The Nation September 17, 2012 by The Nation

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Gunmen kill security officer, wife, kids

FIRS earns N3.4tr in eight months

NEWS

Page 62

Page 59

•Assailants on motorbikes storm home

•Non-oil revenue hits N1.18tr

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VOL. 7, NO. 2251 MONDAY, SEPTEMBER 17, 2012

Tight security at national awards’ Abuja venue

Fuel scarcity to persist in Lagos, says NNPC By Emeka Ugwuanyi and Miriam Ndikanwu

ONG queues at Lagos filling stations may take some time to disappear, the Nigerian National Petroleum Corporation (NNPC) hinted yesterday. The corporation’s acting spokesman, Mr Fidel Pepple, said the scarcity, which he described as “artificial”, was triggered by the destruction of the NNPC’s pipeline at Arepo, Ogun State. Lagos was enjoying regular fuel supply until last week when bunkerers attacked the pipeline in Ibafo, Ogun State, to scoop fuel. Pepple said the NNPC was finding it difficult to fix Continued on page 2

N150.00

•Dr. Adenuga

ECURITY was tight in Abuja, the Federal Capital Territory (FCT), yesterday, ahead of the conferment of national honours on 149 eminent Nigerians. President Goodluck Jonathan will preside at the ceremony slated for the International Conference Centre (ICC), which was put under watertight security last night.

From Yusuf Alli, Abuja and Ogbonnaya Obinna, Abakaliki

Globacom Chairman Dr. Mike Adenuga Jnr. will get the second highest national award - the Grand Commander of the Order of the Nigeria (GCON). There are 148 others on the awards list, including top government functionaries,

businessmen, politicians, public servants and others. Major hotels in Abuja were fully booked yesterday, as some of the awardees arrived in the capital city. For better security management, each of the awardees has been restricted to two guests. Continued on page 2

•President Goodluck Jonathan (middle), Vice President Namadi Sambo (standing left) and Peoples Democratic Party (PDP) National Chairman Bamanga Tukur (right) with the paralympic athletes during the reception for them at the Presidential Villa, Abuja...at the weekend. PHOTO: STATE HOUSE

Panel: why trial of Daniel, Akala, Ladoja, others is slow Committee recommends alternative dispute resolution

T •Chief Justice Aloma Mukhtar

HE National Judicial Policy Committee has attributed the delay in the trial of some exgovernors, ministers and other Politically-Exposed Persons (PEPs) to inadequate judges, dearth of trained investigators and prosecutors. Of about 80 high profile cases, 16 involve former governors and two former ministers. The ex-governors and ministers are: James Ibori, Senator Saminu Turaki,

From Yusuf Alli, Abuja

Adebayo Alao-Akala, Gbenga Daniel, Timipre Sylva, Michael Botmang, Joshua Dariye, Boni Haruna, and Rashidi Ladoja. Others are Jolly Nyame, Attahiru Bafarawa, Adamu Abdullahi, Ayo Fayose, Chimaroke Nnamani, Orji Uzor Kalu, Femi Fani-Kayode and Prof. Babalola Borishade. The panel said there was a great concern about the capacity of the ju-

dicial system to dispose of cases as speedily as possible. According to the committee, there are 4,000 judges to 160 million Nigerians. The ratio is one judge to 40,000 people. The remedy, in the committee’s view is the adoption of Alternative Dispute Resolution Mechanisms. These observations are contained in the 36-page report of the committee, which was obtained by our corre-

spondent. The nine-man panel, headed by the Chief Judge of Kaduna , Justice Rahila Hadea Cudjoe, was set up on October 13, last year by the immediate past Chief Justice of Nigeria, Justice Dahiru Musdapher, in his capacity as the Chairman of the Board of Governors of the National Judicial Institute (NJI). The committee was mandated by Continued on page 2

•EX-FIRSTBANK MD ADEOSUN DIES P11 •KWARA PDP MEMBERS JOIN ACN P58

THE NATION MONDAY, SEPTEMBER 17, 2012

NEWS Floods: 25 bodies found in Adamawa

•Mr Femi Falana (SAN) (middle) being assisted by his wife Funmi (fourth left), children Folarin and Foladele, Lawyer Niyi Akintola (SAN) (left); Lagos State Attorney General and Commissioner for Justice Ade Ipaye (second left) and former Lagos State Attorney General and Justice Commissioner Prof. Yemi Osinbajo to cut the cake at a dinner in his honour to celebrate his SAN award at Elias Centre, Ikoyi, Lagos...yesterday

Fuel scarcity to persist in Lagos, says NNPC Continued from page 1

the damaged facility following the killing of three officials by hoodlums. The officials were going to repair the vandalised pipeline when they were attacked. According to Pepple, the development has forced the corporation to bridge products by truck as against the pipeline. He said: “The NNPC is bridging products from Atlas Cove, Satellite and Apapa depots to Ibadan, Kwara and other Southwest states. But it is a little difficult to bridge as much as 11 million litres of fuel per day through trucks, which ordinarily is easily done through pipelines. There is no reported hitch in that intervention. “Besides, the repairs of the vandalised pipeline may take some time as the corporation would not risk the lives of its workers in a bid to fix a pipeline, until their safety is guaranteed.” The corporation had in a

statement confirmed the killing of three of its after suspected oil pipeline hackers opened fire on a team of engineers and technicians of the Pipelines and Products Marketing Company (PPMC), deployed to repair the vandalised products pipeline in Arepo Village in Obafemi/Owode Local Government Area of Ogun State. Pepple said the corporation would not dare a repeat of such calamity, adding that the intervention through bridging by trucks would continue unhindered until the pipeline is repaired. There were long queues in many filling stations that dispensed Premium Motor Spirit (PMS) in Lagos yesterday, signalling scarcity. Motorists were apprehensive that the fuel scarcity that affected some states and Abuja, might have finally crept into Lagos. Some motorists bought fuel in containers as reserves in case the situation

escalates. Attendants took advantage of the rush to make quick money by collecting between N100 and N200 from consumers. At some of the filling stations visited by our correspondent, the product was sold at the normal pump price of N97 per litre; other stations did not sell. At a filling station at Onipanu on Ikorodu Road, pump attendants demanded the payment of N200 before selling. It was also gathered that in some areas, such as Ikorodu, Ikotun and Apapa, the filling stations sold at N100 per litre . The NNPC, however, advised residents against panic buying. It said there was enough fuel to go round. Pepple said the corporation had 30 days sufficiency and that if there is scarcity in Lagos, it must be artificial scarcity. Motorists were taken aback by the sudden devel-

opment. At a fuel station in Ojota, a litre was sold for N140. Those who intended to buy in containers paid N150 per litre. A motorist, who gave his name as Tony, lamented: “Can this country ever get anything right for once? This is an issue that we started the year with. Nine months after, we still have not made any headway. This is a country where people feel they can plunge the country into a state of emergency for their own selfish reasons. At the end of the day, it’s the masses who suffer it.” Others alleged the sudden scarcity could be a ploy to shoot up the price of the product. “Some unscrupulous marketers are definitely not comfortable with the way Nigerians drive in with ease and buy fuel at the approved prices. They would rather create artificial scarcity to shoot up the price,” Saheed Bamidele said.

O fewer than 25 bodies washed ashore after floods ravaged the north were found on Benue River at the weekend, Nigerian Red Cross official said yesterday. Red Cross Secretary Abubakar Ahmad said the bodies were found at the Adamawa State section of Benue River. Ahmad said he believed the bodies might have been washed from neighboring Cameroon because no one in the area could immediately identify any of the bodies. Ahmad said there could be many dead after the flooding because many families have reported some of their people still missing. Officials previously recovered at least 45 bodies from the flooding, which they blamed on officials in Cameroon opening up a dam. Cameroon claimed to have warned Nigeria before relieving pressure on the overwhelmed dam. Nigeria is experiencing its annual rainy season. The Red Cross has given a figure of close to 200 people killed by floods Also yesterday, Alhaji Musa Ilallah, the North-West Zonal Coordinator of the National Emergency Management Agency (NEMA), said 11,500 people were displaced by floods, which recently ravaged parts of Jigawa and Kano states. He told the News Agency

of Nigeria (NAN) after distributing relief materials to the victims in Ringim that 10,000 persons were affected in Kano and 1,500 in Jigawa. Jigawa victims, he said, were being camped at the Junior Arabic Secondary School, Ringim. Ilallah said the agency would also open a camp for those displaced by flood that ravaged two local government areas in Sokoto State. “For now, we have camps only in Kano and Jigawa states for displaced persons in this zone.’’ He said that he was in Jigawa for assessment and to distribute relief materials to the flood victims. Ilallah said the items distributed were not compensation for the lost property but assistance to reduce the sufferings of the victims. Items distributed included 50 bags of rice, 50 bags of maize, 550 bags of guinea corns and 50 bags of millet. Others were 200 pieces of blankets, 200 mosquitos’ nets, 200 mats and 200 pieces of textile materials. Chairman of Ringim Local Government, Alhaji Murtala Abubakar, appealed to the Federal and Jigawa governments to intervene by tackling the flooding in the area. Abubakar said that flooding had become an annual occurrence in the last 11 years, particularly in Yakasawa and Centrimawa communities.

Tight security at awards’ venue Continued from page 1

The venue and its environs were combed yesterday. Vehicles were barred from the complex. As part of the security arrangement, accreditation of the awardees was done at the Agura Hotel, about one kilometre from the Conference Centre. Besides the deployment of policemen and gadgets at the centre, a 24-hour security surveillance was mounted last night with multi-purpose security vehicles. A security source said: “We

have decided to strengthen security heavily within and around the ICC because of recent challenges facing the nation. We do not want the event hijacked in any manner. “We have also restricted all the awardees to two guests as part of crowd management. If you are not connected with the event, we won’t allow you into the centre.” Some of the awardees were complaining last night that accommodation had not been provided for them. One of the awardees said: “I Continued on page 59

Panel: why trial of Daniel, Akala, Ladoja, others is slow Continued from page 1

the NJI to prepare a National Judicial Policy for the country. Other members of the panel are the Chief Judge of Rivers State , Justice I. N. Ndu; the Chief Judge, Federal Capital Territory , Justice L. H. Gummi; the Chief Judge of Ebonyi, Justice A.N. Nwankwo; the Chief Judge of Borno State, Justice Kashim Zannah; the Chief Judge of Oyo State, Justice B.O. Adeniji; the Chief Judge of Kogi State, Justice N. Ajanah; the Chief Judge, Federal High Court, Justice Ibrahim Auta; and NJI Secretary, Justice Phoebe M. Ayua. In the report, the committee expressed worry over delay in high-profile and other cases. The report reads in part: “The calibre of individuals, where it is a criminal matter, may also qualify a case as “high-profile”, for instance, some of the cases involving former governors who are facing trials on corruption and economic crimes charges preferred against them by either the ICPC or the EFCC. “In recent times, there has been so much disquiet about

the delay in having these cases heard and disposed of ‘within a reasonable time’. “There have been calls for the establishment of separate or Special Courts to deal with corruption and economic crime cases, which invariably fall within the category of high-profile cases, in order to ensure their expeditious disposal. “The causes of delay in the trial of cases are many. They include the low number of Judicial Officers-about 4,000 in relation to the teeming Nigerian population of about 160million people; that is a ratio of one judge to 40,000 people. “Others are inadequacy of infrastructure and modern Information and Communication Technology equipment in the courtrooms and offices to facilitate the judicial process; not-so-conducive working environment; delay tactics by counsel; and dearth of trained and seasoned investigators and prosecutors etc. “There is great concern about the capacity of the judicial system to hear and dispose of cases as speedily as

possible. It does not matter whether it is a corruption case or economic crime matter involving “high-profile” persons who are “Politically Exposed Persons”, or the “Ordinary man on the street”. “The integrity and dependability of the judicial system is often tested on how fast cases can be heard and disposed of. “The ability of any country to attract Foreign Direct Investment is largely dependent on the efficiency of its legal and judicial system.” The committee made some recommendations on how to decongest the courts. They include appointment of more judicial officers, adequate funding of the Judiciary, especially at the state level; provision of proper infrastructure and ICT equipment; and having conducive working environment for judges to complement improved manpower in each jurisdiction. Other recommendations include that judges should be proactive in dealing with interlocutory applications. Besides, they should stop bending to the whims and capric-

es of counsel placing priority on criminal matters; and Judiciary should encourage its partners, such as the police, Ministry of Justice, the Prisons, the Nigeria Legal Aid Council and others to play their roles. The committee requested the adoption of Alternative Dispute Resolution (ADR). The report said: “It has been acknowledged all over the world that adversarial litigation should no longer be the only means of resolving disputes. Congestion in court dockets, lack of manpower and resources in addition to delay, excessive cost and overtly technical procedures are all symptoms calling for the need for better options and approaches to dispute resolution. “Speedy disposal of cases and delivery of justice is a sine qua non for an enduring agenda for efficient administration of justice. “There is, therefore, urgent need to supplement the current infrastructure of courts by means of Alternative Dispute Resolution (ADR) mechanisms. “Unlike litigation, ADR

mechanisms provide access to justice in an affordable, reliable, and quick manner. “ADR is not an attempt to supplant litigation but to support it, and thereby provide greater access to justice to the citizenry-there should be many doors to justice, not just one. “The concept of the MultiDoor Court house should, therefore, be embraced by the Judiciary in Nigeria . ADR is, however, an alternative and a very good alternative but it remains an alternative. Certain cases can only be tried by the courts.” On offer of gifts to judges by the Executive and the Legislature, the committee retained the present Code of Conduct banning judges from accepting such. The report added: “The Judiciary in Nigeria is quite advanced in judicial ethics as there are two Codes of Conduct in existence, one for judicial officers and the other for court employees. Indeed, the Code of Conduct for judicial officers was in existence even before the Bangalore principles. It was first Continued on page 59

•Daniel

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THE NATION MONDAY, SEPTEMBER 17, 2012

THE NATION THURSDAY, SEPTEMBER 17, 2012

NEWS ONDO 2012 ACN chieftains allege threats to WO Action Congress their lives of Nigeria (ACN)

leaders in Akoko, Ondo North Senatorial District, Olugbenga Omole and Barry Obamehinti (aka (BeriBonje), at the weekend alleged that some notable leaders of the ruling Labour Party (LP) were threatening to intimidate them for working against their party. It was learnt that Omole, who is a regular discussant on a radio current affairs programme: Ondo State in Focus, alleged that the LP leaders were not comfortable with the facts he presents on the programme. Addressing reporters in Akure, the state capital, Omole said: “The height of the threat came when I featured in a private television station in Lagos. Immediately I stepped out of the studio, a strange number came in and it happened to be one of

From Damisi Ojo, Akure

the top shots of LP, who pleaded with me to come and join them or else I would have myself to blame. “I am calling on security agents to be aware of this because I have already lodged a complaint with the police and I have instructed my lawyer to petition the InspectorGeneral of Police (IGP), Alhaji Mohammed Abubakir.” Obamehinti, who was Head of the Security Unit of Omoluabi Platform, a group sponsored by Dr Olu Agunloye before he defected to the LP, was regarded as the engine room of the Agunloye political base. He said: “Agunloye is not happy that I didn’t follow him to the LP. I told him that he met me in ACN and should not think I would follow him to the LP.”

Mimiko hails Awolowo

NDO State Governor Olusegun Mimiko at the weekend hailed the late Premier of the defunct Western Region, Chief Obafemi Awolowo, for the “unprecedented development” to the region. The governor said the late sage accomplished this through “innovative projects”. He urged up-and-coming politicians to emulate him so that they too could be remembered by future generations. Mimiko spoke in Idanre, the headquarters of Idanre Local Government Area, during his re-election campaign tour of the local government. The governor said in the last three and a half years, his administration had been developing Ondo State. He listed some of the projects to include the health care system, urban development and human settlement,

education as well as agriculture, among others. Mimiko hailed the late Awolowo for his visionary and life-changing projects which he said made the defunct Western Region the best administrated region and the most advanced in the fledging nation. The governor noted that the legacy he left behind should remain a challenge for up-and-coming politicians who must always think of what legacy they would leave behind for posterity. Mimiko made this observation at the Onisere-Ofosu Farm Settlement, a border community with Edo State, while commissioning a block of six classrooms at St. Peter’s Primary School in the community. He blamed past governments in the state for the neglect suffered by the community since it was founded in 1959 by the late Awolowo.

CPC NEC, Buhari, others back HE Congress for ProEhinlanwo gressive Change

(CPC) at the weekend said its National Executive Committee (NEC) and Leader, Gen. Mohammed Buhari (rtd) recognised the former consultant to European Commissioner (EC), Mr. Soji Ehinlanwo, as the party’s governorship candidate for October 20 election in Ondo State. This debunked a statement credited to a man, Jayeoba Francis, alleging that CPC had not picked any candidate for the election. The CPC Southwest National Vice-Chairman, Raszaq Muse said: “The public should be wary of the antics of some unscrupulous and demented impostors, particularly one Jimoh Amodu, who has been parading himself as CPC Chairman in the state.” He said there is no crisis in the party in Ondo State, adding that the emergence of Ehinlanwo and his running mate followed due process. Amodu said the stakeholders who should have witnessed the congress from the 18 local government areas were absent Muse, who addressed reporters in Akure, the state capital, explained that Amodu had been suspended

Akeredolu: I’m ready for probe on alleged fraud T HE Akeredolu Campaign organisation (ACO) of the Ondo State Action Congress of Nigeria (ACN) yesterday challenged a “faceless” organisation, which accused its governorship candidate, Mr Oluwarotimi Akeredolu (SAN), of fraud to petition the Inspector-General of Police (IGP), Alhaji Mohammed Abubakar, and the Economic and Financial Crime Commission (EFCC) to investigate the alleged N3 million fraud. The former Nigerian Bar Association (NBA) President promised to submit himself and his company, AKT Ventures, for a probe by security agents. A statement by the organisation’s Director of Media, Publicity and Strategy, Mr Idowu Ajanaku, said: “For us at ACO, this is a baseless, wanton and cheap attempt to bring the name of Akeredolu (SAN) to disrepute by this irresponsible association

From Damisi Ojo, Akure

called Good Governance Monitor (GGM), allegedly sponsored by Governor Olusegun Mimiko and his drowning Labour Party (LP). “Thus, the allegation that Akeredolu diverted N3 million donated by the Niger State Government is false. “This so-called ‘scandal’ has already been investigated by the top level of NBA and Akeredolu had been acquitted of any misconduct, undue influence or manipulation of the process as far back as 2010. “The National Executive Committee’s (NEC’s) decision was contained in paragraph eight (8) of the communiqué signed by the General Secretary, Ibrahim Eddy, and the Publicity Secretary, Muritala Abdul-Rasheed, is-

sued at the end of the NBA meeting on June 3 and 4, 2010, under the subhead: AKT Ventures and the NBA. “It states inter-alia: ‘For the avoidance of doubt, the NEC reiterates and adopts the decision of the committee of former Presidents, which had absolved the current President of the NBA from any wrongdoing concerning the affairs of AKT Ventures Limited and its relationship with the NBA’.” ACO recalled that Akeredolu’s contribution to the NBA was recently recognised when the association named its headquarters in Abuja after him. The organisation noted that this speaks volume on how the body of learned men perceives him and his leadership. The statement added: “In

our reckoning, Akeredolu is not only a man of pedigree, but he is honest and straightforward; he is focused and determined to make Ondo State better. “(He is) unlike Mimiko, who has played to the gallery for three and a half years. Then governor only has markets, stalls, maternity homes and boreholes to show for the huge revenue accrued to the state. His administration has been recording a litany of abandoned projects, such as the Doom-dome, Akure TownshipS, Owena Multipurpose Dam, Akure-Owo Road, Ondo-Akure road, Arakale road, Arigidi tomato paste factory. “No amount of cheap lies, sponsored propaganda and blackmail by Mimiko, his co-travellers and faceless organisations against Akeredolu will save the governor from being rooted out in the October 20 poll by the Ondo State people.”

•Kwara State Action Congress of Nigeria (ACN) supporters at a rally/reception for defectors from Peoples Democratic Party (PDP) and other parties in Ilorin...yesterday.

From Damisi Ojo, Akure

from the party for having a case at Magistrate Court, Akure. He alleged that Amodu also has another pending case following a search on his apartment by policemen from the Area Commander’s Office, Akure, who allegedly found some incriminating items. The National Vice-Chairman said the party’s congress and governorship primary were held between July 30 and August 2. He added that the public was notified on these, including the Independent National Electoral Commission (INEC), the police, the State Security Service (SSS) and the party’s national officers.

•ACN National Publicity Secretary Alhaji Lai Mohammed (third left); Comrade Miriki Ebikibina (second right); Dele Belgore (SAN) (fourth right); Senator James Kolawole (fifth right); Mr Akin Oke and Osun State Secretary to the Governor Alhaji Moshood Adeoti...yesterday. Story on Page 58 PHOTOS: NIYI ADENIRAN

Akeredolu accuses Mimiko of intimidating opposition

HE Akeredolu Campaign Organisation (ACO) of the Ondo State Action congress of Nigeria (ACN) yesterday accused the ruling Labour Party (LP) of intimidating opposition parties. It alerted the public to the worsening security situation in the state following the alleged arrest of a personal assistant to a monarch in Ilaje with explosives, over 100 AK

From Damisi Ojo, Akure

rifles and other weapons by a detachment of the Nigerian Army in Okitipupa. ACO noted that “this is a dangerous dimension to the build-up to the governorship election in Ondo State”. The ACN had accused the LP of importing arms into the state. In a statement by its spokes-

man, Mr Idowu Ajanaku, ACO alleged that the LP had started distributing the weapons to its thugs in the local governments to intimidate opposition members and cause confusion before and during the October 20 poll. The statement reads: “We want members of the public to recall how the Labour Party members have been unleashing violence on the ACN

such as Akeredolu’s convoy on Oba Adesida road Akure, Okeluse at Ose local government, members during ward meeting at Lafe in Akure, among others. “Indeed, a serving commissioner in the Olusegun Mimiko administration now goes about with a contingent of fully armed mobile policemen, who shoot sporadically into the air to create panic in

the community. “Last week, during the community celebration at Igbaraoke, he was there with over 10 uniformed policemen and other private guards, who were armed with all kinds of weapons, thereby causing so panic during and after the event. They shot sporadically into the air. This is in a bid to intimidate members of the opposition.”

THE NATION MONDAY, SEPTEMBER 17, 2012

NEWS Ekiti spends N238m on community development From Sulaiman Salawudeen, Ado-Ekiti

EKITI State Governor Kayode Fayemi at the weekend presented N238 million cheques to 26 communities for the development of vital projects through the state’s Community and Social Development Agency (EKSCDA). The governor said he would continue to ensure that all communities enjoy the dividends of democracy. At the ceremony in AdoEkiti, the state capital, the governor explained that the gesture was not just a proactive measure to improve the well-being of grassroots residents but also in fulfillment of his administration’s vision of reducing poverty as enshrined in its Eight-Point Agenda. Fayemi explained that the 26 communities would execute a minimum of three micro projects through the Community Development Plan.

Dangote Cement opens more depots THE Management of Dangote Cement Plc has approved the opening of more depots across the country to further take the products nearer to the people. The company said it has thus liberalised its distribution channels by widening its sales network. Dangote Cement said it is adding more lines to its existing plants with the expectation that it would lead to the reduction of its price. This, it said, would also ensure price stability and guarantee availability at the most reasonable price. The Group Managing Director of Dangote Cement, Devakumar Edwin, said the company had acquired 5,000 trucks to boost its logistics and pave the way for easier distribution of the product.

Ogun economic summit begins today THE Ogun State Government will today begin a three-day business summit in Abeokuta to rejuvenate the investment landscape and ensure that the state attains the status of an industrial hub in the West African sub-region. A statement by the Senior Special Assistant to the Governor on Trade and Investment, Mrs. Adenike Aboderin, said the summit, with the theme: Ogun State: Ready for Business/ Investment as a Catalyst for Economic Development, will hold at the Obas’ Complex in Oke-Mosan, Abeokuta. The statement said the summit would feature presentations by seasoned economic and investment analysts on various topics, such as The Role of Foreign Direct Investment and Public-Private Partnership (PPP) as a Tool for Economic Development; Investment and Opportunities in Ogun State, among others. It added that the event would be opened by Governor Ibikunle Amosun.

•Osun State Governor Rauf Aregbesola (middle) addressing intending Muslim pilgrims to Saudi Arabia during a valedictory service for this year’s Hajj at the state secretariat in Osogbo...at the weekend. With him are Deputy Governor, Mrs Titi Laoye-Tomori (left) and other top officials of the state.

‘We won’t allow fraudsters in Oyo civil service’ O

YO State Governor Abiola Ajimobi at the weekend said his administration has very low tolerance for forgers and other misdemeanours in the civil and public service. The governor noted that to achieve this effectively, his administration would continue to ensure the enthronement of a civil service that would be efficient, effective and positioned for good service delivery. He promised to restore sanity into the system, warning that fraudulent workers and those with criminal records would not be allowed to stay one day longer in the state civil service. Ajimobi addressed a group of typists, who were promoted Grade Level 12, during a training session at the Simeon Adebo Staff Develop-

ment Centre, the state secretariat in Ibadan. The govenor described the civil service as the bedrock of good governance and development. He said the service would be reformed to conform with the contemporary civil service, adding that in achieving this, human capital development would be accorded priority. Ajimobi berated critics of the recent sack of some workers with criminal records, saying they were merely exhibiting ignorance. The governor said he would not preside over a civil service that has suspected criminals. He said: “It is common

knowledge that Oyo State civil service, which used to be a reference point in the country, is now at the precipice. But we are determined to bring the past glory back. However, in doing this, we will not allow thieves to stay in the system; we will not allow certificate forgers and fraudsters to be in the system.” Ajimobi explained that but for his administration’s benevolence, some of the recently sacked workers ought to be prosecuted because they had committed criminal offences. The governor noted that the initial number of civil servants alleged to have been involved in one act of malfeasance or another were over 8,000. He added that it was

his intervention that reduced the number to less than 3,000. “But whatever it will take, we must improve Oyo State. And to improve the system is to improve the structure and human resources,’’ he said. Ajimobi congratulated the 300 typists who had stagnated on Grade Level 09 for several years but whose bar had been raised to Grade Level 12. The governor urged them to reciprocate the government’s gesture by rededicating selves to service and be more diligent. He added that going by the civil service rule, they ought to have been relieved of their jobs, having remained stagnated for more than three years. “But we don’t want to sack you; rather, we want to ensure that we assist you so that you can make progress in your careers.”

Alaafin appoints ex-governor Olunloyo Balogun of Oyo Empire T HE Alaafin of Oyo, Oba Lamidi Adeyemi, at the weekend appointed a former Oyo State Governor Victor Omololu Olunloye the Balogun of Oyo Empire. At the ceremony, which coincided with the celebration of the maiden Oranyan Festival in the town, friends and wellwishers of the former governor gathered at the monarch’s palace for the honour. Olunloyo hails from Ibadan, the state capital. The retired Archbishop of Methodist Church, Nigeria and an Oyo Prince, Ayo Ladigbolu, made the announcement on behalf of the monarch, to round off the week-long programme. Bishop Ladigbolu said: “The Alaafin has sent me to announce that Dr. Victor Omololu Olunloyo has been appointed the Balogun of Oyo Empire.”

•Ajimobi hails monarch

From Tayo Johnson, Ibadan

Cultural activities from various parts of the ancient kingdom as well as those from Republic of Benin were displayed. The grand finale of the festival generated controversies since the week long programme was made public. Olunloyo appreciated the honour, saying he would do whatever was expected of him as a chief of the ancient town. On the controversial statement credited to the people of Ile-Ife about the festival, Olunloyo noted that it was unnecessary. He said: “The Alaafin is the Sango; he is the Oranyan; he

is the real Sango. The Ooni in Ife is not an Oba; he is an abore (priest) though he is my personal friend. He is my in-law.” Referring to the perennial feud between the monarch and his Isale-Oyo Chief (the Ashipa), Olunloyo said there was nothing like Ago-Oja which the Ashipa was claiming to be the original title of the compound. The former governor said: “Ashipa was misled. Tthere is nothing like Oloja of AgoOja.” Oba Adeyemi noted that Olunloyo has been supportive since he assumed office and that he deserved the honour. He said the Oranyan Festival has come to stay in the his-

tory of the town because Oranyan was the greatest warlord in the history of Yoruba land. Oyo State Governor Abiola Ajimobi described the Alaafin as the custodian of culture and tradition. The governor said the festival showed that the effort of Yoruba heroes past would not be in vain. He added that Oranyan was the greatest warlord in Yoruba land, adding that he stood firmly to break all odds during his reign in Oyo town. Ajimobi said: “I want to appreciate Baba (the Alaafin) for deeming it fit to start this celebration in Oyo town. This has shown that the effort of our heroes past will not be in vain but will be transferred from one generation to another for recognition and appraisal.”

Osun to partner Qatar on development

OSUN State Governor Ruaf Aregbesola has said the state would partner Qatar on some areas of development and comparative advantage. In a statement by the Media Secretary to the Speaker of the House of Assembly, Mr. Goke Butika, the governor noted that there are areas of development in the Arab country to exchange with t Osun for mutual benefits. Speaker Najeem Salaam was on the governor’s entourage to the Arab country. Discussing with the leadership of the oil rich Arab nation, Aregbesola indicated the readiness of Osun State to export agricultural produce to Qatar. The governor said the state and Qatar would compare notes on tourism, welfarism and cultural exchange. He said: “We had a fruitful discussion with leadership of Qatar and we have gone through areas of development where our partnership could be required, particularly in agricultural produce, tourism and hospitality, welfarism and cultural exchange.” The governor noted that Qatar, which is about the same size as Osun State, has found some valuable advantages that could be tapped for mutual benefits from the Nigerian state. He said this informed his resolve to expose the state to some genuine international development partners. Aregbesola said this was borne out his administration’s determination to improve the revenue profile of this state.

‘Osun PDP should prove allegation against Aregbesola’

HE Osun State Action Congress of Nigeria (ACN) yesterday said it would not dignify the state’s Peoples Democratic Party (PDP) with an explanation on its allegation against Governor Rauf Aregbesola until it proves them. In a statement by its Director of Publicity, Research and Strategy, Mr Kunle Oyatomi, CAN noted that the PDP alle-

gations were made to attract undeserved attention to it. The statement reads: “We owe PDP no explanation as to how we run government because they have not demonstrated objectivity and a dependable ability to prove beyond all reasonable doubts their spurious allegations against Ogbeni’s government since he came to power in November 2010.

“It is not in the public interest or that of civilised democratic practice for us to continually suffer fools that appear to abound in Osun. “If their spokesperson and informants have any sense of responsibility and seriously concerned that Ogbeni is doing anything in government that violates the law and diminish the ethics of civilised governance, they should go

to court and seek redress; otherwise, they should stop this stupid business of making senseless noises to draw ignoble attention to themselves. “The ACN in the State of Osun sees the PDP as a pathetic collection of unserious and idle people who are not equipped with the normal sense and sensibilities to appreciate that politics is a lot

more serious business than manufacturing lies against their political opponents to score base points. “Aregbesola’s trips outside the country are impacting significantly on governance and service delivery in the state of Osun. But if the PDP suffers such horrific impairment not to recognise it, they should not disturb public conscience with sick mentality.”

THE NATION MONDAY, SEPTEMBER 17, 2012

NEWS Adenuga’s award well deserved, says Osoba

CNPP kicks against $1.1b Chinese loan

ORMER Ogun State Governor Aremo Olusegun Osoba has hailed Globacom Chairman Dr. Mike Adenuga as deserving of the national award bestowed on him by President Goodluck Jonathan. Dr. Adenuga, along with other eminent Nigerians, will today receive the honours from President Jonathan at a ceremony in Abuja. In a statement yesterday, Aremo Osoba said: “I write to congratulate you on your conferment with the Award of the Grand Commander of the Order of the Niger (GCON). It is the highest that can be conferred on a private person that you are. “I am particularly glad that it is coming to you not only because of your enterprenuship but also because of your innovative thinking and assiduous nature. You are a cutural Ambassador and Youth and Sports Developer. “You are a shinning star for us in Ogun State, Nigeria and indeed the African continent. I am proud to congratulate you, wish you well and also say that you can only soar higher. “May the joy and peace of God be with you. My regards to your esteemed family.”

HE Conference of Nigerian Political Parties (CNPP) yesterday described the $1.1billion Chinese loan facility granted Nigeria as a debt trap. With “unprecedented” oil revenue, CNPP said, Nigeria has no genuine reason to be trapped again in foreign debt, “as a careful study of Chinese neo-colonialism in Africa shows that like all known imperialism in history; it is exploitative, anti-people, anti-democratic and ruthless.” According to a statement by its National Publicity Sec-

From: Gbenga Omokhunu, Abuja

retary, Osita Okechukwu, CNPP said: “With the recent $1.1billion Chinese loan facility granted to Nigeria, our dear country is regrettably not only sliding back into unconscionable foreign debt trap, but Chinese neo-colonialism. “The paradox is that the Minister of Finance, Dr Ngozi Okonjo-Iweala, who less than 10 years ago was hailed for doling out $12.4 billion to exit Nigeria from the Paris and London Debt Trap and Western Imperialism, is today

‘With the recent $1.1billion Chinese loan facility granted to Nigeria our dear country is regrettably not only sliding back into unconscionable foreign debt trap, but Chinese neo-colonialism’ heading the unconscionable Debt Squad and Chinese Imperialism. “Had it not been for the patriotism of the members of the National Assembly, Nigeria ’s foreign debt profile

could have sky-rocketed over the roof; as earlier in the year, Dr Okonjo-Iweala had written to the National Assembly, requesting for $7.9 billion foreign loan for sundry purposes. “Whereas, the Conference of Nigerian Political Parties (CNPP) agrees that some of the projects for the loans and in particular the $1.1billion Chinese Credit Facility are of high priority and of high impact, which as the Ministry of Finance canvassed are designed to have practical economic effect and make life better, more convenient for

IG hailed over reforms

HE Inspector General of Police (IGP), Mr. M o h a m m e d Abubakar, has been praised for the new ideas and welfare package he is introducing to enhance the performance of the police. Police Assistance Committee (PAC) Director- General Dr. Martins Oni, who spoke while addressing members of the National Anti-Corruption Volunteer Corps (NAVC) when he visited PAC office in Lagos, observed that corruption in the police was being seriously addressed through the on-going reforms by the IGP, particularly the phasing out of checkpoints.

Cynthia: Seven policemen for NOA awards

O promote positive value re-orientation among public office holders, the National Orientation Agency (NOA) is set to confer its Citizens’ Responsibility Recognition Award on seven police officers for their competence in unraveling the circumstances surrounding the death of Cynthia Osokogu’s murder. Cynthia, daughter of MajGen Frank Osokogu who was murdered by the facebook friends on July 22. The Director General, National Orientation Agency (NOA), Mr. Mike Omeri, who made this known in Abuja said the prompt, tactful and excellent manner in which the officers have investigated the matter show the efficacy of the reforms being carried out by the leadership of the Police within the ranks of the force. The police personnel who are drawn from the Area E Command of the Police in Lagos include one Deputy Superintendent (DSP), one Assistant Commissioner (ACP), two Assistant Superintendents and three other junior personnel.

NIM: N5000 note a thorny issue By Joseph Jibueze •Vice President, Africa, MoneyGram, Harve Chomel (second left) and Executive Director, Domestic Banking, Ecobank, Kingsley Aigbokhaevbo after the Partnership Agreement Signing ceremony between Ecobank and MoneyCramm in Lagos... at the weekend. With them are Country Head, Human Resources, Ecobank Mrs. Kemi Onabanjo (left) and Chief Legal Counsel/ Company Secretary Mrs. Adenike Laoye. PHOTO: NIYI ADENIRAN

Jonathan focused on development, says Douglas RESIDENT Goodluck Jonathan is focused on delivering democratic dividends he promised Nigerians and not on politics of 2015 yet, his Special Adviser Oronto Douglas said yesterday. He spoke in Lagos yesterday at the presentation of “Sure and Steady Transformation,” a Progress report of President Goodluck Jonathan’s administration. Douglas said he was shocked by the attention being devoted to the race for the 2015 presidential race which is three years away. Douglas said: “Mr. President will focus on performance now. Those who want to do politics can go ahead, he said; adding that “there is too much politics in the polity which are preventing development.” He said unlike in other democracies when development follows after elections, in Nigeria, “the end of election is the beginning of another race instead of focusing on development.”

The book is a compilation of the achievements so far recorded by the Jonathan administration which came into office last year. Oronto also unveiled a website www.sureandsteadytransformation.com where the performance of the government can be tracked. In the booklet, President Jonathan’s inauguration speech is presented and benchmarked with the deliveries so far. Some of the highlights of Jonathan administration’s performance showcased in the book include the improved electricity supply, the redevelopment of 11 airports, the creation of new universities in line with the promise of access of Nigerian children to education and the building of 400 almajiri schools which is ongoing. There is also the breaking of the syndicate of corruption in fertilizer distribution and the giant strides in the defence sector where the Nigerian army has built the Nigerian armoured tank and the Navy’s building of a Nigerian ship.

Don’t execute Nigerians on death row, Falana urges Gambia F ORMER West African Bar Association (WABA) President Mr Femi Falana (SAN) has urged The Gambia to stay action on the execution of Nigerians on death row until a suit at the ECOWAS Court is determined. In a September 15 letter to the country’s Attorney-General and Minister of Justice, Hon. Lamin A. M. S. Jobarteh, Falana said the suit was filed on September 11 this year by the Socio-Economic Rights and Accountability Project (SERAP). Two Nigerians on death row – Micheal Ifunanya and Stanley Agbaeze are among the plaintiffs. Falana is their lawyer.

all Nigerians of all socio-economic groups, however, with Excess Crude Account of over $8billion and billions fleeced off corruptly, there is no justification for subjecting sovereign Nigeria to Chinese imperialism or any for that matter. “Why on earth is the Federal Government borrowing $100m for Galaxy Backbone, when the private telecommunications companies, like Glo, MTN, Microsoft, Huawei, Ericsson, Etisalat, ZTE and co, are busy doing same across the federation in partnership with Nigerians?”

By Joseph Jibueze

The rights activist said the request is made pursuant to Article 22 (2) of the Protocol A/ P.1/7/91 on the Community Court of Justice. It provides: “When a dispute is brought before the Court, member states or institutions of the Community shall refrain from any action likely to aggravate or militate against its settlement.” Falana wrote: “We acknowledge the recent statement by your government that it has decided to suspend further ex-

ecutions of death row prisoners after the unlawful execution of nine prisoners that has attracted widespread condemnation. “However, we are concerned that in the same statement your government has left open the possibility of further executions when it said that the suspension was ‘temporary.’ “According to your government, ‘What happens next will be dictated by either declining violent crime rate, in which case the moratorium will be indefinite, or an increase in violent crime rate, in which case the

moratorium will be lifted automatically.’ “This suggests that your government may use alleged increase in violent crime to resume executions. Any such move will amount to a fundamental breach of the Article 22 (2) of ECOWAS Protocol mentioned above. “We reiterate that your government has a legal obligation to comply with the Protocol in good faith and not to engage in any action that will prejudice the outcome of the ECOWAS Court suit. “We also urge your government to swiftly submit to judgment in the light of your recent statement to suspend

•Falana

further executions to demonstrate that the promise not to unlawfully kill more death row prisoners is not just a gimmick to divert attention away from the mounting criticisms against your government.”

rHE President and Chairman of Council, Nigerian Institute of Management (NIM), Dr Michael Olawale-Cole, has urged the Central Bank of Nigeria (CBN) not to ignore the concerns of Nigerians over the planned introduction of the N5,000 banknote. According to him, since the policy has become a “thorny issue” and has “generated so much heat”; the views of those opposing it must not be taken for granted. He said while it may not be possible to subject all government policies to a public debate, an exception should be made regarding those that directly touch on the day-to-day lives of the people. “We have not given enough time for Nigerians to give their opinions on government policies before they are implemented. But the institute will do some thorough work on the policy and take a position,” OlawaleCole said. He spoke at a news conference on the forthcoming 2012 Annual National Management Conference to be held at the International Conference Centre, Abuja, from September 23 to 25. It has the theme: Moving Nigeria Forward Through Strategic Transformation. Speakers include Katsina and Bauchi states governors, Dr Ibrahim Shema and Dr Isa Yuguda, Senator George Akume, Executive Director, Juli Plc, Prince Julius AdelusiAdeluyi (all NIM fellows); accounting expert Bashorun J.K. Randle, President, Lagos Chamber of Commerce and Industry, Mr Goodie Ibru, among others.

THE NATION MONDAY, SEPTEMBER 17, 2012

NEWS Soldiers destroy 50 illegal refineries From Osagie Otabor, Benin

OLDIERS of the Operation Pulo Shield, 4 Brigade of the Nigerian Army, have destroyed 50 local refineries, 100 Cotonou boats, 12 tankers, 1,300 surface Geepee tanks and over 350,000 drums of diesel within two months in Edo, Delta and Ondo states. In a statement, Army spokesman Captain Roselyn Managbe said 11 men and two women were arrested within the period under review for piracy, oil theft and bunkering. They are Emma Odiaka, Anukwu Okonkwo, Joseph Okojie, Innocent Akpan, Silas Ogbamebor, Anaco Nwaya, Rapheal Esizobor, Ikponmwosa Ekhodolor, Micheal Eze, William Aghogho and Tuoyo Mene. Captain Managbe said Ogbamebor attempted to bribe his team with N240,000 when a Conoil tanker, marked XA 580 Fug, carrying 7000 litres of illegally refined diesel was apprehended at Okurode in Warri, Delta State. She said a member of a syndicate was arrested at Igbokoda in Ilaje, Ondo State, by the local vigilance group. Captain Managbe said two FN Rifles, one G3 Rifle, one submachine gun, three AK 47 rifles, one pump action, 575 rounds of 7.62mm special, 42 rounds of 7.62mm NATO, 44 rounds of short gun cartridge, 10 AK47 magazines, three walkie talkies, one metal detector and one battle axe were recovered from the suspect.

Gunmen abduct Edo deputy governor’s aide

HE Chief Press Secretary (CPS) to the Edo State Deputy Governor, Comrade Kelly Odaro, was at the weekend kidnapped in Benin, the state capital. Odaro was on his way home from the Nigeria Union of Journalists (NUJ) Secretariat on Saturday when the incident occurred. According to his wife, Odaro left the Press Centre

•Kidnappers demand N20m ransom From Osemwengie Ben Ogbemudia, Benin

at 6:30pm and was abducted near their home on Ikpoba Hill on the outskirts of Benin by two men who rode on a motorcycle. Mrs. Odaro said: “He usually phones me when he is close to the house, so that we can come downstairs to open

the gate for him. But I was surprised when people on our street came to call me that my husband had been kidnapped very close to our house by gunmen. “When I got to where he was abducted, the doors of his car were open and the key was in the ignition. The helmets his abductors wore

were by the car and my husband’s shoe was on the ground, but they went away with his phone.” Yesterday around 6pm, the kidnappers contacted Mrs. Odaro and demanded N20 million ransom. Police spokesman Anthony Airhuoyo confirmed the incident. Before his appointment, Odaro was a lecturer at the Auchi Polytechnic.

National Assembly hails amnesty programme

HE National Assembly has described the implementation of the amnesty programme for Niger Delta militants as a judicious utilisation of public funds. Members of the Senate and House committees on the Niger Delta gave the kudos in Johannesburg, South Africa, after inspecting the African Union Aviation Academy in Mafikeng and the Flight Training Services in Midrand, where 53 Niger Delta youths are being trained as pilots. The leader of the delegation and Vice-Chairman, Senate Committee on the Niger Delta, Mr. Nurudeen Abatemi-Usman, expressed satisfaction that the programme was being properly implemented. He said: “We came here to assess the amnesty programme. From what we have seen and experienced during our interaction with the trainees, I can tell Nigerians that the amnesty programme gives us hope and we are very proud of these youths. The funds allocated to the programme are being judiciously used and we will continue to support and expand its scope.” Abatemi-Usman described the young pilots as the future of Nigeria’s aviation industry. The Chairman, House Committee on the Niger Delta, Mr. Warman Ogoriba, praised the Special Adviser to the President on the Niger Delta, Chief Kingsley Kuku, for managing the programme well. Ogoriba said: “When amnesty was granted, many Nigerians thought nothing good would come out of it. But now, the story is different. Our youths are being trained all over the world in critical sectors. We are very impressed and my advice to these young Nigerians is to continue to be good ambassadors of our country.” Deputy Senate Leader Abdul Ningi said: “The trainees must realise that they represent the whole country wherever they are. What we have seen here gives us hope in Nigeria. The amnesty programme has exceeded our expectation and we are very proud of these young Nigerians. Besides, this is a practical demonstration that the fund allocated to the programme is not a waste; it is not money thrown down the drain.” The legislators, including Senator Ifeanyi Okowa, Mr. Moshood Mustapha and Mr. Ogbonna Nwuke, flew with the trainees. Senator Okowa expressed delight that he was flown by a female trainee, Miss Ngozi Idigbe.

ACN NEC ratifies Abia exco From Ugochukwu Ugoji-Eke, Umuahia

HE National Executive Council (NEC) of the Action Congress of Nigeria (ACN) has congratulated its Abia State chapter on the success of its congress. It ratified the election of the new state executive, led by Mr. Egwuatu Egbulefu, and urged it be active. The ratification and inauguration of the Abia executive was done during the NEC meeting at the ACN National Secretariat, Abuja. The meeting was chaired by the National Chairman, Chief Bisi Akande. The national leadership urged the executive to carry those who lost out in the congress along. Abia ACN’s Publicity Secretary Offor Okorie assured the national leadership that the party would take over the state’s affairs in 2015. He said various committees had been set up to reconcile aggrieved members and sensitise the masses on the party’s plans for the state. Offor said ACN has come to stay and is focused on taking over Abia State in 2015. He assured the people of Abia that the ACN would bring smiles to their faces.

From left: Former Chairman, Independent and Corrupt Practices Commission (ICPC), Justice Mustapha Akanbi; Mr. Alkali Adebayo and Senator Bukola Saraki at Justice Akanbi’s 80th birthday celebration in Ilorin, the Kwara State capital...yesterday.

DESOPADEC board’s sack: Assembly in order, problems, as both arms have says Delta govt always respected each other,

HE Delta State Government at the weekend said Wednesday’s sack of the Board of the Delta State Oil Producing Areas Development Commission (DESOPADEC) by the House of Assembly was in order. The government said the Assembly acted within its powers. Commissioner for Information Chike Ogeah was reacting to protests against the board’s dissolution. The protesters, mainly

women, accused the Assembly of usurping the powers of the Executive. They said only the governor, who appointed the board members, has the powers to sack them. A member of the dissolved board, Chief Michael Diden, reportedly said he would not abide by the action of the lawmakers, insisting that only the governor had the right to dissolve the board.

Diden reportedly said he would continue to report in his office at the DESOPADEC headquarters in Warri, until Governor Emmanuel Uduaghan resolves the issue. Ogeah said the matter was a test of the nation’s nascent democracy, especially as it pertains to the separation of powers. He said: “The executive and the legislature have no

particularly in the discharge of functions.” The Assembly dissolved the commission’s board for alleged poor performance. The House said the board had nothing to show for its N35 billion annual budget. In a unanimous resolution, the legislators said the impact of the agency had not been felt in the oil-producing communities.

Ogbemudia makes case for agriculture ORMER Governor of the defunct Mid-West and Bendel State and member of the Peoples Democratic Party (PDP) Board of Trustees Dr. Samuel Ogbemudia yesterday urged governments at all levels to invest more in agriculture so that the nation can feed itself. He said a nation with hungry children cannot develop. Ogbemudia spoke at a thanksgiving service/breakfast marking his 80th birthday celebration in Benin, the Edo State capital.

From Osagie Otabor , Benin

He urged parents to inculcate the values of hard-work in their children to make them better leaders in the future. Ogbemudia said: “Nobody can give long life, except God. As a young officer of the Nigerian Army in 1960, I was approached by an insurance broker to take a life assurance policy of 20 years, but I told him I did not need to do that because only God owns life and only He can give long life. 80 years is a long jour-

ney.” He thanked Governors Adams Oshiomhole (Edo) and Dr. Emmanuel Uduaghan (Delta) and others for sponsoring his birthday celebration. In his homily, the General Overseer of the United Temple of God Ministries, Apostle Roland Gbinigie, said Ogbemudia was a tree planted by the river side that does not wither. Dignitaries at the event include Edo State Deputy Governor Dr. Pius Odubu, who represented Oshiomhole;

Chief of Staff Osarodion Ogie; the Esogban of Benin, Chief David Edebiri, who represented the Oba of Benin; former Minister of Information Prof. Sam Oyovbaire; former Deputy Governor Lucky Imasuen; former Secretary to the State Governor (SSG) Pastor Osagie IzeIyamu; Edo Peoples Democratic Party (PDP) Publicity Secretary Mr. Matthew Urhoghide; and former Edo PDP Woman Leader Madam Grace Bazuaye.

THE NATION MONDAY, SEPTEMBER 17, 2012

CITYBEATS

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

Olaiya’s Heritage Compedium reignites highlife music • Politicians, artistes, others unite for ace musician By Victor Akande & Mercy Michael

IGHLIFE music maestro Victor Olaiya, 81, stood tall yesterday before a galaxy of Nigerians, who converged on City Hall, Lagos where a concert was held in commemoration of Olaiya’s 60 unbroken years on stage. At the crowded auditorium on Lagos Island were businessmen, politicians and star artistes, who took turns to thrill the audience with renditions from their hit albums. They included: former governors Segun Osoba (Ogun) and Segun Agagu (Ondo), Ekiti State Deputy Governor Mrs Funmi Olayinka, Lagos State Governor’s wife Dame Abimbola Fashola, her Ekiti State counterpart, Erelu Bisi Fayemi and former Senator Florence Ita Giwa. Leading an array of artistes was the Juju music maestro Sunday Adegeye Adeniyi (also known as King Sunny Ade), who performed in a duet with Fatai Rolling Dollars. Others who enlivened the gathering were: Afro Beat star Femi Kuti, his sister, Yeni Kuti, Dele Ojo, Orlando Julius and wife, Latoya, activist-Lawyer Femi Falana, Theo Lawson and Yemi Shodimu, who anchored the event.

•Dr Olaiya flanked by former governor of Ogun State Aremo Osoba (left) and Olaiya’s wife Victoria...yesterday

The six siblings of the celebrator also put up a spectacular musical performance, despite belonging to other professions. Dame Fashola, who offered a prayer at the event, also supervised the cutting of the anniversary cake. The highlight of the event was the public presentation of the artiste’s 75 hit songs called the Heritage Compendium. The compendium was a com-

pilation of his works in the last 60 years. The show, a conscious effort by the Femi Osho-led Evergreen Music, was staged to rejuvenate a genre which many believe, is getting out of vogue. Olaiya was in his usual element yesterday, bringing back the memories of his cherished performances in the 60s and 70s. The excitement was visible on the faces of the audience, many

PHOTO: ADEJO DAVID

in their 50s, 60s and 70s. Waving a white handkerchief and twisting dramatically to the melody created by him and his ‘All Stars Band’, Olaiya rendered a long blasting effect with his trumpet, sending the crowd into frenzy. As if taken over by the same spirit, they danced and sang along, as he dished out popular tunes like Adogan, Cherry Koko, Kosowo Lode, Pambotoriboto’ and Omolanke and the music of numer-

ous other Nigerian and Ghanaian Highlife stars. Displaying unusual energy for a man of his age, Olaiya harmonised lyrics, poetry, and rhythm in a unique performance that brought everybody to the dance floor. Evident of a well-rehearsed event, the cord progression was faultless and so was the originality of the beats, which were devoid of computer nuances.

Police gun down two robbers

HE Police Command have killed two suspected bank robbers in Lagos . The incident, according to the Police, occurred last Friday evening in Apapa during an exchange of gunfire with the hoodlums who attacked customers at some banks onWarehouse Road, Apapa, Lagos. One locally made double barrel cut to size, two cartridges and one motor bike were recovered from the bandits.

By Jude Isiguzo

The robbery , it was gathered, started around Mile 2 area where some people had earlier been robbed of their cash and other valuables at Coconut bus stop. The bandits later moved to Apapa where they attempted to rob customers who went to withdraw money. The robbers were said to have run into the police team at Trebor Junction. The Command’s

spokesperson, Ngozi Braide, said the Divisional Police Officer (DPO), Apapa Police Station, Mr Usman Ndambabo, a Chief Superintendent (CSP), led the team of policemen. ‘’On sighting the policemen the robbers opened fire at the officers. During exchange of gun fire two of the robbers were shot dead,’’ she said. A double barrel gun, two cartridges, one expended the other un-expended and a motor bike were recovered from the gang.

Jonathan to launch Braithwaite book

RESIDENT Goodluck Jonathan, governors and some eminent Nigerians are expected at the book launch of activist lawyer, Dr Tunji Braithwaite, in Lagos tomorrow. The book: “The jurisprudence of the living oracles”, will be launched by President Jonathan. Addressing the press yesterday in Lagos, the media consultant to the event organiser, Mr Olubori Obafemi, said the ceremony is a private function to be hosted by Braithwaite and his associates where crucial national issues to move the nation forward would be discussed. Obafemi said the special event is to commemorate the 79th birthday anniversary of the second republic presidential candidate of the National Advance Party (NAP). “It promises to be grand as most of the governors and statesmen invited

by the organisers have already confirmed their attendance at the occasion,” Obafemi said. “It will be recalled that Dr Tunji Braithwaite, a frontline progressive politician, recently in comradeship with statesmen like Prof Ben Nwabueze, under the auspices of Project Nigeria–National Consensus Group, became a major voice in Nigeria calling for urgent replacement of the 1999 Constitution with a peoples’ constitution midwifed by a constituent assembly of the Nigerian people. “Braithwaite was quoted as saying at a meeting of Project Nigeria held at his residence in Lagos on August 2, 2011, that no amount of alterations by the National Assembly to military Decree 24 of 1999 foisted on the people as Nigerian Constitution would turn the decree into a constitution

•Braithwaite

not to talk of a peoples’ constitution as the 1999 constitution is neither amendable nor amenable to reform,” Obafemi explained. The Chief host, according to Obafemi, is Governor Fashola. Key traditional rulers across the country, Christian and Muslim leaders of various denominations, eminent national political leaders and activists have already confirmed this attendance at the event.

THE NATION MONDAY, SEPTEMBER 17, 2012

NEWS

Ex-First Bank CEO Adeosun dies at 74

FORMER Managing Director/Chief Executive Officer of First Bank, Chief Oluwole Adeosun, is dead. His first son, Adewole, said his father died on Thursday, in New Delhi, India where he had gone for a medical checkup. Born on November 25, 1938 to Chief and Mrs Joseph Makinde Adeosun, ‘Wole, as he was fondly called by his parents, attended Abeokuta Grammar School, Abeokuta from 1954 to 1958. He worked briefly as an Agric Officer with the Ministry of Agriculture and Natural Resources Ibadan, Oyo State, before proceeding to the University of Bradford in Britain where he bagged a Bachelor of Science degree in Economics, Bsc (Econs).

By Eric Ikhilae

A seasoned banker and Fellow of the Institute of Chartered Accounts of Nigeria (FCA), the late Adeosun was a fellow, Chartered Institute of Bankers of Nigeria (FCIB); fellow, Chartered Institute of Secretaries (FCIS), and Fellow, Institute of Directors; Chief Adeosun was at various times, the Chairman Indigenisation Committee of the Nigerian Stock market; Managing Director of NAL Merchant Bank, 1979 to 1987; Managing Director/Chief Executive Officer, First Bank of Nigeria Plc, 1987 to 1990; Vice Chairman of National Bank of Nigeria, 1991 to 1992; President of the Institute of Chartered Accountants of Nigeria and Chairman of

First Fund Nigeria Limited, a subsidiary of FirstBank. He was appointed, Secretary of Transport, Aviation and Communications during the Transitional Government of Chief Ernest Shonekan in 1993. The late Adeosun also served on the Presidential Monitoring Committee during Nigeria’s bid to host the Under-23 World Cup in I985; and was the President of NigerianAmerican Chambers of Commerce in 1993. The late Adeosun was the Osi of Egbaland, and the Alagba, Ojoo, Gbagura, Abeokuta. He is survived by his wife, children and grandchildren. According to Adewole Adeosun, son of the deceased, burial arrangements will be announced soon.

Group hails Kingsley Kuku

CIVIL society group, the Coalition for N a t i o n a l Development (CND), has praised the Special Adviser to the President on Niger Delta Affairs and Chairman of the Amnesty Programme, Mr. Kingsley Kuku, for the success of the Amnesty programme under him. In a communiqué issued after a congress of CND signed by the National Cocoordinator of CND, Femi Osabinu, the group said: “The Coalition for National Development reflects on various issues of national

interest and that of the Niger Delta in particular. We resolved that it is significant to appreciate the efforts of the President, Dr. Goodluck Jonathan and his Special Adviser on Niger Delta Affairs, who is also the Chairman of the Amnesty Programme, Kingsley Kuku. “We noted that peace has been restored in the Niger Delta region through the initiative if the federal government and efforts Hon Kingsley Kuku owing to the manner he manages the affairs of the Amnesty project with unalloyed dedication

and commitment coupled with prudence and accountability.” Osabinu hailed the Federal Government’s decision to extend the Amnesty Programme to additional 3,642 beneficiaries. Osabinu said: “Mr. President is hereby urged to make good use of this recent development and repair our local refineries so as to enhance domestic processing of our crude oil. This, we believe, will reduce drastically the cost of fuel and annihilate poverty in Nigeria to a large extent.”

•Wike (right), National Coordinator for Almajiri Education Programme, Prof. Muhammad Mustapha Jagaba (left) and Onocha during an interactive session with the ministry’s contractors in Abuja…at the weekend

‘Fed Govt committed to basic education projects’ M

INISTER of State for Education Ezenwo Nyesom Wike has declared that the Federal Government is committed to the timely completion of all projects in the basic education sub-sector. The minister promised that no project would be abandoned. He spoke at the weekend during a meeting with officials of the Universal Basic Education Commission (UBEC) and contractors executing Almajiri Schools and libraries in Unity Colleges. He said any erring official or contractor would be sanctioned. He said: “I have signed a performance contract with the President and it is my responsibility to ensure that the right thing is done and all contracts executed according to specification and that no

single project is abandoned.. We are working to ensure that all stakeholders are on the same page to deliver on the promise of the President to Nigerians.” The minister noted that the interactive session was aimed at promoting transparency in the execution of contracts at the basic education level to enhance the chances of attaining Education for All (EFA) goals by 2015. “Our overall objective is to create the right atmosphere for the nation to attain the EFA goals by 2015. We intend to achieve this by ensuring that no project in this sector is abandoned for any reason”, he said. Wike said that judging from the percentage level of completion of projects in parts

of the country, the performance level for the execution of almajiri schools projects is well above average. He urged states yet to allocate plots of land for the construction of the second phase of Almajiri schools projects to do so or face the re-allocation of those slots to other states. The minister challenged officials of UBEC and the contractors to work closely together to deliver on all the projects. The Acting Executive Secretary of UBEC, Prof. Charles Onocha, assured the minister that the commission would continue working for the attainment of the goals of the administration in the basic education sector.

‘Southeast didn’t endorse Jonathan’

PRO-SOUTHEAST group, Commiittee 21 (C21), has said the geopolitical zone has not endorsed President Goodluck Jonathan’s candidature for the 2015 elections. The group, in a statement by its chairman, Senator Annie Okonkwo, said it was “an unrehearsed mischief by elements whose integrity is worth just a penny in the developmental politics of the zone presently.” The group said: “It beats common sense how a routine honour extended to the president to commission the enterprise of dynamic Igbo industrialists and re-commission a serially commissioned but never functional Onitsha Port, became a benchmark to decorate the president with unsolicited endorsement for 2015. “The embarrassment to our president by peddlers of this fraud would have been mitigated, if indeed our August visitor had

By Wale Ajetunmobi

come to commission the abandoned Enugu– Onitsha Road, the death-trap Enugu-Port Harcourt Road, the hyped Nnamdi Azikiwe International Airport, or even the mausoleum for Nigerian’s most fervent nationalist and first president, few metres away from the venue of this inelegant theatre.” The group urged the President to ignore the charade called endorsement. It urged Igbo people to remain unperturbed in their commitment to keep a date with history in 2015. “It will be a tragedy if those who shoot before they aim, and genuflect to sell their heirloom are once more allowed the attention of pretending to speak for the Igbo nation because enough should really be enough,” the group said.

FUT Minna VC: Governing Council warned against politicisation

NON-GOVERNMENTAL organisation, the Concerned Citizens for Educational Development, has said it is worried by the attempts by some highly-placed persons to politicise the appointment of a Vice- Chancellor in the Federal University of Technology, Minna. It urged the Governing Council to beware of some people going about in the name of ethnicity to scuttle the criteria for selecting a vice- chancellor in any Nigerian university. The Executive Director of the organisation, Comrade Ibrahim Alih, said the purported attempt to shortchange the existing statutory stipulations in the National University Commission’s Act as regards the selection of a vice-chancellor in Nigeria just to favour people of Gbagyi extraction remains a negative precedent that should not be allowed in the educational sector. He said: “The issue of a host community has nothing to do with the merit and professionalism of selecting the Chief Executive Officer of an ivory tower like the Federal University of Technology, Minna

and any other reputable citadel of learning as far as academic excellence is concerned. “The recent outcry by the people of Gbagyi extraction under the Concerned Niger Citizens to issue unnecessary threats to the Governing Council just to pave the way for incompetence, unprofessionalism and inexperience to cripple our universities is condemnable and regrettable, knowing that the actors are not ignorant of the rules and regulations guiding the selection processes. “The final decision on who becomes the Vice-Chancellor of the Federal University of Technology should not be based on ethnicity, tribalism or nepotism, as its negative effects will not only be felt by the students but the entire populace who will depend on the university graduates in future. “Let it also be known to the protagonists of the Gbagyi Vice-Chancellor agenda that despite that their sons and daughters in the academic have not satisfied the criteria to be considered, the ongoing Transformation Agenda of President Goodluck Jonathan has no place for mediocrity and unnecessary tribal sentiments.”

THE NATION MONDAY, SEPTEMBER 17, 2012

COMMENTARY EDITORIAL FROM OTHER LAND

COMMENT

Painful disengagement •How could the NDIC have excluded the benefits of legacy banks’ workers from other liabilities?

HE latest public spat between the management of Mainstreet Bank and its disengaged workers over the terms of severance package, although unfortunate, merely illustrates the extent to which the terrains of employees’ contracts have changed in the wake of the restructuring exercise that swept through the banking sector. The point however is that the Mainstreet Bank story is fairly representative of the unequal relations in which the staff have become the expendables in the banks’ restructuring exercise. The story started in August 2011, when the Asset Management Corporation of Nigeria (AMCON) acquired three banks - Afribank, Bank PHB and Spring Bank which it later renamed Mainstreet Bank, Keystone Bank and Enterprise Bank, respectively. In the execution of the instrument transferring all deposit liabilities, other liabilities and all assets of the legacy banks to the new banks, the Nigerian Deposit Insurance Corporation (NDIC), for reasons best known to it, excluded liabilities such as pensions and gratuities of the legacy banks’ staff. This would later turn out as their nightmare. In the specific case of the Mainstreet Bank, the staff of the legacy bank were issued new employment letters. In time, the bank would claim that these workers fully understood that they were no longer staff of Afribank but staff of an entirely new and distinct entity –

the implication being the forfeiture of any redundancy compensation assumed under the old (former) employment terms. As it inevitably happened, six months after the transition, some of the staff were given the boot – after a so-called performance appraisal. For settlement, they were paid one month salary, additional two months basic salary, write-off of outstanding share loans, car loan balances, etc. This is in spite of the fact that many of the workers had put in years of unbroken, unblemished service. As stated earlier, the story is neither unique to Mainstreet Bank; it is in fact true of all the banks in different degrees. As the banks struggle to cut costs in the difficult terrain made more so by the restructuring, this has come to be at the expense of the staff welfare and survival issues. We are certainly not taken in by the hollow legalism being put up by the banks while tossing through the window, issues of equitable and just treatment of these former workers. Agreed, job-gutting would appear an inescapable element of the restructuring; the issue therefore is hardly about keeping those workers whose services the banks no longer need. Rather, it is one of ensuring equitable and just compensation in the event of compulsory severance. It is after all, an open secret that some of the banks actually retained the workers long enough for them to attain stability.

Again, we wonder where the idea of acquiring the assets of the former banks without the liabilities came from. Was it a case of ramming through the restructuring even if the staff be damned? Of course, we worry about the implications of the development for the morale of current workers, particularly in an industry that thrives on trust and confidence. It is clearly not too late in the day for the Central Bank of Nigeria (CBN) to undertake a review of the cases of the disengaged staff. Indeed, the apex bank ought to have anticipated the development. At this time, what is needed is not empty grandstanding but genuine initiatives to help the workers settle down quickly to life after employment. One way to go is to explore the possibility of soft loans to relieve their pains.

‘It is clearly not too late in the day for the Central Bank of Nigeria (CBN) to undertake a review of the cases of the disengaged staff. Indeed, the apex bank ought to have anticipated the development. At this time, what is needed is not empty grandstanding but genuine initiatives to help the workers settle down quickly to life after employment’

Caught napping? •The robbers’ carnage of Sept 9 in Lagos is a cruel reminder that it is not yet uhuru N September 9, a gang of eight robbers, with two women to boot, ran rings round the police in Lagos; and left death and mayhem in their trail. At the end of their orgy of violence, the casualty figure was well and truly sickening: at least two policemen gunned down in cold blood, another policeman brutally wounded at Ifako, Gbagada, two Lagos State Transport Management Authority (LASTMA) personnel shot at Oshodi, another seven people lay dead, aside from a six-year old girl who sustained bullet wounds in the eye, as a stray bullet grazed her eye, while in the supposed comfort and safety of her home. Aside, the robbers escaped with loot worth some N50 million from bureau de

‘The bloody Sunday was therefore a sad reminder that it is not yet uhuru in the battle against violent and allied crimes and criminals in Lagos. The IGP’s clarion call was therefore welcome. The police must be up and doing; and must be extra-vigilant, to succeed in their primary duty of preventing and curbing crimes, as well as accosting criminals’

change operators around Afa Nla Street, Oke-Koto, Agege, while stray bullets also smashed the back windscreen of an ambulance owned by a hospital in the locality, which ironically later treated many of the robbery’s victims. It was a bloody Sunday which Lagos had not witnessed for a very long time now; and which Lagosians, ensconced in the relative security their city and state had enjoyed for quite some time, never wish to experience anytime soon, if ever. The robbers’ show was a sobering violent impunity, starting from Ifako, in the Gbagada area of Lagos, stretching through Oshodi, the commercial and transport hub on Agege Motor Road and reaching a tragic denouement at Agege, with the slaughter, in cold blood, of two policemen on patrol. What happened? Muhammed Dahiru Abubakar, the inspector-general of police (IGP), claimed his men were caught sleeping on duty! That metaphor was apt. For some years now, with the success of the Babatunde Fashola government’s security trust fund experiment, the police – as well as a good number of Lagosians – had literally gone to sleep, savouring the relative security the state enjoys, vis-a-vis other parts of the country. The bloody Sunday was therefore a sad reminder that it is not yet uhuru in the battle against violent and allied crimes and criminals in Lagos. The IGP’s clarion call was therefore welcome. The police must be up and doing; and must be extra-vigilant, to succeed in their primary duty of preventing and curbing

crimes, as well as accosting criminals. So, the glittering equipment, sleek patrol vans and hardware like armoured vehicles and boosted munitions to improve police fire power are no substitute for police readiness and vibrant anti-crime intelligence. Indeed, there cannot be effective policing without good intelligence and police readiness. In this twin-crucial area, the Lagos police must sit up. But beyond facing down crimes and criminals, governments at all level must continue striving to create jobs and provide opportunities for gainful living. Though there is no society 100 per cent free of crime, there is a direct relationship between economic stress and crime. Attacking poverty therefore is attacking crime from its roots. The siege to Lagos again echoes the urgent need for a decentralised police. We demand nothing less, especially from a central government that cannot adequately fund and kit its police. A day after the robbery, it was to the state government that the IGP and his men literally scuttled: for equipment restock, when a new fleet of patrol vans, radio equipment and munitions, bought by 57 local governments/council development areas, under the auspices of the Lagos State Security Trust Fund were launched. Pray, where was the Federal Government in the whole of the mix, aside from the lamentation from the IGP? Security breaches like these are exactly why state police is imperative. But then the powers-that-be would rather play politics and leave the security of the people to the elements.

Belated response from Egypt

HE response from President Mohamed Morsi of Egypt to the murder of the American ambassador in Libya and the attacks on the United States Embassy in Cairo should have been swift and unequivocal. Condemn the violence, express condolences for the killings and pledge to strengthen security at foreign missions. That’s what Libyan leaders did. Instead, Mr. Morsi initially issued only a mild rebuke of the rioters — on Facebook. His primary concern was railing against a hatemongering anti-Muslim video that provided an excuse for the protests. It took until Thursday — after a telephone call from President Obama — before Mr. Morsi personally condemned the killing of Ambassador J. Christopher Stevens and three other Americans in Libya and vowed to protect foreign embassies in Cairo. As the new president of an aspiring democracy, Mr. Morsi is still trying to balance competing forces, including his own party, the Muslim Brotherhood, and the harder line Salafis, both of which have a history of antipathy toward the United States. The Muslim Brotherhood and the Salafis suggested on Thursday that they would work to calm tensions. They will have a chance to prove that on Friday when more protests are planned. Mr. Morsi should leave no doubt that violence will not be tolerated. Otherwise, there is little chance of rescuing Egypt from its deep economic hole. The United States has provided Cairo as much as $2 billion a year, though some members of Congress are calling for an end to such aid. If Americans and other Westerners cannot trust that Egypt is reasonably safe, there is little reason to back a $4.8 billion International Monetary Fund loan or follow through on promised debt relief and investment. Khairat el-Shater, a top Muslim Brotherhood leader, in a letter to the editor of The Times, expressed the hope that the relationship the Americans and Egyptians have worked to build in the last few months can survive the week’s events. We hope so, too. Both countries will pay a price if they let extremists push them apart. 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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THE NATION MONDAY, SEPTEMBER 17, 2012

CARTOON & LETTERS

IR: President Goodluck Jonathan while reconstituting two power committees recently said the vacant portfolios of Defence and Power Minister would be filled immediately the Senate resumed from recess. But going by the event preceding the vacation of these portfolios by the erstwhile Ministers, Dr Bello Haliru Muhammed and Prof Barth Nnaji respectively, the President need not be told to be circumspect in naming their replacements. The former Defence Minister was booted out alongside the former National Security Adviser Owoye Azazi following their inability to contain the rising wave of insecurity as seen in the endless incidents of bombing of places of worships and public institutions allegedly by the terror group, Boko Haram. For Prof Nnaji, the story was that he had to leave the cabinet because of a conflict of interest regarding his handling of the power sector reforms. President Jonathan did the right thing in the two cases. The sacking of the ex-Defence Minister is a sign that the president is ready to be decisive no matter whose ox is gored. Prof Nnaji had been credited for the successful steps taken to tackle the problems of the power sector. Power generation was around 4200 mw in August when Prof Nnaji left. National interest was uppermost in the President’s mind in arriving at the decision to wield the big stick against the former Ministers.

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Filling the defence and power portfolios Because of the importance of these two positions and given that it is necessary that the president gets it right in naming replacements, it is my considered opinion that even if it has to require the president reshuffling his cabinet, it certainly would not be out of place in order to get the right candidates irrespective of their states of origin. The president will do well to ensure that only performers are appointed. Considering the sensitive nature of national security and pre-eminent position of

power to national development, there is no gainsaying that the President may have to do away with the need for regional balancing. Already, the Kebbi State chapter of the PDP is embroiled in a controversy over who should take slot of the state. The person being considered for that position, a retired General has been disowned by the state PDP. And following this, the people of Enugu state where Prof Nnaji hails from are reported to have demanded, and rightly so, that

the position vacated by former minister should be given back to the state. These are all normal agitations. The President must ensure that only Nigerians who have the requisite qualifications and experience and who can perform the onerous tasks of salvaging the escalating security situation in the country and restore peoples hope in his administration gets appointed. A possible replacement for Prof Nnaji is his Special Adviser on Energy and Director-General of the

• Lawal Y. Hafiz NBTE, Kaduna.

Mimiko’s antics should not fool anyone

IR: The gubernatorial election in Ondo state has serious implications for Yorubaland and Nigeria in general, and the incumbent Governor, Olusegun Mimiko, is not taking it lying-low. He has received many self-induced awards from many bodies, nationally and internationally. Generally speaking, in Nigeria, chieftaincy is conferred on the highest bidder. Buy a bus for a school, very soon you get a letter of appointment as the

patron of the school. The impending election has portrayed Mimiko to be as wise as the proverbial tortoise. Apart from the various self-induced awards, he would gather one or two indigenes of Ondo State living outside the state to declare support for him. Remember when the tortoise challenged the elephant to a running race, the latter taught it ridiculous and had no doubt that tortoise would be put to shame.

What did tortoise do? He set his sons hidden at some spots along the track. As elephant ran with all his force, occasionally one of the sons of the tortoise would appear along the track and say, “You see, I am ahead”! Elephant would think it was the same tortoise that challenged him, and he would be amazed and increase his speed with greater force. At the end of the track, the original tortoise came out shortly before the arrival of the elephant, and

face. We call on the presidency not to continue bluffing through the feelings and opinions of Nigerians on such issues that determine the ethical and moral standing of the nation for that is one of the critical lessons national honors are meant to serve. We demand a thorough review of the entire process to ensure that only those competent and equipped with requisite integrity are honored. We demand that welldefined criteria be set and not an empty, base and hollow ritual that Nigerians treat with scorn and odium at present.

so he was declared the winner. Hence the Yoruba say Wisdom surpasses brute force. Like the former President Olusegun Obasanjo deceived the leaders of Afenifere in 2003 and deflated the Alliance for Democracy, so Mimiko deceived the Action Congress of Nigeria (ACN) to support his gubernatorial candidature in 2007, with the promise to join the party. He went as far as giving a grand reception to Governor Kayode Fayemi (an ACN member) who was eventually declared the winner of the 2007 gubernatorial election, against the PDP impostor, Segun Oni, who was earlier installed as the Governor of Ekiti state. My conclusion is that, if Nigeria must move from failure to success, viable opposition not PDP or its allies should be supported in all elections all over Nigeria. The PDP tactics adopted by Mimiko should not confuse the people of Ondo State, as that of Jonathan and his predecessors confused too many Nigerians. Unless paradigm shifts throughout the country, the overall result will remain the same, naturally.

• Joe Igbokwe. Publicity Secretary, Lagos ACN.

• Pius Oyeniran Abioje, Ph. D, University of Ilorin.

Again, debasing the National Honours IR: A careful perusal of the 2012 national honours list shows that it is a pot pouri of businessmen with no scruples, friends and associates of those in government, discredited contractors and acolytes of those in power, especially at the federal level and mainly PDP party members who have done absolutely nothing other than live off the state. It is regrettable that what was instituted as a badge of honour has been bastardized to the extent that Nigerians now see it as badge of dishonor. More regrettable is that the present government is not in a hurry to reverse this negative perception. Apparently, those that compiled

Energy Commission of Nigeria (ECN), Prof Abubakar Sambo. Prof Sambo, a Professor of Energy and current Vice President of the World Energy Forum has had a wonderful tenure at the ECN and is a performer capable of tackling the multitude of problems in the power sector. Similarly, it is my belief that Dr Dora Akunyili should be brought back to face the security challenges facing Nigeria. Yes, some would ask the rationale behind appointing a lady to this sensitive post. The answer is that Akunyili is one woman who fought the menace of fake drugs in the country and cleansed the sector of fake and expired to the satisfaction of all. Her performance in NAFDAC and Ministry of information are good testimonials.

the names saw the exercise as an opportunity to reward their friends, associates, business fronts, party men and nothing more. It is regrettable that the government did not take into consideration recent expressions of disappointment by Nigerians with previous awards in order to make necessary amends. We are shocked that the same tardy way and manner that this regime has been known to handle critical issues was on display in this latest list. There is no binding code of honour that unites these latest lists of awardees, as it should be. We only see a combination of people, most of whom have played negative roles in the evolution of Nigeria till the present where we

have a wrecked country in our hands. We would have expected that the massive public outcry against the list of awardees last year would have forced this regime to ensure the adoption strict guidelines in arriving at subsequent list of awardees but our hope for improvement has been dashed again by the current list. This nation makes itself a laughing stock in the comity of nations when it rewards thousands every year with honours just when the country is regressing. We feel there is nothing wrong in suspending the awards for some years while the country grapples with the enormous problems starring it in the

THE NATION MONDAY, SEPTEMBER 17, 2012

COMMENTS

Honour to the dishonoured?

HESE days, whenever I desire to hear the voice of Nigerians, I go online. Stories posted on websites of leading newspapers are relentlessly bombarded with all manners of reactions. Not that the comments are always brilliant or decent as some are patently crude and rude. But there are those that formulate good logics as feedback to the true state of the nation. The reality is that public reactions to issues and events demonstrate the mind of the people. One thing about Nigerians is the spirit of exhilaration, even in the face of tough challenges. There is always the tendency to bubble, be it reasonably or senselessly. And this is what reflects in expressed views on topical issues. National honours list is ever debatable whenever it is released. The list of those being honoured today is not different. Instead of expressing personal views, I have chosen to pick from the many comments made on the day the story was posted on The Nation’s vibrant site (www.thenationonlineng.net). Forget about the names placed. Many would not want to be identified and would choose a pseudonym. But that notwithstanding, I’m re-presenting for readers to enjoy the responses of Nigerians: “If anyone is looking for a list of those who have damaged Nigeria in the last 50 years, the place to begin the search is the National Honours list.” An Ekitipanupo posting, quoting Dr. Reuben Abati - “in those days” “Three happy cheers to our able leadership for such a wonderful selection of “very eminent personalities” for national honours. I am however deeply worried that other eminent personalities like Lawrence Anini of very blessed memory, the sheik himself, Emperor James Ibori, the legendary Monday Osunbor, Very Honourable Farouk Lawan, the pension managers who helped the nation safely keep multi billion naira pension funds in their private accounts are omitted. Others like the legendary Oshishikankwu of Abia State as well as Otokoto of Imo State should also be included as honoured commanders. From Ubavinan Macmillan dictionary definitions of honour: 1. The respect that people have for someone who achieves something great, or behaves in a way that is morally right. Synonyms: love, respect, admiration, passion, deference, reverence. 2. The belief and practice of someone who has high moral standards. Synonyms: morally good or correct behaviour, virtue, goodness, purity, decency, integrity, propriety.

T shouldn’t be entirely surprising that a governor, whose people had seen through him as government of deception, falsehood and profligacy would try to weave his campaign for a second term around all kinds of political subterfuge and employing sentiments rather than showcasing his achievements in the state. Inventing some ridiculous terms such as District Officer (D.O) and ‘Foreigner’ to describe the arrowhead and National Leader of the Action Congress of Nigeria (ACN) in the party’s bid for the government house come October 20 in Ondo State through the flag bearer, Dr. Rotimi Akeredolu would not have been dignified with any response whatsoever, but for the unfortunate truism that a lie told so many times could eventually appear on a garb that’s known to be peculiar to the truth. Thus, rather than discuss the pertinent issues of the day and allow his works, if any, which an average voter in the state has now known to be no more than spectacles that adds nothing to the quality of life of people of the state—who are mostly impoverished— to define his eligibility for a second term, a bona fide Nigerian and a major political figure in the South-west is being called a ‘foreigner’ in order to whip up sentiments among the voters as if he’s the one running for governor. As if the introduction of an unprecedented political brigandage and mayhem by the Labour Party into the state’s election campaign are not bad enough, calling a key figure in Nigeria’s political landscape a District Officer and a ‘foreigner’ is a new low not only in the nation’s election campaigns but in Ondo State as well. It’s the most asinine terms I ever heard. It is important to recall a few of the antecedents of this ‘foreigner’ in order to situate him with his new given identity. The socioeconomic and political profiles of Lagos, Ogun, Oyo, Osun, Ekiti, and Edo states by now are better imagined if history, in its own accord, had not thrown this ‘foreigner’ into the South-west geo-political region, and in whose emergence the nation’s democratic health and credentials are being taken seriously not only from within but in the inter-

3. Something you do that you are proud of. Synonyms: achievements, feat, attainment. 4. A prize that someone is given because they have achieved something important. Synonyms: award, prize, accolade. As you can see, Nigerians, honour means several things. Given these definitions, a person like Mike Adenuga is being given No. 4 above in view of No. 3. But if many of those people given these national ‘honours’ were to be considered by numbers 1 & 2, they would not qualify. We know, however, the Yoruba saying: “oto l’owo, oto n’iyi”. Loosely translated: money can buy you a title, but it can’t buy you respect. From Reservations I thought that national awards are for people who have been exceptional in their careers and how their activities have affected the society and people positively. How can the government give national awards to more than 145 persons and most of them have done nothing meaningful to the society? Is the award for PDP members? How can you give award to Uduaghan, Suswam and co? Imagine the IG of Police! What has he done? This government is without direction. I know that very soon militants will be given national awards! From Enebifuboh Lucky It’s only in Nigerian that mediocres and criminals are celebrated. When will all this folly stop? Inspector General of Police is being awarded for the high insecurities the country is experiencing. The National Assembly lawbreakers are also honoured for ripping Nigerian to death with all the corruption going on there. The Governors are honoured for doing what? What is going on in this country? Could it be that this country is under curse? Or are we really the cause? From Chijioke Kenneth GEJ should also honour the Boko Haram members. You people can go on and do all you can; 2015 is around the corner and the true wishes of Nigerians will manifest. God is watching. From Candido Considering that the US$15million bribe money is still an accounting paradox; and that for Ibori to siphon funds illegally while Uduaghan was Secretary to the Government of the state makes him an accomplice if not an accessory to the fact. Looking through the list, we can see why Chinua Achebe has distanced himself. From DrP2 Rubbish! You would have honoured those that won medals in the just-concluded Paralympics than this bunch on government pay-roll. From Simon Eh! Nigeria, what a country of endless absurdity! Award meant for translucent merit has been turned to merit for crookedness. If you are a true Nigerian whose name appears in this award list, distant yourself from the award as a mark of solidarity with the true, honest and patriotic Nigerians. From Okejay The award is a worthless piece of paper. Save for Adenuga and his Glo, who else here is a worthy businessman? Igbinedion is a role model to those who never seems to find their feet in any business but killed it. So, is he getting an

award for the demise of Okada Air, Canada Dry, Crown Merchant Bank, or for being the father of a known non-performer? What have many on the list contributed to the development of Nigeria? How many of these people have Nigerians on their payroll? From el-Nino As the currency of National Honors is serially devalued, I hope the Federal Government will pause to consider the lasting impact of this annual charade. Here, we have a rogues’ gallery of competing iniquities, despoiled businessmen, charlatans in power, parliament of ineptitude. I’d suggest we give this practice a break for a season or more, whilst we seek a better understanding of who we honour and why. Sadly, cynicism is bound to fester with outrages such as this. My apologies to the esteemed (and incorruptible) - the likes of Justice Kayode Eso who are being lumped together with the unwashed. From American Abroad While I agree that some persons less deserving of our national honours are being given these awards, this should not take away the shine of eminently qualified Nigerians on the list. The list of retired Supreme Court justices like Kayode Eso, Otutu Obaseki etc, and eminent Senior Advocates like Wole Olanipekun (SAN), O.A. O. Monuwa (SAN),must be isolated from the others. From Omo777 Heeeeey! Adenuga in action again. He who takes care of the people deserves a great honour! Adenuga yi ooo, you too much joo. Carry go. We dey with you 100%. Congratulobia. From NigerBoy Just another distraction for wasted years: honoring friends and associates for supporting the failure of leadership. I am disappointed there are not more Nollywood stars and producers on the list this time around. They do provide entertainment for the legislators and executives as they count their daily loot. From Omar Omar Those who looted the economy and stashed their loots in overseas bank accounts are being rewarded with national honours. What an elevation of corruption? From Aliyou Song One very important person without whom the history of Nigeria is incomplete is omitted. The man is the one that defended a group of human race from extinction just like the Jews and deserves more than the award. For history sake, General Dim Chukwuemeka Odumegwu Ojukwu (Ezeigbo Gburugburu) Ikemba Nnewi should be honoured. From Uyome Do we now reward looting and lack of planning? What is going on in this nation? From Philip This award for a man like Adenuga is not just for recognition of his contribution to the economy but also an encouragement to continue to invest in a climate that is very harsh. It is kudos to a man who is playing a zero sum game investing his whole being in Nigeria. Anytime I see people like that, I doff my hat in respect. From Folawewo What about convict Ibori? Must he not bag Nigeria Criminals National Award (NCNA) also? From Sizzla sizzla jr. Please can they tell us in Delta what Uduaghan has done for him to be honoured? A man that cannot give our youth lucrative jobs to live a brighter life? From Davids.

Ondo: When a state needs a ‘foreigner’ By Femi Odere national community. It would be recalled that it was this same ‘District Officer’ and ‘Foreigner’ that the author of these terms ran to for rescue when his electoral mandate was brazenly stolen by a ruling party whose key operators had demonstrated beyond measure that they have no regard whatsoever for democracy even with a small “d”. He knew then, and still knows now that this ‘foreigner’ is ever willing to assist anyone whose electoral mandate was violated in the polity with all he has, including a terminal risk to his life because of his unflinching believe that democracy is the only way a people should be governed. He was a God-sent and the best that ever happened to his political career at the time. I wonder if he saw him as a ‘foreigner’ then. The people of Ondo State should ponder for a moment if this ‘foreigner’ is responsible for the sorry socio-economic state of the state despite its being an oil-producing state. Ondo State is the second richest in the South-west after Lagos. Edo, her immediate neighbor with no drop of crude oil, has undergone such a massive socio-economic transformation in four years while providing jobs for her indigenes at the same time. Ekiti State, another neighbour, is a construction site while the state government continues to provide thousands of jobs for its youths. These are states under a political party which this ‘foreigner’ happens to be its National Leader. I hope that the people of Ondo state would ask themselves if it was this ‘foreigner’ that conned them into believing the political illusion of going “mainstream” so they could enjoy abundant “dividends of democracy” from the centre, just as they’re being deluded by the mega this and mega that, which is a very ingenious way to loot the people’s patrimony legitimately by this current government. A society can never experience any real growth and development in a vacuum. For any society to have real growth, a set of values that are in consonant with and those indi-

ces of development must be clearly identified, imbibed and articulated. These are what coalesce into a template from which a society must spring forth. If this ‘foreigner’ has been shouting from the rooftop that fiscal federalism is the panacea to growth, that resource control quickens the pace of society’s development, that a state police is a good and verifiable antidote to insecurity, it’s time that the good people of Ondo State look in the direction of this ‘foreigner.’ If his cry that a sovereign national conference is the way to go after more than 50 years of madness, that the rule of law must prevail to prevent society’s eventual decay and disintegration, that regional economic integration makes more sense in today’s world where nations that are sworn enemies before are now fusing together for competitive advantage against the rest of the world among others, it’s time to pay attention to this ‘foreigner.’ If the socio-economic and political values of this ‘foreigner’ are in consonant with the progressive political ideal which is second nature to the people of the South-west—Ondo State inclusive—as opposed to a “son of the soil” whose first law of political power is the one espoused by Niccolo Machiavelli, and an aspiring godfather of Ondo State politics whose disposition is Any (Central) Government in Power (A[C]GIP) no matter how depraved, morally reprehensible, clueless and patently incompetent, the people of Ondo state should do a rethink. I listened to our home-grown governor at the Civic Centre in Lagos a little over a year ago in an outing to encourage entrepreneurs to consider Ondo State as a good investment destination because of its mineral and natural resources, among others. “I will give Lagos a run for its money because I am in a hurry to develop Ondo State,” he said among great and lofty things. “Beautiful speech,” I said to myself, thinking that democracy is finally bringing Nigerian leaders to recognize that there’s vir-

tue in healthy competition. But some months later, our governor announced to the whole world that he could not revitalise the several abandoned factories and cottage industries established during the administrations of chiefs Adekunle Ajasin and Adebayo Adefarati because there is no electricity to operate these job-providing, revenue-generating business entities. How is our governor going to “give Lagos a run for its money” and provide the jobs needed for his teeming youths when one of the major reasons people troop to Lagos is because of its factories, which the Lagos State government and their owners have somehow found some creative ways to power? The people of Ondo State should recall that this ‘foreigner’ was once the executive governor of Lagos State. There may be just one or two things this ‘foreigner’ might teach us in order to bring our factories back to life if we allow his party to be in power in the state for a change. • Odere is a media practitioner.

‘If his cry that a sovereign national conference is the way to go after more than 50 years of madness, that the rule of law must prevail to prevent society’s eventual decay and disintegration, that regional economic integration makes more sense in today’s world where nations that are sworn enemies before are now fusing together for competitive advantage against the rest of the world among others, it’s time to pay attention to this ‘foreigner.’’

THE NATION MONDAY, SEPTEMBER 17, 2012

COMMENTS

HE National Chairman of the ruling Peoples Democratic Party PDP, Alhaji Bamanga Tukur, last week raised alarm over what he called depletion in the ranks of members of his party across the country. Inaugurating an eight-man committee to reconcile estranged members of the party in Kano, Tukur warned that if members failed to resolve their differences across the country, it would lead to onslaught of the opposition parties in 2015. He cited the recent election in Edo State arguing that the party lost because of division within its ranks. He may have his facts regarding the woeful performance of the PDP at the last governorship election in Edo State. Schism among members could have played some role. But it will be patently absurd to solely ascribe the poor performance of the PDP to festering division among members of that party. Such a mono-causal perspective may be highly limited in explaining the complex factors that were at play during that election. Definitely there was more to the defeat of the PDP in that election than the issue of division among members. Matters were such that even if there was unanimity of purpose and cohesion among members of the PDP, the outcome would have remained largely the same. Indications were that the incumbent governor performed very creditably. He was not only loved by the people but also pursued very vigorously people-oriented programmes. Such high performance indicators are bound to see any contender through to victory especially if the election was credible, free and fair. Tukur’s assessment did not take a macro perspective of all the issues at play and to that extent; its predictive capacity was highly circumscribed. Beyond the loss of Edo State however, are very fundamental issues with wider repercussions for democracy that have been thrown up by Tukur’s lamentations. These have to do with the capacity or lack of it of the parties to wield their members together and enforce party discipline. At the root of the dissent among members is the inability or outright refusal of the parties to enforce internal democracy within their fold. Tukur admitted that much when he received leaders of the PDP from the South-west with a promise that the imposition of candidates will no longer be tolerated by the national leadership of the party. Let us hope this will be so. However, the matter is not peculiar to the PDP. But that

Emeka OMEIHE 08121971199 email: EmekaOmeihe@yahoo.com

Bamanga Tukur’s alarm party more than any other has been the worst offender in trampling on internal democracy with reckless impunity. These have severally manifested at the election of the leadership of the party during their congresses and candidates for elective political offices each time general elections are around the corner. Wanton disregard for the collective interests and will of members as well as the brazen imposition of candidates has been the greatest undoing of that party It is therefore not surprising that the festering crises that have been their lot have their roots in the inability of leaders to allow internal democracy to take root. The party was very notorious for that during the regime of Obasanjo who could not differentiate between military rule and democracy. Obasanjo de-

‘Definitely, it is not longer going to be business as usual. Once the INEC is committed to free and fair polls and all antics of the ruling PDP to subvert the electoral process curtailed, the humiliation that was the fate of the so-called PDP godfathers in the last Edo election may re-enact nationally’

VEN before the recent announcement by the Abia State governor, Chief Theodore Orji that 1,800 houses built on sewer lanes in Aba would be demolish to pave way for easy flood control and proper drainage in the commercial city, residents of the city and visitors have clamoured severally for such action before now. The persistent calls in the past for the demolition of illegal structures built on the drainage channels by greedy landlords who have grossly bastardized the master plan of the city fell on deaf ears, because of the neglects on the part of successive governments in the state, whose officials especially at the local council areas had always colluded with these landlords to secure approval for them to build indiscriminately at the detriment of others. Several pleas and the pressure on the immediate past government of Chief Orji Uzor Kalu to restore the Aba master plan failed as he cleverly avoided it for political reasons. That is why the several efforts by the present government in the state in tackling environment challenges is proving a hard nut to crack. Even when it is mandatory for builders to leave the setbacks when erecting buildings especially on a single lane road, that was not the case in Aba, as people built houses and shops almost on the major roads. Every little space in the city has been converted to shops or residential homes. It is so bad that commuters can easily do their shopping while inside a moving bus. Even while on construction and rehabilitation of roads in the city, contracting firms found it very difficult to work due to lack of space; this is not to talk of space to construct drainages that will make flood waters move easier within the channels. It is obvious in the city that residents and traders create environmental problems and they will be the first to apportion blames to government and its agencies.

‘Now that the present government in the state has taken the bull by the horn to embark on the demolition of 1,800 illegal structures in the city, the move should be encouraged and supported by all and sundry irrespective of political party affliation, differences and sentiment’

ployed all manner of subterfuge to subvert the will of the people such that only the anointed were allowed to run for political offices irrespective of their popularity and performance at the primaries. It is either party congresses are done in hotel rooms; primaries conducted under questionable circumstances or spurious list of names that bear no semblance with the wishes and preferences of party members released under wide protestations. Ironically, despite the protests that attend these undemocratic conducts, nothing comes out of them by way of remedy. Names of candidates submitted to the Independent National Electoral Commission INEC were in some cases at variance with the names of those who emerged successful at the primaries. We saw this in Rivers, Imo and Anambra states during the regime of Obasanjo among others. We are also privy to the array of litigations that challenged that undemocratic disposition. Those who felt sufficiently frustrated by these brazen acts of impunity were left with no other option than to seek accommodation elsewhere. But who really cared since the PDP will always win elections? What difference did it really make when the party has so many members ready and willing to fill the space created by frustrated members? And since the PDP is billed to rule ad infinitum albeit through unwholesome means, what difference did it make if people have to leave in droves? That has been the thinking within the party. It is perhaps this ruinous attitude that must

have led to the frustrations of Alhaji Tukur especially as events have shown that they can continue that way at a great peril. Then, elections were rigged with brazen impunity. Possession of the ticket of the PDP was sure to guarantee electoral victory irrespective of the popularity of the candidate. This in turn accentuated bitter competition and rivalry among members. The wider repercussion of that conflict and disregard for due process is what Tukur has ostensibly set out to redress. Let us hope he will achieve positive results. Before now, we have seen committees come and go without posting any favorable results. But it will be naïve to assume that PDP really has a choice in this matter. The increasing clamour for free and fair elections and changes in our electoral system that seek to uphold the sanctity of the ballot process have meant that it is no longer going to be business as usual. Writing of results in hotel rooms and INEC offices is increasingly becoming a very rusty practice. The patience of the people is fast running out against the charade that before now went in the name of elections. Just recently, Buhari warned about the soaking of the baboons in blood if the next elections are rigged. In the face of all these, Tukur and his party seem not to have any option than to play according to rules. This line of action is further dictated by the heightened insecurity in the country with its roots in the manner that same party handled its last presidential primaries. So the PDP is being forced by subsisting realities to discard its ruinous electoral pasts. The onslaught of the opposition which Tukur made references to is real. There are also strong views that the PDP has failed the nation and we can do with an alternative. All these are bound to reshape events in the days ahead and the direction they go bound to affect the fortunes of that party especially its vaulting ambition to rule the country in perpetuity. Definitely, it is not longer going to be business as usual. Once the INEC is committed to free and fair polls and all antics of the ruling PDP to subvert the electoral process curtailed, the humiliation that was the fate of the socalled PDP godfathers in the last Edo election may re-enact nationally. All that is needed to deflate the balloon of arrogance in the PDP is a credible, free and fair election. The nation stands to gain from it immeasurably.

The planned demolition in Aba By Uzo Abagwu Now that the present government in the state has taken the bull by the horn to embark on the demolition of 1,800 illegal structures in the city, the move should be encouraged and supported by all and sundry irrespective of political party affliation, differences and sentiment. The step is a move in the right direction, because evil cannot continue to triumph over good. There must be limit to impunity, because devil thrives where good men do nothing. For development to take place, price must be paid and people must make sacrifice. It is a known fact that an average Aba resident be it a trader, landlord, hawker or hustler as the case may be, revel in impunity. They flout and violate law and order with ease in their battle for survival by all means. The city cannot continue in such manners and ways, so the planned demolition by the government is very timely and welcomed. Those that would be affected in the exercise should be given enough time and early notice to relocate. There should be no compromise or favouritism in the exercise because such might give room for government enemies to criticize or mar the exercise. Those to be affected should know that it is not the constitutional responsibility of the government to provide them with alternative accommodation especially when they built without government approval and do not have certificate of occupancy. Even if they had certificate of occupancy as the case might be, and it was discovered that they were wrongly issued to them without taking public interest into consideration, government has the right to revoke them. It is clear that when the demolition exercise commences, some misguided elements in the state especially those who have lost out in power equation might mobilize the affected people and civil societies to protest against it. But the state government should not be deterred with such antics because that should be expected especially in a state that has been in the darkness of political godfatherism before now. So they would always want status quo to remain so that they will continue to benefit at the expense of the majority of us. After all that was how they criticized the task force set up by the government in the past to remove illegal structures in the state. This was even when the exercise brought some level of sanity and orderliness in the state, espe-

cially in Aba. I know that it never occurred to some few arm-chair critics of the present government that the major problem is rebuilding Aba is the indiscriminate and illegal building of shops and houses on drainage channels in the city.. I recall that when Governor Babatunde Fashola of Lagos State wanted to restore order to the notorious Oshodi market, he was criticized by some people who tried everything humanly possible to frustrate the plan. But he went ahead with the plan, undaunted; today even those who were critical of the demolition then are praising him for the effort, while commuters have heave sigh of relief at the market. Rivers State governor, Chibuike Amaechi also experienced the same criticisms and resistancce when his government embarked on the demolition of shanties at the waterfronts that have been serving as a hideout for kidnappers and armed robbers. But at the end, the government had its way in demolition of the structures for the betterment of the majority of the people in the state. So Abia state government should not be deterred in the planned demolition, no matter the opposition, barrage of criticism or attacks that might spring up. The government must remain focused in the exercise and leave the judgment for posterity. • Abagwu, an estate agent wrote from Aba, Abia State

‘It is clear that when the demolition exercise commences, some misguided elements in the state especially those who have lost out in power equation might mobilize the affected people and civil societies to protest against it. But the state government should not be deterred with such antics because that should be expected especially in a state that has been in the darkness of political godfatherism before now’

THE NATION MONDAY, SEPTEMBER 17, 2012

NATIONSPORT MONDAY, SEPTEMBER 17, 2012

NATION SPORT

Kalu Uche hits goal number 4 in Super Lig

Obagoal vows to reward Levante with goals

Nigeria splash Falconets, Paralympians with cash, national honours

U-20 AFRICAN YOUTH CHAMPIONSHIP QUALIFIER

Omeruo out of South Africa tie •Club duties keep Nigerian away from F/Eagles again From Tunde Liadi, Owerri

•Kalu Uche

NIGERIA PREMIER LEAGUE

Dolphins has not been disbanded

NATIONS CUP QUALIFIERS

Eagles not average players, says Green •Optimistic on Liberia win

•Omeruo

Uduaghan hosts sports summit in Abuja, Oct. 30

RED CARD

Taiwo targets more playing time at Dynamo

Koilo wins MTN Lagos Street Soccer Championship

Osaze:

I’ll make up for my dismissal •To serve three-match ban

Azerbaijan: Ambassador tasks Flamingoes on victory •Team departs on Monday for Azerbaijan

COPA Lagos focus on tourism

THE NATION MONDAY, SEPTEMBER 17, 2012

BUSINESS THE NATION

E-mail:- bussiness@thenationonlineng.net

I SSUES Maritime: In the grip of foreigners

There will be zero tolerance in the operations of market making and every participants is expected to play the market according to set rules and regulations. -CEO, NSE, Mr. Oscar Onyema

THE CEO

‘PIB’s non-passage is a disaster’ - P. 32

- P. 27

News Briefing

Govt targets .5m tonnes of cocoa by 2015

‘Nigeria’s debt to GDP ratio hits 17%’

NIGERIA’S debt to Gross Domestic Product (GDP) ratio has hit 17 per cent, Managing Director, Financial Derivatives Company (FDC) Limited, Bismark Rewane, has said.

- Page 26

Banks sector credit drops to N13t THE aggregate banking system credit to the domestic economy stood at N13.09 trillion in July 31, the Central Bank of Nigeria (CBN) Economic Report has showed.

- Page 30

Brokers protest slash in Local Content BROKERS have kicked against the reduction of firms handling local content briefs for the Nigerian National Petroleum Corporation (NNPC). The corporation, which engaged 34 firms for the exercise last year, cut down the figure to 14 this year, a measure operators criticised as anti-industry growth.

- Page 39 DATA STREAM COMMODITY PRICES Oil -$107/barrel Cocoa -$2,686.35/metric ton Coffee - ¢132.70/pound Cotton - ¢95.17pound Gold -$1,800/troy ounce Rubber -¢159.21pound MARKET CAPITALISATIONS NSE JSE NYSE LSE

-N7.560 trillion -Z5.112trillion -$10.84 trillion -£61.67 trillion RATES Inflation -11.9% Treasury Bills -7.08% Maximum lending-22.42% Prime lending -15.87% Savings rate -2% 91-day NTB -15% Time Deposit -5.49% MPR -12% Foreign Reserve $35.8b FOREX CFA 0.2958 EUR 206.9 £ 242.1 $ 156 ¥ 1.9179 SDR 238 RIYAL 40.472

•From left: Group Head, Liability Product, Sterling Bank Plc, Mr. John Akingbade; Head, Consumer Protection Council, Lagos, Mrs. Ngozika Obidike and Manager, National Lottery Commission, Mr. Ita Calix, at the second monthly Sterling Bank Savers Promo Draw, held in Lagos, ...weekend

Capital market to adopt risk-based capitalisation plained that nobody would like to operate a business at a loss, noting that any oppor-

OLLOWING the pattern of the banking sector, the Nigerian capital market may adopt riskbased capital adequacy structure whereby each operator is expected to maintain certain minimum capital in line with its scope of operations. Both the Securities and Exchange Commission (SEC) and Nigerian Stock Exchange (NSE) are considering changing to risk-based capital adequacy instead of the current system where all operators are required to have the same level of capitalisation. It would be recalled that the most current capitalisation requirement by SEC, for all stockbroking firms is to have a minimum of N70 million paid-up share capital. Some firms have share capital above that benchmark, while others operate below it. SEC had attempted to raise the capital base to N1 billion in 2008, but later withdrew this. However, given the recent market downturn and development in the global capital markets, the need to strengthened regulation has thrown up issue of setting adequate capital base for operators in the Nigerian capital market. But instead of setting a one size-fits-all capital base for stockbroking firms, SEC and NSE would adopt a riskbased framework in the market. Although details are still being worked out, the Chairman of Association of Stockbroking Houses (ASHON), Mr. Emeka Madubuike, confirmed last Friday in a telephone chat that it was a con-

By Tonia Osundolire

sensus among stakeholders in the market that a riskbased regulation should be adopted. According to him, a committee in that regard, comprising officials of SEC, NSE, Chartered Institute of Stockbrokers (CIS) and ASHON, was set up to work on the issue of capitalisation early this year. “The committee was chaired by the former Commission of SEC in charge of operations, Ms. Daisy Ekineh. After several meetings, it was agreed that in line with what is obtainable in other jurisdictions, riskbased supervision and regulation should be adopted. This implies that each operator would be required to have capital base depending on the level of risk it is carrying. The arrangement and framework is being worked and would be made known at the appropriate time,” he said. He added that the broking firms would be classified into different categories including broker/dealer, broker or sub-broker. This is said would determine the level of capital each would require. “Besides, the NSE would then be reviewing each operator using the base set by SEC. The NSE will look at the performance of each firm, the volume of transactions and decide to advise on the need to increase the share capital or otherwise,” he said. Speaking on mergers and acquisitions, the ASHON boss said it was a matter of fundament business decision by operators. He ex-

tunity to improve on performance is always a welcome development.

IGERIA, the world’s fourth biggest cocoa grower, aims to double output to 500,000 tonnes over the next three years as it tries to expand its exports beyond oil, an industry body said on Friday. The Cocoa Processors Association of Nigeria (COPAN) said the government had distributed around 10,000 improved seeds to farmers in its 14 cocoa-producing states and production increases would start by 2014. “There are a lot of initiatives by the government to raise production volumes. In another three years, we see cocoa volumes going from 250,000 to 500,000 metric tonnes,” COPAN secretary Felix Oladunjoye told Reuters. The government had also started to subsidise fertilizers for farmers, strengthen industry regulation to boost volumes and distribute chemicals to fight disease.

THE NATION MONDAY, SEPTEMBER 17, 2012

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

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

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

1. 2. 3. 4.

Arik Aero Arik Aero

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

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

LAGOS – KADUNA Aero 08.00 Chanchangi 10.00 Arik 10.00 Arik 15.10

08.30 09.10 11.50 12.45 13.40 15.20 16.30 16.40

By Collins Nweze

He said the percentage does not include Asset Management Corporation of Nigeria (AMCON) and sub-national bonds. He said that if these are to be added, Nigeria‘s debt-to-GDP percentage is in the mid 30s. “Nonetheless, currently, Nigeria’s debt-to-GDP ratio of 17.9 per cent is comparatively low, relative to the debt to GDP ratio of Ghana (41.2 per cent) or South Africa (38.8 per cent),” he said. Rewane said Nigeria’s debt to GDP financial crisis has led to a sharp increase in global government debt as governments scramble to save their financial systems from collapse. According to International Monetary Fund (IMF) figures, the aggregate net government debt in the world rose to $54 trillion in 2011 from $22 trillion in 2007, an increase of 145 per cent in four years. However, to curb the increasing debt, governments have implemented austerity measures and increased taxes. In

reaction to such policies we have seen riots across Europe, as citizens pro-tested in response to the effects of these policies, which included increased government cuts and rising unemployment. “What has become clear from the euro-zone sovereign debt crisis is that rising government debt can no longer be ignored due to its direct impact on economies and citizens. In the last three years, two important lessons have been learnt from the European sovereign debt crisis: When government debt levels are rising it is difficult to anticipate when the threshold will be crossed, leading to the debt level spiraling out of control; When investors lose confidence in a government’s ability to afford its debt, problems can compound and potentially lead to a funding crisis,” he said. According to him, the two main factors that determine the interest burden on government debts are investor demand for debt and the amount of outstanding debt. Germany and the United States, he said, are selling 10 years of government debt at historically low yields of 1.16 per cent and 1.42 per cent respectively.

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 Arik 14.00 Arik 16.30

08.40 08.40 14.55 15.10 17.40

1. 2. 3. 4.

Arik Aero Arik Aero

LAGOS – WARRI 08.15 11.50 11.55 14.55

09.1 12.50 12.55 15.55

1. 2. 3. 4. 5.

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

08.50 09.45 14.00 15.45 19.55

LAGOS – OWERRI 07.20 14.00 16.30

08.30 15.10 17.40

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

IGERIA’S debt to Gross Domestic Product (GDP) ratio has hit 17 per cent, Managing Director, Financial Derivatives Company (FDC) Limited, Bismark Rewane, has said. The FDC Economic report for September, said the total amount of government debt outstanding in Nigeria is N6.89 trillion, representing a mere 17.9 per cent of GDP. He explained that although Nigeria‘s debt is not yet at the 30 per cent debt to GDP threshold set by the government, two alarming trends are beginning to develop. The first is the rate at which Nigeria‘s debt level is currently rising and the second, is the rising cost of government’s borrowing. Currently, the cost of government borrowing is above 12 per cent on three,, five and 10 years bonds, and N559.6 billion has been budgeted for debt servicing this year. While Nigeria is still a fair distance from reaching the government‘s 30 per cent threshold, he insisted that it is important for policymakers to recognize these trends and learn from our past mistakes and the mistakes of European countries.

08.50 12.40 14.10 17.20

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

1. Arik 2. Arik 3. Arik

‘Nigeria’s debt to GDP ratio hits 17%’ N

08.00 18.00

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

•From left: Director, Finance, Chubbies & Fields, Mrs. Jumoke Odeyemi, Managing Director, Dr. Akin Ajiboye and Marketing director, Mr. Victor Fatunde at a press briefing on the First South West Farmers and Food Security Exhibition, organised by firm in collaboration with Oodua Chambers of Commerce and the South West States in Lagos ... last week PHOTO: ISAAC JIMOH AYODELE.

Interbank rates climb as NNPC, forex drain cash

NTERBANK lending rates climbed to an average of 16.33

per cent last Friday, compared with 13.5 per cent last week, on the back of cash withdrawals by the state oil firm and foreign exchange purchases. The market according to Reuters opened with a negative balance of N42 billion ($266.08 million) on Friday, after the NNPC recalled a portion of its deposits with some lenders, and the Central Bank of Nigeria (CBN) debited the accounts of banks for foreign exchange purchased at a Wednesday auction. The NNPC supplies the bulk of dollars traded on the interbank foreign exchange market and usually withdraws a portion of the naira proceeds to its account with the CBN to fund its obligations to the government. It sold about $450 million to some banks two weeks ago. The secured Open Buy Back (OBB) rose to 15.75 per cent, compared with 12 per cent last week, 3.75 percentage points above the CBN’s 12 per cent benchmark rate, and 5.75 percentage points above the Standing Deposit Facility (SDF) rate. Overnight placement closed at 16.50 per cent, from 14 per cent last week, while call money rose to 16.75 per cent, compared with 14.50 per cent last week. “We see rates falling by the middle of next week on the back of improve liquidity from budgetary allocations and open market operations (OMO) treasury bill maturities,” one dealer said. A total of N570 billion was shared between Nigeria’s three tiers of government - federal, state and local - on Friday and about half of the amount belonging to state and local governments is expected to flow through the banking system by Tuesday. The Federal Government plans to sell N60 billion in 5- and 7-year bond next week and this is expected to reduce liquidity, although dealers said it would be unlikely drive rates any higher.

MAN to Fed Govt: Raise wheat flour tariff

HE Manufacturers Association of Nigeria (MAN), has urged the Federal Government to review upwards the existing 15 per cent duty on imported wheat flour, ahead of the 2013/2017 Common External Tariff regimes. The President, MAN, Kola Jamodu, told The Nation that the introduction of 10 per cent composite cassava flour in bread has necessitated the need for upward review of duty imposed on wheat flour. He said this would accelerate the manufacture of composite flour locally.”We are aware that duty is a

By Toba Agboola

veritable instrument for generating revenue for the Government. To this end, I want to recommend an upward review of the tariff rates of imported flour from 15 per cent to 20 per cent. This will discourage importation of foreign flour, while the cassava products will be promoted,” he said. Jamodu called on both the States and Federal Government to encourage its ministries, departments and agencies to patronise locally made products in all their activities, adding that this is the only way local

manufacturers can be promoted. He commended the government for the positive impact of some of its policies. He said: ”We are not unmindful of the onerous challenges facing the government. “In this regard, we want to assure the Federal Government of our commitment to your noble mission to bring positive changes to our economy and sustenance of the manufacturing sector, especially in the area of job creation. ”This is even as the Director General of the Federal Institute of Indus-

trial Research Oshodi, FIIRO, said consumption of cassava bread can save the economy N318 billion yearly. ”This figure is half of the N635 billion (about $3.9 billion) being spent annually to import wheat into Nigeria by the Flour Millers for bread making and other confectioneries. Since wheat is not produced in Nigeria it has to be imported. Furthermore, bread is produced from 100 percent wheat flour and as such huge amount of hard earned foreign exchange is used every year for its importation,” he disclosed.

Content board begins pilot scheme on fund deployment HE Nigerian Content Development and Monitoring Board (NCDMB) said it has started a pilot scheme with two Nigerian companies on how the Nigerian Content Fund (NCF) should be deployed. The Fund which is built through the payment of one per cent of every contract awarded in the oil and gas industry, is meant to be used in assisting the development of indigenous content and capacity in the petroleum industry. The Executive Secretary, NCDMB, Ernest Nwapa, said the fund is growing and that it has secured the services of fund managers to operate it and ensure transparency. He said by the way the management

By Emeka Ugwuanyi

of the fund is structured, 30 per cent would be used to stimulate growth of capacity, while the remaining 70 per cent would used to guarantee local oil firms’ loans from banks. He said: “To ensure transparency, the Board brought in fund managers to manage the fund. Currently 30 per cent of the fund will be used for stimulating capacity building, while 70 per cent will be used as guarantee for oil firms’ borrowing s from bank. “For example, if an indigenous oil company goes to a bank to borrow $20 million, besides guaranteeing the loan with the fund, the interest that accrues on the loan will be shared 50-50. While the company bears 50 per cent of the

interest, the fund will bear the remaining 50 per cent,” assuring that the 70 per cent part of the fund would not be depleted. “The 70 per cent of the fund will not be depleted. It will be made to continue to grow. Nwapa, said currently, the Board is running a pilot on the fund usage and deployment with two members of the Petroleum Technology Association of Nigeria (PETAN). The association is made up of Nigerian oil companies, particularly those in the services sector of the upstream segment of petroleum industry. He said between 2010 and June this year, the country has recorded investment inflow of $2.8 billion as a result of the Nigerian Content Act, adding

that before the Act, Nigerian firms were increasingly buying equities in new rigs because it was pretty difficult for them to buy new ones alone, as one new rig can cost as much as $200 million. None of the companies currently has new rigs, but they are making headway in marine vessel acquisition. Nwapa, said once a vessel is owned by a Nigerian company, it is given priority for jobs, adding that the board is uploading evidence to confirm that these vessels truly belong to Nigerians. Part of what the board wants to use to confirm evidence that the vessels belong to Nigerians, he said, is try to see the banks that are financing the vessels.

THE NATION MONDAY, SEPTEMBER 17, 2012

ISSUES

•Cadets from Maritime Academy of Nigeria (MAN), Oron

The cabotage Act creates a level playing field for indigenous firms in the shipping business, but it remains in the grip of foreigners. How can indigenous firms break this hold? It is by training the right personnel to do the job, say stakeholders, who add that Nigeria urgently requires 50,000 seafarers. Maritime Correspondent OLUWAKEMI DAUDA reports.

Maritime: In the grip of foreigners

HOSE with a eye for business spot a lucrative trade when they see one. With their trained eyes, they have since identified maritime business as a money spinning venture. But there is a problem. Nigerians do not have the financial muscle to invest in it. They don't also have the required personnel. Worried by the dearth of indigenous seafarers, stakeholders are concerned that Nigeria's maritime trade is largely in the hands of foreigners. This can be seen in the volume of petroleum products transported by foreign vessels. Aside the ownership structure of most ocean liners, which is foreign dominated, mariners who are in the employ of the vessels, are of foreign stock. The ships are either manned by Philippines, Malaysians or Indians, leaving the few local hands in the lurch. Stakeholders have also pointed out that foreign seafarers engaged in the nation's

• Nigeria requires 50,000 seafarers coastal trade earn between $1.5 and $2billion annually. To redress this, they said the government needs to create a conducive environment and partner private operators on ship building or acquisition for training to develop a robust pool of seafarers to replenish ageing seafarers and reposition the sector.

Liquidation of NNSL Since the dissolution of the defunct Nigerian National Shipping Line (NNSL), investigation revealed that there has been a major gap in the training of seafarers in the last 15 to 18 years. The Managing Director, Badmus Shipping, Chief Fola Badmus said since the liq-

uidation of the NNSL in 1995, the maritime industry has suffered a generational vacuum in the area of manpower training, making succession in the sector a herculean task. The vacuum created due to lack of training vessels, he argued, has created opportunity for foreigners to exploit the nation's waters, leaving little or no job for Nigerians. Available data from the Nigerian Maritime Administration and safety Agency (NIMASA), showed that seafarers from Malaysia, the Philippines and India, who work on Nigerian waters, take home between $1.5 billion to $2 billion annually because of lack of certified indigenous manpower. The agency's data also revealed that of

the nation's population of over 160 million, only 1,388 officers and ratings are registered; Ghana has 1,879 officers and 7,000 ratings. Badmus said the curriculum of the Maritime Academy of Nigeria (MAN), Oron, the only institute in the country for seafarers, is not designed to award internationally-recognised certificates. Similarly, because of the dearth of employment, graduates of the academy, he said, end up on the streets doing unrelated jobs. Expressing dissatisfaction, former National President of Master Mariners, Adewale Ishola, said in the 70s, there was yearly intake of cadets for training in institutions in the United Kingdom, Canada, Egypt and Singapore, adding that there was also a Memorandum of Understanding (MoU) to train Nigeria's Deck Officers and Marine Engineers at the regional acad•Continued on page 28

THE NATION MONDAY, SEPTEMBER 17, 2012

ISSUES

Maritime:In the grip of foreigners deliver vital services to the industry.

•Continued from page 27

Job prospects emy in Ghana, which, according to him, is no longer obtainable. He pointed out that even before the creation of the then National Maritime Authority, the Nigerian Ports Authority (NPA) was training cadets through the Ministry of Transport, as well as the Nigerian National Petroleum Corporation (NNPC). He said some of them graduated with Masters and as first class engineers, but regretted that there were no jobs for them, adding that most of them had to look elsewhere for jobs. The former Master Mariner said because there were not enough hands to fill the vacancies in oil and gas, foreigners were brought in for some jobs. He said the Nigerian Liquefied Natural Gas (NLNG) was only training cadets to suit its needs, adding that the country is in need of seamen who can handle all types of cargoes. He said there was the urgent need for government to bring on a new set of skilled hands to take over from those expected to retire soon. Of the 5,000 seafarers in the country, less than 1,000 are Nigerians, the remaining, he said, are foreigners. He said over 250,000 vacancies exist for seafarers but Nigerians lack the capacity to fill them. The dominance of the sector by foreigners, he said, is among the challenges facing NIMASA. The agency told The Nation, it is working to ensure that Nigerians take their rightful positions in the international maritime business.

The President, Association of Nigerian Licensed Customs Agents (ANLCA), Alhaji Olayiwola Shittu, said jobs abound on board vessels for cooks, carpenters, marine engineers, seamen and others with good remuneration. He said there are enormous opportunities in the maritime sector, adding that the country needs more seafarers to maximise benefits of the sector. Interest in maritime, he said would augur well for the industry.

NIMASA's role

•Minister of Transport, Senator Idris Umar

• Akpobolokemi

•Managing Director, NPA, Mallam Habib Abdullahi

Partnership to build vessels The Managing Director, Shipping and Logistic Training, Gbolahan Adesegun, said there are no vessels fully-equipped for cadet training, urging the government to take the issue of acquisition of vessels through private initiative seriously. The campaign for more seafarers, he said would become more effective if there is partnership with shipyards to develop their capacities to build ships locally for the Nigerian industry, otherwise, NIMASA will be working on a platform that is fragile, unrealistic and not cost effective. Adesegun said reasonable progress can only be made by strengthening the local ship capacity building initiative to ensure seafarers are developed to satisfy the needs of the industry.

Gains from seafarers Secretary General of the Indigenous Ship owners Association of Nigeria (ISAN) Niyi Labinjo said Philippines, with a population of over 80 million, has maximised the benefits of developing its maritime labour sector. It supplies over 30 per cent or 300,000 of the 1.2 million world seafarers. From this, he said, Philippines earns over $5 billion for its economy from repatriated income. He said Filipino seafarers dominate the maritime labour market because of the concerted national efforts in that direction. They are among the country's eight to 10 million migrant workers scattered across the world, whose remittances, as acknowledged even by the government, have helped buoy the economy. Every year, Filipino workers overseas, send home over $15 billion or 10 per cent of the Phil-

•Vessel for seafarers’ training

ippine's gross domestic product (GDP). The GDP is the total value of goods and services produced by the country in a year. In some economies, Filipino sailors constitute more than 55 per cent of the maritime personnel. Labinjo said seafarers' development is a strategic programme of the Philippine government because of the tremendous earnings from maritime manpower export. He urged the government to emulate that country.

Poor implementation of Cabotage Act According to ship owners, poor implementation of the Coastal and Inland Shipping Act (Cabotage), aimed at creating jobs for indigenous ship owners, has resulted in low involvement of indigenous firms in shipping business. They argued that the nation was losing huge revenue to capital flight. A major problem affecting the implementation of the Act, they said, is the dearth of manpower, brought about by training facili-

ties and personnel. According to the ship owners, this is why the nation cannot successfully implement Cabotage as the law requires that all indigenous vessels be manned by Nigerians.

Lack of training vessels Despite the country having a training academy in Oron, the gap in seafarers development remains worrisome. Graduates from Oron find it difficult to compete with their counterparts elsewhere. Stakeholders attribute this defect to lack of technical structure, ranging from lack of training vessels to other platforms required for the practical training of cadets from MAN, Oron. The General Manager, Public Affairs, Nigerian Ports Authority (NPA), Chief Michael Ajayi, said a feasible plan of funding for the academy is needed so as to churn out seafarers that can stand international competition. With globalisation, increased trade and maritime transport, there's the need for at least 50,000 new maritime officers in the next five years, Ajayi said, adding that

seafaring is a specialised endeavour which demands provision of key resources which cannot be compromised if the demand of the global maritime market is to be met. The implication of this is the deplorable state of training facilities at Oron, which has suffered neglect in terms of resources for quality maritime education. He said the poor state of affairs at the academy demanded that emphasis be placed on resources to ensure the highest standard of training. Ajayi, said it is expedient to establish more academies, adding that efforts should be made to improve the academy to boost manpower development. Ajayi said there is need for training if the nation wished to meet the maritime personnel needs, adding that the major challenge after training is completing the stipulated sea time. He said significant steps be taken to expand the capacity of the Oron Academy and provide navigational and seamanship training. The academy, he said, is in need of attention and much remained to be done to enable it

‘Because we realise that one of the problems we have is seafarers’ training institute, the agency is at the moment exploiting areas where partnership will be made with seafarers institutions to develop. So far, we have only one, MAN, Oron, which is not capable of providing all our personal needs, so, we are training overseas’

NIMASA Director-General Mr Patrick Akpobolokemi said about 50,000 seafaring jobs would be created for Nigerians. To address the matter, he said, over 75 persons have been sent abroad for seafaring training under collaborative arrangement between the Federal Government and those countries. NIMASA set up the training programme as a strategic intervention designed to address the short-medium term manpower requirements of the sector to create a large pool of seafarers in the next few years. The generational gap in the sector requires intervention because the seafarers' pool had further depleted because of low life expectancy, death and expanded manning requirements, pointing out that the programme would reposition the economy by building a strong transport sector, especially through shipping because of its critical nature to the economy. Akpobolokemi said there was need to develop manpower and the country's capacity, noting that Nigeria needs at least 50,000 seafarers to man vessels operating on Cabotage. "The first batch of cadets is now onboard undergoing sea-time training. The initiative was a wake up call towards meeting the demand of the global shortage of seafarers. Nigeria decided to take a bold step with the intention to work towards meeting the demand as well as wealth creation, by training more Nigerian youths and supporting their gainful employment in line with Mr. President's transformation agenda. "You see, even if you restrict yourself to the Nigerian coastal trade or the cabotage, we have over 50,000 jobs and because of lack of capacity, most of these jobs are being taken by foreigners. NIMASA has started the development of seafaring. We have started the National Seafarers' Development, where each state is to participate by putting 25 seafarers per annum. NIMASA pays 40 per cent of the cost of their training, while the states that send them pay the remaining 60 per cent. "Because we realise that one of the problems we have is seafarers’ training institute, the agency is at the moment exploiting areas where partnership will be made with seafarers institutions to develop. So far, we have only one, MAN, Oron, which is not capable of providing all our personal needs, so, we are training overseas. “Also, the University of Lagos, Niger Delta University and the University of Technology, Minna, will have seafarers training programmes. A substantial amount of money has been voted for that purpose in those institutions," he said.

THE NATION MONDAY, SEPTEMBER 17, 2012

MONEY LINK

Banking sector credit drops to N13tr

HE aggregate banking system credit to the domestic economy stood at N13.09 trillion in July 31, the Central Bank of Nigeria (CBN) Economic Report has showed. The data depicted a decline of 1.6 per cent , on month-onmonth basis, in contrast to the increase of 0.5 per cent at the end of the preceding month. Also, banking system’s credit to the Federal Government, on

Stories by Collins Nweze

month-on-month basis, fell by 26.5 per cent to negative N1.7 trillion, compared with the decline of 13.1 per cent at the end of the preceding month. The development was attributed, largely, to the decline in banking system’s holding of Federal Government securities. As at December 2011, aggregate banking system’s claims on

the corresponding period of 2011. The report said the banking system’s claims on the core private sector rose by one per cent to N14.2 trillion, above the level in the preceding month, compared with the growth of 1.5 per cent at the end of the preceding month. The development reflected, largely, the 1.9 per cent rise in DMBs’ claims on the sector. Relative to the level at end

the Federal Government fell significantly by 251.5 per cent. The Federal Government, however, remained a net lender to the banking system at the end of the review month. The report said banking system’s credit to the private sector rose by 1.0 per cent to N14.8 trillion, compared with 1.5 per cent recorded at the end of the preceding month, but in contrast with a decline of 0.2 in

to December 2011, banking system’s credit to the private sector rose by 4.7 per cent. At N7.8 trillion, foreign assets of the banking system rose by 3.9 per cent at end to July 2012, in contrast to the decline of 5.8 per cent at the end of the preceding month. The development was attributed to the 4.5 and 1.1 per cent increase in the CBN and banks’ holdings, respectively.

Enterprise Bank issues MasterCard

NTERPRISE Bank Limited (EBL) has rolled out the Enterprise MasterCard Verve, an international brand of MasterCard, in partnership with MasterCard and In-terswitch. A statement from the bank said the product is accepted worldwide as a means of payment for goods and ser-

TERLING Bank at the weekend gave out cash prize of N2 million to four of its savings customers in the second monthly draw of the bank’s ongoing Savers’ Promo held in Lagos. The winners, who won N500,000 each, are Ofosu Yeboah (Alaba MainETBBranch),MauriceHenry (Utako ETB Branch), Opakunle Muyibat Keinde (Iwo Road Branch) and Bienonwulu Loveth of (Asaba Branch). Other 10 customers also won home theatres and refrigerators as consolation prizes. They include Olatunde Aina, Rufai Oladunni, Onwuka Agbai, Abba Simon, Dioni Asemo among others.

vices at over 30.9 million MasterCard locations and over 1.9million Automated Teller Machines (ATMs) in more than 210 countries. Also, the product assists transactions to be consummated in the currency of the country as long as the card is linked to the customer’s Naira account. The successful roll-

and the new ones have the card as part of their ‘Welcome Pack’,” it said. The bank said the process of collection of the new cards has also been simplified to ensure quick delivery upon the completion of the relevant e-business form. It also allows all existing Verve Card holders, whose cards have expired,

out exercise follows a strong bid by the bank to guarantee convenient banking services to its growing clientele. “The Enterprise MasterCard Verve is available at all branches of Enterprise Bank for easy pick-up by customers with active accounts in the bank while those customers reactivating their accounts

Sterling Bank gives out cash, prizes The winners emerged after electronic draws witnessed by Consumer Protection Council (CPC), National Lottery Regulatory Commission (NLRC), the media and members of staff of the bank. All the 14 winners emerged from 22,814 qualified entries pooled during the draws. The bank’s Group Head, Liability Products and Bancassurance, John Akingbade, said that the promo was about rewarding customer loyalty and promoting financial inclusion in the economy. He said the bank is giving priority to the need to firm its financial inclusion strategy to enable it bank millions of the unbanked

retail outlets that have been excluded from banking services,” he said. The promo is also expected to strengthen the bank’s deposit liabilities and position it to compete favourably in the industry. This qualifies them to win N500, 000 and other gift items such as blackberry phones, home theaters, refrigerators, microwave ovens among others.He encouraged customers of the bank to save more as such will increase their chances of winning the prizes. A representative of the Consumer Protection Council (CPC), Mrs Ngozika Obidike, said the commission was happy with the

within the population. “We are aware of the need to enhance financial inclusion and bring the unbanked into the financial system,” he said. Akingbade explained that to achieve this, the bank is promoting a classic savings account that allows prospective customers to open account with the bank with zero balance. He said the target of the bank is to ensure that more and more people within the unbanked population are captured into the financial system. “We are reaching out to the informal segment of the population like barbers, mechanics, technicians, tailors, and other small

FGN BONDS Amount N

Rate %

M/Date

3-Year 5-Year 5-Year

35m 35m 35m

11.039 12.23 13.19

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

Amount Amount Offered ($) Demanded ($) 350m 150m 350m 138m 350m 113m

Price Loss 2754.67 447.80

INTERBANK RATES 7.9-10% 10-11%

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

Amount 30m 46.7m 50m

Rate % 10.96 9.62 12.34

Date 28-04-2012 “ 14-04-2012

GAINERS AS AT 14-9-12 SYMBOL

FIDSON UAC-PROP FLOURMILL UACN CONOIL UBN ROADS NASCON GLAXOSMITH INTBREW

O/PRICE

1.00 10.00 60.20 37.18 19.70 6.84 9.28 5.05 33.54 12.96

C/PRICE

1.05 10.50 63.20 39.03 20.68 7.18 9.74 5.30 35.20 13.60

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

Current Before

C u r r e n t CUV Start After %

147.6000 239.4810 212.4997

149.7100 244.0123 207.9023

150.7100 245.6422 209.2910

-2.11 -2.57 -1.51

149.7450

154.0000

154.3000

-3.04

152.0000

153.0000

155.5000

-2.30

153.0000

154.0000

156.0000

-1.96

O/PRICE 2.22 10.93 4.58 0.64 1.98 1.10 2.78 3.31 1.05 3.00

C/PRICE 2.11 10.39 4.36 0.61 1.89 1.05 2.66 3.18 1.01 2.90

CHANGE 0.11 0.54 0.22 0.03 0.09 0.05 0.12 0.13 0.04 0.10

DISCOUNT WINDOW Feb. ’11

July ’11

Dec ’11

MPR

6.50%

12%

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

8.50% 4.50% 25.00% 1.00% 12.10%

8.50% 4.50% 25.00% 2.00% 12.10%

9.50% 5.50% 30.00% 2.00% 12.6%

NIBOR Tenor 7 Days 30 Days 60 Days 150 Days

NSE CAP Index

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

Date 2-7-12 27-6-12 22-6-12

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

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

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

% Change -1.44% -1.44%

MEMORANDUM QUOTATIONS Name

LOSERS AS AT 14-9-12

SYMBOL LONGMAN ARBICO UPL CONTINSURE BAGCO NPFMCRFBK REDSTAREX PORTPAINT EVANSMED FCMB

Exchange Rate (N) 155.2 155.8 155.7

CAPITAL MARKET INDEX Year Start Offer

CHANGE

0.05 0.50 3.00 1.85 0.98 0.34 0.46 0.25 1.66 0.64

Amount Sold ($) 150m 138m 113m

EXHANGE RATE 6-03-12 Currency

OBB Rate Call Rate

IRST BANK of Nigeria Plc has announced the appointment of Messers Gbenga Shobo and Dauda Lawal as Executive Directors, Retail Banking (South) and Public Sector (North) respectively. The bank said in a statement that the appointments, subject to the approval of the Central Bank of Nigeria (CBN), are geared towards further enhancing the capacity of the Executive Management and Board, by deepening specialsation and strengthening the corporate governance culture. According to the Bank’s Group Managing Director/ Chief Executive Officer, Mr. Bisi Onasanya, the appointments represent the lender’s continuing transformation project, which is focused on exceeding customer expectations. “I am pleased to welcome Gbenga and Dauda to the board of FirstBank Nigeria,” he said.

WHOLESALE DUTCH AUCTION SYSTEM

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

progress made so far in the second draw. She confirmed that the promo was registered with the commission and apologised for the omission of th bank’s name in a recently published advert on registed promos in the country. “The promo is transparent. The bank’s promo was also registered with CPC. It was an outright omission on our part. The Council will apologise to the bank and will include the lender in the next publication,” she said. Obidike said the bank has shown a lot of commitment in ensuring that its customers are rewarded an effort, she said, should be emulated by other banks.

FirstBank appoints EDs

DATA BANK

Tenor

NIDF NESF

to automatically be migrated to MasterCard Verve as soon as they conclude the renewal process. It said upgrading to the Enterprise MasterCard Verve is part of the commitment by the bank to delight its customers with value added service as well as ensure the success of the cashless initiative.

•CBN Governor, Sanusi Lamido

Offer Price

Bid Price

ARM AGGRESSIVE 9.17 KAKAWA GUARANTEED 1.00 STANBIC IBTC GUARANTE 125.13 AFRINVEST W.A. EQUITY FUND 114.08 LOTUS CAPITAL HALAL 0.77 BGL SAPPHIRE FUND 1.10 BGL NUBIAN FUND 0.93 NIGERIA INTERNATIONAL DEB. 1,713.48 PARAMOUNT EQUITY FUND 10.45 CONTINENTAL UNIT TRUST 1.39 CENTRE-POINT UNIT TRUST 1.87 STANBIC IBTC NIG EQUITY 8,652.66 THE DISCOVERY FUND 193.00 FIDELITY NIGFUND 1.67 • ARM AGGRESSIVE • KAKAWA GUARANTEED • STANBIC IBTC GUARANTE • AFRINVEST W.A. EQUITY FUND

9.08 1.00 124.96 113.71 0.74 1.10 0.91 1,709.59 9.94 1.33 1.80 8,411.80 191.08 1.62

Movement

OPEN BUY BACK

Bank P/Court

Previous 04 July, 2011

Current 07, Aug, 2011

8.5000 8.0833

Movement

THE NATION MONDAY, SEPTEMBER 17, 2012

MONEY MARKET REPORT

$40b reserves, crude oil prices lift Naira

•Naira notes

•Dollar notes

HE naira strengthened against the dollar last week as crude prices and the foreign exchange reserves pushed northwards. The naira rose 0.1 per cent to N157.85 a dollar, putting behind three days of declines of the local currency and increasing confidence that the Central Bank of Nigeria (CBN) can manage its stability. The naira has risen 2.8 per cent this year, the best performer in Africa, according to data compiled by Bloomberg. Nigerian benchmark Bonny Light crude, which has risen 29 per cent from a June low this year, climbed for fifth day rising 0.1 per cent to $116.37 per barrel. The country’s foreign reserves rose to a more than two year high of $40.2 billion on September 11, according to data from CBN’s website. The foreign reserves rose to $41.167 billion on September 10, stood at $36.35 billion on August 7; rose to $36.41 in August 8; $36.46 in August 9 and $36.51 in August 10. It had dropped to $36.36 billion in July 20, from $37.19 billion four weeks earlier, losing about $830 million within the period. However, the reserves opened the month at $39.2 billion in September 3 and had kept a steady but consistent rise for one week before hitting the current benchmark. The foreign currency reserves rose to $68 billion in August 2008 before the global financial crises impacted negatively on it. Analysts at Afrinvest said the CBN needs to build up adequate external reserves to satisfy the genuine needs for foreign exchange as such is consistent with the increase in the growth in economic activity. It will equally assist in conserving resources and withstanding external shocks. The apex bank has also said there was urgent need to pursue policies that would foster macroeconomic stability, economic diversification as well as encouraging foreign capital inflows. It said a higher rate of retention of oil revenues should facilitate the efforts at maintaining exchange rate stability as an antidote to imported inflation without excessive reliance on monetary tightening measures. Analysts predicted that Nigeria’s foreign reserves are expected to hit $60 billion by year end as oil production soars. Nigeria’s crude oil production spiked to an all-time high of 2.7 million barrel per day (mbpd) on the 25th of July, the first time in 50 years. This peak represented an increase of 28.57 per cent from the year-to-date average of 2.11 mbpd.

Market interbank Nigeria’s interbank lending rates climbed to an average of 16.33 per cent on Friday, compared with 13.5 per cent last week, on the back of cash withdrawals by the state oil firm and foreign exchange purchases. The secured Open Buy Back (OBB) rose to 15.75 per cent, compared with 12 per cent last week, 3.75 percentage points above the central bank’s 12 per cent benchmark rate, and 5.75 per centage points above the Standing Deposit Facility (SDF) rate. Overnight placement closed at 16.50 per cent, from 14 per cent last week, while call money rose to 16.75 per cent, compared with 14.50 per cent two weeks ago.

Banks’ capitalisation Although Nigerian banks often view their

industry being appraised by the apex bank. Duniya said that the list of controlled functions is not exhaustive as other important roles and responsibilities may be added.

N5, 000 banknote/ inflation

•Oil platform By Collins Nweze

capitalisation as either strong or adequate, Standard & Poor’s (S&P) Ratings Services, a global rating agency, classified their capitalisation as “moderate” or “adequate,” under its criteria. S&P said in a report to Reuters that Nigerian banks view their capitalisation stronger than it does because of large amounts of what the lenders classify as surplus capital, above the capital adequacy ratio (CAR). “The average CAR for the eight largest Nigerian banks by asset size, according to publicly available financial statements, was 21.1 per cent, versus the 15 per cent regulatory minimum for banks with international operations. However, we calculate that capitalisation was a much lower 6.2 per cent, on December 31, 2011, according to our globally comparable risk-adjusted capital framework,” said Standard & Poor’s credit analyst George Maisey.

Banknotes, coins Although e-payment is becoming more popular in Africa, banknotes and coins will always be relevant and useful, Central Bank of Nigeria (CBN) Deputy Governor, Tunde Lemo has said. Speaking at the Association of African Banknotes and Security Documents Printers (AABSDP) conference in Lagos, he said the cash-less policy of the apex bank is on course. Lemo said banknotes and coins will always be useful in consummating transactions. He said that the proposed N5, 000 note will reduce cost of banking operations, adding that Africa must embrace change and new technologies in printing of bank notes and minting of coins to keep counterfeiters on check.

Deloitte, MAN Akintola Williams Deloitte (AWD) and the Manufacturers Association of Nigeria (MAN)

have concluded a one day seminar that is geared towards assisting Small and Medium Enterprises to achieve the International Financial Reporting Standard (IFRS) implementation. The IFRS is due to take effect from January 1, 2013. IFRS Leader for Deloitte West and Central Africa, Oduware Uwadiae said there are benefits and challenges of IFRS reporting for SMEs, which include IFRS conversion process and the need for early preparation.

Bond yields Nigerian bond yields are expected to fall around 30 basis points this week as the market prepares for the country’s inclusion in the JP Morgan Government Bond Index - Emerging Markets (GBI-EM) from October. Yields on Nigeria’s 10 and 20-year bonds have shed 300 basis points over the past month on news of the index inclusion, which JP Morgan says could potentially bring up to $1 billion into one of Africa’s most developed debt markets. Reueters report said the sharp fall in yields has also been driven by an improved inflation outlook, dealers said. Inflation unexpectedly eased in July to 12.8 per cent year-on-year from 12.9 per cent in June, surprising many analysts.

Auditors, compliance officers The banking watchdog said there was need to assess skills, qualifications, experience and competencies of staff currently occupying controlled functions in banks. Auditors, compliance officers and other bank staff involved in ensuring that due process is followed in banking operations fall within this group. These were conained in a CBN circular tagged: ‘Assessment of competencies in the Nigerian banking industry’ signed by Y.B Duniya for Director, Financial Policy and Regulation. He said such exercise will enable Bankers’ Committee identify at the preliminary stages, gaps that would impede the effective implementation of the Competency Framework for the Nigeria banking

There is no proven evidence of a correlation between inflation and higher currency denominations, FBN Capital and CEO, Economic Associates, Dr Ayo Teriba said. In a report tagged: ‘New banknote, no inflationary pressure’ FBN Capital said inflation is fuelled by too much money chasing fewer goods and not introduction of higher denomination of banknote. The investment and research firm’s view was in response to criticisms against the Central Bank of Nigeria (CBN) currency restructuring programme, which will see N5,000 banknote introduced into the economy early 2013. The currency will become the highest value bill in circulation even as other changes will see the lower denomination bills of N5, N10 and N20 converted into coins. “This will increase the country’s currency structure to 12 from 11, divided equally between coins and notes. As expected, the announcement has generated a lot of controversy,” FBN Capital said in an emailed statement.

Bank to bank report First City Monument Bank Plc (FCMB) has reassured its various stakeholders and those of FinBank that the two lenders, which have been going through the process of integration will conclude the merger process next month. Deputy Managing Director/Executive Director (DMD) of FCMB, Segun Odusanya gave this reassurance in a statement. He said the process is 95 per cent completed. “Our initial target was second quarter of the year, but we got delayed by issues around the Capital Market probe and the removal of the Securities and Exchange Commission Board. Things are now back to normal, and most of the approvals have been obtained,” he said. Access Bank’s profit before tax (pre-tax) for the half year to June jumped 143.08 per cent to N30.07 billion as against N12.37 billion in 2011, the bank said in a statement obtained by Reuters. Gross earnings rose to N108.75 billion in the same period, compared with N53.65 billion last year. Access Bank, which acquired rescued rival Intercontinental Bank, has proposed an interim dividend of N0.25 per share to its shareholders. Fidelity Bank has been adjudged the “Best Telecoms Financing Bank” of the year . The bank won among three other lenders that were nominated for the award at the Eighth Annual Nigerian Telecom Awards held in Lagos. The Chartered Institute of Bankers of (CIBN) has commended Unity Bank for collaborating with it in promoting professionalism in the industry. President and Chairman of Council of CIBN Segun Aina disclosed this when he led his members on a courtesy call to the bank in Abuja. Aina, who said the institute regards the bank as part of the family, assured his council’s support at all times. He revealed that the institute is putting in place professional programmes aimed at enhancing quality in the industry.

THE NATION MONDAY, SEPTEMBER 17, 2012

THE CEO

‘PIB’s non-passage is a disaster’ To many, the passage of the Petroleum Industry Bill (PIB) holds the key to the problems of the oil and gas sector. Emeka Okwuosa, Managing Director/ Chief Executive Officer of Oilserv Limited, an indigenous oil services firm, belongs to this school of thought. In this interview with Assistant Editor (Energy) EMEKA UGWUANYI, he argues for the passage of a PIB which will ensure that the country gets the best value for its resources. • Okwuosa

OW would you assess the success of the Local Content Act in terms of bridging skills gap and empowering local players? The Local Content Act is a combination of efforts, which originated from the private sector. The Federal Government keyed into it and got the Nigerian National Petroleum Corporation (NNPC) involved. So, between the private sector service companies such as ours and the NNPC, we were able to put together what we have today. We thank the NNPC (representing the Federal Government) for moving when it was required. On the effect and importance of the Act in terms of local content capacity building, it will improve local content capacity. Capacity is not about rhetorics, it means more opportunities for Nigerians and trickling down of value. It amounts to more funding and will expose more Nigerians to the industry. Exposing Nigerians and creating more opportunities within the Local Content Act, we synergise and have a system that will allow

more players to come in. This means that at the end of the day, Nigerians will have better control over the exploration, production and other activities in the oil and gas industry. Beyond providing more jobs and boosting the economy, the Local Content Act provides better security as far as control of our energy resources is concerned. In many ways, the Local Content Act impact is positive. The pioneer Executive Secretary of the Nigerian Content Development and Monitoring Board, Mr Ernest Nwapa, an engineer, is very experienced. I know there are lots of works to be done but I assure you that he is up to the task. The management of the board can make

a lot of difference but if issues are not managed properly, it can backfire in many ways; but we don’t expect that. Operators are contesting some provisions of the Act, which they say are grey areas that should be addressed, what is your view? You can call them grey areas or potential pitfalls. The way we do things sometimes is not very good. We have to ensure that the award of contracts to briefcase contractors who will inturn give the contracts to foreigners in the name of local content, is discouraged. This will not help us to build capacity. Secondly, politicians should ensure that nobody makes them use their influence where they don’t have to.

They should avoid negative influence by supporting companies and contractors not qualified in the sense that they are not prepared to develop capacity but to take up the contract, collect the money and disappear without doing the job. This will create serious credibility problem and it will affect the Local Content Act and its practice. It is not just the politicians but anyone in position of authority should know that the Act is primarily for Nigeria and Nigerians. Our ability to use it positively will enhance the economy in many ways. Another issue is the local content fund being put together by virtue of the Act where one per cent of all contracts go into. This fund has to be

‘There is no way you can raise finance at 20-25 per cent per annum interest rate and be profitable. There is no way you can build capacity with that kind of cost. There has to be a concerted effort to get finance cost lowered in order to help build this capacity’

deployed properly for capacity building. It has to be used in a way that builds up local content. Stakeholders including PETAN chairman have identified funding and not skills gap as the major challenge to local capacity building. Do you agree? I agree with them 100 per cent. Skills can be acquired. I can tell you that the skills in Nigeria are enormous, but there are still areas we are yet to build up skills. There are many ways to get the technology we need. Some 20 years ago, it was a different ball game. We were not opportuned to have the technologies of today. That is history because some of us are handling projects worth more than $200 million at a time. So skill is not the issue. The issue is finance, as the chairman of PETAN said. The finance regime in Nigeria is counter-productive. There is no way you can raise funds at 20-25 per cent interest per annum and make profit. There is no way you can build capacity with that kind of cost. There has to be a concerted effort to get finance cost lowered to build capacity. I know it cannot be done by fiat, the government cannot decree but it is important that it establishes some fund or even some security that will enable banks lend at a cheaper rate. It is our duty as practitioners to give support so that risks borne by the banks are also reduced. It will encourage them to lend more. It is not a major issue but it is not an easy one to deal with. I believe that until we deal with cost of finance, our ability to grow will be limited. Oilserve has subsidiaries that play in the exploration and production (E&P) segment of the industry, as well as in the power sector. How would you rate Nigerians’ participation in the E&P. Is it encouraging? It is not encouraging but that doesn’t mean that it is bad. There has been movement in the past 30 years. We have some Nigerian E&P companies today and we expect to have more. Certainly we have to work on it but what is important actually is the way the blocks are given. The government has to conscientiously put a process that is very transparent to encourage the real players to come into the industry. If you look at some of the players today, you will see a difference. Some years back many blocks were awarded, how many of them came to fruition? Only very few are being operated by Nigerians. They are the few examples that I can give and both are managed by professionals. Although you cannot stop anybody from being an investor, you don’t have to be an expert in oil and gas to invest today but you can be an investor and you risk your money. But it is important that when that is done, there has to be a proper process in place to ensure that Nigerians get the best out of it. How would that happen? It is by ensuring that these fields are run by Nigerians mostly? You can achieve this by putting up a proper process during bidding in such a way that there have to be criteria; with the criteria that encourage Nigerians to manage the blocks, that will make a lot of difference. I believe that the future is still looking good, we have learnt from our mistakes and like I said earlier, we want to be higher than where we are today. Where we are today is a major move from where we were 20 years ago. • Continued on page 33

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64TH KANO STATE EXECUTIVE COUNCIL MEETING

n Wednesday 12th September, 2012 (25th Shawwal, 1433 AH) the Kano State Executive Council held its Sixty Third (63) sitting in continuation with sequence of previous sittings during which important policy issues and programmes that positively impact on the quality of lives of our citizenry were deliberated upon. Importantly, in Sixty three (63) sittings the present administration approved a capital expenditure of over N205 billion of which N2,508,567,848.00 was approved for the execution of 14 projects by the Council during its most recent 63rd sitting. Today, Council sitting was presided over by the Chairman Gov. RABIU MUSA KWANKWASO FNSE during which 31 memoranda were submitted by 11 MDAs for deliberation by the Council. An expenditure of N3,539,040.09 covering 14 projects was approved for execution by the Council. 1. MINISTRY OF COMMERCE, INDUSTRY, COOPERATIVES AND TOURISM Request for funds to facilitate for the renovation and furnishing of the hospitality and Tourism Institute Students Hostel at the temporary site (Tourist Camp) Contents of this memorandum adequately reminded the Council of its approval on the allocation of the Guest rooms at the Tourist Comp temporarily to Kano Hospitality and Tourism Institute. Hence, the need for the renovation and furnishing works of the Hostel for the convenience of the Students , Seventeen (17) item were highlight on the requirement for the entire project which are to cost the aggregate sum of N3,550,800.00. Council noted. Considered and approved for the release of the sum of N3,550,800.00 to the Ministry of Commerce, industry Cooperatives and Tourism to execute the stated project. 2. MINISTRY OF AGRICULTURE AND NATURAL RESOURCE Request for funds to facilitate for the Development of Botanical Garden and Arboretum at Kano Zoo. This request was communicated through the office of the Secretary to the state Government in which the Council was politely reminded of the establishment of the Botanical Garden at the Kano state Zoo conceived in 2001 during the its first tenure but abandoned. All requirements are detailed in this memorandum for which the release of the aggregate sum of N 50,000,000.00 was requested for facilitation. i. Provision of a health walk devoid of air pollution . ii. Provision of a scenery for shooting film for KANNYWOOD film industry iii. Provision of an atmosphere for social activities such as Dinner and Wedding ceremony. iv. Provision of a source for medicinal herbs/plants for traditional medicine. v. Provision of opportunity for academic pursuits. vi. Expansion of revenue generation base. Council noted Considered and approved for the release of the requested sum of money to the Ministry of Agriculture and Natural Resource to execute the project. 3. MINISTRY OF EDUCATION Request for funds to facilitate for the construction of a new primary school/structure on the acquired site at Koki Quarters in Dala Local Government Area;The sum N84,238,275.79 was approval for release by the Council as requested by contents of this memorandum, to the Ministry of Education to facilitate for the under listed at the acquired site. viz: S/N DESCRIPTION QUALITY COST (N) 1 Construction of one Kwankwasiyya type block of Classroom 1 Block 63,477,257.89 2 Construction of boundary wellfence 6,528,172.77 3 Construction of VIP toilet cubictes 4 External works ( late rite filling with 3 blocks 2,138,034.93 grader and compactor ) rollers 2,219,814.91 5 Construction of Drainages 5,212,995.29 6 Purchase and supply of furniture for pupils, teachers and Head teacher 4,662,000.00 TOTAL 84,238,275.79 SUBEB funds is to used for the execution of the projects. 1. Office of the Deputy Governor/Hon. Commissioner Ministry for Local Governments Two memoranda were submitted by the Office of the Deputy Governor/Honorable Commissioner for Local Governments for consideration by the Council. Thus: a. Request for funds to facilitate of the operation of 2012 Hajj: The sum of N554,385,909.60 was approved for release by the Council to the Office of the Deputy Governor/ Honorable Commissioner for Local Governments to enable Pilgrims welfare board carry out its budgetary obligations. b. Request for permission to commence the sale of the 120 tons of Grains (assorted) by the 44 LGCA’s: Council was informed of the availability of assorted types of grains in the strategic reverse store of the 44 LGCA’s and ready for disposal at the following discount rates of: I. Maize N4,900.00 II. Millet N4,900.00 III. Sorghum N4,200.00 Again, seven (7) member Committee was formed by each respective LGA for the execution of the disposal exercise. 2. MINISTRY OF FINANCE Three (3) memoranda were submitted by the Ministry of Finance for deliberation by the COUNCIL as follows: a. Request for permission to establish a vehicle loan scheme at SUBEB and the release of funds to facilitate for the purpose. Office of the Accountant General advised the Government/ Council, through content of this memorandum that i. There is need to establish a vehicles loan revolving scheme at SUBEB so as to boost the morale of staff and thereby more productivity ii. The take off period for the scheme should be after conclusion of the Biometric Data capture iii. The take-off grant for the scheme should be a reasonable amount of money that could fetch reasonable repayment monthly for reallocating to other staff so as to widen the scope. iv. The sum of N 100,000,000.00 was proposed /requested for release to the Ministry of finance to facilitate for the take-off of the scheme. v. The scheme/ project should be managed outside SUBEB. vi. Account staff from the office of the Accountant General could be mandated to manage the scheme. Council noted, considered and approved for the release of the requested sum of N100,00,000.00 to the Ministry of Finance to enable the office of the Accountant General establish the referred scheme at SUBEB. b. Request for permission and approval for the release of funds to finance Mass Housing Development in Tripartite relationship between the State pension Trust Fund, Housing Corporation and Kano investment and Properties Limited. Council approved for the release of N2.6 Billion to the two agencies (1.3 Billion) each from the accounts of the Kano State Pension Trust Fund as an investment into the venture of Mass Housing Development for commercial purposes. The profits to be realised are to be shared on 60%:40% ration basis (i.e 60% to pension trust fund, 40% to the agencies). c. Request for approval of the implementation plan and release of funds for the Development of an informal sector Tax payers Data Base: The Board of Internal Revenue (BIR) in collaboration with SPARCS/ DFID worked on a data generating template to allow BIR to establish an informal sector Revenue data base in Kano State in order to refine what BIR did in the past years. The total cost of N15,154,000.00 for the project was approved for release by the Council to the Ministry of Finance for the Office of the Accountant General to facilitate for the purpose on 60%:40% ratio basis between the State Government and BIR (i.e State Government = N9,092,400.00: BIR = N6,061,600.00). 3. OFFICE OF THE SECRETARY OF THE STATE GOVERNMENT. Four (4) Memorandum were submitted by the Office of the Secretary to the State Government for deliberation by the council as follows ; a. Request for operational facilities and funds /allowance in respect of Executive committee on craft schools enacted in June, 2012. Office of the Senior Special Assistant on craft schools requested, through contents of the memorandum, for the Council to approve for the allocation of operational facilities / funds along with the sitting allowances for the Executive Committee on Craft schools. Highlights of the request submitted by the committee include; office

accommodation, office facilities, supporting staff, Transport facility (18 seater bus), operational costs and sitting allowance for three (3) members of the committee. Council noted, considered and approved /directed for the under listed. i. The State Ministry of Works, Housing and Transport to provide suitable office accommodation for the committee. ii. The office of the Head of Civil Service and the Ministry of Finance to provide the requested supporting staff to the committee, iii. The Administration and General Service (AGS) directorate of the office secretary to the Government (SSG) to procure and provide an 18 seater bus (which cost N7,500,000.00) for the operation of committee. iv. The REPA Directorate of the SSG office to provide the requested office facilities upon obtaining details from the Rabi’u Musa Kwankawaso committee v. The release of the aggregate sum of N660,000.00(N300,000.00 as operational funds, N270,000.00 as sitting allowance for three (3) committee members). b. Presentation of a Report on the meeting of the Independent Power Project (IPP) Committee, The IPP committee held a meeting, according to contents of this memorandum, during which members examined the project information document on the establishment of 30 MW solar plant in the state submitted by the National Energy Council. Importantly, a memorandum of understanding (MOU) was signed between the State Government and Helios Energie on the issue. Nevertheless, the IPP committee made seven (7) observations on the project information Document as summarised in this memorandum and on the basis of which the council approved for: i. that the observation forwarded by the IPP committee on the project document be forwarded to Hellios Energie for consideration. ii. That in the interim, the state IPP committee is mandated to commence preparation for the setting up of the special project vehicle (SPV) comprising representatives of the Kano Government and Hellios Energie. d. Presentation of Update on assistance to the family of Late Col. Ali Yusuf an Indigenous citizen of the State who died in the Dana Plane crash: Contents of this memorandum presented details on the requirements for the respective school fees of the four (4) orphaned children of the deceased. The total sum of N3,830,600.00 was requested for release /approved by the Council to the Office of the Secretary to the State Government for this purpose. 7. MINISTRY OF WORKS, HOUSING AND TRANSPORT The Ministry of Works, Housing and Transport submitted two (2) memoranda for deliberation by the Council as follows; a. Request for funds to facilitate for the renovation of the office of the Special Assistant on Islamiyya Schools:The Ministry of Works, Housing and Transport responded to an Executive instruction and corresponded with the office of the Secretary to the State Government forwarding design and estimate in the sum of N6,005,167.58 for the renovation of the office of the Special Assistant on Islamiyya Schools. Council considered and approved for the release of the sum of N6,005,167.58, as requested by contents of this memorandum, to enable the Ministry of Works, Housing and Transport execute the stated project. b. Request for funds to facilitate for the immediate repairs of the failed box Culvert at Ruwan Kanya along Rano-Rurum road:The Honorable member representing Rano Constituency at Kano State House of Assembly reported the failed condition of the box Culvert at Ruwan Kanya along Rano-Rurum road to the Ministry of Works, Housing and Transport. Engineers from the Ministry visited the site and assessed the situation and submitted their findings as summarized thus; i. That Ruwan Kanya is a 2- cells measuring 3 x 2.5m box culvert located along Rano - Rurum road, km 14 +200. ii. That a portion of the culvert collapsed due to non-provision of reinforcement. iii. That part of the road embankment is seriously eroded, taking away most part of the carriage way and posing threats to the road users. So, the release of the sum of N11,991,587.12 was requested through contents of this memorandum, to cater for the immediate repairs of the culvert so as to forestall further damage to the road and threats to life and project. Council noted, considered and requests the Honourable Commissioner to re submit under constituency project. 8. MINISTRY OF JUSTICE Two (2) memoranda were submitted by the Ministry of Justice for deliberation by the Council – thus; a. Request for approval for onward passage to the State House of Assembly of the Draft Law of the “State Security Trust Fund” :Council was politely reminded, by contents of this memorandum, of the submission of the final report of the Committee set up to formulate the Kano State Security Trust Fund under the Chairmanship of His Excellency the Deputy Governor/Hon. Commissioner for Local Governments at its 62 nd sitting (29th August, 2012). Council directed the Ministry of Justice to study the Draft Law which establish the Kano State Security Trust Fund and forward it to Council for consideration. Council noted the presentation and approval for the onward submission of the Draft Law to the State House of Assembly for deliberation and passage into Law. b. Submission on the Agreement To Manage Kiru Reformatory Institute:Contents of this memorandum adequately alerted the attentive Council on the need for the setting up of a new Board comprising four (4) people, including its Chairman, to manage the affairs of the Institute so as to effectively reactivate its functions. 9. MINISTRY OF SCIENCE AND TECHNOLOGY. Request for approval on the Augmentation of Funds for the facilitation of the Empowerment Programme for 220 Trainees on Football production from N2.2 Million: The Council approved for the release of the sum of N8,800,000.00 as requested by contents of this memorandum, to the Ministry of Science and Technology to enable the augmentation referred to in the presentation. 10. MINISTRY OF HEALTH Submission of a report by the Honourable Commissioner Ministry of Health on his return from a visit to the Ministry of Health:Highlights of the report were presented in this memorandum on four (4) important issues discussed with the Minister viz; i. Model Health Care Centres in Kano ii. National Health Insurance Scheme iii. Lafiya Jari Programme iv. Health System Development Project 2. Again, contents of this memorandum presented summary on the outcome on discussion held with the Registrar Pharmaceutical Council of Nigeria (P C N) in two (2) items; i. Advise on Lafiya Jari Progamme ii. Issues to do with graduates of Kano Polytechnic as Pharmacy Technologists. Council noted, considered and appreciated the presentation. 11. OFFICE OF THE HEAD OF CIVIL SERVICE Request for funds to facilitate for the conduct of a three (3) day seminar/workshop on “Enhancing Qualitative Education in Science and Technical Schools” The office of the Head of Civil Service recommended (requested) the Council to consider approving for the release of the sum of N5,865,000.00 to facilitate for the conduct of a three (3) day seminar/workshop under the theme “Enhancing Qualitative Education In Science and Technical Schools” in respect of 450 teaching Staff serving under the Science and Technical Schools Board. Council noted, considered and approved for the release of the requested sum of money to the office of the Head of Civil Service to enable the Science and Technical Schools Board facilitate for the conduct of the stated workshop due to its significance in training teachers to meet the required standards. SIGNED: Honurable Commissioner, Ministry of Information, Internal Affairs, Youth, Sports and Culture

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THE CEO

‘PIB’s non-passage is a disaster’ •Continued from page 32

Can you talk on your marginal field? We are only a participant in it. We are not the operating arm, at all. But I can tell you also that one of our sister companies, Frazimex won a block in Sierra Leone. It is a deepwater block offshore Sierra Leone. Do you have any intention of playing in the E&P terrain in Nigeria? Yes, it is a matter of having the right plan and system put in place. Our major purpose in Nigeria is entirely service delivery but we are ready to move into E&P because we can now synergise. We move into this field, we now have what it takes even to support most of the farm-ins. We are waiting for the next bid round to come up. We will also be involved in the next round of bidding for marginal fields. The passage of the Petroleum Industry Bill (PIB) has been delayed for long. Do you believe the nonpassage of the Bill has impacted the oil industry negatively? You are conservative and modest. I can tell you categorically that non-passage of the PIB is a disaster to Nigeria oil and gas industry. It is a complete disservice to Nigerians. We have to make sure that we pass a PIB that reflects a situation where we get the best value for our resources while encouraging foreign participation as much as possible. It has to be a PIB that opens up the industry further to investments by Nigerians and non-Nigerians. It has to be a PIB that lays a ground work that will enable Nigeria as a country tap the most out of the resources they have. We have experienced people in the National Assembly. In my opinion, the onus is on the executive arm to do the right thing for Nigerians. I’m urging everyone in-

volved in the process to realise that it’s time to move. I know that they are patriotic but they also know the duty they owe Nigerians, and I’m sure they will be able to do that because the cry is getting louder by the day and I know they know what to do. As an operator, can you list some challenges facing indigenous players? There are challenges but funding is the major one. Availability of finance and cost is a major issue, if not more than 50 per cent of the challenges. The other is security. It has to be dealt with to reduce the cost of doing business. Also, we have to continue to build capacity in terms of skills. To move forward, we have to keep building capacity and skills. Even America as advanced as it is today continues to build capacity and skill. They train people, retrain them and give them the opportunity to keep growing and learn new things because technology evolves. The technology we have today may be obsolete in a year or two, so we have to keep training and retraining. It is a fact that we have to make a conscious effort to work on because, without that, we cannot be in a position to tap the best out of our resources. The oil industry says that Nigerian graduates are not employable. Don’t you think, it is a serious blow to the already extant gap we have in the industry as a country? There is a major issue with the quality of our education. To say the least, it is very poor and many things led to this. But again I’m one of those in life who don’t believe in just complaining about something but also in doing something about it. Until Nigeria does something about our education, the country will remain limited in her ability. And the issue that is even more disturbing is our ability to

‘The other is security. But you cannot single out security because it is intertwined with our general outlook on many social issues. But it has to be dealt with to reduce the cost of doing business’

• Okwuosa

take the best advantage of what we have. If we don’t have people that can compete with the rest of the world, what it means is, we will end up holding the wrong end of the stick, end up always being on the losing side because education is key. Without education, people, nations and systems will have a bleak future. The only way we have to improve is education. Take yourself as an example, if you didn’t have the opportunity to go to school in one form or the other, you wouldn’t be here today. You probably would be wasting or wasted somewhere and the same thing applies to me. The reason why we can sit down today and talk about competing with the rest of the world is because we were given the opportunity to go to school and we got quality education. So, education is the key and until the government gives the sector serious attention, we are not going anywhere. Do you see a Nigerian company being competitive enough to rub shoulder with international oil companies in future? I see that. It is possible, not only from standpoint of belief that anything is possible but looking at the factors that are involved, it is possible. It is just that it doesn’t just happen; you have to make it happen. You have to work for it, plan for it and it is not just by the efforts of the investors including Nigerians, it is also by concerted efforts of the government in setting up policies that will encourage that. It is a multitude of factors that will lead to that but it is very possible and that is what we want to do. What is your assessment of the government’s amnesty programme? In my view, it is a very good programme and to a large extent it has been executed very well. I give kudos to the Federal Government for thinking about that and taking the right decision but we have to go beyond that. What I mean by this, is that we have to find a way to empower Nigerians, particularly, those in the Niger Delta, so they will have work to do, think properly and not resort to carrying arms and that requires longer term plan and execution. Your company has done a couple of projects in Nigeria. Which one excited you most? It is a difficult question you asked because we have done a myriad of projects and each of them is peculiar. For example we did phases one, two and three of Greater Lagos pipeline project for Oando. That is peculiar because it was the first time pipeline is being laid in a very densely populated area, such as Lagos. People thought it would not be possible. We started it in 2001 but by 2002, we finished the first phase, did the second phase and finished the third phase three years ago. It is a peculiar one; it is something we are proud of. It is even more peculiar because in a situation we have a local company like Oilserv executing a major EPC project for a local company like Oando. There is nothing more important and significant like that when you talk of local content. Another one is clear intervention we did for Shell. I remember when Nembe oil field was taken out because of sabotage of a pipeline. Normally it was to take four weeks to solve the problem because getting into the swamp, detecting the leak, excavating, building a cofferdam, preparing, testing and reinstating, will take you a longer time but we went in there instead of doing it in two months or so, we delivered that in 14 days. It was a major activity and it was an activity that foreign multinational companies could not do, but Oilserv did that. We also built a 36-inch TNP

• Okwuosa

‘Improving capacity in power is not a one day affair, it takes time. It is a long process because here we are talking of generation, transmission and distribution. You have to put all those things together in order to achieve result’ manifold for Shell. That was a project that commenced in 1993 and was abandoned. In 2001, we moved in there and started it all afresh and delivered it in less than six months. These are key projects we’ve done that are very typical but beyond that, we have done many other projects such as building major export pipeline for Global Gas Refining, which is an indigenous company, from Cawthorne Channel to Bonny River six years ago. It is 26km in the swamp. We built a power plant, which included 13km of pipeline from Ikeja to Akute to power the Lagos Water Corporation and Akute Power Plant. That was the first time an indigenous company took such an EPC job from beginning to end. There are quite a lot of others but we are glad to have done all these. Why don’t Nigerian operators play in the deepwater terrain? The major difference between offshore and operating on land, or in swamp is purely the issue of the cost of the project and the issue of logistics. The technology is there, we can lay pipelines in offshore the way we lay on land. All it requires is that we need to invest more, get a lay barge that will cost millions of dollars but make sure that you have the opportunities because you cannot get a lay barge and keep. It is infeasible. Basically, the major impediment in offshore projects that doesn’t allow Nigerians not to move into offshore is cost. We require deep pocket to do that because the technology and knowledge are there already. An Oilserve subsidiary undertakes power projects, why shouldn’t Nigeria fix its power problems? It is not a big problem. Every technical challenge has a solution. And trying to use the solution, you create opportunities. We don’t run away from problems, we deal with them. Nigeria’s power sector has suffered tremendous difficulties. It was neglected for many years and when

decision was taken to act, the decisions were good but the processes were not well thought through and some errors were made at the very beginning. I know now there is a lot of effort to solve the problem. I know the president is very committed but let us be clear about the issue. Improving capacity in power is not a one day affair, it takes time. It is a long process because here we are talking of generation, transmission and distribution. You have to put all those things together in order to achieve result. If you generate a lot of capacity and you cannot transmit, there is no power still. If you generate and you can transmit but the distribution system doesn’t have the capacity to take the power and give to various end-users, you still have a problem. So, you have to integrate entirely and it is only when you do this integration that you can be in a position to solve the problem. How would you describe the importance of Offshore Technology Conference (OTC) to the oil and gas industry? OTC as an event is very important to the oil and gas industry in many ways. We have to accept certain facts. One is that OTC is the biggest oil and gas show in the world as far as it concerns a show that showcases technology, the activities and all the various opportunities in the oil and gas industry. So, participation in OTC is most important way of showcasing the oil and gas industry to the rest of the world. The industry is quite active in Nigeria and we know that it is our duty to make sure the world knows what we are doing and put to the world all the opportunities that are available that can create synergy as far as production or exploration is concerned. It is also good for Nigerians to come here and see the technologies that are coming up that can be deployed in operations in Nigeria that can make our own work more efficient.

THE NATION MONDAY, SEPTEMBER 17, 2012

EQUITIES NIGERIAN STOCK EXCHANGE

Good earning forecasts sustain equitiesâ&#x20AC;&#x2122; rally

DAILY SUMMARY AS AT 14-9-12

HE Nigerian stock market rounded off last week with a strong rally as several equities indicated they would make substantial profit in the fourth quarter. The common value-based index at the Nigerian Stock Exchange (NSE), the All Share Index (ASI) rose by 2.01 per cent to close the week at 25,337.18 points. Similarly, market capitalisation of all equities increased by N158.69 billion to close at N8.066 trillion. The sustained bullish trading was strengthened by emerging forecasts from several companies, indicating positive bottom-line and considerable returns in the fourth quarter. Evans Medical Plc, which has just been recovering from a scandalous losing streak, indicated it could record net profit of N67.55 million on turnover of N1.62 billion during the fourth quarter ending December 31, 2012. Stanbic IBTC Bank projected that profits before and after tax would be N3.06 bil-

By Taofik Salako and Tonia Osundolire

lion and N2.47 billion during the three-month period just as gross income was estimated to hit N17.2 billion. Presco is expected with net profit of N466 million on total sales of N2.5 billion while Berger Paints could earn N88.26 million in net earnings on turnover of turnover of N976.30 million. Also, RT Briscoe projected that turnover would be N6.21 billion while pre and post tax profits would be N52.30 million and N35.57 million respectively. Five out of the six group indices at the NSE trended upward last week, reflecting the widespread gains during the week. The NSE 30 Index, NSE Consumer Goods Index, NSE Banking Index, NSE Insurance Index and NSE-Lotus II Index rose by 2.32 per cent, 4.84 per cent, 0.94 per cent, 1.86 per cent and 2.52 per cent respectively. However, the NSE Oil and Gas Index declined by 0.30 per cent. Nestle Nigeria led the pack of 40 gainers with a gain of

N27.50. Nigerian Breweries Plc followed with a gain of N10. Dangote Cement Plc led the losers with a loss of N1.98 per share. It was followed by 7up Bottling Company Plc, which lost N1 per share. A turnover of 2.224 billion shares worth N14.252 billion was recorded in 24,108 deals with the financial services sector accounting for 84.55 per cent of aggregate turnover. Financial services stocks recorded a turnover of 1.880 billion shares valued at N10.369 billion in 14,381 deals. Banking sub-sector recorded a turnover of 1.153 billion shares worth N9.986 billion in 13,736 deals. Volume in the financial sector was boosted by activities in the shares of Cornerstone Insurance Company Plc, Zenith Bank Plc, and Access Bank Plc, which accounted for 919.542 million shares, representing 48.91 per cent and 41.35 per cent of the volume recorded by the sector and total turnover for the week respectively. At the Over-the-Counter (OTC) bond market, activities slowed down with decline in turnover to 187.87 million units worth N187.45 billion in 733 deals compared with 227.005 million units worth N227.196 billion traded in 1,034 deals two weeks ago.

NIGERIAN STOCK EXCHANGE DAILY SUMMARY AS AT 14-9-12

THE NATION MONDAY, SEPTEMBER 17, 2012

EQUITIES WATCH

Email: taofad2000@yahoo.co.uk

Through the recession and the upswing, Nestle Nigeria has shown uncommon resilience as the rallying stock for the Nigerian stock market. The only fully contrarian stock that defied the meltdown, Nestle Nigeria has all through the down years set new high after a high. Now at a peak of N577.50, is the food and beverages stock still on its stride? TAOFIK SALAKO ASKS

What's the next level for Nestle Nigeria?

ESTLE Nigeria opens today with a year-to-date gain of 29.6 per cent, about 7.4 percentage points above the average return of 22.22 per cent at the Nigerian stock market. For a highly capitalised company with locked in volumes in the hands of core investors and longstanding buy-and-hold minority investors, this is a significant capital appreciation. With record personal and countrywide new high month-on-month, Nestle Nigeria is unarguably the best performing stock. At current market consideration of N577.50, is latest high, Nestle Nigeria is nearly twice the value of the closest-priced stock. All through the ups and downs, the stock has consecutively increased its share price in the past eight months. The 2012 performance reflected the historic trend of the food and beverages stock over the years. While the market tottered on the negative, Nestle Nigeria has consistently delivered positive full-year returns. As the recession shook the market in 2009, it more than doubled its share price from a low of N104.50 to a high of N247.72 and eventually closed at N239.50. The closing price for 2009 became the lowest price for 2010 as the company's share price rose to a high of N401 and eventually closed the year at N368. In 2011, as the market stumbled with a negative yearto-date return of 19.5 per cent, Nestle Nigeria posted a positive return of 20.92 per cent, setting a new high of N470 per share. The company's share price closed at N445.66. Besides setting new highs, Nestle Nigeria has also continuously set a higher low, indicating strong resilience that reassures on the share price. Lowest market value per share rose from N104.50 in 2009 to N239.50 and N367.83 in 2010 and 2011 respectively. It has maintained

a down limit of N400 so far this year.

Relating earnings to price Nestle Nigeria's upwardly share price reflected the company's strong fundamentals. With a dividend per share of N12.55 in 2009, bonus of one for five shares and cash dividend per share of N12.55 for the 2010 business year and another N12.55 for the 2011, Nestle Nigeria has consistently declared profit and made returns to shareholders over the decades. This sense of reliability reinforces the blue chip status of the stock. Latest audited report and accounts for the year ended December 31, 2011 still showed strong fundamentals, although the company appeared to be struggling with operating and interest expenses. Total assets rode on the back of significant increase in fixed assets to N76.94 billion compared with N60.35 billion in 2010, an increase of 27.5 per cent. Nestle Nigeria had sustained appreciable growth in sales during the year but rising costs, especially surging finance expenses, counterbalanced sales growth, leaving the company with profit growth of 1.6 per cent in 2011 as against 32.4 per cent in 2010. Total sales rose by 22.3 per cent from N80.11 billion to N97.96 billion. Profit before tax was almost unchanged at N18.54 billion in 2011 as against N18.24 billion in 2010. Profit after tax rose by 33.4 per cent from N12.60 billion to N16.81 billion. With these, basic earnings per share improved by 11 per cent from N19.08 in 2010 to N21.20 in 2011. Net assets per share rose by 32 per cent from N22.50 in 2010 to N29.62 in 2011.

Dividend expectation But while the fundamental performance in 2011 showed a mixed-grill, Nestle Nigeria appears set for improved perform-

ance in 2012. Already, the board of the company has forecast that turnover would rise to N112.97 billion in 2012 while profit before tax and profit after tax could be N19.77 billion and N16.89 billion respectively. This implies possible earnings per share about N21.30 for 2012. But emerging results indicate that the company may surpass the fundamental targets for this year. Interim report for the first quarter ended March 31, 2012 showed a net profit of N6.17 billion in 2012 as against N2.57 billion in comparable period of 2011. Profit before tax had risen from N3.46 billion in first quarter 2011 to N7.35 billion in 2012. Turnover stood at N28.67 billion in 2012 as against N20.38 billion in 2011. By the second quarter, the food and beverages company witnessed substantial growths in sales and profitability. Turnover rose by 27 per cent to N56.68 billion by the six-month period ended June 30, 2012 as against N44.62 billion recorded in comparable period of 2011. Profit after tax jumped by 51.6 per cent to N9.85 billion in 2012 as against N6.49 billion in 2011. This indicated net earnings per share of N12.42 in first half 2012 compared with N8.18 in corresponding period of 2011. With these, Nestle Nigeria has made enough within the first half to cover its full-year dividend for 2011. Besides, the earnings outlook appeared strong. Given the first half performance, there is possibility that the company may surpass its modest full year profit forecast by double digit, giving the dividend-paying stock a new impetus for sustained rally. Besides, in a market still characterised by uncertainties and questions about corporate governance, Nestle Nigeria's overall image of stability and consistency will continue to be major attraction. The compact nature of the outstanding shares of the

â&#x20AC;˘MD Nestle Nigeria, Martin Woolnough,

company and the preponderance of buy-andhold retail investors that see the stock as their nest eggs will also continue to mediate the share price fluctuation, making it resistant to downtrend. Most investors holding the free float shares don't easily sell off. As a consistent dividend-paying stock, Nestle Nigeria provides cushion against the downturn at the secondary market. With recent huge investments in new factory and innovations, the company appears to have operational supports to drive fundamentals and by extension, market consideration. However, the general recovery at the stock market might embolden and turn the attention of investors to valuable low-priced stocks, with temptation to capitalise gains from stocks such as Nestle Nigeria to spread to other equities. But for investors in Nestle Nigeria, the assurance of the irreversible low is quite more certain.

THE NATION MONDAY, SEPTEMBER 17, 2012

DUE DILIGENCE

PZ Cussons Nigeria: Falling behind K

EY performance indices of PZ Cussons Nigeria Plc turned negative in 2012 as significant increases in top and mid lines costs overwhelmed modest growth in sales. With lowest profit in nearly a decade, both actual and underlying returns halved to their recent lows while average net assets lost a fifth. Audited report and accounts of PZ Cussons Nigeria for the year ended May 31, 2012 showed that substantial increase in costs undermined profitability of the conglomerate. Substantial increase in interest expenses compounded relatively high cost of sales and steady operating expenses. The costs outline was worsened by exceptional item that arose from restructuring of the multinational's supply chain and factory operations. The conglomerate meanwhile achieved a largely stronger balance sheet and financing position as significant decline in current liabilities compensated for modest declines in assets. The company became more liquid and stable.

Financing structure PZ Cussons Nigeria sustained a zero-leveraged balance sheet while equity coverage for total assets improved in 2012. The proportion of total equity funds to total assets improved from 59.8 per cent in 2011 to 66.6 per cent in 2012. Current liabilities amounted to 27 per cent of balance sheet size in 2012 compared with 32 per cent in previous year. The positive financing structure was however, driven mainly by declines in assets and restructuring of its liabilities. Total assets had dropped by 6.6 per cent from N68.93 billion to N64.41 billion. Total liabilities declined by 16.4 per cent to N21.54 billion as against N25.76 billion, reflecting mainly the 22 per cent drop in current liabilities. With the capitalisation of reserves for bonus issue in previous year, paid up share capital increased by 25 per cent from N1.59 billion to N1.99 billion. Total equity funds flattened from N43.17 billion in 2011 to N 42.87 billion in 2012. Out of this, equity attributable to shareholders stood at N40.93 billion in 2012 as against N41.19 billion in 2011.

Efficiency PZ Cussons Nigeria showed considerable decline in cost efficiency and productivity. Total cost of business, excluding financing charges, trended upward by five percentage

Fiscal Year Ended May 31 Nmillion Profit and Loss Statement Main Business Segment Total turnover Cost of sales Gross profit Operating expenses Interest and other incomes Finance expenses Pre-tax profit(loss) Post-tax profit (loss) Basic earnings per share(kobo) Gross dividend (Nm) Cash dividend per share (kobo) Net Assets per share (kobo) Balance Sheet Assets: Fixed assets Total long term assets Trade debtors Current assets Total assets Liabilities: Trade creditors Bank loans Current liabilities Long-term liabilities Total liabilities Equity Funds Share capital Total Equity Funds

â&#x20AC;˘ MD, PZ Cussons Giannopoulos

from N1.59 billion to N1.49 billion. Cost of sales rose by 18 per cent to points to 93.3 per cent of total sales in N55.97 billion compared with N47.43 2012 in contrast with 88.3 per cent in billion. This moderated gross profit 2011. Average pre-tax profit per emdownward to N16.18 billion in 2012 ployee dwindled from N2.75 million as against N18.45 billion in 2011. Toto N1.74 million. Average cost per tal operating expenses inched up to staff, on the other hand, steadied to N11.36 billion as against N10.74 bilN2.55 million in 2012 as against N2.30 lion. These consisted of selling and million in 2011. The conglomerate's distribution expenses of N8.02 billion workforce had reduced from 2,921 in 2012 as against N7.02 billion in 2011 persons to 2,723 persons. Total staff and administrative expenses of N3.34 cost however, increased from N6.71 billion as against N3.72 billion. While billion to N6.95 billion. non-core business income increased by 33 per cent from N440 million to Profitability N585 million, interest expense, which Considerable declines in profit marjumped by 433 per cent from N126 gins across business segments, decline million to N670 million, further unin export sales and near stagnation of settled the bottom-line. the group's electrical appliances busiWith these, group pre-tax profit ness segment altogether brought the dropped by 41 per cent from N8.03 group's profitability to its lowest level billion to N4.73 billion. Exceptional in nearly a decade. While the core costs due to restructuring during the business segment of branded conyear reduced pre-tax earnings by sumer goods increased sales by about N427 million to N4.31 billion. Group 14 per cent, almost 52 per cent decline profit after tax shrank by 54 per cent in pre-tax profit compounded the from N5.22 billion to 2.41 billion. Pronear-stagnation in sales and 36 per visions for taxes dropped by 24 per cent decline in pre-tax profit in the cent. electrical appliances segment. Also, Underlying profit analysis showed 10 per cent growth in sales within Nia generally negative outlook. Gross geria was counterbalanced by 6.2 per profit margin slipped from 28 per cent decline in export sales. cent to 22 per cent. Group pre-tax Group turnover stood at N72.16 bilprofit margin halved from 12.2 per lion in 2012 as against N65.88 billion cent to 6.6 per cent. Average pre-tax in 2011, representing an increase of profit per unit of sales in the branded 9.5 per cent. Segmental top-line consumer goods segment had deanalysis showed that the main clined from 11.6 per cent to 4.9 per branded consumer goods business cent while that of durable electrical segment increased sales from N44.83 appliances segment dwindled from billion to N50.97 billion. However, 13.4 per cent to 8.5 per cent. sales in the durable electrical appliFurther earnings analysis indicated ances business line flattened to N21.19 that earnings per share dropped from billion in 2012 as against N21.04 bilN1.64 to 61 kobo. Decline in net earnlion in 2011. Geographical sales analyings forced the board of the company sis showed increase in Nigeria's to reduce cash payouts from N2.73 turnover from N64.29 billion to billion to N1.71 billion, representing N70.67 billion. Export sales dropped dividend per share of 43 kobo in 2012 2012 2011 as against 86 kobo 12 months % change 12 months in 2011. Net assets per share also fell from N12.97 to N10.31. The downtrend 50,965 13.7 44,833 also reflected on un72,155 9.5 65,878 derlying returns as 55,973 18.0 47,425 return on equity 16,181 -12.3 18,453 halved from 12.7 11,362 5.8 10,741 per cent to 5.6 per 585 33.1 440 By Taofik Salako

670 4,734 2,410 61 1,707 43 1,031

433.2 -41.0 -53.8 -62.8 -37.5 -50.0 -20.5

126 8,025 5,218 164 2,732 86 1,297

24,360 24,360 6,685 40,046 64,406

-2.7 -2.7 -17.0 -8.8 -6.6

25,035 25,035 8,059 43,892 68,927

1,740 0 17,253 4,286 21,539

-19.9 0.0 -21.9 16.8 -16.4

2,172 0 22,087 3,671 25,758

1,985 42,868

25.0 -0.7

1,588 43,169

cent. Return on total assets dropped from 11.6 per cent to 7.4 per cent. In spite of significant decline in cash dividend, the sustainable dividend outlook became less favourable with dividend cover at 1.42 times in 2012 as against 1.91 times in 2011.

Liquidity The liquidity position of the company improved considerably during the period. Current ratio, which indicates the potential ability of the company to meet emerging liabilities, strengthened to 2.32 times in 2012 compared with 1.99 times in 2011. The proportion of working capital to sales remained steady at 32 per cent in 2012 as against 33 per cent in 2011. Debtors/creditors ratio stood at 384.2 per cent as against 371 per cent.

Governance and structures PZ Cussons Nigeria is a subsidiary of PZ Cussons (Holdings) Limited, United Kingdom, which holds 68.75 per cent equity stake in the Nigerian company. However, more than 80,000 Nigerian individual and institutional investors hold equity stakes in the conglomerate. One of the earliest companies in Nigeria, PZ Cussons Nigeria was incorporated as a limited liability company in 1948. It became a public limited liability company in 1972 and was subsequently listed on the Nigerian Stock Exchange (NSE). The PZ Cussons Nigeria Group included PZ Cussons Nigeria-the parent company, and four other subsidiaries-HPZ Limited, PZ Power Company Limited, PZ Tower Company Limited and Robert Pharmaceuticals Limited. Besides HPZ Limited where the conglomerate holds 74.99 per cent equity stake, it holds 99.9999 per cent stake each in other subsidiaries. All the subsidiaries are active and trading, except Robert Pharmaceuticals. The principal activities of the group are the manufacturing and sale of a wide range of fast moving consumer goods including detergent, soap, pharmaceuticals, cosmetics, confectionery, cooling systems, food drinks and other electrical appliances.

Fiscal Year Ended May 31 Financing structure Equity funds/Total assets Long-term liabilities/Total assets Current liabilities/Total assets Debt/Equity ratio Profitability Gross profit margin Pre-tax profit margin Return on total assets Return on equity Dividend cover (times) Efficiency Pre-tax profit per employee (Nm) Staff cost per employee (Nm) Cost of sales, operating exp/Turnover Liquidity Current ratio Working capital/Turnover Debtors/Creditors

Christos

PZ Cussons Nigeria has maintained stable board and management over the years with requisite corporate governance structures to support its expanding business. There were no major changes in corporate governance structure during the period. Professor Emmanuel Edozien still chairs the board while Mr. Christos Giannopoulos leads the executive management team as managing director. The company broadly complies with the Nigerian code of corporate governance as well as the PZ Cussons international best practices.

Analyst's opinion The performance of PZ Cussons Nigeria underlined the need for comprehensive review of the business model and strategies of the group. With more small and niche companies upping the competition in the consumer goods market, conglomerate needs not only to substantially drive economy of scale to support its large base, but also engage in the delicate balancing act of providing consumers with relatively better package and pricing options. Less purchasing power often impinges brand loyalty. Globally, PZ Cussons has recognised the changing time. The multinational conglomerate has embarked on a deft restructuring programme that will concentrate manufacturing operations of the multinational in certain countries including Nigeria. The global restructuring project was sequel to high costs of operations that have increasingly impacted on the global profitability of the conglomerate. PZ Cussons thus developed the global restructuring programme to ensure that its supply chain cost base remains at a competitive level given sustained rise in raw material costs together with significant wage inflation in emerging markets. Besides concentration of operations, the group will also focus on reducing significantly its overhead at a number of other manufacturing facilities. Recent investments in upgrade and expansion of production facilities and introduction of new products are expected to form the linchpin for future growth. PZ Tower, which commenced operations in March 2012, is expected to increase the competitiveness of the company in the detergent segment.

2012 %

2011 %

66.6 6.7 26.8 0.0

62.6 5.3 32.0 0.0

22.4 6.6 7.4 5.6 1.42

28.0 12.2 11.6 12.1 1.91

1.74 2.55 93.3

2.75 2.30 88.3

2.32 31.6 384.2

1.99 33.1 371.0

JOBS THE NATION

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

THE NATION MONDAY, SEPTEMBER 17, 2012

• A typical call-centre

One million jobs coming in call centres For job seekers, there is hope in the horizon. The Nigerian Computer Society (NCS) has launched an advocacy programme to create one million jobs through the establishment of call centres and outsourcing of business processes. Experts argue that the sector holds prospects for the unemployed, writes AKINOLA AJIBADE.

HERE is nothing to cheer about most performance indicators because they show that all is not well with the economy. Unemployment; staff rationalisation; poor remuneration; falling standard of living; high prices of consumables and insecurity. They all paint a gloomy picture about the economy. In fact, job opportunities are drying up, with companies closing shops because of the unconducive environment. For many applicants there is no hope of getting jobs. Really? All hope seems not lost. The Nigerian Computer Society (NCS) has rekindled hope of jobs for many in the information and communications technology (ICT) industry. NCS said jobs abound in the industry, if its potentials are harnessed. The NCS has launched an advocacy pro-

gramme to create one million jobs. Under the plan, it is discussing with stakeholders in ICT and financial value chains on how to provide jobs for the unemployed. According to its President, Mr Demola Aladekomo, the jobs are going to be industry- based because it will require the use of IT facilities. He said the jobs would be created through Call Centres and Business Processing Outsourcing (BPO). Call centres are special units or offices created by telecommunication companies to enable them get two-way information about their products or services. Through the centres, customers forward their requests to the telecom firms, and get immediate responses from workers assigned to man the unit. The BPO requires that Nigeria is made the outsourcing destinations for companies in Europe and United States that wish to em-

ploy local hands for their operations. Aladekomo said telecom operators, such as MTN, Glo, Airtel, Etisalat and Visaphone, among others have call centres which provide jobs for many. The aim of the programme, he said, was to enable other institutions operate call centres for their operations because they offer immense job opportunities. “Telecom companies employ many people to manage their call centres. The reason is because they deal with large number of customers who sometimes cause traffic in the process of making enquiries from the companies. What we want to do is to encourage non-telecom institutions such as banks, insurance companies, maritime agencies, stockbroking firms, oil and gas companies, aviation companies, schools, ministries and parastaltals to leverage on the IT potentials

and establish call centres for job creation.” He added: “These institutions boast of large number of customers or clients that daily make requests about their activities. When you look at the activities of these organisations and the number of people they are servicing, there is no way that they would not need call centres. Cumulatively, they would create a lot of jobs for people.” Aladekomo said each call centre could provide at least four jobs for people, adding that thousands of call centres can be created in the country to reduce unemployment. He said governments at different levels need call centres for their operations because they have a lot of requests to attend • Continued on page 38

THE NATION MONDAY, SEPTEMBER 17, 2012

JOBS

One million call centre jobs coming • Continued from page 37

to. Aladekomo said ministries and their agencies are dealing with many issues, as well as having people to attend to far and wide. They can achieve this, from creating call centres and employing people to work there. Citing India and the Asian countries, Aladekomo said these countries have created jobs through the use of call centres. He said the advocacy is winning support, adding that many organisations are showing interest in it. He said the creation of call centres is a global thing, adding that Nigeria cannot be an exception if it wants to create jobs for people. He said India is using the BPO model to create millions of jobs. Dell Computers in the United States, he said, outsourced technical support from a company in India to foster growth. He said the body is talking with different institutions to provide an enabling environment and policies for the growth of outsourcing business. Aladekomo said many jobs would be created, when Nigeria becomes an outsourcing destination. He said different business activities can be outsourced to create jobs for people.

The Managing Director, Computer Learning Centres, Mr Tim Akano, said there would be jobs if companies establish call centres for their operations. Akano said if each of the over 20 Federal Government agencies establishes call centres, it will have multiplier effects on the economy. This, he said, is evident in the number of people that would be employed to work in those centres. He said state-owned agencies do not have call centres to handle certain issues, stressing that they would create more jobs when they have such facilities. Many organisations, he said, are yet to create call centres, except banks that have created fewer centres for their operations. He said: “Thousands of jobs would be created through call centres, if all organisations can have their own call centres. There are physical and economic benefits to be derived from call centres. First, the physical mobility will be reduced as people would sit in the comfort of their homes and offices and make enquiries from institutions. On the economic benefits, organisations and their customers would have more time for productive issues. “When your customers are lessstressed, they would continue to

• Aladekomo

patronise you. On the whole, the idea enhances productivity and further improves the income of the parties concerned.” The developed countries, Akano said, are generating huge revenues, by using ICT facilities to an advantage. Companies, irrespective of their sizes, can establish call

• Akano

centres and employ one or two people to manage them, he said, calling for collaboration between the IT service companies, and other service-oriented institutions to create jobs and grow the economy. A computer engineer, Mr Thomas Ajadi, said the ICT sector could create millions of jobs in

Nigeria only if it is well developed. Ajadi, who is based in Warri, Delta State, said job opportunities abound in the sector for those who are ready for it. He said call centres are an area organisations (private and public) could use to create jobs.

MOVERS AND SHAKERS AFREXIMBANK names Emekekwue external communications chief

HE African Export-Import Bank (AFREXIMBANK) has appointed Obi Emekekwue, a former United Nations Communications Specialist and a former journalist, its Senior Manager, External Communications. He is to help lead the design and implementation of the bank’s external communications outreach. “As AFREXIMBANK has grown, the need for us to better communicate our services and activities to our various clients and stakeholders has become even more important and evident,” said Jean-Louis Ekra, President of AFREXIMBANK in a statement made available to

The Nation. ”Obi brings extensive international and African communications knowledge and experience to this new position which would be a great asset in our messaging as we seek to deliver even more effectively on our mandate to promote and finance intra- and extra-African trade.” Until his appointment, Mr. Emekekwue was a Press Officer at the United Nations in New York where he worked in the Press Section of the Meetings Coverage Service of the Organisation’s Department of Public Information. He first started working for the

United Nations in 1994, serving, in addition to the Secretariat, at the United Nations Development Programme (UNDP) and the United Nations Population Fund (UNFPA). At UNDP, he was the Communications focal point for Englishspeaking Africa from 1996 to 2000 as well as the focal point for the United Nations Special Initiative on Africa. From 2006 to 2007, he was the United Nations Communications Specialist for the United Nations Country Team in Papua New Guinea. He also served as the Africa Communications focal point in UNFPA

from 2000 to 2002 and subsequently as a Programme Specialist in the Fund’s Africa Regional Office between 2002 and 2009. Prior to working for the United Nations, Mr. Emekekwue served as the United Nations and North America Bureau Chief of the News Agency of Nigeria from 1989 to 1994. In that position, he also doubled as the United Nations correspondent of the Pan-African News Agency. He had also previously served the News Agency of Nigeria in various other capacities, including as a sub-editor, a sports correspondent and a political cor-

respondent. Earlier, he worked briefly as a sub-editor for the Nigerian Television Authority, Ibadan, and later for the Federal Radio Corporation of Nigeria, Lagos. The African Export-Import Bank is a multilateral financial institution established in 1994 by African governments and private investors with the mandate to promote and finance intra- and extra-African trade. It is registered with the United Nations. In 2011, the Bank approved loans totaling $3.75 billion in support of the implementation of its mandate.

CAREER MANAGEMENT

EFORE we go into today’s business proper. I am delighted that our website, www.jobsearchhow.com.ng is now up and running. Please note the .ng. You will have access to articles here and more. There had been numerous requests from readers for past articles and sundry questions that had been treated in previous presentations. The content of the website is geared towards meeting theses and other needs of readers of The Natiom, the most widely circulated newspaper in Nigeria today! Now to business I am sure you have wondered: why are you still unemployed in spite of your serious effort and strong desire to get the job of your choice? Many expect a simple, short and precise answer. Unfortunately there is nothing like that. The reason for this is that the employment process is complex, and usually in stages. And progress often depends on success at the previous stages. The other reason is that the recruitment process is imprecise, varying from company to company, and from one individual responsible for recruitment to another. The least you can do is to

Basics of effective job search By Olu Oyeniran

position yourself for better chance by acquiring the relevant job search skills. For you, it may just be that you are not getting one particular stage or skill right; for others, it may be two or three or more! So, what can be should you do or master to give yourself a good chance of getting yourself your dream job in 2011? We will examine this in the next few weeks. Keep a date with us on this page in The Nation on Mondays. • Know and understand of yours self. I hope this do not surprise youmost of us do not know ourselves enough to make informed decision about our job/career direction. I was talking to an applicant sometimes ago. He majored in one of the Modern European languages, worked in one of the nation’s security services for four years, and has been ‘helping’ his uncle for the past three years. Now what does he want from me? He wants me to advise him on

what work he should be looking for. I asked him what skills he thinks he has for a possible clue on career direction. He could not say precisely. This is often the case when an applicant says he/she is ready to do ‘any job that is available’. Really your job and career goal depends on the skills you have, personal preferences/aptitude, and life and career, goals. Skills are the foundation of job search. Employers want to know what it is you can do for them. What are skills you may want to ask? A simple but appropriate definition is that a skill is anything you can do now. There are three categories of skills – job skills, self-management skills and transferable skills. Everyone has skills, hundreds of skills, many of which employers are looking for. Yet most people can only identify a few, and are not able to describe then to the employer. Experts agree that skill identification is essential to a successful job hunt.

Now do you have personal goals in life? Where do you want to be in 5, 10, 20, 30, 40 years time with a vision, most young people today are just drifting in the sea of life. An individual without a vision is like sea-going vessel without a compass. For a job search to be purposeful and focused, all applicant need to have a job objective please not the meaningless verbosity you see in most Résumé/CVs. What do you enjoy doing? What are your personal qualities and traits? Does your identified attitude, style and temperament fit you career direction? • Understand the employers hiring process and attitude. In most situations, employment/hiring have been turned to a two- lane expressway – where there is little or no contact between on coming and on going vehicles. For example, declaring a vacancy via newspaper advert is the last option for most employers. Unfortunately a significant number of applicants depend on

want-add alone for their job lead. However, over 80 per cent of positions are not advertised before they are filled. When was the last time you saw job advertisement from Guaranty Trust Bank, NNPC, CBN, Shell, Dangote Group, etc. Employers expect that you actively look for them, and declare your interest and intention to work for them. But when you desire to work for any organisation what do you do? You approach the personnel department for information and possible assistance. Right? Wrong. The major role of personnel department in the recruitment process is to screen you out! Form the foregoing, it is obvious that job hunting is complex, and requires some specific skills, knowledge and attitude. We won’t be able to complete looking at the topic today. We will continue next week. See you then. Good luck. Olu Oyeniran is the Lead Consultant, EkiniConsult & Associates. Website: www.jobsearchhow.com E-mail: oluoyeniran@yahoo.com Tel 08083843230 (SMS Only).

THE NATION MONDAY, SEPTEMBER 17, 2012

INSURANCE

penetration to Brokers protest slash in Insurance hit 30% by year end Local Content briefs T

ROKERS have kicked against the reduction of firms handling local content briefs for the Nigerian National Petroleum Corporation (NNPC). The corporation, which engaged 34 firms for the exercise last year, cut down the figure to 14 this year, a measure operators criticised as anti-industry growth. President, Lagos Area Committee of the Nigerian Council of Registered Insurance Brokers (NCRIB), Tunde Oguntade, said though the number fell below brokers’ expectation, they have expressed their desire for more brokers to be involved in the future. He noted that brokers are unaware of the reason for the reduction, adding that it would have been better if more brokers were considered in line with the Local Content Law. Nonetheless, the implementation of the law has begun to have impact on the economy in terms of human capacity development, especially in oil and gas, more employment opportunities and greater retention of capital that would have been spent as consultancy fees and salaries for expatriates. Of interest is the current development in the industry, where underwriters and insurance brokers have shown greater capacity to insure and reinsure the high net-

Stories by Uyoatta Eshiet

worth property of government and its agencies, as well as those parastatals. A university don, Mrs.Joy WarikkeBriggs, said the development, notwithstanding, the insurance industry remained one of the greatest beneficiaries of the Local Content Act, signed into law by President Goodluck Jonathan in 2010. She told The Nation that through the local content law, the government is seeking improved standard of living of the citizens and higher revenue to government from company and personal income taxes. She added that the resultant economic growth therefrom, would be in form of increased production of goods and services, higher industrial capacity utilisation, direct and indirect employment generation, as well as improved commercial and trading activities. The NCRIB boss called on the government to encourage the participation of more brokers in NNPC insurance since the business is of high volume. He said: “One cannot say the reduction is healthy looking at the Local Content Act. They have the right to appoint; it is only the government that can decide if what they have done is in order. Ideally, they should have accommodated more brokers given the volume of money

involved in the business.” He noted that to meet the 70 per cent engagement provided for by the Local Content Act, brokers who were denied opportunities in the past have strengthened their operations. He said only 34 of 572 brokers were appointed for the business last year, adding that though the number was low, it created opportunity for the brokers to acquire knowledge on the workings of the oil and gas business. “Years past, it used to be Lloyd of London that handled the account and repatriated all its gains, leaving the Nigerian economy high and dry. That is now history because the Local Content Law has effectively put paid to that, Mrs. Warikke-Brigs, said. Suing for the appointment of more indigenous brokers to handle the account, Oguntade argued it would boost the industry’s capacity for growth. He said local underwriters have a very good share of the market. “We are looking at 70 per cent as stated in the law, that means that the 70 per cent premium that used to go outside the country in the past, now hasve to be with local underwriters. “This would enable underwriters to improve their capacity, training, source good rates and observe their corporate social responsibilities.

HE rate of penetration of in surance in Nigeria which stands at just six per cent of the population is expected to hit 30 per cent by the end of the year, the Director-General, Chartered Insurance Institute of Nigeria (CIIN), Adegboyega Adepegba, has said. Explaining why the rate of insurance acceptability is low in Nigeria, Adegboyega said one of the causes is the poverty level among the larger population. He said people consider insurance last in their scale of preference due to the level of their income, adding that the industry wwould take its place in the financial sector when the economy and living standard of people improved. “The major cause is the level of poverty in the country. There is poor economic down turn, because of this, insurance comes last in the thing most people what to do. When you take your salary, you probably think of paying your house rent, take care of your car, feeding and paying your children’s school fees. So, you probably think about insurance last.” As long as we still have this level of poverty, we will still have a lot of challenges for the insurance sector. But as the per capita income increases, then insurance will have its own fair share of what should come to it. The economy must improve for the industry to thrive.” The industry’s present penetration stands at six per cent, while its density (purchase) is N1,200, premium volume, N200 billion, and contribution to the Gross Domestic Product (GDP) is 0.7 per cent. He said operators hope to increase penetration from six to 30 per cent by the end of this year, grow the density (purchases)

from N1200 to N7500, premium volume from N200billion to N1 trillion and contribution to the Gross Domestic Product (GDP) from 0.7 per cent to three per cent. The Commissioner for Insurance, Fola Daniel, said the National Insurance Commission (NAICOM) was poised to providing necessary frameworks that will aid the achievement of the vision, adding that the vision was predicated on compulsory insurances. He said the commission would ensure the plugging of leakages in the industry which deterred the growth of the sector, noting that NAICOM was collaborating with practitioners to ensure that the sector takes its place in the nation. “What my colleagues and I at NAICOM have done is to look at ways the industry could leverage on existing laws to plug many of the leakages in terms of insurance premium. If the implementation is as envisaged, there is no reason the premium income benchmarks of N1 trillion will not be met and surpassed. He added that the commission’s desire was to develop and build an industry with high capital and standard. Analysing events in the industry in the last ten years, the NAICOM chief said insurance professionals left the industry to half-baked managers and industry leaders followed the lead of quacks into all sorts of unprofessional conduct that combined to expose the industry to ridicule. “Rather than strive to sanitise and restore the pride of our profession, our professionals chose to take the easy path of ‘if you cannot beat them, join them’, indulging in unethical practices.

Ex-annuity agent sentenced

• From left: President and Chairman of Council, Institute of Directors (IoD) Nigeria, Thomas Awagu, Minister of Trade and Investment, Mr Olusegun Aganga, Director General/CEO Institute of Directors, Nigeria, Mr Akin Ajayi and Area Head of Legal, British American Tobacco West Africa, Mrs Sade Morgan at the Institute of Directors Nigeria Advocacy Roundtable Forum on Cost of Doing Business at Eko Hotel and Suites, Victoria Island, Lagos.

NIA yet to deploy electronic cards

HE Nigerian Insurance Association (NIA) is yet to deploy the over 500,000 electronic card readers two months after launch because of logistics. A source said the organisation has been sorting out some logistic challenges, adding that efforts were being made to ensure that the desired result is achieved. He said the association wants to ensure that the gadgets get to the various states and people they are meant for, stressing that the deployment would commence soon. Former NIA Chairman Olusola Ladipo-Ajayi said the project would help stem fake policies carried by motorists and help security agencies – Nigeria Police and Federal Road Safety Commission (FRSC) – ascertain genuine vehicle licensces and weed out fake insurance certificates. He said the data device was aligned with that of the FRSC to

forestall harassment of policy holders by security officers, adding that the device will block the enormous financial leakages in motor insurance due to fake operators. He said: “Our data is linked to the FRSC data base so that they can verify the authenticity of insurance certificate that will be presented to them by motorists. We are deploying the electronic card readers to the security agencies to enable them know vehicles that are properly insured. “The most important thing is for us to get it right. It is not how soon, but how well, because every existing data must be captured, tested and be error proof. This is because we do not want any body to be denied passage by the police and other security agents when he or she has a genuine vehicle insurance cover. “What this means is that all policies that are still running now will

be captured into the system, so that when a policy holder is accosted, he or she will not be accused of carrying a fake or counterfeit document, whereas the individual is carrying a genuine document. This we are presently doing.” Ladipo-Ajayi said the data would provide a mechanism for verification of insurance certificates issued or presented as evidence of insurance, an enabling environment for submission of statutory returns online and also provide access to relevant policy, underwritten and claims information. He noted also that the initiative will enhance transparency and accountability to stakeholders, thereby restoring confidence in the insuring public. It will create the basis for scientific management of operations in the industry and enable the tracking of transactions in the industry.

NSURANCE Commissioner Dave Jones last week announced that Alvin Leroy Black, 75, of Penn Valley, was sentenced in the Nevada County Superior Court to 180 days in County Jail and five years of supervised probation, for violating Penal Code Section 487(a), Grand Theft. Black must also participate in theft counseling and has been ordered to pay $204,777.93 in restitution. Black pled guilty to a single felony count of grand theft in March of this year. According to Investigators from the California Department of Insurance (CDI) Investigations Division, between July 2001 and August 2004, Black sold his 80 yearold victim seven annuity policies with a deposit amount totaling $1,535,000 without fully disclosing the terms of the annuities and without her full understanding of what she was purchasing. Black earned $87,336 in commissions for transacting the

annuities. The investigation revealed that in March 2003, Black formed a California non-profit corporation, in the name of the victim, without the knowledge or consent of the victim. Black had the victim sign documents to change the beneficiary and the ownership of all her annuities to the foundation without her knowledge of what she was signing. Black submitted the change of ownership forms and change of beneficiary forms to the insurance company also without her knowledge or consent. Black eventually cashed three of the policies for a total amount of $224,703.89, causing the victim to incur surrender charges of over $26,919.74 as well as income tax liabilities. Black received and deposited the money into the foundation’s bank account and used the funds for his personal gain. The victim was never given access to the foundation’s bank account.

Couple charged with insurance fraud

TTORNEY General Scott Pruitt’s Workers’ Compen sation and Insurance Fraud Unit has filed a charge against an Oklahoma City couple for allegedly conspiring to falsely obtain insurance money. Shake Haque, 33, and wife Nadeea Hossain, 39, were charged in Oklahoma County District Court with one count of conspiracy to commit a felony. According to the charge, the following events took place: Nov. 29, 2011 - Haque was involved in a morning car accident while driving his wife’s car. He allegedly gave the other driver an expired insurance policy number. Later that day, his wife bought a liability only policy

for her car. Hossain contacted the other driver and allegedly asked her to say the accident happened the following day, Nov. 30. Dec.6, 2011 - The insurance company contacted the other driver and she told them that the accident occurred on Nov. 29 and records from the Midwest City Police Department confirmed the date of the accident. Dec. 13, 2011 - The accident claim was denied. The Attorney General’s Workers’ Compensation and Insurance Fraud Unit is the only Oklahoma law enforcement agency dedicated to the investigation and prosecution of workers’ compensation fraud. The Unit also helps raise public awareness of insurance fraud in Oklahoma.

THE NATION MONDAY, SEPTEMBER 17, 2012

LABOUR

Unions give Air Nigeria ultimatum on staff pay VIATION unions under the aegis of the National Association of Aircraft Pilots and Engineers (NAAPE) and the National Union of Air Transport Employees (NUATE), have issued a seven day ultimatum to the management of Air Nigeria to pay up all staff salaries, including their benefits and entitlements. Speaking to newsmen during a peaceful protest at the NUATE secretariat, President of NAAPE, Mr Isaac Balami David, pointed warned that if within seven days, the management of Air Nigeria fails to meet the demands of the workers, the unions would take appropriate actions against the airline. “We are giving the authority of Air Nigeria seven days ultimatum. If nothing happens, NAAPE will communicate to the press and tell them the next line of action that the union is going to take,” he said. Amongst issues Balami raised were arrears of salaries of staff not paid for four months, running from May through Au-

Stories by Toba Agboola

gust 2012, and unpaid pensions, adding that the management of the airline could not just lay off its staff like that, without giving them all their entitlements before laying them off. “In addition to the above, Jimoh Ibrahim and Air Nigeria must immediately fulfil the following; remit to the tax office all tax deducted from staff salaries for about two years to enable the workers obtain tax certificate as required by law, remit to the staff, thrift and co-operative society all monies deducted from staff salaries with accruable interests, to enable workers access and receive their exit benefits from the society; remit to Pension Fund Administrators with accruable interest all pension deductions from staff salaries for about a year, to enable the workers access and receive their due pensions as guaranteed by law; issue a proper letter of disengagement which must contain all entitle-

ments due to each worker, and then enclose any legal payment advice in that regard and not sack in the pages of newspapers,” the NAAPE boss stated. Debunking the claim of Mr. Jimoh Ibrahim that his staff were not loyal, Balami said: ” We learnt that staff in Air Nigeria were earning 50 per cent less than what other staff in other airlines are earning yet they work with their whole heart, and somebody is saying that they are not loyal, what type of loyalty does the management of Air Nigeria want? he asked. “All we are saying is that Air Nigeria should pay salaries, once you pay your salaries on time, you do the needful, your staff will be loyal,” he added. Also speaking during the protest, President of NUATE, Comrade Safiyanu Mohammed, said the is in support of whatever decision the union might take, if the staff were not properly taken care of and the issues at stake not resolved amicably. He said: ”NAAPE has given the manage-

ment seven days, so you can’t expect them to pre-empt their action before the expiration of seven days. After seven days, we will now know what will happen next.” A staff of Air Nigeria, said the management of the airline was not been fair to them, especially after they have given all their lives working for the airline, they were been layed off on a flimzy excuse that the workers were not loyal. “I will like to bring one issue on ground right now, Mr. Jimoh Ibrahim has been going around telling the larger society that his staff are not loyal, I have worked with two other companies before I worked with Air, and I want to tell anybody who cares to listen that this type of workers that you see here are the most loyal people in the whole world, they are hard working, they have work ethics,” he said.

NLC holds summit on security, peace

•From left: Permanent Secretary, Ministry of Education, Mrs. Olubukola Opakunle, Commissioner for Education and Osun State Deputy Governor, Mrs. Titi Laoye- Tomori, President, Osun State Chapter of ANCOPPS and Secretary, Pastor Femi Obadire at an interactive session in Osogbo recently

Workers petition Presidency over oil firms’ operations

ARITIME Workers Union of Nigeria (MWUN) has petitioned the Presidency over activities of some oil and shipping companies, resulting in the loss of revenue to the nation, as well as the union. In the petition routed through the Minister of Transport, it named Shell Petroleun Development Company, Pacific Drilling, Noble Drilling, Trans Ocean Sedes Forex, Red Transport and Megatop Nigeria, among the culprits. The petition, signed by the President-General and Secretary-General, Comrades Tony Nted and Aham Ubani, called on government to call the affected companies to order failing which the union would shut down the maritime sector. The petition reads in part: “We have observed with pain and disbelief the open show of impunity by some seeming powerful agents, Shipping Companies and multinationals, which specialise in anchoring and operating their vessels off-shore/midstream in naked contravention of the given conditions governing off-shore/midstream operations in our territorial waters.

“All ships/vessels are expected to berth and operate at the conventional Sea Ports, at the hard Quays. In very exceptional cases however, ships/vessels that cannot berth at the conventional ports for declared reasons, must as of law, obtain the direct approval of the Minister of Transport; pay all statutory NPA dues and stevedoring bills; must ensure the presence of Customs, Navy, relevant Security Agencies at the point of operations to ensure that the State Security is not compromised, and the Stevedoring Companies notified for supply of the appropriate labour force – the registered Dockworkers for the operations.” It alleged that some of these companies operate off-shore/midstream without the mandatory approval of the Minister of Transport. They have also refused to pay the statutory NPA charges and stevedoring bills, thereby giving rise to loss of employment to Dockworkers and loss of revenue to the Government. “It is disheartening to note that while hiding under the cover of challenging the enforcement of these approved conditions in the Law Courts against NPA management,

the Companies have not relented in perpetuating these illegal acts that encourage revenue leakages, non-payment of NPA statutory Port Charges, NIMASA levies, underdeclaration of tonnage, stevedoring bills and loss/denial of gainful employment to Dockworkers, among others.” “These companies for example, are Pacific Drilling, Noble Drilling, Trans Ocean Sedes Forex, Shell Petroleum Development Company of Nigeria, Red Transport and Megatop Nigeria and host of others. We therefore call on the Federal Government as a matter of urgency to investigate closely, the activities of these defiant Off-Shore operators and put a stop to illegal off-shore operations. “We as an Industrial Union, whose members – the Dockworkers daily lament the loss/denial of income ,by such dubious OffShore Operations, wish to alert the nation that the continued failure to restore sanity and appropriate discipline in future OffShore/midstream Operations will attract total withdrawal of the services of our members from all the conventional Sea Ports. We have shown enough restraint on this issue and can no longer accommodate any further breach.”

Labour market defies economic slump

HE LABOUR market in the UK continued to recover strongly in the three months to July/August, despite the double dip recession, the Office for National Statistics revealed on Friday. Employment rose 236,000 in May to July, compared to the February to April period, putting the total at 29.56m, just 11,000 below its all-time peak in early 2008. The unemployment picture also improved, edging down 7,000 during May to July on the labour force survey measure, and slipping 15,000 on the claimant count measure for August, also released. Big increases in population, and 181,000 fewer economically inactive individuals aged 16-64 compared to the previous three months

– the largest decrease since records began in 1977 – account for the fact unemployment is basically flat despite rapid job growth. Of the close to a quarter of million gaining jobs, 102,000 were full-time employees, and 134,000 part-time. Self-employment hit a new all-time high at 4.2m, with 52,000 extra people officially working for themselves. The rise in jobs has not come from ministerial fiat. Excluding the reclassification of institutions providing further and higher education, the public sector shed 39,000 staff in the second quarter, while the private sector increased employment by 275,000. Although this data is one month in arrears compared to the rest of the data, it fits in well with the

overall trend. But some analysts said that the employment picture was too good to last in such a gloomy overall economic climate. “The economy would have to be growing in excess of trend rates to sustain these levels of job creation, so we must expect some payback in the form of falling employment levels in the months ahead,” said Andrew Goodwin at the Item Club. Average weekly earnings were just 1.4 per cent up in the three months to July, compared to the year before, despite consumer prices going up 2.6 per cent, meaning workers took a real wage cut. The upshot of a real wage cut is that workers look more attractive to employers, potentially helping to explain the employment boost.

HE President of the Nigeria Labour Congress (NLC), Mr. Abdulwahed Omar, has said the congress would hold a programme geared at proffering solution to the security challenges in parts of the country. Tagged, ‘Labour for Unity, Peace and Development,’ Omar, said the decision to hold the summit was informed by the deteriorating security situation in the country, despite the several measures so far taken by the government to bring peace. In a statement , NLC said it will organise the national peace summit and rally in Abuja . He said assassinations, armed robberies, bombings, communal and sectarian violence, have led to painful loss of lives, massive displacements, that are interrupting productive activities, with the attendant prospect of acute food shortages, and destruction of properties estimated at billions of naira and capital flight. “What is more worrisome about the insecurity in the country, is the general panic in the land that calls for the dismemberment of the country largely due to concern about government’s capacity to deal with these challenges. “Deeply saddening, is the growing perception of tacit or complicit support for some of these horrendous crimes by some of our elders,” Omar said. The parley is slated for tomorow.

Unemployment, layoffs down in Singapore

NEMPLOYMENT in Singapore declined in the second quarter of this year, reversing the slight increase a quarter ago, according to the Ministry of Manpower (MOM). The ministry attributed the drop in unemployment to more jobs being created in the second quarter, while layoffs eased for the second successive quarter. These were the key findings from the “Labour Market, Second Quarter 2012” report released by the Ministry of Manpower’s Research and Statistics Department on Friday. Total employment grew by 31,700 in the second quarter, higher than the gains of 24,800 in the same period last year and 27,200 in the first quarter of 2012. Cumulatively, employment rose by 58,900 in the first half of 2012, compared with the increase of 53,100 in the corresponding period of 2011. Services contributed 17,300 jobs, the majority of employment gains in the second quarter of 2012. But the figure was lower than the same period last year where there was a gain of 19,300 jobs in the services industry. For the seventh successive quarter, growth in construction workforce accelerated, supported by public infrastructure projects. In manufacturing, employment grew by 4,700, as gains led by petroleum, chemical and pharmaceutical sectors outnumbered the declines in the electronic, computer and optical products sectors. MOM said amid the strong employment creation, unemployment declined over the second quarter, after the slight rise in the first quarter. The seasonally adjusted overall unemployment rate dipped over the quarter by 0.1 per cent point to 2.0 per cent in June, erasing the increase in March. The jobless rate for residents and citizens declined by 0.2 per cent point to 2.8 per cent and 3.0 per cent respectively.

THE NATION MONDAY, SEPTEMBER 17, 2012

MONDAY, SEPTEMBER 17, 2012

POLITICS THE NATION

E-mail:- politics@thenationonlineng.net

The Yoruba Assembly shook the national sociopolitcal edifice when it came up with far-reaching positions on major issues of the moment. The welcome address of the convener, General Alani Akinrinade, is reproduced here.

‘True federalism is the way forward’ Protocol

GREET our distinguished traditional rulers. Kabiyesi, k’ ade pe lori o, ki bata pe le se, irunkere a di abere, ase a pe lenu o! Your excellencies the executive governors of all our states, Our highly regarded elders, former and serving members of Federal and state legislatures, ministers of the Federal Republic and state commissioners, retired and serving jurists, former and serving ambassadors, members of the professions, members of the organised private sector , members of the Armed Force, members of the Forth estate of the realm, representatives of market women, artisans, road transport workers, students, representatives of the unemployed in our region, distinguished ladies and gentlemen. I greet you all and heartily welcome you to this important gathering of the Yoruba family from all parts of our country and the Diaspora. I thank the government of Oyo State for allowing us the use of this ‘PLACE’. A very symbolic place in our history just as the city of Ibadan. I am Alani Akinrinade, a Yoruba and Nigerian patriot. I believe in the unity of our federation and have spent most of my adult life lending credence to that assertion. I have, after wide consultations with elders and leaders in Yoruba land; called this family meeting to reflect on how to make Nigeria conducive to the development of Yoruba civilization. Today’s meeting is not to do or say anything that will detract from the unity of the Federal Republic of Nigeria. It is intended to allow us, as Yoruba sons and daughters all over the federation to rob minds on the way out of the country’s crippling underdevelopment, with special emphasis on the parlous state of affairs in the Southwest. Our forefathers have a maxim that says: Omode gbon agba gbon ni a fi da Ile Ife. Today’s assembly is to allow the Yoruba nation, across social, political, and subethnic divides to rob minds about the future of our own corner of Nigeria.

Historical background But first, let me crave your indulgence to take you on a very brief historical journey of the Yoruba. Our people are believed by historians backed by archaeological evidence to have lived in this very place for over 1,000 years. Our ancestral home, Ile-Ife, was already a thriving kingdom by 1000 C.E. Most of our major cities have celebrated over 500 years of their respective kingdoms. By the time Portuguese explorers first came to what later became today’s Nigeria in the 1400s, many of the Yoruba City-States were comparable to cities of similar size in Europe. Yoruba land at that time

was considered one of the most urbanized areas in the world. Before the arrival of the colonial enterprise in the 1880s, the Yoruba had already established one of the most complex federal or con-federal networks of kingdoms in the world. This was centuries before Switzerland or Belgium created a system of government that gave constituent parts of each country, simultaneously, the freedom to progress as equals and the responsibility to cooperate with each other for advancement of common goals. Around 1500 C.E., when Oduduwa sent different groups, each led by one of his sons, to found new kingdoms or citystates, he gave them the crown and the freedom to rule the new kingdoms without being subjected to a fiat from Ile-Ife. In the few cases when empires grew within the Yoruba territory, we all know that such efforts led to civil wars. In other words, the Yoruba have traditionally organised their polity along the model of federalism. It was not surprising; therefore, that one of the highlights of Chief Obafemi Awolowo’s contribution to political thought in response to the amalgamation of Nigeria by Frederick Lugard as well as during the struggle for independence was the importance of federalism to national unity and development in a multinational state like Nigeria.

Contemporary development In more contemporary times, those of us in this hall that grew up in the ’50s and ’60s would have no problem remembering that the quality of life of the average Yoruba was much better than what it is today. When the United Nations says that the quality of life in present day Nigeria is much lower than what it was in the 1970s, we all know that there is no exaggeration whatever in such an assessment. The tragedy is that most children growing up in Yoruba land as from the ’80s have come to see life as an experience to endure, rather than enjoy. Most of them would readily take the Andrew option, migrate legally or illegally, to other countries of the world, including even some of our neighbouring countries like Ghana, which became independent about the same time Western Nigeria obtained self-government. You have to visit important establishments abroad to experience the magnitude of the brain

• From left: Mr Kunle Famoriyo, Chief Niyi Akintola (SAN) and the convener of the meeting, General Alani Akinrinade at the Yourba Assembly 2012 held at the Oyo State House of Assembly, Parliament Building, Ibadan. PHOTO: DAYO ADEWUNMI & FEMI ILESANMI

drain from Yorubaland. Those who have no means of escaping from the country have become frustrated and would do just about anything to survive. Between 1952 and 1966 Nigeria operated a federal system that allowed each of the three regions then to develop in consonance with the dominant values of its culture and at its own pace. Western region, home to the Yoruba, obtained self-government in 1957; started the first free primary education in West Africa in 1955, built the sub-region’s first modern stadium within the same period, established the University of Ife (now Obafemi Awolowo University) in 1962, created the Western Nigeria Television Service and a corporation devoted solely to economic development (WNDC), both first in Africa. Long before Nigeria became independent in 1960; our region developed the most professional civil service under the leadership of Chief Simeon Adebo of blessed memory. The Yoruba were the first to officially recognize opposition in governance and provided official accommodation for leaders of opposition in the region, a clear sign of our philosophical commitment to the plurality of perspectives as a necessary aspect of democratic governance. All of these achievements and others too many to itemise were made possible, not with petro dollars but with resources from agriculture. It is the period 1952-62 that historians now nostalgically refer to as the Golden Age of Yoruba land thereby acknowledging the unmistakable decline in the region in the decades after the ’60s. The cruel irony of all these is that the region is now almost fully dependent on revenue from oil and hand outs from Abuja. At independence in 1960, the federal government was taking loans of substantial amounts from the government of Western Nigeria. Unfortunately today, the truth is that, apart from Lagos State, our region has become a mendicant region that waits for limited droppings from the table of the federal govern-

ment in Abuja. A distant Federal government has become an overlord that has unnecessarily attracted to itself the charges of marginalization from the constituent nationalities. Despite its oil resources, Nigeria today remains one of the poorest countries in the world; it ranks almost highest, worldwide, in corruption being only a shade better than Bangladesh and Togo! Nigeria has the least developed transportation system for any country of its size that possesses her quantum of natural resources throughout the entire world. Its railway system is in a state of complete disrepair while its roads are abysmally decrepit. No wonder it is completely unable to sustain any meaningful industrial activity! Particularly on account of crippling lack of electric power, factories have turned to worship places just as many multinational companies have migrated to other countries like Ghana. Thousands of jobs have thus left the country in search of more stable economies. Insecurity has nose-dived beyond even the Biafran war time years since the emergence and upsurge in the activities of Boko Haram, -a rampaging urban terrorist group that has completely enveloped the North-Eastern part and making menacing incursions into other parts of the North of the country. Boko Haram may not have struck in Yoruba land, but our people, like many other Nigerians, in their teens, are daily being slaughtered, or incinerated, in the North. Given the feckless way the federal authorities are handling Boko Haram, it is only a short time away from when the marauders will be emboldened enough to attempt attacking other parts of the country. Indeed, not too long ago, the University of Ibadan like the University of Benin had to postpone end of semester examinations for no other reason than an alleged Boko Haram infiltration of the two campuses.

Leadership and

‘At independence in 1960, the federal government was taking loans of substantial amounts from the government of Western Nigeria. Unfortunately today, the truth is that, apart from Lagos State, our region has become a mendicant region that waits for limited droppings from the table of the Federal Government in Abuja ...’

structural problems Political theorists have argued that the problem with Nigeria is a problem of leadership just as some have attributed it to a warped geopolitical and governance structure. The choice of a country’s leadership is determined by political partisanship in a democracy. But the structure of government is one matter that can be addressed by all, regardless of party affiliation. Knowing where we are coming from, it is crystal clear that the absence of functional federalism in the country has exacerbated the decline of Yorubaland. It is the structural problems thrown up against our security, general wellbeing and the future of our children that motivated me to convene this family meeting. If some parts of Nigeria or even the rest of Nigeria have no problem with the current constitution and political structure, and I am sure they do, that should not stop us from raising issues with a system that daily traumatizes, impoverishes and completely degrades our people. We must not continue to look askance, at a political structure, and Constitution which continue to deny us our place in the sun as it completely rubbishes our freedom to develop at our own usual pace as eloquently demonstrated in the days of Awolowo and his team when each region had the authority and the freedom to grow as it wished. We believe this should not be a matter that divides the country or even the region into warring groups. It is, ordinarily, a contestation that should be civil and peaceful, being basically constitutional and which can therefore be approached in the most respectful manner amongst the various people making up Nigeria. Without a doubt, Yoruba land is not the only part of the country suffering from our national rudderlessness. The truth is that Yoruba should really have no stock with the all-pervading misery that has enveloped the nation; not with our education, exposure, location, industriousness and cultural richness. While analysts are still battling with the cause of Nigeria’s underdevelopment close to sixty years after independence, we are duty bound as a people, to come together in a non-partisan manner, such as we are doing today, to interrogate the various issues militating against our well-being and, together look for solutions. •To be Continued

THE NATION MONDAY, SEPTEMBER 17, 2012

NEWS

Abia returns 19 mission schools

HE Abia State Government at the weekend returned 19 schools to missionaries and private individuals. The schools were taken from their owners by the government of the defunct East Central State after the Civil War in 1970. The government said more schools would be returned to their original owners, who must have shown genuine interest in taking them back. Speaking in Umuahia, the state capital, while handing over the 19 schools to their owners, Governor Theodore Orji said the action is backed

From Ugochukwu UgojiEke, Umuahia

by law and is irreversible. Orji said: “The schools were taken over with the education edict of 1970 by the government of the former East Central State, but with the state’s Education Law, we are returning the schools to their original owners.” He said in the 1960s, schools were known for discipline and quality education, and regretted that such values have been eroded. Orji said the return is to revive those values. He said the government would support the schools by

paying teachers’ salary and pension until 2015. Chairman of the ceremony Gen. Ike Nwachukwu and the Catholic Bishop of Umuahia, Most Rev. Lucius Ugorji, thanked the governor and assured him that the schools would be well managed. Five of the schools belong to the Catholic Church; three to the Anglican Church; two to private individuals; one to Qua Iboe Church; one to the Seventh-Day Adventist Church; one to the Apostolic Church; one to the Assemblies of God Church; one to the Presbyterian Church and four to the Methodist.

CBN may exclude Navy from cashless policy By Precious Igbonwelundu

•CBN Governor Sanusi Lamido Sanusi

HE Central Bank of Nigeria (CBN) at the weekend spoke of a plan to exclude the armed forces and other special institutions from the cashless policy, in order not to undermine national security. CBN Deputy Governor (Operations) Mr. Olatunde Lemo spoke in Lagos at the 2012 Account and Budget Finance Seminar of the Nigerian Navy. Lemo said the apex bank was aware of the expediency of the activities of the military, which often require speed and secrecy. He: “We are aware of the need for deployment at short notice and the importance of flexibility in rapidly changing operations. CBN knows the strategic needs of the armed forces and we will take that into consideration and make a decision between operations and normal activities. “Some of the challenges that will likely affect their imme-

diate use of the cashless policy during operations include: the absence of requisite Information and Communication Technology (ICT) infrastructure, such as Point of Sale (PoS) terminals in terrains where troops are mostly deployed, thereby making e-commerce almost impossible; the need for the payment of non-regular allowances, such as Ration Cash Allowance and Operations Allowance to deployed troops in cash; as well as the need for direct payment of cash to intelligence sources. “We shall look into peculiar needs like operations, but other normal activities shall not be excluded. So, the armed forces should avail their officers and men the immense benefits of e-payment.” On the proposed N5000 denomination, Lemo said its introduction would reduce printing cost, which he put at about N47 billion. He debunked the rumour that N49 billion would be spent on the printing of the new notes. Lemo said: “This figure (N49 billion) being bandied around is false. In 2009, we spent N47 billion printing all our denominations. “That figure went down to N45 billion in 2010, which is a confirmation that the highethe

denomination we print, the lesser the cost. “The introduction of N5000 note will reduce printing cost. We do not know the actual cost, because we have not engaged printers, but we know it is cheaper to print one note of N5000 than to print five notes of N1000 and we are going to save a lot of money.” Naval Chief of Account and Budget Rear Admiral Kehinde Komolafe said the implementation of the cash-less policy would pose some challenges to the armed forces and urged the CBN to consider excluding the armed forces special operations from the policy. He said the cardinal requirements for the success of military operations are operational security, speed and flexibility and liquid cash is needed to carry out these tasks. Komolafe said: “Operational deployments are often unpredictable and unprogrammed. This makes it necessary to either draw funds at short notice or keep adequate contingency fund at hand. “The cash-less policy may challenge the ability of the Armed Forces to deploy in a timely manner to contain security situations. “This seminar is aimed at creating awareness and deepening the understanding of financial practitioners in the Nigerian Navy.”

Mbadinuju hails Obi on oil exploration

ORMER Anambra State Governor Chinwoke Mbadinuju yesterday hailed the take-off of private companies in the state. In a statement, Mbadinuju said he is particularly happy with the exploration of oil in the state. He recalled the pioneering efforts of his administration towards the achievement of this feat and hailed Governor Peter Obi for making it a reality. Mbadinuju said: “One lesson leaders should learn is the value of working for the common good of everyone. When I left office, those who came after me were pre-occupied

From Odogwu Emeka Odogwu, Nnewi

with dismantling the foundation that I laid. “For example, they attempted to relocate the Anambra State University to their home towns. However, when Obi assumed office, rather than follow the path of destruction, he recognised that governance is a continuum and he began to build on the foundations laid by his predecessors, including myself. “For example, he continued developing the university and built more structures on the campuses. He also continued supporting Orient Petroleum,

which is now a success story. “Obi also followed up on my security initiatives and our state is better for it, despite occasional hiccups. The governor has also tried to open up, allowing former governors and stakeholders to freely visit the Government House and the Governors Lodge as occasion warrants. “Obi’s cordial relationship with the President has brought good gains to the state.” He urged the people set aside their selfish interests and support good governance. Mbadinuju urged future leaders of the state to build on Obi’s achievements.

Police arrest five robbery suspects in Enugu

HE police in Enugu yesterday arrested five suspects during a robbery operation at a tobacco company at Emene. Two Mercedes trucks loaded with tobacco were recovered from the suspects. Four of the robbers escaped. One AK 47 rifle, 23 rounds of 7.6mm ammunition, three expended shells and nine mobile phones were recovered from the suspects. Police spokesman Ebere Amaraizu said the police got a distress call from the company and the Divisional Police Officer at Emene led a team to the

From Chris Oji, Enugu

scene, where they engaged the hoodlums in a gun battle. Amaraizu said Obiora Onyibo and Chimezie Emekoy succumbed to the superior fire of the police and were arrested. He said they led the Police to three other suspects, who were waiting nearby in a Honda Odyssey car. Amaraizu said the suspects made statements that would help the police in their investigations.

THE NATION MONDAY, SEPTEMBER 17, 2012

NEWS PDP members defect to ACN in Kwara

ANY Peoples Democratic Party (PDP), Allied Congress Party of Nigeria (ACPN) and Accord members at the weekend defected to the Action Congress of Nigeria (ACN) in Kwara State. Notable among them were the 1999 PDP governorship running mate, Akinmade Yahaya Abolarin, former commissioner and a leading member of the Saraki political dynasty, Chief James Ayeni, a former PDP chieftain and exchairman of Ifelodun Local Government, Jide Usman, among others. The ACN National Publicity Secretary, Alhaji Lai Mohammed, said the party’s governorship candidate in last year’s election, Mohammed Dele Belgore (SAN), representatives of Osun and Ogun state governors and others received the defectors at a colourful ceremony in Ilorin. Mohammed accused the

From Adekunle Jimoh, Ilorin

PDP-led Federal Government of incapable of finding a solution to the nation’s problems. The ACN chieftain accused the PDP-led government of lacking the capability to deliver the dividends of democracy to Nigerians. He said the government’s ineptitude has resulted in youth unemployment, epileptic power supply and infrastructural decay. PDP, Mohammed said, has never been truthful to Nigerians on any national issue. He cited the “many lies the PDP government churned out to Nigerians on the illness of the late President Umaru Yar’Adua,” adding: “We deserve to know the First Lady Dame Patience Jonathan’s health status.” The ACN spokesman lamented what he called lack of

development and dearth of infrastructure in Kwara State. He said the PDP-led government in the state was not different from the government at the centre, adding: “The PDP at the national level is not performing. So you can’t expect anything different at the state level.” The ACN governorship candidate in last year’s poll, Mohammed Dele Belgore SAN, urged Kwarans to stop “suffering in silence” by teaming up with the ACN to sweep PDP away in the next election. His words: “ACN remains the only viable alternative to the PDP. It is the party that has the interest of the masses at heart. “It is becoming clear that PDP has nothing to offer. Kwara in 2012 is worse than it was last year. People are coming in droves to the party. People will keep decamping to the ACN as time goes on.”

Diphtheria kills six in Bauchi

N outbreak of the diphtheria virus has resulted in the death of six children at Duzum village, Madara district in Katagum Local Government Area of Bauchi State. The Sole Administrator of the local government, Alhaji Abubakar Dahuwa Abubakar, who resumed duty last week, said this when he visited the bereaved fami-

From Austine Tsenzughul, Bauchi

lies at the weekend. He said according to reports, five boys and a girl died as a result of ignorance and rejection of a medical advice. He urged the communities to embrace routine immunisation to guarantee the safety of children.

Abubakar said government is committed to delivering a free ante-natal service and routine immunisation to women and children. The sole administrator enjoined residents of the local government to accept government programmes and policies on health as they are meant to maintain hygiene and clean environment.

ACN calls for Okupe’s sack

HE Action Congress of Nigeria (ACN) yesterday urged the presidency to sack its spokesman on Public Affairs, Dr. Doyin Okupe, to give President Goodluck Jonathan’s fight against corruption credibility. The party’s Publicity Secretary, Alhaji Lai Mohammed, told reporters in Ilorin that attempts by Okupe to absolve himself of contract scam in Benue State were not convincing. He said without his prosecution, President Jonathan’s war against corruption would be amoral. Mohammed alleged: “Until Okupe is prosecuted by the relevant anti-corruption agency, the Federal Government will lack the moral right to prosecute any Nigerian for Advanced Fee Fraud. His contracts issue must be investigated. “It appears what the Federal Government wants is somebody who can be pouring in-

From Adekunle Jimoh, Ilorin

vectives on the people. It does not care even if such a fellow is a rogue. Where then is the much-needed credibility the government is clamouring for? No matter how much affection Jonathan may have for Okupe, he has tested positive to corruption and therefore can’t remain in office.” Commenting on next month’s governorship election in Ondo State, the ACN chieftain said the party was embarking on a systematic campaign, adding that it was deliberately shunning rallies due to “the peculiar situations” in the state. He noted: “Our campaign in Ondo is going on well. It has not followed the orthodox way of staging public rallies because the circumstances are different. Besides, elections are not won at rallies but at the polling units via massive voting in support of the winner.

•Alhaji Mohammed

“We have infiltrated the electorate at the ward level. Our campaign organisation has identified the would-be voters and has worked on them. We are comfortable with what is happening in the state. Very soon, the flag of the party will be hoisted at the Government House.” Mohammed said the proposed merger between the ACN and other opposition parties remained the most democratic way to wrest power from the Peoples Democratic Party (PDP) in 2015.

‘I inherited security challenges from my predecessor’

OVERNOR Jonah Jang of Plateau State at the weekend said he inherited the security challenges facing the state from his predecessor. He spoke at the just concluded all Nigerian Editors Conference in Uyo, on the topic: “The Nigerian Editor and National Security”. The governor said in his efforts to tackle some of the problems caused by the challenges,

From Kazeem Ibrahym, Uyo

he encountered resistance from groups that tried to use the media to undermine his efforts. He said: “This is not to say that the media has not lived above board. We must say that at certain times, our pronouncements were deliberately misquoted, our actions and intentions distorted and our policies and programmes manipulated. “These were done to suit the

religious agenda, political programmes and ethnic interest of certain groups in Nigeria. Some of the media, therefore, have become mouthpieces and propaganda tools which are deployed against any policy or programmes of the government. “Such actions have either set the indigenes of Plateau State against one another or set them against the government.”

Sachet water consumers urged to be careful

ACHET (pure) water consumers have been urged to be careful because some of the products are not good for consumption. The Chairman of the Association of Table Water Producers of Nigeria, Lagos State branch, Dr. Olubode Samuel, spoke at

the weekend in Lagos. He said faceless producers of sachet water sell sub-standard pure water to the public at N60 per bag instead of the N100 agreed on by members of the association. He said any sachet water treated with the necessary chem-

icals required by the National Food, Drug and Administration Control (NAFDAC) could not be sold at N60 per bag. According to him, the N100 agreed on by the association is in the interest of the consumers to ensure the water is hygienic.

THE NATION MONDAY, SEPTEMBER 17, 2012

NEWS Gunmen kill security officer, wife, kids in Kano

UNMEN yesterday invaded the home of a Civil Defence officer, shooting him, his wife, two children and a physically-challenged dead, a police officer confirmed last night. “The officer, his wife, three year-old daughter and his crippled brother staying with him were shot dead by the gunmen,” a senior police officer told AFP on condition of anonymity because he was not

From Kolade Adeyemi, Kano

authorised to speak on the incident. Neighbours said the officer was a member of Nigeria’s Security and Civil Defence Corps. “Four of them came on two motorcycles and entered the house. They put all the four people (victims) in a room and shot them dead” before escaping, a neighbour said, Although no one has

claimed responsibility, members of the Boko Haram sect shot dead a secret police officer outside his house in the same Hotoro neighbourhood in June. It was gathered that the four victims of the attack were killed instantly when the gunmen opened fire on them. The scene of the attack was cordoned off by armed security operatives, who have intensified their search for the flee-

ing suspects. Commissioner of Police Idris Ibrahim was not available to speak yesterday, but a senior Police officer said efforts have been geared towards tracking down the gunmen. He said they had received clues that will lead to the arrest of the perpetrators of the crime. The bodies of the victims were deposited at the Murtala Mohammed Specialist Hospital mortuary.

Tight security at national awards’ Abuja venue Continued from page 2

have not got accommodation. Some of the officials said the government was trying to cut cost. “They have forgotten that some of us got these awards on merit. We are not moneybags who could afford the high cost of accommodation in Abuja. “Also, some of us are not used to Abuja. “Although there used to be a token of N100,000 per awardee for feeding during the administration of former President Olusegun Obasan-

jo, no one has made any money available to us.” Ebonyi State Governor Martin Elechi has directed public and private sector establishments in the state not to shut down their operation as a mark of honour to him over the national award of the Commander of the Order of the Niger (CON) to be conferred on him today. Elechi gave the directive following reports that some market associations, business organisations and public servants planned to storm Abuja for the ceremony.

In a statement, the Chief Press Secretary to the Governor, Dr. Onyekachi Eni, said though Governor Elechi acknowledges the right of the people to celebrate the national award which he described as a honour to the state, he urged them to remain at home and do so in a responsible manner. “Those who had already arranged for mass transit buses to go to Abuja are hereby urged not to embark on the journey because of the cost and the risk associated with such mass movement. The

governor appreciates the people of the State for their outpouring of love and support. “Though again the governor acknowledges the right of the people to celebrate the national award, he has, however, urged the people to remain in the State and do so in a responsible manner,” Eni said. Eni said three representatives of the forum of founding fathers, youth and women organisations and the Christian Association of Nigeria, had been invited by the government to witness the ceremony in Abuja.

Communal clash: Many displaced at Nnaji’s home town

ANY residents have fled Umuode in Nkanu East Local Government Area of Enugu State, the home town of former Minister of Power Prof. Barth Nnaji, following renewed clashes with their neighbours in Oruku. Umuode was attacked at the weekend by persons suspect-

From Chris Oji, Enugu

ed to be from Oruku. Seven houses were destroyed. The people of Oruku also alleged that they were attacked at the weekend by unknown uniformed men. They said one person was killed and another injured. They said the injured had been taken to the University of

Nigeria Teaching Hospital (UNTH), Ituku-Ozalla, and the body of the deceased was deposited at a nearby mortuary. The immediate cause of the dispute between the communities is unknown, but Umuode and Oruku have been at logger heads since the 70s. The President of Umuode Town Union, Mr. Emmanuel

‘Why trial of Daniel, Akala, Ladoja, others is slow

Omaba, said the attacks happen every two years and houses are always demolished. Omaba said Nnaji’s home was affected during such attacks in 2009 and 2011. He said the community, which had over 15,000 residents, has been reduced to a ghost town because of the attacks.

•Akala Continued from page 2

published in 1998. “The two Codes of Conduct with the minor amendment discouraging acceptance of gifts from other arms of government are adequate. Compliance with their provisions shall be mandatory.” But the panel came up with a new policy barring petitioners and judicial officers from leaking or publishing allegations of misconduct in the media before they are considered. It, however, said any Judicial disciplinary body could publish its findings or release same to the public afterwards. It shall be the policy of the Judiciary on petitions that allegations of misconduct against Judicial Officers or other employees of the Judiciary shall not be leaked or published in the media. Where complaints or allegations against judicial officers and court employees are

submitted for investigation, the petitioner or petitioners shall be made to give an undertaking not to do anything to prejudice investigation or actions that may be taken. The institutions of the Judiciary concerned with investigation and implementation of decisions taken on such complaints shall be obliged to cease further action where such petitions or complaints are leaked or discussed in the media. Where such a leakage is occasioned after the submission of a petition, then all investigations on the petition shall be suspended; the leakage investigated and if it is from the petitioner or through other parties known to such a petitioner, then such a petition should be discarded. “Where such leakage is occasioned prior to the presentation of the petition and the source of the leakage is found to be the petitioner or through other parties known to and connected with the petitioner, then such petition shall not be accepted, upon submission, by the appropriate disciplinary body. “Upon conclusion of any investigation, the judicial disciplinary bodies may allow public disclosure of their findings, subject to following the proper channels for such disclosure.”

THE NATION MONDAY, SEPTEMBER 17, 2012

NEWS

FIRS realises N3.4t in eight months

HE Federal Inland Revenue Service (FIRS) has generated N3.401 trillion in the past eight months.. The figure was N468.65 billion when compared with the total collection of N2.93 trillion for the same period last year out of N3.6 trillion provisional annual budget estimates for the year 2012. Of this amount, oil, according to a statement from FIRS Director, Communications and Liaison Department, Emmanuel Obeta, accounted for N2.202 trillion, while non-oil taxes recorded N1.187 trillion of the cumulative figures from January to August. The Service has less than N233.57 billion to achieve the N3.63 trillion target set for it by the gov-

•Non-oil revenue hits N2.18tr By Collins

Nweze

ernment. It was the average monthly collection of N302.95 billion set for the FIRS in the current fiscal year. The Service at this rate, according to Obeta, is very much poised to achieve its own internal provisional annual budget or target of N5.084 trillion, which translates to a provisional monthly average collection of N423.72 billion, for which it had so far recorded a remarkable step towards its achievement. According to Obeta, the stride is a demonstration of the Service’s resolve, not only to meet the N5.085 trillion set internal target for the year, but to also in-

crease the non-oil taxes as evidenced in collection. The Acting Executive Chairman of FIRS, Alhaji Kabir Mashi, had on assumption of office, in April, charged both management and staff to up the ante and ensure that the progressive history of tax revenue collection by FIRS over the years does not drop. A look at the collection from the oil sources shows that N2.2 trillion was realised from both Petroleum Profits Tax (PPT) and Gas Income (GI). Similarly, non-oil sources yielded N568.85 billion collection from Companies Income Tax (CIT), Capital Gains Tax (CGT), Withholding and Stamp Duties within the period.

NEITI begins audit of oil data payments

HE independent audit of the oil and gas industry by the Nigeria Extractive Industries Transparency Initiative (NEITI) begins on Thursday. According to a statement by the Director, Communications, Dr. Orji Ogbonnaya Orji, the Audit is investigating all payments streams made by oil companies against receipts by government agencies into the Federation account from 2009 to 2011. The audit, he said, will examine the basis for computation and calculation of those payments, fees, taxes, royalties owed by companies and what government receives, the process of remittance into the federation account. The NEITI audit 20092011 also covers investment flows involving governments’ payments by way of joint venture investments, loans, including repayments procedure, equity investments, cost and profit oil

From John Ofikhenua, Abuja

transactions. This involves downstream businesses such as subsidy payments. As part of the process of the audit, all government agencies, oil and gas companies participating in the NEITI audit process are to appear before the auditors to validate all payments made by companies against the receipts declared by relevant government agencies for the period under review. The process which begins from September 19 and ends on September 28 will involve reconciliation of payments made by companies with raw data collected by NEITI independent auditors. Over 30 oil and gas companies including Shell, Mobil, Chevron, Conoil, Addax are part of the audit. The government agencies include NNPC, CBN, Department of Petroleum Resources (DPR), Federal In-

land Revenue Service (FIRS), Office of the Accountant General of the Federation (OAGF) among others are required to participate in the exercise which is statutory and obligatory. The reconciliation and validation exercise includes verification of system documentation on crude production and financial flows with regards to payments and receipts of such flows by relevant government agencies on behalf of the federation during the period. “All companies and government agencies involved in the NEITI audit process are also expected to return outstanding templates completed with required information and data to the auditors. During the exercise, a team of experts from NEITI and the independent auditors will be at Best Western Island Hotel, Lagos venue of the reconciliation exercise to guide the process,” the statement said.

‘Nigeria needs new constitution’ LAWYER, Mr. Ajibola Basiru, has stressed the need for a new constitution for Nigeria to replace the flawed 1999 Constitution. He said: “Nigeria needs a radically different constitution, which the ruling party, executive and National Assembly lack the sincerity of purpose to pursue. Yet, to alter national drift, certain fundamental provisions have to be put into the constitution”. Basiru, who is the Osun State Commissioner for Special Duties and Regional Integration, told reporters in Osogbo, that the envisaged constitution should return

By Emmanuel Oladesu

the country to the parliamentary system to cut down the cost of governance. He said, presidential system has created a large government bureaucracy at the federal, state and local levels, wondering whether the system is sustainable. The commissioner added: “We have 36 legislatures at state level which have to be serviced by the resources. We have 36 bureaucracies or civil service. We have the judiciary. we have the executive councils. In Abuja, you have more than a hundred commissions, agencies, bi-cameral legislatures

with huge budget. All these monies could be used for development. There is corruption in Nigeria, but more hindrances to development come from the cost of running the existing structures. “We need to return to regionalism. The old Western Region has been broken into eight states. The executive that time was not more than 20. How many commissioners, special advisers and special assistants do we have in those states now? We have the same thing in other states. You spend about 80 per cent of the resources on servicing the bureaucracy. This is a disincentive to development”.

PDP group hails NWC over Fayose’s return

GROUP within the Ekiti State chapter of the Peoples Democratic Party (PDP), the Unity Group, has lauded the party’s National Working Committee (NWC) for last week’s readmission of former Governor Ayodele Fayose. The Unity Group’s Secretary, a former member of the Ekiti House of Assembly, Gbadebo Ibuoye, described Fayose’s return as “apt, in the right direction and very timely.” Ibuoye, a lawyer,

observed that the return of Fayose is symbolic and it would strengthen the party in the Southwest, particularly in Ekiti, recalling that the development was received with jubilation. “It is an undeniable fact that Fayose is an asset and a force that cannot be ignored in the politics of Ekiti, particularly within the PDP,” Ibuoye said. The group’s secretary urged the NWC to do the same in all states, by re-

absorbing those mobile, grassroots politicians, who have been edged out unnecessarily. Ibuoye also implored the NWC to do everything legitimate to bring back former Governor Rashidi Ladoja of Oyo State, as part of efforts to reposition the Southwest ahead of the 2014/ 2015 elections. He called on members in the Southwest especially in Ekiti to work together and eschew division.

THE NATION MONDAY, SEPTEMBER 17, 2012

MONDAY, SEPTEMBER 17, 2012 TRUTH IN DEFENCE OF FREEDOM

VOL 7 NO 2,251

TODAY IN THE NATION ‘Definitely, it is not longer going to be business as usual. Once the INEC is committed to free and fair polls and all antics of the ruling PDP to subvert the electoral process curtailed, the humiliation that was the fate of the so-called PDP godfathers in the last Edo election may re-enact nationally’ EMEKA OMEIHE

C OMMENT & D EB ATE EBA

EFORE he became governor, Ogbeni Rauf Aregbesola always let the world know that he was a communist. That is yesterday’s ideology, even if North Korea and Cuba still latch on to the fragile and terminal gasps of the idea. Yet students of history know that communism saved capitalism after the Second World War. The welfare state enjoyed a rebirth when countries, especially those in Europe lying prostrate after the conflagrations, kindled a romance with the idea Marx and Lenin wrought. The liberal canons of democracy and free market became lost in the cloud when the ordinary citizen craved the heres and nows of food and shelter. The West, including the United States, strengthened the social buoy of the poor and vulnerable although the idea dated back to the years of German Chancellor Otto von Bismarck in the 19th century. That way, the countries kept the communists on the fringes while the Soviet Union glamorised the fantasy in the so-called Third world with champions like Cabral, Ortega, Lumumba and Castro. Yet, the capitalists could not deny the idea of compassion for the poor. You cannot joy in the spoils of capitalism while the poor gnashed their teeth. In The Secret Agent, Joseph Conrad observes that the condition for luxury and opulence is security. Long before either capitalism or socialism became organized ideas, Shakespeare expressed the philosophy of compassion in his play, Coriolanus: “that distribution undo excess and each man have enough.” What Ogbeni is practising in the State of Osun is not communism, but the beginnings of what the Western countries did to save their system: protecting the vulnerable. In his world, the vulnerable are those in the underbelly of a rabid capitalist system. They are the old who cannot earn any more money, the young and old who cannot get healing, the children too poor to afford books and food at schools, the disenfranchised business person who cannot get seed money to pursue the dreams of independence. They are the people whom Abraham Lincoln referred to as the reason for government: those who cannot stand well on their own. I had an opportunity to sit as an observer at the state of Osun’s executive council recently and observed the essence of his style. The meeting lasted about eight hours, and two main commissioners were asked to present their stewardships in the past two years. One of them impressed me: the deputy governor who also doubles as the commissioner for education, Titilayo

SAM OMATSEYE

IN TOUCH

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

The compassionate state

•Aregbesola

Laoye-Tomori. Its uniform and feeding projects in schools were the most telling. As LaoyeTomori showed in her power-point presentation, in the past year the inflow into schools had leaped from between 25 per-

HARDBALL

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cent and 30 percent. The students would now have school uniforms, spinning an industry and a jobs spur that locals are taking advantage of to tailor and provide the uniforms all over the state. This narrative is touching in that education is perhaps the greatest driver of development in the modern world. American dominance has been attributed to education as the supreme driver. The world we know today is American, whether it is the car, airplane, the internet, the cell phone, the ipad, the movie, the suburb, the radio, television, the electric bulb, etc. They did it because they drove innovation. It is a country that makes things because it knows things. The thousands of children in Osun who are abandoning idleness at home and on the streets for school are witnessing the greatest liberation: of the human mind. At one stage at the meeting, when he referred to the ambitious education programme, he burst into a Sunny Ade song “aiye nreti eleya mi o…”. He stood up in his characteristic soulfulness and some of his executives wafted along with him. It was a song of irony. It meant his detractors were waiting for his failure, but it was also a caution to his team not to disappoint. It costs N30 billion, the biggest project in the country. The tablet of knowledge, a computer that would have all the lessons and books for the students is a new thing, and the deputy governor said it was close to readiness. I anticipate that as it combines modernity with the potential for commerce and jobs.

The other point of compassion is Agba Osun, and it is not its N10, 000 a month to elders that so touched me as the medical system that provides treatment to the vulnerable, especially the elderly and handicapped, in their homes. This cannot work without having all of them in a data base, and the young of the OYES programme built the data base. This is what the youth are doing but interlopers, in their willful ignorance, said they are militias for secession. The state has obviously a mobile medical system where communication between the deprived and the caregiver is streamlined. It is not perfect, and I am not sure everyone has enjoyed this even if the government is impressed with what it has done so far. I recall, too, that in the number of intakes in schools, the deputy governor’s figures were questioned in one of the districts, if for a negligible discrepancy. What is being done for the elderly in terms of free healthcare in some states, like Lagos, Delta, Rivers, Akwa Ibom, Ekiti, will help improve life expectancy. But personalised care in Osun raises the stakes. A peep into his style was his conversation with the permanent secretary. Ogbeni had accused the ministry of not making an input into the education programme. It is a tribute to his open-mindedness that the permanent secretary was at ease to lash back in her courteous way. She said they actually offered their proposals but the governor did not implement. It turned out she was right. But ever the irrepressible Ogbeni with his tuft of beard, lean face, eyes alert, he asked the ministry to express the ideas and they were debated. I learnt that the Aregbesola administration in less than two years has convened more executive meetings than the seven and a half years of Oyinlola’s Gestapo era. After the U.S. won the war of independence, Jefferson accused President Washington of apostasy for creating an elite society with Alexander Hamilton when he set up institutions for a strong federal state. This tension led to the birth of the two-party system with Jefferson breaking away from the Federalists to form the Republicans that protected the weak. That tension exists today with those who believe that anyone who is poor and fails is necessarily lazy. Philosopher Herbert Spencer says welfare institutionalises indolence. From the droves of children going to school in Osuns now, we know that is not true. It takes an Ogbeni to prove that.

•Hardball is not the opinion of the columnist featured above

Why did it take EFCC so long?

R Chibuike Achigbu, the intriguing man who some reports described as an oil magnate, was on Saturday granted administrative bail by the Economic and Financial Crimes Commission (EFCC). The businessman had launched himself into the thick of the controversy swirling around the $15 million alleged to have been offered as bribe to Mallam Nuhu Ribadu by the former Delta State governor, Chief James Ibori. In late August, Achigbu had gone to court claiming ownership of the money, which he said was not a bribe but money pooled together by influential businessmen as donation to the ruling Peoples Democratic Party (PDP) for the 2007 elections. He named Senator Andy Uba as a witness and hoped the legislator would corroborate his account of the transaction, which he said was conducted in the senator’s Abuja residence. While Uba admitted knowledge of the transaction, he balked at going into details, saying he knew nothing beyond the fact that his residence was used merely as venue of the transaction. But for reasons he would not disclose, Achigbu withdrew the case from court as intriguingly as he filed it. But by then it was too late. The cat had been let out of the

murky bag. For soon after, Festus Keyamo, a legal practitioner, applied to court for an order through Direct Criminal Complaint procedure to compel the Inspector-General of Police (IGP) to investigate all those involved in the bribery saga. An Abuja Chief Magistrate Court gave the order and asked the IGP to report back on September 26. All these manoeuvres, of course, have nothing to do with the main case itself which is still before a Federal High Court in Abuja where the federal government is battling to legitimise its queer status as receiver of alleged stolen money, and Delta State is latching on to the allegation made by the original beneficiary, Ribadu, to claim ownership. Along the line, however, the EFCC on Thursday waded into the legal fracas and arrested Achigbu as part of the agency’s investigation of the bribery saga. It is not known whether they will pick up Uba, also as part of the investigation. Hardball, readers will recall, had repeatedly suggested the case was a very simple open and close one. All the authorities needed to do, he argued, was haul all the people mentioned in the transaction to court, particularly Ribadu and the man he sent to collect the

money, Mr Ibrahim Lamorde, who happens to be the current EFCC chairman. Surely they couldn’t have become so amnesiac as not to remember how the exchange was done and the discussions that led to it. Why complicate a clear case, a puzzled Hardball queried? It has taken EFCC an awful long time to wade into a matter it ought on its own to have tackled effortlessly and even routinely. But better late than never. The public must indeed hope that the agency will really get to the bottom of the controversy. After all, Lamorde is available to be interrogated by the agency’s operatives, and Ribadu is still alive and kicking. It must also puzzle everyone that it had to take a court order to compel the police to live up to their responsibility. It is expected they will buckle down to it. However, like the EFCC, the police should have taken a natural interest in wading eagerly into a matter that is clearly within their purview. If the country has come to such a pass that outsiders and the courts now think for public officials, well, so be it. Think for them we will; and as frequently as are required to snap them out of their self-imposed paralysis.

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