquiry into the matter.

Ebere said if Olusegun cannot re absorb the workers, he should pay their entitlements in line with the existing conditions of service.

He said the workers can no longer meet their needs because of hardship, adding that their rights have been violated by the receiver`.

NUGU State Transport Company (ENTRACO) workers have appealed to the state government to pay them their 22 months’ salary arrears.

The workers alleged that they have not been paid their salaries since April 2010.

Their leave allowances were paid last in 1999, they added.

The company, an off-shoot of the Transport Corporation of Anambra State (TRACAS), has been a shadow of itself since 1999 when it was last given a new vehicle.

Its management relies on hired vehicles to operate.

A member of staff, who spoke on condition of anonymity, lamented that efforts to get the government to pay them have failed. ‘’What we do is to hire vehicles and take commission on the income generated from such vehicles. ‘’Because we have no vehicles of our own, people register their vehicles with us to use our logo. Under such arrangement, such vehicle owners are saved from police harassments. ENTRACO is owned by a state government. ‘’However, if such a vehicle generates about N100,000, they pay us 10 per cent which is N10,000, for using our facilities, parks and offices, including the company’s logo. But, this is where it ends,” he said.

NUJ rakes in N50m for secretariat

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HE Nigerian Union of Journalists (NUJ) has received about N50 million of the pledges made to it during the 2011 fund-raiser for the building of its national secretariat.

The NUJ President, Malam Mohammed Garba, told The Nation that part of the amount has been spent on architectural design and building plan of the secretariat.

He said construction of offices and sinking of boreholes had reached about 60 per cent completion, vowing that before his tenure ends, NUJ would stop paying rent.

“The issue of paying of rents has remained our greatest challenge since 2005. In 2012, rents stood at more than N14 million for NUJ and the International Institute of Journalism (IIJ). We are working tirelessly to ensure that this structure is put in place. I want to assure you that before my tenure ends, we will stop paying rents,” he said.

He said the union had acquired a 5.04 hectares at Mabuchi in Abuja valued at N750 million, for the construction of the permanent secretariat.

The president, however, said the union was still striving to source for more funds for the fencing of the NUJ land.

Skills acquisition centres for Kogi

G • Wogu (right) shaking hands with Lokoson at the event.

Unemployment: Wogu seeks security agencies’ input

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INISTER of Labour and Productivity, Chief Emeka Wogu, has called for input from security agencies to stem youth restiveness.

Wogu spoke at a seminar on National Security for Course 20 of the National Defence College(NDC) in Abuja. He spoke on National policy on employment in Nigeria: Implications for Nigeria’s national security.

He said: “The unemployment situation in the country, notwithstanding, security threats and related issues are of global dimension. Insecurity is not peculiar to Nigeria. I advocate special focus on youthrelated security challenges and its relations to various socio-economic policies and programmes. I suggest as an essential

first step in addressing youth restiveness arising from joblessness, the broadening of the base of policy initiation and implementation by inviting the active participation of appropriate security agencies for their input.”

To fine-tune employment-related policies and fast-track employment generation, he said the government should consider engaging unemployed youths in the agricultural sector.

“I wish to draw a few recommendations from all the various analyses of strategies, which if adopted, will assist to fine-tune employment-related policies and fasttrack employment generation. Government should insist on implementing em-

ployment guarantee schemes that will engage excess labour for productive activities in the agricultural sector and environment beautification, among others,” Wogu said.

While assuring participants of the present administration’s commitment to confronting the twin challenges of unemployment and insecurity, Wogu charged the officers to see insecurity as a project for policy formulation.

NDC Commandant Rear Admiral Thomas Lokoson said the insecurity in the country can partially be attributed to lack of job hence the college singled out unemployment for closer examination.

OVERNOR Idris Wada of Kogi has said the state government is to establish skills acquisition centres to offer training to women and youths.

Wada spoke in Lokoja at the flag-off of an eight-week training for 200 youths.

He said the centres would train the youth in various skills and trades, so they could live on their own and contribute to the economy.

Wada also said the centres would help curb unemployment and restiveness among women and youths.

He explained that the training for the 200 youths was organised to impart special skills on them to become self-reliant and employers of labour within a short period.

He charged the participants to take the programme seriously to justify government’s huge investment in them, promising that the government would not abandon them at the end of the exercise.

Wada emphasised that as future leaders, women and youths would be given special priority by the administration in its programme.

Special Assistant to the Governor on Youth Empowerment, Mr Friday Adams said the programme was introduced to empower the participants to be gainfully employed, fight idleness and reduce thuggery, especially among the youth.

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BUSINESS INTERNATIONAL

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US adds 227,000 jobs in February

HE United States economy created 227,000 jobs in February, while the unemployment rate stayed at 8.3 per cent, official figures have shown.

The rise in jobs added was above forecasts of an increase of 210,000 jobs, the Labour Department said.

The unemployment rate of 8.3 per cent is still the lowest in nearly three years and comfortably below the level of much of last year.

Separately, the trade deficit reached the highest in more than

three years.

US employment has been steadily rising over the past six months.

The number of new jobs being created has picked up pace to be consistently above 200,000 in each of the past three months, fuelling hopes that the US economy recovery is gathering pace and is less likely to need further economic stimulus.

Earlier, the Head of the International Monetary Fund, Christine

Lagarde, said the US may exceed a previous forecast of 1.8 per cent growth as the recovery picks up speed.

New figures showed the US trade deficit higher than expected in January.

High oil prices and renewed demand helped to push imports to a record high of $233.4billion, according to the Commerce Department, with imports from China rising 4.7 per cent to $34.4billion.

The trade gap was $52.6billion in January, the highest since October 2008, and its estimate of December's trade deficit was revised up to $50.4billion from a previous figure of $48.8billion.

Employment in February rose in professional and businesses services by 82,000, with half of that in temporary help services.

Jobs growth also occurred in health care and social assistance, leisure and hospitality, manufactur-

ing, and mining.

Manufacturing added 31,000 jobs, with most car makers being taken on new workers and adding shifts and overtime to meet pent-up demand after production was disrupted early last year following the tsunami and earthquake in Japan.

Another positive note was provided by a revision to data showing that the economy had created 61,000 more jobs in December and January combined than was previously estimated.

UK interest rates on hold at 0.5% NITED Kingdom interest rates have been held at 0.5 per cent by the Bank of England, marking three years since rates were first cut to the record low.

Many analysts expect rates to remain at that level for at least another year.

The Monetary Policy Committee (MPC) also decided to make no change to its quantitative easing (QE) programme.

QE is the bank's scheme to boost the economy by buying bonds. Last month the bank boosted spending on it by £50billion, taking the total stimulus to £325billion.

The BoE started its QE programme, which buys mainly government-issued bonds in an attempt to free-up cash for lending in 2009.

Ian McCafferty, chief economic adviser at the CBI business group, said: "Since the MPC has been signalling that the current policy stance is broadly appropriate, it appears that the economic climate would have to deteriorate to prompt a further exten-

U

sion of QE. "Nevertheless, with economic conditions fragile and the level of uncertainty high, monetary policy decisions are still likely to be finely-balanced," he said.

QE has been criticised by the pension industry. Earlier on Thursday, the National Association of Pension Funds said the policy had reduced the value of final-salary pension schemes by a further £90billion.

Analysts say that interest rates are likely to remain unchanged for months and probably years.

They say you can't please all of the people, all of the time. But three years on since the Bank of England launched its quantitative easing policy, the central bank seems to be pleasing very few people at all. ” Last month, Bank of England Governor, Mervyn King, said he expected the UK economy to "zigzag" this year - dipping in and out of growth - but would avoid falling back into recession.

Ford offers lump-sum payouts to retirees

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ORD Motor Company is offering lump-sum payouts as an option for future salaried retirees in the United States as part of its push to decrease the risk presented by its pension obligation.

The move, discussed during an investor presentation , is one of the tenets of the No. 2 US automaker's effort to tackle an issue that has hurt its market value and ability to achieve an investment-grade credit rating.

The automaker said it was exploring other options to "de-risk" its pension plans. The firm already said it would pour $3.5 billion into its plans and is shifting those assets more heavily toward bonds.

"While we have no plans to freeze or terminate our plans at this time, we monitor and evaluate the competitiveness of our benefits on a periodic basis," Ford Treasurer Neil Schloss said dur-

ing a presentation to analysts.

General Motors Co also announced a lump-sum payment option for its white-collar workers last month and said it was moving its veteran white-collar workers to 401(k) retirement plans to reduce future pension liabilities.

Ford's global pension plans were underfunded by $15.4 billion at the end of last year. That shortfall, which widens and contracts based on asset returns and interest rates, is typically viewed as debt by investors.

"The volatility of the funded status drives unpredictable variability in our profits, in our cash, and adds non-core financial risk," Schloss said.

Ford has about 25,000 salaried employees in the US. Currently, it has about 195,000 hourly and salaried retirees and surviving spouses.

•A Chinese woman selling food

China's inflation rate falls as food prices rises slow

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HINA'S inflation rate has fallen to a 20-month low as food price rises eased, giving policy-makers room to stimulate the economy.

Inflation was 3.2 per cent in February, down from 4.5 per cent the previous month, the National Bureau of Statistics said. That is the lowest since July 2010.

Premier Wen Jiabao had on Monday set China's 2012 inflation target at four per cent.

China's economy has been sluggish in recent months as weak demand from Europe has weighed on exports.

Rising prices had been easing steadily from a three-year high of 6.5 per cent in July, but then rebounded in January, sparking fears that price pressures remained.

However, analysts said inflation readings in the first two months of the year were often skewed because

of the lunar new year holidays.

Consumers tend to spend more heavily ahead of the holiday period before cutting back after the new year. This means that retailers tend to discount goods after the new year in an attempt to stoke demand.

"The latest consumer price index number is mainly because of the dissipation of the Chinese New Year effect," said Kevin Lai from Daiwa in Hong Kong.

"Prices came down after the holiday, especially food prices."

More fracking rules hinder development, says Exxon boss

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TATE and local regulations in shale oil and natural gas-rich plays across the United States provides sufficient oversight while adding federal layers hinders development, Exxon Mobil Corp (XOM.N) Chief Executive Rex Tillerson said.

Tillerson, addressing an audience of energy executives at the annual CERAWeek conference in Houston, said layers, complex regulatory professes in oil and gas development "has become an obstacle to getting anything done."

He said state and local governments with a close-up view of needed protections sufficiently oversee oil and gas activity while collaborating with producers.

"They provide us the roadmap with how to get something done," Tillerson said. "Today, the regulatory process is so complicated and so involved with so many different agencies, it's a roadmap on how to not get anything done."

He cited President Barack Obama's

rejection of a federal permit to allow TransCanada (TRP.TO) to build its proposed $7 billion Keystone XL pipeline from Canada to Texas to transport Canadian oil to Gulf Coast refineries.

Environmental groups and some states had opposed the pipeline on integrity concerns and whether it would increase dependence on emissions-heavy Canadian oil production.

BMW’s profits rise in China

Coke, Pepsi alter recipe to avoid cancer warning OCA-COLA and PepsiCo account for nearly 90 per cent of the United States fizzy drink market Coca-Cola and Pepsi are changing the recipes for their drinks to avoid being legally obliged to put a cancer warning label on the bottle.

The new recipe for caramel colouring in the drinks has less four-methylimidazole (4-MEI) - a chemical which California has added to its list of carcinogens.

The change to the recipe has already been introduced in California but will be rolled out across the US. Coca-Cola says there is no health risk to justify the change.

Spokeswoman Diana GarzaCiarlante told the Associated Press news agency they wanted to ensure their products "would not be subject to the requirement of a

C

scientifically unfounded warning.”

The chemical has been linked to cancer in mice and rats, according to one study, but there is no evidence that it poses a health risk to humans, said the American Beverage Association, which represents the wider industry.

The US Food and Drug Administration (FDA) claims a person would need to drink more than 1,000 cans of Coke or Pepsi a day to take in the same dose of the chemical that was given to the animals in the lab test.

Coca-Cola and PepsiCo account for nearly 90per cent of the US fizzy drink market, according to one industry tracker, Beverage Digest.

The companies say changing their recipes across the whole of the US, not just in California, makes the drinks more efficient to

manufacture.

In a statement Coca-Cola added that the manufacturing process across Europe would not change.

It said that apart from California "not one single regulatory agency around the world considers the exposure of the public to 4-MEI as present in caramels as an issue".

Emirates presses Airbus for A380 wing compensation Emirates Airlines has said it wants compensation from Airbus, saying it will lose $90m (£57m) while repairing its A380 superjumbos affected by hairline cracks in their wings.

Emirates found cracks on the wings of 10 planes it has already inspected.

It added that every one of its 21 A380 fleet would need remedial work.

Last month, the European Aviation Safety Agency ordered all A380 superjumbos to be checked, while saying that the plane was safe to fly.

Emirates president Tim Clark told the Financial Times that the grounding caused "a lot of commercial hardship".

The firm has ordered a further 69 A380 planes, making it the largest single customer for the aircraft.

Airbus owner EADS insists that the "safe operation of the [A380] planes is not affected".

The hairline cracks were first discovered by engineers of the Australian airline Qantas. They measure less than two centimetres in length, and are found in the planes' wing rib feet, the metal brackets that connect the wing's ribs to its skin

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ALES to China are still growing fast German carmaker BMW says it has seen record profit margins in its core car business for 2011.

Its profits jumped by 51 per cent last year to 4.9billion euro ($6.43billion; £4.1billion) compared with 3.24billion euro from the year before. Sales rose 14 per cent to 68.82billion euro.

Boss Norbert Reithofer said BMW's new records in “sales, revenue and profit” had “more than reached our goals. “ Profits were helped by a sharp jump in sales of its luxury cars and sport utility vehicles (SUVs) in China.

Competitors Daimler and Volkswagen have also seen big profits from export sales thanks to demand from China and other emerging markets.

RESULTS Man. Utd. 2 - 0 West Brom Swansea 1 - 0 Man City.

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NEWS Court affirms Olumegbon as Ajah overlord

Court urged to dismiss Access Bank’s application against winding-up suit

•Ajiwe family loses land case

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N IKEJA High Court has affirmed the Olumegbon of Lagos, Alhaji Lawal Olumegbon as the overlord of Ajah and dismissed the Ajiwe Family’s claim to the 23.43 hectares of land on which the Ajiwe Village is located at Eti-Osa local Government Area of Lagos State.

The presiding judge, Justice Oke Lawal, said the claimant, Chief Taiwo Elemoro, failed to prove beyond reasonable doubt that the land belonged to the descendants of Ajiwe Village.

Elemoro had approached the court for a perpetual injunction restraining the defendants from encroaching on the land by either selling, alienating, building or developing any part of it without his authority.

However, under cross-examination, Chief Lawal Olumegbon, claimed that his grandfather was the founder and first settler of Ajah, including Ajiwe, about 300 years ago. He said his forebears gave some portions of the land to strangers for use

By Emmanuel Oladesu Deputy Political Editor

and occupation.

He added: “Olumegbon family is the overlord of Ajah, Okun Ajah and environs, including Ajiwe Village and all other families, numbering 37, including Ajiwe clan, derived their holdings from the Ogunsemo family and the claimants are never owners of the land nor their predecessors in title. There can be no excision to the claimants”.

Justice Lawal noted that that Ojupon and Ogunsemo families of Ajah recognised and accepted Chief Olumegbon as the overlord of Ajah, stressing that the claimants failed to prove that the land excision was to their favour.

The judge frowned at the inability of the claimants to call witnesses to buttress his points, adding that, the two witnesses called contradicted themselves before the court.

Justice Lawal added: “In conclusion, I find that the claimant has failed to establish their claims and the claimants’ claim fails in its entirety and is accordingly dismissed”.

By Eric Ikhilae

•Olanipekun

SENIOR advocate, Anthony Ajibola Aribisala has asked a Federal High Court in Lagos to dismiss applications by Access Bank Plc, seeking to, among others, restrain him from advertising a winding up petition he filed against the bank.

Arguing Aribisala’s preliminary objection on Friday, Wole Olanipekun, SAN, who led a team of lawyers, argued that the applications by the bank were not supported by law and were asking the court to do the unprecedented.

In the applications, Access Bank, represented by Tunde

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Fagbohungbe, SAN, prayed the court to ensure that all motions filed in the suit shall be served on it. It also urged the court to restrain the petitioner from publishing in the media anything in respect of the case.

Olanipekun, who led Aribisala, Roland Otaru (SAN) and Oladipo Okpeseyi (SAN) for the plaintiff, argued that Access Bank’s applications violated the provision of section 6 (6) of the Company WindingUp Rules, which required a petitioner under the rule to apply ex parte to advertise the petition.

He described the bank’s application as a gross abuse of court’s process, noting that what the bank asked the court to do by restraining the petitioner from applying ex parte for a leave to advertise amounted to an abuse of the court’s process.

“The danger in acceding to the application by the bank is that the court would have unknowingly decided the case in

a way. The court at this stage does not have the jurisdiction to decide whether or not that debt is disputed,” he said.

Olanipekun argued that should the court grant the application, it would unknowingly deny itself the jurisdiction to hear the petition because such ex parte for advertisement formed part of the condition precedent to the court’s assumption of jurisdiction over a winding up petition.

He queried whether it was within the power of the court to prevent media publication of an action before the court, even when no specific mention was made of a particular media organisation.

Fagbohungbe had, while arguing his application, said his client’s prayers were hinged on the contention that the suit was wrongly brought before the court because the alleged debt owed to Aribisala by the bank was being disputed.

He argued that a windingup proceeding was not the

Firm’s receivership intact, says manager

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HE management tenure of AKS Steel Nigeria Limited’s receiver/manager, Mr Olusegun Ajayi, has not expired, the company said at the weekend.

Ajayi, in a statement, dismissed claims that his tenure had expired after 14 days of the order investing him

with the powers to manage the company.

He assured stakeholders that he remains fully in charge of the company.

According to him, those peddling the rumour “are just being mischievous,” and “their lawyers should have properly advised them that an ex parte order remains val-

id and binding until it is set aside by a competent court.”

He alleged that there were efforts made to ensure that the order is not heard within 14 days purportedly to frustrate the receivership of the company.

Ajayi, a lawyer, said the former workers did not take over the company as

rumoured, adding that they were not sacked, even though they allegedly abandoned their duty posts at some point.

He said he invited the national leaders of the National Union of Steel and Engineering Workers of Nigeria (SEWUN) to intervene and persuade the workers to

resume work.

Bamidele said the company thereafter engaged the services of other people in order to start skeletal operations on January 21.

“When I assumed duty on December 20, 2011, I asked the relevant officers to prepare all that the workers needed to be paid. “

proper suit in respect of alleged disputed debt arising from a contractual agreement.

Fagbohungbe also queried the petitioner’s locus standi, arguing that there was no agreement between parties that Arbisala was entitled to 10 per cent of debt recovered for it by the petitioner.

He contended that the court could not hear the petitioner’s winding-up suit because he has not been able to show that he actually recovered any debt for the bank to entitle him to the said 10 per cent.

Justice John Tsoho adjourned the case to May 23 for ruling.

Access bank is one of the three banks against whom Aribisala filed winding-up petitions for their alleged refusal to pay him for the services he rendered, particularly in the recovery of their trapped debt.

The other banks are Intercontinental and Keystone Bank.

In separate affidavits attached to the three motions, Aribisala said the money estimated at over N3.25 billion represent the professional services he rendered to the banks, which they had failed to pay after series of writing to them.

According to him, the respondents had severally shown their inability to pay their indebtedness after demand was made on them in accordance with the provisions of the Companies and Allied Matters Act. 1990.

Hearing in the other cases has been fixed for May 18.

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FOREIGN NEWS

‘No deal’ as Kofi Annan ends Syria trip I NTERNATIONAL envoy and former United Nations chief Kofi Annan left Syria yesterday without a deal to end the bloody yearold conflict as regime forces mounted a new assault on rebel strongholds in the north.

Annan said he presented President Bashar Assad with concrete proposals “which will have a real impact on the ground.”

“Once it’s agreed, it will help launch the process and help end the crisis on the ground,” he told reporters at the end of his two-day visit to Syria.

Annan, who also met with Syrian opposition leaders and businessmen in Damascus, said he was optimistic following two sets of talks with Assad, but acknowledged that resolving the crisis would be tough.

“It’s going to be difficult but we have to have hope,” he said.

The former UN chief called for reforms that would create “a solid foundation for a

democratic Syria,” but added: “You have to start by stopping the killing and the misery and the abuse that is going on today and then give time for a political settlement.”

The ongoing bloodshed cast a pall over the U.N. efforts to end the country’s yearlong conflict, with both the regime and the opposition refusing talks with the other.

In his discussions with As-

Opposition teams up against Wade in Senegal’s runoff

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•Annan

sad on Saturday, Annan made several proposals to end the political crisis and start a political dialogue. He was rebuffed by the president who rejected any immediate negotiations with the opposition, striking a further blow to already faltering international efforts for talks to end the conflict.

Assad told Annan that a political solution is impossible as long as “terrorist groups” threaten the country.

The opposition’s political leadership has also rejected dialogue, saying talk is impossible after a crackdown that the UN estimates has killed more than 7,500 people. That makes it likely that the conflict will continue to edge toward civil war.

ENEGAL’S opposition joined forces at a mass rally yesterday, to block 85-year-old President Abdoulaye Wade from landing a third term in office and back challenger Macky Sall.

The 12 presidential candidates who fell out of the running in a first round of voting on February 26 have formed a coalition they hope will usher former Prime Minister Sall into power.

Wade is facing a stiff battle to retain power at the March 25 poll after a strong opposition showing crushed his hopes of overall victory in the first round and forced him into a runoff.

Yesterday’s rally took place at Obelisk Square, the site from where a month of violent protests against Wade’s candidacy began in the run-up to the election, leaving six dead and over 150 injured.

The election in a country known as a haven of stability in troubled west Africa is being closely watched by foreign allies concerned about one of their reliable African partners.

Sall (50) on Saturday announced the launch of the Al-

liance of Forces for Change coalition, which will be backing him in the runoff election.

“It is the synergy of all our forces, our energy and our means. Together we will go and conquer votes, together we will win and together we will lead Senegal,” he told journalists.

All the runners-up, who together totalled 60% of first round votes to Wade’s 34.8%, have come out in support of Sall going into the run-off.

Sall, who polled 26.5% in the first round, is the favourite to win.

Wade, who has been in power for 12 years and is accused of massaging the Constitution to circumvent a two-term limit he himself imposed, has been on the religious circuit courting influential Muslim leaders.

With the opposition backing Sall, the leader is counting on the powerful Islamic brotherhoods to call on Senegalese to vote for him.

On Saturday night he met a leader of the Mourides, the overwhelmingly Muslim country’s most powerful and influential brotherhood to which he himself belongs.

11 dead in Jos as suicide bombers attack Catholic Church Continued from page 4

One of the youths, Ezekiel Davou, said: “To hell with soldiers; we don’t need them.

Where were they when the bombers came in? Why can’t the soldiers prevent attacks on the churches? Where is the state of emergency? The soldiers are our problems; we don’t need them anymore, we are tired of all these. We are attacking them because their coming here after the suicide attack is useless.”

A victim at the Plateau State Specialists Hospital, Dogo Danjuma, said: “I thank God mine is injury. Many have died. My worry now is what sort of security we have in Jos? There are soldiers at every check point and they stop and check vehicles coming in and out of Rayfield; why did the soldiers fail to see the explosives in the bombers’ car. There is a kind of

conspiracy here. And they say Jos is under state of emergency, yet we are not safe; we are not safe to worship; why?

A National Emergency Management Agency (NEMA) official said: “From the scene of the blast, our team picked three bodies to the mortuary. I’m not saying the death figure was not more than three, there could be more but our team picked three, and we are not the only agency involved in the rescue team.

The Special Task Force (STF), the Civil Defence, the Red Cross were all involved. So, it’s difficult to confirm the casualty figure now, but by tomorrow when everything settles down, we can go round all the hospitals in the city to get the statistics of the dead and the injured.”

The Youth Wing of the Christain Association of Nigeria (CAN) called on the Federal Government to revisit the recent posting of military officers across the country. “We witnessed about seven months of peace in Plateau State, but as soon as the Federal Government made the general postings and a new commander of Hausa-Muslim extraction resumed in Jos, the attacks have resumed.”

The explosion set the ongoing National Youth Service Corps (NYSC) orientation camp in disarray. Youth Corps members at the Zang Commercial Secondary School camp are fleeing. When The Nation visited the camp, many of the Youth Corps members especially those from the southern part of the country, were looking for means to flee the city.

One of the Youth Corps members, Alexander Mathew, said: “Our fear is deep because, each day, we see signs that we are not safe in this camp. A few days ago, 10 strange boys were arrested from our midst by security agencies. Those boys could be spies of Boko Haram and Boko Haram hates Corps members. We started this orientation barely two weeks ago and within two weeks, there have been two suicide bomb-

ings in Jos.” Many parents and guardians with wards at the Jos Orientation Camp have made frantic calls to their wards to return home immediately. But the Plateau State co-ordinator of the NYSC, Mr. Maram Maful, called an assembly of the Youth Corps and pleaded with them not to leave. He assured them of adequate security.

While Youth Corps members from the southern part of the country insist on deserting the camp, their colleagues from the North were helping the commandant to convince the others.

Some of the Youth Corps members escaped the camp in plain clothes and were seen at the Plateau Ridders Park booking to leave the state.

Jang expressed shock when he visited the scene of the blast and urged residents to remain calm.

Jang said, “Rather than crying and mourning, this is the time to pray to God to bring an end to these attacks. All that is expected of residents is to be more security conscious and be extra-vigilant and cooperate with the security agencies who have the capacity to investigate the sources of these attacks.”

After addressing sympathisers at the church premises in Rayfield, the governor, accompanied by security chiefs, visited victims at the Plateau Airforce Hospital, Plateau Specialist Hospital and the Jos University Teaching Hospital (JUTH) where most of the victims are receiving treatment.

The Muslim Community in Jos condoled with the Christians.

The Chief Imam of the Jos Central Mosque, Sheikh Daud Balarabe, in a statement, described the attack as “unfortunate, considering that we have been enjoying peaceful co-existence in the state in recent times”.

The Muslim community urged youths not to take laws into their hands by embarking on reprisal attacks but work with the security agencies to restore peace to the state.

THE NATION MONDAY, MARCH 12, 2012

61

NEWS STORIES FROM OUR READERS

‘Sheath your swords’

A

LAWMAKER has urged warring communities of Ojantele in Otukpo Local Government and Oprikwu in Obi Local Government of Benue State to sheath their swords.

The member representing Otukpo/Akpa Constituency in the House of Assembly, Baba Odeh, gave the advice recently while addressing the people of Ojantele.

He condemned the hostility between the two communities.

Odeh promised to liaise with his colleagues to resolve the age-long conflict.

The lawmaker appealed to fleeing residents to return home. Many people were injured during the crisis in the communities last month.

From Adoka Adaji, Otukpo.

•Osun State Governor Rauf Aregbesola (second left); former Oyo State Governor Rasheed Ladoja (left), Ladoja’s wife,Mutiyat and Rotimi Obadofin when Aregbesola visited Ladoja in Ibadan...yesterday

PDP CONGRESS

Violence mars congress in Benue

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HE Benue State chapter of the Peoples Democratic Party (PDP) last Saturday held its local government congress amid violence.

In Gwer Local Government, the home of the Chairman, Dennis Aernyi, was razed by members of a faction protesting the alleged diversion of electoral materials.

In Okpokwu, the tense se-

From Uja Emmanuel, Makurdi

curity situation led to the suspension of the congress.

A stakeholders’ meeting was chaired by the Deputy Governor, Steven Lawani, to douse tension.

The Minister of Interior, Abba Morro and Chairman of the PDP, Agbo Emmanuel, hail from Okpokwu Local Govern-

ment.

In Makurdi Local Government, the congress was held in a peaceful atmosphere as Terwase Aondokaa was elected as chairman.

Terwase, a seasoned politician, defeated his opponent, the incumbent, with a wide margin.

A lawmaker representing Makurdi\Guma Federal Constituency, Emmanuel

Jime, was beaten and stripped naked inside the Aper Aku Stadium.

According to an eyewitness, Jime, who is the House Committee Chairman on FCT, incurred the wrath of some youths when he insisted that the incumbent chairman be re-elected .

In Buruku Council, no congress was held due to the disagreement between the two factions of the party.

Consensus in Kwara

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HE Peoples Democratic Party (PDP) local government congress held on Saturday across the 16 councils in Kwara State went on smoothly.

Many of the party executives emerged through consensus.

The Nation’s investigation revealed that the election was more of an affirmation of the candidates.

It was gathered that in Kwara South and North senatorial districts, the congress was hitch-free.

From Ifelodun to Baruten, Kaiama to Irepodun, Offa to Edu and Ekiti to Patigi local government areas, the congress went on smoothly.

From Adekunle Jimoh, Ilorin

At the Ilorin South Local Government, the former chairman, Mohammed Adam, was unanimously returned.

The party secretary and vice chairman, Oba Suleiman and Saadu Ahmed, were also returned.

At Ilorin–South, cars were presented to the former ward chairmen of Okaka ward 1 and 2 by Lanre Daibu for their performance.

The Council Chairman, Abubakar Ishola, applauded the peaceful conduct of the congress.

“This is the first time leaders in the local government worked as a team to achieve the same goal.”

He thanked Daibu, his predecessor, for rewarding hard work and advised the former executives not to rest on their oars .

The Commissioner for Education and Human Capital Development, Mohammed Atolagbe, said the attitude of the people towards the congress was indicative of their support for the new executives.

Those of Ilorin East and other councils were peaceful.

In Ilorin East, the Special

Adviser to Governor AbdulFatah Ahmed on Transport and Utility, Bibire Ajape, said the new executives were able to advance the cause of the party.

The ex-chief of staff to former Governor Bukola Saraki, AbdulGaniyu CookOlododo, urged the new executives to be good ambassadors.

He told them to imbibe the virtue of transparency as exemplified by Saraki.

The PDP Publicity Secretary, Masud Adebimpe, said the acrimony-free congress lessened the job of the party’s national monitoring team from the secretariat in Abuja.

Members protest outcome in Kano, Taraba

M

IXED reactions have trailed the ward and local government congresses of the Peoples Democratic Party (PDP) in Kanoand Taraba states.

Aggrieved party members, who pleaded for anonymity, said the congresses were neither free nor fair.

They said: “In the first instance, there were no elections. There was only anointing by those who hold the knives and the yam within the party leadership.

“People were not allowed to vote candidates of their choice; rather, party men and women were forced to submit to the whims and caprices of the powers-thatbe.”

A party chieftain insisted that people were not given the opportunity to choose their leaders, “if we continue like this, we can never achieve internal democracy.

“I believe we should have a re-think the way we handle affairs concerning our great party. I am not aggrieved per-se because I have no interest, but I think there is need to carry everybody along for the interest of the party in the state,” he

From Kolade Adeyemi, Kano and Fanen Ihyongo, Jalingo

concluded.

Speaking on behalf of the PDP members of National Assembly from Kano extraction, Aminu Suleiman Goro, representing Fagge Federal Constituency, described the two congresses as, “excellent and most acceptable.

“I must tell you that anyone who has problem with the outcome of the ward and

local government congresses in Kano does not mean well for our great party.”

“Why are people talking about imposition? Who imposed who and where did the imposition come from?

“I think what you are saying is a string of mischief from people who feel they are no longer in the mainstream.”

The Peoples Democratic

Party (PDP) at the weekend elected new local government executives, amid protests.

Observers described the congress as a “mere formality”.

The congresses were held in Ibi, Wukari, Donga, Takum and Ussa -the five local governments that make up Taraba South.

In Kurmi, Lazarus Hausawa emerged as the PDP boss, while Clement Danjuma became the secretary.

400 elected in Ogun

D

ESPITE a court order, the Ogun State chapter of the Peoples Democratic Party (PDP) ignored the directives of the National Working Committee (NWC) and elected 400 persons in its local government congresses at the weekend.

The NWC, in a statement by the National Publicity Secretary, Rufai Akali, suspended all PDP congresses in Ogun State, “until all issues relating to disputes in the state are resolved.”

Akali also declared as “null and void” any con-

•Ignores NWC From Ernest Nwokolo, Abeokuta

gress conducted while those found to have flouted the NWC’s directives would be sanctioned.

But the state PDP said the 400 winners will serve as the party’s executive officers for the 20 local governments.

The exercise, which was largely peaceful in most of the local governments with participation by all groups within the Ogun State PDP, was monitored by officials

of the Independent National Electoral Commission (INEC), operatives of the State Security Service (SSS), the police and PDP officials from Abuja.

According to the DirectorGeneral, Goodluck Jonathan/ Sambo Campaign Organisation in the Southwest, Segun Sowunmi, the five- man PDP team from the National Secretariat, Abuja, included Mrs Ebi Peretu Nwuke (Chairman) Mrs Sally Amadi, Helen Salami, Audu Buba Walama and Timothy Jiya.

Until the congresses, all the

Draft EFCC to recruitment centres

P

RESIDENT Goodluck Jonathan has been urged to deploy the Economic and Financial Crimes Commission (EFCC) personnel to recruitment centres to

ensure that only successful applicants are employed.

Recruitment centres have become a breeding ground for corruption because children from poor homes are being schemed out .

From: 07051128268

Ex-militants: involve us in probe

W

E, the Niger Delta Ex-Agitators for Justice, appeal to the House of Representatives Committee on the Niger Delta probing the amnesty programme to involve ex-militants, who have undergone training at the Obubra camp in Cross River State for one year without being sent on skill acquisition training.

Anonymous

Construct Circular Road in Ibadan

T

RAVELLERS in Ibadan and environs are looking forward to the construction of a circular road in the city to curb traffic in the city.

With a circular road, vehicles travelling through the city will drive smoothly.

It will also open up the area and develop rural areas in addition to making it easier to transport food items into the city.

M. A. Makinde, Ibadan

Fire in Otukpo

T

HERE was a fire recently in Otukpo, Benue State, which burnt two cars and destroyed several stalls.

However, a bank and a church were saved .

Traders are appealing to the Federal Governmentto come to their aid.

Toobless, Otukpo, Benue State

Aspirant disowned for attacking Fayose From Sulaiman Salawudeen, Ado-Ekiti

T

HE Peoples Democratic Party (PDP) has disowned an aspirant for his unguarded utterance against former Ekiti State Governor Ayo Fayose, describing it as “having the potential to distabilise the party.”

Speaking with reporters at the weekend, Chairman of the party in Irepodun/Ifelodun Local Government, Sunday Olowoyo condemned Taiwo Olatunbosun for being unsportsmanly in his loss.

Olowoyo said Olatunbosun’s loss sealed his fate in respect of the state congress.

He said: “It is strange that the ex-deputy speaker could be cooking blatant lies to save his face after his loss in the ward congresses.

“Claims by Olatunbosun that the former governor attacked him at the party secrtetariat was not just “a ruse but a wicked lie.”

“On my honour I want to say that Fayose is entirely irrelevant to the issue on ground.”

Fayose said Olatunbosun had gone to the secretariat to challenge a list which was submitted and admitted for Saturday’s congresses..

“I was told Olatunbosun said my return to the party had swung votes againt him at the congress. I cannot understand that. We are not in the same ward.

“They also know my stand regarding Governor Kayode Fayemi, who I believe, is too young in the admisistration of the state for anyone to be planning to unseat.

“Fayemi is just a little above one year in office and it is only a fool who will be nursing any governorship ambition now. They should stop blackmailing me for this. I think that that is logical.

“But I know Olatunbosun is an agent of some people who are not comfortable with my return to the PDP. “My return to the party has made them to be irrelevant so they have resorted to blackmail.”

State Chairman of the Association of Local Government of Nigeria (ALGON)Toba Daramola also berated Olatunbosun.

Daramola, who is an ally of the former governor, urged the public to disregard Olatunbosun’s claim.

62

THE NATION MONDAY, MARCH 12, 2012

SPORT EXTRA LOSS OF DOCUMENT This is to notify the general public of the loss of the original Deed of Conveyance dated 5th March, 1947 registered as No. 40 at page 40 in volume 727 of the Lands Registry office, Lagos in the name of Emmanuel Adebiyi Williams in respect of the property at 2, Babani Street, off Apapa Road, Ebute – Metta, Lagos.

If found, please return to any of Mrs. Emma O. Folami, Mr. Olubode A. Williams or Isiaq Adebayo Esq. or call 08035026178

CONGRESS! CONGRESS!! CONGRESS!!!

The Alumni Association of the Adeniran Ogunsanya College of Education, (Formerly Lagos State College of Education Otto-ijanikin invites all her members to her forthcoming congress.

Date: — Saturday 17 March 2012.

Venue — Cynergy Suites Amuwo Odofin Mile 2 Extension (by Apple Junction or by Durbar Hotel).

Time — 10 am prompt.

Registration fee — N2,000.00 Members are kindly advised to come along with any original proof of identification as an old student of the college.

Come one! Come all.

Biodun Oladele National P.R.O

Shina Akintolure National Secretary

THE NATION MONDAY, MARCH 12, 2012

63

www.thenationonlineng.net

MONDAY, MARCH 12, 2012 TRUTH IN DEFENCE OF FREEDOM

WHO SAID WHAT

‘We must rally round our leaders and focus on things that can make us not just a mere big nation but a nation that is big in population, big in size and big in charting a course for all the black people of the world’ VOL

7

NO2,062

C OMMENT & D EB ATE EBA

T

HE Nigeria of today has a sort of Dickensian flavour because it is at once a season of hope and a ‘winter’ of despair. Charles Dickens’ novel, A Tale of Two Cities, occupies a special pedestal in the great writer’s canon, and it sheds some light about societies in transition like Nigeria.

The real issue is, we do not know in the long run whither Nigeria is changing, for good or for ill. That is why I recommend the Dickensian opus to Nigerians who still find time for the rarefied pleasure of reading.

Dickens writes about the French Revolution, and contrasts the life before and after the whirlwind events of that epoch, and how humans exhibited some of the basest impulses of power and lust in the context of social injustice. He also looks at Paris in the belly of tumultuous change. He examines London, locked in its conservative repose, which was at once superior and jealous of its continental counterweight.

That generation of Europeans gave us what we can call the modern world. Out of the ashes of that dazed tongue of fire, of ideological ruins and charred flesh crystallised some of the great systems of government, the sweet American hubris, the flowering of commerce, science, technology and the philosophical triumphs of the humanities.

Dickens’ tale, as always, was a bleak house, but the West endured so they could enjoy.

In Nigeria today, we have a bleak day after a bleak day. And this generation, like no other in our history, is saddled with the high task of either midwifing us into a berth of peace and prosperity or of wheeling us into a ‘winter’ of despair. To some, the winter – which I should call harmattan to domesticate Dickens – will be more economic ruins, the anarchy promised by Boko Haram and the resurgence of Niger Delta militancy, or the worst scenario, the breakup of the nation into a number of ambitious parts.

The slaughter of two foreign nationals in a toilet in Kebbi triggered many reactions in the land. One of such was the gathering of northern bigwigs like IBB and Atiku to tackle the problem of a nation smothered by sectarian rage. But it was not that alone that engendered this piece. The northern governors sat earlier and said “enough is enough” to the fiery group.

Yet, the task before this generation also came to high relief when the same northern governors announced that they wanted a revision of the revenue allocation formula.

No other than the ebullient Governor Babangida Aliyu articulated his colleagues’ worry. The Budget from President Goodluck Jonathan ignited concern when an appar-

RIPPLES

SAM OMATSEYE

IN TOUCH

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

Talking not to talk

•Babangida •Atiku ently lopsided allocation went to the Southsouth, and it was followed by men from the region saying they bake the cake and they should take the lion’s share. In the interim, we still have issues of the rule of law, like the brazen show of force in installing a governor without respect for decency.

Again, we also have brewing a judicial system that prizes technicality over the substance of cases as in the litany of recent verdicts of the Supreme Court. Meanwhile, after many people died and businesses paralysed over oil subsidy or corruption subsidy, the price of petrol has jumped up in defiance of the agreement with labour in parts of the coun-

HARDBALL

Jonathan to Nigerians: I’LL DEFEND YOU ALWAYS

Jonathan. Clearly the President has not shown the lofty vision, energy or empathy to tackle the issues. He is captive to petty and partisan politics and surrounds himself with two sorceresses of the economy and a team that splurges resources without results.

Some of the steps taken by the northern elders, especially when they talk in the open, reflects a big divide between the president and the northern leaders. If there was communication, they would not be announcing all their fears and concerns in the open. We seem to be a nation without a table or chairs, except for parties and parting of ways. We need leadership right now, not rancorous debates and acrimonious bickering.

The stakes in today’s Nigeria are high.

That is why we need a great generation.

Former news anchor of American television network, NBC, Tom Brokaw wrote a book titled The Greatest Generation. In it, he serenaded the Second World War generation, who through sacrifice and a spirit of innovation lifted the country from a slough of despair to the confirmed giant of the world.

The generation was ready when the times beckoned.

It is crisis that makes great leaders. Some have disputed Brokaw’s thesis and pointed to a few other generations in U.S. history, including the founding fathers’, the civil war years, the progressive era and the era between the Lincoln years and Theodore Roosevelt called Gilded Age. These were all great generations. We do not yet have one great generation. So how can we have a great nation?

Great nations cannot come with a mediocre president. Committees cannot just will a nation into prosperity. We need a leader, a leader to turn our schools into centres of proper learning again, to bring healthcare high in a spirit of innovation, to make the verdicts credible so that a small court in England does not shame our finest judges, a credible corps of lawmakers, etc.

If we cannot have a sovereign conference, at least, we need a sort of meeting of minds. We don’t have it today unless we want to kid ourselves. And we cannot guarantee that bombs will stop and poverty will ease. We are more divided than we were in the run-up to the civil war. There are many more aggrieved, many more floating, many more marginalised within and outside ethnic groups. No group is immune from suffering.

Wole Soyinka described his generation as “wasted.” The task of this generation is to prevent Nigeria from being wasted.

•Hardball is not the opinion of the columnist featured above

IG Abubakar orders no retreat, no surrender

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Okay... Stop BOKO HARAM

try. Ironically, it is in those parts where less zeal attended the strike that the people have to suffer the consequences of high petrol prices at between N130 and N150 per litre.

Just yesterday morning, a Catholic church prostrated from a bomb blast, refocusing us on the acrimony of faiths or of the faithful in our midst.

The answer, according to many, is that we ought to sit down and thrash out this in a sovereign context. Others, like President Jonathan, say the fundamental issues have been settled, so the need for a jaw-jaw does not arise. Meanwhile, we still witness warwar all around us.

When the Southwest sat over how to pursue an integrationist agenda, some critics scowled and called it a secessionist fever. We see either suspicions of hegemony or paranoia of oppression. Those who are strong say they are not strong enough. Those who are rich say they are not rich enough. Those who are poor say no one wants to listen to them. Yet we say we do not want to sit down and talk. But we talk everyday on television and with screaming headlines in the newspapers. As I noted in a recent outing, we are talking not to talk. We are afraid to confront our demons, to face ourselves and bring the two cities together. The city of fear with the city of hope. The city of oil with the city dry in the earth’s bowel. The city of 13 per cent with the city of two per cent. The city of bombs with the city of love.

The city of one belief with the city of the other.

That is why I think this generation of Nigerians has a lot on its plate. We cannot live in denial. If no comprehensive strategy is unveiled by the bigwigs of the day, the country will continue to careen out of control under

RAUF AREGBESOLA

HILE addressing police officers who successfully completed their Assistant Commissioner of Police to Deputy Commissioner of Police course in Jos over the weekend, the Inspector General of Police, Mr Mohammed Abubakar, warned that the Nigeria Police Force would no longer tolerate officers running away from criminals. It is well known that some policemen abandon their duty posts and police stations under fire from rioters and armed robbers. That image of police cowardice under fire is not only popular among law-abiding public, it is also an image armed robbers know so well and exploit. Abubakar considers it humiliating that officers abandon their duty posts under fire. Worse, according to him, because criminals understand this police predilection, they often exploit it to embarrass the Force and achieve their nefarious objectives.

Abubakar’s logic is sound. If it is widely known that policemen would not turn yellow under attack, and would fight to the death to defend their honour, criminals would always appreciate the resistance they would meet if they decide to attack police stations or whenever they encounter policemen during robbery operations. In other words, police pride and lower death toll are conditional upon policemen’s bravery un-

der fire. If they persist in retreating or surrendering every time they encounter socalled well-armed robbers, they are bound to suffer more police stations sacked and even high casualty figures. The IG’s panacea is, therefore, that policemen should never retreat or surrender under fire. But do policemen want to be heroes? And can Abubakar enforce this new order with his new approach to training to, in his word, produce “more competent, more confident, and more efficient” policemen?

Abubakar’s first job is to recruit policemen who have a passion for the job. That will be his toughest assignment, for at the moment, recruits, some of whom even bribe their way into the job, have a rosy opinion of what police job entails. Many of them see it as an avenue for quick enrichment, and a licence for impunity. Once in the job, and with uniforms regally starched, they lobby or bribe their way into, again, rosy postings, either in terms of states and towns or in terms of street duties and checkpoints. Can Abubakar rejig the curricula of police training institutions, as he has sworn, and can he ensure that his men have a healthy appreciation of the job, particularly vis-a-vis the unarmed public? Can he stanch the flow of blood, the sort that in 2009 worsened the Boko Haram terror menace? Can he wipe out the extrajudi-

cial killings the Human Rights Commission recently accused the police of masterminding?

Abubakar must of course understand that crazy criminals will deliberately test the new resolve of his men. When they come, will they meet repositioned, reoriented and reinvigorated policemen yearning to live as role models or, if need be, to die as heroes? If the IG is to succeed in his task, he will have to extricate his men from the pernicious habit of serving and even killing for the rich and the powerful. He will have to pay them well, house them well, and equip them well.

The pride he talks of restoring in the police does not start from standing courageously against robbers and criminals; it starts from how they are trained and what sort of treatment they are given by their employers.

Reorienting the police will take a revolutionary effort, for the rot began a long time ago and persisted for far too long.

More, Abubakar will discover that while he can come up with the right attitude and excellent initiatives, the main job actually lies with the presidency. The damage began in that awfully aloof and convoluted corridor; the remedy will be engineered from that same corridor.

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