Tuesday 27th September 2016

Oyegun: I Will Not Join Issues with Tinubu on Ondo Primary Onyebuchi Ezigbo in Abuja and Adibe Emenyonu in Benin City The National Chairman of the All Progressives Congress (APC), Chief John OdigieOyegun said yesterday that he would not be drawn into a war of words with one of the National Leaders of the party, Senator Bola

Ahmed Tinubu, over the allegations levelled against him by the latter on the Ondo State governorship primary until after the governorship election in Edo State.

Tinubu on Sunday took a swipe at Oyegun over the

outcome of the Ondo State governorship primary of the APC, declaring that the chairman must step down for rejecting the report of the Appeal Panel set up by the party to review the outcome of the primary

in the state and instead submitted the name of Mr. Rotimi Akeredolu (SAN) as the governorship candidate of the party to the Independent National Electoral Commission (INEC).

Oyegun who spoke in

Benin City, the Edo State capital, said: “Asiwaju is a well respected leader of the APC and as such, I cannot be heard speaking evil against him,” adding that he had to consult properly with other leaders of the party

Naira Now N445/$ on Parallel Market… Page 8

before making any definite statement because “you know we have a crucial election here in Edo which is my priority right now”.

According to Oyegun, “I don’t want to lose focus and I know Asiwaju also wants us to win because we all worked Continued on page 8

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Buhari Not Keen on Asset Sale, For Soludo, It Will be a Historic Mistake NLC threatens nationwide protest AfDB announces $2bn support facility Tobi Soniyi andPaul Obi inAbuja and Obinna Chima in Lagos As the debate over the proposed sale of national assets rages, THISDAY can exclusively confirm that President Muhammadu Buhari is not in the least bit keen on the disposal of Nigeria’s strategic assets as a means of shoring up foreign exchange reserves

and/or ending the economic recession in the country.

Buhari’s position which he has kept very close to his chest, came to light just as a former Central Bank of Nigeria (CBN) Governor, Prof. Chukwuma Charles Soludo, faulted the proposal that has been flaunted by members of the federal Continued on page 6

FG Ends Appointment Drought, Names New Heads for 13 Agencies Olawale Ajimotokan in Abuja The drought of federal appointments receded yesterday, as President Muhammadu Buhari approved the appointment of chief executives for 13 parastatals and agencies.

A statement by the Director of Press, Office of the Secretary to the Government of the Federation (OSGF), Mr. Bolaji Adebiyi, indicated

that the president appointed Alhaji Usman Abubakar as Chairman of Nigerian Railway Corporation (NRC).

Others who got jobs in the fresh wave of appointments are: Princess Gloria Akobundu, named as the National Coordinator and Chief Executive of New Partnership for Africa’s Development (NEPAD); Mr. Ahmed Bobboi, Continued on page 8

Vice-President Yemi Osinbajo welcomes the President of the African Development Bank (AfDB), Dr. Akinwunmi Adesina, when the latter visited the VP at the Presidential Villa, Abuja… yesterday godwin omoigui

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PAGE SIX BUHARI NOT KEEN ON ASSET SALE, FOR SOLUDO, IT WILL BE A HISTORIC MISTAKE government’s Economic Management Team (EMT) and has received the blessing of the National Economic Council (NEC) and Senate President Bukola Saraki, among others, saying such a hasty auction of national assets could only benefit a privileged few with cash and access, while jeopardising Nigeria’s long-term economic interest.

According to sources very close to the president, Buhari would never sanction the sale of Nigeria’s strategic and allimportant national assets, but has elected to keep quiet over the issue so that he would not be accused of expressing his opposition to the notion, just like he did with the issue of devaluation.

One presidency source, who spoke to THISDAY yesterday, said what the president was focused on implementing, as a “quick fix” to get Nigeria out of recession, was on external borrowing for infrastructure projects.

He said: “The sale of national assets is not on the president’s radar at all. What he is fixated on is on borrowings and as you are aware the Federal Executive Council (FEC) recently gave the Federal Ministry of Finance approval to borrow $29 billion from external sources.”

Another source also volunteered that about $3 billion would be coming in from the China Exim Bank for the rail projects within the next few days.

He said this would just be one of several facilities raised by Nigeria to meet its funding gap for infrastructure projects, which is a sure way of ensuring that money trickles down into the economy and employment opportunities are created through the award of contracts.

He also faulted the proponents for the sale of national assets, stating that if due process had to be followed, it would take a minimum of two years to sell any of the assets and was therefore not a quick and certain route out of the recession.

Meanwhile, Soludo, who is the founder of the African Heritage Institution, expressed his opposition to the assets sale yesterday in an article titled: “Nigeria: Sale of Assets as Dangerous Policy Myopia”, stressing that if the president endorsed the proposal, it would be a historic mistake made by the country.

While commending NEC as well as the Senate for advising the president, saying times such as this require all brains at work and all hands on deck, the former CBN governor held the view that the proposal for the sale of national assets was based on a false foundation.

“Our thesis is that in extreme, exceptional circumstances, the sale of certain assets could be a last resort option but that Nigeria is currently not near that threshold and the institutional framework for its effective use is also not in place.

“Furthermore, we argue that any sale of assets now amounts to chasing pennies when by acts of omission or commission, we are losing pounds.

“Such a hasty auction of national assets can only benefit a privileged few with cash and access while jeopardising

Nigeria’s long-term economic interest. It will be a historic mistake for the reasons stated below.”

Soludo went on to express concern over the proposal to sell some valuable national assets “in order to build reserves and provide funds for immediate spending” and thus ensure that this recession will be the “shortest” ever.

He acknowledged that some people had bandied the same suggestion in the past but he largely dismissed it as a joke.

“But when the Senate and NEC joined the convenient but flawed call for the asset sale, I have a citizen duty to join others in letting our voice be heard.

“Part of the legacy of the oil resource curse on matters of public finance is a mindset that resorts to easy, albeit a lazy approach to ‘quick fixes’ — with a gaze on the short-term even when the issues are structurally long-term.

“So, I understand the mental framework that drives such a proposal, especially given the pressure to show immediate results,” he added.

He noted that the objective of the policy was mistakenly identified in terms of getting the economy out of recession.

According to Soludo, recession is short-term, adding that “with good rains and bumper agricultural harvest, Nigeria’s Gross Domestic Product (GDP) growth can easily recover and the economy would be out of the recession”.

Specifically, he pointed out that a GDP growth rate of even 0.01 per cent next quarter would be enough to take the economy out of the recession.

“What does this actually mean for the average Nigerian? Really very little! The fundamental issue to focus the attention of policymakers is that the economy has dramatically compressed by more than 50 per cent in US dollar terms.

“The GDP compressed in dollar terms from about $575 billion (as at the time this government took over) to about $252 billion currently— depending on the exchange rate used (currently estimated to be about third largest economy in Africa after South Africa and Egypt; with per capita income closer to $1,300 from over $3,000 in 2014).

“With the current policy regime, it will be a miracle if the current government can, after eight years in office by 2023, succeed in returning Nigerian economy just to the size of GDP (in US dollars) it met it in 2015.

“To be fair, the wheels of the economy were already falling off by the time this government took over plus other complications of the oil sector and I sympathise with it.

“But it is also fair to note that some of its policy choices have made matters worse. Now that the government is showing seriousness in tackling the crisis, focusing on short-term next quarter GDP growth misses the key point and has the danger of understating the serious work required,” he argued.

Furthermore, Soludo said there was little basis for the $10-15 billion being bandied around as likely income to be generated from the proposed asset sales.

He stressed that there was no basis for the expectation that shoring up reserves by this amount would magically restore investor confidence and stop speculation on the naira.

“There is more to investor confidence than a temporary boost in stock of reserves when everyone knows that the underlying political environment as well as the policy regime and its credibility make the flow of reserves unsustainable.

“The IMF calculates reserve adequacy in terms of the amount to finance at least three months of imports especially for countries with flexible exchange rates (which we claim to have), and of course also enough to cover short-term forex liabilities for countries with open capital accounts.

“Nigeria currently has much more reserves to cover even six months of imports (size of imports also depends on exchange rate). So, what is the problem?

“No amount of reserves can stop currency speculation in a poor policy environment. There is much more to confidence than absolute or relative size of reserves.

“Look around our West African neighbours that are doing far better in economic terms and check out the size of their reserves (even as a percentage of GDP).

“Until 2004, Nigeria never had more than $10 billion in reserves, and we have survived oil prices below $10 without selling Nigeria. The British pound has been down for months against major currencies since the Brexit vote in June, while China (with trillions of dollars in reserves) experienced major stock market and currency attacks recently and the Yuan had to be devalued.

“Before the 2008/2009 crisis, Russia had robust reserves but it lost tens of billions struggling to defend the local currency and eventually yielded to the market,” he added.

Continuing, Soludo noted that the argument that the sale of assets remained the only way to reflate the economy out of recession was troubling, and “suffers what economists might call policy myopia or time inconsistency problem”.

He added: “First, imagine if previous governments used asset sales as a strategy to ‘reflate the economy’ during previous periods of economic recession or crisis.

“Alternatively, if we auction away some valued national assets for the short-term goal of reflating the economy out of recession, what will happen during future cycles of recessions and economic crises?

“The global economic system is inherently and cyclically crisis-prone.

Prudently managed economies are preparing for the next cycles of global crisis, and the IMF has already warned of persisting vulnerabilities. What shall we sell then?

“Besides, a hasty auction of the assets will short change Nigeria. Privatisation of national assets is not an ideological matter for me. It is plain pragmatism. Reasonable people can have a good debate about the composition of public assets for sale at any time.

“Although government is yet to be definitive about the assets being proposed for sale, it is reasonable to object to any scheme that will hurriedly sell performing public assets that guarantee future flows of revenue and forex to future generations such as the NLNG, AFC shares, JVs in oil and gas sector, etc.

“Even for non-performing assets, when privatisation is forced and assets auctioned on an emergency basis to meet short-term needs, the danger signs are there for all to see.

Nigeria will never get value for money under the circumstance.

“We all know what happens when someone urgently needs to sell his or her property to meet an emergency. What happens to the valuation/ pricing? If we price them properly and wish to go through proper due process, the deal might take several years to conclude thereby defeating the advertised purpose of immediate spending.

“On the other hand, if we insist on forced sale because we need cash urgently, we might as well imagine how the valuation will be done and how buyers will bid for them.

“In all, the proposal is largely self-serving and convenient.

For some privileged private sector operators with cash and access, the temporary rump up of reserves as well as temporary strengthening of the naira will enable them to take whatever forex they can get (at the official rate) knowing that it is just a temporary elixir.

“They can then round-trip same a few weeks after and rake in billions. Furthermore, the attempt to sell valuable national assets under duress guarantees these same interests to cherry-pick the assets on the cheap.

“For our Senators and government, it is very convenient in the sense that it provides easy money to continue with the expenditure trends.

So, for both government and its private sector collaborators in this scheme, it is a win-win.

The only losers are Nigerians and the economy.

“In this apparent shorttermism or myopia, no one seems to care about tomorrow.”

NLC Threatens Protest Also restating its opposition to the proposed sale on national assets, the Nigerian Labour Congress (NLC) said yesterday that plans were afoot to declare a nationwide street protest across the country to oppose what it called reckless auctioning of the nation’s commonwealth to a “coterie of capitalists and government’s close associates”.

The proposal has attracted severe criticism from Nigerians, with many accusing the Muhammadu Buhari administration of attempting to sell off Nigeria’s national heritage to political cronies.

Speaking to the press in Abuja, NLC President, Mr. Ayuba Wabba, claimed that the clamour by the Buhari administration for the proposed sale of national assets was a complete IMF prescription, where the interest of Nigerians was being tinkered with.

He argued that these prescriptions ranged from

“devaluing our currency, to the removal subsidy on fuel and increase in the pump prince of the commodity, while the fourth leg is the sale of our strategic assets”.

“It is the same approach and nothing has changed, it is the same prescription, it is the same advice that IMF comes calling with,” he charged.

Wabba said there was no iota of truth and sincerity in the notion that the sale of national assets would improve the economy and bring about the desired change which many Nigerians are looking for.

He added that the purported plan to trade off Nigeria’s national assets to some few individuals and the business class with links to the government, was an attempt by those who nakedly robbed Nigeria dry to buy off the nation through the back door.

“The Panama Papers leaks which up till now have not been investigated. But in other states (countries), it has been investigated and the veracity of the allegations have also been proven.

“I think because certain individuals who are also now canvassing that our national assets must be sold, I think that is why these issues have not been investigated. We are demanding that those issues must continue to be investigated.

“Therefore, transferring our commonwealth to the ownership of a few will further impoverish all of us.

I think it is high time even for government to try to take stock of all enterprises that have been privatised before now to ascertain their state.

“What comes to mind is the power sector, which was privatised for over three years. I am sure that all of us will agree that no value was added. Instead they have been exploiting Nigerians.

“We have been paying bills upon bills that cannot be justified. Even to provide meters, has nearly been difficult even with the pronouncement by the court that they must reverse the tariffs, it has certainly not received any attention,” Wabba stated.

The NLC president contended since previous privatisation programmes had failed woefully, there was no need to sell the country’s national assets, stating that “these are clear avenues where such instances have been used to undermine our commonwealth and also s few people have actually taken over those very strategic assets”.

“We are therefore restating our position that we are opposed to the sale of those strategic assets in whatever guise in order to try to address the challenges in the economy.

“We say this very patriotically, and we say this with the best of intentions. I think the consequences would be more dangerous if we don’t take the necessary steps now to protect those important national assets.

“It would also not serve any public good if those assets found themselves in the hands of a few.

“The point has also been made that a lot of people have stolen more than enough and they are stocking these

resources elsewhere, so they want a situation where these illgotten wealth can be repatriated back. And they would pay our common patrimony and therefore use the same funds to get ownership of these critical resources.

“I think as citizens we have a responsibility to protect these assets for our generation and even for generations yet unborn. This is our position, and therefore we are going to engage this issue on three fronts.

“One, through the work of this important committee of the NLC, the second one, is also the labour way, both on the streets canvassing that this policy should not be allowed to stand.

“Where possible also, we are going to engage our very progressive lawyers who between last week and today, more than twenty of them have reached out to us to say that there is also a legal angle to the argument that they would be ready make,” he disclosed.

Wabba urged Nigerians to brace up to this challenge and ensure that their national heritage is not auctioned to a few connected individuals.

“All of us must stand up to try to make sure those issues are not allowed to go the way very few are canvassing for.

“It should be for the benefit of all of us. We are not only saying no, we have also canvassed for some options that we think if they are followed logically, it is going to help us.

“We can learn one or two things from this. Because, clearly, the major problem in Nigeria is that only the poor and the working class are paying the correct taxes.

People evade tax and I think clearly the Panama Papers leaks have shown us what has been happening.

“In fact, Nigeria is a tax haven. And I think that has been collaborated further by the Thabo Mbeki report or the AU report on illicit financial flowd out of Africa.

“That report said conservatively about $50 billion is taken out of Africa annually through tax dodging, tax evasion, and deliberately by people given waivers.

“And we know those who are benefiting from the waivers that have put us in this situation. So it must be situated within our argument that we have a lot of options that can be addressed and situated within Continued on page 8

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Naira Now N445/$ on Parallel Market Obinna Chima The naira sustained its decline on the parallel market as it slipped to N445 to the dollar yesterday, lower than the N440 to the dollar it closed on Friday as pressure and activities of speculators continued to hurt the nation's currency.

But on the interbank FX market, the spot rate of the naira depreciated marginally to N308 to the dollar, as against the N307.79 to the dollar it closed last Friday.

The President, Association of Bureau De Change Operators of Nigeria (ABCON), Mr. Aminu Gwadabe, argued that the current rate of the naira on the parallel market was not a true reflection of the value of the currency. He also attributed the development to the activities of speculators.

According to him, the situation in the parallel market was being driven by speculators taking advantage of the poor implementation of the Central Bank of Nigeria

(CBN) policy requiring banks to sell dollars to bureau de change (BDC) operators.

Some currency traders also said the demand from parents buying dollars to pay school fees abroad was exerting pressure on the FX market.

To analysts at CSL Stockbrokers Limited, the effects of low oil prices and production disruptions are having significant impact on dollar receipts by the country.

"Looking more closely at how the two are working in

tandem will provide greater insight into dollar inflows into the country on a daily basis and what this means for dollar liquidity in the market. By multiplying daily production data by average crude oil prices, we derive a basic idea on the amount of hard currency flowing into the economy on a daily basis from the oil sector.

"For example, in August, OPEC reports that average daily production was 1.4 million barrels while the Brent

crude prices averaged $47/ bbl during the month. We can therefore roughly calculate that the value of Nigerian production was $67.7m per day in August on average.

"It would be too simplistic to use this as the amount of oil dollars flowing into the economy (because actual prices are based on pre-agreed contracts rather than spot prices and not all revenues will flow back into Nigeria) but we can get an idea of the trajectory of oil dollar flows

and their levels relative to history.

"Many observers are questioning why foreign investors have not returned to the market in droves. One likely explanation is that the low value of oil production means that liquidity on the interbank market remains low and foreign investors remain fearful that liquidity will not be available when they decide to exit the market," Lagos-based CSL Stockbrokers Limited added in a note.

we cannot resolve this crisis now, we may never be able to resolve it,” he said.

Frank, who had earlier alerted the party members to the brewing crisis in APC, said that things had now reached a stage whereby the president could no longer continue to remain silent on the things going on in the party.

He said the president must step forward to get the party to summon the NEC meeting in order to look into the allegations made by Tinubu as well as other problems heating up the polity.

According to Frank, if nothing was done urgently to arrest the situation in Ondo State, things might get worse and the party might lose the governorship election in the state.

“I am calling for an investigation of the whole process of the primary election in Ondo,” he said.

He threatened to mobilise members of the party to demonstrate against the Oyegun-led leadership if after 14 days the party had not

summoned a NEC meeting.

“I want to use this medium to appeal to Mr. President because it has gotten to a situation where he can no longer be silent on the party’s internal issues. The president must speak out and save our party. He is the leader of the party and must not leave the party in the hands of these people that cannot resolve one crisis.

“Every party member is loyal to the president and he should see the need to immediately call for an emergency NEC meeting to enable us come together and look at these allegations.

“They are not just mere allegations, but very critical ones which must be looked into by the party and a position taken.

“If we don't do something, even APC supporters in Ondo State will sabotage the process for us because they are not happy. We must do everything possible to bring every aggrieved person together.

If we don’t take emergency steps to resolve these issues, we will have ourselves to blame.

“I am giving Oyegun 14 days from today to convene a NEC meeting. If he fails to do so, I will mobilise members to demonstrate at the secretariat.

I have started mobilising NEC members to ensure that the APC leadership is made to do the right thing and summon a NEC meeting.

“Today, God has practically vindicated me in my struggle to save my party the APC. It is very clear that I was one of the first persons in the

party who took the bull by the horn and said there are issues and a brewing crisis in the party. Then, I was alone as nobody saw where I was coming from.

“This crisis started when the issue of the National Assembly came up and I foresaw it then because of the decision the party took at that time against their party members, especially against the Senate President and Speaker of the House of Representatives.

“I foresaw the danger at that time when the party closed its eyes to the injustice against these two persons at that time. I came out to shout and nobody listened to me.

“When my immediate boss, Alhaji Lai Mohammed, left to become the Minister of Information, I was supposed to step into his shoes as acting National Publicity Secretary of the party, but they fought me for their own selfish interests because they knew that I am one person who will not allow them to do certain things.

“They deprived me of performing my duties and assigned my job to themselves, saying only Oyegun and the National Secretary can speak for the party. How is that possible in a political party that wants to allow justice to prevail?” he demanded to know.

Frank lamented that the APC was currently troubled in many states, with a plethora of unresolved issues leading to a crisis of confidence, which he warned have the capacity to cripple the party ahead of the 2019 general election.

OYEGUN: I WILL NOT JOIN ISSUES WITH TINUBU ON ONDO PRIMARY hard for this. So may be after the election if there is need, I will speak if there is no need, I will relax.

“But all I can say now is that most of the things said in the papers about me are not true. I have always believed in internal democracy, that the credibility of primary must be taken seriously.”

He added: “I believe that if the primaries of parties are not credible, it may derail any democracy, so I don’t play with these things at all. Everybody knows me and I don’t joke with my credibility and I have tried to maintain it.

“Like I said, Asiwaju is our leader and we all hold him in high esteem, so I will never join issues with him.

“But may be after the Edo elections, after we must have emerged victorious, we may speak on some of the issues raised. So there is no problem at all.

“Edo is the focus for now and as you know this is my state, so it is a very serious election for us. So I want to

be allowed to remain focused; then after the election we can speak.”

However, Tinubu’s call for Oyegun’s resignation was backed by the estranged Deputy National Publicity Secretary of the APC, Mr. Timi Frank, who described it as a vindication of his earlier position that the Oyegun leadership had fallen short of expectations.

Speaking at a press conference in Abuja yesterday, Frank said that based on the weighty allegations made by the former Lagos State governor, he was urging the party leadership to immediately convene an emergency meeting of the National Executive Committee (NEC) to wade into the crisis generated over the conduct of the Ondo State governorship primary, among other nagging issues.

He said Oyegun’s leadership had not been able to resolve a single crisis since its inception.

“Based on this weighty allegations from our national leader and founding father

Oyegun of the party, I want to restate my earlier position that we must call for an emergency NEC meeting.

“If Oyegun knows that he has nothing to hide and that whatever Tinubu has said about him is not true, I am challenging him to immediately call for an emergency NEC meeting to enable us come together face to face and look ourselves in the face and tell ourselves the truth and see how we can resolve this internal crisis. If

BUHARI NOT KEEN ON ASSET SALE, FOR SOLUDO, IT WILL BE A HISTORIC MISTAKE this argument,” he said.

The NLC president also called on the government to address the missteps in “fiscal and monetary policies”, adding that these policies need to be aligned because at the end of the day, the new forex policy has made some people millionaires, “so these policies have not worked effectively”.

He added: “Critically, there is the need to use available resources to drive the process of development, especially looted funds; we must put them into the manufacturing sector and other critical sectors of the economy where economic activities can pick up instead of using them to buy expensive cars or using them to sponsor exorbitant trips abroad.”

NLC Secretary General, Dr Peter Ozo-Eson, also said that the NLC committee which would serve as a think-tank for the labour unions, will be charged with not only addressing the wrong-headed attempt to sell national assets, but to advice organised labour on the economic policies of the administration and how to tackle them.

Members of the committee include former ASUU President, Dr. Dipo Fashina, Prof. Toye Olorode, Dr. Aminu Muhammed Aliyu,

Dr, Muttaka Usman, Dr. Isaac Nwaogwugww, Dr. Yemisi Bamgose, Mr. Isa Aremu, Mr. Sonny Atumah, Dr. Peter Ozo-Eson and Ms. Hauwa Mustapha.

AfDB Announces $2bn Support However, as Nigeria tinkers with measures to boost its foreign exchange reserves, the African Development Bank, (AfDB) yesterday announced its $2 billon development support for Nigeria, assuring the country that assistance was on the way.

The bank’s president, Dr. Akinwunmi Adesina announced the Bank’s facility to the country at a reception for him at the State House, Abuja

by President Buhari, who told him that in spite the prevailing odds, Nigeria was capable of surmounting its debilitating economic challenges.

According to Adesina, AfDB’s package included $1 billion as a budget support facility, $300 million to create jobs for 185,000 youths, $250 million towards the Northeast’s rehabilitation, $1 million grant to deal with the challenges of internally displaced persons (IDPs), $300 million for infrastructure development around Abuja,

and $200 million for the Transmission Company of Nigeria (TCN), among others.

Expressing delight with what he called “President Buhari’s push agains corruption and his stance on governance”, he said building institutions was critical.

To achieve that, he said ADB would give a total of $4.8 million as grant for institutional support, with the Economic and Financial Crimes Commission (EFCC) getting $2 million, and $1 million to Independent Corrupt Practices and Other Related Offences Commission (ICPC).

“You can always count on my support and that of the ADB,” he concluded.

Welcoming the AfDB president, the president said Nigeria had the people and the resources to surmount her economic challenges, explaining that what was required was hard work by the policy makers and the generality of Nigerians.

“God has given us people and resources. It will take hard work on our part, but we will make it. We will get out of our problems. We are determined to produce what we eat, and stop importation.

We will also chase those who stole, and get them to refund," he said.

Buhari conveyed the gratitude of Nigerians to AfDB, assuring the Nigerianborn Adesina, who was the immediate past Minister of Agriculture that the country would rebound and not let him down.

The AfDB also used the opportunity to express his gratitude to Buhari for the support the country gave him when he ran for Bank’s presidency over a year ago, making him the first Nigerian to occupy the position since the Bank was established in 1964.

He also lauded the president for the successes recorded in securing the country, particularly the North East, adding that “there can be no development without adequate security”.

Adesina described recent economic decisions taken in the country as “bold, tough, uncomfortable, but right”, expressing confidence that Nigeria would reap the dividends in the short and long run.

“You can count on the AfDB as a true friend of Nigeria.

You should support massive investment in infrastructure, and we are here to also support you. Closing the infrastructure deficit will enable growth, and create employment. Nigeria is too big to fail,” he said.

FG ENDS APPOINTMENT DROUGHT, NAMES NEW HEADS FOR 13 AGENCIES Executive Secretary, Petroleum Equalisation Fund (PEF); and Mr. Mamman Amadu, Director General, Bureau of Public Procurement (BPP).

According to the OSGF, the president also appointed Mr. Joseph Ari as Director-General, Industrial Training Fund (ITF); Ms. Sharon Ikeazor, DirectorGeneral, Pension Transitional Arrangement Directorate (PTAD); Dr. Isa Ali Ibrahim, the Director-General, National Information Technology Development Agency (NITDA); and Mr. Osita Aboloma, Director-General, Standards Organisation of Nigeria (SON).

Mr. Simbi Wabote was named the Executive

Secretary of Nigerian Content Monitoring Board (NCMB), while Mr. Umana Okon Umana becomes the Managing Director, Oil and Gas Free Zone Authority.

Ms. Sa’adiya Faruq is the new Federal Commissioner for National Commission for Refugees, Migrants and Internally Displaced Persons; while Ms. Yewande Sadiku will hold sway as Executive Secretary, Nigeria Investment Promotion Commission (NIPC).

At the Petroleum Technology Development Fund (PTDF), Dr. Bello Aliyu Gusau got the president’s assent as the Executive Secretary of the agency.

TUESDAY, SEPTEMBER 27, 2016 • T H I S D AY

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NEWS

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

Edo Election: IG Orders CP to Enforce No Vehicular Movement Charges officers to be apolitical PDP urges police, INECto be neutral Onyebuchi Ezigbo and Dele Ogbodo in Abuja The Inspector General of Police (IG), Mr. Ibrahim Idris, has directed the Edo State Commissioner of Police, Mr. Samuel Adegbuyi, to enforce the restriction of all vehicular movements from 12 midnight today to 6p.m. tomorrow, during which the state governorship election would have been concluded.

He however said the restriction did not cover vehicles and motorists involved in essential duties, but must be properly identified and screened.

In a statement signed by the Force Public Relations Officer, Donald Awunah, said the IG is determined to ensure that the rescheduled gubernatorial election is conducted in an atmosphere of peace and security.

A statement added that Idris has also ordered the activation of the revised operation plan for the governorship election slated for tomorrow.

He said: “The revised election security operation plan will guarantee free, fair and credible election, secure electoral process, enable eligible voters exercise their franchise freely and voluntary, protection of election materials and officials, ensure adequate security before, during and after the election.

“In the same vein, protection of lives and property in the entire state will be of paramount importance. However, the police will be firm and decisive in dealing with any infractions of the law, actions and activities that constitute breach of peace and contrary to public order.”

For avoidance of doubt, the IG said the police would mobilise and deploy adequate resources and personnel to prosecute the election conclusively.

He said: “To this end, in order to achieve the expected outcome of credible election acceptable to all stakeholders,

the police will deploy25,000.00 conventional police officers and tactical teams which include: Police Mobile Force (PMF), Counter Terrorism Unit, Explosive Ordinance Disposal .Special Protection Unit, Force Animal BranchPolice Air wing (Aerial patro) Marine Police Unit, Riverine Patrol.

“This is in addition to the deployment of other sister agencies to ensure a robust security template for the election.

Also, police helicopters, gun boats, Armoured Personnel Carriers (APCs), police dogs and technical platforms will be deployed.”

The IG enjoined all police officers and officers of all sister security agencies deployed for the election to conduct themselves in the best professional manner, maintaining apolitical disposition and strictly adhering to the rules of engagement.

He warned them to refrain from any action that will jeopardise the existing peace and security in the state, adding that the Nigeria Police Force on its part will discharge its statutory functions effectively, unbiased and in accordance to the principles of democratic policing.

The Peoples Democratic Party (PDP) led by Senator Ahmed Makarfi, has asked the security agencies and the Independent National Electoral Commission (INEC) to ensure fair play during Wednesday’s governorship election.

The party urged voters in Edo State to ‘take the future’ and vote for its flag-bearers, Pastor Osagie Ize-Iyamu and Hon. John Yakubu as governor and deputy governor in tomorrow’s re-scheduled gubernatorial election in the state.

The PDP is re-iterating its earlier call for the people of the state to avoid the mistake of 2015 general elections and urged them to vote for the right candidate that will secure their future and rescue Edo State

Officer, Three Soldiers Killed in Ambush by Boko Haram 19 others injured, three terrorists killed Senator Iroegbu in Abuja The Nigerian military has lost an officer and three other soldiers with 19 others including three members of vigilante groups seriously injured in a Boko Haram terrorists ambush in Borno State.

The Director of Army Public Relations (DAPR), Col. Sani Usman, who confirmed this in a statement, said the troops of Operation Lafiya Dole on patrol from Maiduguri yesterday encountered an Improvised Explosive Device (IED) and ambush

between Miyanti and Dareljamal area of the state.

Usman said the ambush was cleared and three Boko Haram terrorists were killed by the troops.

He said the troops also recovered a machine gun, AK-47 rifle and some quantity of ammunition.

“Unfortunately, we lost an officer and three other soldiers, while 16 soldiers and t h re e C i v i l i a n J T F sustained injuries during the encounter,” he stated.

He also said the two v e h i c l e s t h a t e n t e re d t h e I E D w e re b a d l y damaged.

from high taxation, poverty, stagnation and hunger.

The party, in a statement signed by the Head of Publicity Division, Chinwe I. Nnorom, on behalf of thePDP National Publicity Secretary, Dayo Adeyeye, said the party is sure of victory in the forthcoming election in the state.

“Our party and standard bearers in the state are well prepared for the gubernatorial election coming up on September 28, 2016. Our message to the good people of the state is to ‘Take the Future’

and vote for Ize-Iyamu as the new governor for the state. We are also calling on them to avoid voting in the ‘recession team’ which will be a repeat of the mistake of 2015 general elections.”

The party advised INEC to maintain their independence and desist from actions that may jeopardise the election.

“We do hope that the electoral umpire this time is ready for the re-scheduled election and will do all things necessary towards conducting a free, fair, credible and conclusive election

without allowing any advantage to the government in power as this will portend danger for our fledgling democracy.”

Regarding the rumour of the All Progressives Congress (APC) importing people from other states with cloned voters’ cards to manipulate the electoral process, the PDP said: “It’s the duty of the IG to direct the Commissioner of police in the state to remain vigilant and should not allow the force to be manipulated by politicians.

“We are again very worried of the news that the APC has

imported machineries from neighboring states to disrupt the Edo State gubernatorial election. This ugly trend must stop and the state Commissioner of Police and other security agencies should rise to the occasion to forestall any breakdown of law and order during the election. “Finally, the PDP called on all its members, supporters and voters in Edo State to come out en-mass and ensure victory for Ize-Iyamu and John Yakubu to take the people to a greater future.”

TALK-SHOP ON BUDGETARY PROCESS

Sokoto State Governor, Aminu Tambuwal; Speaker, House of Representatives, Hon. Yakubu Dogara; Deputy Senate President, Senator Ike Ekweremadu; and Publisher of ORDERPAPER.NG, Oke Opia, at a conversation on reforming the budgetary process in Nigeria and formal public presentation of ORDERPAPER.NG in Abuja...yesterday Julius Atoi

Again, Another Judge Recuses Self from IPOB Leader, Kanu’s Trial Alex Enumah in Abuja The Federal High Court in Abuja hearing the case of alleged treason and felony against the leader of the Indigenous People of Biafra (IPOB), Nnamdi Kanu, has finally given in to the demands by his lawyer that the court recuse itself from the case following various accusations of bias and confidence levied against the court.

The trial judge, Justice John Tsoho, yesterday announced that the court was withdrawing from the case because of a petition against him pending before the National Judicial Council (NJC).

Consequently, the judge said he was returning the case file to the Chief Judge to be reassigned to another judge.

When the case was called up yesterday, Kanu’s counsel, Chuks Muoma, informed the court about a petition before the NJC against his rulings.

In the petition, the defendants are requesting that the judge be investigated over what they alleged to be conflicting rulings which Justice Tsoho gave on a motion for the protection of witnesses to be called by the

prosecution.

Kanu, in the petition written on his behalf by one Ifeanyi Ejiofor, accused Tsoho of breaching ‘Judicial Oath’ by taking an oral application from the federal government on a matter he had already ruled on.

Mouma, further advised that in the interest of justice to all parties, the judge should return the matter to the Chief Judge of the Federal High Court.

He said: “We are only asking the court to hand off the case because my client has lost confidence in this court.

“Following the development, all we are asking this court to do is to hand off the case pending the outcome of the NJC investigation.

“It would not be proper for the court to continue with this matter when investigation is ongoing. So in the interest of justice, we are asking the court to hand off the case.

“I would urge the court to transfer the matter, and I would also suggest that it be sent back to the CJ.” Mouma claimed that the court was acting in line with

the suggestion of President Muhammadu Buhari that Kanu was not going to be released under any circumstance.

Responding, the trial judge, in a short ruling, held that he has no interest in trying the matter, and as such, has no reason to be bias towards the defendants or breach judicial oath.

He however berated Kanu’s counsel for acting in an unprofessional manner, adding that as a member of the inner bar, the counsel has a responsibility to educate the younger counsel.

“You have an application and on what would I have ruled to transfer the matter?” Tsoho asked.

Justice Tsoho further held that since the defence counsel no longer have confidence in the way the court has handled the case, “it is only reasonable for the court to disqualify itself from further hearing the matter and went on to pronounce his desire to discontinue the case.

“Accordingly, this case is hereby forwarded to the Chief Judge for further re-assignment,” he said.

Kanu and two others, David Nwawusi and Benjamin

Madubugwu, are being prosecuted before the court on a six-count charge of treasonable felony, unlawful possession of firearms and other offences bordering on their agitation for secession of the Republic of Biafra from Nigeria.

Before this latest move, Kanu and his co-accused, at the last adjournment, had filed a motion requesting Justice Tsoho to disqualify him from the matter.

They had alleged bias in the manner he has so far presided over the trial.

The motion, though was not moved, the appearance of a new counsel, Amobi Nzelu, for the second defendant, Benjamin Madubugwu, forced the court to adjourned to yesterday as to provide him time to study the case file and arrive at a decision whether or not to alien with the motion seeking to disqualify the judge.

Also, the IPOB leader had earlier filed a similar motion against Justice Ahmed Mohammed, following which the case was transferred to Justice Tsoho.

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NEWS

Dogara, Ekweremadu, Tambuwal, Others Advocate Reforms in Budgetary Process House to set up c’ttee on budget reform Ndubuisi Francis in Abuja The Speaker of the House of Representatives, Hon. Yakubu Dogara; his immediate predecessor and current Governor of Sokoto State, Hon Aminu Waziri Tambuwal, and the Deputy Senate President, Senator Ike Ekweremadu, among others, have called for reforms in the nation’s budgetary process.

The reforms, they contended, were not only necessary to check the annual friction between the executive and legislative arms of government, but to ensure that the nation’s budgets are result-oriented.

They made the submission in separate remarks at the maiden “The Gallery Colloquium on Reforming the Budgetary Process”. in Abuja, where the Minister of Budget and National Planning, Senator Udoma Udo Udoma also sought for a departure from the debate as to who has what power between both arms, but to develop a practice and convention that works for the country.

Udoma added that what was, in his view, best for the nation was for all parties to work together in the national interest to ensure that Nigerians get the best possible budget.

Tambuwal, who was the chairman of the occasion, in his address, argued that it was clear that with the uncalled-for altercations on budgets between the two arms of government over the years required reforms in federal budgetary process to make it more lucid, inclusive and implementable.

“Part of the reasons why we have had problems with the budget over the years is the paucity of knowledge about the whole budget process. This type of conversation is therefore critical to the effort we must make to ensure that the budgetary process is accessible to all and encourages more participation in this crucial national issue.

“It is our firm belief that if more stakeholders, especially the major players in the process, can gain greater insight into the whole system of budgeting, and if the National Assembly as an arm of government can attain the dexterity demanded to examine the budgetary estimates submitted annually by the President, there will be less attrition and mistrust between the two arms of government.

“One of the problems we have in this country is the near absence of planning in our budgetary process. If at all we are interested in making progress in our efforts to reform our budgetary process, we have to begin to get our planning and budgeting right. Can you imagine from Rolling Plans and Annual Budgets through to Medium Term Expenditure

Framework (MTEF) and Annual Budgets, it has always been a routine?

“Our planning and budget design is executed without zeal and passion and it is similarly implemented without much national commitment. Perhaps that was why appropriations in this democratic dispensation have had a chequered history which is a common knowledge.

“This idea of inclusiveness should not only pertain to members of the National Assembly who are constitutionally mandated to perform oversights on the federal budget, but should include other arms of government, civil society groups, leaders of the private sector and private citizens. Everyone, in fact, must be allowed to contribute at every stage from the budget preparation, passage, implementation, supplementary or amendment stages.

Citing Section 81 of the 1999 Constitution,Tambuwal said: “The President shall cause to be prepared and laid before each House of the National Assembly at any time in each financial year estimates of the revenues and expenditure of the federation for the next following financial year.”This implies that a President is expected, at the very least, to present his budget before January 1 of the new year.

“There is a need to amend the constitution to make the president submit his proposals at least three months before the end of the preceding financial year so that the legislature can perform its vetting duties in time for the Budget to be operational

by January 1st. Indeed, it will be helpful if the National Assembly gets some kind of time frame within which it is expected to finish deliberations and return the budget to the President for assent.

Also in his remarks at the event organised by OrderPaper. ng. Ekweremadu, disagreed with the earlier submission of the Senior Special Assistant to the President on National Assembly Matters, Senator Eta Enag, that the practice in the parliament had been to delegate powers to the Appropriation Committee to oversee the Appropriation Bills to the final stage, adding that having spent 13 years in the National Assembly, such had never been the practice.

He argued that no responsible parliament would delegate such powers to a committee on an issue as critical as a national budget.

The Deputy Senate President, while supporting calls for reforms, said the process of putting a sound budget had been observed in the breach, adding that a situation where budgets are passed without holding public hearings was an aberration, and must be reversed.

According to him, summoning heads of ministries, departments and agencies of the government to defend their budget proposals was not tantamount to public hearing.

He also said it was necessary for the executive arm of government to submit budget proposals early to enable the parliament have enough time to interrogate the provisions contained in the document.

Ekweremadu said the constitutional provision, which allows the executive arm of the government to spend up to six months into a new year while awaiting the passage of a new appropriation was unhealthy, stressing that that was why the National Assembly felt there was the need to reduce the period by at least three months, to hasten the budget process.

This, he said, would make the executive arm to work towards early submission of annual appropriations to ensure early passage.

On the issue of whether on not the National Assembly should not introduce anything to budget proposals submitted by the executive, the Speaker of the House of Representatives, Hon. Yakubu Dogara, said it was not the design of the Nigerian Constitution to give the lawmakers powers to only reduce without the powers to increase.

He argued that those from the school of thought that the parliament should only reduce what is submitted but should not add were trying to copy the British parliamentary system, which Nigeria is not practicing.

According to him, the US Constitution, which Nigeria is copying allows for reduction, increase and alteration of budgetary proposals by the parliament.

Dogara said there was an urgent need for the review of the legal framework to ensure that annual budgets are submitted in time.

He also called for a broad development plan with clear objectives for the country with budgets patterned after the plan.

The Speaker also recommended that projects introduced into annual budgets should be thoroughly thought-through, while whimsical selection of projects should be jettisoned.

Dogara called for the amendment of Section 82 of the Constitution to reduce the time the budget of a preceding year is allowed to run.

The Speaker also called for full disclosure of the actual size of appropriation and revenue by the executive while advocating that the budgets of revenue generating agencies should cease to be attachments but part of the full budget.

T H I S D AY TUESDAY SEPTEMBER 27, 2016

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NEWS

NCC Rakes in over N47bn in Spectrum Sales in One Year Faults AGF’s office over payment of N80bn by MTN

Emma Okonji in Lagos and Dele Ogbodo in Abuja The Nigerian Communications Commission (NCC) has revealed that it generated over N47 billion from the sales and renewal of spectrum licences alone in the last one year.

The Executive Vice Chairman of NCC, Prof. Umar Garba Danbatta, who made the disclosure yesterday in Abuja during the celebration of his one year in office, said the commission generated the funds from various auctions and sale of spectrum licences to telecoms operators and Internet Service Providers (ISPs), as well as renewal in just one year.

“Through efficient monitoring and value-driven usage of spectrum for the provision of different types of services, revenue generation for the federal government through frequency allocation and renewal fees have improved from the previous years. More than N47 billion was realised in spectrum usage and licensing within the one-year period under review,” Danbatta said.

While listing the

achievements of NCC, through collective efforts in the last one year, in relation to the commission’s eight-point agenda, Danbatta said NCC encouraged the re-farming of previous frequencies in order to improve on their efficiency.

“Through the process, some service providers who were hitherto providing services on the 1800MHz spectrum band, have been allowed to re-farm and deploy services on the 4G LTE technology band. Through this, NCC has been able to revive some of the companies whose services have been hampered by the characteristics of the frequencies,” he said.

He explained that spectrum monitoring had improved to ensure sanity in the industry, and that NCC currently deployed four Anmtsu Spectrum Analysers, leading to more efficiency in radio spectrum monitoring.

Speaking on the commission’s achievement in the last one year of his administration as Executive Vice Chairman of NCC, Danbatta said broadband remained the fulcrum on

which the commission’s 8 point agenda stands, and that broadband penetration has improved from 10 per cent penetration in 2013 to 14 per cent penetration in 2016.

He said Nigeria would certainly meet up with the 30 per cent broadband penetration by 2018, as projected by the country’s National Broadband Plan.

He further quoted documents recently released by the International Telecoms Union (ITU) and the United Nations Educational, Scientific and Cultural Organisation (UNESCO), which states that the Nigerian mobile broadband penetration has reached 20.95 per cent.

He said one of the key ingredients for the successful implementation of broadband penetration is the availability of a robust regulatory framework, upon which an appropriate strategy could be based.

“We have been able to articulate a regulatory framework that will enable strategic and systematic licensing and deployment of broadband infrastructure across the country. A

broadband implementation and monitoring committee has also been established within the commission to give proper assessment on regular basis of broadband infrastructure deployment,” Danbatta said.

Addressing the issue of broadcast of unsolicited text messages to subscribers, Danbatta said NCC would continue to protect telecoms subscribers and ensure that appropriate santon is imposed on telecoms operators, who continue to ignore NCC’s directive on the broadcast of unsolicited text messages.

Danbatta reminded operators that the fine of N5 million still stands for any operator that violates the directive on unsolicited text messages.

Danbatta, Meanwhile, yesterday faulted the office of the Attorney General of the Federation (AGF) for not crediting remittances of N80 billion paid by MTN to the Federation Account through the Central Bank of Nigeria (CBN) Fielding questions from journalists at a media interactive session in Abuja, the NCC boss,

said the commission had written to the AGF’s office requesting that the money be credited to the commission’s account, from where it would be transferred to the consolidated revenue account of the federal government.

Asked on the status of the fine paid by MTN, he said: “Because the agreement was reached with NCC, we have written a letter to the AGF requesting that money be credited to the NCC account domiciled in the same CBN from where it will be transferred into the Consolidated Revenue Account of the federal government.

“MTN had indeed reached an agreement, we

call it amicable settlement agreement on which basis they will be paying N330 billion over period of three years.”

He admitted that MTN had since paid N50billion into an account domiciled at the CBN. Explaining further on the payment status by the telecommunication operator, he admitted that in addition to the N50 billion paid, they have also paid N30 billion.

The EVC said: “So this year, they have fulfilled their agreement on what they are supposed to pay. They have so far paid N80 billion out of N330 billion they are to pay. So that is the position at the moment.”

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NEWSXTRA

Abdulmumin’s Decision is His Defence, Says Ethics Committee Kano lawmaker shuns hearing Damilola Oyedele in Abuja The House of Representatives Committee on Ethics and Privileges has said the decision

of the former Chairman on Appropriation, Hon. Jibrin Abdulmumin, not to appear before it is a defence on its own.

Witness: How I Got N1.6bn from Jonathan’s Aide, Dudafa A witness in the ongoing trial of the personal assistant to former President Goodluck Jonathan on Domestic Matters, Warimpamoowei, Emmanuel Dudafa, yesterday told the Federal High Court in Lagos presided by Justice M.B. Idris how he received a total sum of N1,667,162,800 from the former presidential aide through five different companies between 2013 and 2015. The companies are Pluto Properties and Investment Limited, Avalon Global Property, Rotato Interlink Services, Seagate Property and Ebiwise Services Limited.

The witness, Murtala Bashir Abubakar made the disclosure when he was led in evidence by the prosecution counsel Rotimi Oyedepo and was asked to explain to the court his relationship with Dudafa.

The witness, a Bureau de Change operator, who plies his trade under three different companies, Na Mu Duka Ventures, Yamusa Oil Services Limited and 313 Ventures, informed the court that he knew Dudafa since the accused was a Commissioner for Local Government in Bayelsa State under the administration of Governor Timpere Sylva.

He further told the court that the only relationship between the two of them was that of forex, a relationship that continued

up to the time Dudafa became a personal assistant to Jonathan.

In explaining the nature of their transaction, the witness informed the court that Dudafa usually sent two of his staff, Festus and German with dollars in order to change same and deposit the naira equivalent into specific accounts provided

by Dudafa via text messages.

The witness disclosed those text messages he received from Dudafa on his Samsung mobile phone which he used to receive those messages from Dudafa.

The mobile phone, as well as Ownership Attestation Form were admitted and marked as Exhibits E and E1 respectively.

When asked whether all the instructions on how to disburse the money were received via text messages, Muratala said all of it but the last transaction in which Dudafa invited him to the Presidential Villa and handed him cash of $4,000,000.

The witness was confronted with exhibits A-B3 in which he identified all the transactions that transpired between himself and Dudafa from 2013 to 2015 both from his companies’ accounts and his personal account.

In the end of the examination in chief, the witness confirmed that all the dollars he received during the transactions in question, came from Dudafa.

Court Bans Kwankwaso’s Inscription on Public Buildings in Kano Ibrahim Shuaibu in Kano A Kano State High Court presided over by Justice Lawan Wada has granted an injunction restraining the use of his Kwankwasiyya inscriptions on public buildings in the state.

Kwankwasiyya is the political platform of the former Governor of the state, Rabui Kwankwaso.

Abdullahi Maraya Barkum, Hamisu Danwawu and Hassan Sani Indabawa who are the plaintiffs, had two years back slammed a case against the former governor in the state High Court challenging him to erase Kwankwasiyya signs on public buildings.

According to the writ of summons, the plaintiffs joined the former governor, Kwankwaso, his Attorney General and Commissioner for Justice and the state government as defendants, saying the law of the land prevents anybody from using public funds to promote personal ego of an individual against the collective interest

of public.

However, in the judgment delivered by Justice Lawan Wada, he ruled that all public projects executed or being executed by the 1st and 3rd respondents are done with public funds available to the 3rd defendants on behalf of all the people and persons of Kano State.

He granted perpetual injunction that using public funds to promote personal ego of any individual or private groups in any form is illegal, unlawful and unconstitutional.

The judge further granted an order of mandatory injunction compelling the defendants to remove the inscription of Kwankwasiyya on all public properties in Kano State forthwith.

Justice Wada also granted an injunction restraining the defendants from further inscribing the name Kwankwasiyya on all public properties in the state or where ever they may be grooved or inscribed.

This, the committee said, is despite acceding to his condition to make the proceedings open to the media and the public, and repeated assurances that there would be fairness and impartiality.

Abdulmumin shunned the committee sitting where he was scheduled to appear yesterday at 12 noon to respond to allegations of breach of privileges of members of the House and sundry misconduct.

The Kano lawmaker had said he would only attend the hearing if an assurance that the hearing would be open to the media and the public, was provided in writing.

He had also noted that he cannot receive fair hearing from the Chairman of the

Ethics Committee, Hon. Ossai Nicholas Ossai, who is an appointee of the House Speaker, Yakubu Dogara.

Abdulmumin, after his sack as Chairman of Appropriation Committee on allegations of abuse of the 2016 budgetary process, had accused Dogara, three principal officers, and nine committee chairmen of corruption and fraud.

He had released a tirade of allegations through the media.

The House had last Wednesday voted to refer him to the Ethics Committee for investigations.

At the hearing yesterday, Ossai noted that Abdulmumin had written the committee and disclosed his intention not to appear.

“In my communication to

him, I assured him that he would be given fair hearing.

This committee went out of its way to make this hearing public. We suspended our own rules to make this public because Nigerians need to know the process through which we arrive at decisions,” Ossai said.

“This committee was constituted without knowing who would appear before it.

Jibrin himself is a member of this committee, anyone of us can run into trouble.

As Chairman, if I run into trouble, then I would step aside for my deputy to try me,” he added.

Earlier in the committee had adjourned for 30 minutes to allow the Clerk, Mr. Bwala Iyankuzo, make efforts to

reach Abdulmumin.

The Clerk reported back that the lawmaker did not pick several calls made to his mobile or respond to text messages, while his office was locked.

The Senior Manager, News/ Corporate Services of Channels Television, Abuja, Ms. Yemisi Ipaye, was questioned on the authenticity of the clip of an interview granted by Abdulmumin on the station’s Sunday Politics programme.

Ipaye, who emphasised that she needed to consult with the station’s Headquarters, said the clip, which was played, appeared to be of Channels TV. The committee is expected to submit its report to the House tomorrow.

GREAT OLD BOYS

L-R: Senate President, Dr. Bukola Saraki; Chairman, Etisalat, Hakeem Belo-Osagie; Pastor, Trinity House, Ituah Ighodalo; and Managing Director, CMB Building Maintenance and Investment Company, Kelechukwu Mbagwu, at the 2016 King’s College Old Boys Association (KCOBA) Founder’s Day lecture in Lagos...weekend

Shiites Condemn Calls for El-Zakzaky’s Trial, Demand His Release Senator Iroegbu inAbuja The Islamic Movement of Nigeria (IMN) popularly known as Shiites Islamic sect has condemned calls for the trial of their leader, Sheik Ibraheem Zakzaky, over the role he played in the December 2015 clash with the Nigerian Army in Zaria, Kaduna State.

The President of Media Forum of IMN, Mr. Ibrahim Musa, in a statement yesterday, said rather than a call for his trial, the appropriate action is to release their leader who has been in detention since last year.

Musa said the attention of the group was drawn to an editorial by a national daily calling “for the trial of the leader of the Islamic Movement in Nigeria, Sheikh Ibraheem Zakzaky was made, instead of his outright release from illegal detention.”

“We wouldn’t have joined issues

with the newspaper, had it not been for the glaring contradiction in its stand on the Zaria massacre carried out by the army in December 2015,” he said.

For a start, Musa said the medium acknowledged that “Sheikh Ibraheem El-Zakzaky has been detained since the December clashes, apparently by the Department of State Services (DSS), and has not been charged to court for any offence for more than nine months.

According to him, this very clearly violates the constitutional stipulation that a person should not be detained for more than 48 hours before he or she is charged to court.

He stated: “From the foregoing, any person with clear conscience expects the newspaper to call for the release of the Sheikh not his trial. Any charge that couldn’t be brought forward within 48 hours

as stipulated by the Constitution is a trump up charge, talk less of after nine months.

“Having said that, it seems the reasoning of the writers of the Editorial was blurred by this assumption, ‘It was the Shi’ites’ blocking the path for General Tukur Buratai, who was on his way to attend the passing-out parade of the 73 Regular Recruits Intake of Depot, Nigeria Army, Zaria that led to the bloody clashes,’ as stated in the editorial. We insist there was never a road blockade of the Chief of army staff, General Buratai. What happened that day was that the general bumped into a conflict zone, since before he arrived, some soldiers stationed opposite our Islamic centre, Husainiyya, fired on members of IMN, killing seven instantly. Anybody passing that busy highway knew that we were not in the habit of blocking it whenever we have a religious

gathering at the centre for the past five years we have moved to the place. Moreover the programme scheduled for that day hasn’t even started when the COAS arrived.”

Musa alleged that “The socalled ‘road blockage’ was staged and used as a smoke screen to ‘stop the…Shia’ as mouthed by President Muhammad Buhari on Al-Arabia Channel, when he visited Qatar some months back. Even on this gimmick, the IMN cannot be victimised as sole offender. All religious, social and political organisations in their gatherings are ‘road blockers’ too.”

He opined that what happened within those tragic two days wasn’t a clash between the army and members of IMN, but “a clearly orchestrated attack on the movement by the army.”

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T H I S D AY • TUESDAY, SEPTEMBER 27, 2016

COMMENT

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

GETTING OUT OF THE ECONOMIC RECESSION Pedro Ukokobili argues the need to woo back investors

N

igeria is referred to as emerging market economy. An emerging market economy describes a nation’s economy that is progressing toward becoming more advanced, usually by means of rapid growth and industrialisation. These countries experience an expanding role both in the world economy and on the political frontier.

Emerging economies are new markets characterised with potential for bountiful harvests in return for investment made.

Nigeria economy is sustained by both internally generated resources and externally generated resources. The two sources of generation control Nigeria’s economy.

There are diverse schools of thoughts on the cause of Nigeria’s recession. Some school of thought believes Nigeria’s recession is caused by previous administrations’ inability to manage internally generated resources. Some believe Nigeria recession is caused by successive governments’ neglect of infrastructure. Some school of thought believes Nigeria’s recession is caused by dwindling price of crude oil globally and the Niger Delta militants’ incessant attacks on oil and gas facilities of government. Some school of thought believes Nigeria’s recession is caused by previous governments’ unwillingness to fight corruption and bribery across ministries, department and agencies (MDAs).

Some school of thought believes Nigeria’s recession is caused by lack of will to save for the rainy day by past administrations. Some school of thought believes Nigeria’s recession is caused by failure of previous administrations to diversify Nigeria’s economy from oil producing nation to agro-based economy. Some school of thought believes Nigeria’s recession is caused by government indecision to relinquish stated owned enterprise to private investors. Some school of thought believes Nigeria’s recession is caused by insufficient foreign exchange supply in Nigeria economy.

Some school of thought believes Nigeria’s recession is caused by Nigeria’s dependence on importation, being a net importer. All of the various schools of thought contributed in one way or the other to the present predicament. But are

THE CURRENT RECESSION IN NIGERIA IS CAUSED BY TWO PRINCIPAL FACTORS: NAMELY, LACK OF VOTE OF CONFIDENCE IN THE LEADERSHIP OF THE PRESENT ADMINISTRATION BY INTERNATIONAL INVESTORS AND SCARCITY OF FOREX SUPPLY IN THE NIGERIAN ECONOMY

they truly the main cause of Nigeria’s official recession? The answer is NO. The current recession in Nigeria is caused by two principal factors, namely, lack of vote of confidence in the leadership of the present administration by international investors and scarcity of FOREX supply in the Nigeria economy. It is these two chief factors that have ruined Nigeria’s economy and place us in recession. A greater percentage of Nigeria’s economy is run by organised private sector.

It is repatriation of externally generated resources (foreign portfolio investment) by international investors to their country that has shipwrecked our economy. In effort to try to tame and control internal generated resources waste by the present administration, many international investors lost confidence of the safety of their fund and hence pulled out their funds out of the system. It is therefore eminent that the causative agent of the current recession in Nigeria cannot be placed on dwindling crude oil price alone and the option of selling national assets is not in best interest of the Nigerian populace. The Punch Newspapers report (2016) revealed that NSE had put the level of participation by foreign investors at 51.57 per cent for January 2016. But by February 2016 the number of foreign portfolio investment dropped to 36.48 per cent in NSE. A recent weekend report of the same newspaper attested that Nigeria required $10 billion weekly to meet her Forex demand. If this is true, what amount of crude oil sales can the Nigerian government sell to meet her forex demand supply and how many government assets can we sell to meet our forex demand supply which is the bane of the cause of the current recession in the country? The way out of this situation is for the present administration to hire an international economist who can woo back investors to Nigeria and also hire an international public relations agency which can brand the image of the present administration in order to win investors’ confidence. This is the sure and appropriate measures that can bring us out of this current economic recession.

Ukokobili is a research analyst in Lagos

A CONFLUENCE OF COMMITMENT AND VALUE

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Rashida Bello, wife of the Kogi State Governor, is committed to the welfare of the people, writes Joseph Onaivi

he truth has always been self-evident in that age-old statement that encapsulates the true character of the human race. It’s a universal statement that the true person will present himself in living colour when he’s gifted with either enormous financial resources, power or both. While only a relatively few of the human species that has, or have had either or both of these privileges stay true to themselves and their very essence, therefore end up ennobling their societies and affecting positively their environments in particular and humanity at large, history is replete with a huge majority of this privileged few who debased their societies and trampled upon their people. They left their people and environments much worse off than they met them. They often failed to listen to those voices of reason until they came crashing down. Even with its inherent weaknesses, the human community is yet to find any viable alternative to democracy. As much as it can be utilised for mischief, democracy also has the capacity to bring out the best in people in the position of leadership in any human organisation. Mrs. Rashida Bello, the wife of Alhaji Yahaya Bello of Kogi State, may well fall into this latter category of people in political leadership.

In a society that asks very little and demands less from its politically exposed persons and other public officials, Mrs. Bello is unarguably among the new breed of the nation’s first ladies that demands more from herself without waiting to be asked. Even with the suddenness of her husband’s thrust into the state’s highest political office and thus the Number One citizen of the Confluence State, Mrs. Bello did not have to grope for what to do to add enduring value to her husband’s office. With the swift take-off of her pet projects, it was self-evident that she’s aware of her divine mission. It was just a matter of giving expression to the acorn seed already sowed in her by her creator to

become an oak tree. Therefore, rather than to simply bask in the euphoria that automatically comes with the office of the first lady, the wife of the governor hit her own ground running, to complement her husband in his efforts to lift up Kogi State from decades of socio-economic morass. She has already affected the lives of hundreds of thousands of the people of the state. As a woman of virtue coupled with an academic pedigree as an accountant, Mrs. Bello was acutely aware of what she wanted to do and knowledgeable enough to understand the modalities that must be emplaced in accomplishing the vision she had willed for her mission. Her vision for humanity in her dear state is that “the average woman in Kogi State must be healthy, economically stable as well as a participatory member in governance.” This may well be a variant of the women suffrage in the 21st century. This vision also includes the eradication of mother and child mortality rate as well as empower the youths of her state so that great leaders of tomorrow may emerge. It’s the kind of vision that exemplifies a more evolved woman who sees and acts beyond herself.

Perhaps it will be necessary to situate the philosophical underpinning of Rashida Bello in order to understand the trajectory of her works since she came into the public consciousness in Kogi State. Sometimes in April 2016, the wife of the governor released a press statement that reflected her deep thoughts and her power of intuitive perception. She said inter alia that “every society around the world depends on the productivity of healthy women. If women are not healthy, the society is not healthy.

It has become indisputable that no nation can develop without first developing the girl child to blossom into a responsible, empowered and resourceful woman.” Mrs. Bello went on to add that “healthcare is not all about drugs and other medicals, but the capacity to empower homes to provide healthy diets and quality living.” She said

she’s “prepared to work with women around the state to threaten the comfort of poverty in our dear state.” It was a profound statement that exemplifies not only the quality of her being, but also of her thoughts.

To demonstrate her preparation for the laudable tasks ahead of her Mrs. Bello established the Kogi Women and Youth Advancement Foundation (KOWYAF), a multi-purpose intervention vehicle that has already impacted the lives of the people of Kogi in all the 21 Local Government Areas of the state in less a year of its inception.

KOWYAF is the ‘vehicle’ that Aisha Buhari, the wife of the President of the Federal Republic of Nigeria found befitting and suitable for her Future Assured Initiative to partner with for donation and distribution of food items to widows and the less privileged in the state.

In the relative short period of time since her husband’s assumption of office Mrs. Bello had inaugurated three primary health centres in the three senatorial districts of the state. She had distributed customised exercise books to pupils in the primary and secondary schools in the state. Her organisation had embarked, and continues to train skilled women on how to grow and manage small businesses. Mrs. Bello hardly ventures out of the comfort zone of her husband, the governor, without some values added to the stations of the people of her dear state. She had visited both the General Hospital at Okene and the Specialist Hospital at Obangede. While she was at both hospitals, bills that probably would have given the already sick patients some migraine headaches after they might have been healed were paid by her. Mrs. Bello, in addition to this large-heartedness also gave stipends to the patients.

A meeting of politically powerful and that of royalty are not always known to include an extension of invitation to the less privileged of society to bask in the accompanied revelry. But during Mrs. Bello’s

courtesy visit to His Majesty Ado Ibrahim, the Ohinoyi of Ebira, a significant number of the state’s orphans and widows were also present. There she provided succour to these people. In furtherance of her belief that it is the value that one adds to the life of another that brings everlasting joy to both the giver and the taker, the wife of the governor celebrated her birthday not only with the high and mighty of her society but also visited two orphanage homes where food items and cash were given by Mrs. Bello.

During the universally recognised Children’s Day which was also marked in her state, she demonstrated her appreciation of the salute she received from the children during the celebration by awarding scholarships to 20 school pupils in conjunction with Zenith Bank, Plc. Hundreds of people of the Islamic faith also had reasons to thank their Creator during the last Ramadan for sending a kind-hearted Mrs. Bello their way when they received foodstuff. Other gift items also went round the 21 LGAs. What would perhaps stand

the test of time and a demonstration of the quality of her vision of all the laudable interventions of the wife of the governor that generations yet unborn are going to remember for decades to come was her June 19, 2016 audacious launching of a Road Walk.

The road walk, which will be on-going, is a unique form of physical exercise to create awareness and the youths about the dangers of sickle cell, a preventable disease that still afflicts a significant Nigerian population due to ignorance of their genotype before courtship and establishing families.

Mrs. Bello has once again blazed the trail in the Confluence State. She is setting up free genotype screening in secondary schools to let the youths and singles become aware of their genotype early before embarking on any relationship, let alone setting up families for procreation. These are some of the interventions of the wife of the governor that has become so impactful and hard-to-ignore in her dear state within a relatively short period of time. In Rashida Bello is a human confluence of commitment and value for the good governance of Kogi State.

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T H I S D AY • TUESDAY, SEPTEMBER 27, 2016

EDITORIAL POLICE AND INTERNAL SECURITY

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There is urgent need to reform the police for the difficult task at hand of crimes. But only a well-equipped and professional police can gather the close-to-the-ground information that is necessary for such exercise and where this crucial intelligence does not flow, as it is the case today in Nigeria, the system is endangered. What compounds the current problem is that the police have lost the trust of the people. That has led to a situation in which they do not get the necessary information they need from members of the public. For them to be effective in fighting crimes, they must begin to rebuild that trust.

rom fighting militancy and oil theft in the Niger Delta to containing Boko Haram insurgents in the North-east to dealing with armed robbery and kidnappings, it is as if we have taken the responsibility of internal security from the police and outsourced it to the army. And while the soldiers do the heavy lifting in the efforts to keep the nation safe and secure, many police officers are doing what are no more than guard duties, some of them even carrying bags for political office holders and their spouses.

Yet, to the extent that there is no way we can successfully tackle the current internal security challenge without factoring in the police, there is also the need for a reorientation if they are ever going to be able to fulfill their constitutional mandate.

For sure, the surest way to fight crimes remains equipping the police for the discharge of their onerous responsibility. But to do so effectively, the authorities must sit up to the challenges of a global security THE BEST APPROACH system where highTO FIGHTING CRIMES tech fighting techREMAINS EFFECTIVE niques as well as INTELLIGENCE GATHERING intelligence sourcTHAT NOT ONLY HELPS ing of information IN PRE-EMPTING AND provide a basket of reliable and result DISRUPTING CRIMINAL oriented strategies.

ACTIVITY BUT IS ALSO What that means in INDISPENSABLE FOR THE INVESTIGATIONS OF effect is that there is an urgent need CRIMES to reform our police for the difficult task at hand. As the situation is, what the polity can boast of at present is a police force that is easy game for a more sophisticated world of crime. This is not good enough for the nation.

At the risk of sounding repetitive, we state that the best approach to fighting crimes remains effective intelligence gathering that not only helps in pre-empting and disrupting criminal activity but is also indispensable for the investigations

Letters to the Editor

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n the attempts at reforming the police in Nigeria, various committees have been established by successive governments to facilitate such exercise but they have mostly been dominated by people with security background who viewed such assignments as their exclusive preserve. It is therefore no surprise that most of their reports have often focused on increasing policing capacity in the areas of personnel strength, materials for work and welfare; as though once these are right, the NPF will be super effective and efficient.

T H I S DAY

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

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

EDITOR-IN-CHIEF/CHAIRMAN NDUKA OBAIGBENA GROUP EXECUTIVE DIRECTORS ENIOlA BEllO, KAYODE KOMOlAfE, ISRAEl IWEGBU, EMMANUEl EfENI, IJEOMA NWOGWUGWU GROUP FINANCE DIRECTOR OlUfEMI ABOROWA DIVISIONAL DIRECTORS PETER IWEGBU, fIDElIS ElEMA, MBAYIlAN ANDOAKA, ANThONY OGEDENGBE DEPUTY DIVISIONAL DIRECTOR OJOGUN VICTOR DANBOYI SNR. ASSOCIATE DIRECTOR ERIC OJEh ASSOCIATE DIRECTORS hENRY NWAChOKOR, SAhEED ADEYEMO CONTROLLERS ABIMBOlA TAIWO, UChENNA DIBIAGWU, NDUKA MOSERI GENERAL MANAGER PATRICK EIMIUhI GROUP HEAD fEMI TOlUfAShE ART DIRECTOR OChI OGBUAKU II DIRECTOR, PRINTING PRODUCTION ChUKS ONWUDINJO TO SEND EMAIL: first name.surname@thisdaylive.com

While not belittling the significant difference a properly resourced NPF can make in addressing the safety and security challenges currently confronting Nigeria, experience from other jurisdictions has shown that much more is required for the police to be more efficient and effective at performing their core functions.

Indeed, the factors affecting police performance in Nigeria have been identified by many of the panels that have been set up by government in recent years. They include inadequate articulation of the NPF’s mission, legal framework, specialisation of functions, performance appraisal system, duplications of policing agencies, weak oversight agencies and corruption. More importantly, the need to improve the bartered image and public perception of the police is very crucial to the success of any reforms and recommendation. Besides, a modern police, able and equipped to tackle the emerging security challenges, must consider active community participation.

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

MY WISH FOR NIGERIA AT 56

ith the nagging reality of economic recession, it is quite unlikely that the drums would be rolled out to celebrate Nigeria’s 56th anniversary.

Without a doubt, these are hard times for our dear nation. The signs are, indeed, not palatable.

There is hunger in the land. Of course, once hunger establishes its foothold in any place, anger is bound to surface.

Thus, there is hunger induced anger in the land. At the home front, husbands and wives are increasingly getting mad at each other.

Palpable tension is everywhere. At the slightest provocation, our compatriots easily flare up.

Domestic violence is on the increase. At major newspapers’ stands across the country, members of the Free Readers Association, engage in animated squabbles that often lead to free for all fights. That hunger has given rise to anger in the land is, thus, not an understatement.

Characteristically, frenzy prayers are being offered across various religious centres in the country. Mission: For our nation to be free from its many troubles. “Oh God, please put an end to the troubles of our nation” has now become a major prayer point in different worship centres. Since nothing is impossible with the almighty God, Nigerians are, understandably, knocking upon the gates of the Most High for an end to the nation’s many woes.

But then, as our nation turns 56, my wish and prayer for the nation differ quite sharply from that of my other compatriots. At 56, my wish for Nigeria is for her troubles to multiply; for her to be embroiled in

tougher challenges and battles. My wish is for the country to be entangled in additional complicated circumstances, issues and problems.

Before one is accused of all sorts, let me affirm, that my stance in this respect stems from a patriotic standpoint that is stimulated by the stark reality that without troubles, difficult challenges and complicated stuffs, no individual, nation, or society could really make the needed head start. Troubles, fierce challenges and perils are the major ingredients required to attain greatness.

In 1964, foremost social activist and educationist, Tai Solarin (1922-1994), wrote a controversial article titled: “May Your Road Be Rough”. At the beginning of the contentious piece, Solarin wrote: “I am not cursing you; I am wishing you what I wish myself every year.

I therefore repeat, may you have a hard time this year, may there be plenty of troubles for you this year! If you are not so sure what you should say back, why not just say, ‘Same to you’? I ask for no more”.

While trying to clarify his stand on the subject, Solarin wrote: “When my sisters and I were young and we slept on our small mats round our mother, she always woke up at 6a.m. for morning prayers. She always said prayers on our behalf but always ended with something like this: ‘May we not enter into any dangers or get into any difficulties this day.’ It took me almost 30 years to dislodge the canker-worm in our mother’s sentiments. I found, by hard experience, that all that is noble and laudable was to be achieved only through difficulties and trials and tears and dangers. There are no other roads.”

Though many people misinterpreted Solarin’s prayer as a curse, but the main intent is to bring to fore the intricate relationship between the bumpy roads of life and success. The bottom line is that success is not achieved on a platter of gold. It comes through continuous struggles and battles on the turbulent waters of life. In Solarin’s words, life, if it is going to be abundant, must have plenty of hills and vales. It must have plenty of sunshine and rough weather. It must be rich in obfuscation and perspicacity. It must be packed with days of danger and of apprehension.

At 56, it will not be far from the truth if one concludes that Nigeria remains a crawling toddler. This is largely because we have always preferred the easy route to greatness. Our independence was more or less gotten on a platter of gold. As if that was not enough, we suddenly struck oil. Thus, began a life of misplaced allure and grandeur.

At the height of our nation’s stupendous oil wealth, a former head of state was quoted to have said that: “Money is not Nigeria’s problem but how to spend it”. Thus, we virtually squandered our oil wealth. Today, there is trouble in the global oil market.

Thus, unlike what the rookie head of state had affirmed, money has now become our nation’s problem. Most states cannot pay salaries.

The federal government cannot fund the budget. Companies are downsizing.

Tayo Ogunbiyi, Ministry of Information and Strategy, Alausa, Lagos

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WEEKLY PULL-OUT

Christine Lagarde, Managing Director of the International Monetary Fund, at the Opening Ceremony of IBA Conference 2016

27.09.2016

WHY THE WORLD MUST TA TACKLE T CKLE CORRUPTION AND TERRORISM NOW

2/DASHBOARD

27.09.2016

An Ex-Parte Order Automatically Lapses After Fourteen Days of Its Being Made PAGE 3

Onikepo Braithwaite Appointed as the New Editor of THISDAY LAWYER PAGE 4

Oguntade, Agbakoba for NBA Lagos Law Week PAGE 4

Institute of Arbitrators Launch New Programmes PAGE 4

‘Legal Practice Requires a Lifetime of Perseverance’

QUOTABLES ‘The work of a judge the world over is not easy. It is even more difficult in our society where cases are prosecuted on the pages of newspapers. However, the work of a judge is the highest position of trust and confidence that God can give to any human being. Trust that you sit to judge your fellow human beings and their activities. I therefore urge my brother judges to search their conscience before taking any judicial decision. You do not have to know all the law but your decision must be one that even the party who lost will have cause to appreciate your intellect, scholarship and call to duty'.

– Chief Judge of the Federal High Court (FHC), Hon. Justice Ibrahim Auta 'In advanced capitalist societies, lawyers are dutybound to ensure that the law is higher than everyone, no matter how highly placed. But in a peripheral capitalist society like Nigeria, lawyers have placed rich and powerful individuals above the law. In recent times, many senior lawyers have shown proclivity for manipulating the criminal justice system to detriment of the society by lending their expertise to clients outside the bounds of law in contravention of paragraph 15 (2) of the Rules of Professional Conduct in the Legal Professional'.

– Femi Falana SAN

PAGE 5

Grand Opening of the 2016 IBA Conference in Washington DC PAGE 6

Can an Area Council Licence Legal Practitioners to Practice in the FCT? PAGE 12

RE: The Nigerian Army Lacks the Power to Declare Civilians “Wanted” PAGE 16

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

LAW REPORT/3

An Ex-Parte Order Automatically Lapses After Fourteen Days of Its Being Made

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n this Appeal, the Court of Appeal held that the trial court’s order discharging a prior ex-parte order was a mere surplusage as the ex-parte order had already lapsed after fourteen days of it being made.

Facts The Appellant entered into a contract with the 1st and 2nd Respondents’ for the supply of spare parts, lubricants, consumables and ship store for the 1st Respondent’s operations in Lagos. Pursuant to the contract, the Respondents’ made various orders which were supplied by the Appellant on the agreement that the Respondents’ will pay the Appellant within 30 days of such supplies. The Respondents’ defaulted in its payment obligations.

The Appellant in seeking to recover the debts arising from the Respondents’ default instituted an action at the Federal High Court, Lagos Judicial Division (trial court”) on 12 October 2009, claiming the sum of USD 404, 189.36 (Four Hundred and Four Thousand, One hundred and Eighty Nine US Dollars and Thirty Six Cents) and accrued interest.

Together with its originating processes, the Appellant filed a motion ex-parte with supporting documents praying the Court inter alia for an order arresting and/ or restraining the 1st Respondent. The court granted the motion ex-parte on 13 October, 2009 and ordered the arrest of the 1st Respondent. The Respondents’ on 18 November 2009, the Respondent’s filed an application seeking unconditional release of the 1st Respondent from arrest on the basis that certain material facts were concealed

by Appellant in its request for the exparte order. According to the Respondent’s the Appellant concealed the fact that the owners of the vessel are resident in Nigeria and as such the vessel cannot be arrested in Nigeria. In a ruling delivered on 10 December, 2009, the trial court granted the Respondents’ application and unconditionally released the vessel from arrest without requesting for any security from the Respondent. In the ruling, the trial court held that since the owners of the vessel are a going concern and ordinarily resident in Nigeria, there was no need arresting the vessel.

Dissatisfied with the Ruling, the Appellants filed a Notice of Appeal dated 10 December, 2009 from which two issues for determination were formulated; a. Whether the learned trial judge was right when he held that the Respondent vessel cannot be arrested in an admiralty action in Rem for the sole reason that her owners are ordinarily resident in Nigeria and are a going concern? b. Whether the learned trial judge was right when he held that it was a condition precedent for an arresting party to first notify the Court whether the owners of the vessel are resident in Nigeria or not and the failure to so inform it amounted to concealment of material fact?

The Respondent on their part filed a Respondents’ Brief of Argument and a Notice of Preliminary Objection dated 11 April 2012 (“PO”). The Respondent’s PO was filed on the grounds that the Court does not have jurisdiction to adjudicate on the appeal, in absence of a competent Notice of Appeal.

With respect to the PO, the Respondent submitted that under Section 242(1) of the 1999 Constitution of the Federal Republic of Nigeria as amended, there is a constitutional requirement for leave to be sought by an Appellant when questioning the exercise of the Lower Court’s discretion on an issue or subject matter, before such an Appeal can be competent. He further submitted that non-compliance with the constitutional requirement will make the said Appeal incompetent.

Thereafter he contended that the Appellant’s failure to obtain the requisite leave has rendered the Notice of Appeal fundamentally defective and that the court must make a distinction from a ground of appeal based on law alone from one on facts or on mixed law and facts.

He relied on MAIGORO v GARBA (1999) 10 NWLR (Pt. 624) 555.

Furthermore he argued that the Appellant is questioning the discretionary power of the trial court to vacate an arrest order on the ground of misrepresentation/concealment of material facts, and thus the Appellant’s complaint is against the trial court’s evaluation of facts before applying the law to those facts. Based on the foregoing, he contended that the Appellant’s complaint is a ground of mixed law and fact which requires leave of court and failure to obtain said leave is fatal to the competence of the appeal.

In response, the Appellant submitted that that it is also settled law that in determining whether an appeal is as of right or required leave, when such issue is raised,

In the Court of Appeal Lagos Judicial Division Holden at Lagos On Friday the 1st Day of july, 2016 Before Their Lordships Sidi Dauda Bage Yargata Byenchit Nimpar Abimbola Osarugue Obaseki-Adejumo Justices, Court of Appeal CA/L/511/2010 Between Jessco Maritime Resources .... Appellant And The M/T Mother Benedicta The Owners M/T Mother Benedicta ....Respondents (Judgment Delivered by Sidi Dauda Bage JCA)

the Court will have to examine the grounds of appeal in reaching the appropriate conclusion. Thereafter he submitted that Grounds one and two are on clearly grounds of law alone, and the Respondents’ allegation that the Appellants grounds of appeal is of mixed law and fact is grossly misconceived.

On Issue one of the appeal, the Appellant submitted that from the records of this Court, the 2nd Respondent did not at any time deny being the beneficial owners of the 1st Respondent vessel. He further submitted that it is settled principle of Admiralty Law that the principle of sovereign immunity does not attach to a vessel merely because her owners are resident in Nigeria or are a going concern in Nigeria. Thereafter he submitted that the only class of vessels immune from being arrested in an Admiralty action in Rem is Government owned ships.

The Appellant further submitted that Section 5(4) of the Admiralty Jurisdiction Act 1991 provides that an Admiralty action in rem can be validly brought against the ship where the claim arises in connection with the ship and the person who would be liable in an action in personam is the owner of Charterer or the Vessel. He thereafter submitted that being an admiralty action in rem, the Appellants action was in the first instance directed at the ship itself to which it made several supplies and whether or not her owners are resident in Nigeria or do business in Nigeria is totally immaterial within the ambit of the applicable admiralty laws.

The Respondent in response submitted that an ex-parte application will usually be granted where delay caused during proceedings might involve irreparable loss and where such situation exists the Court might exercise its discretion in favour of the applicant. In line with the foregoing, he submitted that the time relevant in determining urgency justifying the grant of ex-parte application is the time between the happening of the event which is sought to be restrained and the date for the application for injunction could be heard if taken after due notice to the other side. He thereafter stated that from the facts relevant to the issue as contained in the affidavits, it Is clear that there was no serious injury to be suffered by the application since the 2nd Respondent the owner of the 1st Respondent is a going concern in Nigeria and within the Courts jurisdiction.

Courts Rationale and Judgment On the PO, the Court stated that where errors of law

are alleged then the errors complained of must be fully set out in the grounds of appeal. The Court thereafter referred to the case of NAWAOLISA v NWABUFOH (2011) 14 NWLR (Pt. 1268) 600 at 610, where the Apex Court held that in determining if an appeal is as of right or leave is required, the grounds of appeal must be examined. The Court thereafter referred to Nwaolisa to proffer guidance to how an appeal will be classified; a. Where the complaint in the ground of appeal is a misunderstanding by the Court of the law or misapplication of the law to the facts already established , it is a ground of law b. Where the grounds of appeal disputes or questions the evaluation of facts by the Court before applying the law, it is a ground of mixed law and fact c. Where the facts are not disputed but there is a wrong application of law to undisputed facts it is a ground of law. Ground of pure fact is much easier to examine.

The Court thereafter examined the two grounds vis a vis the classification made by the Apex Court above. On ground one, the court stated that an admiralty action in rem involves the interpretation of the law and that the issue whether the Court can arrest or cannot arrest is no longer discretionary on the part of the Court as the law provides for what is to be done in an admiralty action in rem. Based on the foregoing, the Court held that ground one is on pure law and no leave of court would be required to file such a ground.

On ground two, the Court stated that after an examination of the ground, it raises an issue of mixed law and fact specifically on the allegation of failure to give the court information that the owners of vessel are resident in Nigeria.

The Court thereafter stated that the said allegation could amount to concealment of facts and the determination of such cannot be done without consideration of the facts and as such ground two is one of mixed law and fact.

Thereafter the Court stated that in accordance with Section 241 (1) of the 1999 Constitution where no express provision was made on a ground of appeal of mixed law and fact, it is settled law that leave must be sought for and obtained before filing said grounds. The Court further stated that the failure to obtain such leave is fatal to the competence of that ground.

After analyzing both grounds the court held that ground one being a ground on law survives and requires no leave of the Court, while ground two being a ground on mixed law and fact requires leave to be obtained before filing said ground. Thereafter the Court held that in absence of such leave ground two becomes incompetent and is hereby struck out. Based on the foregoing, the Court held that all issues arising from ground two are struck out and the appeal shall be determined on the only surviving ground (ground one).

With respect to the appeal, the Court held that the question which needs to be addressed is “what is the life span of the order made sequel to the ex-parte application?” The Court in seeking to answer the aforementioned question stated that because there is no provision as the life span of an ex-parte order under the Admiralty Jurisdiction Act, resort must be made to Order 26 Rule 12 (2) the Federal High Court Civil Procedure Rules 2009. The said order states that if a motion to discharge an ex-parte order is not made within 14 days, the ex-parte order will automatically lapse.

The Court further proceeded to conduct an examination of the facts in relation to the day the ex-parte order was made by the trial court and the day the application to discharge the ex-parte order was made. Based on the foregoing, the Court held that the as at the time application to discharge the ex-parte order was filed, the ex-parte order had lapsed by effluxion of time. The Court thereafter held that based on the foregoing, there was no subsisting order to vacate as at the time the application was made and that the ruling of the trial court was a mere surplusage.

The Court held that since there was a decision by the Honourable Court granting the Respondents application for the discharge of the order of arrest unconditionally this Court has no reason whatsoever to disturb that decision. The Court thereafter resolved the appeal against the Appellant and dismissed the appeal for being devoid of merit.

APPEARANCES For the Appellant: Ikechukwu For the Respondents: A.H. Olorewaju Kadiri Reported by Ibukunoluwa Omotorera Owa, Aluko & Oyebode Lagos.

4/NEWS

27.09.2016

L-R: Alternate Chairman, NBA Lagos Branch 2016 Law Week Committee, Mr. Femi Fajolu, Secretary, Mrs. Uche Ikwueme, Chairman, Mr. Kemi Balogun SAN, Branch Chairman, Mr. Martin Ogunleye and Mrs. Uwala MurphyAkpieyi, a committee member, at the Press Conference in Lagos to herald the Law Week

L-R: Public Relations Officer (PRO) CIArb (UK) Nigerian Branch, Mr. Juwon Adenuga, General Manager, Mrs. Oluwakemi Eweje, 3rd Vice-Chairperson, Mrs. Sola Adegbonmire and Chairman, Young Members, Mr. Greg Nwakogo, at the CIArb (UK) Nigerian Branch general meeting held at the International Centre for Arbitration and ADR in Lagos, last week

Oguntade, Agbakoba for NBA Lagos Law Week

Stories by Akinwale Akintunde

Former Justice of the Supreme Court of Nigeria, Hon. Justice George Oguntade (CFR) is expected to be the chairman of the opening ceremony of the 2016 Law Week of the Nigerian Bar Association (NBA) Lagos Branch scheduled to hold from October 5 to 8, 2016.

The Chairman of the Law Week Planning Committee, Mr. Oluwakemi Balogun SAN at a press briefing to herald the event with the theme “Judicial Independence and the Democratic Process”, disclosed this last week.

According to Balogun, the Keynote Speaker who will tackle the theme of the annual event which attracts members of the Bar and Bench, security agencies, corporate and civil society organisations, and individuals from diverse fields of expertise, is Dr. Olisa Agbakoba.

Balogun said the theme is germane in light of perceived assaults on judicial independence and the deleterious impact such anomaly may have on our nascent democracy.

“This year’s Law Week is designed to be the best-ever held by the Premier Branch. It will witness several activities including a high-profile Opening Ceremony at the MUSON Centre on Thursday, October 6, 2016. The Opening Ceremony

will be chaired by respected former justice of the Supreme Court of Nigeria, Justice George Oguntade (CFR) while the Keynote Speaker, Dr. Olisa Agbakoba (SAN) will tackle the theme of the Law Week, “Judicial Independence and the Democratic Process.”

Technical and breakout sessions will also hold at the same venue on October 6 and 7, 2016. Meanwhile, over 10 Senior Advocates of Nigeria (SANs) have confirmed their willingness to speak at this year’s Law Week. Among the topics to be discussed include Judiciary in an Emerging Economy, Challenges and Prospects; Financial Due Diligence and Anti-bribery Laws; Emerging Trends in Copyright, Computer Software and Trademarks; Mergers, Acquisitions and Strategic Alliances: The Role of a Lawyer; Aircraft Leasing and the Global Jurisdictional Issues, as well as a Mock Arbitration legal clinic.

“Other topics are Port Regulations and Infrastructure in Nigeria; Business Development in a changing Legal Market; Is Advocacy Training an important part of a Young Lawyer’s Development? and Combating Money Laundering: The Roles of Lawyers and the Judiciary. Continuing Professional Development/Continuing Legal Education credits will be awarded to participants at the

Law Week.

“Lawyer-turned-business mogul, Dr. Wale Babalakin SAN will tackle the topic, “Judiciary in an Emerging Economy: Challenges and Prospects.” Discussants for the session include financial czar and Chairman of United Bank for Africa, Mr. Tony Elumelu as well as the Human Resources & Corporate Services Executive at MTN Nigeria, Ms. Amina Oyagbola.

“The General Interest and Practice Session promises to be one of the most explosive sessions, as it will deal with the issue of corruption and financial crimes.

Renowned jurist and Secretary of the Presidential Advisory Committee on Corruption, Prof.

Bolaji Owasanoye will speak on “Financial Due Diligence and Antibribery Laws.”

“Aside from the Executive Director of Asset Management Company of Nigeria (AMCON), Mr. Kola Ayeye who has accepted to chair the session, discussants include the Chairman of the Economic and Financial Crimes Commission, Mr. Ibrahim Magu; former Inspector-General of Police, Mr. Solomon Arase and the commercial attachees of both the United States and British embassies in Nigeria.

“Aside from the Bar & Bench Forum on “Combating Money Laundering: The Roles of Lawyers and the Judiciary” to be chaired by the Presidenig Justice of the

Court of Appeal, Lagos Division, the technical sessions will also witness a much anticipated session by the branch Young Lawyers Forum, coming on the heels of a Mock Arbitration orchestrated by the Chartered Institute of Arbitrators (UK) and the Lagos Court of Arbitration (LCA).

“While the Law Week will kick-off effectively with visits to Ikoyi and Kirikiri Prisons by the Branch Executive Committee and members of the 2016 Law Week Committee among others, a novelty football match will hold at the Campos Stadium in central Lagos to herald the Variety Night and other activities for the week.

“Curtains will be drawn on the eagerly awaited Law Week with a high-profile Independence Dinner at the Shell Hall of the MUSON Centre where leading lights of the Bar are expected to support the launch of a Building Fund towards a befitting N1.2 Billion Bar Centre/Secretariat for Nigeria’s most illustrious branch. Aside from an exclusive Elders’ Night to be hosted by business magnate and Chairman of Multichoice Nigeria, Chief Dewunmi Ogunsanya (SAN), the Young Lawyers Picnic at Muri Okunola Park, Victoria Island, Lagos will bring the highly anticipated week to a close.

Synergy Attornies Partners Juweirat Law Resource Centre to Hold Workshop to Tackle Building Collapse Juweirat Law Resource Centre in collaboration with Synergy Attornies will tomorrow hold its maiden workshop to address the increasing problems of building collapse in the country.

The two-day workshop for lawyers and other stakeholders in the building and construction sector, titled: "Legal Due Diligence on Building and Construction” is scheduled to hold on September 28 and 29, 2016 at 12, Wede Obahor Street, Atlantic View Estate, off Alpha Beach Road, Lekki, Lagos.

According to the Co-coordinator of the event, Lady Edith Uduji, the theme of the workshop is central to the myriads of solu-

tions and remedies that would address problems of building collapse in the country.

Some of the speakers expected at the workshop include: Director General of Standard Organisation of Nigeria (SON), Dr. Paul Angya and a Legal, Management and Human Resource Consultant and an Insurance Expert, Mrs. Sade Adetiba.

Both facilitators will deliver papers on: "the Current Legislations, Rules and Regulations Governing Construction Activities and Critical Factors in Preventing Failure”.

Other speakers are Engineer Kenneth Onyema Esq., - an

American trained Civil Engineer Expert and a Lawyer. He worked as a design Engineer at the Kano/Rand Irrigation Project of the Hadejialamaare River Basin Development Authority.

He currently runs a Construction Company, Equaling International Ltd. And Engineer Cosmos Njoku - a Construction Project Manager from MNSE. Both facilitators will discuss “The Legal Roles/Responsibilities of all Building/Construction Agencies, Managers or those who Monitor the Activities of Companies, Developers or Builders both in the States and Federal Government level.”

Professor Fabian Ajogwu SAN,

an Author as well as a Professor of Commercial and Investment Law at Lagos Business School an Pan African University, and Mr. Deji Opeola, an American trained Finance Expert, who worked with American leading Finance Institute before coming to Nigeria but now runs his own firm will also speak on “Financiers in the Building and Construction Industry: Gaining Access to Project Capital Funding.”

Also Mr. Rotimi Jacobs SAN, will look into “Red Flags on Criminal Law Responsibilities and risks in Building and Construction Industry in Nigeria”.

Onikepo Braithwaite Appointed as the New Editor of THISDAY LAWYER Mrs. Onikepo Braithwaite has been appointed as the new editor of THISDAY LAWYER. She is a seasoned legal practitioner with over 20 years’ experience and the daughter of the first female President, Nigerian Bar Association, Dame Priscilla Kuye.

She practices with the law firm of Priscilla O. Kuye & Co as a Barrister and Solicitor specialising in litigation and property law.

Mrs. Onikepo Braithwaite obtained her Bachelor’s Degree from the University of Lagos in 1990 and holds another degree in Economics with a minor in Business Administration (BBA) from the Oglethorpe University, Atlanta, Georgia, USA. She was called to the Nigerian Bar in 1991.

She is a Director at the Nigerian Gas Cylinders Manufacturing Company Limited, Ibadan, Oyo State, an Associate

Member of the Chartered Institute of Arbitrators, UK and a member of the LPG Cylinder Stakeholders Committee of Nigerian Content Development & Monitoring Board (Local Content Board).

She takes over from Mrs. May Agbamuche-Mbu who has been appointed as an INEC National Commissioner.

Onikepo Braithwaite

Institute of Arbitrators Launch New Programmes The Chartered Institute of Arbitrators UK (CIArb) Nigeria Branch has introduced new programmes for arbitrators, mediators and adjudaicators.

The newly introduced progammes include arbitration surgery, workshop series, mock arbitration and training for arbitral tribunal registrars.

The Chairperson of the branch, Mrs. Adedoyin RhodesVivour, while speaking during the institute’s general meeting held at the International Centre for Arbitration and ADR in Lagos said the Arbitration Surgery was aimed at providing members and those with an interest in arbitration, mediation and ADR qualitative educational events at low costs.

Rhodes-Vivour explained that the Arbitration Surgery would be presented in an interactive discussion format on particular topics.

“Course leaders will be the very best in their respective fields and are expected to draw from actual real life experiences of problems or challenges in the course of their reference.

“The Arbitration Workshop Series is aimed at continuous professional development of Arbitrators and Alternative Dispute Resolvers in line with the institute’s commitment to the delivery of educational qualification and training of the highest standard in arbitration and ADR. “While the Mock Arbitration is aimed at enabling persons interested in the field gain practical knowledge of conducting a reference from the commencement of the proceedings to the end. It will also give the opportunity for developing technique for drafting the tribunal’s various procedural orders for direction and writing an award.

“On the training for Arbitral Tribunal Registrars, the focus of this initiative is the professional development of Registrars with the view to building capacity within our membership of those who wish to undertake Registrar

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27.09.2016

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Hogan Lovells, Lagos Court of Arbitration, Host Onobrakpeya’s ‘Harmattan’ Workshop … over 300 new artworks showcased in celebration of African art and culture

G

lobal law firm Hogan Lovells hosted an art exhibition last week Thursday to showcase the artwork of one of Africa’s most respected artists, Professor Bruce Onobrakpeya, in association with the Lagos Court of Arbitration

(LCA).

Onobrakpeya pioneered the famous modern art movement, Zaria Rebels, alongside Yusuf Grillo, Demas Nwoko and Uche Okeke. He is also a master at creating art techniques, which showcase Nigeria’s rich culture and heritage.

The exhibition, themed “Harmattan Workshop” was held at the Lagos Court of Arbitration following a press briefing with Hogan Lovells Africa team including their head of Africa, Andrew Skipper, the President of the Lagos Court of Arbitration, Yemi Candide-Johnson, Professor Bruce Onobrakpeya, and the curator of the exhibition,

Sandra Obiago.

Hogan Lovells, having been active in Africa for decades and a keen supporter of African art and culture, sponsored the exhibition which runs until Dec 15 2016.

Commenting on the global firm’s interest in Nigerian Art, Head of the Africa practice Hogan Lovells and Advisory Board member of the Smithsonian National Museum of African Art, Andrew Skipper said: “Hogan Lovells has great respect for Africa and the Art of Africa. We support African culture for its uniqueness, beauty, and transformational quality. Professor Bruce is an inspiring artist and teacher whose works we are in awe of and who is changing the lives of the disempowered people across Nigeria who he trains.”

Skipper further noted: “Nigeria is one of the key markets we operate in and when you understand the culture of people it is easier to do business with them.”

The Harmattan workshop was birthed in 1988 by Onobrakpeya when he decided to launch an informal training initiative for artists.

INSTITUTE OF ARBITRATORS LAUNCH NEW PROGRAMMES services and enhance their effectiveness”, she said.

The chairman also highlighted the role of the institute’s committees, such as membership, training, Branch Journal, ethics, schemes and Conference Planning Committee.

The committees, she said, will meet once every quarter, adding that members can meet by teleconferencing or videoconferencing where necessary. A committee Chairman is to submit reports at each Executive Committee meeting, she added.

On Branch's Mentoring Scheme, Mrs. RhodesVivour said: “Mentoring is a powerful tool for personal development and an effective

According to Onobrakpeya, “The Harmattan workshop is an alternative source of art education. The artists have the freedom to express themselves without being bogged down by academic settings or expectations and are actually able to develop themselves.

People in the rural areas also get access to learning that they would not normally have, and we are discovering people who are able to use their art to tell stories.”

During the press conference, there were several discussion about the potential importance of Art to the Nigerian economy as an alternative source of income, as well as the need for more corporate entities to invest in Art and Culture by supporting informal education centers and developing art in Nigeria.

The President of the Lagos Court of Arbitration, Yemi Candide-Johnson expressed the Lagos Court of Arbitration’s willingness to continue supporting Art & Culture in Nigeria, noting that the LCA opens its doors to art lovers to showcase art work, while challenging other corporates to do same.

Commending Hogan Lovells sponsorship of the initiative, he said “Sponsorships like this shouldn’t be a one time initiative. It is important to find sponsors who are in it for the long term and Hogan Lovells is filling a huge vacuum in this regard by lending their support to this initiative.”

Skipper reiterated Hogan Lovells commitment to investing in Nigeria despite the current economic challenges, “Hogan Lovells has a global view. We look at things in the long term and we know that Africa will be strong so it is critical for us to be here. Nigeria is a country where you simply cannot Not be in, and we are here for the long term”.

The Harmattan workshop exhibition showcased 34 important artworks, highlighting Onobrakpeya’s artistic career spanning over 50 years, along with over 200 paintings, sculptures, ceramics and mixed media work created by 124 Nigerian and International artists who have attended the Harmattan workshops in Agbarah-Ottor, Delta State since 1998.

CONTINUED FROM PAGE 4

way of assisting our members to progress in their dispute resolution career paths.

“The Executive Committee in line with its mandate recognizes the need to ensure the continuous growth and development of our members and have thus resolved to set up a mentoring scheme.

"Mentoring of our young members is also aimed at advancing the continuous availability of a crop of quality arbitrators within our branch. The scheme is also aimed at providing our young members with ease of access to role models.”

General Manager, CIARB Nigeria branch, Mrs. Oluwakemi Eweje, who gave a lecture

on CIARB Code of Professional and Ethical Conduct for Members, said arbitrators must endeavour to play by the rules.

She took members through the code’s requirements for the interview of prospective arbitrators, party-non-participation and terms of remuneration.

On interviews, she said: “As a potential appointee, before you grant an interview, ensure to see the arbitration agreement.

The essence of this is to ensure that you are not by granting the interview violating any applicable laws or rules governing the agreement.”

On fees, Mrs. Eweje said the terms of

remuneration must cover fees, cancellation charges, disbursements, Value Added Tax, interim payments, security of fees and disbursement arrangements in case of settlement, period for payment and interest in delayed payments, and periodic adjustment rates.

She urged members to visit www.ciarb. org/guidelines to acquaint themselves with the guidelines.

“The Branch is always available to provide continuous professional development through its various activities like the workshop series, mock arbitration, annual conferences, mentorship programme and networking forums,” she added.

Legal Personality of the Week Wolemi Esan

‘Legal Practice Requires a Lifetime of Perseverance’ out for sentimental reasons is when on my first day in Court as a Lawyer, my appearance was announced by the great Chief FRA Williams (SAN) of blessed memory. When I joined Olaniwun Ajayi LP fresh out of Law school, the firm was being led by Chief FRA Williams (SAN) in a matter of national importance. Words cannot describe the way I felt when on my first day in appearing in the matter, which incidentally was also my first day in court as a Lawyer, Chief FRA said “appearing with me is Wolemi Esan Esq.”.

My name is Wolemi Esan. I have been practicing for about 15 years and I am a Partner at Olaniwun Ajayi LP, where I head the Power and Infrastructure Practice. In addition to my broad based commercial practice, I also undertake contentious work in terms of arbitration and litigation, from time to time. I graduated from the Lagos State University (LASU), and possess an LLM from the University College London (UCL) and an MBA from Durham University, UK. Have you had any challenges in your career as a Lawyer and if so what were the main challenges?

The difficulty in achieving work-life balance remains a key challenge. For various reasons, the practice of law does not readily lend itself to a healthy work-life balance. My belief is that it is near impossible to practice law successfully without passion and this can sometimes impact the time available to pursue other interests.

People say law is a jealous mistress; on the contrary, I think it is more of a controlling wife.

Legal practice requires a lifetime of perseverance, continuous reading, and working with demanding clients among many other things.

Fortunately, I have a supportive family and strong network of friends, and together we have evolved a method that works to enable me

Wolemi Esan

sustain my passion for the profession, and at the same time nurture the relationships and experiences that are important for my wellbeing.

What was your most memorable experience?

Of the many memorable experiences I have been privileged to have, one that stands

Who has been most influential in your life?

My parents have been most influential in my life. They gave me the moral compass with which I navigate life, and taught me the value of hard work and diligence, integrity, striving for excellence, respect for others, faith in God, and helping those who are least able to help themselves.

Why did you become a Lawyer?

Ironically, my decision to become a lawyer was neither planned nor made out of initial admiration for the profession. It was an uncharacteristic impulsive decision I took in the 99th hour in my final year at

Government College, Ibadan. Out of adolescent boredom, one morning I decided I was going to become a lawyer, and from that moment I abandoned subjects like Further Maths, Physics, Chemistry that I had studied for about 3 years and which I was doing fine at. Over time, the decision to switch to law has proved to be an inspired one.

What would your advice be to anyone wanting a career in Law? My advice to anyone who wants to study law is to first accept that this is not a profession that can be practiced without passion. It is almost a calling if I can put it that way. It requires complete devotion, a lot of hard work, perseverance and sacrifice. A supportive network of family and friends is also very important as well as marrying an understanding spouse because Law can be all consuming and this can put pressure on one’s family life.

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

If I did not study law I would probably have chosen to become a Chemical Engineer.

Where do you see yourself in ten years?

In the next ten years I see myself contributing to the shaping of public policy.

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27.09.2016

Grand Opening of the 2016 IBA Conference in Washington DC

Cross section of delegates at the Opening Ceremony

Gbolahan Gbadamosi

W

ith a spectacular display by the 2015 Tony Award for Best Leading Actress in a Musical and one of the Broadway's great leading ladies, Kelli O' Hara, opened the 2016 International Bar Association (IBA) Conference in Washington DC ,USA on Sunday, September 18.

The Opening ceremony held at the Walter E. Washington Convention Centre hosted over 6,000 global lawyers and legal practitioners led by the IBA President, David W. Rivkin who in his Opening Speech said, " It is a pleasure for me to welcome all of you-more than 6,000 delegates; than 1000 at our annual conference for the first time--to my home country and our nation's capital .It is an exciting time to be in Washington : the final months of the Obama Administration and a Presidential election that is making us much more nervous than we would like. I was delighted to be able to open the ceremony with Broadway classics, quintessentially American music.

He continued, " It is very appropriate for the IBA to be holding an annual

conference in Washington .It is not only the center of the US Government but of many multilateral agencies. It bears the influence of many foreign architects.

The Capitol Building was designed by a British doctor, and the White House by an Irish architect. A Frenchman, Pierre L'Enfant, designed the city".

Rivkin's audience included the Keynote Speaker, Managing Director, International Monetary Fund (IMF) Christine Lagarde, noted that, "Since its founding in 1947, the IBA has been dedicated to the promotion and preservation of the Rule of the Law throughout the world. Today, as we are face many new challenges to the Rule of Law around the world, it is important to remember that it is neither a new concept nor one rooted only in the tradition of some countries .The Rule of Law is an ancient and universal concept."

Giving his stewardship in the last one year, IBA President, added, "Last year, IBA joined many others in celebrating the 800th anniversary of the Magna Carta, a document that continues to inspire the conviction that no person, nor even a Ruler, is above the law, as well as the fundamental principle that any accused person is entitled to due process. Since we met in Vienna, the IBA has had an extraordinary year in serving this mission. In January in Myanmar, I had the honour of joining Daw Aung Suu Kyi in addressing the inaugural conference of the Independent Lawyers

Association of Myanmar. Thanks to the diligent work of the IBA's Human Rights Institute in forming this association, thousands of lawyers serving their client' interests, free of government interference, as essential step in the creation of a new democracy".

IBA's work in Cuba, IBA'S Presidential Initiatives on Judicial Integrity, The Presidential Task Force on Human Trafficking, Presidential Task Force on the Independence of the Legal Profession, IBA's work on Climatic Change Justice and Human Rights are others achievements he mentioned.

Rivkin concluded by noting that, ''This is a complex and difficult time to be a lawyer, but it is also a great time. I ask that each one of you feed your good wolf to help us fulfill our role as protectors of democracy and the rule of law".

Lagarde in her speech noted that IBA and IMF shared the common goal of fighting corruption in both the public and private sector. Her word: "Corruption undermines the ability of the state to raise revenue, and entrenches poverty and inequality. As Pope Francis has said, it is a cancer on society, threatening economic stability-and that is why the IMF is concerned.

She spoke extensively of the work the IMF has done in Ukraine to assist in the country's fight against corruption.

The Welcome Party was held on same day at The Smithsonian's National

Air and Space Museum/The National Museum of the American Indian.

The highlight of this year conference was the presentation of the IBA Human Rights Award .Its in recognition for outstanding contribution by a legal practitioner to human rights that has produced notable impact on the promotion, protection and advancement of human rights, administration of justice and the rule of law.

The 2015 honouree was Intigam Aliyev, an Azerbaijani human rights lawyer and President of the Legal Education Society, Azerbaijani.

This year winner was Galina Arapova, for her work towards freedom of both expression and information since 1995.

She is the director and a senior media lawyer at the Mass Media Defence Centre, the only Russian NGO pro providing advise to Russian journalists.

The 2016 Pro Bono Award went to Odette Goldenhuys of South Africa while The year's Outstanding Young Lawyers Award of the year went to Remy Choo Zheng.

Curtain was drawn on the conference on Friday, September 23 with Rule of Law Symposium as Hon. Justice Anthony M. Kennedy of the United States Supreme Court as the Keynote Speaker.

The 2017 IBA Conference will be held at the International Convection Centre (ICC) in Sydney, Australia between October 8- 13.

27.09.2016

COVER/7

Why the World Must Tackle Corruption and Terrorism Now The two main issues that dominated the just concluded 2016 Annual Conference of the International Bar Association in Washington DC were Corruption and Terrorism. Jude Igbanoi who was at the conference reports on why the two global issues formed the focal point at this year’s IBA Conference from September 18 – 23.

F

or good reasons the International Bar Association prides itself as the Global Voice of the Legal Profession and this year’s conference of the worldwide body of lawyers truly lived up to this reputation.

Over 6,000 lawyers from every country in the world converged in the United States Capital, Washington DC to participate in the conference. For Nigerian lawyers, IBA has become an instructive lesson on conferencing as the body has continued to deliver quality conferences over the years. Registration is smooth, seamless and hassle-free.

On the average it takes less than 10 minutes to get registered with all conference materials, including bag given to delegates.

This is a sharp difference from what obtains in Nigeria at the Nigerian Bar Association conferences.

In an exclusive chat with the IBA Executive Director, Dr. Mark Ellis, the key is ‘early planning.’ IBA meticulously plans its conferences years ahead. For instance preparation for its 2017 conference in Sydney Australia is already in top gear.

Dr. Ellis also told THISDAY LAWYER that in fact plans for the association’s 2018 conference in Rome, Italy are already in advance stages.

Perhaps, Nigeria has a lot to learn from this and the President of the Nigerian Bar Association, Mr. A.B. Mahmoud SAN in a chat with THISDAY LAWYER said ‘I had extensive meetings with the IBA President Mr. Rivkin and the Executive Director, Dr. Ellis on the possibility of our collaborating with the IBA with a view to improving on our conferences. I hope to visit the London Headquarters of the IBA with some staff of the NBA to enable some staff of the NBA National Secretariat understudy the IBA and see what we can learn from them.

They have been successful at organizing their conferences for many years and we must acknowledge this.’

This year’s Keynote Speaker was the Managing Director of the International Monetary Fund, Christine Lagarde and her presentation Mending the Trust Divide was quite emotive and inspiring. Lagarde told the august body of lawyers that the unique mandate of the IMF is to promote economic prosperity and financial stability, through international cooperation and an open system for the free flow of goods and investments.

She anchored her paper on corruption and public trust saying ‘A key factor fueling this distrust is corrupt and unethical behavior, actual or perceived – and in both the public and private sector. Addressing corruption and unethical behavior involves not only improving the quality of the legal framework but also the quality of the individuals who implement this framework.’

Other distinguished personalities who spoke at the conference included Jack Straw, British Foreign Secretary 2001-2006, Arlene Foster First Minister of Northern Ireland, General Colin Powell US Secretary of State (2001-2005), Christopher Dodd Former Senator from Connecticut and Ben Bernanke, former Chairman, Board of Governors, US Federal Reserve.

Nigerian lawyers also presented papers at the various sessions of the conference including Mr. Femi Falana SAN, Dr. Babatunde Ajibade SAN and Mallam Yusuf Ali SAN. Our 69 Years of Global Commitment to Lawyers – IBA President, David Rivkin We are here to see old friends, to meet new ones, and to enjoy the hospitality and the sights of Washington, but also of course to engage in the many important substantive conversations that will take place at our keynote, showcase and committee sessions throughout the week.

Given the many challenges faced by lawyers and our clients

Keynote Speaker: Christine Lagarde, Managing Director of the International Monetary Fund, at the Opening Ceremony

around the world, the work of the IBA has never been more important, and I thank all of you for being involved in it.

Since its founding in 1947, the IBA has been dedicated to the promotion and preservation of the Rule of Law throughout the world. Today, as we face many new challenges to the Rule of Law around the world, it is important to remember that it is neither a new concept nor one rooted only in the tradition of some countries. The Rule of Law is an ancient and universal concept. As early as the 5th century BC, China developed and advocated the philosophy of legalism - a political system based on laws.

In ancient Greece, Plato wrote, “Where the law is subject to some other authority and has none of its own, the collapse of the state is not far off; but if law is the master of the government and the government is its slave, then the situation is full of promise and men enjoy all the blessings that the Gods shower on the state.”

When I had the honor of visiting the Mexican Supreme Court last month, I saw on its walls a statement by Cicero that “We are servants to the Supreme Court in order to be free.”

In Islamic law, the concept of justice is paramount. The Quran says “David, we have made you master in the land.

Rule with justice among men.” The Prophet is said to have proclaimed, “one hour of justice is worth more than 60 years of divine service.”

And of course, last year, the IBA joined with many others in celebrating the 800th anniversary of the Magna Carta, a

document that continues to inspire the conviction that no person, not even a Ruler, is above the law, as well as the fundamental principle that any accused person is entitled to due process.

Since we last met in Vienna, the IBA has had an extraordinary year in serving this mission.

In January in Myanmar, I had the honor of joining Daw Aung San Suu Kyi in addressing the inaugural conference of the Independent Lawyers Association of Myanmar. Thanks to the diligent work of the IBA’s Human Rights Institute in forming this association, thousands of lawyers came together in the recognition that independent lawyers serving their clients’ interests, free of government interference, are an essential step in the creation of a new democracy.

Similarly in Cuba, the IBA has been conducting training programs for Cuban lawyers on the essential aspects of international business law: corporate organization, intellectual property, international sales and dispute resolution. In my meetings last year with the Chief Justice, Attorney General and other senior officials, they recognized that Cuba cannot open its doors to new trade and investment unless lawyers have the ability to serve their clients in these areas.

As you know, earlier this year the IBA Council adopted the IBA Practical Guide for Business Lawyers on Business and Human Rights. To serve our clients effectively these days, lawyers must understand the UN Guiding Principles on Business and

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8/COVER

27.09.2016

WHY THE WORLD MUST TACKLE CORRUPTION AND TERRORISM NOW Human Rights and similar documents. And no matter what our practice area, we must advise our clients in a manner that assists them in avoiding human rights impacts and promotes their, and our, integrity.

The IBA’s Presidential Initiatives have taken many important, practical steps towards solving some of our most difficult problems. Thanks to the time that many of you took in completing our survey on judicial corruption, our Judicial Integrity Initiative published an enormously useful report on the types of corruption that arise in judicial systems and the manner in which such corruption occurs. Building from that base, the Judicial Integrity Initiative is now undertaking many projects designed to have a practical impact in reducing corruption in judiciaries where it occurs: Last month, I attended a ceremony in Mexico City at which the Chief Justice and the presidents of the three Mexican bars signed the IBA Judicial Anti-Corruption Compact.

The Compact is designed to be signed by individual judges, lawyers, prosecutors and court administrators; they commit to each other and to the public that they will not engage in corrupt activities and that they will report any such activities that they may witness. By publishing the Compact and its signatories on the websites of our member bar associations and the judiciaries, we hope to change the expectation in many countries that corruption is the only way to succeed in a judicial proceeding. We look forward to many other countries following Mexico’s excellent example.

We are also working on developing a set of standards and an organization through which judiciaries may be certified as having procedures in place that will prevent corrupt activities. We are researching best practices in investigating allegations of judicial corruption, and also the manner in which all of our member bar associations and law societies investigate and sanction potential corrupt conduct by their members. And we are surveying national laws to determine if the laws, in fact, make illegal the types of corruption found in our survey.

If we find gaps and deficiencies, the IBA will propose a model statute to correct them.

The Presidential Task Force on Human Trafficking has issued a seminal report on the impact of corruption on human trafficking. The report makes vividly clear that human trafficking could not occur without corruption, and it proposes concrete steps that governments, private companies and NGOs should take to prevent human trafficking. I had the honor of presenting these findings, along with the IBA’s efforts on judicial corruption, to a conference of judges and prosecutors organized by the Vatican at which Pope Francis gave a beautiful and passionate speech about how much the law is needed in order to preserve morality. The Pope proclaimed, “Justice is the first attribute of society.”

The Presidential Task Force on the Independence of the Legal Profession has also issued an important report on the essential criteria of an independent bar and why an independent bar is so essential to democracy. These reports are available on the IBA website, and I encourage you to read them. Whatever your area of practice, you will find them illuminating.

The IBA’s work on Climate Change Justice and Human Rights has continued aggressively as many IBA committees have worked to implement the recommendations of our flagship 2014 report.

Our working groups on remedies and adaptation have drafted important proposals that will be discussed at this conference.

From the Vatican to David Cameron’s governmental conference on corruption to a UN conference on climate change headed by Ban Ki-Moon, and in many other fora, the IBA’s voice has been sought and listened to as the authoritative voice of the legal profession – for the ideas that we present and the contributions we have made and will continue to make. I strongly encourage you to attend the showcase sessions this week at which the work of each of these task forces – Judicial Integrity, Climate Change Justice, Human Trafficking and Independence of the Profession – is discussed. You will be proud of the work they have done.

And of course, the 77 committees of the IBA have remained enormously active. Their accomplishments are far too many for me to mention tonight, so let me highlight one as an example.

Our committees on Access to Justice and Legal Aid conducted an extensive research project on the challenges children face gaining access to justice and the strategies and solutions employed

CONTINUED FROM PAGE 7

IBA President, David W Rivkin welcoming delegates at the Opening Ceremony

by countries around the world to address them. By raising awareness of the problem and highlighting best practices, the project has demonstrated the fundamental importance of access to justice as an empowerment tool for children to help reduce poverty and realize the UN’s Sustainable Development Agenda. The results of this work will also be presented at a committee session on Thursday morning.

Indeed, the conference this week offers more than the usual number of extraordinary sessions.

In addition to the showcase sessions that I have already mentioned, this conference offers special opportunities, and I hope that you will take advantage of them. To be in Washington at the end of an Administration I very much admire gives us a chance to hear from high government officials about their view of the world and what the Obama Administration has achieved.

Whatever else you have planned for this week, please come to the special Morning Keynote Addresses, to be presented by three Cabinet officers and Congressman: On Monday, the Secretary of Homeland Security Jeh Johnson, who has a unique perspective on how to combat terrorism while maintaining adherence to the rule of law; on Tuesday, the Deputy US Trade Representative Ambassador Robert Holleyman, who will discuss the latest status of TPP and TTIP and why the Administration believes that TPP can have a direct and meaningful impact developing the rule of law in the region; on Wednesday, we can hear directly from Attorney General Loretta Lynch –who has been called the savior of FIFA -- about US efforts to combat corruption, human trafficking, terrorism and cyber-crime. And on Thursday, we will discuss the Presidential election and the stalemate that affects Washington politics with Congressman Scott Peters.

I hope that you will join me at all of these keynotes at 9:30 each morning; we have scheduled the committee sessions to start after they are concluded, so that everyone has a chance to attend.

And we have a roll call of other guests: Colin Powell and Robert Mueller, among others, in the lunchtime Conversations With; SEC Chair Mary Jo White at the LPD lunch on Wednesday and Legal Adviser to the State Department Brian Egan at the SPPI lunch on Thursday.

On Friday, come hear Supreme Court Justice Anthony Kennedy at our Rule of Law Day. And of course, in a few moments, we will get to hear from a leader with enormous influence around the world: IMF Managing Director Christine Lagarde. I am looking forward to hearing her, as I know you are.

At the Rule of Law Day, you can also share in an IBA project that has been very meaningful and thoroughly enriching. At the beginning of my term, we searched for young Israeli and Palestinian lawyers who would one day be leaders in their communities in the hope that bringing them together to discuss issues of common interest and how international law could impact the conflict in their region could one day lead to peace.

We found 12 extraordinary lawyers: Israeli Jews, Arab Israelis and Palestinians. We brought them to Prague for three three-day sessions

and again this weekend in Washington, and the results have far exceeded our expectations.

They have bonded; they have cried together; they have respectfully disagreed; and they have found common approaches to international law to propose solutions to intractable problems.

Witnessing their discussions has been among the most memorable moments of my IBA Presidency.

On Friday morning, many of them will appear together in our Rule of Law program to discuss what they have learned from one another. They will be joined by two experts who have worked towards Middle East peace.

Please come and share the experience that has so touched me.

This has been a challenging year for lawyers around the world. We have seen lawyers and judges imprisoned, disbarred and removed from office in China, Turkey, Venezuela, Egypt and elsewhere. In Pakistan, we have witnessed the premeditated slaughter of lawyers who had come to a hospital in respect of a bar leader who had been previously assaulted. Those who want to rule autocratically know that they have to intimidate and remove lawyers who will use the rule of law to oppose them.

As lawyers who have been fortunate enough to be successful in our practices, we have an obligation to defend them, to speak out, to make clear that this cannot stand. As IBA President, I have used the power of the office to speak directly to those who suppress lawyers and freedom. All of us have the power to do so, as individuals, collectively or through our bars, and we must do so.

Our Founding Father Alexander Hamilton, little knowing that he would one day be the subject of perhaps the most successful musical in Broadway history, wrote in the Federalist Papers, “Justice is the end of government. It is the end of civil society. It ever has been, and ever will be, pursued until it be obtained, or liberty be lost in the pursuit.”

One way to benefit lawyers under attack is for all of us to do a better job explaining to the general public the important role that we play in defending everyone’s liberties, the time and expense we commit to defending those who cannot afford to pay us, and in making the law more fair and just for all.

Write a piece in your local newspaper or social media. Speak at your place of worship or a local school about the rule of law. And to do this, we also have to preserve the reputations of all lawyers, because publicity about one lawyer who has crossed the line harms all of us.

By all means defend your clients’ interests but do so in a way that respects the ethics and morality that we expect of one another.

The law does not give us an excuse to turn a blind eye to what we know is right or wrong.

In this respect, we will soon announce an important project to explore the proper ethical rules for lawyers in light of the disclosures of the Panama Papers, and also how government should properly fight corruption without infringing on the attorney-client privilege and professional secrecy that are vital to our serving our clients.

John F Kennedy famously said, “For those to whom much is given, much is required.”

The late great Muhammad Ali stated succinctly, “Service to others is the rent you pay for your room here on Earth.”

I have had the privilege and the honor the last two years to represent the IBA and all of you in fighting for these principles. I thank you for that opportunity; it has been a remarkable and memorable time in my life.

This is a complex and difficult time to be a lawyer, but it is also a great time.

After this ceremony, we will celebrate at the Museum of the American Indian, as well as the Air & Space Museum.

Native Americans tell the following legend about human nature. A chief is speaking to a young child. He tells the child that in him, as in every person, there are two wolves fighting with each other, one good and one bad. The child asks which one will win. The chief answers, “Whichever one you feed.” I ask that each one of you feed your good wolf to help us fulfill our role as protectors of democracy and of the rule of law.

That the World May Be Safer For All – US Attorney-General Loretta Lynch I want to address the recent events in Tulsa, Oklahoma and Charlotte, North Carolina. The Department of Justice is aware of, and we are assessing, the incident that led to the death of Keith Lamont Scott in Charlotte. We are in regular contact with local authorities as their investigation into the shooting begins to unfold. And on Monday, the Justice Department opened a civil rights investigation into the death of Terence Crutcher in Tulsa, Oklahoma. As always, the Justice Department will be thorough, impartial and exhaustive in reaching a determination about this incident.

These tragic incidents have once again left Americans with feelings of sorrow, anger and uncertainty. They have once again highlighted – in the most vivid and painful terms – the real divisions that still persist in this nation between law enforcement and communities of color. And in Charlotte, they have once again led to widespread protest. Unfortunately, we saw several instances of violence during the protests and 12 police officers and a number of demonstrators were injured as a result.

Protest is protected by our Constitution and is a vital instrument for raising issues and creating change. But when it turns violent, it undermines the very justice that it seeks to achieve and I urge those demonstrating in Charlotte to remain peaceful in their expressions of protest and concern.

At the Department of Justice, we are working tirelessly to build trust between law enforcement officers and the communities we serve and we will continue to do so. We will continue to forge dialogue between citizens and police officers. We will continue to do everything we can to give the brave men and women who wear the badge the tools and training they need to do their jobs safely, effectively and fairly. And we will continue to protect the rights and liberties of every American – no matter who they are, what they look like, or what uniform they wear.

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WHY THE WORLD MUST TACKLE CORRUPTION AND TERRORISM NOW I also want to take a moment to address recent developments regarding the bombings that occurred last weekend in New York City and New Jersey. Last night, the Department of Justice filed multiple charges against Ahmad Khan Rahami for conducting and attempting to conduct bombings in New York City and various locations in New Jersey.

Charges were filed in both the United States District Court for the Southern District of New York and in the United States District Court for the District of New Jersey. In the near future, it is our intention to bring the defendant to the federal District Court for the Southern District of New York, which has jurisdiction over the Manhattan neighborhood where more than 30 innocent people were wounded – and countless others were gravely endangered – by his bombs. I have full confidence that the U.S. Attorney's Office for the Southern District of New York, led by Preet Bharara, will succeed in bringing the defendant to justice for his heinous actions. And I know that the U.S. Attorney's Office for the District of New Jersey, led by Paul Fishman, will also seek to hold the defendant accountable for his deplorable actions in their district.

These filings reflect the Justice Department's unwavering determination to find, capture and prosecute all those who attempt to commit or commit acts of terror against our nation. I want to thank my colleagues in the National Security Division, the U.S. Attorney's Offices, the FBI, the ATF and other parts of the Department for their tireless efforts over the last several days.

I want to commend our local law enforcement partners and first responders for their vital contributions to this ongoing investigation. I applaud the citizens who played a crucial role in preventing further harm by alerting law enforcement when they discovered unexploded bombs. And I want to once again offer my prayers for the swift and full recovery of all the law enforcement officers and citizens who were harmed by the defendant's actions.

It is a privilege to join so many distinguished colleagues, devoted public servants and good friends as we gather to reaffirm our shared commitment to fostering international cooperation, upholding the rule of law and promoting justice and human rights around the world.

For 69 years, achieving those noble aims has been the mission of the International Bar Association. In the decades since you were founded to bolster the cooperative aims and timeless principles of the newly created United Nations, this organization has become an indispensable champion of human dignity and equal justice the world over. By providing a forum for the exchange of ideas and perspectives, you have created a community of lawyers that transcends the boundaries of nations and the barriers of language. By providing human rights training, you help your members to fight for rights and liberties in their home countries – especially in those nations where democracy is young and institutions are fragile. And by monitoring trials, investigating human rights abuses and advocating on behalf of judges and lawyers facing harassment or intimidation, you make clear that might does not make right – and that laws must not be the tools of repression, but the bulwarks of liberty. Through these and so many other efforts, the IBA has fought tirelessly so that all people around the world can enjoy the freedom, the dignity, the opportunity and – above all – the justice that is their birthright.

That work has never been more important.

As information flows ever more freely around the world; as our economies are bound ever more closely together; as the threat from terrorists and cyber actors continues to grow without regard to national borders, those of us in the legal profession – especially those of us who serve in government – must acknowledge that our work to protect our people from harm, to fight crime and to secure justice increasingly requires international cooperation. Today, I would like to talk to you about four areas of the Justice Department’s work where this is certainly true: fighting terrorism; strengthening our cybersecurity; eradicating international corruption; and protecting the most vulnerable among us. Each of these goals is one of my top priorities as Attorney General and they are all in the core interest not only of the United States, but of others around the world. None of them can be achieved by the U.S. alone.

They require us to work with other nations to strengthen international norms and to deepen international cooperation – and I am proud to say that in each of these vital areas, we are

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US Attorney General, Loretta Lynch

doing just that.

My highest concern as Attorney General of the United States is defending our nation and protecting our people – and citizens worldwide -- from terrorism. At the Department of Justice, we are working tirelessly to detect, deter and disrupt plots that target not only the U.S., but also nations around the globe. We are relentlessly investigating and prosecuting those who seek to harm innocent people. And we are using all of the resources at our disposal to prevent American citizens from traveling overseas to fight with groups like ISIL and then returning home or traveling elsewhere to commit further attacks. Since 2013, we have publicly charged more than 100 individuals for conduct related to foreign terrorist fighter or homegrown violent extremist activity and we have thwarted a number of plots on American soil.

These are all notable achievements, but they leave us with no illusions that we can successfully combat terrorism alone. That’s why we have been so committed to deepening international ties that allow us to share information, uncover plots against ourselves and our allies and ensure that violent extremists can find no safe haven on our shores or those of our partners. Through bodies like Interpol and Europol, we are sharing information on foreign fighters and their movements across borders, giving us a seamless view of those who might be planning an attack. We have provided a range of resources, including FBI agents, to Interpol’s Fusion Cell, which tracks terrorist training, planning and financing around the world. We have entered into information-sharing agreements with more than 45 nations in order to identify and follow suspected terrorists, providing Interpol with profiles on approximately 4,000 foreign terrorist fighters. And we have helped to establish the 24/7 cyber network, which now has more than 70 members. This rapid reaction system allows investigators to work with internet service providers to preserve valuable digital data before it disappears – exactly the kind of collaboration that the fight against terrorism demands.

Similar cooperation is essential to meeting yet another modern challenge that doesn’t stop at the water’s edge: the variety of threats we face in cyber space. Our growing reliance on the internet provides an abundance of enticing targets to wrongdoers – from criminals attempting to steal consumer data, to state-sponsored actors

seeking to commit espionage or disable crucial infrastructure, to rogue hackers looking to sow mayhem. Preventing these incidents before they happen – and bringing perpetrators to justice when they do happen – requires increased cooperation among nations and the Justice Department is doing its part to advance that goal in a number of ways. The FBI’s Cyber Division recently created three new Cyber Assistant Legal Attaché positions in London, Ottawa and Canberra, allowing us to embed our personnel with foreign law enforcement agencies in order to streamline information sharing and further our cooperation on a range of cyber issues. Our Office of International Affairs has expanded the staff of its Mutual Legal Assistance Treaty Modernization Project, a critical effort to keep pace with the increasing volume of requests for electronic evidence from foreign authorities. And we are strongly committed to our obligations under the Budapest Convention, a landmark agreement that established global cooperation on cyber issues as a core aspect of international relations in the 21st century.

Working with international partners, we have succeeded in a number of notable cyber cases, including the takedown of a number of online marketplaces for drugs, firearms and other illegal goods; the shuttering of more than 200 websites that trafficked in child pornography; and the elimination of the Darkode hacking forum, an illicit online marketplace for the sale of malicious software and other tools of the cybercriminal’s trade.

Of course, in all of our efforts to counter both terrorism and cyber attacks, the United States is determined to protect privacy and civil liberties. This administration has taken a number of unprecedented steps to ensure that in our pursuit of security, we don’t undermine the very ideals that we are sworn to protect.

In 2014, for instance, President Obama issued a presidential policy directive setting forth new principles for how the United States collects signals intelligence. Among other provisions, the directive requires us to review our intelligence decisions on an annual basis, ensuring regular scrutiny of how we safeguard the privacy of our people at the same time that we uphold their security – and, importantly, as President Obama stressed, the directive takes the “unprecedented step” of extending protections that previously applied only to the American people to people overseas as well. In addition, earlier this year, I

had the privilege of traveling to Amsterdam to sign the “Umbrella” Agreement, which commits the European Union and the U.S. to protecting personal data when it is transferred for law enforcement and counterterrorism purposes.

The damage inflicted by international corruption may not be as visible as the harm done by terrorism or cyber incursions, but all of us here know that it is anything but a victimless crime.

The Department of Justice is determined to work with our law enforcement counterparts around the world to ensure that the United States offers no shelter for the perpetrators – or the proceeds – of corruption. As all of you know, last May, we joined with our colleagues in Switzerland to indict nine FIFA officials and five corporate executives for illegally enriching themselves through the corruption of international soccer. Since then, we have indicted 16 more defendants and along with our Swiss partners, we remain committed to keeping the beautiful game free from the stain of corruption. In 2010, our Criminal Division established the Kleptocracy Asset Recovery Initiative, which has opened cases involving billions of dollars in criminal assets. Where possible, we use the funds forfeited by the Kleptocracy Initiative to benefit the people of the countries who were harmed and we will remain vigilant against those who seek to abuse positions of public trust for private gain.

Finally, the Department of Justice is working alongside our international partners to take a firm stand against one of the most appalling crimes of our time: human trafficking. Ending this heinous practice – which is nothing less than modern-day slavery – is not easy. It is a largely invisible crime, which makes it difficult to determine precisely how many millions of men, women and children are in its clutches.

But we know that it occurs in countries around the world, including right here in the United States.

As in our counterterrorism operations, we have committed to sharing intelligence, combining resources and working through regional and international bodies to tighten the net against traffickers, resulting in operations like the one last June in the Ivory Coast, which arrested 25 suspects and rescued more than 75 children.

And more and more nations are developing more stringent anti-trafficking measures within their borders. Here in the United States, the Justice Department has joined the Departments of Labor and Homeland Security in launching the Anti-Trafficking Coordination Team Initiative, which assembles specialized units of attorneys and agents from across the federal government to more effectively apprehend traffickers, rescue victims and support survivors as they begin to reclaim their lives. We recently expanded this vital initiative and I pledge that the Department of Justice will continue to vigorously pursue those who treat other human beings as little more than means to be exploited.

Of course, we still have a long way to go before human trafficking is erased from our planet – just as we have a long way to go before terrorism is ended, cyber threats are neutralized and corruption no longer plagues our societies. But we have made tremendous progress by working together as an international community – and I believe that if we meet our obligations and continue to deepen that cooperation, our progress will only grow. I say “obligations” because as lawyers, we have a fundamental responsibility to serve justice above all else. And in our interconnected world, serving justice increasingly requires a global outlook. So I would ask all of you to continue to champion these issues in your home countries. Explore ways to ensure that our laws do a better job of thwarting terror; of protecting our networks; of upholding public integrity; and of safeguarding human dignity.

That is your calling as lawyers – and that is your duty as members of the International Bar Association. After all, the IBA was established amidst the ashes of the deadliest conflict in human history, the Second World War, a struggle that was in no small part the result of a failure of justice – both within nations and between them. The hope that gave rise to the IBA was that through closer ties between the world’s lawyers – through a transnational group devoted to the highest principles of justice – the world would never again suffer the kind of cataclysm it experienced in World War II. For 69 years, the IBA has kept faith with that sacred mission.

And I am certain that by keeping faith with it today, we will continue our shared progress toward a brighter, a safer and a more just future for all.

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Can an Area Council Licence Legal Practitioners to Practice in the FCT? Abubakar D. Sani

T

his question might come as something of a surprise to many legal practitioners in Nigeria, but I believe that is precisely what the Abuja Municipal Area Council Bye-Law No. 14 of 2012 seeks to achieve. The said law, (whose full title is the Shops, Kiosks, Trade Licence, Private Lock-up Shop and Allied Matters Bye-Law) was purportedly enacted by the “Legislative Arm” of the Abuja Municipal Area Council and took effect from the 2nd day of January 2012. It is published as Government Notice No. 100 in the Official Gazette of the Federal Republic of Nigeria No. 124, Vol. 102, dated 9th September 2015.

Section 1 of the Bye-Law provides that: “1. As from the commencement of this Bye-Law it shall be an offence for any person to establish or operate workshop (sic) or carry on any business, trade or occupation without obtaining a licence from the Area Council”.

Category E of the First Schedule to the Bye-Law is titled “Shops and Kiosks, Trade License Operational permit on Business and Commercial Premises; “Legal Practitioner/Chambers” are the first item in that category, and an annual fee N60,000 (Sixty Thousand Naira) is charged by the Council on any legal practitioner or chambers who/which wishes to operate within the territorial jurisdiction of the Bye-law, i.e, Wuse, Maitama, Asokoro and Garki, which together comprise the Abuja Municipal Area Council or AMAC. The foregoing is contained in Section 2(1) of the Bye-Law which provides thus: “A licence may be obtained on application and payment of the fees prescribed in the First Schedule depending on the business category”.

Sections 3 - 5 of the Bye-Law are also pertinent, and they provide as follows:- “3(i): Any licence issued shall expire on the 31st December of the year of issue of the licence”; (ii): Any licence issued under Section 2(i) of this Bye-Law shall be renewed annually on payment of a prescribed fee” - “4(i): Where it becomes evident that the necessary permit has not been obtained by a person operating a workshop or carrying on any business or trade as directed under this Bye-Law, the Area Council shall on the order of the Court seal up the workshop or business premises on (sic) which the trade is being carried on - “5: The Magistrate Court shall jurisdiction (sic)”.

I submit that the foregoing provisions are clear enough: they simply impose an obligation on all legal practitioners operating within Wuse, Maitama, Asokoro and Garki Districts of the FCT Abuja to pay the said levy and obtain an operating licence from AMAC, failing which they risk prosecution in a Magistrate court. I submit that the question is: Does AMAC have that power? I intend to demonstrate that the said Bye-Law is both ultra vires AMAC and inconsistent with the Legal Practitioners Act. I start with the latter.

Section 2(1) of the Legal Practitioners Act, Cap. L. 11, LFN 2004 provides thus: “Subject to the provisions of this Act, a person shall be entitled to practice as a barrister and solicitor if and only if, his name is on the roll”.

Section 8(2) of the LPA further provides that: “No legal practitioner (other than such a person as is mentioned in sub-section (3) of Section 2 of this Act) shall be accorded the right of audience in any court in Nigeria in

any year, unless he has paid to the Registrar in respect of that year, a practising fee as is from time to time prescribed by the AttorneyGeneral of the Federation after consultation with the Association”.

By virtue of Section 4(3) and Item 49 of the Exclusive Legislative List in Part 1 of the 2nd Schedule to the 1999 Constitution, the National Assembly possesses the exclusive power to regulate “Professional bodies as may be designated by the National Assembly”.

Paragraph 1 of Part III of the 2nd Schedule to the Constitution requires such designation to be effected either through an Act or a Resolution passed by the National Assembly. I submit that the National Assembly has exercised this power in respect of the legal profession in Nigeria through the Legal Practitioners Act. By virtue of Item 68 of the Exclusive Legislative List this power extends to any matter incidental or supplementary to anything mentioned in the Exclusive Legislative List. I submit that payment of a practising fee or operational levy to enable a legal practitioner to practice or operate a law chambers is anciliary to the general authority given by Item 49 of the Exclusive Legislative List of the Constitution to the National Assembly to designate and regulate all professions. I further submit that the National Assembly has already covered the field in this regard, vide Section 8(2) of the Legal Practitioners Act, as aforesaid.

In this connection, in THE HON. MIN. OF JUSTICE & ATT-GEN OF THE FED. v ATT-GEN. OF LAGOS STATE (2013) All FWLR pt. 704 pg. 1, the Supreme Court, per Muhammad, JSC, held that: “(The) doctrine of covering the field . . . is relevant in a federalism and postulates that where a Federal Constitution or a federal enactment has already covered a particular legislative field, no State or even Local Government law can be enacted to cover the same field already covered by the Constitution or the Federal enactment.”

Accordingly, I submit that to the extent that the Bye-Law purports to prescribe operational levies for legal practitioners, it is simply invalid, even assuming, without conceding, that AMAC possesses the vires or competence to enact it. In making this submission, I concede that Section 7(5) of the Constitution provides that the main functions of local government (or

area council) shall be as contained in the Fourth Schedule to the Constitution.

By virtue of Section 303 and Paragraph 2 of Part II of the First Schedule to the Constitution, the Abuja Municipal Area Council is one of the six area councils of the FCT. I, however, submit that nothing in the Constitution empowers any local government or area council in Nigeria to regulate the legal profession. By virtue of the maxim expressio unius est exclusio alterius, I submit that, to the extent that the functions of local government or area councils as stated in the Fourth Schedule to the Constitution excludes the granting of operational licences to legal practitioners, the said AMAC Bye-Law No. 14 of 2012 which purports to make such provisions is simply unconstitutional and ultra vires AMAC. I believe that this view is supported by the division of legislative powers under the Constitution between the National Assembly and the Houses of Assembly of the 36 States of the Federation: see Sections 4(1) & (7) of the Constitution. Crucially, no such provision exists in the Constitution in respect of local government or area councils. In other words, the Constitution does not confer legislative powers on local government or area councils. To that extent, I repeat my earlier submission that the maxim expressio unius est exclusio alterius applies to invalidate the said AMAC Bye-Law No. 14 of 2012, purportedly enacted by the so-called “Legislative Arm” of the Abuja Municipal Area Council.

Assuming without conceding that AMAC derived the authority to enact the Bye-Law by way of delegation from the National Assembly (which by virtue of Section 299(a) of the 1999 Constitution legislates for the FCT), I submit that such delegation would be ultra vires the National Assembly for the simple reason that that power is not conferred by the Constitution on the National Assembly. In this regard, in ATT-GEN. OF BENDEL STATE v ATT-GEN. OF THE FED. (1981)12 NSCC 314 @ 372, the Supreme Court, per Obaseki, JSC, opined that: “delegation by the National Assembly of its essential law-making function is precluded by the Constitution” ; and, further, that: “under a Constitution conferring specific powers, a particular power must be granted or it cannot be exercised”.

In relation to the FCT, Abuja, I submit that these dicta are applicable to the

National Assembly vis-a-vis area councils, given that the National Assembly is the legislature of the FCT as aforesaid. I submit that the Niger State Local Government Edict 1976 (one of the laws under which AMAC purported to enact the said Bye-Law – which Edict has been adopted by the National Assembly as part of the laws of the FCT) – and which purports to empower Area Councils to make ByeLaws, is an existing law under Section 315 of the Constitution.

To that extent, it is clear that the said Edict can only be valid if it is not inconsistent with the Constitution, in the sense that its subject matter is contained in either the exclusive or concurrent legislative lists of the Constitution, or is otherwise one in respect of which the National Assembly is competent to legislate upon. I submit that to the extent that the imposition of operational levies on professional bodies is not one of the functions conferred on a local government or area council by the Fourth Schedule to the 1999 Constitution, the said Bye-Law is ultra vires the National Assembly and, by implication, AMAC, notwithstanding any provisions in the said Edict to the contrary.

It is pertinent to point out that, apart from legal practitioners, the said Bye-Law also purports to regulate other professions and activities, and are for that reason, in my view, similarly invalid. Those provisions (in Category E of the Bye-Law) include those relating to: (i) Estate Surveyors/Valuers Architects, Dentists, Opticians, Engineers, Media Houses (Print/Electronic), Insurance – invalid vis-a-vis Items 49 & 33 of the Exclusive Legislative List of the Constitution; (ii) Banks, Finance Houses & Bureau de Change – inconsistent with Items 6 and 15 of the Exclusive Legislative List; (iii) Petroleum products – inconsistent with Item 39 of the Exclusive List of the Constitution; (iv) Telecommunications – inconsistent with Item 46 of the Exclusive Legislative List; (v) Pharmacists/Chemists, Soap/Detergent, Tobacco – inconsistent with Item 21 of the Exclusive Legislative List.

CONCLUSION What better way to end this piece than by recalling the dictum of Obaseki, JSC, in

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LEGAL HUMOUR

We Hold Your Brief JUDE IGBANOI jude.igbanoi@thisdaylive.com Dear Counsel, I will appreciate a quick response to my mail as it will save me a lot of trouble.

I have serious issues with my landlady. For the past nine months I have not enjoyed my stay in the two bedroom apartment I have occupied since 2007.

My problem started when my landlady refused to respect a simple agreement we had over some substantial repairs I effected in the apartment. I met the place in a state of disrepair. The landlady initially promised to fix the major repairs after I pay my rent and before I move in, but after I paid she started giving me excuses. I had no place to stay so I moved in and started carrying out the repairs myself.

She initially promised to refund all the money I spent in the repairs, but when my rent expired in 2009 she insisted on collecting the full rent without refunding my money. This had been an issue until this year when I had to fix the soak away pit directly behind my window which caved in. I spent over N25, 000 hoping to deduct it from my rent when due.

But to my surprise she did not only refuse to acknowledge the expenses I made, she also told all the tenants she had increased the rent and that we should either pay or quit.

She issued a quit notice through the caretaker early this year. Last month when my rent was due I gave a cheque of the old rate and she refused to collect it and insisted I must vacate the premises.

To my utter dismay, I came back from work and met the electricity meter for my apartment removed at her orders.

Now she has also barricaded my parking space in the premises and I now park outside with the attendant risk to my car. She ordered that the burglary proof at the back entrance to my apartment be pulled down and a wall has been erected in its place.

I feel unsafe but as a law-abiding citizen what should I do?

R.E., Ojodu, Lagos.

Dear Ms. R.E., Under these circumstances you must get a lawyer to engage your landlady immediately.

Granted that you may have made the mistake of not ensuring that you had a written agreement with regards to the repairs you carried out at the time you first moved in.

However, it is illegal and a breach of the Lagos State Tenancy Law 2011 for any landlord to alter any part of a building with a view to forcefully evicting a tenant. Under the law at Section 44 the offences and penalties are clearly stipulated.

S 44 (1) “Subject to the provisions of any Law – (a) any person who demolishes, alters or modifies a building to which this law applies with a view to ejecting a tenant and without the approval of the Court; or (b) any person who in respect of any premises – (i) attempts to forcibly eject or forcibly ejects a tenant; (ii) threatens or molests a tenant by action or words, with a view to ejecting such tenant; or (iii) willfully damages any premises, shall be guilty of an offence and is liable to a fine of up to two hundred and fifty thousand Naira (N250,000:00) or up to six (6) months imprisonment and any other non-custodial disposition.”

Please brief a lawyer as a matter of urgency to take this up with your landlady.

Disorder in the Courts At the start of a working day a smartly dressed Court Clerk went up to the seat of the Magistrate to clear away case-files left for the Magistrate, who was absent due to being poorly with a fever. As he sat down to pick the files left at the foot of the Magistrate’s bench a group of six lawyers all came in from the rain at the same time all rushing to enter the court first.

“Your Honour!” the first lawyer to enter exclaimed, “I am thoroughly grateful that you are sitting today, I had heard that you were down with a fever, but I am glad to see that your enemies have once more entered voicemail!” he continued, grinning widely. “May their number never connect with yours sir!”

“I am not…” the Court Clerk began to say but since he said it with the dilatory confidence of one not accustomed to the Magistrate’s bench the lawyer felt the need to quickly interject and appropriately direct the person he believed to be the Magistrate before him. “…you are not fully recovered and yet you came in to sit today? Your Honour, although I have not been before your Court previously, the stories are true, your honour is truly an epitome of diligence!”

“Your Honour if I may, I am not before ‘Your Diligence’ today but I have a pressing matter to report sir” the lawyer continued, by this time the other lawyers had shaken off the rain from their wigs and robes and were ready to interject.

“Counsel the Court is not sitting…” the Court Clerk attempted again, but another lawyer a more rotund fellow with a perplexed look on his face sat in the front row this time interjected “Me’lord but sir we came here in the rain! Me’lord Your Honour sir, this matter is a fundamental concern sir, it concerns allegations of bribery in your Court sir!!”

The Court Clerk who was attempting to rise from the Magistrate’s seat by now was shocked into silence, frozen stiff on the bench. “Bribery?” He said. “Yes sir” another lawyer said “That is why we are all here Me’lord Your Honour sir” Then hushing the rest of the lawyers, the first lawyer continued “Your Honour, forgive our impertinence but you cannot rise, what I was trying to say is that this matter concerns rumours that have been flying around that one of your Court Clerks has been collecting bribe to remove court records” “What?!” the Court Clerk shouted astonished. “Bribe? That is a lie! Who?” “Sir we all have matters before this Court for the first time sir but our litigation clerk in chambers every time we must file pleadings tells us that we have to give one Festus, your clerk in this court N2000, N5000, the last time he said if we didn’t give this Festus N10,000 he would remove court records of our matters from the files! In fact we are even lucky that nobody is here but you today sir, by the way where are your clerks sir?”

By now the Court Clerk was fuming, he rose to his feet, two hands firmly set on the Magistrate’s table, and as he did the lawyers as if possessed by the voicemail message of the Magistrate’s enemies rose to their feet. Then the Court Clerk said the following words: “What I have been trying to tell you gentle…” looking around at then he rephrased “..you rumour mongers is that His Honour is not sitting today, his enemies have finally caught him. My name is Festus Egbanla. I am His Honour’s only clerk. I think we can assume that your case-files will never be found?”

NEW SILKS

Mr. Ayodele Akintunde SAN being sworn in as a Senior Advocate of Nigeria, last week

Mr. Seni Adio after being sworn in as a Senior Advocate of Nigeria, last week

14/IBA CONFERENCE 2016 IMAGES

27.09.2016

From September 18 to 23 lawyers from various countries around the world converged in the United States capital Washington DC for the Annual General Conference of the International Bar Association. Here are some the Nigerian lawyers who attended

L-R: NBA Executive Director of Administration, Mrs. Ifueko Alufohai, NBA President, Mr. A.B. Mahmoud SAN, Mr. Garba Tetengi SAN, NBA General Secretary, Mr. Abiola Olagunju and Lady Derby Obodoukwu

L-R: NBA General Secretary, Mr. Abiola Olagunju, Former NBA General Secretary, Mr. Ibrahim Mark and Mr. Wale Akoni SAN

L-R: Mr. Dagogo Karibi-Whyte, Lagos State Attorney-General and Commissioner for Justice, Mr. Adeniji Kazeem and NBA-SBL Chairman, Olumide Akpata

L-R: Former NBA Publicity Secretary, Mr. Gbolahan Gbadamosi, Ms Funke Aboyade SAN and Mr. Adams Adedimeji

L-R: Mr. Emmanuel Akomaye, Chief Niyi Akintola SAN, Mallam Yusuf Ali SAN and Chief Chris Uche SAN

Mrs. Funmi Falana and Mr. Femi Falana SAN

Hon. Justice Benedict Kanyip of National Industrial Court (left) and Professor Paul Idornigie SAN

L-R: Mr. Jeevanandham Rajagopal, Mrs. Andrea Ajibade, Mrs. Victoria Onuoha and Dr. Babatunde Ajibade SAN

L-R: Former NBA National Treasurer, Mrs. Olufunmi Oluyede, Rosemary Chikwendu and Chidinma Thompson

L-R: Alero Pessu, Mr. Damian Dodo SAN, Jane Azirigwe, Mr. Sam Zibiri SAN and Olayinka Adedeji

27.09.2016

IBA CONFERENCE 2016 IMAGES/15

NBA President, Mr. A.B. Mahmoud SAN (left) and former NBA-SBL Chairman, Mr. George Etomi

L-R: Mr. Chidi Ilogu SAN, Chief Niyi Akintola SAN and Mr. Mathew Egbadon

L-R: Mr. Gani Ajape, former NBA General Secretary, Mr. Ibrahim Mark, Professor Bolaji Owasanoye and Mr. Moses Ebute

L-R: Mrs. Tessy Abe-Aghe, Professor Akin Akinkugbe, Fatima Bukar and Vinbai Ynemba

L-R: Mr. Sam Ologunorisa SAN, Hon. Justice Gbola Anediyi, Mr. Sam Zibiri SAN, Dr. Chike Amobi and Mr. Mbanefo Igwebguw

L-R: Mr. Kunle Adegoke, Mr. Ganesh Chandru and Mr. Karmal Raji

Mrs. Chinelo Bob-Osamor and her husband, Deputy Director General Nigerian Law School, Enugu Campus, Bob-Osamor

L-R: Mr. Kelechi Onu, Mrs. Chiogor Anigor and Mr. Dayo Benson

Mr. Paul Daudu (left) and Mr. Mbanefo Ikwegbue

L-R: Mr. Sola Dosunmu, Mr. Asamah Kadiri and Mr. F. Majiyagbe

L-R: Mr. George Bruzuela, Mr. Sam Zibiri SAN and Mr. Jose Miguel Alvarez

L-R: Mrs. Obiageli Nwankpo, Mr. Luka Haruna, Mrs. Ezenwaka Tina and Mr. Akeen Aponmade

16/RIGHT OF REPLY

27.09.2016

RE: The Nigerian Army Lacks the Power to Declare Civilians “Wanted”

Chief of Army Staff, Tukur Buratai

Osuagwu Ugochukwu

I

t was Judy Biggert who said "No one ever said that fighting the war against terrorism and defending our homeland would be easy. So let's support our troops, law enforcement workers, and our mission to keep our nation and our children safe in the days and years to come" My attention has been drawn to an article appearing in several newspapers and online media credited to Learned Silk FEMI FALANA (SAN) with the caption "Army Lacks Power To Declare Civilians 'Wanted'". I disagree with this view. The Nigerian Military or Army has both Constitutional and Statutory mandate to fight terrorism and in the course of securing the country from terrorism have the power to summon any person to assist them with this task. And if in the course of questioning any person who is suspected to have links with Terrorists the Army or Nigerian Military where the facts warrants, may refer the person to appropriate Agencies for further investigation and prosecution.

I do not see how any person would suggest that the Nigerian Army or Military would allow any person they suspect may interfere with war against terrorism to go

Chief of Defence Staff, Abayomi Olonisakin

scot free simply because the person wears civilian garb or is a civilian?

Certainly Public safety and National Security would not encourage such.

Rather than condemn the Nigerian Army for declaring certain persons wanted or summoning any person, we should commend them for their sound intelligence gathering.

On October 28 2015 the Nigerian Army declared 100 Boko Haram terrorists suspects wanted in Borno.

There was no write up condemning this declaration even where the photos of these persons were published. So why would declaring three persons wanted now generate controversy.

Nigerian Army has full powers under Section 217 of the Nigerian Constitution to summon or declare any person wanted in the course of defending Nigeria's territorial space from terrorists and rebels. They do not need to wait for the IGP or AGF or SSS to act swiftly.

1999 Constitution of Nigeria Section 217 provides. (1) There shall be an armed forces for the Federation which shall consist of an army, a navy, an Air Force and such other branches of the armed forces of the Federation as may be established by an Act of the National Assembly.

(2) The Federation shall, subject to an Act of the National Assembly made in that behalf, equip and maintain the armed forces as may be considered adequate and effective for the purpose of (a) defending Nigeria from external aggression; (b) maintaining its territorial integrity and securing its borders from violation on land, sea, or air; (c) suppressing insurrection and acting in aid of civil authorities to restore order when called upon to do so by the President, but subject to such conditions as may be prescribed by an Act of the National Assembly; and (d) performance such other functions as may be prescribed by an Act of the National Assembly.

DIA (DEFENCE INTELLIGENCE AGENCY) is one of the several law enforcement Agencies of the Military empowered under SECTION 40 TERRORISM (PREVENTION) ACT, 2011 to prevent acts of terrorism and investigate as well. Others include the NSCDC, NIS, NCS,NAPTIP etc. The Nigerian Army is part of the DIA and have full powers to investigate and prevent terrorism under the TPA 2011. That was why Major General Davies was appointed as acting head of DIA before President Buhari

CAN AN AREA COUNCIL LICENCE LEGAL PRACTITIONERS TO PRACTICE IN THE FCT? ATT-GEN OF BENDEL STATE v ATTGEN OF THE FED., supra, to the effect that under a Constitution conferring specific powers, a particular power must be granted, otherwise, it cannot be exercised.

I submit that this is but an amplification of the trite principle of Constitution law laid down in DOHERTY v BALEWA (1961)2 NSCC 248 @ 251, where the apex court, per Ademola, CJF, held that: “the Federal Parliament can legislate for

the Federation only on those matters in respect of which it is specifically empowered to legislate under the Constitution”.

In a nutshell, therefore, I submit that the said AMAC Bye-Law No. 14 of 2012 is invalid, null and void because it is inconsistent with the 1999 Constitution, given: (i) The lack of an express or implied authorisation in the Constitution for

CONTINUED FROM PAGE 12

its enactment by either the National Assembly directly or by AMAC, indirectly, through delegation by the National Assembly; and (ii) The fact that the National Assembly has already covered the field in terms of operational levies for legal practitioners in Nigeria vide Section 8(2) of the Legal Practitioners Act. Abubakar D. Sani, Esq., Barrister-atLaw

appointed Air Vice Marshal Mohammed Saliu Usman July this year as substantive head. According to the Armed Forces Act, the position of Chief of Defence Intelligence (CDI) which is the apex in the intelligence community is rotational among the services.

The DIA was tasked with militaryrelated intelligence outside and inside Nigeria with its pioneer head coming from the Nigerian Army in the person of Brigadier General A.G. Mohammed January 1985 – August 1985.

Nigeria's Defence Intelligence Agency was created when, in 1986, fulfilling one of the promises made in his first national address as president, Ibrahim Babangida issued Decree Number 19, dissolving the National Security Organization (NSO) and restructuring the country's security services into three separate entities under the Office of the Co-coordinator of National Security.

The Defence Intelligence Agency works as a secret Government Agent and are responsible for Intelligence gathering, their operations are more military styled unlike the NIA. The Agency may also be involved in intelligence sharing with the CIA and MI6,Most of their operations are classified and not publicly published.

They operate almost like 'Ghost' and they are well respected.

It is submitted that the Nigerian Army has full powers to summon any person and also declare same wanted where it deems fit in pursuance of its mandate both under the Nigerian Constitution and TPA 2011. The powers of the Nigerian Army to declare Civilians wanted is unshakeable, recognized by Law and unwavering. Any person who thinks other wise should better do a re-think and amend his or her ways to respect constituted authorities who seek information from them that will aid the fight against terrorism.

Osuagwu Ugochukwu, a Human Rights Lawyer, writes from Abuja.

16

T H I S D AY • TUESDAY, SEPTEMBER 27, 2016

POLITICS

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

EXECUTIVE BRIEFING

At the Mercy of the Political Class Abia State’s political firmament is being daily heated up by no other but the political elite, writes Emmanuel Ugwu

I

n Nigeria’s political climate, politicians readily change colour every season. They turn foes into friends and vice versa in an effort to build new alliances that suit their prevailing interests. In such situations, old friends and allies become new enemies and political foes.

Something close to this scenario played out in Abia’s politics on Friday September 16, 2016 when a chieftain of the ruling Peoples Democratic Party (PDP), Chief Uche Akwukwuegbu, popularly known as Bawas, in a surprise move, hosted a political gathering, where former governor of the state, Chief Orji Uzor Kalu was the star guest.

On the surface, it appeared like some luncheon.

But it would turn out a gathering of aggrieved politicians intending to forge new alliances to fight a common enemy. They ended up opening old wounds and raising the temperature of the already heated Abia polity. It was not just a gathering of politicians, a traditional ruler, who was equally aggrieved, was in their midst and his utterances at the event further fouled the air.

The paramount ruler of Ibeku, Eze Samuel Onuoha Ogurube IV of Ibeku, joined the politicians to fight their perceived common enemy, whom they identified to be Senator Theodore Orji, the immediate past governor of the state.

Eze Onuoha, used the occasion to engage in mea culpa over what he said was the wrong the people of Ibeku had done to Kalu. The offence, according to him, was that the former governor had made an Ibeku son governor but things fell apart between the two former governors resulting to the people of Ibeku turning against Kalu.

The royal father was referring to the misunderstanding that erupted between the former governor and his successor, Senator Orji, which made them become estranged and bitter political foes. After the profusely tendered apology by Eze Onuoha, others followed.

Chief Akwukwuegbu not only apologised to Kalu but also asked for forgiveness, saying he was misled into joining “a political group that left me worse off than I was”. Though Bawas, as he is popularly known, was trying to mend fences with Kalu after six years of political differences, he certainly believed to have overstated his disagreement with Senator Orji by saying he was worse off.

Obviously, Chief Akwukwuegbu is angry with both Senator Orji and Governor Okezie

Kalu was visibly elated by the apologies extended to him and the support of his new friends. He said he had accepted the apologies and forgiven his successor. But pointed out that he would never have anything to do with Senator Orji for the rest of his life, adding that he should not be held responsible for whatever his successor did wrong in office

Kalu

Ikpeazu over perceived wrongs done to him and needed rapprochement with Kalu to fight their common political foe. It was the reason he hosted Kalu to score a political point and spite his new enemies. It was a volte-face for Akwukwuegbu, who was said to be one of the local contractors allegedly patronised by the administration of Orji between 2007 and 2015.

Aside from being a major government contractor, Akwukwuegbu is also said to be a political beneficiary as his wife, Grace Nkem Uche, served as a member of the State House of Assembly for two terms of eight years during the Ochendo administration, which terminated in 2015 when she was denied ticket for third term.

This, and alleged “unfulfilled promises” to compensate his wife with political appointment are believed to be responsible for why Akwukwuegbu has been hitting from every direction and forming new alliances with Orji’s foes. Aside from Senator Orji, Bawas is also angry with Governor Ikpeazu and proudly joined those fighting to remove him from office.

The contractor, in justifying his support for Uche Ogah’s bid to oust Ikpeazu, had told journalists that he was being owed N250 million for road contracts done for the immediate past administration, adding that Governor Ikpeazu has refused to pay the inherited debt. He added that even when he asked for part payment of N5 million to enable him pay medical bills of his daughter who was undergoing a major operation in London, the governor refused him.

Akwuegbu did not hide his ill-feelings towards the governor’s camp. He used the occasion of the political gathering of his fellow aggrieved politicians at his home to lash out at the Ikpeazu administration, saying “Abia people are suffering because of the bad policies of the state government”.

Kalu was visibly elated by the apologies extended to him and the support of his new friends. He said he had accepted the apologies and forgiven his successor. But pointed out that he would never have anything to do with Senator Orji for the rest of his life, adding that he should not be held responsible for whatever his successor did wrong in office.

Kalu, a former presidential candidate of the Progressive Peoples Alliance (PPA) and who has also used the same platform for his bid to win election for the senatorial seat of Abia North on three occasions, regaled his listeners

Orji

with stories of his achievements as governor, saying Abia has now become a shadow of itself.

The former governor repeatedly reminded the gathering that he singlehandedly made his former chief of staff governor, only for him to turn against him. Former PDP state Chairman, Chief Tony Ukasanya, who defected to APGA and later APC after the 2105 election, and Chief Laz Ekwueme, an APC chieftain were on hand to support Kalu in the bashing of his opponents.

But the essence of that gathering appeared to have backfired as the politicians and sole traditional ruler that participated in it have come under fire. Orji debunked Kalu’s claims of making him governor and challenged him “to make yourself senator if you have power to make governor”.

The Senator representing Abia North scoffed to Kalu’s ambition to become a senator. Orji said this much in a statement issued by his media adviser, Mr. Don Norman Obinna, saying the “political misery” of his predecessor was self-inflicted because of “his presumptuousness and self-conceit”. He denounced the political gathering, which he said was motivated “by greed and animosity” and hosted by an “ingrate”, adding that their public apology to Kalu “for abandoning him after his so-called kindness to them lends credence to their despicability”.

Orji, who berated Kalu for always playing god and giving false impression of possessing the magic wand to make anything possible, including his claim that he made him governor in 2007, said his predecessor was fond of embarking on vain glory. According to him, “nobody has the power to make anybody (governor) if the plan was not the will of God, adding that God is the only being that has the power and the ability to change a man’s status”. He therefore went on to rais these posers: “If Kalu claimed that he made me governor, who then made him governor in 1999 or did he make himself?

“If Kalu has the magic wand to make people governor as he often claims in his laborious effort to garner sympathy, how come he has not been able to make himself Senator – one of the positions he so much craves – despite contesting on three occasions?”

Orji equally said he had “forgiven Kalu but will not forget how he acted as de facto governor for three years and almost deprived the good people of Abia State the dividends’ of democracy through his excessive demands

and family burdens”.

“I am not taken aback by Kalu’s antics.

He is the one that needs all the attention, propaganda and media coverage having the desire to becoming the President of Nigeria, CAF and FIFA. My responsibility is to provide qualitative representation to the people of Abia central and that I am committed to doing and not competing with Kalu,” he said.

On those behind the apology, Orji said Eze Samuel Onuoha, Chief Akwukwuegbu, Laz Onwuneme and Chief Ukasanya belong to the class of “fair weather politicians and saboteurs, who cannot be reckoned with (as) they survive by kowtowing persons in power and would turn their backs against the individuals when the goodies cease”. Orji chided Eze Onuoha saying he has ridiculed the royal stool by going out cap-in-hand to beg when he should have stayed in his palace, like kings worth their salt, for people to pay him homage. He also said the Ogurube IV of Ibeku had limited authority and therefore lacked the mandate to speak for the entire Ibeku people as Ibeku ancient kingdom is made up of several autonomous communities with their own traditional rulers.

“How can a man, who called himself king stoop so low to the extent of attending a political event organised and hosted in one of his subordinates’ house with all his cabinet chiefs?

That shows you his standard. A king who can ridicule his stool and crown because of car gift is not worthy of my attention,” he said.

The involvement of Eze Onuoha in the political meeting and his apology to Kalu on behalf of the people of Ibeku has drawn the flaks of other traditional rulers in Ibeku.

Following the creation of autonomous communities in Abia, Ibeku land, which is in the heart of the capital city, Umuahia, was split into 16 autonomous communities, thereby whittling down the power and influence of the Ogurube, who in the past was the paramount ruler of the clan. The chairman of Ibeku Council of Traditional Rulers, Eze Henry Ezekwem has faulted the Ogurube IV for apologising to Kalu on behalf of Ibeku people, saying “Eze Onuoha cannot speak for us at all”. According to him, there was no time the traditional rulers in Ibeku land met and agreed that an apology should be tendered to Kalu, adding that both former CONTINUED ON NEXT PAGE

17

T H I S D AY • TUESDAY, SEPTEMBER 27, 2016

PERSPECTIVE

Buhari’s Path to Self-Annihilation Some of President Muhammadu Buhari’s actions and disposition are responsible for the hardship the country is currently undergoing, writes Roland Terkula

I

wrote an opinion piece in the thick of the presidency’s needless war against the Senate leadership, wherein I cautioned President Muhammadu Buhari against becoming Nigeria’s Nero Claudius. I urged him to face the enormous task of governance, especially the economy, which was already beginning to go south. But voices of reason were drowned by politics.

The ascension of Nero Claudius Drasus Germaniscus to the throne in 54AD was received with a vortex of jubilation among the Roman plebeians and the patricians. But, shortly after, it was discovered that Nero had an ear problem, among other ailments, which led him into rampant paranoia and melancholy of suspicion of not only the Roman senators, but also his mother, brothers and subalterns. Nero thrived on cold revenge and was so self-indulgent that he was said to have fiddled while Rome burnt, hence Petronius refer to him as the “incendiary of the Roman expire”.

Nigerians gave their mandate to President Muhammadu Buhari and the All Progressives Congress (APC) in March, 2015 on several irresistible campaign promises that included, but not limited to an unbiased fight against corruption, stable power supply, naira-dollar parity, reduction of pump price of petroleum products (they lampooned N86 reduction by ex-President Goodluck Jonathan), mass employment, economic diversification, food surpluses, N5,000 monthly stipend to the unemployed, school feeding, defeat of Boko Haram and general insecurity, etc. Strangely, the very party everybody looked up to became selfdestruct, tyrannical, laggard, and inept once in power. Bedeviled by power-jostling, the APC would not even allow members of the 8th National Assembly to freely choose their principal officers in accordance with Section 50 of the 1999 Constitution. Well-meaning Nigerians saw the onslaught against the National Assembly as the presidency and APC cabal’s way to bring down the Senate leadership for emerging against their dictates. With the move to overthrow Senator Bukola Saraki as Senate President vide the Code of Conduct Tribunal (CCT) not coming as quickly as expected, Plan B was activated to oust Saraki and his deputy, Senator Ike Ekweremadu, relying on trumped-up charges of forgery of Senate Standing Rule. Patriotic Nigerians warned that the government was derailing, but government kept fiddling. Also, in a strongly-worded resolution entitled “Threat to our Democracy”, sponsored by Senator Dino Melaye (APC-Kogi West), the Senate cried out that the planned attempt to arraign the leadership of the Senate over an internal matter of the Upper Chamber and spurious forgery claims was a smoke screen for an impending attempt to overthrow the legislative arm of the government.

Also, the House of Representatives in its motion on the “Threat to Democracy” frowned at the rising executive impunity,

Buhari...time to change style

noting that the planned arraignment of Saraki and Ekweremadu was “a deliberate and concerted attack on the National Assembly to render it useless”. The House recalled that a Federal High Court in Abuja had in July and August 2015, ruled that the allegation of forging Standing Rules was an internal affair of the National Assembly and not the business of the executive.

Senior lawyers, including Chief Mike Ozekhome, warned that the AttorneyGeneral of the Federation (AGF), Abubakar Malami, who was until his appointment a counsel to the Senate Unity Forum (presidency’s foot soldiers in the Senate) in the suit by Senator Gilbert Nnaji challenging the constitutionality of the Police investigation of Senate Standing Rules, could not charge these men to court while the suit was still

But now that it is clear to all, including President Buhari that there is truly fire on the mountain, will he get his priorities right? Will he extend a hand of fellowship to the embattled Senate leadership and the National Assembly to ensure all hands are on deck to salvage the economy? Or will the fiddling or rat-chasing continue?

pending. But the fiddling continued.

Without fair hearing, without interrogation, without any mention of either Saraki or Ekweremadu by the petitioners, without any of the APC Senators or NASS bureaucrats interrogated by the Police accusing them of any wrongdoing, without the police report indicting them and without waiting for the exhaustion of the suit challenging the constitutionality of the Executive (police) investigation of Senate internal affairs, the AGF docked the Senate’s presiding officers.

Peeved by the impunity, Justice Gabriel Kolawole ruled on June 2, 2016, that the AGF’s action was “a gross abuse of legal process” and not in national interest, wondering “why the desperate haste?” He said he would have dismissed outright, the suit were it filed before his court. Reacting to what he termed an “attempt by the executive arm of the federal government to muzzle the legislature and criminalise legislative processes in order to cause leadership change”, the Senate’s spokesman, Senator Sabi Abdullahi, warned: “Nigerian people have enough economic hardship at this time requiring the full attention and cooperation of the three arms of government, instead of these attempts to distract and politicise governance.

“We are in a state of economic emergency such that what the National Assembly needs at this time are executive bills and proposals aimed at resolving the crises of unemployment, currency depreciation, inflation, crime and insecurity”. Regrettably, Buhari and his Men Friday fiddled on.

Today, the chicken has come home to roost. The economy is in shambles. Foreign investors have fled due to lack of economic directions, incompetent policies, as well as reckless and contradictory pronouncements of the government. The costs of staple food items have hit the rooftop and, as the Catholic Bishops Conference rightly confessed, there is hunger in the land.

The same people that led Occupy Nigeria in 2012 have come back to their vomit by removing the fuel susbsidy, yet without palliatives for the masses. Unemployment and job losses in the country are unprecedented.

Southern and North Central parts of Nigeria are at the mercy of rampaging herdsmen whom government has curiously refused to lift a finger against and people can’t farm.

A recent report by the Nigeria Police showed that Nigeria recorded 62 suicides in the last six months. Again, having divided the country into 97 per cent and 5 per cent, multiple militant groups have resurfaced in the Niger Delta, crippling oil output, to ensure that 5 per cent is not robbed to pay 97 per cent. Secessionist feelings have never been this high in the South-east since the end of the civil war, despite crackdowns by security agencies. They feel sidelined and the only principal office (Deputy Senate President) they occupy is being persecuted.

The electoral system has declined from the globally acclaimed improvements that made the historic victories of the APC possible.

There seems to be a new code: if APC cannot win, then don’t conduct or conclude elections. INEC appears reduced to an Inconclusive National Electoral Commission.

A disappointed international community has not been silent. Former Chairman of the Intelligence Committee in the U.S Congress, Pete Hoekstra, in a Wall Street Journal piece entitled “Buhari is Nigeria’s Problem, Not the Solution”, accused Buhari’s administration of outdated economic policies, selective anti-corruption war, and divisive policies exacerbating militancy in the Niger Delta. Also, a serving member of the U.S Congress, Tom Marino, recently petitioned the Secretary of State, John Kerry, accusing President Buhari of the same tendencies, including extra-judicial killing of unarmed pro-Biafra protesters and disregard for the rule of law, etc. A recent UN report declared that Nigeria is now more divided now than at any other time in its political history.

But now that it is clear to all, including President Buhari that there is truly fire on the mountain, will he get his priorities right? Will he extend a hand of fellowship to the embattled Senate leadership and the National Assembly to ensure all hands are on deck to salvage the economy? Or will the fiddling or rat-chasing continue?

Some say it surely will, as it is primarily about 2019. But, who will vote Buhari or APC in 2019? Unless there is a drastic reduction in the hardship pervading the land, no reasonable voter will touch the APC or Buhari with a 100-metre pole in 2019. The desperation with which the Edo governorship election was postponed unmasks APC’s nose-diving popularity. Worse, I do not see how an embattled National Assembly could concentrate and help him to succeed either.

So, if Buhari fails, Nigerians must know that he created the ditches himself and fell in by himself, like Nero.

Terkula wrote from Makurdi, Benue State

AT THE MERCY OF THE POLITICAL CLASS governors are politicians, who could resolve their differences on their own.

“If Kalu and Senator Orji have misunderstanding, let them resolve their problem”.

However, Eze Ezekwem, the traditional ruler of Emede, one of the autonomous communities in Ibeku, said the traditional rulers of Ibeku would only intervene in the feud between their son, Senator Orji and Chief Kalu on request and in that situation, the royal fathers of Ibeku would have to meet with their Igbere counterparts since Kalu hails from Igbere in Bende Local Government.

Youths of Ibeku have also risen against the Ogurube IV and the aggrieved politicians, saying they had embarrassed Ibeku land and “danced naked” by apologising to Kalu without the mandate of Ibeku people. The youths under

the aegis of Coalition of All Ibeku Youth and Pressure Groups, expressed their feeling in a statement signed by the duo of Emeka Churchill Okezie, chairman and Daniel Nduka, secretary.

The group said it was “alarmed at the recent shameful outing by HRH Eze Onuoha and some few misguided elements in Ibeku land”. The youth coalition, which described itself as an affiliate of Ohanaeze Youth Council (OYC), said with the Eze Onuoha’s participation at the political gathering, “royalty was debased and its sanctity desecrated by a mission and statements that brought odium to the great Ibeku ancient kingdom”.

The group questioned the rationale for the “disgruntled” Ibeku politicians to be hobnobbing with Kalu “their new bride”, noting that while in office for eight years, “Kalu did not affect the

life of Ibeku people wonderfully for them to tow that disgraceful mission. The youth group said “Ibeku ancestors are gnashing their teeth for that ignominious outing and faulted “the claim that Orji Uzor Kalu single-handedly made Senator Orji governor of Abia state.

“Nobody can single-handedly make anybody governor as there are many other forces that come into play and ultimately, it is the electorate that chooses their leaders. Even if Orji Kalu played a role in making T.A. Orji governor, he did so thinking that Senator Orji will be used as conduit pipe for him (Orji Kalu) to enslave Abians. It was Senator Orji’s refusal to sell Abia State to Orji Uzor Kalu that generated his angst against Ochendo Abia. All Abians know that and it’s surprising that those that carried out that shameful reception pretended not to know”.

Despite the dust raised by the meeting between Kalu and some aggrieved politicians, observers believe that it was likely going to be a precursor to a new political alliance ahead of the 2019 election. Kalu hinted as much when he told journalists that “democracy is going to be strong in our state and Southeast zone” following the forthcoming realignment of forces.

“We are going to bring strong democratic ethics; we are going to show our people that we are going to rekindle and do what we know best how to do, which is politics and process of anchoring our people to true democracy,” he said. But by reopening old political wounds and heating up the polity, the aggrieved politicians have and if they succeed in stoking animosity, it would continue to fester and undermine the polity.

18

TUESDAY SEPTEMBER 27, 2016 • T H I S D AY

INTERNATIONAL

Gunman Injures Several in Houston, Suspect Shot by Police At least six people were injured by a shooter who fired at vehicles in Houston yesterday before police officers shot the suspect and took him into custody, authorities in the Texas city said. Several of the victims suffered gunshot wounds to their extremities and a couple of the injuries was more serious, Fire Department spokesman Richard Mann told reporters.

All of the victims were inside their vehicles during the morning commute when they were shot, he said. The medical condition of the suspect was not immediately known. Broken glass from

shattered car windows littered a parking lot in an upscale shopping center near where the suspect fired 20-30 shots in the wealthy neighborhood of West University Place.

“At this time, the shooting scene is believed to be contained,” the city said on its emergency page. People who were shot by the suspect were transported to area hospitals and the exact extent of their injuries was not yet known, Houston police said.

“I do not know if he’s dead or not,” Mann told reporters about the shooter. “I know that he’s been neutralized and is no longer a threat.”

A police bomb squad was dispatched to the area to investigate a vehicle, Fox 26 TV reported, adding a “shelter in place” order was issued for the area.

“I am just hearing the bullets literally whiz by my window,” an unidentified woman who witnessed the shooting told the station as she stood next to a car with two bullet holes in the windshield.

Live video streams showed the presence of numerous police cars and ambulances in the area. There were also a f ew v e h i c l e s s e e n w i t h bullet holes.

Air Strikes Pound Rebel-held Aleppo Districts Dozens of air strikes hit rebel-held areas of the northern Syrian city of Aleppo overnight, a monitor and defense worker said, continuing a fierce air campaign by Syrian government and allied forces since a ceasefire broke down almost a week ago.

The Syrian Observatory for Human Rights said dozens of air strikes hit the rebel-held half of the divided city, the target of a fresh offensive announced by the Syrian army on Thursday.

Aleppo has become the main battle ground of a conflict now in its sixth year. Capturing rebel districts of Syria’s largest city, where more than 250,000 civilians are trapped, would mark the biggest victory of the civil war for Syrian President Bashar al-Assad’s forces.

Bebars Mishal, a civil defense worker in rebel-held Aleppo, said the bombardment continued until 6 a.m. (0300 GMT.“It’s the same situation. Especially at night, the bombardment intensifies, it

becomes more violent, using all kinds of weapons, phosphorous and napalm and cluster bombs,” Mishal told Reuters.

“Now, there’s just the helicopter, and God only knows where it will bomb. God knows which building will collapse,”he said.

Another civil defense worker, Ismail al-Abdullah, said the overnight bombardment had been less intense than it had been in the past few days and the morning was relatively quiet.

T H I S D AY TUESDAY SEPTEMBER 27, 2016

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IMAGES

L-R: Group Marketing Executive, Dangote Flour Mills Plc, Mr Kwaku Boateng; Vice-Chairman, Flour Milling Association of Nigeria/Managing Director, Honeywell Flour Mills Plc, Mr. Lanre Jaiyeola; Rector, Yaba College of Technology, Lagos, Dr. (Mrs.) Margaret Kudi Ladipo; Group Managing Director, Flour Mills of Nigeria Plc, Mr. Paul Gbededo; and Head of Sales, Dufil Prima Foods Plc, Mr. Adil Doctor, during Flour Milling Association of Nigeria’s donation of baking equipment to Yabatech, in

L-R: Director, Consumer Affairs Department, Nigerian Shippers Council, Ms. Azuka Ogo; Executive Secretary/CEO, Nigerian Shippers Council, Hassan Bello; and President, West African Road Transport Union (WARTU), Mr. Ogbogo Aloga, at the inauguration of the WARTU Intern Committee members in Abuja...recently

L-R: State Overseer, Deeper Life Bible Church FCT, Pastor Joshua Esho, and the Crusade Coordinating Commandant/Region Overseer, Pastor Augustine Onokor, during a press briefing on the crusade ‘One Day of Supernatural Wonders’ by Pastor William Kumuyi at the National Stadium, Abuja...yesterday ENOCK REUBEN

L-R: King Sunny Ade; Speaker, Lagos State House of Assembly, Hon Mudashiru Ajayi Obasa; and Chief Kenny Martins at the 70th birthday celebration of Sunny Ade in Lagos..recently ABIODUN AJALA

T H I S D AY • TUESDAY, SEPTEMBER 27, 2016

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

L-R: Director E-Government, Federal Ministry of Communications, Tope Fashedemi; Government Affairs Director, Middle East & Africa (MEA), Microsoft, Christopher Akiwumi; Permanent Secretary, Federal Ministry of Communications, Mr Sonny Echono; Government Affairs Director, Microsoft, Heba Ramzy; and National Coordinator of Nigerian Content Development in ICT (ONC), Inye Kemabonta, during a two-day Data Classification Workshop organised by the Office for Nigerian Content Development in ICT (ONC) and Microsoft Nigeria at Victoria

R-L, Kogi State Governor, Yahaya Bello;(right) and Speaker, Kogi State House of Assembly, Hon Umar Imam at the burial ceremony for the late Oba Michael Segun Olobayo-The Obaro of Kabba in Kogi State...recently Ju

L-R: Managing Director, West Africa, Process Safety and Reliability Group, Mr. Obinna Ugwuegbu; Executive Director, Total Exploration & Production Nigeria Ltd, Mr. Joel Hervochon; Managing Director, Shell Nigeria Exploration and Production Company (SNEPCo), Mr. Bayo Ojulari; and Chief Executive Officer, Richardson Oil & Gas Ltd, Mr. Akin Osuntoki, during the conferment of Special Achievement Award on Ojulari, at the PSRG- RICHARDSON Health, Safety, Security and Environment (HSSE) Forum in Lagos...recentl

L-R: Deputy Director & Head Institutional Sales, FBN Capital, Tseyi Hammond, receiving the Best Africa Investment Bank Award from the CEO & Vice-Chairman, Africa Investor, Hurbert Danso, at the Africa Investor Capital Market & Index Series Awards 2016 in New York...recently

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BUSINESSWORLD R A T E S

NIBOR OVERNIGHT 1-MONTH

12.0833% 19.1300%

A S 3-MONTH 6-MONTH

A T 19.8975% 22.2162%

Group Business Editor ChikaAmanze-Nwachuku Email: chika.amanzenwachukwu@thisdaylive.com 08033294157, 08057161321

S E P T E M B E R

NITTY 1-MONTH 2-MONTH 3-MONTH

17.2159% 17.5001% 17.7218%

6-MONTH 9-MONTH 12-MONTH

2 4 , 18.4334% 20.1757% 21.3841%

2 0 1 6

EXCHANGE RATE N307.79/1UD DOLLAR AS AT LAST FRIDAY

Quick Takes Eko Disco Tackles Energy Theft

Eko Electricity Distribution Plc has announced that it has commenced a collaborative effort with the Nigerian Police and Nigerian Security Civil Defence Corps to combat energy theft in all its ramifications, such as meter by-pass, illegal connection and reconnection throughout the company’s operational territory.

This disclosure was contained in a release by the Corporate Communications Department of the Company in Lagos.

The release, signed by the company’s Head, Corporate Communications, Mr. Godwin Idemudia, said Energy Theft Detection Unit had been set up in all the eight Business Districts of the company for purpose of fishing out those engaging in meter by-pass and illegal connection or reconnection.

According to the release, members of the Energy Theft Detection Units will be going round with security agents and anyone caught engaging in the illegal act of meter by-pass or illegal connection will pay a minimum fine of fifty thousand naira (N50, 000.00) or be ready to face prosecution in the law court.

The release also hinted that apart from being an act of economic sabotage, energy theft is also a crime that is punishable under the laws of the land and as such perpetrators should be ready to face the consequence of their criminal act.

Schneider Electric Unveils New Products

TRADING PLATFORMS PRESENTATION

L-R: Head of Education & Market Analysis, Kola Adebayo; Operations Staff, Temitayo Sanusi; Managing Director, Gbite Oduneye; Sales Manager, Barbara Awodu Aleshe, and Business Development, Olumese Chris Obouaye, all of Eagle Global Markets (EGM) at the company’s trading platforms presentation in Lagos …recently ABIODUN AJALA

Wood Mackenzie: Oil Majors Invest $169bn in Exploration Ejiofor Alike As the upstream companies grapple with oil price downturn, a new research from Wood Mackenzie has revealed that the majors invested $169 billion in exploration during the 2015-2016 period.

With the exploration spend shrinking by half in 2015 versus 2014, Wood Mackenzie’s report indicates that the majors are also adjusting to the new economics of exploration, with industry facing a leaner but potentially more profitable future

ENERGY Wood Mackenzie predicted that the oil and gas industry is poised to emerge from the slump leaner, more efficient and more profitable.

According to Wood Mackenzie’s new report “Exploration Benchmarking – Majors 20062015,” the majors invested $169 billion in exploration during the period analysed, adding a total of 72 billion barrels of oil equivalent (boe) to their resource base.

Of this, 25 billion boe comes

from unconventional plays, while resource discovery costs for the period averaged $1.78/ boe.

The report also showed that returns over the period were not optimal, with returns of just six per cent, versus an industry average of 10 per cent.

Wood Mackenzie, however, noted that the majors moved quickly in 2015 to improve weak exploration returns.

“Steep cuts in exploration spending for the year have forced high-grading, which has led to enhanced prospect

quality. Unconventionals are becoming increasingly important, attracting 15 per cent of the majors’ exploration spend and outperforming returns from conventional exploration since 2013,” said the report.

“Good conventional exploration volumes, together with large adds from unconventionals saw the majors add resources well ahead of the volumes they produced every year from 2011.

Resource discovery costs also fell, with the lowest costs recorded in 2015,” the report Continued on page 22

NERC Gives Discos November 1 Deadline to Close CAPMI Scheme Chineme Okafor in Abuja The Nigerian Electricity Regulatory Commission (NERC) has directed the 11 electricity distribution companies (Discos) to formally wind-down, by November 1, 2016, the alternative meter financing scheme it initiated in 2013.

The commission said the Credited Advance Payment for Metering Implementation (CAPMI), which allows electricity consumers self-finance of their meter acquisition and installation given that Discos were unable to promptly deploy meters to them, would now seize to exist from November 1.

The commission said in a letter to the Discos that between November 2013 and June 2016,

ENERGY only about 500,000 meters were deployed by the 11 Discos with in their networks with less than 35 per cent of that directly done by the Discos.

NERC’s acting chairman, Dr. Anthony Akah told THISDAY in Abuja that the directive to the Discos to close-down the CAPMI scheme was based on the pronouncement of the Minister of Power, Works and Housing, Mr. Babatunde Fashola, that the Discos have done badly with meter deployment even after collecting monies from consumers.

“It should be recalled that the CAPMI initiative, which was instituted in 2013 was designed to assist the Discos

in providing alternative financing options for reducing the very dire metering gap that was estimated to be above 50 per cent (courtesy report submitted by the a metering committee headed by the tate Barr. Bamidele Aturu) in 2012.

“The commission then invited stakeholders including all the Discos, meter service providers, local meter manufacturers and other importers of metering instruments to assist in articulating a scheme that would assist in reducing the suffering of customers from estimated billing.

“The Credited Advance Payment for Metering Implementation was then articulated to incorporate a framework for easy procurement by Discos

based on a bid document that reduced the time lag and focused mainly on ability to supply and install the meters within 45 days from when a customer paid the stipulated fee,” he said.

Akah said while the scheme will be formally closed by November 1, the commission expects that Discos would meter all the customers who have so far paid for meters under the CAPMI scheme and not collect any form of payments for meters between now and when the program will end.

He further said on the decision to close down CAPMI: “A number of audits carried out by the commission revealed Continued on page 22

Schneider Electric has unveiled the latest APC BX 700 Back-UPS in its effort to efficiently improve power supply and safety in Nigeria, while increasing users’ productivity.

The launch of the product coincides with the opening of APC by Schneider Electric’s new retail outlet in Alaba IT retail market aimed at bringing quality and reliable IT power products closer to the end users.

The APC BX 700 Back-UPS, which comes with 4 IEC sockets, instantly adjusts high and low voltage fluctuations to safe levels for connected electronics, saving battery power for users, especially during storms and outages.

Speaking at the launch of the new product and opening of the new retail outlet in Alaba, APC by Schneider Electric’s Retail Manager, Oluwaseun Oloyede reiterated the company’s commitment to developing innovative products geared towards improving productivity and connectivity for users.

“With the current economic situation, we must say that we understand the pains Nigerians go through when electrical and business equipment gets damaged as a result of power surge. With the new APC BX 700 Back-UPS, this will be a thing of the past for business owners” Oloyede stated.1

Cummins Promotes Gas Generators

As part of the solutions to the high cost of petrol and diesel used for power generation in Nigeria, Cummins Energy Solution Nigeria has advocated the use of gas-powered generators by industries and households.

The General Manager of Cummins Energy Solutions Nigeria, Graham Christie, said in a statement at the weekend that the Nigerian market had experienced a huge transformation from the time when consumers were more about procuring just diesel fuel to an age where the consumer have become more enlightened.

“This no doubt is a big advantage for gas generators, as they offer a much lower life cycle cost as compared to diesel generators, and with Waste Heat Recovery installations, for both hot or cold applications, the total gas generator efficiency goes beyond anything diesel generators could achieve; thereby reducing the resultant payback time on the capital cost of the equipment drastically,” Christie said.

The total outstanding contractual liabilities are in the region of N1.5trillion and this administration is taking them in batches.

Minister of Power, Works and Housing, Mr. Babatunde Fashola

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BUSINESSWORLD WOOD MACKENZIE: OIL MAJORS INVEST $169BN IN EXPLORATION

added.

Commenting on the report, the Vice President of exploration research at Wood Mackenzie, Dr. Andrew Latham said “our research shows that a number of things needed to, and are, changing.”

Latham explained that one positive side effect of the downturn is that the majors have changed the way they approach exploration, leading to improved returns, even at lower prices.

He added that the new economics of exploration mean that rather than pursuing high-cost, high-risk exploration strategies - elephant hunting in the Arctic, for example - the majors have become more conscious of costs.

“Smaller budgets have required them to choose only their best prospects for drilling, including more wells close to existing fields. The industry now has in prospect a different – and potentially more profitable – future,” Latham said.

While insisting that “exploration has a new role – less is more,” Latham explained that the early indications are that the majors are now getting the exploration economics right.

NERC GIVES DISCOS NOVEMBER 1 DEADLINE TO CLOSE CAPMI SCHEME

that most electricity customers were not being metered even after making payments beyond the agreed 45 days.

“Some Discos were merely selling meters to their customers in the disguise of implementing the CAPMI. Some Discos were reprimanded for their non-compliance to the CAPMI order, yet there was minimal improvement in meter deployment.”

“Given the fact that metering is the exclusive responsibility of Discos, the commission issued a number of directives and instituted various compliance and enforcement groups to persuade Discos to improve the meter roll out from both their performance agreement and CAPMI.

Group Business Editor

Chika Amanze-Nwachuku AgriBusiness/Industry Editor

Crusoe Osagie

Comms/e-Business Editor

Emma Okonji

Capital Market Editor

Goddy Egene

Senior Correspondent

Raheem Akingbolu (Advertising) Correspondents

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

Nume Ekeghe (Money Market) Nosa Alekhuogie (Cap Mkt)

NEWS

Union Homes Depositors Seek CBN’s Intervention over Trapped Funds Ademola Babalola in Ibadan The acquisition of Union Homes Plc, a subsidiary of Union Bank Plc by Aso Savings and Loans Plc has thrown customers of the financial house into financial crisis due to their inability to access their savings running to several millions of Naira.

The distraught depositors, who are wallowing in serious lack and want are lamenting their relationship with the bank, pleading for intervention by the Central Bank of Nigeria (CBN) to bail them out of the problem. The customers, who shared their experience with journalists in Ibadan over the weekend, explained that the sale of the Union Homes Plc by its parent body, Union Bank Plc in 2013 to Aso Savings and Loans Plc led to their predicament , accusing the present owner of the bank of lack of commitment.

Speaking on condition of anonymity, one of the customers, who disclosed that his fund trapped in the bank could not be less than five million Naira (N5,000,000.00) maintained that Union Bank Plc had handed off everything since 2015.

According to him, “The acquisition of the Union Homes Plc by Aso Savings and Loans process actually started in September 2013 and was completed in February, 2015, but, the new owners have been silent on the fate of the numerous customers inherited in the acquisition process.

“The question everybody is asking now is the whereabout

of the several millions of Naira if not billions inherited as a result of the acquisition or is the Aso Savings and Loans Plc telling us that it only inherited asset and no liabilities?

“Expectation of everybody when the Aso Savings and Loans Plc acquired the Union Homes Plc was that the new buyer would open their offices to people, inject funds and people would be able to

A member of the World Bank Group, International Finance Corporation (IFC) and the United Kingdom’s Department for International Development (DFID) have announced a partnership to facilitate the deployment of off-grid and embedded solar systems solutions in commercial and industrial sectors in Nigeria.

The objective of the collaboration is to help corporate and small and medium enterprises (SMEs) to have better and more access to electricity through the utilization of the country’s abundant solar resources.

According to the two institutions, their joint efforts would contribute to Nigeria’s sustainable economic growth and greenhouse gas emission reduction objectives.

Speaking in Lagos recently during a sensitisation of solar systems stakeholders, the DFID Nigeria’s Head of Office, Ben Mellor stated that the UK Government is committed to helping to increase investment in off-grid energy and accelerating the delivery of solar energy systems that will help improve access to energy for more businesses.

“As access to energy is

body to intervene the way it did recently in the case one of the commercial banks (names withheld), the customer said “it is only by that that the confidence of the customers will not be eroded”. It was gathered that the CBN had given Aso Savings and Loans Plc two deadlines, December 2015 and March, 2016 with which to pay up all the depositors, but, despite not meeting the

deadlines, the apex bank had not done anything to force the management of the financial house to toe the path of honour.

Efforts to get the reactions of two Assistant General Managers (AGMs), Mrs. U.H.Talabi and Esther Mogha, said to be inherited by Aso Savings and Loans Plc from the Union Homes Plc proved abortive as they duo did not respond to calls put across to them.

STOCK TAKING

L-R: Company Secretary, Royal Exchange Plc, Sheila Ezeuko; Chairman, Mr. Kenneth Ezenwani Odogwu; Group Managing Director, Mr. Auwalu Muktari and Director, Mr. Daniel Maegerie at the 47th annual general meeting of the company in Lagos …recently ABIODUN AJALA

IFC Partners DFID to Improve Access to Electricity for SMEs in Nigeria Ejiofor Alike

transact business with them, but, nothing has happened since then. “Yet, people are suffering and even dying due to their inability to access their savings, at least, the essence of saving is to become handy when the need arises. Unfortunately, here we are, what we laboured for and keep for the rainy day is being denied us”, the customer lamented. While calling on the CBN as the r egulatory

one of the most critical business needs in Africa and particularly Nigeria, the UK’s Department for International Development is determined to assist in bringing solar technology financing solutions to smaller businesses and corporate and we are working with IFC to help implement these solutions,” Mellor said.

On her part, the IFC Country Manager for Nigeria, Eme Essien Lore said IFC had been at the fore, creating and facilitating solutions to help increase access to energy at the home and corporate levels in Nigeria.

“The solar market has the potential for quick wins in bringing access to electricity for more businesses as it takes less time to install. It also enables production of electricity at the point of need, which eliminates transmission losses to a great extent. We are working with DFID to accelerate access to electricity for more businesses and help contribute to economic growth in the country,” she said.

According to her, IFC has financed close to $3.5 billion in renewable energy projects worldwide, including biomass, geothermal, hydro, solar and wind.

‘Investment in Tourism Will Revitalise Ailing Economy’ Sunday Okobi The Osun State House of Assembly has called for more investments in the tourism and hospitality sectors to resuscitate the troubled economy.

Stating this at the 130th annual Yoruba Peace Treaty celebration to commemorate the signing of peace treaty in marking the end of civil war among the Yoruba nation in Imesi Ile, Obokun Local Government Area at the weekend, a lawmaker representing Obokun state constituency, Honourable Olatunbosun Oyintiloye, called for the institutionalisation of regional integration to sustain peaceful co-existence among Yoruba nation.

He said the present recession, which blurred the economy was a rude opportunity for leaders to re-work and re-tool the economy for self – sustenance, saying the enormous tourism potential in the country is capable of augmenting government earning if properly harnessed.

Oyintiloye pointed that the federal government was in order in its quick impact assessment and stop gap measure to save the economy through the injection of over N350 billion basically for

infrastructure development, but real investment must be made in tourism sector.

He stated that sector such as tourism should be leveraged on to harness its potential for economic rebound and long-term stability.

The lawmaker stated that for potentials in sectors such as tourism to be translated into reality, it is necessary to adequately address the rudiments and critical gaps by promotion and creation of an enabling environment, infrastructure and reputation management and perception of the country.

“The way a nation as well as people is seen in the eyes of external public has great capacity to drive and or repel tourism sector,” he noted.

Oyintiloye who is also the Chairman Assembly Committee on Information and Strategy maintained that airlines and hospitality industries must march the best and even surpass other African countries for the nation to make in-road into the abundant economic opportunity in sector.

“All natural endowments, land marks, historical places and places of attractions which are key selling points of the sector must not be allowed to stand alone, but

must be seen as composite in driving the sector for employment generation and foreign exchange earnings,” Oyintiloye said.

The Lawmaker noted that though the nation had to make tough policy choices, stressed that the present pain was avoidable and preventable, if leaders in time past had done the needful.

He maintained that Yoruba war that lasted about a century possessed lessons and significant value as it left many outstanding landmarks with enormous tourists’ potentials across the region, and urged stakeholders to invest in the sector, not just to preserve the history, but for revenue generation.

Describing the occasion as one that should be cherished especially as it re-echoes the need for promotion of ideals of peaceful coexistence and harmonious living, Oyintiloye maintain that message of peace should be embraced by all Nigerians at a time the country is passing through security challenge.

Also, the Owa-Ooye of Imesi-Ile, Oba said the Kiriji Site, where the treaty was signed was a veritable source of economic development and potential that government should tap into.

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BUSINESSWORLD

ENERGY

Lore: At 11.5cents/KWh Solar Projects are Viable The International Finance Corporation’s Country Manager for Nigeria, Eme Essien Lore spoke to Ejiofor Alike on the potential of the solar power market and the efforts

by IFC and United Kingdom’s Department of International Development to deploy off-grid and embedded solar systems for commercial and industrial sectors of Nigeria.

Excerpts: Given the fact that Nigeria is blessed with other sources of energy such as coal, hydro and gas, why are you focusing only on solar power?

We do believe that Nigeria is to focus on diversifying her energy mix. So, it is not just solar. Obviously, you rightly pointed out that Nigeria is abundantly blessed with a number of different resources – gas being actually the most abundant. We are not just focusing on gas and solar; we are looking at other opportunities as well. The key issue is really to focus efforts.

I think for too long, we have focused just on gas. As you have seen now, the strategy has not worked. For now, we think there is need to diversify our perspective. So, solar is one of opportunity. We are looking at biomass as well; we are also looking at hydro. We are now looking at coal. It is an opportunity that the country may decide to pursue coal-generated project but as an institution because of the issues associated with coal, coal is not an area where we are focused but certainly hydro, solar, biomass and gas – we think they are all viable areas we are looking at. The reason why we are giving a lot of attention to solar right now in this way is that it really does require bringing a number of stakeholders together.

There are number of various institutions in solar sector. So, it is really important to get a number of actors together in a room to have the conversation. We don’t have to do that with biomass, for example. We are working with a company right now to experiment on biomass -looking at alternative projects in biomass. In hydro, there are a few projects we are looking at. But solar does require bringing stakeholders together because we are talking about off-grid; because we are talking about embedded solutions, because experience I think has dampened the appetite for solar. It is important to have this type of forum so that people can discuss real issues and figure how we get past those areas.

What specific power projects do you have in mind?

There are couple of very-too-large and hydro projects in Nigeria that were commissioned many years ago that are operating at significant discount to their real capacity. So, these are projects - with some additional investments that actually should be contributing much more to the grid. So, these are brownfield assets that are already in existence today and really just need additional turbines for them to be fully operational. So, we are actually looking at a couple of those projects. We think they have so many tremendous opportunities to actually in a relatively short period. It takes sometime but not as long as gas power project.

Many investors had experimented on solar power in Nigeria in the past and failed. Given that a couple of similar solar projects did not work, what makes you think that this your initiative will work?

I think there are a couple of things that are different today. First, the imperative for the country to diversify her energy mix is now in the centre. I think in the past, we have been able to rely on one fuel source of energy. So, we don’t have that luxury today. So, now, we are almost forced into a situation where we absolutely have to look for alternative energy sources. That is one thing. We are almost at the edge of a cliff and we must do something about it. That is one. Two, we have seen evolution of thinking within the government in terms of decisions. In the past, the government was not talking about solar. Now, they are talking about solar all the time. It is an important objective of this current government. That is an important change. It allows us as development institutions to do a better job of rallying around those efforts.

So, solar has become part of the agenda in the way they wasn’t in the past. We also need to

Lore recognise that we had experience in Nigeria that not being successful for a number of technical reasons - I don’t even know the reasons but projects that have taken off that have not been successful. So, there is a perception that solar applications are not applicable – don’t work in Nigeria. So, people will be reluctant to actually

We do believe that Nigeria is to focus on diversifying her energy mix. So, it is not just solar. Obviously, you rightly pointed out that Nigeria is abundantly blessed with a number of different resources – gas being actually the most abundant. We are not just focusing on gas and solar; we are looking at other opportunities as well”

pursue solar applications. Now, we have to work against that and say, okay, the reason why it did not work in the past was because they did not invest in the right environment.

Whatever the reason were, we have to make sure that we change those perception. So, this is not the first time but hopefully, this is the beginning of a long conversation. We don’t expect this to be easy but we have to be clear about that, recognising that we are in a challenging world- because of awareness building; because of the issue in the supply chain but we do think that this is an important moment. And also keep that the solar space is the one that evolves very quickly. We have seen the cost of solar system come down dramatically globally and Nigeria should take advantage of that. We can actually have solar systems manufactured here. It is possible. We were not talking about that five-10 years ago but it is possible to actually have this conversation today. So, the world has changed and I think this is an opportunity for us to engage again.

One of your strategies is to collaborate with financial institutions to provide financial support to solar power investors. How much do you plan to inject into this solar power initiative?

This initiative started with systematic steps.

We really want to know why this has worked; why this has not worked; what is the right business model in Nigeria. We don’t just want to adapt someone else’s models. We want to figure out what is going to work in Nigeria.

So, that is the first thing. Where are we today? That is responding to that question.

After that, when we coming as institution to really provide financial solutions. What we have seen in other markets is that we need to have incentives for financial institutions to provide a better structured for procurement of solar

They have to come from the banking sector but they need to have incentives; they need to understand innovations that are happening in other markets. That is where we can come in. In terms of the envelope- the envelope is going to be whatever is really needed but it is going to be very important that we work with financial institutions and provide the solutions that the Nigerian consumers; Nigerian SMEs need in order to procure systems for their households and for their businesses.

One of the challenges of solar power is high cost. Recently NERC licensed 14 solar investors and the entry point is 11.5 cents per kilowatt hour. So, do you guarantee that investors will easily recoup their high cost of investment?

You are actually right. The major issue with solar is the upfront cost and it is probably one of the biggest challenge for solar in a country like Nigeria. Yes, there are about 14 licensed companies that have just been approved by NERC. This is going to be on-grid project. So, what we are talking today is off-grid, embedded solutions. Those are on-grid projects. We think that at 11.5 cents, most of the projects are viable. You should know that when many new projects started, there are engagements with NERC and relevant stakeholders.

The projects were on much higher tariff. The tariff has come down overtime. For number of strategic reasons and for the fact that the government has also recognised that the solar space is evolving very quickly and they want key developments to be much more independent.

IFC support basically a competitive procurement process. When you have organised process; when you have a competitive process; when there is transparency – when all these factors are in place, you have the potential to drive the cost down overtime.

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BUSINESS/MONEYGUIDE

Access Bank Plans to Issue Fresh Eurobond Nume Ekeghe with agency report Access Bank Plc is set to issue the first Eurobond from Nigeria in almost two years after choosing banks to arrange a new deal.Nigeria’s fourthlargest lender by assets will meet investors in the United States and Europe from Tuesday through October 3rd, and plans to sell five-year debsetups Chief Executive Officer, Herbert Wigwe told Bloomberg.

Barclays Plc, Citigroup Incorporated and JPMorgan Chase & Co would arrange the deal, he said.

“It will be for working capital, for lending to investment-grade names,” including Nigerian companies seeking to expand their exports, Wigwe said.

But he didn’t say how much Access Bank intends to raise.

It would be the first Eurobond out of Nigeria since October 2014, when oil company Seven Energy Finance Limited issued

$300 million of securities. That year, Nigerian companies and banks including Access Bank, Zenith Bank Plc and FBN Holdings Plc sold $2.55 billion of dollar debt. The Nigerian government, which is planning to raise $1 billion this year, last tapped the Eurobond market in 2013.Access Bank, which has $12 billion of assets, has two deals outstanding; one of $350 million due in July next year and another of $400 million maturing in June 2021.

Diamond Bank Reinforces Business Strategy In a bid to boost its bottomline and meet shareholders’ expectations, the management of Diamond Bank Plc has reinforced its business strategy and strengthened.

A statement yesterday explained that apart from beefing up its human capital, the bank has deployed cutting edge digital mobile technology, which reduced cash cycle and consolidated its hold on the MSME segment while still growing its corporate market.

According to the bank, these helped in expanding its local market share and deepened its global reach. Also, in order to align with current business realities and point the future direction of its service delivery, the bank said it recently refreshed and renamed some of its financial products.

The Chief Executive Officer, Uzoma Dozie, affirmed that although the industry is going through numerous challenges due to a lot of internal and external influences such as the slump in crude oil price in the

international market, foreign exchange volatility and regulatory headwinds, Diamond Bank is continually on the lookout to optimise new opportunities for growth presented by these realities.

“Our growth drive begins from the inside as we have put in place a human capacity development system that ensures that we attract the best people in the business, train them to be able to perform at the best level in their jobs and motivate them well enough to stay with us. We are aware that the future of banking is digital and Diamond Bank is recognised for its innovative value added solutions that have changed the banking system to suit the customer lifestyle.

These include Diamond Mobile App, Diamond Y’ello Account, Diamond Xclusive and Beta Proposition,” he was quoted to have said.

According to the CEO, the bank recognises the place of MSMEs as the engine that catalysis economic production

and therefore, will continue to deepen the market segment by improving MSMEs stakeholders’ access to funds, market and advisory services.

“We are well recognised for our commitment to the MSMEs and even play an advisory role to government and many development partners in this regard. We currently do business with over 500,000 MSME customers in the key areas of access to financing, access to markets and advisory services.

We also provide them with specialised technical support from institutions such as the International Finance Corporation (IFC), Women Banking, European Development Agency and others. These, we are leveraging on for our future growth and consolidation,” he added.

KPMG, a leading global advisory and consultancy firm, in its recent survey, ranked Diamond Bank among the three best in Nigeria in the customer satisfaction index (CSI).

ICT SMEs Identified as Panacea to Nigeria’s Economic Woes Peter Uzoho As Nigeria continues to look out for ways of lifting its economy out of economic recession, the ICT industry has been identified as one of the sectors that can support the economy.

Speaking in Lagos at the 5th and maiden Lagos edition of the “Startup Friday”, organised by the Office for ICT Innovation and Entrepreneurship (OIIE), a subsidiary of National Information Technology Development (NITDA),the Acting DirectorGeneral, National Information Technology Development (NITDA), Dr. Vincent Olatunji said the body was looking for a way of proposing to government what it could take to take Nigeria out of recession.

He added: “We’ve seen that

in the ICT and that’s why we’re trying to support startups to create so many ICT SMEs across the nation that will turn to employable people, and we believe this will really solve a major problem of Nigeria which is unemployment”.

Giving insight into the N3 million Remita Seed funding to three technology startups in Nigeria, Executive Director, Strategy, SystemSpec, Mr. Deremi Atanda said: “This is just to give helping hand to those passionate young Nigerians who have ideas that can rule the world to step closer to putting Nigeria on the global landscape.

“They don’t need any 25 years like we’ve done to become global brands-emerging brands in developing economies. We

want the world to see the best of Nigeria today. We want to be part of those giving wings to the eagles in Nigeria’s Tech industry to fly.

“We’ve had some different programmes in the past but now we’re saying that especially in this period of recession it’s time for you to catalyse ideas.

And ideas that are birthed when things are in the low are potentials of huge returns when things stabilise.

“So we say about now there are many people who have huge ideas but there isn’t enough funding to these brains. So it’s a difficult time.

But even as we’re all having our tough times we believe it’s also right for we to put money in and encourage these young people”.

SAP Partners TwinTech on Cloud Based Solutions Ugo Aliogo As part of efforts to improve Human Resource (HR) practice amongst companies, and organisations in Nigeria, one of the leading multi-nationals companies in cloud solutions and Information Technology (IT), Systems Applications Product (SAP) has partnered TwinTech Services to roll out a new cloud based solution programme

known as Successfactors.

Speaking at the media roundtable in Lagos recently, the Channel Development Manager of SAP, Ayokanmi Ayuba, said the cloud solution was aimed at transforming the way organisations carry out their HR businesses and responsibilities, adding that with the changing roles of HR it has become very strategic in companies therefore, there is

need to improve the way HR operations are done.

She explained that TwinTech as a partner firm is committed to driving improved growth in HR practice in Nigeria through the cloud based solutions, stressing that in the Nigeria technological space, cloud solutions are still growing, “successfactors require fewer infrastructures, and it is a subscription based model.”

Wigwe

MARKET INDICATORS MONEY AND CREDIT STATISTICS

(MILLION NAIRA)

JUNE 2016 Broad Money (M2)

21,684,965.22

-- Narrow Money (M1)

9,125,933.16

---- Currency Outside Banks

1,379,187.93

---- Demand Deposits

7,746,745.22

-- Quasi Money

12,559,032.07

Net Foreign Assets (NFA)

7,105,663.47

Net Domestic Assets(NDA)

14,579,301.76

-- Net Domestic Credit (NDC)

24,318,143.03

---- Credit to Government (Net)

2,893,190.01

---- Memo: Credit to Govt. (Net) less FMA

2,893,190.01

---- Memo: Fed. and Mirror Accounts (FMA)

-2,111,487.25

---- Credit to Private Sector (CPS)

21,424,953.01

--Other Assets Net

-9,738,841.27

Reserve Money (Base Money)

5,370,199.87

--Currency in Circulation

1,684,725.89

--Banks Reserves

3,685,473.98 • Source - CBN

MANAGED FUNDS Initial Price (N) Stanbic Balanced Fund

Buying Price(N)

Selling Price

1,660.29

1,685.29

Stanbic IBTC NEF

1,000.00

11,002.32

11,326.67.11

Stanbic SIBond

20

120.47

120.47

Stanbic IBTC Ethical

1

1.10

1.13

Stanbic IBTC GIF

142.90

143.38

UBA Balanced Fund

1.2563

1.2493

UBA Bond Fund

1.3443

1.3443

UBA Equity Fund

0.8205

0.8074

UBA Money Market Fund

1.1510

1.1510

ARM Aggressive Growth Fund

N13.0544

N13.4480

ARM Discovery Fund

N288.2515

N296.9425

ARM Ethical Fund

N22.5268

N23.2060

ARM Money Market Fund

13.1030 (Yield % ) • Monetary Policy Rate - 14%

OPEC DAILY BASKET PRICE AS AT FRIDAY23, SEDPTEMBER 2016 The price of OPEC basket of fourteen crudes stood at $42.89 a barrel on Friday, compared with $43.27 the previous day, according to OPEC Secretariat calculations.

The new OPEC Reference Basket of Crudes (ORB) is made up of the following: Saharan Blend (Algeria), Girassol (Angola), Oriente (Ecuador), Rabi Light (Gabon), Minas (Indonesia), Iran Heavy (Islamic Republic of Iran), Basra Light (Iraq), Kuwait Export (Kuwait), Es Sider (Libya), Bonny Light (Nigeria), Qatar Marine (Qatar), Arab Light (Saudi Arabia), Murban (UAE) and Merey (Venezuela).

SOURCE: OPEC headquarters, Vienna

37

T H I S D AY • TuesDAY, sepTember 27, 2016

Nigeria’s top 50 stocks based on market fundamentals

26-Sep16

23-Sep-16

% Change

Capitalisation

EPS

P/E

P/S

Div. Yld

Price/ Book Value

01 Dangote Cement Plc

182.50

182.03

0.26%

3,109,892,601,412.50

9.56

19.09

5.74

4.38%

4.57

02 Nigerian Breweries Plc

145.00

143.52

1.03%

1,149,719,628,760.00

4.50

32.25

3.84

2.48%

7.06

03 Guaranty Trust Bank Plc

25.09

25.09

0.00%

738,428,286,730.16

4.20

5.98

2.06

7.05%

1.63

825.00

825.01

0.00%

653,941,407,900.00

19.41

42.50

3.94

3.52%

18.59

05 Zenith Bank Plc

15.45

15.60

-0.96%

485,075,828,993.70

3.10

4.98

1.16

11.65%

0.78

06 Lafarge Africa Plc

56.00

56.00

0.00%

255,074,501,360.00

-6.71

-8.35

1.15

5.36%

1.82

07 Ecobank Transnational Incorporated

11.50

11.36

1.23%

211,019,838,972.50

0.23

50.05

0.39

5.39%

0.35

08 Forte Oil Plc.

161.00

163.11

-1.29%

209,699,457,583.00

4.22

38.15

1.42

2.14%

4.89

09 Seplat Petroleum Dev. Co. Ltd

326.00

326.00

0.00%

180,379,162,038.00 -14.43

-22.59

1.93

4.88%

0.48

10 Presco Plc

45.00

45.00

0.00%

178,671,467,025.00

0.54

83.90

2.57

2.89%

4.37

11 Unilever Nigeria Plc

45.52

45.52

0.00%

172,215,645,300.00

0.46

98.44

2.83

0.11%

19.33

12 Stanbic IBTC Holdings Plc

16.95

16.95

0.00%

169,500,000,000.00

2.04

8.32

1.43

0.59%

1.51

13 Access Bank Plc

5.58

5.58

0.00%

161,418,081,700.98

2.56

2.18

0.47

9.86%

0.38

14 United Bank for Africa Plc

4.16

4.30

-3.26%

150,922,829,499.52

1.66

2.50

0.48

14.42%

0.37

15 Guinness Nig Plc

93.00

93.00

0.00%

140,047,601,484.00

-1.34

-69.47

1.37

3.44%

3.36

16 FBN Holdings Plc

3.20

3.10

3.23%

114,864,936,934.40

0.30

10.50

0.23

4.69%

0.19

17 Total Nigeria Plc

299.25

295.00

1.44%

101,601,909,722.25

31.13

9.61

0.42

4.68%

4.81

18 7-Up Bottling Comp. Plc

144.55

150.00

-3.63%

92,597,336,971.65

3.75

38.56

1.04

1.52%

3.59

19 Dangote Sugar Refinery Plc

6.40

6.58

-2.74%

76,800,000,000.00

1.05

6.09

0.64

7.81%

1.29

20 Oando Plc

5.59

5.88

-4.93%

67,273,519,617.46

-3.46

-1.61

0.36

13.42%

0.49

19.85

19.85

0.00%

65,390,848,208.00

0.17

113.79

2.62

1.26%

5.30

179.55

179.55

0.00%

64,744,879,292.10

17.69

10.15

0.78

4.01%

3.77

23 Flour Mills Nig. Plc

21.04

20.04

4.99%

55,213,950,414.48

6.81

3.09

0.15

9.51%

0.55

24 Julius Berger Nig. Plc

39.00

39.00

0.00%

51,480,000,000.00

0.24

161.09

0.50

3.85%

2.29

1.05

1.07

-1.87%

40,657,047,296.25

-0.37

-2.81

0.90

0.00%

0.53

26 U A C N Plc

21.00

21.00

0.00%

40,338,152,127.00

2.44

8.61

0.56

4.76%

0.55

27 Okomu Oil Palm Plc

38.00

38.00

0.00%

36,248,580,000.00

4.60

8.27

2.95

0.26%

2.33

28 Cadbury Nigeria Plc

16.53

15.75

4.95%

31,046,679,721.20

0.83

20.02

1.12

7.86%

2.50

29 Sterling Bank Plc

1.05

1.03

1.94%

30,229,939,032.30

0.31

3.40

0.29

8.57%

0.36

30 Diamond Bank Plc

1.20

1.19

0.84%

27,792,466,761.60

0.11

10.88

0.13

0.00%

0.12

31 Fidelity Bank Plc

0.90

0.89

1.12%

26,066,327,122.80

0.39

2.31

0.18

17.78%

0.14

32 Wema Bank Plc

0.66

0.67

-1.49%

25,459,147,613.46

0.06

10.46

0.52

0.00%

0.54

33 Custodian And Allied Insurance Plc

4.00

4.00

0.00%

23,527,456,780.00

0.76

5.26

0.70

3.50%

0.84

34 Glaxo Smithkline Consumer Nig. Plc

19.60

19.70

-0.51%

23,439,179,164.80

-2.54

-7.72

0.80

1.53%

2.57

35 Cap Plc

33.00

33.00

0.00%

23,100,000,000.00

2.36

13.99

3.33

3.48%

15.82

36 Mansard Insurance Plc

2.05

2.05

0.00%

21,525,000,000.00

0.27

7.55

1.12

2.44%

1.02

37 National Salt Co. Nig. Plc

8.01

8.00

0.12%

21,222,001,407.78

0.89

9.04

1.17

6.87%

3.07

20.70

20.75

-0.24%

20,700,000,000.00

4.14

5.00

1.56

0.48%

0.62

39 FCMB Group Plc

1.03

1.05

-1.90%

20,396,792,104.43

0.61

1.68

0.12

9.71%

0.11

40 Honeywell Flour Mill Plc

1.33

1.35

-1.48%

10,547,162,885.14

-0.40

-3.29

0.22

12.03%

0.64

41 Continental Reinsurance Plc

0.98

0.96

2.08%

10,165,289,425.76

0.33

2.98

0.49

12.24%

0.52

42 Skye Bank Plc

0.66

0.63

4.76%

9,160,998,930.60

-2.93

-0.22

0.06

45.45%

0.09

43 Unity Bank Plc

0.70

0.73

-4.11%

8,182,536,559.40

0.54

1.29

0.13

0.00%

0.10

44 Cement Co. Of North.Nig. Plc

6.00

6.00

0.00%

7,540,066,596.00

0.44

13.54

0.68

1.67%

0.70

45 Wapic Insurance Plc

0.50

0.50

0.00%

6,691,369,126.00

0.11

4.62

0.88

6.00%

0.43

46 UACN Property Development Co. Limited

3.40

3.40

0.00%

5,843,749,983.00

-0.05

-65.21

1.73

20.59%

0.16

47 Resort Savings & Loans Plc

0.50

0.50

0.00%

5,664,866,202.00

4.68

0.11

0.02

0.00%

1.89

48 Nigerian Aviation Handling Company Plc

3.24

3.32

-2.41%

5,262,468,750.00

0.15

21.01

0.66

6.17%

0.85

49 AIICO Insurance Plc

0.62

0.62

0.00%

4,296,726,777.60

0.26

2.38

0.13

8.06%

0.45

50 Fidson Healthcare Plc

1.55

1.66

-6.63%

2,325,000,000.00

0.31

5.06

0.34

3.23%

0.36

04 Nestle Nigeria Plc

21 International Breweries Plc 22 Mobil Oil Nig Plc

25 Transnational Corporation Of Nigeria Plc

38 PZ Cussons Nigeria Plc

TOTAL

9,143,402,724,286.82

TOTAL MARKET CAP

9,708,557,195,974.87

% OF MARKET CAP Annotation - MA* = Simple Moving Average

94.18%

Table 1 Market Statistics Mkt Indicators NSE All Share Index NSE Market Cap (N'Trillion) Thisday BGL 50 Index Thisday BGL 50 Market Cap (N'Trillion)

Open 23-Sep-16

Close 26-Sep-16

Change %

28,247.07 9.70

28,263.16 9.71

0.06% 0.06%

117.32 9.13

117.43 9.14

0.10% 0.10%

Table 3 Top 5 Gainers Stock

Open Close Change 23-Sep-16 26-Sep-16 %

Flour Mills Nig. Plc Cadbury Nigeria Plc Skye Bank Plc FBN Holdings Plc Continental Reinsurance Plc

20.04 15.75 0.63 3.10 0.96

21.04 16.53 0.66 3.20 0.98

4.99% 4.95% 4.76% 3.23% 2.08%

Table 4 Top 5 Losers Stock

Open Close Change 23-Sep-16 26-Sep-16 %

Fidson Healthcare Plc Oando Plc Unity Bank Plc 7-Up Bottling Comp. Plc United Bank for Africa Plc

1.66 5.88 0.73 150.00 4.30

1.55 5.59 0.70 144.55 4.16

-6.63% -4.93% -4.11% -3.63% -3.26%

Market opens week with a modest 0.06% gain Market pulse on the Nigerian Stock Exchange (NSE) today – Monday, September 26th, 2016 closed green on the first trading day of the week as the stock market continues its bullish trend. This was further highlighted by positive performances from the NSE Sub sectors: Insurance and Consumer Goods (Save Banking and Oil & Gas). Trading activities increased in volume as 249.77 million shares worth of N1.96 billion in 3,170 deals exchanged hands today. This is an increase from the 265 million shares worth N1.56 billion in 3,136 billion in 4,179 deals which exchanged on Friday. Topping in volume terms was Access Bank Plc, Fidelity Bank Plc and Diamond Bank Plc while Nigerian Breweries Plc and Total Nigeria Plc ended trading as the most active stocks in value terms.

The All Share Index (NSEASI) closed positive with a 0.06% (+16.09) increase to close at 28,263.16 from 28,247.07 the previous trading day. Market Capitalization appreciated in tandem to N9.71 trillion from N9.70 trillion of prior trading day. Similarly, the Thisday BGL 50 Index followed suit with an increase of 0.10% to close at 117.43 from 117.32 recorded at the end of the previous trading day, while its market capitalization stood at N9.14 trillion from N9.13 trillion of the previous trading day.

A total number of 16 stocks gained on the bourse today while 23 stocks declined, 60 leaving stocks unchanged.

Flour Mills Nig. Plc emerged as the day’s toast of investors as it topped the Thisday BGL 50 Index gainers’ list with a gain of 4.99% to close at N21.04 per share. It was followed

by Cadbury Nigeria Plc with a gain of 4.95% to close at N16.53 per share. Others on the gainers list include: Skye Bank Plc, FBN Holdings Plc and Continental Reinsurance Plc; while on the decliners’ list, Fidson Healthcare Plc led with a loss of 6.63% to close at N1.55 per share. It was followed by Oando Plc Plc with a loss of 4.93% to close at N5.59 per share. Others on the decliners list include: Unity Bank Plc, 7-Up Bottling Comp. Plc and United Bank for Africa Plc.

REQUIRED DISCLOSURE This report has been prepared by BGL Plc. BGL Plc does and seeks to do business with companies covered in its research reports. As a result, the firm may have a conflict of interest that could affect the objectivity of this report. Investors should use this report as one of many other factors in making their investment decisions.

For more details go to www.thisdaylive.com

38

T H I S D AY •TUESDAY,SEPTEMBER 27, 2016

MARKET NEWS

Caverton Sheds N28.8bn as Stock Declines to 95 kobo Investors in Caverton Offshore Support Group Plc have lost 90 per cent of their investment as the stock fell from N9.50 to 95 kobo per share 28 months after listing on the Nigerian Stock Exchange (NSE).

The stock, which was listed at N9.50 has experienced a consistent decline that hit 95 kobo yesterday. Consequently, the market capitalisation of Caverton fell from N32 billion

to N3.2 billion, meaning that investors in the company have lost N28.8 billion.

The provider of marine, aviation and logistics services to local and international oil and gas companies in Nigeria, recently reported a loss of N2.422 billion for the half year ended June 30, 2016, compared with a profit of N1.093billion in the corresponding.

The company had sent

a profit warning saying it would report lower earnings for the H1 of 2016. Caverton had explained that the lower earnings resulted largely due to the unavoidable impact of the recent Naira devaluation which took place within the second quarter of the year. It said the impact of the recent devaluation by the Central Bank of Nigeria (CBN) is expected to result in unrealised foreign translation

loss arising largely from the groups’ dollar denominated borrowing used to finance core assets in both its helicopter and marine businesses. When the H1 results were reported last week, it showed a revenue of N9.143 billion in 2016, down from N11.908 billion in 2015.

Gross profit stood at N3.091 billion, down from N5.114 billion. Indirect operating (administrative) expenses rose

to N5.031 billion, compared with N 3.233 billion in 2015.

Earnings before interest and tax was negative N1.624 billion, compared with a positive N2.582 billion. Caverton ended the period with loss after tax of N2.432 billion, as against a profit of N1.093 billion.

In spite of the loss, the company assured that it would continue to focus on its diversification programme.

“We continue to focus our efforts on diversifying and increasing our revenue streams and also improving our profitability through expansion into higher margin offshore service offerings. Management is confident that its ongoing initiatives and investment across its value chain will provide improved future performance, positioning it for long term success,” the company said.

DAILY STOCK MARKET REPORT T H E

N I G E R I A N

STO C K

E XC H A N G E

39

T H I S D AY • TUESDAY, SEPTEMBER 27, 2016

MARKET NEWS

Taking Advantage of Managed Funds in Nigeria (2) Goddy Egene Investing in mutual funds takes care of one major challenge that faces most beginners in securities investment, which is making the right choice of securities.

Having seen and be made to believe in the good profit that come from investing in stock market, most investors expect to make such profit immediately they invest.

They believe that buying just one or two stocks will lead

to the high profit they had in mind while coming to invest in the stock market. And when the one or two stocks they have bought fail to fetch the returns they expected, they get disappointed and discouraged to invest in the market.

However, what a beginner or in fact, every investor needs to overcome such disappointment are mutual funds. These managed funds are one major vehicle to invest in stock and get it right

A Mutual fund (Unit Trust) is an investment vehicle managed by a SEC (Securities and Exchange Commission) registered Fund Manager.

Investors with similar objectives buy units of the Fund so that the Fund Manager can buy securities that willl generate their desired return.

An ETF (Exchange Traded Fund) is a type of fund which owns the assets (shares of stock, bonds, oil futures, gold bars, foreign currency, etc.) and divides ownership of those assets into shares. Investors can buy these ‘shares’ on the

from the beginning, thereby avoiding disappointments.

Normally, to avoid disappointment or reduce risks it is better to have an investment portfolio that is highly diversified, consisting of securities spread across the market. This strategy will create a portfolio that will reduce risk and guarantee the level of returns needed to transform investments into significant wealth on the long run.

Apart from the fact small

floor of the Nigerian Stock Exchange.

A REIT (Real Estate Investment Trust) is an investment vehicle that allows both small and large investors to part-own real estate ventures (eg.

Offices, Houses, Hospitals) in proportion to their investments. The assets are divided into shares that are traded on the Nigerian Stock Exchange.

GUIDE TO DATA: Date: All fund prices are quoted in Naira as at 23-Sep-2016, unless otherwise stated.

investors lack the financial capacity required for standard portfolio diversification, it requires the involvement of experts in deciding what to buy and when to buy or sell. Hence managed funds are the solution because they have some advantages.

The first major advantage that managed funds provide is the management of investment risk. The best way of managing risk in investment is to spread it by diversifying the portfolio.

Investment in mutual funds gets instant diversification to achieve market-wide coverage and no matter its size. Since a mutual fund is a collection of stocks, bonds and money market securities held in a pool but then sliced into units sold to individual investors, any unit of the fund receives the diversification benefit of this large collection of different types of securities in the portfolio.

Secondly, investing

through mutual funds, gives an investor access to professional skills employed to invest and manage the funds. Small investors or beginners and even some high net-worth investors do not have the skills to analyse the prospects for individual companies and make a good choice present the best investment options. But a mutual fund appoints and pays a professional fund manager to do this job for its investors.

Offer price: The price at which units of a trust or ETF are bought by investors.

Bid Price: The price at which Investors redeem (sell) units of a trust or ETF. Yield/Total Return: Denotes the total return an investor would have earned on his investment. Money Market Funds report Yield while others report Year- to-date Total Return.

NAV: Is value per share of the real estate assets held by a REIT on a specific date.

DAILY PRICE LIST FOR MUTUAL FUNDS, REITS and ETFS MUTUAL FUNDS / UNIT TRUSTS AFRINVEST ASSET MANAGEMENT LTD Web: www.afrinvest.com; Tel: +234 1 270 1680 Fund Name Bid Price Afrinvest Equity Fund 125.93 Nigeria International Debt Fund 215.43 ALTERNATIVE CAPITAL PARTNERS LTD Web: www.altcappartners.com, Tel: +234 1 291 2406, +234 1 291 2868 Fund Name Bid Price ACAP Canary Growth Fund 0.67 AIICO CAPITAL LTD Web: www.aiicocapital.com, Tel: +234-1-279 2930 Ext-2205 Fund Name Bid Price AIICO Money Market Fund ARM INVESTMENT MANAGERS LTD Web: www.arm.com.ng; Tel: 0700 CALLARM (0700 225 5276) Fund Name ARM Aggressive Growth Fund ARM Discovery Fund ARM Ethical Fund ARM Money Market Fund AXA MANSARD INVESTMENTS LIMITED Web: www.axamansard.com; Tel: +2341-4488482 Fund Name AXA Mansard Equity Market Fund AXA Mansard Money Market Fund CHAPELHILL DENHAM LTD Web: www.chapelhilldenham.com, Tel: +234 461 0691 Fund Name Nigeria Global Investment Fund Paramount Equity Fund Women's Investment Fund FBN CAPITAL ASSET MANAGEMENT LTD Web: www.fbnquest.com; Tel: +234-81 0082 0082 Fund Name FBN Fixed Income Fund FBN Heritage Fund FBN Money Market Fund FBN Nigeria Eurobond (USD) Fund - Institutional FBN Nigeria Eurobond (USD) Fund - Retail FBN Nigeria Smart Beta Equity Fund FIRST CITY ASSET MANAGEMENT LTD Web: www.fcamltd.com; Tel: +234 1 462 2596 Fund Name Legacy Equity Fund Legacy Short Maturity (NGN) Fund FSDH ASSET MANAGEMENT LTD Web: www.fsdhaml.com; Tel: 01-270 4884-5; 01-280 9740-1 Fund Name Coral Growth Fund

100.00

aaml@afrinvest.com Offer Price Yield / T-Rtn 126.44 12.66% 216.11 7.60% info@acapng.com Offer Price Yield / T-Rtn 0.68 9.59% ammf@aiicocapital.com Offer Price

Yield / T-Rtn

100.00

11.34%

enquiries@arminvestmentcenter.com Bid Price 12.89 294.71 22.80 1.00

Offer Price 13.27 303.59 23.48

Yield / T-Rtn 5.74% 5.44% 3.39%

1.00

11.55%

info@axamansard.com Bid Price 101.35

Offer Price 101.99

Yield / T-Rtn 1.67%

1.00 1.00 10.73% investmentmanagement@chapelhilldenham.com Bid Price 2.08 9.41

Offer Price 2.13 9.65

Yield / T-Rtn 2.18% -4.51%

82.21

84.31

1.35%

invest@fbnquest.com Bid Price 1,103.45 114.96 100.00 $105.00 $104.95 113.05

Offer Price 1,104.52 115.48 100.00 $105.92 $105.87

Yield / T-Rtn 1.97% 5.72% 10.23% 5.46% 5.41%

114.62

13.84%

fcamhelpdesk@fcmb.com Bid Price 0.95 2.49

Offer Price Yield / T-Rtn 0.97 5.49% 2.49 7.06% coralfunds@fsdhgroup.com

Bid Price 2,241.42

Offer Price 2,269.79

Coral Income Fund 2,023.96 INVESTMENT ONE FUNDS MANAGEMENT LTD Web: www.investment-one.com; Tel: +234 812 992 1045,+234 1 448 8888 Fund Name Bid Price

Yield / T-Rtn 3.08%

2,023.96 7.01% enquiries@investment-one.com Offer Price

Yield / T-Rtn

Vantage Guaranteed Income Fund

1.00

1.00

11.14%

Vantage Balanced Fund

1.64

1.66

0.64%

LOTUS CAPITAL LTD fincon@lotuscapitallimited.com Web: www.lotuscapitallimited.com; Tel: +234 1-291 4626 / +234 1-291 4624 Fund Name Bid Price Offer Price Yield / T-Rtn Lotus Halal Investment Fund 1.00 1.02 12.37% Lotus Halal Fixed Income Fund 980.41 980.41 -1.96% MERISTEM WEALTH MANAGEMENT LTD info@meristemwealth.com Web: www.meristemwealth.com ; Tel: +234 1-4488260 Fund Name Bid Price Offer Price Yield / T-Rtn Meristem Equity Market Fund 10.05 10.13 2.69% Meristem Money Market Fund 10.00 10.00 12.69% PAC ASSET MANAGEMENT LTD info@pacassetmanagement.com Web: www.pacassetmanagement.com/mutualfunds; Tel: +234 1 271 8632 Fund Name Bid Price Offer Price Yield / T-Rtn PACAM Balanced Fund 1.02 1.04 -2.81% SCM CAPITAL LIMITED info@scmcapitalng.com Web: www.scmcapitalng.com; Tel: +234 1-280 2226,+234 1- 280 2227 Fund Name Bid Price Offer Price Yield / T-Rtn Sterling Capital Frontier Fund 107.56 108.57 5.71% SFS CAPITAL NIGERIA LTD investments@sfsnigeria.com Web: www.sfsnigeria.com, Tel: +234 (01) 2801400 Fund Name Bid Price Offer Price Yield / T-Rtn SFS Fixed Income Fund 1.21 1.21 7.22% STANBIC IBTC ASSET MANAGEMENT LTD assetmanagement@stanbicibtc.com Web: www.stanbicibtcassetmanagement.com; Tel: +234 1 280 1266; 0700 MUTUALFUNDS Fund Name Bid Price Offer Price Yield / T-Rtn Stanbic IBTC Balanced Fund 1,812.79 1,824.18 7.97% Stanbic IBTC Bond Fund 150.63 150.63 2.41% Stanbic IBTC Ethical Fund 0.82 0.83 10.00% Stanbic IBTC Guaranteed Investment Fund 178.14 178.14 4.98% Stanbic IBTC Iman Fund 139.50 141.17 3.07% Stanbic IBTC Money Market Fund 100.00 100.00 14.13% Stanbic IBTC Nigerian Equity Fund 7,874.81 7,979.72 9.57% UNITED CAPITAL ASSET MANAGEMENT LTD unitedcapitalplcgroup.com Web: www.unitedcapitalplcgroup.com; Tel: +234 803 306 2887 Fund Name Bid Price Offer Price Yield / T-Rtn United Capital Balanced Fund 1.17 1.18 9.95% United Capital Bond Fund 1.26 1.26 17.04% United Capital Equity Fund 0.77 0.79 3.48% United Capital Money Market Fund 1.00 1.00 13.00% ZENITH ASSETS MANAGEMENT LTD info@zenith-funds.com Web: www.zenith-funds.com; Tel: +234 1-2784219 Fund Name Bid Price Offer Price Yield / T-Rtn Zenith Equity Fund 9.96 10.14 4.26% Zenith Ethical Fund 11.46 11.58 0.01% Zenith Income Fund 16.38 16.38 2.11%

REITS

NAV Per Share

Yield / T-Rtn

11.43 121.92

2.69% 5.24%

Bid Price

Offer Price

Yield / T-Rtn

9.18 80.33

9.28 81.85

-4.15% -3.48%

Fund Name FSDH UPDC Real Estate Investment Fund SFS Skye Shelter Fund

EXCHANGE TRADED FUNDS

Fund Name Lotus Halal Equity Exchange Traded Fund Stanbic IBTC ETF 30 Fund

VETIVA FUND MANAGERS LTD Web: www.vetiva.com; Tel: +234 1 453 0697

Fund Name Vetiva Banking Exchange Traded Fund Vetiva Consumer Goods Exchange Traded Fund Vetiva Griffin 30 Exchange Traded Fund Vetiva Industrial Goods Exchange Traded Fund Vetiva S&P Nigeria Sovereign Bond Exchange Traded Fund

funds@vetiva.com Bid Price

Offer Price

Yield / T-Rtn

2.82 7.31 12.78 18.33 -

2.86 7.39 12.92 18.53 -

21.89% 14.31% 1.98% -4.56% -

The value of investments and the income from them may fall as well as rise. Past performance is a guide and not an indication of future returns. Fund prices published in this edition are also available on each fund manager’s website and FMAN’s website at www.fman.com.ng. Fund prices are supplied by the operator of the relevant fund and are published for information purposes only.

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TUESDAYSPORTS

Group Sports Editor Duro Ikhazuagbe Email duro.ikhazuagbe@thisdaylive.com

Jos Appeal Court Fixes October 11 for Hearing of all LMC Appeals Orders non-tampering with subject of appeal

Keno Edhowo The Court of Appeal, Jos Division which sat yesterday has directed that there should be no attempt to tamper with the subject matter of the appeal file by the League Management Company (LMC) against the orders of Justice I.I. Kunda of the Plateau State High Court, Jos. This is even as the Inspector General of Police yesterday increased police presence at the premises of the LMC in Abuja to protect the staff and its activities.

Also, the Court of Appeal resolved the issue of who can make legal appearance for the Nigeria Football Federation (NFF). The court ruled that Barrister Maduabuchi who was appointed by Yahaya Adama, an ally of Chris Giwa , cannot claim to be representing NFF when their group is still battling in court to prove their claim at the Supreme Court.

Justice Kunda had amongst several rulings ordered the LMC to reinstate Giwa FC in the 2015/16 Nigeria Professional Football League (NPFL) and also the committal to prison of LMC Chairman, Shehu Dikko and Salihu Abubakar, the Chief Operating Officer on contempt charges.

The rulings emanated from a fundamental rights enforcement suit filed by one Mustapha Abubakar, a supporter of Giwa FC who claimed that the expulsion of the club from the NPFL has denied him the right to get value for season’s ticket he purchased.

The LMC had on all occasions of the ruling of Justice Kunda challenged the orders at the Court of Appeal and filed for Stay of Execution which led to the hearing yesterday by Justices of the Appeal Court, Jos Division.

At the hearing of the appeals, the Court of Appeal directed that it was going to hear all appeals and motions filed by the LMC on the same date.

The hearing could not, however, proceed because Barrister Habila Ardzard, Counsel to the respondent, Mustapha Abubakar who is also Counsel to Giwa FC, informed the Court of Appeal that they had only just filed their preliminary objection to LMC’s motion on the morning of the case.

Adzard thereafter requested for an adjournment to allow time for service of their papers on all parties to the appeal. The Court of Appeal granted this request and directed that they must ensure service on all parties by the next adjourned date.

Monday’s proceedings at the Court of Appeal and the participation of Giwa FC through its legal representation in them may have put paid to the denials of Giwa FC and his sympathisers that there is no appeal filed by LMC and their further claim that Dikko and Abubakar have been declared wanted by the courts.

Counsel to LMC, Olumide Olujinmi had brought to the attention of the court that the

respondent, purportedly acting for Giwa FC, had brought some men claiming to be police officers to LMC’s office to harass the staff ostensibly on a mission to enforce the very court order which has been appealed against by LMC, and is the subject matter before the Court of Appeal.

However, Adzard in his response to the query of the justices of the Court denied any knowledge of such an attempt to enforce the court order of committal.

The justices then secured an undertaking from the Counsel that his clients will not attempt to tamper with the subject matter of the Appeal, by acting to enforce any such order, pending the hearing of the case by the Court of Appeal.

The Court of Appeal adjourned the matter to October 11, 2016 to hear the consolidated appeal and all motions and objections filed by the parties.

Justice Kunda of the Jos High Court had made an order of committal of Dikko and Abubakar for failing to obey his earlier ex-parte order directing the reinstatement of Giwa FC to NPFL three months after the club had been expelled from the apex Nigeria football league for multiple infractions of the Framework and Rules of the League.

The judge of the lower court made the orders at the instance of a Abubakar who claimed to act for himself and Giwa FC. Abubakar had filed a suit before the Jos High Court claiming that the expulsion of Giwa FC from the League was an infringement of his fundamental human rights.

LMC has maintained, consistently, that it is not bound to obey an order of the lower court that it has appealed against, while that appeal and its application for stay of execution are pending before the Court of Appeal.

UEFA CHAMPIONS LEAGUE TODAY Monaco vs Leverkusen Leicester vs FC Porto FC Copenhagen v Club Brugge D’ Zagreb v Juventus CSKA v Tottenham Dortmund v Real Madrid S’ Lisbon v Legia Warsaw Sevilla v Lyon

A midfield action recorded during Sunday’s NPFL Match-day 37 game between Sunshine Stars and Warri Wolves in Akure

ITTF WORLD CUP

Quadri: I’m Not Under Pressure to Perform in Germany Nigeria’s Aruna Quadri believes his world rating would not put him under intense pressure to excel at the 2016 ITTF World Cup slated to hold in Saarbrucken, Germany.

Quadri’s performance at the 2014 edition of the championship remains the best by an African when the Nigeria got to the quarterfinal stage. The Oyo State-born player will be making his third appearance at the tournament as the continent’s flagbearer.

“I am not under any kind of pressure to play in Germany again because I am now getting used to playing under pressure and

as a matter of fact I am going to Germany to enjoy myself without any kind of pressure.

“Statistics showed that I am not one of the favourites for the podium finish but similarly I am not really going to be playing without confidence as I always believe strongly in my capability.

“I am praying for a favourable draw that will favour me and if God answers my prayer to be on a good side of the draw, I believe that surprising the world more than I have done in the past is possible,” he said.

Quadri’s debut at the tournament was in 2009 and he is expected to compete

against top 19 players across the globe including world’s number two and three, China’s Xu Xin and Fan Zhendong as well as Germany’s Dimitrij Ovtcharov, who is the current European champion ranked sixth in the world.

Seventh- time Olympian, Segun Toriola is expected to guide Quadri during the tournament and the President of Nigeria Table Tennis Federation (NTTF), Wahid Oshodi believes Toriola’s experience would be helpful for Quadri in Germany.

“This is a really serious test.

Nearly all the top 10 players will be there. Germany has always

been a good place for Aruna.

He has a large fan base there and his attacking style is so popular with the crowd.

“If he remains calm and focused like he was in the Olympics then he should go far in the competition. I am always quietly confident but unlike past years his success so far has ensured that he holds no surprises for the top players. He is a top world-class player now and if his forehand is firing then he will be a handful for anybody.

With Toriola’s experience to guide him and a bit of luck on his side he can go very far,” the NTTF boss enthused.

Rivers Utd Moves on from Abia Warriors Setback Technical Manager of Rivers United, Stanley Eguma, has said that his charges are bitterly disappointed following their failure to beat Abia Warriors on match day 37 of the Nigeria Professional Football League (NPFL).

A plethora of missed

chances by the homes side characterized United’s 0-0 draw with the Warriors in a tense contest at the Yakubu Gowon Stadium on Sunday.

Eguma has now declared that crying over spilt milk will do no good and is now training his sights on the

club’s next game away to Akwa United on October 2.

“It is quite unfortunate we did not win because we prepared so well for this game.

“We missed a lot of goal scoring opportunities in both halves of the game.

“We still have a last game to play and we will try to win that game against Akwa United in Uyo,” he told RIVERS UNITED MEDIA. Rivers United is currently in second place on the NPFL standings with 57 points from 35 matches.

Bush, Clinton, Obama Join Stars in Tributes to Late Golf Icon Tributes have continued to pour in for legendary US golfer, Arnold Palmer, who died aged 87 years last Sunday.

Rory McIlroy and Tiger Woods, stars of a newer generation who admired “The King,” and Palmer’s “Big Three” rivals of the 1960s, Jack Nicklaus and Gary Player, were among those who are mourning Palmer’s death.

But so was US President Barack Obama, who tweeted a photo of a lesson Palmer gave him in the Oval Office of the White House.

“Here’s to The King who was as extraordinary on the

links as he was generous to others. Thanks for the memories, Arnold,” Obama tweeted.

Former President Bill Clinton called Palmer “golf’s everyman.”

“We loved him most as the underdog who never gave in and often came from behind to win,” Clinton said, while former President George W. Bush said “there has never been a sight quite like Arnold Palmer walking down the fairway toward the 18th green.”

Palmer’s everlasting legacy is found in the star players and rich events of today,

such as Rory McIlroy and the $11.5 million he won Sunday for taking the Tour Championship and FedExCup playoff crown.

“He has meant so much to golf worldwide,” four-time major winner McIlroy told The Golf Channel, which Palmer co-founded.

“Arnold wasn’t the most successful player ever but he was the player that brought the game to the masses.

“If it wasn’t for Arnold Palmer, we wouldn’t be playing for these obscene amounts of money we play for every week.”

Palmer became the first major US sports celebrity endorsement star, the role made for him in the 1960s.

He remained a popular pitchman into his 80s, his “Arnie’s Army,” fan following unmatched until Woods spawned Tiger-mania in 1997.

“Thanks Arnold for your friendship, counsel and a lot of laughs,” Woods said in a Twitter posting.

“Your philanthropy and humility are part of your legend. It’s hard to imagine golf without you or anyone more important to the game than the King.”

Golf Icon, Arnold Palmer

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Tuesday September 27, 2016

UT H

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Price: N250

MISSILE Amnesty to Nigeria Police

“A police unit created to protect the people has instead become a danger to society, torturing its victims with complete impunity while fomenting a toxic climate of fear and corruption.

SARS officers are getting rich through their brutality. In Nigeria, it seems that torture is a lucrative business. Our research has uncovered a pattern of ruthless human rights violations where victims are arrested and tortured until they either make a ‘confession’ or pay officers a bribe to be released.” – Amnesty International accusing the Nigeria Police Force of systematically torturing detainees in its custody as a means of extracting confessions and lucrative bribes.

ATEDOPETERSIDE GUEST COLUMNIST

Averting an Economic Meltdown via the Right Type of Asset

I

n my previous capacity as the Chairman of the Technical Committee of the National Council on Privatisation up until May 2015, I canvassed for the privatisation of the power sector, sale of Nitel and pushed for the sale of the refineries and the passage of the transport reform bills before time ran out on the last administration.

The Nigerian economy has since taken a turn for the worse. We are now confronted by the twin evils of economic stagnation (2.06% contraction of real GDP in the second quarter of 2016) and a high inflation rate (above 17%). Stagnation + Inflation = Stagflation. Those calling for a drop in interest rates, at a time of ravaging inflation and uncontained exchange rate pressures, are guilty of carrying out a partial/jaundiced analysis. Their prescription would further destabilise the macro-economy.

These same people never seem to conclude their prescription. They should equally prescribe how to allocate scarce foreign exchange and attract forex inflows? If they would go all the way and recommend that we should allocate the available CBN dollars via a lottery, conducted on live television, where the winners pay N320/$1 and the losers head for the parallel market at N440/$1, then we can take them seriously.

At least such a lottery would be “scientific”, transparent and corruption free.

Ideally, the economy would benefit from a dose of stimulus, but only the type that simultaneously helps to ease Nigeria’s forex scarcity problem, rather than simply heating up the forex market further.

I am an economist, an investment banker and an entrepreneur too and so I know that, if you offer investors negative real interest rates and phenomenal forex arbitrage opportunities, then few will bother to invest in anything real. They would rather borrow Naira at low interest rates to chase Central Bank of Nigeria (CBN) dollars at N320/$1 with the aim of importing goods to sell to consumers at an effective rate of N440/$1. In effect, round-tripping will become the only worthwhile investment game in town. The time to bring down interest rates is when we have contained the inflationary pressures or are well on the road to doing so.

What we need is a combination of well thought out, calibrated and properly sequenced fiscal and monetary policies supported by the right mix of macroprudential tools. Thankfully, the Monetary Policy Committee (MPC) of the CBN recently brushed aside some ill-advised public pleas for a drop in interest rates in the face of stagflation. Monetary and exchange rate policy, based on a sound theoretical underpinning such as the Mundell-Fleming Trilemma, is clearly not everyone’s forte.

The elections are over at the Federal level and I belong to the school of thought that believes that all hands must be on deck to fight Stagflation. The last administration did not save for the rainy day during an oil boom and the current administration was in denial for close to twelve months until the acute forex and petrol scarcities, occasioned by the continued pursuit of clearly unaffordable subsidies, forced a policy rethink.

The CBN has half-embraced market determined exchange rates, but then it

Minister of Finance Kemi Adeosun

retains so many impediments to the smooth functioning of the market that we are now stuck with confusing multiple exchange rates which have spooked investors.

Business confidence is exceedingly low on account of unguarded utterances by several Government functionaries, regulators overreaching themselves and overzealous anticorruption agencies who take turns to harass private sector businesses. Investors see that the risk/return equation has altered dramatically - risks are up and returns are down.

Stagflation is one of the most difficult macroeconomic conditions to break out of and the Nigerian elite owe it to the teeming masses to jettison our differences, end the blame game and instead work together to initiate a credible path towards both lowering the inflation rate and restoring economic growth. If we do not act now, we may face 4 to 8 years of zero per capita income growth. Italy has just completed a decade of no growth and Japan has attained that same state for close to two decades. Brazil has been in recession for three years and the economies of Zimbabwe and Venezuela are in free fall. With our large youthful population, that is unprotected by adequate safety nets, Nigeria cannot afford to emulate any of these countries.

Some of the longer term structural changes that we need to institute to salvage our economy will require a bipartisan handshake because they call for constitutional changes.

Those who are calling for some form of political restructuring are right to put that on the table because it is unclear how unviable State Governments, who cannot pay salaries, can become serious economic actors over the course of the next decade.

Our economy could do with some fiscal stimulus, but the Federal Government of Nigeria (FGN) has no net savings to draw upon and our external reserves have fallen dangerously low (below $25 billion). Instead, FGN faces a rising local debt burden which can only become progressively burdensome on account of high nominal Naira interest rates which are still necessary to contain inflation and help douse exchange rate pressures. The harsh reality is that the foreign exchange scarcity will continue to bite for a while because business confidence is exceedingly low and investors (local and foreign) have lost faith and now prefer to delay forex inflows.

There are two broad avenues for quickly increasing the availability of forex and these are; 1) external borrowing; or 2) asset sales. Let me quickly add that I am nervous about the former because we have weak institutions, a bloated and inefficient public service and a challenged economic team. The recent bad decision to sell subsidised forex to pilgrims after a sharp Naira devaluation for everyone else speaks volumes.

That brings me to asset sales. If these are done strategically, they can constitute a triple boost to a flagging economy.

They can:- 1) bring in forex; 2) improve efficiency; and 3) reduce the drain on existing resources which some FGN assets/ investments presently constitute. Call this my 3-way test.

I would not advocate for the sale of a “cash cow” like the FGN stake in Nigeria LNG (NLNG) at this time because it does not pass the second and third pillars of my 3-way test. Conversely, I would advocate for the replication of the very successful NLNG model, where the FGN stake is capped below 50% across the oil producing Joint Ventures (JV). The biggest obstacle to incorporating the existing JVs between FGN and the oil majors is attributable to the fact that no right-thinking business house will want to be “trapped” in an Incorporated JV (IJV) in which the FGN has majority control. What happens when FGN dissolves the Board and fails to appoint new directors, thereby leaving the IJV short of a quorum? NLNG works because FGN is not in control there.

This is an excellent time to form separate IJVs with Shell, ExxonMobil, Chevron,

Total etc. but for this arrangement to takeoff properly and quickly, FGN must sell down its stake from the 55-60% that it presently holds to no more than 40% in each of the IJVs. Anybody in his right mind will gladly pay a premium to attain 51% and move away from the present clumsy and unwieldy structure where they are junior partners in a Joint Venture with a historically meddlesome and value-destructive Nigerian National Petroleum Corporation (NNPC).

Adopting the NLNG model also frees the FGN from the debilitating cash calls that have become increasingly burdensome on the annual FGN budget because the IJVs will be able to borrow internationally to finance their investment programmes. I would also favour the listing of the IJVs on The Nigerian Stock Exchange by placing the balance of the 9% shareholding in each of the IJVs with the investing public. This will provide added public scrutiny (possibly better than what FGN alone can provide through board representation). The refineries should also be sold outright because NNPC has never been able to run them and their outright sale also passes my 3-way test above.

If we have the discipline to transparently execute selective and strategic asset sales, that pass my 3-way test, then we can significantly reduce the extent of our recourse to worrisome external debt.

Working together, we can tame this stagflation monster.

• Peterside is the Chairman of Stanbic IBTC Holdings Plc and the President & Founder of ANAP Foundation; Twitter: @AtedoPeterside

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