FG, Labour meet today to avert strike by Vanguard Media Limited

...towards a better life for the people

VOL. 25: NO. 63028

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N200

MONDAY, MAY 16, 2016

Stock market investors lose 17 N1.2trn in 4 months

FG to prosecute suspected looters in UK, other countries 6 — AGF

DISCOs disconnect ‘historic debtors' 14

HIKE IN FUEL PRICE

FG, Labour meet today to avert strike •Reps hold emergency session on fuel subsidy today, meet with Kachikwu •Presidency rolls out palliatives; marketers to lose N16.5bn to hoarding •Pgs.2&9

•PDP Reps caucus demands apology from Buhari

By Emman Ovuakporie, Victor Ahiuma-Young, Johnbosco Agbakwuru & Ehi Eweka

BUJA—IN a desperate move to avert a nationwide strike by organised labour and its civil society allies over the N145 per litre new pump price of petrol, the Federal Government has invited labour leaders in the country for a meeting today. House of Representatives will also,

Continues on Page 5

Fidelity Bank appoints Balarabe Deputy Managing Director

Mr & Mrs From left: Chief Nike Akande, President, Lagos Chamber of Commerce and Industry, LCCI; Maria Figueiredo, Consular General of Brazil in Nigeria; Mr Waheed Olagunju, Ag MD/CEO, Bank of Industry; Hadeeza Olaosebikan, Head, Media and Communication and Dr Ezekiel Oseni, Chief Risk officer, during the presentation of Award for Industry Support through Intervention Funds to Bank of Industry, by Lagos Chamber of Commerce and Industry at the 2016 Commerce and Industry Awards held in Lagos on Saturday.

COLUMNISTS:

The mother The Lagos of and father of A denijiA dele fuel prices deniji-A •P.33 C M Y K

•P.32

Fuel hike: Buhari must apologise •P.34

Investing to Win Rahul Colaco MD/CEO, Friesland Campina Wamco •P.35

2—Vanguard, MONDAY, MAY 16, 2016

Fuel price hike: Presidency rolls out palliatives 8m Nigerians to benefit from social investment packages 5.5m school children to be fed for 200 school days 1.6m Nigerian traders, market women, men, artisans to receive loans By Levinus Nwabughiogu

BUJA — TO cushion the harsh effect of the new pump price of Premium Motor Spirit, PMS, on the people, the Presidency is set to implement the N500 billion earmarked in the 2016 budget for social welfare. A statement by media spokesperson for Vice President Yemi Osinbajo, Mr. Laolu Akande, yesterday, in Abuja said: “All together, the Federal Government would be directly impacting the lives of more than eight million Nigerians in different social investments in 2016 budget spending that would provide succour and be ready-made palliatives to ordinary Nigerians.” Giving a breakdown of the interventions and palliatives, Akande said there would be “direct payment of N5,000 monthly to one million extremely poor Nigerians for 12 months as provided for in the 2016 budget for which N$68.7 billion has been appropriated.” Similarly, he said government had also made available a “direct provision of very soft loan-cash for market women, men and traders, including artisans and agric workers. "This would be for a total of 1.76 million Nigerians without the requirement for conventional collateral. Some of the traders will likely get about N60,000. A total sum of N140.3 billion has already been appropriated for this in the budget.” The details also showed there would be “payment of between N23,000 and N30,000 per month to 500,000 unemployed graduates, who would be trained, paid and deployed to work as volunteer teachers, public health officers and extension service workers, among other responsibilities. According to the media aide, "they would also be given electronic devices to empower them technologically both for their assignments and beyond. 100,000 artisans would also be trained and paid. N191.5 billion has been set aside for this in the budget. “At least 5.5 million Nigerian primary school children, starting first in 18 states, three per geopolitical zones, would be fed for 200 school days under the free Homegrown School Feeding Programme." He said N93.1 billion had been appropriated for this in the 2016 budget.

“100,000 tertiary students in Science Technology Engineering & Maths-STEM, plus Education, will partake in the N5.8 billion already provided for this education grant in the budget. This payment would also be made

directly to the students.” He stated that these measures that would start in a matter of weeks, would certainly lift the ordinary man from the pangs of economic hardship and poverty. Akande said: “Long before

now, the Presidency had made adequate arrangements in the 2016 budget to ensure that Nigerians are lifted from poverty and hardship. “The Buhari Presidency is keen to ensure that Nigerians are lifted and that, if necessary, on an ongoing basis palliative measures would always be considered to address the conditions of the people.”

75 ships face FOREX challenge to import fuel As Venezuelan hails FG on downstream liberalization By Ediri Ejoh, with agency reports

CONGRESS: From left, former Governor of Kaduna State, Senator Ahmed Makarfi; former governor of Jigawa State, Sule Lamido and Senator Ibrahim Ida, from Katsina, at the Peoples Democratic Party, PDP, North-West zonal congress, in Kaduna, Saturday. Photo: NAN.

NMC decries shortage of Maths teachers By Laide Akinboade Oriere

BUJA—DIRECTORGENERAL and Chief Executive Officer, National Mathematical Centre, Abuja, Professor Adewale Solarin, weekend, decried shortage of mathematical science teachers at various levels of education in Nigeria. He stated this at a press briefing in Abuja to announce the international symposium on “Current trends in mathematical science and applications” organised by African Academy of Sciences, AAS, and African Mathematical Union, AMU, holding May 17, 2016 in Abuja. Solarin said dearth of teachers for mathematics-related subjects was partly responsible for the phobia and poor performance of students in mathematics in public examinations. He urged the Federal Government to declare a state of emergency on mathematics. NMC Director General, who is also President, African Academy of Sciences, noted that African mathematical scientists resident in Africa were gradually becoming endangered species because the number of such scientists had been dwindling in quality over the years. Solarin said: “To compound matters, many African countries, including Nigeria, have witnessed an unprecedented proliferation of

universities and other tertiary institutions all over the continent with inadequate matching funds." He, however, noted that Africans, including Nigerians, have made tremendous contributions to progress in mathematics. He said: “We have had Nigerians that are publishing their contributions in the best journals in the world. If their contributions were not up to international standard, they won’t have been accepted for publications in such journals.” The director general said the symposium would provide costeffective way of training mathematics teachers in various

institutions across the country. He disclosed that over 100 Nigerians had participated in the pre-symposium school or workshop, where they were trained extensively for two weeks from May 3 to May 16, 2016. Solarin also revealed that the symposium would have about 20 non-Nigerian experts to share knowledge and experience through interaction with the young mathematical scientists in the country, saying this would further increase interest of many Nigerians in the study of mathematical science.

Probe Chibok girls abduction, #BBOG tasks Buhari

By Omeiza Ajayi

BUJA— THE BringBackOurGirls, BBOG, advocacy group has asked President Muhammadu Buhari to initiate a fresh probe into the 2014 abduction of scores of female students in Chibok. The demand was contained in a statement released after presenting the Month 4 report of its monthly monitoring initiative. The statement which was jointly signed by a former Minister of Education, Oby Ezekwesili, and

Aisha Yesufu, expressed sadness that the administration had not fulfilled some of the promises made regarding the rescue of the girls. “With the disgraceful and unpalatable shoddiness that characterized the handling of the abduction and counterinsurgency war by the Goodluck Jonathan-led administration still fresh in mind, President Buhari’s team cannot afford to drop the ball again,” the statement read in part.

AGOS — THERE were indications, yesterday, that the hike in price of petrol to N145 per litre may not bring an end to scarcity which had longed halted economic activities in Nigeria. This is as growing fleet of tankers stuck off Nigeria are reported to have been unable to unload their cargoes of diesel and petrol due to challenges in accessing FOREX for import. At least 75 ships with two and a half million tonnes of fuel are waiting for importers in Nigeria to find the dollars they need to pay for the cargoes, according to ship tracking data and fuel traders. Reuters reported that some of the vessels arrived a month ago and their frustrated owners have almost given up hope and started to offer their fuel to buyers outside Nigeria. Meanwhile, former Venezuelan Minister of Mines and Energy, Dr. Alirio Parra, has described the decision of the Federal Government to liberalize the downstream sector of the oil and gas industry as historic and smart. Par ra, who is also a member of the global oil industry outfit, CWC Group, stated at a forum in Abuja, weekend, that the liberalization of the downstream sector in the country was a bold testament to the fact that oil was a market-driven commodity. This was contained in a statement signed by the Group General Manager, Group Public Affairs Division, Nigerian National Petroleum Corporation, NNPC, Garba Deen Muhammad, weekend. The statement had the former minister saying: “One really important change in the oil and gas industry in Nigeria is the decision by the Federal Government to open the domestic market for competition."

Vanguard, MONDAY, MAY 16, 2016—3

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4—Vanguard, MONDAY, MAY 16, 2016

Fidelity Bank appoints Balarabe as DMD By Emeka Aginam

CONGRESS: From right, Governor Ifeanyi Ugwuanyi of Enugu State; Deputy Senate President, Senator Ike Ekweremadu and Senator Andy Uba during the PDP South East zonal congress at Okpara Square, Enugu, weekend.

Battle for 2019 has started —Sheriff PDP must return Nigeria to path of glory—Mark Calls for truce to resolve party's impasse By Henry Umoru, with agency reports

BUJA — Ali Modu Sheriff, National Chairman of Peoples Democratic Party, PDP, said, yesterday, that the battle for 2019 general election had started in earnest. This came as former Senate President, Senator David Mark, raised the hopes of the PDP, that the inability of ruling All Progressives Congress, APC, to find what he described as compass to navigate the ship of the state and respond appropriately to the yearnings of Nigerians was an ample opportunity for the party to bounce back to power. Appealing to aggrieved stakeholders of the party to put aside their differences, the chairman said PDP could not afford to remain divided if its desired goal was to be achieved. He also distanced himself from the comment made by Inuwa Bwala, his media aide, regarding the call for Sheriff to step down. Bwala had referred to the stakeholders, who made the demand as “self-styled” elders, threatening to report Jerry Gana, former Minister of Information and leader of the group, to the Economic and Financial Crimes Commission, EFCC, for allegedly defrauding the PDP to the tune of N500 million. But reacting at a media briefing in Jalingo, Taraba State capital, Sheriff said: “As a well cultured and astute politician, I would never make any comment that would ridicule the party.” He added that it was not in his character to join issues with highly respected elders, noting that he never authorised any of his aides to react to issues raised by the aggrieved elders. Sheriff said the elders deserved C M Y K

the right to complain about issues they considered inimical to the progress of the PDP. He explained that the present leadership of the party was poised to lend a listening ear to all shades of opinions, with a view to strengthening it to face the challenges ahead. “Under our leadership and the support and encouragement of stakeholders and supporters, PDP will definitely bounce back in 2019,” he said.

Mark calls for truce to resolve party pmpasse

Meanwhile, former Senate President, Senator David Mark, has raised the hopes of the PDP, that the inability of the ruling All Progressives Congress, APC, to find what he described as compass to navigate the ship of the state and ultimately respond appropriately to the yearnings of Nigerians was an ample opportunity for the party to bounce back to power. According to Senator Mark, if the party must come back to power, following its defeat by the APC, after 16 years in government, there was urgent need for a truce among party members ahead of the May 21 national convention. He also advised the party to avoid the pitfalls of the past, such as imposition of candidates against the wishes of the majority. Mark in a statement by his Media Assistant, Paul Mumeh, said: “We are returning the party to the people and let the people decide. Nigerians can now spot the difference. "The PDP is still the right choice. Therefore, we must respond positively and ultimately return the nation to the path of glory once more.”

On North Central zonal congress

Speaking to the North Central delegates to the PDP zonal congress in Abuja, weekend, Mark said he was worried by the emerging disaffection within the PDP ahead of its 2016 national convention. He said: “I think we have realized our past mistakes and learned our lessons. We cannot afford crisis or disaffection within our fold any more. “It is time for all genuine men and women of our party to make the necessary sacrifice and work honestly towards a united and more cohesive party.” Mark, who noted that there were bound to be disagreements in any human endeavour, said: "We must put aside sentiments, personal interest and reconcile honestly and genuinely for the larger interest." Senator Mark craved credible electoral process that would produce credible and acceptable candidates for elections, adding that if things were done the right way, democracy would thrive and endure for the good of all. At the North Central Zonal Congress elections conducted by former Minister of State for Education, Mr. Kenneth Gbagiled panel, Mr. Theophilus Shan was elected Zonal Chairman, Mr. Maurice Tsar, zonal Secretary, while Mr. Joel Adagadzu was elected zonal organizing secretary, among others. All the officials were elected through a consensus . Former governors of Benue State, Gabriel Suswam; Niger, Abdulkadir Kure and Babangida Aliyu; Senators Jerry Useni; Suleiman Adokwe; Philip Aduda and scores of House of Representatives PDP members from North Central zone were among those who attended the congress.

AGOS — FOLLOWING the resumption of the Managing Director of Fidelity Bank, Mr. Nnamdi Okonkwo, Alhaji Mohammed Lawal Balarabe, who held forte in his absence, has been appointed as the Deputy Managing Director, DMD, of the bank, subject to regulatory approval. The bank, in a statement, weekend, said Balarabe was an erudite banker with over 24 years’ experience in corporate, commercial and retail banking. The bank said he had worked in various capacities in Nigeria’s financial services industry where he acquired strong strategic management, leadership and people skills. Balarabe, according to the bank, holds a Bachelor ’s degree in Accounting and Finance from Nottingham Trent University, United

Kingdom (UK), as well as Masters of Science (M.Sc.) in Finance from the University of Lagos (UNILAG). It said he attended several executive education programmes at Columbia University Business School, INSEAD; Said Business School, University of Oxford; and Kellogg School of Management, among others. A licensed member of the Nigeria Stock Exchange (NSE) since 1992, Balarabe also served as Executive Director of Oceanic Bank Plc, pursuant to an appointment by the Central Bank of Nigeria (CBN). He was also a General Manager in United Bank for Africa (UBA) and had been the General Manager and Chief Executive of Newdevco Finance Services Company Limited before his appointment to the Board of Fidelity Bank in April 2012.

New aviation rules take effect July 1 —NCAA

AGOS—THE Nigerian Civil Aviation Authority, NCAA, yesterday, said the new Nigeria Civil Aviation Regulations (Nig.CARs), promulgated in December 2015, would take effect from July 1. The NCAA in a statement by its General Manager, Public Relations, Mr Sam Adurogboye, made available by the News Agency of Nigeria (NAN) in Lagos, said the announcement was contained in a Circular Ref: NCAA/DG/AOL/21/16/01 sent to all airline operators in April. According to the statement, while operators are in possession of the copies of the regulations, the interregnum between April and the commencement date is a permissible transitional period. It said during the time, stakeholders were expected to acquaint themselves with the contents therein for seamless implementation. “The process of review was set in motion to align Nig.CARs with recent International Civil Aviation Organisations (ICAO) amendments and industry observations received by the authority. “Provisions have, therefore, been made for economic and consumer protection regulations that were hitherto not incorporated in the 2009 edition. “In addition, the NCAA

decided on the review to standardise the operational procedures, implementation and enforcement in the industry. “All these have been done in conformity with the Standards and Recommended Practices (SARPs) as contained in the Annexes to the Chicago Convention,” the statement said. It therefore, enjoined airline operators and other stakeholders to ensure total and sustained adherence to the reviewed regulations, adding that any breach would be met with the stipulated sanctions. NAN reports that the Nig.CARs 2015 has 19 parts comprising General Policies and Definitions, Personnel Licensing, Aviation Training Organisations, Registration and Marketing, Airworthiness and Approved M a i n t e n a n c e Organisations. It also has Instrument and Equipment, Operation, Air Operator Certification and Administration and Commercial Air Transport by Foreign Air Carrier within Nigeria. Others are Commercial Aircraft Operations used for Specialised Services (Aerial Works), Aerodrome Regulations; Air Navigation Services, Carriage of Dangerous Goods by Air, Environmental Protection Regulations, Aviation Security and Offences.

Vanguard, MONDAY, MAY 16, 2016—5

POCKET CARTOON

POLIO—From left: Adamawa State Deputy Governor, Mr Martins Babale, administering polio vaccine on an infant at the International Transit of the Internally Displaced Persons Camp in Fufore Local Government Area of Adamawa, yesterday. Photo: NAN.

FG, Labour meet today to avert strike Continues from Page 1

today, hold a special plenary and take a position on the recent increase in price of petrol. However, leaders of the Nigeria Labour Congress, NLC, their counterparts in Trade Union Congress of Nigeria, TUC, and civil society allies had on Saturday, given government up till midnight tomorrow to reverse the pump price to the pre-Wednesday, May 11 rate of N86.50 or face a nationwide strike and street protests. Vanguard gathered that the meeting will take place 10 am today at the office of the Secretary to the Government of the Federation. According to a source, the meeting will involve stakeholders, including leaders of NLC, TUC, Nigeria Union of Petroleum and Natural Gas Workers, NUPENG, and their Petroleum and Natural Gas Senior Staff Association of Nigeria, P E N G A S S A N counterpart.

This came as NLC faction, led by Joe Ajaero, said it would today and tomorrow meet with civil society groups, market women, informal workers' groups and other Nigerians to fine-tune strategies on how to shut critical sectors of the economy should government fail to meet its demands. He called on the Federal Government to reverse the N145 pump price hike and convoke a meeting of all relevant stakeholders before end of the Tuesday deadline to determine appropriate price of petrol or risk nationwide strike and mass action. Ajaero, contended that what the government had done was simply to hike price to get more money without considering its overall implications on the masses of the country who were already struggling to survive in the midst of high cost of living. According to him, government is not concerned about how to

IT'S UP TO YOU

BY AYO ADIO HENEVER a man wakes up is his morning, it doesn’t matter how much time you have lost, you can start now and make your life count. It's up to you.

TAKE HEART BY ELLA RANDLE

You cannot antagonize and influence at the same time —John Knock

F you desire to influence another person, the way to start is by nuturing them. At the heart of the nurturing process is genuine concern for others. If you want to help people and make a positive impact on them, you cannot dislike or disparage them. You must give love to them and give them respect. The simple truth is that most people are desperate for encouragement. If you become a major nurturer in the life of another person, then you have an opportunity to make a major impact on them.

SAYINGS OF OUR PEOPLE A noisy falling Iroko tree does not kill a cripple.

ensure that 100 per cent of the products were sourced locally, and faulted the blanket approval given to everyone interested in importation of petrol to go ahead and import. He noted that it was a shame that, Nigeria, as a major producer of crude should be talking of importation and not how to revamp the existing refineries and build new ones to meet not only local demands but also for export. He said: “The Congress, therefore, decided that we reject this unholy hike in the price of petrol and shall take active steps to ensure that whatsoever philosophy or idea that must have propelled it is erased in the process. "We shall also ensure that this government removes all bottlenecks that make supply of the product to the citizenry difficult. To this end, we resolve that the federal government reverses its illegal decision to hike the pump price of PMS to N145/litre between now and Tuesday midnight. “A Joint Action Committee to fine-tune the strategies and actions for this struggle has been set-up for a mass action.” Meanwhile, leaders of the nation’s oil workers have said a nationwide strike was not the immediate solution to last Wednesday’s hike in the pump price of petrol. The workers’ position came against the backdrop of plans by the NLC, and TUC, to embark on a nationwide strike from Wednesday. Both PENGASSAN and NUPENG had at their joint National Executive Council, NEC, meeting in Calabar, Cross River State, last Friday, declared their support for deregulation of the downstream sector of the petroleum industry. Vanguard was informed

that though the joint NEC of the two unions had long been fixed before the government announced the new price regime, the NEC provided the leaders of both NUPENG and PENGASSAN the opportunity to deliberate extensively on the matter. One of the leaders who spoke to Vanguard in confidence, gave several reasons oil workers were in support of deregulation of the sector and advised leaders of NLC and TUC to collapse their positions into the oil workers’ stance in the interest of the Labour movement and the nation at large. He said: “He who wears the shoe knows where it pinches. This is the first time we are issuing a joint communique or statement on fuel price hike. Before now, we simply fell in line with the decision or decisions of our centres ( NLC and TUC.) "First, we agree that the sector should have been deregulated long ago and a time frame for ending importation of refined products into the country fixed. We have also agreed that the N145 per litre is very high because at the time the price was announced, the landing cost was N105. "The price should not have been more than N120 per litre to raise some funds for government. These funds should be channeled into specific areas such as infrastructure and improving the welfare of workers in the area of salary increment. " H o w e v e r , a communiqué jointly issued by the two oil sector unions at the end of the joint NEC meeting, they called for stakeholders’ engagement by the government to further discuss issues on how to reinvest the gains from a new price regime that would be agreed. The communique said: “The NEC-in-session had an extensive discussion on the recent price modulation. The NEC-insession is of the view that price deregulation has its benefits in the immediate and near future. "However, the NEC-insession strongly demands the Federal Government’s engagement with the stakeholders to work out a clear direction on how to reinvest the gains into the economy to cushion the effects of the new price.” The oil workers also stated that there was an urgent need for a paradigm shift and a new direction in the management of new investment and income in the oil and gas industry, but with critical provisions. They stated that the government must ensure optimal performance of the existing refineries and also put in place a machinery for the

construction of new refineries in the country to ensure adequate production for domestic consumption and possible export. Leaders of the oil workers insisted on the need for the “engagement of critical stakeholders for the Federal Government to provide a road map with timelines of the infrastructure it intended to embark upon, with the proceeds from this price modulation to cushion the harsh effects of the new direction within seven days from tomorrow or risk a nationwide industrial unrest.

Reps hold special plenary

Meanwhile, the House of Representatives will today hold a special plenary and take a position on the recent removal of subsidy on petrol. The Minister of State for Petroleum Resources, Dr. Ibe Kachikwu, is expected to be at the session scheduled for noon, though many lawmakers, yesterday, voiced their support for the removal. Majority Leader of the House, Femi Gbajabiamila, APC, Lagos, on his blog, expressed support for the removal, though he had been vehement about subsidy removal in the past. Gbajabiamila as Minority Leader then, by his own admission, had written a caustic and scathing letter to then President Goodluck Jonathan in 2010, opposing any planned removal. “So what if it costs the government billions of Naira to subsidize every year? Mr. Acting President, so what? Every year for the past eight years, government has funded different events, costing the tax payers billions of naira, some of which many will consider unnecessary... "For crying out loud, you have just proposed in your 2010 budget to spend billions on such fancies but no, we do not have billions to subsidize oil for the welfare of Nigerians. Common sense. Mr. Acting President, common sense,”

Gbajabiamila had written. Gbajabiamila on his blog, however, noted that he was convinced of the need for the reversal after a “doomsday prognosis” by the Minister of State for Petroleum at a stakeholders meeting last Wednesday. He noted that it would, have been necessary to consider a review of the minimum wage to cushion the effects of the fuel price increase for Nigerian workers. Also, the Minority Leader, Leo Ogor, PDP, Isoko Federal Constituency, explained that the country could not continue to subsidise consumables, especially an import which primary product is exported from here. He called on the government to urgently engage the labour movement in dialogue on palliative measures. Ogor, however, disagreed with the price of petroleum being pegged by the government, advising that competition be allowed to determine the price.

PDP Reps demand apology from APC Reps

Meanwhile the Peoples Democratic Party caucus in the House of Representatives has demanded an apology from the All Progressives Congress and its leaders for their roles in the protests which led to the reversal of the removal of fuel subsidy in 2012. Leader of the caucus, Ogor in an interview with Vanguard, yesterday, recalled that President Buhari, then an opposition leader; APC chieftain, Senator Bola Tinubu, and several others vehemently opposed the removal in 2012. “El-Rufai, (Kaduna State governor), Tunde Bakare (Buhari’s running mate in 2011 elections) led major protests against the removal and Jonathan was blackmailed into dropping the laudable policy which would have saved us trillions of Naira by now....they have set the country back by several years," Ogor said.

6 — Vanguard, MONDAY MAY 16 , 2016

Ambode, wife link domestic violence to dysfunctional families By Monsuru Olowoopejo

AGOS—GOVERNOR Akinwunmi Ambode of Lagos State yesterday identified dysfunctional family background as one of the major reasons for rising cases of domestic violence, just as he advocated the need for parents to imbibe in their wards the virtues of honesty, respect, morality, good neighborliness, peace and love. Governor Ambode, who spoke at the Lagos House at the family day celebration hosted by the state in commemoration of the International Family Day, also said a lot of acts of terror and violence that have ruptured global peace and security could be traced to the absence of strong family ties, and as such parents must spend time with their children no matter how difficult it may be. The Governor described the family as the smallest but most important unit of the society, saying things can only go right in the country if first addressed in the family. Earlier, the wife of the governor, Mrs. Bolanle Ambode said without communication, social interaction, love and mutual respect for one another, a family can hardly be united or peaceful.

LEKKI FREE TRADE ZONE: IGP takes over MD’s murder investigation By Abdulwahab Abdulah & Monsurudeen Olowoopejo

AGOS—THE Lagos State government said it has directed the Inspector General of Police, IGP, Solomon Arase to take over the investigation of the gruesome murder of the Managing Director of the Lekki Free Trade Zone, Tunde Disu last year October. The decision was recommended by the white paper issued by the Tribunal of Inquiry into the civil disturbances that led to the death of the late Disu. Mr Adeniji Kazeem, the state Attorney General and Commissioner for Justice, made the disclosure weekend during the ministerial press briefing of the Ministry of Justice held at Alausa as part of the activities marking one year in office of the Governor, Mr. Akinwunmi Ambode. The Attorney General, who hinged Governor Ambode’s success in office within the year on law reforms, law and order among other legislative initiatives disclosed that the government has formed a task force to address the issue of land grabbers within the state. He disclosed that the Citizens Mediation Centre (CMC) established to encourage Lagosians to embrace mediation as opposed to litigation recovered N783,310,670 on behalf of parties while it meditated on 21,941 cases and resolved 20,994 out of 36,105 matters referred to it within the last one year. According to him, the Office of

the Public Defender (OPD) also facilitated the collection of N98 million as compensation on behalf of complainants it attended to in the last one year. He said the OPD handled 5,322 matters on behalf of indigent

FAMILY DAY: From right: Dr. Oluranti Adebule, Lagos State Deputy Governor; wife of Lagos State governor, Mrs. Bolanle Ambode; Governor Akinwunmi Ambode and Mr. Folorunsho Folarin-Coker, Commissioner of Tourism, Art and Culture, during the 2016 Family Day Celebration,tagged ''Families, Health Lives, and Sustainable Future'', at Lagos House, Alausa, yesterday. Photo by Bunmi Azeez.

DEPLORABLE APAPA-OSHODI EXPRESSWAY: Lagos agencies footdrag, despite Ambode’s order By Olasunkanmi Akoni

AGOS—SOME 72 hours after Lagos state Governor, Mr. Akinwunmi Ambode directed relevant government agencies to immediately move to provide palliative work on the

LOOTED FUNDS: FG to prosecute suspected looters hiding in UK, other countries — AGF By Soni Daniel, Northern Region Editor

UOYED by a swath of agreements reached with other countries of the world in the world in London last week, the Federal Government is to begin moves to prosecute corrupt Nigerians who have fled to Europe and other parts of the world. Besides, the Nigerian Government has reached an agreement with the United Kingdom to repatriate funds stolen and hidden away in that country by crooked Nigerians. The Attorney General of the Federation and Minister of Justice, Mr. Abubakar Malami, confirmed the decisions to Vanguard in a telephone interview yesterday. Although the minister did not say how much of stolen funds the country was going to repatriate

from Britain, he confirmed that an agreement had been reached on how to return the money to Nigeria. The AGF said,” We have agreed that all those who stole money from Nigeria and hid them in other parts of the world should be traced and prosecuted and the money repatriated to Nigeria. “We have determined how much the cash is in the UK but there is an agreement already with the British Government on returning the money to Nigeria. “The meeting on anticorruption, which Britain hosted last week in London with President Muhammadu Buhari and other world leaders in attendance, reached several agreements that would help to stem the tide of money laundering and corruption in Nigeria. “Among others, Nigeria and others agreed for an international collaboration for a joint action that

Lagosisians and represented them in 2,467 cases on their behalf in various courts. He said the Directorate for Citiz ens Rights successfully treated 1,965 human rights cases and recovered N16,248,400 on behalf

of numerous complainants. In line with its resolve to fight crime, he said the state government has commenced the process of establishing a state owned DNA Forensic Laboratory adding that when completed, it will not only resolve crime matters but also health issues.

none of the 54 countries should allow its shores to be used holding looted funds. “That agreement also calls for sanctions against any member that allows its territory to be used in safe-keeping looted funds. “The agreement also paves the way for the establishment of anticorruption centers in these countries and a fundamental framework for the repatriated of looted funds to where the money was taken,” Malami said. Nigeria is known to have suffered serious funds leakage through years of plundering by powerful politicians and top government officials, who hide away in the UK and other parts of the world where their loot is also hidden. But the plundering is about to come to an end as a result of the latest given the strings of agreements reached by the nations including Nigeria.

deplorable portions of OshodiApapa Expressway, repair work is yet to commence on the road. Last Friday, Ambode during an unscheduled inspection tour of the road, directed the state’s Ministry of Works and Infrastructure and other relevant agencies to move immediately to site and fix the deplorable road. The directive by the governor was greeted with loud ovation from residents and motorists who were worried that after, the agencies were still footdragging. The governor during the inspection expressed dissatisfaction at the deplorable state of some sections of OshodiApapa Expressway, saying the road was too strategic to the economy of the state and therefore cannot be ignored. He specifically inspected the bad portions of the road between Berlett and Ilasa, and Cele Bus stop inward Oshodi. He did not only directed the officials of the Ministry of Works to immediately move to site, but also ordered that palliative measure be put in place to alleviate the sufferings of motorists who have been complaining about the deplorable state of the road through various means. Mr. Kayode Ojo, a motorist along the route, however, urged relevant agencies to move to site immediately because the rains have started and further delay will worsen

traffic situation on the axis and its attendant result on both air and sea port activities since the road leads to the air and seaports. However, a source at the Lagos Public Works Corporation, LSPWC, who prefer red anonymity, confirmed the governor ’s directive saying, it will be obeyed soon. “But don’t forget, moving to site is premised on clement weather because works can move to site when it’s raining and this is rainy period,” the source stated. The state government through the Lagos State Public Works Corporation, LSPWC, sometime in April said it commenced palliative work but the effect was not felt by motorists. The Special Adviser/Chief Executive Officer, LSPWC, Mr Ayotunde Sodeinde, an engineer, while commenting on the development earlier, said the work is not a one off job as the corporation would continue to carry-out periodic maintenance of the road, until the Federal Roads Maintenance Agency, FERMA commences its reconstruction. FERMA Co - ordinator, (L agos-West) Kehinde Afolabi, was quoted as saying that the bad portion of the road would be reconstructed from the 2016 budget when it is eventually passed.

Vanguard, MONDAY, MAY 16, 2016 — 7

Funds paucity, power, others stunt agro industries growth — LCCI By Innocent Anaba

AGOS—THE Agric and Agro-Allied Group of the Lagos Chamber of Commerce and Industry, LCCI, yesterday identified lack of funds as a major challenge facing agro processing companies growth in Nigeria.

The group’s Chairman, Mr Adeola Elliott, made the assertion in an interview in Lagos. According to him, besides funds, there are the issues of electricity, access roads and water supply among others. “This is the situation because the nation’s economy has so far succeeded in placing money into

the hands of a few individuals. “The major agro processing companies are doing well because they have access to huge funds as well as international backing. “This is not the case with small agro processing companies and they are many scattered all around the federation,” he said.

FUEL PRICE HIKE: Marketers short-change motorists By Michael Eboh

BUJA—PETROL stations in the country seem not to be satisfied with the recent hike in the price of petrol to between N135 and N145 per litre, as majority of them now resort to underdispensing of the product. Vanguard observed in Abuja and environs that a number of the petrol stations, though selling at N145 per litre, had manipulated their pumps, and were now defrauding motorists with incorrect measurements. Petrotec filling station in

Suleja, Niger State, along the Abuja-Kaduna Expresway, was selling at N135 per litre, but a motorist complained that he bought 20 litres of petrol but was served about 15 litres. At the NNPC Mega Station at Kado in Abuja, one motorist complained that before the hike, it took N2,500 to fill his tank when it was half tank but was shocked to spend N5,000 to fill his tank in the same position at the NNPC petrol station. He wondered why it would take double the initial amount, when the price was not doubled.

Motorists called on the Department of Petroleum Resources, DPR, and other regulatory agencies to come to the aid of motorists and sanction defaulting petrol stations. Meanwhile, the Nigerian Association for Energy Economics, NAEE, weekend, emphasized the need for the Federal Government to fix the country’s refineries, stating that if all the refineries were working at about 80 to 90 per cent capacity, the price of Premium Motor Spirit, PMS, would drop to between N115 and N125 per litre.

Gadzama’s plan to be NBA president gets a boost By Innocent Anaba

HE bid by Chief Joe Gadzama, SAN, to become the president of the Nigerian Bar Association, NBA received a major boost, weekend, with the South West Lawyers Forum, SWF, pledging to support him in the forthcoming NBA elections. Aside from other aspirants vying for different posts, Gadzama was the only presidential aspirant that addressed the forum. The pledge is coming against the backdrop of the adoption of Gadzama by North East Lawyers Forum as its sole candidate. A screening committee set up by the influential Arewa Lawyers Forum, ALF and

chaired by Dr. Garba Pwul, SAN, had also recommended Gadzama for adoption by the ALF. Also at the weekend, two key pillars of Egbe Amofin O’odua, Chief Bandele Aiku, SAN and Asiwaju Adegboyega Awomolo, SAN, gave their blessings to Gadzama’s presidential aspirations. Aiku had prayed for Gadzama and offered his blessings towards his ambition when the aspirant paid the Egbe leader a visit at his country home in Ibadan, Oyo State. On his part, Awomolo had in a letter he sent to the SWF, expressed “great pleasure” over current efforts to resuscitate the comatose umbrella union of

Yoruba lawyers “after the last Bar election that caused the Egbe a humiliating defeat.” Throwing his clout behind Gadzama’s bid, the Egbe elder added: “Chief J. K. Gadzama is a good colleague and worthy of our relationship.” Gadzama had earlier addressed an audience at the Ibadan Branch of NBA. Responding to remarks by Gadzama at the forum’s meeting held at Ile-Ife, weekend, protem Chairman of the forum, Chief A. A. Ayodele said: “We have listened to our visitors, colleagues and their submissions. I want to assure you that the West will give you appropriate support.”

Expert faults FG’s fuel pump price hike By Monsuru Olowoopejo

HE Group Managing Director of CFL Group, Mr. Lai Omotola yesterday faulted Federal Government's decision to withdraw the monopoly hitherto enjoyed by the Nigerian National Petroleum Corporation, NNPC, to allow free market sales, thus forcing the pump price to increase from N86.50 to N145. C M Y K

Omotola, also Publisher of Infrawatch Nigeria, made the disapproval in a statement he issued yesterday, arguing that the reason for the increase “has been hinged on scarcity of foreign exchange and as such the solution is for government to throw open the importation of PMS to the organized private sector and the autonomous market. “These two entities are tasked with the responsibility of bringing the price of PMS

down in 6 months. Where is the address of this so-called autonomous market? Who is the Managing Director? “After much enquiry, I think the autonomous market is not the BDC, but the black market pure and simple. The black market in true sense is an illegal market, an unregulated market and a market controlled by urchins that scout for dollars either to sell or to buy on the street,” he added.

“Apart from funds, there is no training and the research institutes that are supposed to be providing such training are not living up to expectations. “The small individuals who are in agro processing are trying but their best is still not good enough because of the funds at their disposal,” he said. Elliott said that it costs about N50 million to set up a small agro processing factory. He added that individuals also provided electricity, mount poles

in their premises to connect to the national grid and construct access roads to their factories as well as provide water. Elliott said the processor also had to face the cost of providing diesel daily to run electricity generator. According to him, if agro processing is doing well the sector will be better as there will be reduction in post harvest loses of farm produce and farmers will be better off financially. He said that government at all levels should make deliberate effort to provide infrastructure support to drive agro processing in the country.

PDP ZONAL CONGRESS: From right; Congress Secretary, Hon Henry Ikoh; former governor of Rivers State, Celestine Omehia; Ondo State Governor, Dr Olusegun Mimiko; Ekiti State Governor, Ayodele Fayose; his Deputy, Dr Kolapo Olubunmi, and Peoples Democratic Party (PDP) governorship candidate in Osun State, Senator Iyiola Omisore during PDP Zonal Congress, at the International Events Centre (The Dome), Akure ... weekend.

8—Vanguard, MONDAY, MAY 16, 2016

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Vanguard, MONDAY, MAY 16, 2016—9

Steven Johnson Syndrome not discovered in Nigeria— Adewole By Sola Ogundipe

VISIT: From left, Director General, National Office for Technology Acquisition and Promotion (NOTAP), Dr. DanaZumi Ibrahim; Board member, Etisalat Nigeria, Alhaji Garba Bello and Chief Executive Officer, Etisalat Nigeria, Matthew Willsher, during a courtesy visit to NOTAP, in Abuja

Marketers to lose N16.5bn in subsidy to hoarding By Clara Nwachukwu

AGOS — PETROLEUM marketers are going to forfeit N16.5 billion in possible subsidy claims due to oil price increases at the international market over hoarding of product, which they preferred to call inventory stock. But the losses are more than made up for the high inventory level built at the time of the sudden pump price increases in premium motor spirit, PMS, also called petrol. At the new pump price of N145 per litre, marketers are more than willing to forfeit any subsidy claims prior to the price increases as they were already reaping about N58.50 per litre against the previous pump price of N86.50 per litre. As a result, less N13 per litre, the marketers still have a handsome excess profit of N45.50 per litre. Vanguard reliably gathered that subsidy levels as at May 6, had reached the N13 per litre mark before the Federal Government made the sudden announcement of N145 per litre for petrol on May 11. This is to avoid further accumulation since there was no provision for subsidy in the 2016 national budget. Neither the Department of Petroleum Resources, DPR, nor the Petroleum Products Pricing Regulatory Agency, PPPRA, the industry regulators, has offered any figure on the inventory level at the time of announcement of the pump price change. But Vanguard learned that this was already running into billions of naira, as daily accumulation is put at N520 million i.e. 40 million litres x N13.

Hoarding, belated announcement

Product hoarding helped to build inventory levels, especially

as marketers were expecting early announcement of the pump price increase, which came five days later, a development that led to the resurgence of long queues at filling stations nationwide. Some marketers, who spoke in confidence told Vanguard on phone, said: “PPPRA was about to come and take stock at the tanks and depots, but they were told to forget it as the announcement was expected to be made that evening. So nobody actually came to take the inventory.” Against this backdrop, the marketers admitted that “no marketer has the moral right to go claim subsidy for 2016 no matter how small, because they have gained on inventory. The reason is because on the day the announcement was made, everybody had product (petrol) in their tanks, which means that there was some inventory.” Speaking in defence of the hoarding of product, one of the marketers, who preferred anonymity said: “It was not intentional at all. What happened was that we were loading out to petrol stations and there was this confusion, because the announcement should have been made last Saturday (May 6), so some marketers were waiting for the minister (Petroleum Resources) to make the announcement.” Besides, he noted, the minister’s announcement was in breach as according to him, “there was not supposed to be any announcement; the trigger we were all expecting was for PPPRA to change their template. The change in template would have triggered all of us into action and if anybody had asked, we would have referred them to the PPPRA template. Somehow, Kachikwu (Minister of State for Petroleum), decided it was best for him to talk.”

Forex and pump prices

Apart from the 80 per cent pump price increases, the fact that marketers were told to source for their foreign exchange, FOREX, from secondary sources is another cause for worry, as this has further devalued the naira. As at Friday, the naira exchanged at N360 to $1, against N289 at the time of the price increases at the parallel market. To this extent, pump price should be actually higher than N145 per litre, which the PPPRA even alluded to on its website at over N243 per litre. This means that if oil prices rise higher than current levels to possibly above the $50 per barrel mark as being expected, then Nigerians would be subjected to further fuel pump price hikes. The inability of the Federal Government, through the Nigerian National Petroleum Corporation, NNPC, to acquire forex at official rate of N197/$1, compounded the petrol scarcity situation in the country. However, another marketer argued that this may not necessarily be so, saying: “If oil price rises significantly, then we will go back to government to talk. Significantly, levels would be above N5/Litre differential, but that will be an internal discussion because we have accepted that this system has come to stay, and we are going to work with it and make sacrifices here and there.” Vanguard gathered that only three of major oil marketers— Total, Mobil, and Conoil— benefitted from the intervention. According to our source, “the likes of Total, Mobil and Conoil, were those that got assistance from offshore companies – Total got from its upstream company, Mobil the same, while Conoil was assisted through the minister’s intervention by Shell; and that was only for one cargo, which they took to Port Harcourt. The others could not muster enough FX.”

BUJA — MINISTER of Health, Professor Isaac Adewole, has said contrary to reports making the rounds, Steven Johnson Syndrome, SJS, a rare medical condition caused by adverse drug reaction, is not a new disease and it was not discovered in Nigeria. Adewole, who cautioned Nigerians to avoid selfmedication and to be mindful of SJS, said the condition was first discovered in 1922 and could occur following use of prescribed drugs by medical experts. Issuing the warning weekend in a statement entitled: “Steven Johnson Syndrome in Nigeria: Setting the record straight,” the minister encouraged Nigerians to always report every case of adverse drug reactions through the Pharmacovigilance unit of the National Agency for Food and Drug Administration and Control, NAFDAC. He said: "On May 13, 2016, Adewole flagged off a 17-day marathon race from Abuja to Lagos, organised by the Federal Ministries of Health and Information and Culture in partnership with a

marathon runner, Mr Fadesola Adedayo, whose brother, Dr Adeyosola Adedayo, died in 2012 due to an adverse drug reaction to medications he took after sustaining a needle stick injury while managing a patient living with HIV. “He was managed for Stephen Johnson Syndrome at Lagos University Teaching Hospital, Idi-Araba and died after few days due to severity of the disease.” Adewole, who praised the marathoner ’s positive attitude of remembering the death of his brother by creating awareness through his 17-day marathon, mentioned that Steven Johnson Syndrome was not a new disease. In support of Mr Adedayo’s marathon race, Adewole directed all federal health institutions along the track of the marathon race to offer free ambulance and emergency services to the runner. Earlier, Mr, Falodun, a consultant at the National Hospital, Abuja, delivered a lecture on SJS, emphasising that it is a rare disease that could occur following drug use.

I never collected N25m for campaign in 2015 — Shekarau By Kingsley Omonobi & Abdulsalam Muhammad

ANO — FORMER governor of Kano State and ex-Education Minister, Malam Ibrahim Shekarau, has denied receiving N25 million from the alleged N950m campaign fund shared at his residence in Kano before the 2015 general elections. Shekarau, who spoke to the press after his release from the custody of Economic and Financial Crimes Commission, EFCC, in Kano said he was ready to defend himself before any judicial body or court of law. He explained that somebody mentioned his name among top members of Peoples Democratic Party, PDP, who were given N25 million each to campaign for the former President Goodluck Jonathan. He said he challenged the person that indicted him before the EFCC operatives to prove the allegation that he collected the money. He said: “I told the EFCC that even if it is one naira that I was accused of collecting, I will not pay until it is proved. "Whoever gives me the money should come out and explain

where, when and how he gave it to me and anything short of that, I am ready to stay with the EFCC for years until the allegation is proved.” He said the operatives had searched his house and found nothing incriminating against him, adding that they had collected his account number for further investigation. Shekarau said he was ever ready for any investigation and would not mind if the EFCC could trace his financial transactions in the last 20 years. He said he was not above mistake, but was ready to face any investigation and if found wanting, he would defend himself. He said as a politician, the development would turn to blessing to him and his followers, saying this was not a new thing in politics. The former governor called on his followers to remain calm, noting that as a believer, he must accept destiny, be it good or bad. Shekarau and top members of PDP in Kano are being investigated over N950million allegedly shared at his residence for the 2015 electoral campaigns.

10—Vanguard, MONDAY, MAY 16, 2016

NDLEA arrests 3 vigilance group members with hard drugs in Borno

HE BORNO Command of the National Drug Law Enforcement Agency, NDLEA, weekend, said it arrested three members of a vigilance group in possession of large quantities of dried weeds suspected to be Indian hemp. Mr Ona Ogilegwu, Borno NDLEA Commander, disclosed this to newsmen on the side lines of a sensitization workshop for members of the National Association of Patent Medicine Dealers NAPMED, on Saturday in Maiduguri. Ogilegwu said that the suspects were apprehended during a routine check in Maiduguri by operatives of the command. “We arrested three members of Civilian JTF with large volume of weeds suspected to be Indian hemp; they came with a brand new Toyota Hilux van with a large inscription of “Civilian JTF,” he said.

Apprentice abducts 2 children in Lagos By Esther Onyegbula

WO TODDLERS, aged two and five, have allegedly been abducted by a yet to be identified lady, described as an apprentice to their mother. The apprentice is said to have just spent four days at the hair dressing salon owned by the kids’ mother in the densely populated Ajegunle area of Lagos. Apprehension set in at about 2p.m. Saturday, after the kids’mother, Mrs. Emeka, suddenly discovered that her children were not in the shop.

On enquiry, she was informed that the children were seen with her apprentice, earlier with a plate, apparently going to buy food from a food vendor. However, after waiting endlessly for their return, Mrs. Emeka raised alarm, during which searches were conducted on the local food vendors in the vicinity, without any sign of her children or the apprentice. The apprentice could not be contacted as her telephone number and house address were reportedly not taken on resumption at the salon. When Vanguard visited the house located on Cemetery

Street, yesterday, the parents of the missing children were not at home as they were said to have gone out in search of their children. However, the couple’s relation, who gave his name simply as Ekene, said: “We received a call yesterday that my brothers’ children were missing, because it was late I had to come first thing this morning. Since I came I haven’t seen my brother or his wife. “I have called them severally, their phones are ringing, but they are not receiving their calls. I pray that the children are found unharmed," he added. Vanguard gathered that the case

Police kill two MASSOB members in Onitsha By Chimaobi Nwaiwu

NEWI—TWO members of the Movement for the Actualization of the Sovereign state of Biafra, MASSOB, were reportedly killed by two policemen attached to Okpoko

Police Division, Onitsha suburb, Anambra State, while others sustained injuries while a shop was razed yesterday. Trouble was said to have started for the MASSOB members when a woman reported a case of assault against one of them, but he allegedly put

up a fight when the Police tried to arrest him. The deceased was said to have called his members numbering about 20 on phones and on arrival at the scene, Udeaja/Ibe Street, they reportedly attacked the policemen, who gripped the suspect.

Group condemns herdsmen's killings in S-East By Godfrey Bivere

TAKEHOLDERS IN the maritime industry have joined other Nigerians to condemn the recent killings of innocent Nigerians by the herdsmen. The industry stakeholders under the aegis of Association of Igbo Maritime Practitioners in Nigeria, ASIMPIN, stated this in a statement, weekend. In the statement by the group’s President General, Damian Obianigwe and the Secretary General, Chief Dom Obi, the association stressed the need for the Federal Government to deal decisively with the new threat before it got out of hand. The statement read in part: "We condemn in strong terms the continuous attack, rape and killings by these herdsmen. These destardly acts are unacceptable and cannot continue any longer. C M Y K

had been reported at Ajeromi Police division. It will be recalled that two similar incidents occurred in the area in September and December last year. The first was September when a 25-year-old apprentice, identified simply as Ayomide, abducted her boss’s two-yearold son, David Ushie. While the second incident was in December when the Obazuayes discovered that that their three-year-old son, Olarenwaju Obazuaye was abducted by unknown persons in front of their house, 5 Ladipo Street, Ajegunle, Apapa, Lagos.

EXCERCISE: From left: Country Director, International Centre for Prevention of Deafness and Rehabilitation of Hearing Impaired Persons, ICPDRHIP, Dr. Eneche Audu; Beneficiary, Hafusat Sabitu; Portfolio Manager, Economic Empowerment, MTN Foundation, Ms. Foyinsola Oyebola; representative of the wife of Lagos State governor, Mrs. Mariam Williams, and Consultant Surgeon, Dr. Job Amodu, during the Assessment Excercise of the MTN Foundation Hearing Aid Support Project, at Lagos State University Teaching Hospital.

The policemen in self-defence used the suspect as shield while the attack was on and in the process a team of policemen arrived on a tip-off, which made the members to run away, while the suspect was arrested. At the Police station, the deceased was said to have complained of severe pains as a result of the attack on the policemen that used him as a shield during the assault from MASSOB members. He allegedly gave up the spirit minutes later. Another MASSOB member died when a rival group reportedly beat him to coma at Edeh Road . It was gathered that trouble started for the deceased when a woman complained to a MASSOB member that a rival member assaulted her and immediately the member mobilized his colleagues and they beat him unconscious and he died minutes after. In anger and in solidarity with the deceased, residents of Okpoko mobilized and razed the shop of the woman while she fled. Confirming the incident, the Okpoko DPO, Mr. Olabanji Kayode, said the investigation is on-going.

Abia Police bust kidnapping ring in Rivers community Rescue

victims

By Ugochukwu Alaribe

BA—FIVE victims were recently rescued from kidnapper’s den in Omuma community in Rivers State when detectives from Abia State Police invaded their hide-out. Parading six suspects including a 20-year-old girl in Aba, the Abia State Police Commissioner, Habila Joshak, noted that the kidnappers after abducting their victims in Aba take them to their hide-out in Omuma community until ransoms are

paid. It was learned that the paraded 20-year-old girl does the cooking for the kidnapped victims. Among those paraded were two suspects, who reportedly killed a man and later kidnapped his sister- in- law in Owerri, whose husband is based in Sweden. The CP, who refused to disclose the names of the suspects in order not to jeopardize investigations, added that the gang is also involved in bank robbery and breaking of ATM vaults. He urged residents to report suspected persons in

their neighbourhood, and assured that the Police have the capacity to respond to distress calls within five minutes in any part of the state. Items recovered from the gang include a welding machine, 20 rounds of ammunition, filing machine, and a pistol. Earlier, Police Area Commander in charge of Aba, ACP Peter Wagbara, told Vanguard that the hoodlums abducted two persons at Clifford and Ngwa roads in Aba and on tip-off, that the Police stormed their hide-out in a village called Umuakwu in Eberi Omuma, Omuma council area of Rivers State.

According to him: “We stormed the community, but the hoodlums had advance information and were able to rescue the victims. When we searched the house, we found this young lady, believed to be the one who was cooking food for the victim, a welding machine, 22 rounds of ammunition, filing machine. They use the equipment to break into ATM and bank vaults; there have been some unsuccessful attempts in Aba.” He added that the Police had launched efforts to track the fleeing kidnappers.

Vanguard, MONDAY, MAY 16, 2016—11

I spend my money on commercial sex workers —Suspected pickpocket By Esther Onyegbula

NE OF the two suspected pickpockets arrested by operatives of the Rapid Response Squad, RRS, of the Lagos State Police Command, weekend, in Maryland and Mile 12 areas Lagos, said he spends his proceeds on prostitutes. The suspects, Taoreed Ashimiyu, 24, and Kayode Jolaade, 34, were caught in the act by policemen after they had successfully removed three phones from commuters in different BRT buses. Confessing to the crime, the duo said they are experts in robbing commuters in Mile 12 and Maryland axes. One of the suspects, Taoreed, who hails from Yemetu, Alawada in Oyo state, said that he spent the proceeds from stealing on prostitutes. “I have not spent a dime from my proceeds in stealing on anything tangible. I womanise a lot and I spent my monies on both young and old ladies. I smoked Indian-hemp and drink all sorts of hard drinks. Taoreed said before his arrest that he had removed two mobile

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The suspected pickpockets phones from commuters during a rush at the Maryland bus-stop, “it was my third attempt that led to my arrest. My accomplice caused my arrest though. Before he joined me at Maryland, I had stolen two phones successfully.” He said it would not have been possible to arrest him, had his

friend not joined him at Maryland area that day, “people who knew him in the area were monitoring us, unknown to us. The people after monitoring our operations for some time started chasing me. On sighting them, I took to my heels. They were many, they caught up with me and started beating me.”

Taoreed said he was able to escape as he ran to board a moving Bus Rapid Transport (BRT). “As I was attempting to board, I saw a guy at the entrance, who was trying to assist me in getting into the bus. In the process of helping me, I dipped my hand in his pocket and removed his phone, and jumped down. “But he didn’t know I had equally removed his phone. As I jumped down, the people continued chasing me. When I had no option left, I tried to cross the express way, but unfortunately for me I was knocked down by a truck. I was writhing in pains on the highway. People thought I was dead, but I opened my eyes to see RRS men, who later arrested me, around.” On his part, Kayode Jolaade, said that he was lured into the crime, after losing his job at a private security firm , based in Lagos. The State Police Public Relations Officer (PPRO), Superintendent of Police, Dolapo Badmus, who confirmed the arrest of the suspects, said that the two suspects will be charged to court for prosecution.

Suspected burglar lynched in Delta By Ochuko Akuopha

LEH—A 25-yearold suspected burglar was, yesterday, lynched by angry mob at Ozoro, headquarters of Isoko North Local Government Area, Delta State. The suspected burglar, it was gathered, was apprehended by some residents while breaking into an apartment in the Erovie area of the community. Sources said the angry mob descended on the suspected burglar, hitting him with various dangerous objects until he gave up the spirit. Confirming the incident, yesterday, the Divisional Police Officer in charge of the Ozoro Police division, Mr. Paul Ibegbu, said someone living in the area where the deceased’s body was dumped had come to report the matter at the police station.

12—Vanguard, MONDAY, MAY 16, 2016

Niger Delta Avengers: Otuaro, commissioners relocate to creeks By Emma Amaize & Perez Brisibe

ARRI—FOLLOWING the renewed attacks on oil installations in the Niger Delta by a new militant group, Niger Delta Avengers, the Deputy Governor of Delta State, Mr. Kingsley Otuaro, who is the head of a highpowered Advocacy Committee set up by Governor Ifeanyi Okowa to halt the on-going attacks on oil installations in the state by militants, will relocate to the creeks from tomorrow. Vanguard learned that the committee will likely hold a meeting today and thereafter, meet separately with the Olu of Warri, Ogiame Ikenwoli I and other royal fathers to brief them on its mandate and seek their support. Mr Otuaro confirmed to Vanguard on phone that the directive of Governor Okowa was that they (committee members) should remain in the creeks until the problem was resolved. He said: “We will not return to Warri or Asaba once we step into the creeks. We will remain there

until we finish our assignment. We will go round the communities to talk to the people and their leaders. We will meet with different groups to find

solution to the crisis.” The committee is likely to meet with the traditional ruler of Gbaramatu Kingdom, HRM Oboro-Gbaraun II, Aketekpe,

E N E R A L Secretary of Egbema and Gbaramatu C o m m u n i t i e s D e v e l o p m e n t Foundation, Mr. Jude Ukori, has called on those involved in recent bombings of oil facilities owned by Chevron Nigeria Limited in Warri South-West Local Government Area of Delta State to stop further attacks. Ukori, in a chat with newsmen, weekend, said there were lawful ways of agitating for one’s rights which will attract positive response from government. He said: “The agitators may have genuine reasons for the attacks on oil facilities, but the way they are going about it is condemnable because I do not see anything good in a group destroying oil facilities in the name of fighting for freedom.” Ukori, who said that bombing of oil facilities will only add to the pains Nigerians are passing through as a result of the fall in oil prices, advised the people of Egbema and Gbaramatu Kingdoms to know that

By Emma Amaize & Perez Brisibe

ARRI—NIGER Delta Avengers, the new militant group which has claimed responsibility for attacks on oil installations in the Niger Delta, has slammed those condemning its operations and calling its members criminals, describing them as cowards. The group also boasted that it has infiltrated the military, saying: “To the Nigeria military, the Niger Delta Avengers is among you. And we know all your plans, so we will always be 10 steps ahead of you.” In a statement by its spokesperson, Mudoch Agbinibo, the group said: “We have been seeing lots of reports about us in the media. Some are asking, who are they avenging?

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bombing of oil facilities will never bring anything good to the people of the area. “It is criminal to destroy Federal Government property for any reason. Youths should desist from being part of this

Some are calling us empty heads, while ex-agitators have been condemning us on a daily basis. To our critics from the region, we want you to know that you are all cowards and

By Jimitota Onoyume ORT HARCOURT— PEOPLE of Yeghe community in Gokhana Local Government Area of Rivers State have been told by Senator Magnus Abe, to expose those behind killings and other criminal activities in the area as a way to put an end to the ugly situation. Abe, weekend, during the funeral of a chieftain of All Progressives Congress, APC, late Dr Vincent Eebee said that if they expose those they know to be behind the killings in the area, the assailants will not have anywhere to hide. The late Dr Eebee was a lecturer at the state- owned Ken Sarowiwa Polytechnic. He was killed by gunmen recently in Bori, headquarters of Khana Local Government Area of

afraid to stand for your people.” Niger Delta activist and Itsekiri leader, Chief Ayiri Emami, Okerenkoko leader, Chief Michael Johnny and Commandant-General of

Riverine Security (Coast Guard of the Federation), Commander Bibi Oduku, were among those that had branded the Avengers as criminals.

Withdraw your threat, Ijaw group tells Oodua other parts of Nigeria. Therefore, Defenders Union the threat or plan by the Niger

By Rufus Ike

JAW Development Association, IDA, has flayed threats of attack on the Ijaw in the South-West by the Oodua Defenders Union, ODU, calling on the body not to break the historic peace between the Ijaw and the Yoruba. IDA, in a statement in Lagos, called on ODU to withdraw the statement which it claimed was based on wrong assumptions of

crime and refuse to listen to anyone who would want to use them to destroy oil facilities for selfish gains because it is our environment and the economy of this nation that will suffer," he added.

Expose killers in your midst, Abe tells Yeghe community

Commissioner for Oil and Gas, Mofe Pirah, Special Adviser on Niger Delta Affairs, Kelly Penaowu and Special Adviser on Petroleum Matters, Bosin Ebikeme.

...As militant group says its critics're cowards

Ukori flays bombing of oil facilities in Gbaramatu By Onozure Dania

Agadaba and other leaders from tomorrow. Members of the committee include Commissioner for Youth Development, Asupa Forteta,

the state. Abe said: “Be bold and courageous. Nobody can kill everybody, that person does not exist. Nobody is bigger than the laws of the Federal Republic of Nigeria. No juju is bigger than God Almighty. “Today, Yeghe community is a place where a man who has a Ph.D was gunned down on the field of Yeghe while people who have guns live. What is happening in Yeghe is a statistical impossibility."

the relationship between the two ethnic groups. National President of IDA, Fiyebo Eperetei, in the statement, said: “The Ijaw in Lagos are not at war with Yoruba. Hence, it will be very unfortunate for anybody to plan attack on Ijaw in Lagos. The umbrella body of Ijaw nation, Ijaw National Congress, INC and Ijaw Youth Council, IYC, did not issue any threat to attack “installations in Lagos” and

Delta Avengers should not be used as a basis to attack peaceful and law abiding Ijaw in Lagos. “We also use this medium to appeal to ODU that we are not at war with anybody in Lagos State. As peace loving people, it will be very sad for us to be attacked because of a statement by a group of people operating from Niger Delta region who are allegedly agitating for the interest of the whole Niger Delta region and not Ijaw alone."

Vanguard, MONDAY, MAY 16, 2016—13

Killer-herdsmen should be killed —Rep By Simon Ebegbulem

ENIN—A member of the House of Representatives, Mr Ehiozuwa Agbonayinma, has called on the people of Southern Nigeria not to spare the lives of Fulani herdsmen who kill in their domain, describing them as another face of Boko Haram. The Peoples Democratic Party, PDP, lawmaker who represents Ikpoba Okhai/Egor federal constituency of Edo State, said: “In as much as we believe in one Nigeria, no part of the country must see itself as superior to others. These herdsmen killing our people are not ghosts. They always go unpunished, which is bad. So, I am telling our people that anytime they come to your community and kill, catch them and retaliate, if that will solve the problem. “Look at how they wasted the lives of innocent people in Enugu State and they have not stopped there, they went to Benue. Even in Edo State, they destroy our farms and kill our people. I think enough is enough.” The lawmaker who spoke, weekend, at a town hall

meeting he organised for members of his constituency, also distributed bags of rice, sewing machines, industrial grinding machines and motorcycles to women and

youths in his constituency. He urged the private sector to assist government in the provision of skill acquisition and training centres so as to curb unemployment among

youths. He said he decided to provide the empowerment items to cushion the effect of the prevailing economic hardship on his people.

ENIN—WORRIED by the crisis in Edo State chapter of All Progressives Congress, APC, ahead of the September 10 governorship election in the state, a group of chiefs in Benin Kingdom sympathetic to the party, Otu Odolevbo – Osioba, has called on the national body of the party to, as a matter of urgency, ban the deputy governor, Dr. Pius Odubu and Governor Adams Oshiomhole’s anointed candidate, Mr. Godwin Obaseki, from contesting the governorship primaries in order to save the party. In a statement in Benin, yesterday, by Chief Jolly Ogbeifun, Enobore of Ugboko, and Chief Jackson Igbinovia, Osagiobariase of Benin Kingdom, the group insisted that since there are accusations of somebody wanting to kill the other. The accusation and counter accusation will not augur well for the victory of the party in the governorship election. It added that this will affect the fortunes of the party if free and fair primaries do not take place to produce a credible and acceptable candidate. According to the group, “We hereby affirm that the APC may lose the state to the major opposition party in view of the C M Y K

By Festus Ahon

PDP SOUTH-SOUTH ZONAL CONGRESS: From left: Governor Nyesom Wike of Rivers State; Akwa Ibom State Governor, Udom Emmanuel and Senate Minority Leader, Chief Godswill Akpabio, during the PDP South-South Zonal Congress at the Obi Wali International Conference Centre, Port Harcourt. Photo: Nwankpa Chijioke.

Edo 2016: Ban Odubu, Obaseki from APC primaries —Bini chiefs By Gabriel Enogholase

Pharmacists council seals 27 pharmacies, 111 chemist shops in Delta

current political wrangling in the party. We must not be deceived by taking things for granted because it is a well known fact that the Peoples Democratic Party, PDP, is a very formidable party on ground in Edo State. "Suffice it to say that the PDP

can capitalise on this imbroglio to sweep Edo State come September this year. Therefore, we are advising the national body of the APC to, as a matter of urgency, ban the deputy governor, Odubu and the governor ’s anointed candidate, Obaseki, from

contesting the primaries to save the interest and image of the party. “We don’t want a situation where aggrieved aspirants would work against the ruling party by moving their supporters against the APC, which is possible."

....As Esan youths slam Dep Speaker over endorsement of Obaseki By Tare Youdeowei

HE Deputy Speaker of Edo State House of Assembly, Mr. Justin Okonobo, has come under attack by Esan youths over his alleged endorsement of All Progressives Congress, APC, governorship aspirant, Mr. Godwin Obaseki. President of Esan Youth Movement, EYM, Kingsley Ohens, in a statement yesterday, in Benin, said: “It is laughable that it was only the Deputy Speaker of Edo State House of Assembly, Mr. Okonobo, who endorsed Godwin Obaseki on behalf of Esan people and Edo central. That shows that Edo central will produce the next governor. ‘’Let us advise Governor Adams Oshiomohle to be careful of bad advisers around him. It is now obvious

that Obaseki is Oshiomhole’s candidate and not a candidate of APC or the people of Edo State. However, Oshiomhole should be more

concerned about how to leave a more united state and stronger APC by allowing Edo Central to produce his successor."

ILoT writes Okowa over DESOPADEC's budget By Egufe Yafugborhi

ARRI—ITSEKIRI Leaders of Thought, ILoT, has written Governor Ifeanyi Okowa of Delta State to put a halt to what it called the “impunity, rot and can of worms” in Delta State Oil Producing Areas Development Commission, DESOPADEC, 2016 Appropriation Bill. ILoT, in the letter to Okowa by its Secretary, Edward Ekpoko, in Warri, is in reaction to comments by Itsekiri DESOPADEC Mandate Initiative and Oboghoro/Utonlila Communities of Warri North Local Government Area of the

state, discrediting ILoT’s earlier disapproval and rejection of the 2016 DESOPADEC budget as it affects Itsekiri. It said: “Our initial reaction was to ignore both publications. Signatories to the group hitherto known as Disciples, now hurriedly rebranded Itsekiri DESOPADEC Mandate Initiative are faceless as the names there are fictitious. Its address is the office address of one of the Itsekiris on the board of DESOPADEC and one of the Disciples. “Both publications are sponsored by some Itsekiri members of the board of DESOPADEC and their agents who are beneficiaries of the malfeasance in the commission."

SABA—NO fewer than 27 pharmacies and 111 patent medicine shops were, weekend, sealed off in Delta State by the Pharmacists Council of Nigeria, PCN, for allegedly dispensing what it described as poison in the form of drugs to unsuspecting members of the public. Other offenses for which they were sealed off include, poor storage conditions, selling medicines above the approved list for patent medicine vendors, non-registration or renewal of premises with PCN, among others. Director and Head of Inspection and Monitoring Department of PCN, Mrs. Anthonia Aruya, who disclosed this while briefing newsmen, said: “We have just started in Delta State, and we are going to prosecute violators. We have put the structure on ground for the prosecution to take place. As we speak, our lawyers would be on ground by today, to work with the Commissioner of Police to ensure that those who broke our seal will be apprehended and prosecuted."

A-Ibom Speaker flays moves to appoint steering c'ttee for PDP By Jimitota Onoyume

ORT HARCOURT— MOVES by some elders of Peoples Democratic Party, PDP, to appoint a steering committee for the party has been described as undemocratic and unconstitutional. Speaker of Akwa Ibom State House of Assembly, Mr Onofiok Luke, who spoke on the sidelines of the just concluded party’s South-South zonal congress in Port Harcourt, Rivers State, weekend, said that the elders should rather speak against issues such as fuel price hike and other policies of the government that Nigerians were worried about. “Let them protest what is happening in the country today, the myriads of problems. We have a better option. For example, let them talk about the fuel price hike," he said.

14—Vanguard, MONDAY, MAY 16, 2016

N93bn DEBT: DISCOs embark on mass disconnection By Ediri Ejoh

HE nation’s power sector crisis deepened, weekend, following the mass disconnection of historic debtors by all the electricity distribution companies, DISCOs, to protest the huge unpaid electricity bills by this class of consumers. For now, all historic debtors, including residential, commercial, industrial and government establishments across the three tiers of government, would have to find alternative means of electricity supply until this debt issue is resolved. As at last calculation, g o v e r n m e n t establishments, including the military and security agencies alone, were owing the DISCOs some N93 billion. The figure comprises N39.1 billion preprivatisation of electricity assets and N39.5 billion post-privatisation. Also thrown into the debt calculation was the outstanding interest of N15 billion, which the bulk trader charges DISCOs for late payment of their electricity bills, a situation that occurred as a result of non-settlement of electricity bills as at when due. Two weeks ago, all the DISCOs took pages in national newspapers, where all historic debtors were given deadlines within which to pay their debts or have their electricity supply disconnected. Mr. Sunday Oduntan, Executive Director, Association of Nigeria Electricity Distributors, ANED, said weekend that his member-companies had to carry out its threat when it became obvious that there was nothing on the table. He said: “Although we appreciate the efforts of the Vice President, Professor Yemi Osinbajo and the Minister of Power, Works and Housing, Mr. Babatunde Fashola, the stark reality is that there is nothing concrete to hold on to.

‘Nothing for us in budget’

“No allowance for MDAs debt to DISCOs in the budget, even though we started discussion before the budget was C M Y K

passed. “The indebtedness has become so huge that we are truly troubled about how the government would resolve this without a budgetary allocation. “ Oduntan, however, made it clear that the current mass disconnection protest embarked upon by DISCOs was not an exercise targeted at MDAs, “but all historic debtors.”

the entire power sector. “That is what we seek to avert by this action. We need this fund to energise the power sector; to ensure electricity supply and to grow the sector.” Oduntan stated that the operations of all distribution companies were hampered by huge indebtedness of these historic debtors.

Debt profile The creditors

He said: “This indebtedness is killing us; it is seriously impacting negatively on the entire value chain in the power sector equation. Do not forget that only 25 percent of this debt actually belongs to DISCOs. “The rest are for other companies in the value chain— generating companies, bulk trader, gas suppliers, among others. “So if you do not pay and you accumulate debt, what you are looking at is a possible total collapse of

He said government establishments, comprising ministries, departments, military formations, security agencies, owed each distribution company as follows: Abuja DISCO, N18.6 billion; Eko DISCO, N8.6 billion; Kaduna, N8.2 billion; Enugu, N7.2 billion; Ibadan, N6.8 billion; Ikeja, N5.9 billion; Port Harcourt, N6.8 billion; Benin, N5.8 billion; Jos, N6.5 billion; Yola, N2.4 billion and Kano, N1.2 billion.

PDP set for stormy NEC meeting By Ben Agande

BUJA—THE Peoples Democratic Party, PDP’s National Executive Committee, NEC, is set for a stormy session as the 71st meeting of the party’s highest decisionmaking body holds in Abuja tomorrow. The meeting, which had earlier been scheduled to hold in Gombe, was later moved to Abuja, following outcry from many members of the committee that holding the meeting in Gombe was going to present a logistical challenge to most members. Although there is an airport in Gombe, there are no regular flights to the North-Eastern state because of lack of adequate passengers to ply the route. The party had been divided since the emergence of Senator Ali Modu Sheriff as National Chairman, with the group, Concerned PDP Stakeholders, led by Professor Jerry Gana, setting up a parallel body to run the affairs of the party after the expiration of the tenure of Ali Modu

Modu Sheriff on May 21. The party ’s national convention has been slated for Port Harcourt, Rivers State. A member of the Professor Jerry Gana-led stakeholders, who spoke with Vanguard yesterday, said the group was determined to do everything legally possible to stop Sheriff from continuing as the party Chairman. He said: “We are not going to give up. We will ensure that we take back the party from scavengers, who do not mean well for our party. We cannot allow ourselves to make the same mistakes that cost us dearly. “We will not allow impunity to continue in our party. We are ready to call the bluff of our governors, who want to rail-road us into accepting their choice. It will not happen.” Already, the Professor Gana group has announced the constitution of a 51-member committee to steer the affairs of the party after the expiration of the tenure the present NWC.

Vanguard, MONDAY, MAY 16, 2016—15

Court hears IPOB’s N8.5bn suit against FG June 21 By Ikechukwu Nnochiri

BUJA—JUSTICE Binta Nyako of the Federal High Court in Abuja has slated June 21 to commence hearing on N8.5 billion suit the Indigenous People of Biafra, IPOB, filed against the Federal Government of Nigeria. IPOB is seeking damages and compensation for deceased and injured members it claimed were “wickedly and brutally killed by combined forces of the Nigerian Army, the Department

of State Services, DSS, and the Nigerian Police.” The plaintiff, through its lawyer Mr. Okere Kingdom, told the court that about 153 of its members were killed during a peaceful protest in Onitsha, Aba and other parts of the South-East and South-South of Nigeria late last year and early this year. It said that over 50 of them sustained various degrees of injuries during a peaceful protest for the release of its detained leader, Mr. Nnamdi

Kanu. Meanwhile, the detained IPOB leader, Kanu, has accused President Muhammadu Buhari of making comments prejudicial to his trial and the bail request he filed before the Abuja Division of the Court of Appeal. Kanu, who spoke through his lawyer, Mr. Ifeanyi Ejiofor, bemoaned a comment he said was credited to President Buhari during his recent visit to the Emir of Katsina. Ejiofor, at a media briefing

in Abuja, alleged that the comment President Buhari made during a presidential media chat was the reason trial Justice John Tsoho denied his client and two other pro-Biafra agitators bail. He said: “The moment the President pronounced to the world that Kanu cannot be granted bail by any court, he made my client a political prisoner, and the media chat inadvertently prejudiced the judge's mind.”

PDP SOUTH-EAST CONGRESS: From left— Deputy Senate President, Senator Ike Ekweremadu; Governor Ifeanyi Ugwuanyi of Enugu State; Governor Okezie Ikpeazu of Abia State; Governor Dave Umahi of Ebonyi State, and former governor of Ebonyi State, Sam Egwu, during the South-East Peoples Democratic Party, PDP, zonal congress at Michael Okpara Square, Enugu, yesterday.

Abia govt, monarchs, security agents meet ahead of Bakassi Boys' deployment By Anayo Okoli

MUAHIA—AHEAD of the deployment of the new Bakassi Boys to Abia rural communities, Abia State Government in collaboration with traditional rulers and security agencies, weekend, held a peace and security summit aimed at sensitising indigenes on the new security challenges and the role of the outfit. The state is resurrecting the Bakassi Boys following growing insecurity in the state, including violent activities of the herdsmen, kidnapping and other crimes. Declaring the meeting open, Governor Okezie Ikpeazu lamented that the security problems in the state seemed to have overwhelmed the security organisations, hence the need for the summit to explore ways to help the security agencies to operate effectively. The governor, who was represented by his Deputy, Ude Oko Chukwu, said: “I believe that at this point the security agencies require the assistance of traditional rulers and other concerned citizens to combat crimes in the state. They require information which is the reason behind the summit with traditional rulers and security agencies.” C M Y K

According to the governor, kidnappers and armed robbers were everywhere in the state, coupled with armed Fulani herdsmen, who had left taking care of their cattle to killing people. He said: “I want the police, Army, Department of State Services, DSS, Nigeria Security and Civil Defence Corps, NSCDC, and the

Bakassi to join hands with the traditional rulers to commence a neighbourhood watch, with the traditional rulers providing 10 youths each to work with the security agencies.” The governor, however, warned the traditional rulers to nominate youths with good character because “after providing the youths, if any of them is found wanting or

misbehaving, the traditional rulers involved will be held responsible. Therefore, you need to give us your best to avoid problems.” In his remarks, the chairman of the occasion, a retired Deputy Inspector General of Police, Mr. Azubuko Udah, said all hands would be on deck to tackle security in the state.

All Enugu political families now united, says Gov Ugwuanyi By Bartholomew Madukwe

OVERNOR Ifeanyi Ugwuanyi of Enugu State, yesterday, declared that all political families in the state were now working together as one family for the peace, unity and progress of the state. The governor spoke at Ojorowo in Nkanu East Local Government Area of the state during the commissioning of three bridges reconstructed by a philanthropist and Chairman of Buzuzu Construction Company Limited, Prince Lawrence Ezeh. Governor Ugwuanyi, who was impressed by the gesture of the sponsor of the projects,

Prince Eze, noted that it was as a result of the existing peace in the state that stakeholders of the council were able to provide the platform for development in the area. He emphasised the importance of peace, unity and absolute faith in God as the foundation of the recorded progress in the state, stressing that the current economic challenges in the country would not deter his administration from fulfilling its campaign promises to the people of the state. While thanking Prince Ezeh and his wife, Princess Onyekachi, for the projects, Governor Ugwuanyi informed the people that the ongoing Inyaba Bridge that

would link up some communities to Amagunze, the Nkanu East headquarters, would soon be completed. He added that the process of awarding the contract for Ugbakwa-Nara-Nkeriffi Road was ongoing and called on the people to continue to offer prayers for increase in the Federal Allocation to the state for his administration to actualise its people-oriented programmes. In his remarks, Prince Ezeh said he was moved by his passion for service to humanity to embark on the projects, to ameliorate the suffering of the people of the area, who had experienced a lot of challenges.

Gov Umahi's aide on security resigns By Peter Okutu

BAKALIKI— GOVERNOR David Umahi’s Senior Special Assistant on Internal Security, Chief Ali Odefa, resigned his appointment, weekend. In a chat with Vanguard, Odefa, who thanked the governor for appointing him into his cabinet, said his resignation was not because of any difficulty faced in the discharge of his duties. According to him, the reason behind his resignation was because of his political ambition of becoming the next South-East Vice Chairman of Peoples Democratic Party, PDP. Odefa listed the wealth of experiences he had garnered as a politician and loyal party man as factors that put him ahead of other contestants, adding that his relationship with Governor Umahi had been cordial.

HERDSMEN: Enugu CP threatens rumour mongers with prosecution

HE Commissioner of Police in Enugu State, Mr. Emmanuel Ojukwu, weekend, warned people spreading rumours of impending attack of some communities in the state to desist from it, saying there was no substance in the story. In a statement by police spokesman in the com-mand, Ebere Amaraizu, Ojukwu said anybody found to be spreading the rumour would be prosecuted. The statement was sequel to media report that some communities in the state would be attacked by suspected herdsmen. Amaraizu said rumour mongering creates fear and panic in minds of people, adding, however, that measures had been put in place for the safety and security of communities. (NAN).

16 — Vanguard, MONDAY, MAY 16, 2016 ON Monday, May 9, 2016, the British ruling class got gossiping about Nigeria over the recent international anti-corruption summit in London. They were all there in that little circle at Buckingham Palace, wining and dining in the afterglow of Queen Elizabeth II’s 90th birthday: the Queen herself, the British Prime Minister, David Cameron; the Speaker of House of Commons, John Bercow and the Archbishop of Canterbury, Justin Welby. Cameron said that Nigeria and Afghanistan, two “ fantastically cor rupt” countries, were coming for the summit, and this sparked a huge media trending round the world. The news came just when President Muhammadu Buhari was packing his bag for the summit. Most Nigerians wondered how he would reply Cameron.

Cameron’s “drunken” gaffe They did not have long to wait. President Buhari made many Nigerians proud with the cool, matured and pithy answer he gave: I will not ask for an apology from Cameron; all I want is for our looted money in UK banks to be returned. Cameron’s use of snide terms to paint Nigeria as a corrupt nation told volumes about the things the leaders of other countries – especially the West – say about us when they think we are not listening. Unfortunately, it is the bitter truth, though we as Nigerians cannot be flattered by the cavalier manner in which it was told. Our

consistently high rating in the annual corruption index says it all. Every Nigerian knows that corruption is endemic in Nigeria, and that many who are said to be men/women of integrity in our country still have question marks trailing some of their activities. To make matters worse, President Muhammadu Buhari has been shouting it at the rooftops of the world’s capitals where he has visited in the past one year, about the level of corruption in the country, which infor ms the singular emphasis he has paid to it to the neglect of other issues begging for his attention. It imposes a great burden on us

to do something about corruption. This will certainly imply ensuring we fight corruption, rather than limiting it to big men in the Jonathan regime identified to have stolen public funds. Buhari must set up the comprehensive institutional platforms that will not only make the war on corruption an assignment for all Nigerians; it should also be able to outlive his regime. Buhari’s reply was also a reminder to Cameron that his country and its institutions have been very cosy with the looters of the Nigerian commonwealth, and a pot cannot call a kettle black. Once it comes to the issue of corruption, it is very easy to point fingers at other people. We fully back our President: let all those holding our looted funds return them.

OPINION Amendment of NLNG Act: Right step By Chike Okeke

HE current debate following the Public Hearing on the proposed Amendment to the NLNG Act, to enable it begin to pay three percent of its total annual revenue to the Niger Delta Development Commission (NDDC), makes interesting reading. In a full page advertorial by Prof. Jasper F Jumbo, Chairman and Traditional Head of the Jumbo Major House of Bonny, one of the Landlords of the NLNG, published in the Nation Newspaper, edition of Tuesday th May 10 2016, it was exhaustively argued that “the Niger Delta Communities which the NLNG project should develop substantially are brazenly disinherited, underdeveloped and craftily marginalised and have remained at the negative receiving end of NLNG’s growth over the years” Prof. Jumbo observed that the gestation period (pre and post operational holiday tenure) should have been fixed in that Act to read between 7 to 10 years and therefore supported the amendment of the NLNG Act, to incooperate fixed tenure of the tax holiday. It was his observation that gas gathering into the NLNG plant crisscrosses several Niger Delta Communities, dislodging their traditional occupational skills of fishing and farming as well as neighbourhood ecological sanctity and

general well being. It was therefore his contention that, in the light of contemporary development and ecological problems in Bonny, Soku, Obioafu, Obrikom and other gas supporting communities in Rivers and Niger Delta, the unspecified gestation period Tax waver should no longer be allowed by the National Assembly to remain perpetual. On the other hand, the Managing Director of NLNG, Babs Omolowa, in his

Our national policy thrust should indeed, be guided more by our local needs and realities than by pleasing external interest presentation at the Public Hearing, also reported in Nation Newspaper of Thursday th May 12 2016, stated that it is vital for the Federal Government to respect the sanctity of agreements with investors, so Nigeria would not be seen as a Nation that breaks agreements. He stated that the “NLNG needs to be in position to support the Region through being a successful Nigerian company bringing value to the Delta and the Nation in general, but that this would only be possible if the promises made to investors are not broken by amending the NLNG Act which will certainly portray the country as one that

does not honour agreements”. On analysis of the face value of the two sides of the argument, one sees some merit for each side. But on a scale of balancing, in good conscience and facing reality of the moment, it is clear that the argument of Prof. Jasper Jumbo for and on behalf of the host communities of NLNG is infallible. There is no place in the world where Agreements, Conventions or even Laws and Constitutions are static and not subject to amendments. The American and even our Nigerian Constitution have been amended many times and the present one, 1989 Constitution (as amended) is still undergoing further amendment. There is therefore no reason why the NLNG Act should not be amended to reflect present realities. If, as its being complained of, that the level of application of resources for the development of the host communities of the NLNG is grossly inadequate, why shouldn’t the Act be amended, to make the goose that lays the golden eggs happy and be in a position to continue to lay the egg in a more convenient and comfortable environment? Yes the country may have reaped well over $33billion from its initial investment of $2.5billion in the NLNG project, as disclosed by the MD of the NLNG at the Public Hearing. But the question still remains how much of these have gone into the development of the host communities?

You cannot be paying taxes, royalties and other levies to the Federal Government for the development of all parts of Nigeria while the particular areas which bear the burden of the operations of the project are neglected, abandoned and deprived. If this was not so Prof. Jumbo would not have recommended that NLNG should assist in the equipping of the Rivers State University of Science and Technology, the Niger Delta University in Bayelsa, the Federal Polytechnic Bonny, which at present have out moded machines and facilities, and the Petroleum Training Institute (University) Warri, with modern state of the act machines and equipment. This is in addition to provision of sound industry-level technological support for the otherwise displaced local youth, fisher folks and women subsistent farmers in the local communities. An amendment to the NLNG Act will provide impetus to giving more attention to these areas which may not have been factored in, at inception of the project. Otherwise youth restiveness in the area will continue. When this happens, will it be said that the main aim and objectives of setting up the NLNG has been achieved. DEFINITELY NOT. Our national policy thrust should indeed, be guided more by our local needs and realities than by pleasing external interest which care little or nothing about our survival and fortunes. •Mr. Okeke, a political analyst, wrote from Abuja.

MAY 16, 2016

Stock market investors lose N1.2trn in 4 months All Shares Index down 12.5% year-to-date NSE trailing behind major Africa stock markets Stakeholders blame poor market performance on policies By NKIRUKA NNOROM

he lackluster performance that pervaded the Nigerian Stock Exchange, NSE, in the last two years has continued in 2016 as investors in the market have lost as much as N1.2 trillion in the first four months of the year (January – April). This automatically leaves the NSE as the worst performing stock exchange among its peers in other African countries.

Available data showed that the NSE has returned negative 12.5 per cent within this period, thereby consolidating the negative performance sustained in the last two years. Opening the year at N9.50 trillion, the market capitalisation of all listed equities slumped by N1.2 trillion, representing -12.5 per cent decline compared to N8.62 trillion posted at the end of April, 2016. Also the All Shares Index, ASI, which opened the year at 28,642.25 points, fell by 3,579.84 basis points to close at 25,062.41 points, again, representing -12.5 per cent year-to-date

return. The NSE had in 2015 retreated by17.4 per cent compared to a decline of 16.14 per cent in 2014. The ASI lost 6014.90 points or 17.4 per cent to close for the year at 28,642.25 on Dec. 31, 2015 from the 34,657.15 it opened for the year, while market capitalisation, which opened for the year at N11.478 trillion in 2015, lost N1.63 trillion to close at N9.850 trillion on Dec 31, 2015. Meanwhile, operators have blamed the declining returns in the nation’s capital market to poorly articulated economic policies by the economic managers. They

averred that getting the economic policies right as well as major improvement in macro-economic environment hold the key to resuscitating and keeping the market on the path of positive growth. They also believe that attracting retail investors back to the market would improve the general performance of the Exchange going forward.

Performance of other major equity markets in Africa (January - April)

Of all the major stock exchanges surveyed by Financial Vanguard, FV, the NSE recorded the worst investors’ return during the first four months to April, 2016. Just like the first quarter of the year where the NSE underperformed all the major exchanges, it continued the trend into the fourth month, coming just closely behind Ghana and Zimbabwe stock exchanges which returned negative 8.3 per cent and 7.9 per cent year-to-date respectively. The NSE outperformed only Mauritius Stock Exchange which recorded -1.6 per cent return. The Egypt Stock Exchange outperformed all the other major exchanges during the four month period, recording 11.0 per cent returns, followed by Tunisia’s Dar es Salaam with 6.2 per cent returns. BVRM and the Johannesburg Stock Exchange, JSE, recorded 4.9 per cent and 4.5 per cent returns respectively, while Nairobi Stock Exchange returned 0.6 per cent to investors.

Constraints for the NSE

COMMISSIONING - Kastina State Governor Aminu Masari (Middle) cutting the tape to commission the Bank of Industry office in Kastina State. With him are, Acting Managing Director, Bank of Industry,(BOI) Waheed Olagunju;(right) and Chief of Staff to the Katsina State Governor, Mallam Bello Mandiyya. C M Y K

David Adonri, Managing Director, Highcap Securities Ltd, attributed the negative RoI to the impact of declining price of crude oil, which severely affected commodities exporting markets, of which Nigeria is one. He fingered lack of policy direction by the new government of Continues on page 18

18 — Vanguard, MONDAY, MAY 16, 2016

Cover

Why do I need a business plan?

AGM - From left: Managing Director, Champion Breweries Plc, Mr. Sharm Kulkarni; Chairman, Dr. Elijah Akpan and Secretary, Mr. Tosan Atle Aiboni, during the company’s 40th Annual General Meeting, in Lagos.

Stock market investors lose N1.2 trn in 4 months Continued from page 17 Nigeria, the delay in take-off of the new government and consistent declining of macroeconomy as part of the problems. “You can see that inflation rate moved away from single to double digits and then exchange rate crisis, coupled with the energy crisis. Those were the factors that affected the macroeconomy that impacted negatively on the capital market,” he stated. He, however said that the market may not dwindle further, as it has experienced the worst situation this year because “the government is gradually picking up and the crude oil market is becoming more stable. I believe that macro-economy will improve as we move forward and that will impact positively on the capital market.” Speaking in the same vein, Mr. Johnson Chukwu, Managing Director/CEO, Cowry Asset Management Limited, said: “There are multiple problems, among which are the issues of policy environment; because the government has not come out with a well defined economic blueprint, the economic agents like fund managers have been shying away from risky investments, which equity investment naturally represents. They have been underweight in equities and rather overweight in fixed income instruments because they need to have clearer policy environment. “The second factor is the capital controls imposed by the Central Bank of Nigeria (CBN) in terms of foreign exchange. What we have seen is consistent exit of foreign portfolio investors from the market. Another thing is the depletion in the reserve; the reserve that should give C M Y K

investors confidence of the ability of the government to meet its foreign currency obligation has also been weak because of the low crude oil price. “And then the issues related to the performance of the quoted companies. We have seen a situation where most of the quoted companies are declaring decline in earnings apart from the few which seem to have weathered the storm. But even then, if you look at those of them that have published their first quarter results, most of them have decline in their earnings and profitability. “The banking sector which account for significant part of the market, is also going through some difficulties. We have seen an increase in NonPerforming Loans, NPL, which is a pointer that the earnings will further deteriorate. So, those factors have made investors to shy away from the market, Chukwu stressed. He added that the up-tick in inflation, which has forced the monetary policy authority to increase interest rate to 12 per cent is also part of the problem,

There are multiple problems, among which are the issues of policy environment; because the government has not come out with a well defined economic blueprint

saying, “the CBN has made it clear that it will likely further increase the interest rate. So, investors will naturally wait for that further increment in interest rate; they will rather play in the short end of the market hoping that as interest rate goes up, they don’t need to invest in risky assets.”

The leeway

Suggesting a way out, Chukwu warned that if the present policy environment persists, if the performance of quoted companies continues to deteriorate, if the banking industry continues to see higher indices of NPL and if inflation continues to rise and there is no redefinition of the economic policy, including adjusting the exchange rate, then the prices of equities will deplete further in the course of the year. He said there is need for the government to come up with a comprehensive economic policy that would address the issue of exchange rate, interest rate and also inject liquidity into the system by supporting the creation of credit through lower interest rate which would complement government’s expansionary fiscal policy. “If these issues are addressed, then both domestic and foreign investors will resume their interest in the market. Until that is done, you are not going to see a sustained rally in the equities market,” he enthused. According to Jude Fejokwu, chief analyst at Thaddeus Investment Advisors & Research Ltd, retail investors are critical to the positive performance of any developing country’s stock market. He blamed the Nigeria regulators for their over dependence on foreign investors, saying that Continues on page 19

o you want to expand your business, be more competitive in your industry or achieve certain goals? If you answered yes to any of the above, you need a business plan! Whether you’ve just started out or been running for years, business planning can be the key to your success. We’ve laid out three key reasons why you need to get started on your business plan today: 1. A business plan is vital to helping you get finance If you’re seeking finance for your business, you’ll need to show banks and investors why they should invest in your business. Lenders and investors will only risk their time and money if they ’re confident that your business will be successful and profitable. A thorough and wellresearched business plan: •Shows that you’re serious about your business •Helps lenders and investors to understand your business idea •Shows your predicted profits and income streams. Your marketing plan is also a crucial part of helping you to attract funds. Take a look at Finance for more information on applying for finance. 2. A business plan can help you prioritise A complete, thoughtful business plan is one of the most valuable tools in helping you reach your long-term goals. It gives your business direction, defines your objectives, maps out strategies to achieve your goals and helps you to manage possible bumps in the road. Preparing a business plan will help you work out the goals you want to achieve, and the strategies to achieve them. This means you can focus your resources and energy on what you need to do, rather than spreading yourself too thin. Once you’ve got a business plan in place, it’s a good idea to regularly review and update it to: •remind yourself of your goals and priorities •assess whether your strategies are working •adapt to any new changes in your environment •make the most of new opportunities as they come your way. 3. A business plan can give

you control over your business Developing your business plan helps you to step back and look at what’s working in your business and what you can improve on. If you have employees, the planning process can be a good opportunity to seek their feedback on possible ideas and improvements. Your employees will value this opportunity to contribute to the business. Taking the time out of your business to plan will give you a sense of control about the future of your business and pay off in the long run. Business planning can seem overwhelming and timeconsuming, but many successful businesses look at it as an opportunity. The planning process helps you learn about the different forces and factors that may affect your success. If you’re already in business, it helps you to step back and look at what’s working and what you can improve on. Instead of worrying about the future, a business plan helps to give you a sense of control over your business and your livelihood. Writing and researching for your business plan gives you the chance to: •learn about your industry, market and competitors •write down exactly where you are in the market and where you’re headed •identify challenges you may come across and work out strategies to avoid or overcome them •understand your business finances, including managing cash-flow and determining your break-even point •set specific goals, timeframes for achieving them and how you’ll measure performance •make sound business decisions that focus your activities, maximise your resources and give you a competitive edge. It’s important to have a business plan, but it’s just as important to keep it up to date. A business plan is not a document you create once and store in your bottom drawer. It’s a living guide that you should develop as your business grows and changes. Successful businesses review and update their business plan when circumstances change.

Vanguard, MONDAY, MAY 16, 2016 — 19

ast week’s storming of two banks premises by operatives of the Economic and Financial Crimes Commission, has left in its trail a bitter and sour taste in Nigeria’s financial system. While no Nigerian living or dead would oppose the desire of the present administration to clean up the political arena and rid the nation of corrupt practices, the way and manner the EFCC operatives are going about it especially as it concerns banks, can trigger a financial distress that the government cannot handle. The financial sector of the Nigerian economy is the only sector that is vibrant for now. Endangering it would mean pushing the economy further down the recession slope. Banks have access to public funds only when they are available to local and to the bank. The bank said that placed by public officers. If any international investors by the the officials informed the bank bank executive compromises NSE through its Website. that they were investigating his position, he should be Sterling Bank in its statement some transactions and sought shown the way out and face the explained that officials of EFCC the bank’s cooperation. The officials, according to the law in such a way that would visited the bank on Wednesday, not jeopardize the financial May 4, 2016 to investigate a bank, met with the Group banking relationship of a non- Managing Director and the stability of the country. Banking licence, as Lamido bank financial institution. It Bank’s Chief Compliance Sanusi Lamido, former CBN said that it never held the Officer who provided the Governor now the Emir of account of the customer during needed information and Kano, would always insist, is the previous administration to documents. “Thereafter, the held in trust. The public put which the matter had been Group Managing Director was their money in the system linked either officially or requested to accompany them because they have confidence otherwise. The bank also stated to their office to further their in the banking system with the that the non-bank financial investigation, which he assurance that they will get institution (Asset Management willingly acceded to. Following back their money at any time Company) purchased a the resolution of the underlying number of loans on recourse issues, he was allowed to leave they require it. But a run in one bank can basis from it on commercially the commission’s office on the terms. The same day. cause a systemic distress that acceptable But Access Bank staff who statement said that the can ruin the entire economy. This is what the EFCC transactions were the concerns witnessed the incidence said operatives should learn and raised by the EFCC to Sterling that the EFCC operatives stormed the bank in a bus ensure that in investigating a Bank. which was parked at the If this is the case, why would bank, it is done with utmost care. Last week’s storming of the EFCC close up the head entrance of the bank. The two banks without prior notice office of the bank and barricade operatives were said to have or invitation to officers the street as if in search of a caused a stir when they concerned, is of great concern common criminal? Would the to those who know the best EFCC not have served the banking system better if they practices in banking. In a statement to the had quietly invited the bank’s Nigerian Stock Exchange managing director to their (NSE), Sterling Bank and office without causing a public Access Bank notified the stir? In a similar development, Exchange about their Access Bank said that the operations concerning the ongoing investigations by the EFCC officials visited the bank Economic and Financial on May 6, 2016 to investigate Crimes Commission (EFCC). a specific transaction involving The banks issued separate a customer of the bank in the statements to the NSE about normal course of business. The investigations into their visit, according to the bank, activities by the EFCC. These came without any form of statements have been made earlier notification or invitation

EFCC, do your investigation on banks with finesse

The media hype that followed the visit dented the image of the banks. It was like the banks were caught on the wrong side of the law.

prevented both staff and customers alike from going in and coming out of the premises. It was like a seal up. The media hype that followed the visit dented the image of the banks. It was like the banks were caught on the wrong side of the law. Such media speculation has the capacity to cause a run on the banks. It will take the banks some serious efforts to redeem their tarnished image in the eyes of local and international investors. Already, many correspondent banks to which Nigeria banks are affiliated are holding back credit lines to some of these banks believing that they are neck deep in corrupt practices. Access Bank had to say: “We would like to state emphatically for the benefit of our stakeholders that the bank has absolutely no link, interaction or relationship whatsoever with any of the personalities stated in the media reports. As a bank, we shall continue to operate in line with the highest level of professionalism, consistently seeking best practices, and hereby wish to re-assure our esteemed stakeholders that the bank remains committed to its strategic goals and objectives.” Curiously, the EFCC that would always issue a statement on the outcome of their visits to individuals or institutions did not give any official explanation to the visits which were done in the open. Yes, the EFCC visits banks

from time to time on routine checks that are usually not reported, why were these two visits different from all others? What the EFCC operatives should know is that whatever they do has an image issue which may be positive or negative. Already, foreign governments are seeing Nigerian political class as the most corrupt in the world. British Prime Minister only last week was heard on camera singling out two countries as “possibly the two most corrupt countries in the world. He said: “We had a very successful cabinet meeting this morning to talk about our anticorruption summit, we’ve got the Nigerians… actually we’ve got the leaders of some fantastically corrupt countries coming to Britain. “Nigeria and Afghanistan possibly the two most corrupt countries in the world.” A spokesperson for Downing Street justifying the comment pointed out that the leaders of both Nigeria and Afghanistan have themselves spoken about the scale of their corruption problems. It is how Nigerian leaders and law enforcement agencies present Nigeria that others will see the nation as. EFCC must not by act of omission destroy the only surviving sector of the Nigerian economy. There are certainly very good people and institutions in Nigeria. When visits are made in the open, when nothing bad is found, the EFCC should commend such institutions in the open to counter the impression that their visits always connote wrong doing. The EFCC must do what they have to do in the interest of Nigeria but with some finesse.

Economy Continued from page 18 it has whittled down the drive to increase domestic retail investors’ participation in the market. “The appeal of foreign portfolio investors with their large briefcases have stolen the hearts and minds of market regulators in Nigeria. The refusal to raise the domestic retail investor to a major player from a peripheral player has been the bane of the Nigerian market for more than five years now. This has led to market returns being consistently inconsistent. “The Exchange hierarchy have advised retail investors to invest in mutual fund s C M Y K

Stock market investors lose N1.2 trn in 4 months instead of directly. I have never been in support of this, especially in Nigeria where their operations are shrouded in secrecy with the tacit cooperation of market regulators,” Fejokwu said. He noted that the All Share Index rose by 3.1 per cent in February when there was an increase in retail investors’ participation by N17.36 billion ($87m). “The Caracas Stock Exchange (Venezuela) market index is up nine per cent YTD while the Nigerian index is down 13.5 per cent. The

Caracas market is retail investor driven and continues to be on the upbeat despite perilous times for the country’s economy and its people,” Fejokwu said. He maintained that while volume (number of investors) brings stability to markets, value results in activity. “Both are important. The former is the foundation that keeps markets even keeled,” he observed. For Emeka Mmadubuike, Chairman, Association of Stockbroking Houses of Nigeria (ASHON), comparing the NSE with other frontier

markets that their economies have some level of stability is a disservice of the nation’s capital market. He stated that considering the overwhelming challenges confronting the country at the moment, it would be unusual for NSE, which mirrors the economy to perform better than what it is today. “In fact, the market will not have been a good mirror of Nigerian economy if it had performed better. Remember that for the first 11 days of the year, the Index went down by over 22 per cent. So recording

just a 12.5 per cent decline in the last four months means that things are gradually picking up,” he posited. Foreclosing the possibility of a further decline, Mmadubuike stated that the market would improve once there is an improvement in the macro-economic environment. Adding his voice, Adonri noted that improvement in macro-economy will attract various categories of investors, both institutional, foreign and retail, saying that all of them are needed to to bring back liquidity to the market.

20 — Vanguard, MONDAY, MAY 16, 2016

Business & Economy

Ashaka Cement spends N3.6bn on electricity in one year By MICHAEL EBOH

shaka Cement Plc has stated that it spent N3.606 billion on power generation in its 2015 financial year, representing 20.71 per cent of its total revenue in the year under review and accounting for 30 per cent of its total cost of sales. The company, in its 2015 Annual Report, presented to shareholders at its Annual General Meeting in Abuja, pointed out that the amount spent on power in 2015 was 33.16 per cent higher than the N2.708 billion spent in the same capacity in 2014. The company had declared a revenue of N17.415 billion in the year under review, dropping by 17.6 per cent from N21.134 billion in 2014; its profit before tax also dipped by 38.9 per cent from N5.25 billion in 2014 to N3.209 billion in 2015, while profit for the year stood at N2.765 billion, dropping by 39.5 per cent from N4.567 billion in 2014. The company also recorded total comprehensive income for the year of N2.761 billion, representing a decline of 45.2 per cent from N5.04 billion in 2014, while it cost of sales dropped to N12.02 billion from N12.98 billion in 2014. Giving a breakdown of the its cost of sales, the company said N1.941 billion was spent on power, compared to N1.32 billion in 2014; N263.309 million was spent on Coal as against N352.988 billion in 2014; while diesel (Automotive Gasoline Oil) for its plants and generators among others, gulped N1.402 billion, compared to N1.031 billion in 2014. To this end, to reduce the high cost of power generation to run its facilities, Chairman, Board of Directors, Ashaka Cement Plc, Mr. Suleiman Yahyah said the company had invested in power generation and that within the next 18 to 24 months, the power plants would be complete and would start supplying electricity to its facilities. C M Y K

We're developing dynamic tax system to fund budgets —BUHARI BY CHRIS OCHAY I

resident Muhammadu Buhari, has explained that the nation was developing a dynamic tax system that would become formidable source of funding government budgets and programmes as part of the administration’s efforts to diversify the economy from over dependence on oil.

Buhari, who disclosed this th while declaring open the 18 annual tax Conference, organised by the Charted Institute of Taxation of Nigeria, CITN, in Abuja, regretted that over dependence on the oil revenue in the recent past was the root causes of the country's current situation. The President, who was represented by the Minister of Finance, Mr. Kemi Adeosun, however reassured that the

administration has developed a comprehensive and realistic strategy to solving the problem. According to Mr. President, “More importantly we have developed a comprehensive and realistic strategy to solving the problem in a sustainable way that will build term opportunity and prosperity for our people. “Once the current oil price is low it is instructive to note even when the oil prices reached

COMPETITION - From left, Camp Director, National Youth Service Corps, Mrs. Winifred Shokpeka; State Coordinator, Mr. Cyril Akhanemhe; Winner of the Cooking Competition, Miss Elumayowa Odunayo Bukola; and Consumer Marketing Manager, Honeywell Flour Mills Plc, Mrs. Esther Tontoye, during the Batch A, Honeywell Wheatmeal Cooking Competition, at the NYSC Camp, Iyana Ipaja, Lagos.

Petroleum products: GFL Marine director appeals judgement By PETER EGWUATU

FL Marine Services, a listed entity with NASD OTC Plc in the capital market has appealed and reacted to a court judgement in which its managing director, Mr. Ala Atubokiri Ibanibo was convicted of offences of conspiracy to deal with or in petroleum products without lawful authority or appropriate licence. Ibanibo is challenging the judgement of the Federal High Court holden in Lagos and presided over by Justice I. N. Buba, stressing that the learned judge erred in law when he convicted and found him guilty of offences of dealing in petroleum products without lawful authority or appropriate licence when the prosecution did not prove their case beyond reasonable doubt. According to the appeal document obtained by Vanguard, Ibanibo (appelant) stated that the three count charge

to which he was found guilty and convicted was unreasonable, unwarranted and cannot be justified having regard to the weight and evidence before the court. According to the appeal document “There is no evidence that the Appellant dealt with or in any form of Petroleum Product whatsoever without lawful authority or appropriate licence as charged. The only evidence by the prosecution is that the Appellant’s company, GFL Marine Services Ltd (3rd Accused in the charge), hired out its vessel, (1st Accused in the charge), to the 2nd accused upon the terms contained in Exhibit P. 28 tendered by the prosecution. The content of Exhibit P. 28 completely exculpates the Appellant from the alleged offence. The Appellant gave unchallenged evidence that his company, GFL Marine Services Ltd, was not engaged in dealing with or in Petroleum Products of any type but rather was into the business of provision of logistics, that is supplies, including hiring of vessels to major oil companies involved in petroleum exploration and for which relevant licences were granted .”

To this extent, Ibanobo (Appellant) is seeking the court of appeal to set aside the conviction and sentence imposed on him on all the counts of charge and to enter a judgment discharging and acquitting him. In his reaction, Ibanibo said “ Gfl Marine Services Ltd was incorporated in 2006 and has remained in Lawful and legit business ever since. In 2013, we entered a bareboat charter agreement with another indigenous company on lease repair, operate and handover basis in line with internationally known and acceptable practice. However, in the course of operation, the vessel was arrested with the crew while carrying out sea trial. Strangely not only was the ship and owner company charged but also the directors, totally unknown to even jungle justice system. On the 26/04, the trial court convicted and fined both charterer, crew, boat,boat owner, and directors of the company. This to GFL as a corporate body is totally unacceptable and will subject this verdict in test to the highest level of our justice system.

historic height of as much as $115 per barrel, Nigeria did not significantly benefit in terms of economic growth and this could largely be attributed to a number of factors which includes but are not limited to corruption, wastage, inefficient spending as well as revenue leakage. “Oil revenue was an effective anesthetic that have scaled the effects of fundamental weaknesses in our public financial management which we must now address. The low level of tax revenue in Nigeria 7 per cent, is a key factor in and also a symptom of our fundamental over reliance on oil that has resulted in the fiscal imbalance that are now manifesting. “It is therefore an appropriate decision by the chartered institute of taxation to theme this year’s conference fiscal challenges and opportunities in the Nigerian economy. In preparing for this event, I carefully read the communiqué arising from the last tax conference held last year and I acknowledge the remarkable insight of the diagnosis that “Nigeria is experiencing growth without development” and I would with your permission frame my comment of the recommendations made last year to the government by this institution and identify how to address them. “These were your recommendations to the government and I summarise: "Government was advised to redraft the tax laws and in particular to amend areas of the company’s incomes tax that now impose double taxation. To remove the minimum tax requirements that potentially forces loss making companies to pay tax from capital. "I think the CITN set out very clearly the fiscal priorities to underpin our economic agenda in a very concise manner. I will explain briefly our road map for the attainment of these objectives. “We believe that a robust tax system is a prerequisite for any economy that is serious in its commitment to growth and development. Tax collection must grow in line with growth in the economy. But sadly this has not been the recent case in Nigeria and this is our challenge. “Our tax system must reflect the nature of our commercial activity levels. Oil is 13 per cent of our GDP level but it represents a disproportionate share of our tax revenue. The challenge is the other 87 per cent of our GDP why is it contributing so little to government revenue?

Vanguard, MONDAY, MAY 16, 2016 — 21

Business & Economy

FINER WEALTH SERIES - From left: Subu Giwa-Amu, CEO of Brookstone Investment and properties Limited; Nimi Akinkugbe, CEO Bestman Games Limited; Udo Maryanne Okonjo, CEO/Vice Chair, Fine and Country West Africa; Ibukun Awosika, Chairman First Bank of Nigeria Limited; Abosede Osho, MD Land of Promise Limited; and Idowu Thompson, Group Head, Private Banking, First Bank of Nigeria Limited at the FirstBank Private Banking, Fine & Country Finer Wealth series …held in Lagos.

OPS blames 74% drop in FDI on monetary policies By FRANKLIN ALLI

he Organised Private Sector, OPS, weekend, blamed drop in foreign investments into the country in the first quarter of 2016 on government’s monetary policies. Recall that analysts at Capital Economics, last week, reported that the flow of foreign capital into Nigeria was $711 million in the first quarter of 2016 – a whopping 74 percent drop from a year before. Reacting, Chief Bassey Edem, OPS Chairman/ President of NACCIMA, noted: “We commend the government for encouraging the flow of FDI into the country through various trade visits and overtures to foreign countries. “However, all these efforts have not yielded the desired results due to government monetary policies which are currently not encouraging for investors.” He said that for FDI to increase, government should encourage the ease of doing

business by relaxing its stringent policies in selected sectors identified for high growth potential. However, data from the Central Bank of Nigeria, showed that FDI in Nigeria increased by $501.83 million in the fourth quarter of 2015. It was averaging$1379.76 from 2007 until 2015, reaching an all time high of $3084.90 in the fourth quarter of 2012 and a record low of $501.83 million in the fourth quarter of 2015. The steepest decline came from portfolio inflows, which dropped 85 percent year-overyear, according to analysts at Capital Economics.

“The collapse in investment inflows will deal two very serious blows to Nigeria’s economy, which is already reeling from pressures from low oil prices,” warned Capital Economics’ Africa economist, John Ashbourne, in a note to clients. “This will exacerbate the country’s serious balance of payments problems and further depress investment in an economy that is starved of capital,” he continued. Notably, although it’s easy to point the finger at lower oil prices, that’s not the only thing souring sentiment toward Nigeria. Many investors have

Dangote tasks investors on doing business in Africa By FRANKLIN ALLI

FRICA’s richest man, Aliko Dangote has enjoined old and existing investors on the continent to stop painting a gloomy picture of doing business in Africa. He made the call in an address at the ongoing World

Economic Forum on Africa in Kigali, Rwanda. Dangote said that in order to attract more investors into the continent, “We have to get rid of perception risks. The fragility of perception drives away investors. We need to change the mindset because good things are happening in Africa. “Sometimes the old and existing

Natures Gentle Touch partners Diamond Bank to reward card holders By PROVIDENCE OBUH

ecare Limited, owners of Natures Gentle Touch, has partnered Diamond Bank Plc to reward customers with discounts, as part of efforts to provide hair and scalp care solution to Nigerian women. Speaking at the Flag off Campaign in Lagos, Manager Recare, Mr. Chijioke Anaele, said that the discount partnership will run for six months. Anaele explained that customers who used Diamond Bank cards to purchase products on the company’s website or shop within the period, would enjoy a15 percent discount on C M Y K

also been discouraged by the government’s controversial policies. Recently, the government has pursued an agenda of currency and price controls – including on petrol – which has resulted in inflation soaring to its highest rate since July 2012 and in one of the worst fuel shortages in years. The “complex FX restrictions caused Nigeria to be ejected from a widely-tracked JPMorgan EM bond index in Q3 2015 and have deterred potential investors who worry about repatriating earnings,” added Ashbourne. The National Bureau of Statistics said that the FDI in this first quarter was the lowest since it began tracking the inflow since 2007. This marked a year-on-year decline of 73.79 percent. It also represents a 54.34% decline since the last quarter of 2015. “As a result of these changes, total capital importation has fallen by 89.13% since its peak level in the third quarter of 2014. The NBS report also noted the complexion of the capital inflow. “The first quarter of 2016 also saw a large change in the composition of capital imported. Following a quarterly decline in portfolio investment of 71.55% (also the largest quarterly fall on record) portfolio investment accounted for 38.12% of total capital imported, compared to 61.18% in the previous quarter. “However, it remained the largest component, as Other Investment also recorded a sharp quarterly decline, of 44.84%, which prevented its share from rising higher than

all products purchased using the discount code. He said that the partnership would provide opportunity for women to achieve a healthy natural hair with the availability of Natures Gentle Touch range of products, proven to solve various hair challenges at a discount, “We understand every woman’s wish to achieve her set beauty goals and are continually seeking for ways to meet them,” he said. Also, Head, Corporate Communications, Diamond Bank, Mrs. Ayona Trimnell, stated that the partnership with Recare is not just to enhance only the beauty of the woman but also to boost their purchasing power while making payments with the Bank’s cards.

investors paint a gloomy picture of doing business in Africa to avoid competition and scare away potential investors. You have to act big and bold.” He disclosed that the Cement segment of his Group’s businesses has invested over 4 billion dollars in the continent and that the returns are quite good. “We are bullish about investing in Nigeria, devaluation or no devaluation.” In response to how African entrepreneurs can have wider access to finance, Dangote advised that there should be a robust policy that encourages bank especially locally owned ones to finance local entrepreneurs. He pointed out that 90 per cent of Nigerian banks are owned locally and that perhaps correlates with why Nigeria has the highest number of entrepreneurs in Africa. According to him, one of the biggest challenges to investing in Africa is lack of credible data to work on.

FG to tackle smuggling to promote made in Nigeria products By JONAH NWOKPOKU

he Minister of State for Industry, Trade and Investment, Hajia Aishat Abubakar has said the Federal Government is developing a holistic strategy to tackle the menace of smuggling which is threatening the patronage of locally manufactured goods. The minister stated this during her visit and inspection of the production facilities of Lucky Fibres, manufacturers of Nobel Carpets in Lagos recently. She said the issue of smuggling is one challenge confronting the manufacturing sector in Nigeria and that the government is adopting a strategic approach to put an end to it. She said: “You need to exercise more patience because we don’t want to address a part of the problem, but a holistic approach is being put in place. It is not just this sector, but for all sectors. You manufacturers should also be watchdogs for one another because Government might not see all the lapses. But when you identify any challenge that threatens your work, approach us and let us see what we can also do to help.” The Minister however expressed satisfaction in the fact that the Nobel carpets and rugs are produced in Nigeria and exported to neighbouring countries like Ghana, Republic of Benin and Ethiopia, etc. Also speaking, Mrs. Kemi Ajibade, Senior Head of Human Resources, Lucky Fibres Limited, while conducting the Minister through the company ’s production facilities lamented the impact of smugglers’ activities, who take advantage of Nigeria’s porous borders in importing substandard carpets and rugs into the country. According to Ajibade, “an average Nigerian does not know the difference in substandard and quality carpets, but will rather buy what is affordable in the market even if it does not serve for a long time. We urge government to assist us in addressing the activities of smugglers. If you visit Alaba Market, you will see different kinds of substandard carpets and rugs being displayed for sale. We import some of our production materials like polypropylene (PP) because local manufacturers could not meet the quality that our machine can work with. The machine is the latest in the industry and only works with high quality fibres.

22 — Vanguard, MONDAY, MAY 16, 2016

Banking & Finance

Parkway Projects launch banking app

arkway Projects which was recently licensed as a Payment Solution Service Provider, PSSP, by the Central Bank of Nigeria, CBN, has launched Bank3D, a managed business banking solutions suite for large, mid-sized, small businesses and government agencies for use by their customers and their bankers. The application comes with simple and intuitive apps for monitoring business bank accounts across all Nigerian banks and making payments to vendors and employees from mobile, PC or tabs. It is also used for managing revenue collections with customized order forms to receive payments from customers or subscribers at bank branches, Online, Mobile, POS, ATM or direct debits. The application is equally used for electronic invoicing, enabling businesses to generate professionally rendered invoices to their customers, receive payments on all e-channels and track invoices/payments.

Ecobank announces prizes for its 2016 National Essay Competition

cobank Nigeria Limited has opened its annual national essay competition for children as part of activities to commemorate the May month dedicated to children around the world. The Ecobank National Essay competition for children with the Ecobank MyFirst Account calls for entries from students between the ages 8 to 12 in category one and ages 9 to 14 in category two. Topic for the essay is “The need to imbibe the culture of savings at an early age”. Prizes to be won include Laptops, Educational Tabs and several consolation prizes. Announcing the competition in Lagos, Head Consumer Banking, Korede DemolaAdeniyi said Ecobank instituted the competition to commemorate the banking month as well as being part of the process to push the frontiers of academic excellence among the young ones in society. According to her “the month of May is set aside by the Bank to celebrate childhood and how our children enrich our lives. We acknowledge the importance of our customers, young and old, to Ecobank’s ongoing success story. C M Y K

VISIT — From left, Chairman, Nigerian-Norwegian Chamber of Commerce, Mr. Chijioke Igwe, Lagos State Commissioner for Commerce, Industry and Cooperatives, Hon. Rotimi Ogunleye, and Norwegian Ambassador to Nigeria, Mr. Rolf Ree during a courtesy call to the Ministry of Commerce, Industry and Cooperatives, Alausa Ikeja, on Friday.

NAIRA DEBIT CARDS: Banks protest EFCC harassment over forex rates By BABAJIDE KOMOLAFE

anks have protested to the Central Bank of Nigeria (CBN) the harassment of their staff by the Economic and Financial Crimes Commission (EFCC) over foreign exchange rates charged for cross border transactions on Naira Debit Cards (NDC). Cross border transactions are payment for goods and services or cash withdrawal through ATM outside the country through debit cards linked to naira account in

Nigeria. Vanguard investigation revealed that the EFCC in recent times arrested some bank staff based on petitions by card holders accusing banks of charging parallel market exchange rates for cross border transactions via naira debit cards. But in a protest letter to the CBN, the banks dismissed this accusation, saying that since the dollar for settlement for such transactions are not sourced from the CBN but from autonomous sources, they cannot use CBN rate to settle such transactions.

In a letter titled, “Harassment of banks by the Economics and Financial Crimes Commission

EFCC has been going to banks and arresting staff of banks stating that card rate for cross border transactions should not be more than the CBN rate plus a margin of N0.50

over charges on FX Card Rates”, sent to the CBN on April 28, 2016, the banks complained that, EFCC has been going to banks and arresting staff of banks stating that card rate for cross border transactions should not be more than the CBN rate plus a margin of N0.50. The letter stated, “As you will recall sir, the Central Bank of Nigeria does not sell foreign exchange (FX) to banks for settlement of international cards schemes for the cross border spend on our Naira debit card, most banks have had to be sourcing FX from autonomous market. At several meetings of the CBN with Deposit Money Banks, it was reiterated that we need to protect the scarce FX of the country and limits were placed on cross border spend of naira debit ($300/ day for ATM withdrawal and a total of N50,000 p.a for ATM and PoS purchase per card). One the measures adopted by banks to discourage the abuse of usage was the card rate as most banks PTA/BTA at the CBN rate. Any customer of a bank travelling with appropriate document can access the PTA window at $4,000 per quarter. Deposit Money Banks set the card rates based on a daily market competitor scan, thereby leaving market forces to dictate what the banks can charge their customers. As the sole regulator of banking practice in Nigeria, we hereby request the CBN to urgently take steps to clarify to the EFCC that the banks have been allowed to offer the product solely on a market determined basis. This has become unavoidable in order to forestall further harassment by the EFCC”.

Heritage Bank introduces BankMyFamily to enhance family income

eritage Bank Limited has moved to boost disposable incomes for families by introducing a banking scheme called ‘BankMyFamily’. Designed to reduce the cost and risks associated with running family expenses, while enhancing efficiency and savings, ‘BankMyFamily’, is a scheme that offers families a bouquet of Heritage Bank products, comprising HB Plus, HB SaveSmart and HB Bud. Managing Director/Chief Executive, Heritage Bank, Mr. Ifie Sekibo said that ‘BankMyFamily’ was born out of the bank’s efforts to develop innovative services to help its customers create, preserve and transfer wealth. “The essence is to enhance the ability of families to save by reducing money spent on family related transactions. In addition, ‘BankMyFamily’ will also help facilitate savings culture and encourage younger ones to imbibe banking habits”, he said. Families enrolled on the ‘BankMyFamily’ scheme enjoy a host of benefits including: easy transfer of

funds within the family at no cost with the bank’s e-products; access to the bank’s bouquet of retail loans to fund lifestyle needs; attractive interest rate; opportunity for target savings towards a child’s school fees or needs and access to participate in the bank’s seasonal promos. The benefits also include: access to financial literacy and parenting tips; customized notepads for kiddies and teens; access to education loans; access to financial literacy tips for children. The ‘BankMyFamily’ scheme offers to the husband/father the HB Plus

BankMyFamily’ will also help facilitate savings culture and encourage younger ones to imbibe banking habits

Account, which is a savings account that offers the benefits of a current account. It allows the husband issue cheques to his wife to run family expenses. The husband can pay business cheques and dividend warrants into the HB Plus Account, while he is not charged for any transactions under the scheme. To the wife/mother, ‘BankMyFamily’offers the HB SaveSmart Account, which allows access to internet and mobile banking, as well as interest on credit balances, without being charged for any transaction through the account. The scheme offers HB Bud Mini for children under 11 years old and HB Bud Teen for children from 12 year to 17 years. These allows the children to enjoy additional interest rates; free customized notepads; access to free prepaid (Dude or Diva) card by opening accounts; phone calls on birthday; access to school fees loan. The accounts also allow deposit of dividend warrants and other bank’s cheque in the name of the child.

Vanguard, MONDAY, MAY 16, 2016 — 23

Corporate Finance

Unilever shareholders okay N189.2m dividend, want backward integration BY PETER EGWUATU

hareholders of Unilever Nigeria Plc have unanimously endorsed proposal by its Board of Directors to pay N189.2 million dividend for the financial year 2015. The dividend declared amidst a challenging operating year translates to a

dividend payout of 5 kobo per ordinary share to the shareholders. Speaking at the company’s Annual General Meeting, AGM, Chairman, Progressive Shareholders Association of Nigeria, PSAN, Mr. Boniface Okezie said: “We commend the management and Board for even declaring dividend giving the harsh operating environment. We advise management to look inwards

and create various products for consumers to buy. We have the population and the market, so raw materials should be sourced here in Nigeria to reduce the cost of production. With this in place the company should be able to make more profit and pay higher dividend in future.” Commenting, the Chairman of Professional Shareholders Association of Nigeria, Mr. Godwin Anono said “We

AGM - From left, Chief Operating Officer, Royal FrieslandCampina, The Netherlands, Mr. Gregory Sklikas; Chairman Board of Directors, FrieslandCampina WAMCO, Mr Moyo Ajekigbe; Managing Director, Mr. Rahul Colaco; and Director, Mrs. Oyinkan Ade-Ajayi at the 43rd Annual General Meeting of the company held in Lagos.

Economy'll rebound on right mix of fiscal, monetary policies — AJEKIGBE As FrieslandCampinaWAMCO posts N18.6n profit By PETER EGWUATU

rieslandCampina WAMCO Nigeria Plc has predicted that the country’s Gross Domestic Product, GDP growth is expected to rebound in 2016 if the right mix of fiscal and monetary policies is put in place, just as it posted a Profit Before Tax, PBT of N18.6 billion for the financial year 2015. The Chairman, FrieslandCampina WAMCO Nigeria Plc, Mr. Jacob Moyo Ajekigbe, who stated this at the company’s Annual General Meeting, AGM held in Lagos said “In spite of the daunting economic environment in 2015, Friesland Campina WAMCO continued to take steps aimed at strengthening its leadership position in the dairy market and keeping with its mission of providing quality dairy nutrition , bearing in mind the pressure on consumers’ wallet.” Ajekigbe, a former managing director and chief executive of FirstBank added that “the country’s GDP growth is expected to rebound in 2016, though rather slowly, should recover if the right mix of fiscal and monetary policies are put in place to stimulate the economy and attract domestic and foreign investments. However, due to significant foreign exchange constraints, combined with weak consumer sentiment, the sales and profitability of the C M Y K

company will be significantly impacted in 2016. “ Addressing shareholders at the meeting, he assured them that the company will seek to manage volumes and margins judiciously to ensure a long term sustainable position. The shareholders at the meeting unanimously approved the dividend of N13.37 per 50 kobo share declared for the year 2015, having received an interim dividend of N3.96 per 50 kobo share in November 2015. The Board had proposed a total dividend payout of 100 per cent of the company’s Profit After Tax, PAT for the year under review. Analysis of the company’s performance for the year 2015 show that in spite of the harsh business environment, it launched a series of low Unit Price Packs (LUUP) priced at pocket friendly price points of N10 to N50. The company recorded a turnover of N120 billion for the financial year 2015, representing a decline of 4.5 per cent from N126.44 billion recorded in the previous year, 2014. Profit Before Tax, PBT grew by 13.3 per cent from N16.50 billion to N18.60 billion as a result of the significant reduction in the cost of sales despite increased operating and finance costs.

commend board and management for the company ’s performance during the year under review. We want to see the company pay higher dividend come next year, so we task the marketing department to do aggressive marketing and also come up new products capable of driving profit.” Analysis of the company’s performance show that in the year ended 2015, it increased its revenue by 6.2 percent from N55.7 billion recorded in 2014 to N59.2 billion as Profit After Tax (PAT) stood at N1.2 billion compared to N2.4 billion recorded in 2014. Meanwhile, Unilever had recorded a 12.5 percent increase in turnover to the tune of N16.8 billion in the first quarter of 2016. Profit After Tax (PAT) has grown by 76 per cent to N1.04 billion for the first quarter ended March 31, 2016 compared to the N590 billion recorded in the corresponding period of 2015. Addressing shareholders at the AGM, the Chairman of the Board of Directors, Nnaemeka Achebe, the Obi of Onitsha said that Unilever Nigeria Plc has once again demonstrated business resilience under very difficult circumstances. According to him “Although 2015 was a challenging year for businesses in Nigeria particularly within the manufacturing sector, Unilever remains committed to delivering returns to its shareholders. Our company ’s performance demonstrates our entrenched values of creating a brighter future for stakeholders and for our consumers through brands that make them feel good, look good and get more out of life”. Commenting further, Achebe said “even in this period of economic downturn, we plan to continue to invest heavily in our factories, people, processes and brands in order to continue to build the needed capabilities to win into the future. As a company, we will continue to appreciate the resilience and unwavering commitment of all our stakeholders; dynamic employees, loyal consumers, dedicated suppliers and other service providers for their unflinching support through these challenging times”.

Shareholders commend NB over N38.059bn dividend payout record

hareholders of Nigerian Breweries, NB Plc have commended its Board of Directors for the history breaking record of recommending the highest dividend payout of N359 billion for the financial year 2015. According to the shareholders who spoke at the 70thAnnual General Meeting, AGM, of the company held in Lagos , the company ’s performance in spite of the very challenging operating environment, stood out as a shining example for other manufacturers to emulate. Mr. Bello Owonikoko, Chairman, Ibadan Zone of the Shareholders Solidarity Association said “ We commend the Board for proposing the highest dividend since the inception of the company. The 2016 results and the dividend pay-out are strong signals of the resilience of the company in the face of the challenges of the economy.” The same sentiment was reechoed by Chibuzor EkeEmmanuel, who expressed confidence that the company remains in good stead to weather the storm and deliver good returns to shareholders in the future. The 2015 audited results showed that the Company’s shareholders earned a total dividend of N38.059 billion, translating into N4.80 (Four Naira Eighty Kobo) per unit of the company’s ordinary share of fifty kobo each for the 2015 financial year. This is the highest dividend ever paid by the company in its 70-year history. Addressing the Shareholders, Chief Kola Jamodu, Chairman, Board of Directors, said the board had October 2015 paid an interim dividend of N9.5billion, representing N1.20 per ordinary share of fifty kobo each. He stated that the policy of dividend pay-out is in the strategic interest of the shareholders. According to him, the proposed final dividend will be subject to deduction of withholding tax at the appropriate rate and will be payable on the 12th of May, 2016, to all shareholders whose names appear on the Company ’s Register of Members at the close of business on the 2nd of March, 2016. C M Y K

24 — Vanguard, MONDAY, MAY 16, 2016

Corporate Finance Diamond Bank boosts economy, rewards 5 entrepreneurs with N15m

Transcorp Plc: Expanding for optimal shareholders’ return By NKIRUKA NNOROM

n a bid to enhance returns for its shareholders in keeping with its mission of creating sustainable value for its stakeholders, Transnational Corporation of Nigeria, Transcorp, Plc, is embarking on various expansion initiatives. Presently, the company has made major acquisitions in power and agribusiness, coupled with new initiatives in its hotel and tourism business and the on-going exploratory activities from its existing oil block . Investment analysts are of the opinion that the various expansion projects will translate to improved financial fortune in the medium term. Various expansion programmes The Group has made several important decisions which will have significant impact on its fortune going forward. In the hospitality arm, Transcorp Hotels Plc successfully closed Tranches 1 and 2 of its N30 billion bond issuance programme, which is intended to fund the upgrade of Transcorp Hilton Abuja and the development of a multipurpose banquet center. Other major ongoing projects include the development of a 320-room ?ve-star Transcorp Hilton in Ikoyi Lagos. Piling is ongoing and is expected to be completed by May 2016. In the same vein,Transcorp Hilton Port Harcourt has gotten the necessary planning approvals from the Rivers State Government to develop a 250-room Hilton Hotels & Resorts-branded property. In the power sectors, Transcorp Ughelli Power Limited (TUPL) had acquired Ughelli Power Plc, one of the six successor power generation companies unbundled from Power Holding Company of Nigeria (PHCN) during the privatisation exercise by the Federal Government in 2013. TUPL plans to to add additional turbines for power generation. There is C M Y K

also plans to increase the output of the plant from 160MW to 650 megawatts in 2015 and is on track to deliver 850 megawatts of available capacity in 2016. Transcorp OPL 281 Nigeria Limited has signed a Production Sharing Contract (PSC) with the Nigerian National Petroleum Corporation (NNPC) for the development of OPL 281. According to Tola Odukoya, Vice President, Dunn Loren Merrifield Asset Management & Research,the current investments show that the company is building capacity which reflect a growth profile. Profit & Loss account The expansion projects and investments made in four arms of the business are, however, taking a toll on the financial position, but investment analysts posit that since the money borrowed are being used for productive purposes, there is no course for worries. During the year ended December 31, 2015, Transcorp recorded N40.7 billion in gross revenue from N41.3 billion, representing 1.4 per cent decline. The decline in revenue was occasioned by non-implementation of the

By PETER EGWUATU

•Mr. Emmanuel Nnorom, President/ CEO, Transcorp Plc Multi-Year Tariff Order (MYTO) 2015 in the Power sector and impacts of forex devaluation on the cost of gas and debt service. Profit before tax, PBT, declined to N3.3 billion compared to N7.7 billion achieved in year ended December 2014, while the profit after tax, PAT, stood at N2.03 billion as against N3.30 billion in 2014, representing 38.5 per cent. The finance cost for the period was up ,, per cent to N12.89 billion from N7.8 billion in 2014. Balance Sheet position The Group’s total noncurrent assets, stood at over N152 billion in 2015 as against N134 billion in 2014, an increase of 30 per cent due to property, plants and equipment increase of 17 per cent. Current assets grew to N50.8 billion from N36 billion, following increase in trade and trade receivables, especially increase in cash and cash equivalents. President’s assurance Speaking in a parley with

Skye Bank contribution to Agric sector hits 10 per cent — Oguntayo By PETER EGWUATU

he Group Managing Director/Chief Executive Officer of Skye Bank Plc, Mr. Timothy Oguntayo, has said that the bank’s agricultural portfolio had reached about 10 per cent from five per cent two years ago, showing its support to the development of the nation’s economy. Oguntayo stated that agriculture comprised a significant portion of o the bank’s portfolio, stressing that from less than five percent two years ago, the bank has now raised its contribution to the sector to nine per cent and almost

hitting 10 percent. The Skye Bank CEO, who spoke with select journalists on the sidelines of 3rd Ogun State Investors’ Forum held in Abeokuta, the Ogun State Capital,said the bank was supporting agriculture in nine states under the pilot agriclutral scheme with focus on rice and cassava production. “We have brought in international participants those who have done it successfully in other parts of the world – to come and work with clusters of farmers; a group of farmers we have in Ogun State here, we have in Osun State, we have in the northern states.”

newsmen recently, the president assured of bright prospect for the Group, saying: “In the next five years, Transcorp Group will completely be a very big company. The power business would have gotten to a generation level; we are targeting to generate about 25 per cent of total power output in the country. It is our target; we are working on it. So in the five years time, I think we would have even achieved that much earlier than that. So that gives you a massive company, a massive resource, massive income.

n its determination to contribute to the growth of Nigerian economy, Diamond Bank Plc has continued to encourage entrepreneurs, as five talented young entrepreneurs was rewarded with N15 million to support their businesses. Specifically, the bank rewarded five budding entrepreneurs with N3 million each at its just concluded Building Entrepreneurs Today (BET)Season 5. The winners are: Uchechi Arinze, Folarinyo Abiodun, Ayodeji Agboola, Emmauel Okiedesan and Hauwa Bello. The BET is a collaboration between Diamond Bank and Enterprise Development Centre of the Pan Atlantic

University,which started about five years ago. Speaking at the presentation ceremony, Mr. Uzoma Dozie, CEO/ GMD, Diamond Bank, stated that BET has been supported by the bank for the past five years, remarking that each year it has become more and more exciting with diverse innovative ideas emerging. He added that Diamond Bank recognised that the business environment in Nigeria was a tough one and needed lots of commitment for one to succeed, hence the bank’s support for small businesses in a bid to ensure they grow against all odds. “We had over 500,000 applications that were pruned to the final 15 after several screenings and this is just to show how creative Nigerians are."

Vanguard, MONDAY, MAY 16, 2016 — 25

Homes & Housing Finance

Developer to use rice straw for housing development •Secures $250m Czech bank subvention Stories by YINKA KOLAWOLE, with agency report

property development company, Bohemian Estate Limited, has revealed plans to deploy a technology that uses rice straw for housing development in Nigeria, with a $250 million subvention from Czech Export Bank. The company is to embark on the project in collaboration with the Federal Mortgage Bank of Nigeria (FMBN) for the construction and delivery of the first phase of 10,000 housing units in Gwagwalada using Assembly Building Block (ABS) technology. A director with Bohemian Estate Limited, Mr. Bala Kaoje, disclosed this after a meeting with management of FMBN and a delegation from Czech Export Bank led by its head of department, Export Financing, Mr Marek Jenik, in Abuja. He said the housing project would be delivered through public sector developers from local, state and federal government agencies under existing FMBN Estate Development Loan (EDL) scheme. ABS is a patented licensed technology for building family and apartment houses, stores, restaurants, low-rise hotels, hospitals, offices and other kinds of buildings suitable for different climate in Europe and sub-Saharan Africa. Kaoje said the company decided to embark on housing construction with ABS technology due to the rising demand for housing in the country, adding that the new

technology which utilises rice straw was eco-friendly. “The government is paying much attention to the production of rice and we need to find ways to add value to our farmers so that we don’t waste the rice

straw,” he said. The former minister noted that the company was interested in the technology that uses rice straw to produce wall panels including the ceiling and roofing, noting that it is a means

•A housing estate in Lagos.

FMBN, AMCON partner to tackle on non-performing loans F

ederal Mortgage Bank of Nigeria (FMBN) in collaboration with Asset Management Corporation of Nigeria (AMCON) has concluded plans to enhance inter-agency cooperation towards addressing economic challenges posed by nonperforming loans in mortgage banks. A statement noted that this was part of the resolution at a

meeting with the management of FMBN at the

The obligation for any foreign company buying UK property to join a public register of beneficial ownership would drive wealth creators away

Anti-corruption rules: Investors may sell London homes

ealthy international investors in London property are likely to sell off some of their mansions and penthouses after the introduction of anti-corruption rules cracking down on offshore secrecy. A leading estate agent Trevor Abrahmsohn, owner of Glentree Estates, which has sold property to billionaires from Russia, Nigeria and China, stated this. He added that privacy-hungry oligarchs, media owners and tech billionaires from around the world could also abandon plans to buy homes in Britain because they would no longer be able to keep their identity secret by purchasing them through offshore companies. Abrahmsohn said the obligation for any foreign company buying UK property to join a public register of beneficial ownership would drive wealth creators away. It would also prevent corrupt individuals using the London property market to hide ill-gotten gains in offshore companies located in places such as the Cayman Islands and British Virgin Islands. He said about half of his customers buy through offshore companies. C M Y K

of creating wealth through waste. On its durability, he said: “It’s the same thing with sandfilled blocks and it can last for 20 to 50 years without having much problems rather than minor maintenance.”

The rules, announced by David Cameron, last week, will also apply to companies which already own property in the UK, meaning the ownership details of tens of thousands of people will soon become public. Of about 100,000 properties in the UK owned by foreign companies, more than 44,000 are in London. “Corrupt individuals and countries will no longer be able to move, launder and hide illicit funds through London’s property market,” Cameron said. Abrahmsohn however said: “There are people who come from dangerous parts of the world who want to get money out of the country that they have achieved through unconventional means, but in the main, people who use offshore (havens) for tax efficiency and privacy are perfectly legitimate business people. They may sell up if they can. Privacy is important for some of my clients. They have their own good, legitimate reasons, for example to safeguard their families. These are not just oligarchs but perfectly good people who just don’t want the limelight.”

AMCON headquarter in Abuja. Acting Managing Director/ Chief Executive of FMBN, Mr. Richard Esin, sought the cooperation of AMCON towards providing liquidity for the housing sector and delivering affordable housing in the country. Esin noted that mortgage banks and DFIs were not covered by AMCON’s mandate on debt recovery, and requested the Corporation’s global approach inclusive of bank’s interest in addressing issues with debtors to commercial banks that possesses non-performing loans with FMBN. He said this was to safeguard the National Housing Fund (NHF) managed by FMBN. On his part, AMCON Managing Director, Mr. Ahmed Kuru, expressed confidence on the banks’ capacity to address the enormous national housing deficit. He charged FMBN to adopt innovative methods as well as sound practices to mitigate risks associated with its lending activities. He also assured FMBN of the Corporation’s assistance to improve the quality of its loan portfolio as provided under AMCON’s enabling law.

Cross River plans N200m houses for Bakassi returnees

ross River State government is committing N200 million on the development of a housing project for displaced Bakassi returnees. Governor Ben Ayade stated this while receiving the Chairman of Lafarge Africa, Mr. Bolaji Balogun and the management team of the company on a courtesy call to his office. He said the state would partner with the cement manufacturers to actualise the project. “We are a responsible state that is senstive to the needs of our people. We want you to do a small pilot for the people of Bakassi returnees. I would like to do a small commitment of the sum of N200 million to start the resettlement process,” he said. Ay a d e ex p r e s s e d confidence that with the quality of work so far delivered in other projects the company handled, the initiative would benefit both the company and the state. He said the housing estates that would be located in the three senatorial districts of the state, would be called CalasVe g a s City for Southern senatorial district, Centicort and Northstradam for central and southern senatorial districts, respectively. The governor added that the three cities would be made up of 5,000 housing units to complement existing ones built by his predecessors, Donald Duke and Liyel Imoke, adding that prefabricated materials have been ordered for the proposed estates. He directed the commissioners for social housing, finance, lands and agencies to collaborate with the company to kick-start the process of building the homes.

26 — Vanguard, MONDAY, MAY 16, 2016

Insurance

PenCom DG to lecture on investment of pension assets

he Director General of the National Pension Commission (PenCom), Chinelo Anohu-Amazu is to address a large diverse audience at the National Lecture Series of the Catholic Brothers United (CBU) scheduled to hold in Lagos. The theme of the lecture,’ “ The Use Of Pension Funds As A Catalyst For Economic Diversification” is considered apt as the country grapples with the challenges of acute infrastructure deficit needed to propel economic growth. The lecture which is in its 17th year in the series aims at providing a national discourse on how the country can leverage on funds like the Pension Funds to accelerate economic development and growth. In accepting to speak at the forum which holds on June 26, at the Mc Govern Hall of St. Agnes Catholic Church, Maryland, the Director General noted, “It is noteworthy that the Catholic Brothers United (CBU) has sustained the practice of community development activities that have been uplifting the church and the entire community.

Airtel partners Facebook to bring basic internet to Nigerians

harti Airtel Africa, has announced that it has launched Free Basics in Nigeria in partnership with Facebook. Nigerians with an Airtel mobile connection will be able to access all the services that are available through Free Basics without paying extra for data charges or rental. To start using Free Basics, Airtel customers are to dial *141#. Free Basics provides basic mobile websites and services for free to people around the world and demonstrating the value the internet can provide. Free Basics will launch in Nigeria with more than 85 free services dedicated to health, education, jobs, and finance. To date, Facebook estimates that its connectivity efforts, which include Free Basics, have brought more than 25 million people online who would not be otherwise. Airtel Africa will also be offering Facebook Flex in Nigeria, which allows people to access a version of Facebook without data charges. This initiative is part of Facebook’s commitment to bringing people online and reducing affordability barriers.

C M Y K

CEREMONY - From left: Former Commissioner for Insurance, Mr. Fola Daniel; Former Chairman of Niger Insurance Plc, Mr Bala Zakariyau; Mr. Steve Kyerematen, Director General, Activa Finances; Chairman of Niger Insurance, Mr. Yusuf Abubakar and Managing Director of Custodian & Allied Insurance, Mr. Wole Oshin at the opening ceremony of Africa Insurance Organisation in Morocco.

Africa accounts for only 1.4% of world insurance premium — AIO Stories by ROSEMARY ONUOHA

he African Insurance Organisation, AIO, has decried the low level of insurance penetration in Africa, saying that the continent can boast of only about 1.4 per cent of total world premium. President of AIO, Mrs. Lamia Ben Mahmoud who made the assertion at the 43rd Conference and Annual General Assembly of the AIO in Marrakech, Morocco last week noted that there is clear predominance of developed countries on the insurance market. Mahmoud said, ‘This weakness is even more apparent regarding our African countries with a modest share not exceeding 1.4 per cent of total premiums written in the world and a low penetration in the economy with a premium/ GDP ratio not exceeding 1 per cent in some countries, below the average rate of 2.7 per cent recorded in 2014 for the entire continent.’ She said that there is need to develop between insurers and reinsurers a solid partnership that can help to improve access to insurance services and building a strong and complementary African insurance industry. According to her, that is a challenge and a goal despite the economic difficulties experienced by our region. ‘Insurance penetration is still a hard nut to crack, the share of insurance premiums as a percentage of GDP, has remained exceptionally low. In

some countries it only amounts to less than 1%, well below the global emerging market average of 2.7% in 2014, while Africa’s share of the global insurance market is 1.1% for non-life and 1.8% for life but this is a demonstration of the enormous growth potential within the industry African insurance industry, an indicator that the insurance market is still widely untapped. ‘In order to insure Africa’s future, we must devise strategies aimed at facing the continent’s numerous challenges today. Within the past decade, the continent has been hit by some major

challenges which have to a large extent disfavored economic growth and affected the insurance sector tremendously. Here, I am referring to the recent drop in fuel prices, in fact, the price per barrel in January 2016 stood at approximately a quarter of its market value two years ago, and at the lowest point since 2003. On the list of challenges could be added cyber criminality, political instability, insecurity with some new waves of terrorist attacks, climate change, food security challenges for the continent’s population tomorrow etc. ‘We still suffer from a shortage

of skilled and experienced insurance professionals, as a result, large and complex risks are not retained within Africa, but are ceded to foreign insurance markets because specialist risk management capabilities and high quality security are not sufficiently available leading to a consequent premium flight which threatens the viability of the domestic insurance industry. ‘Moreover, there is still wide spread ignorance on the benefits of insurance. Added to this list is an acute insufficiency of product differentiation. Every company should continue to act to promote expertise. We emphasise in this area on the need to strengthen the diversification of training in scientific and technical issues by leveraging new tools and instruments imposed by the development of technology to ensure greater communication of their knowledge and knowhow. ‘The challenges are many and daunting; especially in a context where the one size solution is outdated as customers now expect personalized insurance solutions. It is true that some of the solutions to these problems require a multidimensional approach with the input of other key actors required. Through Microinsurance, extending insurance cover to the unserved segment of the population will increase insurance penetration in Africa, but the sector has to see an over hauling in its regulation. ‘We must play a frontline role in the quest for solutions to these challenges. We have a number of factors that militate to our favour notably Africa’s favourable demographics and wealth of natural resources (including 60% of the world’s uncultivated arable land), there is an

Leadway records 125% growth in PAT

eadway Assurance Company Limited has posted a 125% growth in profit after tax of N6.3bn for the 2015 financial year from N2.8bn in 2014. The results which was presented at its 44th Annual General Meeting held last week revealed a 37% growth in assets to N137.3billion in the year under review from N 100.5billion in 2014. The company reaffirmed its commitment to its clients by paying claims in excess of N14.3billion, a 13% increase from the N 12.7billion record of 2015, making it the highest claims’ paying insurance company in the industry. The company wrote a 20% increase in Gross Premium from N 39 billion in the prior year to N 46.6 billion this year though with fairly modest underwriting results. Speaking during the presentation of the results, the Acting Chairman, Mr. Jeremy Rowse, stated that “with various guidelines aimed at reinforcing standards and encouraging confidence in the Nigerian insurance industry, the company remains poised to take advantage of emerging growth opportunities to compete effectively within its

immediate market and the larger global markets.” He further stated that “as the Nigerian polity itself becomes restructured to tackle the myriads of socio-political, economic and infrastructural challenges facing it, the opportunity for increase in insurance penetration and contribution to GDP should increase. On our part we will maximize our resources to remain competitive within the virgin retail space and in the face of softening commercial insurance rates.” Established over 45 years ago, Leadway is a composite insurance company underwriting both Life and General Insurance business with branches spread across Nigeria. It also offers subsidiary financial services like Bonds, Secured Credit, Miscellaneous financial losses and Fund/Portfolio management. With core values of i-SCORE meaning; integrity, Service, Customer focus, Openness, Respect-for-theindividual and Excellence, Leadway ’s reputation has been attained by the continuing pursuit of improvements to maintain its competitive advantage within a very soft market environment.

Vanguard, MONDAY, MAY 16, 2016 — 27

Federal government faces reality on bail-out T

“

he most obstinate illusions are ultimately broken by facts.” Trevor Roper. (VANGUARD BOOK OF QUOTATIONS, VBQ, p 100). “...every Nigerian is now sober. The governors have realized now that this can happen and that oil prices can plummet from $100 to $28 within a short period of time, and that we can be so exposed that we can’t even pay salaries…”So there is a sobriety that has come in. So, we are working with the states and we are not bailing them out. We have said to them that we have a fiscal restructuring plan…”Whatever we are doing will be conditional. Mrs Adeosun, Federal Minister of Finance, May 5, 2016. Last week, in the second part of a two-part series titled “BAILING OUT STATES: FGs EXERCISE IN FUTILITY”, there was a small error. Osun State was accused of engaging 1000 Special Assistants. My attention had been drawn to the error. Those employed were not called Special Assistants. The error is deeply regretted. However, the central point of the article remains intact, namely, that the states of Nigeria cannot borrow their way out of their present predicament and the Federal Government lacks the financial capacity to help them. In fact, this column might as well have been titled FEDERAL GOVERNMENT CASTS STATES ADRIFT and it will be just as apt. The reason is simple. The Federal government is itself a beggar on the financial markets and cannot help itself. At any rate, it is poor financial management to borrow to pay salaries and wages which constitute consumption. Borrowing should only be done to fund projects that would help liquidate the loan. Last month, the governors of the states of Nigeria went cap in hand to beg for another round of bail-outs even when there were question marks regarding how some of them spent the first one received. They were in jovial mood after the event. The smiles would be wiped off their faces C M Y K

now. The Minister of Finance like all political appointees while also stating that the Federal Government was working to reduce its N165 billion monthly wage and pension bill was quick to state that sacking workers was not a first option. That should be regarded as politician’s promises which “like pie-crusts are made to be broken.” (VBQ p 203). Economists know that there is no way any significant reduction in wage and pension bill can be achieved without down-sizing the Federal establishment – which still includes thousands of idle people. Anyone who has ever stepped into any Ministry in Abuja will observe how many “workers” have nothing to do for hours. That explains why it has been possible for workers living outside Abuja to come to work three days in the week and their absence is not even noticed. The Minister is entitled to her illusions; but, reality will soon disabuse her of the notion that down-sizing can be avoided. As excuse for not wanting to make the tough decision, she stated, emotionally, “To address an economy takes time; a government cannot just come up and sack people, These are human beings and these are people who have responsibilities..” Governor Yari, Chairman of the Nigerian Governor’s Forum, NGF, made a similar remark when the governors got a one month moratorium from monthly deductions for bail-out received. They had gone to ask for 18month moratorium. According to him, “we cannot say we are going to cut salaries and wages” because these are human beings. Obviously, when

The Minister is entitled to her illusions; but, reality will soon disabuse her of the notion that downsizing can be avoided

governors travel to China, USA, Japan, Brazil, Abu Dhabi in search of phantom investors, they forget that the funds thrown away could be used to pay the salaries of human beings in their employment. Last week, the point was made that there was no governor in office in 2015 who did not dip his hands into the state’s funds to finance his party ’s election campaign. Former governors and Ministers, in the Federal government, who now gloat over the exposure of the PDP’s corrupt utilization of the nation’s scarce resources, are just being hypocritical. None of them will escape indictment if the accounts of the units they presided over were probed. Was it because they were not aware that the owners of the funds they were wrongly appropriating are human beings? At any rate, Doyin Okupe, whose justly earned reputation for rascality prevents people from listening to him carefully, has raised a vital point. He had asked why governments at the three levels, Federal, State and Local Government, seem to be totally pre-occupied with civil servants who constitute less than five (5) per cent of the population and are prepared to render their states insolvent on their account without giving a thought to the 95 per cent, or the Silent Majority? Is it because the 5% are human beings and the 95% are not? More to the point, is it fair to all concerned? It is doubtful. Now that the states have been told in plain language to go and solve their own problems and leave the Federal Government out of it, one is at a loss regarding how they intend to go about satisfying the demands of those human beings working for them. Fortunately, the states still have a way out; if only they will be courageous enough to consider that option. It will call for the APC controlled states to confront the Federal Government by asking for reparations instead of bailout. They should be asking for their money instead of begging for alms. But, will they have the guts to do it?

½ Advert

28 — Vanguard, MONDAY, MAY 16, 2016

E-Commerce

Infinix, Yudala partner to boost access to Infinix devices

obile devices maker, Infinix Mobility and Composite online and offline retailer, Yudala have partnered to boost access to infinix smartphone devices by cutting prices by half through a Yudala Infinix Month promotion. The scheme will see buyers of different range of Infinix smartphones on Yudala stores getting up to 50 per cent discount, besides other free giveaways, throughout the month of May. According to Infinix, “Customers all over Nigeria can expect up to 50 per cent discount off any Infinix phone purchased online & offline at Yudala, also free Infinix accessories pack worth N10, 000. The free accessories pack includes OTG cables, earphones, smart pouch, smart bands, etc. “There will also be in-store activities for customers who buy at Yudala stores to partake in the in-store ‘Spin & Win’ game for a chance to become proud owners of electronics such as refrigerators, fans and more.”

Hotelnownow introduces new features with brand re-launch campaign

nline hotel booking site, Hotelnownow.com has announced the introduction of a range of new features and services as part of a brand relaunch aimed repositioning the brand as a top player in the hospitality industry. The brand re-launch campaign with the slogan - ‘Why Pay More’ - kicked off with a new TV campaign featuring Funke Bucknor Obruthe, Creative Director and founder of Zapphaire Events. The company made a strategic decision to focus the initial brand re-launch campaign efforts on the hospitality industry in Nigeria, with plans to scale up to other key countries in the region over the coming months. Speaking on the brand relaunch, the Chief Sales and Commercial Officer for the hotelnownow.com, Mr. Okey Ochulo, remarked that “Over the past months, our brand and acquisition teams at hotelnownow.com have been working hard to understand the current business and consumer needs in the Nigerian hospitality sector; and then to translate these findings into features and offerings to meet the needs of the industry stakeholders”.

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CELEBRATION - From left - Country Manager, Nigeria, Verve International, Oremeyi Akah, Director, Public Affairs, Nigerian Communications Commission, Tony Ojobo and Senior Lecturer, Computer Technology Department, Yaba College of Technology, Dr. A.A. Elusoji, at the Ebusiness Life International Girls in ICT Day celebration which held in Lagos.

How Ringier Africa, One Africa Media plan take-over of Africa online classifieds Stories by JONAH NWOKPOKU

ingier Africa and One Africa Media have entered into a strategic partnership to create a classified conglomerate, a move that will see it take over Africa’s online classified market. The joint venture deal which was announced last week will see the two companies merge their pan African assets to create the classifieds group to be known as Ringier One Africa Media, ROAM. One Africa Media is a South African based investment firm, operating Africa’s largest portfolio of online marketplace focused on jobs, cars, property and travel. Ringier, on other hand, is Africa’s leading diversified media company operating online content, classifieds and e-commerce platforms across the continent. Recall that the two companies recently acquired vibrant online brands in Nigeria. One Media Africa for instance has very strong presence in Nigeria especially with the acquisition of 100 per cent stake in

Jobberman in April, 2015. The group also operates other popular brands including PrvateProperty Nigeria and online car classified, Cheki. Ringier Africa, on the other hand recently deepened its presence in Nigeria with its acquisition of Nigeria’s premier online marketplace, Dealdey, in partnership with Silvertree. It is also behind popular online news platform, Pulse.ng. This partnership means that most of Africa’s leading home grown brands including Jobberman, Brighter Monday, Cheki, BuyRent Kenya & PrivateProperty Nigeria and Ringier Africa’s Expat-Dakar,

ZoomTanzania & PigiaMe will now be operated under ROAM group. Speaking on the partnership, One Africa Media & Ringier One Africa Media CEO, Justin Clarke said: “We have been looking for the right strategic partner with a similar broad vision for classifieds in Africa and who has a deep understanding of how things work in this complex continent as well as the long term commitment to stay the distance in some very large but early stage markets. We have known Ringier Africa for many years as we have both pioneered

WesternMall reports 43% increase in online inquiries

igeria’s online auction platform, WesternMall, has reported a 43 per cent general increase in online traffic and product listing within the first quarter of 2016 compared to the last quarter of 2015. In a statement, WesternMall said its in-house research showed dealers in electronics, phones, computers, home appliances

and fashion listings on the website increasing by 35 per cent in the first quarter of 2016. The research also revealed that typical offline market or store owners are increasingly resorting to use of free digital marketing channels such as Facebook, Instagram, Nairaland, Pinterets etc to showcase and market their goods and services as against

Konga.com empowers MSMEs

these markets in parallel and are really excited to be joining hands at last. The synergies are huge and we fit so well together.” On his part, Ringier Africa & Asia CEO, Robin Lingg said: “One Africa Media has pioneered the vertical classifieds market in Africa - and Ringier has built and grown some of the biggest horizontal marketplaces on the continent. We now have a clear, focused vision to operate and grow Sub Saharan Africa’s most innovative, expansive & profitable classifieds company together.” Although this puts ROAM at a significantly advantaged position to dominate Africa’s classified market, it will by no means be an easy sail. This is because, there are existing strong players in the market such as the Africa Internet Group whose online classified, Carmudi already has a significant chunk of the African auto classified market. There is also the Naspers group which has under its portfolio, OLX, Careers24, Media24, etc. These companies already have significant footprint in the African classified market and would require creative and aggressively implemented strategies to beat them as competition. More so, the classified market is currently witnessing disruptive innovative models that would require existing players to rethink their models and approach to classifieds. The emergence of brands like Jiji.ng and Efritin.com, offering free listing for ads in exchange for commercial ads, only means new entrants need to revamp their competition strategies besides throwing money at solutions and forming synergies.

s part of its commitment to deepening commerce and trade in Africa, Konga.com has empowered micro, small and medium enterprises through its partnership with the Lagos State government to host this year ’s MSME Exclusive Fair in Lagos. The fair which was the maiden edition held from the 3rd to 8th of May, 2016 with focus on indigenous and local manufacturers and producers aimed at promoting “made in Nigeria” products. Speaking at the fair, Konga’s CEO, Shola Adekoya said: “The world is changing and will keep evolving as humans have moved

over the years from subsistence farming, to trade by barter and now we are in the age of technology which is moving very fast. This Fair is in line with Konga’s mission to be the engine of trade and commerce in Africa by empowering indigenous MSME’s to reach a wider market across the nation. "Konga is poised to helping MSMEs match with the fast changing technology by providing platforms that showcases their products to the entire world with just a click. Konga is providing a platform for MSMEs to sell, a payment solution that their business needs and logistics solution that moves their goods all over the country.”

seeking shops in highly populated areas. The research also showed that marketing activities on online market hubs and forums in Nigeria increased by 22 per cent in the first quarter of 2016 and at least 36 per cent of online shoppers completed a purchase transaction in the first quarter of 2016 attesting to the fact that the online marketplace is gaining more recognition. Speaking on the report, founder, WesternMall Nigeria, Nosa Idehen said: “More businesses could benefit from adopting the online market trend in Nigeria at this present moment. Not only will it ensure that cost of operation stay down, it will also make commercial real estate more affordable as the need to rent shops will ultimately reduce.” He added: “At a time when the economic realities are forcing companies in Africa to fold up because of increasing overhead operational costs, Nigerian retail business owners are finding new ways online to reduce the cost of running a business.

Vanguard, MONDAY, MAY 16, 2016 — 29

People in Business

Nigerian brings industry to classroom By PRINCEWILL EKWUJURU

gabu Jesse Chukwunonso is 26, holds a Bachelor ’s degree in Metallurgical and Materials Engineering from University of Lagos, had his secondary education at Igbobi College where he finished as the best science student, and also represented Lagos State at the National Olympaid competition in Abuja. His passion for the younger generation led to his pioneering a youth organisation called United Change Agent Leadership Initiative, UCALI. He is currently the founder of some start-up, a healthy lifestyle outfit that caters for the fruits and vegetable needs of the working class. He is also the coordinator of Education Nexus Industry Project (ENIPro), a project aimed at bringing the industry to the classroom at an early age. This project was selected among the top 50 Nigeria Enterprises by British Council in 2016, and also as one of the 1000 projects that would transform Africa by Tony Elumelu Foundation in 2016. This coveted spot has proved that ENIPro is a viable project that is set to rewrite the narrative of pragmatic way of learning that the educational system requires.

You can’t go in the streets looking for who will invest in your idea at that tender age but with ENIPro, you stumble on a mentor who believes in your idea

*Ogabu Jesse Chukwunonso.... students can begin to see the relevance of what they do in school as it relates to industry.

Practical leaning:

n the absence of practical learning aid that complements theories in Nigerian schools to adequately enhance knowledge, a young Nigerian has initiated a project designed to match professionalism and expertise in different fields with students for practical experience. In developing the initiative called ENIPro, conceived in 2011, Jesse Chukwunonso explained that ENIPro is a platform that brings the industry to the classroom at early age for students. “This means that students in schools can begin to see the relevance of what they do in school as it relates to industry.” The project, according to Chukwunonso who is in his 20s, creates a platform that allows students to interact with their identified specific professionals/executives/ workers in different companies relating to their dreams. “This is a mentor– C M Y K

Social service: escribing the project as a social service, the initiator said the platform is an online knowledge-sharing platform where mentors and mentees can sign up and at end, there will be interaction. “For instance, those who dream to be doctors, lawyers, journalists, engineers in different fields among others, would be attached to professionals in those fields in different companies to understand from early age what the work is all about. This enhances education and knowledge. “Even if the student fails a course, there is a future for the student as he/she has understood the practical aspect of what he is studying. In fact, this means there is opportunity to re-write the story again.” Chukwunonso who said he is driven by passion to make impact in the lives of Nigerian students said he has done some background work on the benefits of the project and he has also made moves to write

For instance, those who dream to be doctors, lawyers, etc., would be attached to professionals in those fields to understand from early age what the work is all about mentee relationship for practical understanding of school work for knowledge enhancement.

to organisations preinforming them on the project to see how students in schools can understand these industrial practices while they are in school. "It is an online platform but the mentor-mentee could agree to meet physically at the instance of the mentor. Under the project, he believes that some students or start-ups who are also allowed to be mentored in the project might be lucky to interact with mentors who would believe in them, trust in their idea and may decide to invest in them. “It is a million naira investment and opportunity while still in school.”

Trust "You can’t go in the streets looking for who will invest in your idea at that tender age but with ENIPro, you stumble on a mentor who believes in your idea and with constant interactions, he/she can begin to build that level of trust where he will invest in you. You can also be a tool to transform other people. It is a going concern, it is a project that the whole world needs to be aware of. The corporate world and students need to be aware.” Chukwunonso said the idea came to him while on internship in an oil company as he was exposed to a lot of things. He stated that his concern was how to transform the lives of young people. He said during his national youth service in Port Harcourt, he put the idea to test which worked and now he is putting it to full scale to assist in developing students and the society.

Nigeria non-life market rated top five in Africa BY ROSEMARY ONUOHA IN MOROCCO

he Nigeria insurance sector has been rated among the top five non-life markets in Africa in 2014. Nigeria which occupies the fourth position boasts of a non-life premium of over $1 billion. South Africa occupies the number one position followed by Morocco. Next is Algeria while Kenya occupies the fifth position. According to the African Insurance Barometer released by the African Insurance Organisation, AIO, in Morocco on Monday, these countries are trailing behind South Africa at a very far distance which life insurance holds about 87% and 40 percent in non-life business. Disclosing this at the 43rd AIO Conferece and General Assembly holding in Marrakech, Morocco, President of AIO, Mrs Lamia Ben Mahmoud, said African insurance premium volume in 2014, totaled $69 billion, showing a slide from $72 billion level in 2013. Mahmoud said that life insurance accounted for about two thirds of the 2014 total insurance premium in the continent, with the remainder being generated from non-life insurance which stood at 71% of total premiums in 2014. Mahmoud said, “Insurance premiums accounted for 2.8% of African GDP in 2014. With the exception of South Africa and Namibia - where insurance penetration levels reached 14% (Life 11.3%, Non-Life 2.7%) and 7.3% (Life 5.1%, Non-Life 2.2%) respectively “. The Barometer however predicted strong life insurance premium growth in Ghana, Kenya and Morocco, disclosing that in 2014, African life insurance premiums, stood at US$ 45.8 billion, translating into a life insurance penetration rate of 1.9%, significantly below the global average of 3.4%. It said at an inflation adjusted real growth rate of 1.6%, African life insurance, also grew much slower than global life insurance premiums, which increased by 3.4% in 2014.

30 — Vanguard, MONDAY, MAY 16, 2016

Economy

Markets react to petrol market liberalization … Naira depreciates further by 7.7% … Petroleum stocks bounce back … Money market yields in mixed reaction Stories By EMEKA ANAETO, Economy Editor Financial markets across segments have reacted to the quantum increase in the price of petrol with foreign exchange rate and petroleum stocks in the upbeat while money market rates moved in mixed direction. In the foreign exchange market the Naira extended its losses against the US Dollar on Friday following continued demand pressure which had started a day earlier on the heels of the pump price adjustment closing at N350/ USD1, bringing its total depreciation to 7.7 per cent in the first two trading days after the pump price adjustment. Though analysts had also fingered the speculative spur arising from federal government’s hint that the official foreign exchange market would be overhauled for flexibility, currency traders said there has been sudden scarcity of the US Dollar, apparently due to sudden surge in demand coming from oil marketers setting out to import the products. Government had announced a liberalization of petroleum imports on Wednesday, directing fuel marketers to import products sourcing the foreign currency payments from sources other than the official foreign exchange market controlled by the Central Bank of Nigeria, CBN. On the official market, the exchange rate is quoted at N197.50/ USD1, and with last Friday’s rate in the unofficial market segment the parallel market premium has now widened to over 72 per cent, about one of the highest in the

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world. Reacting to the development analysts at United Capital Plc, a Lagos based investment house, said “the autonomous dollar supply has always been available but the major bottle neck prior to now appears to be more around pricing with most holders preferring to sell at the parallel market rate, while buyers understandably favor the official window. With oil marketers now forced to look at the parallel market, we believe potential supply at that market is robust enough to take-in increased demand at current price”. Consequently, the present sharp depreciation and the wide premium on parallel market, according to them, will be short-lived. Also reacting to the forex market developments on the heels of petroleum marketing liberalisation analysts at Vetiva Capital Limited, another Lagos based investment house, said “ we are aware of the arrangement between oil marketing majors and related upstream companies but anticipate that as other independents enter the market, the currency could come under pressure outside of the official window and expect the premium between both markets to further widen. “We liken this to a pseudodevaluation or possibly, the takeoff of a formal two-tier foreign exchange market”. In the stock market, investors swopped on the stocks of oil marketing companies leading to their domination of the top gainers chart. Aside Nestle Nigeria Plc the top five gainers in the Nigerian Stock Exchange as at last weekend were all major petroleum product marketers, with Mobil Oil Nigeria, Total

Oil Nigeria, and Forte Oil, appreciating by N14.34, N10.40 and N4.50 to close at N175.00, N170.00 and N225.00 per share respectively. The other top five gainer was Seplat Petroleum which is not into fuel marketing.

We liken this to a pseudodevaluation or possibly, the takeoff of a formal two-tier foreign exchange market

Reviewing the impact of last week’s liberalization on the stocks of petroleum marketing sub-sector, analysts at Vetiva Capital said “for years, Downstream Majors had lobbied for the deregulation of the sector in a bid to rid themselves of huge subsidy receivables that had stifled profitability. We think the liberalisation of the sector will allow Majors leverage economies of scale to dominate the fuel import market. “We note that in the revised pricing template of the Petroleum Products Pricing and Regulatory Agency, PPPRA, retailer, transporter and dealer margins were increased from N5.00, N3.05 and N1.95 to N6.00, N3.36 and N2.36 respectively. “Following from this, we expect to make upward revisions to our coverage”. Consequently Vetiva analysts recommended the following target stock prices: Total Oil (TP: N208.77 BUY), Mobile Oil (TP: N150.46 SELL) and

OANDO (Under Review). Vetiva said it expects consensus ratings on stocks not covered by its ratings which include Forte Oil, Conoil and MRS, to be revised upward as well. In the money market attention was on fixed income segment where, in the Nigerian interbank treasury bills, true yields (NITTY) moved in mixed directions. Yields on 1 month and 3 months maturities increased to 4.63% and 8.16% respectively, while 6 months and 12 months yields fell to 10.04% and 12.97% respectively. Meanwhile, Nigerian interbank rates increased across all tenor buckets on sustained financial system liquidity strain. Nigerian Interbank Offer Rate, NIBOR, for overnight funds, 3 months and 6 months increased to 0.96%, 0.27% and 0.15% respectively. Analysts see yields likely to continue upwards in the near term.

Inflationary impact ofnew pump price may be moderate — VETIVA CAPITAL

inancial sector analysts are expecting that higher price of petrol will lead to a further rise in inflation rate. Usually in Nigeria, whenever petrol price is increased it leads to a rise in transportation costs, with attendant impact on inflation. This is coming at the backdrop of already heightened inflation scenario which has also been linked to pass through effect of the lingering fuel crises and the attendant black market cost pass-on effect and depreciation of the local currency in the unofficial market since last year. Consequently, the March 2016 reading was showing that inflation at 12.8 per cent, was already hitting a 46-month high. However, analysts at United Capital Plc, a Lagos based investment house, said “key drivers of sharp jump in inflationary reading over the past two months already factors-in a large chunk of the impact of recent hike in electricity tariff (effected in February) as well as transportation costs as average petrol price across the country over the period rose to

N136.0/litre which is only 6.6% below the higher end of the new Petroleum Products Pricing and Regulatory Agency, PPPRA, retail price band. “This suggests headline inflation will need a much stronger push from where it is currently, to sustain pace of month-on-month (m-o-m) increase. “To add, we take further evidence from a similar occurrence in 2012 where a partial removal of fuel subsidies only had a transient impact on inflation, after the initial shock. “Thus, we only expect to see a moderate uptick in inflation from current levels on a mo-m basis, and maintain our 2016 average forecast at around 12.5%”. Meanwhile analysts at FSDH Merchant Bank have put April 2016 inflation estimate at 13.7%, up from 12.77% recorded in the month of March 2016. They have attributed the rise in the inflation rate to increase in food and transportation cost. The National Bureau of Statistics (NBS) would release the inflation rate for the month of April 2016 on May 18, 2016.

Vanguard, MONDAY, MAY 16, 2016 — 31

Micro-Finance

Advertising & Media

Dettol launches 10X Multipurpose cleaner Stories by PRINCEWILL EKWUJURU

n a bid to promote best hygiene practice across the c o u n t r y , R e c k i t t Benckiser, manufacturers’ of Dettol product, has launched,”10x Multipurpose cleaner,” The unveiling took place recently the grand finale of “Dettol clean Naija Campaign in Lagos”, in company of health workers, sportsmen and women, and Government agencies among others. Speaking, the Marketing Director, RB West Africa, Mr. Oguzhan Silivrili, said that the company is focused at promoting hygiene and enhancing a germ free society. Having maintained a smooth relationship with ministry of health over the years, Silvrili claimed that, the company has been able to contribute its quota in fighting various outbreaks of epidemic diseases in the country. “Over the years, Nigeria has invested billions of her resources to promote a healthy environmental condition which would have been directed to creating viable jobs for the teeming public. This prompted our company to come up with sensitizations like this to enable us have a disease free country.” Managing Director of

the company, Mr. Rahul Murgai at the event said that Dettol has covered about 5.73million Nigerians within its over 50years presence in the country. Murgai said that the aim of the launch of the product would be to promote a society free of infections and diseases. He encouraged parents, school authorities, clubs/ hotels, traders and organizations to have the product as it would help prevent the spread of

ST Yoruba runs on StarTimes

tarTimes has launched a new i n d i g e n o u s entertainment channel for Nigeria movie enthusiasts-ST Yoruba. The new channel which airs on Channel 160 on digital terrestrial and channel 412 on digital satellite platforms was designed to showcase the rich cultural heritage of the Yoruba nation and as a 24-hour general entertainment channel follows the success of ST Dadin Kowa enjoyed by the Hausa viewers. “StarTimes is very excited to announce the arrival of its new Yoruba movie channel. It has been in our plans to give more to our movie loving subscribers. They deserve a glamorous

Hollandia Soya gets NSN nod, wears new look

ollandia Soya Milk from Chi Limited has gotten the Nutrition Society Nigeria, NSN, endorsement as it wears new look. The brand now described by NSN “as a rich source of Calcium, Vitamin A & C,” comes with ‘No Cholesterol’, as naturally it helps lower cholesterol levels. With ‘No Cholesterol’ in Hollandia Soya milk, it helps avoid further cholesterol build-up and keeps heart healthy. Nigerian who is health conscious and desires active lifestyle and a healthy heart, the company said. Speaking on the new C M Y K

communicable infections. “With the introduction of this new product, Dettol 10x Multipurpose Cleaner, it comes in five colours with more disinfectant ability and can be used in-indoors prepared with lasting freshness, stain removal and better cleaning solution than detergents. The best thing about this new product is that, this new product offers 10 times germ kill with no trace of survival.”

launch, Chi Limited’s Managing Director, Mr. ‘Deepanjan Roy said “We know that health is one of the biggest motivating factors in consumers’ decision making process, so we decided to give them a healthy soya drink that has absolutely no cholesterol leading to a healthy heart and active life”. This is clearly amplified on the pack, which features a strong blue colour combination and an assortment of small icons that typify various sporting activities that connect with the health conscious consumers.

channel that gives maximum satisfaction. And with this, they will be thrilled and enjoy m a x i m u m entertainment, said Dare Kafar, StarTimes Marketing Director. This channel has been designed to build cohesive family viewing with a fine blend of classic and contemporary Yoruba movies, cultural shows, celebrity news, historical shows, behind the scene programs, celebration of movie icons and other lifestyle programs. The channel blends universal appeal with local flavour and appeals to viewers across South Western Nigeria States, the Yorubas locally and in diaspora, as well as other viewers and fans of Yoruba culture and entertainment across Africa. The launch of ST Yoruba was a highly strategic move which will help to display the rich Yoruba culture in all its glory to a global audience”, stated Kafar. The Marketing Director stated further that ST Yoruba as a lifestyle channel generally will include fiction-based social family dramas, funfilled chat shows, highvoltage action reality shows, and blockbuster Yoruba movies. Local Producers will be empowered to produce top rated Contemporary Contents that will be of high cultural value and most appealing to the viewership. Indeed, ST Yoruba will become the Cultural, Political and social integration of the Yorubas as a desirable development agenda partner.

Accion MfB targets 10 branches in Ogun, opens Sango, Akute office Stories by PROVIDENCE OBUH

ollowing the opening of two new branches in Sango and Akute in Ogun State, Accion Microfinance Bank (AMfB) has revealed plans to establish 10 branches before the end of 2017 in the area. Managing Director AMfB, Ms. Bunmi Lawson, disclosed this at the Official Opening of Sango-ota branch, saying, “We are starting off with Sango and Akute branch, we expect to have ten branches in Ogun State, our loan officers are on ground to talk to the market women to know what their needs are and we will tailor our products to those needs and make sure they have financial services that is easy to access and also affordable.” Lawson said the bank is ready to offer its variety of financial services and products ranging from savings, current, fixed deposit accounts, micro loans, Asset Loan, SME- small and medium enterprises loans, insurance and echannels. She explained that the initiative was meant not just to lend hand to government efforts in alleviating poverty among the low income earners and people at the bottom of the pyramid but also to offer other socioeconomic benefits to the host community. She hinted that the bank’s long awaited

commencement in the state will further reenforce its capacity to serve the teeming and growing customers in line with the mission to economically empower micro-entrepreneurs and low income earners by providing financial services in a sustainable, ethical and profitable manner. According to her, “Our vision is to ensure that the future is bright for every Nigeria, especially those who are financially excluded and those at the bottom of the pyramid, it is our focus to ensure that their lives become better, they are able to earn better income through their businesses that would grow from strength to strength and they are able to send their children to school. Our loan methodology is tried and tested, it worked in Lagos and we are now bringing it to the state.” Also speaking, Ogun State Commissioner of

Honeywell tasks youths on job creation

oneywell Flour Mills Plc has advised youths to be more creative by acquiring entrepreneurial skills that will make them selfdependent and thereby create jobs. Managing Director, Honeywell Flour Mills, Mr. Lanre Jayeola, said that every individual has innate skills which when properly harnessed will push them beyond their

LAPO boss seeks greater funding for MSMEs

Managing Director, LAPO Microfinance Bank, Dr. Godwin Ehigiamusoe, has advocated for greater access to funding for micro and small enterprises. He explained that this could be achieved by effective financing linkages between commercial banks and microfinance banks. He made the call while delivering a paper at the Professor Adebayo Akerele, Annual Lecture of the Faculty of Management Sciences, University of Benin, noting that more sustainable approach to funding micro, small and

Finance, Mr. Adewale Osinowo, commended the bank for the enviable feat since inception in empowering the micro entrepreneurs and for coming to the state. Osinowo who was represented by the state’s Accountant General, Mr. Olayiwola Dosunmu, said that the move is a step in a positive direction in a time when the government of the state is developing a strong private public partnership in key sectors of the economy having identified agriculture and micro, small and medium entrepreneurship (MSME) as the key drivers of growth, wealth creation and poverty alleviation. Meanwhile, the bank currently operates 31 branches in Lagos and two in Port Harcourt, having disbursed over N50 billion easy–toaccess loans to about 227 thousand people since inception.

medium enterprises is ensuring that commercial banks with huge funds do not have the appropriate flexible structures and procedures to engage and serve micro and small businesses and thereby would channel funds through microfinance banks which are community based with the required flexible systems but do not have enough liquidity. He said that such partnership should be prompted regulatory interventions which require commercial banks to allocate specified proportion of their loan assets to the micro and small businesses.

limitations, reiterating the company’s readiness to continue aligning with any cause to promote entrepreneurship as exemplified in the quantum support it is given by the National Youth Service Corps (NYSC) and others. Jayeola said these things at the Honeywell Wheatmeal Cooking Competition, held at the NYSC Lagos State camp, Iyana Ipaja. He urged youths to imbibe the spirit of entrepreneurship as this will reduce the quest for non-existing white collar jobs and further reduce poverty, adding that Honeywell remains a leading flour milling company in Nigeria, and have operated successfully, because “ we are entrepreneurial in nature. We usually go to the turf where no other one will go. Once we know there are opportunities there, we pursue it and we are relentless and consistent.” He explained that the competition was aimed at bringing out the unique skills of the corps members with a view to equipping them for future challenges and endear them early enough to the company’s products by making them Honeywell Ambassadors.

32 — Vanguard, MONDAY, MAY 16, 2016

(0805 220 1997)

n the wake of deregulation of petrol prices under Obasanjo in 2004, and the unfolding anxiety of Labour and the Nigerian public on the adverse impact of rising fuel prices, this column published two articles titled “The Mother and Father of Fuel Prices”(22.11.2004) and “Only a Stronger Naira Will Stop Rising Fuel Prices”(22.08.2005) The solution proposed in both articles remain solidly valid today as it was over 12 years ago; for this reason, a summary of both articles is again presented in the hope that the authorities will one day heed our counsel and resolve our dilemma. Please read on. The economic and social benefits of deregulation is evident from the demonstrable success in several countries. Deregulation properly construed would mean market determined prices for fuel; thus competitive pricing and improved customer service would prevail. Furthermore, our comatose refineries would be rejuvenated and investors would also be eager to establish new refineries with the assurance that their survival and profitability would not be dependent on market manipulations or distortions by the Authorities. Petrol smuggling would also cease to be an attractive venture and the Treasury will be bolstered by the plug on such leakages. However, the oppressive inflationary impact of deregulation since inception seems to be the exact opposite of popular expectations; for example, instead of lower prices, pump prices conversely remain on a continuous rise with a debilitating impact on the Nigerian patient!

The mother and father of fuel prices The NLC is however buoyed by vibrant public support to insist that the promised palliatives are too minimal and not likely to restore the patient to good health. Consequently, we have both the next of kin and an enamoured doctor killing the patient, whom they both love so dearly, slowly with love, as the patient’s health meanwhile, continues to deteriorate. How can both the federal government and the NLC be so right in their aspirations, but wrong in the diagnosis of the problem! Undeniably, the NLC and the Federal Government share similar aspirations, in their quest for improved social welfare, that would restrain inflation, and support a progressive economy which is efficiently driven by market forces and competition. Furthermore, Nigerians also expect that new refineries will come on stream, to properly coordinate domestic supply, so that surpluses can be gainfully exported. Evidently, both NLC and government also desire the same basic objectives, of increasing job opportunities with diversification and expansion in industrial capacity; regrettably, the pursuit of these objectives seems to have taken different tracks and yet neither party is anywhere nearer the declared objectives. In general, the following factors have been canvassed by all and sundry as mainly responsible for rising prices: these are poor shape of refineries, additional cost of imported fuel, corruption and smuggling, increasing crude oil price and the price of the naira vis-à-vis the US dollar.

After thorough examination of these major factors, it will be obvious that even if our refineries are working at full capacity and new refineries are built, the local price of petrol in a deregulated scenario may only be cheaper than the cost of imported fuel by not more than 10-20%! The cost difference will be the additional cost of transporting crude oil to Europe or elsewhere and the cost of shipping back to Nigeria and domestic port clearing the charges of refined petrol. The potential savings in cost from relatively cheap local labour

even if international crude oil prices are rising, the expected upward push in domestic fuel prices will be cushioned by a stronger valued naira vis-à-vis the dollar (the crude oil value denominator), since the additional dollar revenue which automatically accrue to us from rising crude oil prices would also increase our foreign exchange reserves positively, and this should be reflected in a stronger naira exchange rate; Thus, ultimately, domestic fuel prices will either stabilize or even fall in response to a stronger naira. Technically, even though Nigerians will be able to buy fuel more cheaply even when crude oil prices rise, smugglers of petrol will, however, be put out of business, as the stronger naira will reduce smugglers’ margins and make the business unprofitable! Thus the stronger the naira, the lower in fact will be the local prices of fuel products. Furthermore, a 10-15% petrol tax per litre can be added on fuel prices, while the revenue collected can be dedicated to critical areas of need such as education, health, transportation and provision of infrastructure. So it is clear that the single most important factor in the determination of local fuel prices, is actually the naira exchange rate. In a deregulated market, local fuel prices have no choice but to move in sympathy with international crude prices, but appropriate and sensible management of the foreign exchange inflow from the increasing dollar revenue will determine the naira exchange rate and consequently the price also of local fuel products.

bloated local demand and also represents an open substantial subsidy to the economies of our ECOWAS neighbours; but these factors by themselves, do not explain the geometric leap in domestic fuel prices from less than N1/litre to its present oppressive level of over N50/ litre. However, the welfarist argument that Nigerians should enjoy lower prices for their natural resource endowment may jeopardize the advantages of a free market mechanism and all the benefits of attracting foreign investments into refineries,

So it is clear that the single most important factor in the determination of local fuel prices, is actually the Naira exchange rate may also be nullified by cost of provision of own infrastructure, particularly high cost of power, and high cost of funds. We cannot deny that corruption and smuggling indirectly affect petrol price, just as inefficiency in public service and lack of accountability could also lead to indiscrete resource allocations with attendant market distortions and higher prices. The cross border smuggling of both crude and imported petrol will similarly affect prices at different levels; however, although massive smuggling of crude oil may help to stabilize or lower international crude oil prices, but cross border smuggling of imported PMS instigates a

with competitive product pricing and improved customer services. Besides, the cost effects of an open ended subsidy to stabilize petrol prices in a climate of steadily and readily depreciating naira will have a catastrophic effect on the survival of existing public refineries, as they would most certainly go under if, for example, the NNPC continues to absorb daily subsidy values in excess of N350 million (over N150 billion annually) as reported by the Group Managing Director recently. This burden would ultimately sound a death knell on the prospect of private investment in our refineries! However, it would not be inappropriate to expect that

SAVE THE NAIRA, SAVE NIGERIANS!

Business & Economy LADOL boss gives panacea for Nigeria’s hub status By GODWIN ORITSE

A N A G I N G DIRECTOR of the Lagos Deep Offshore Logistics, (LADOL), Base, Ms Amy Jadesinmi has said that “the long contracting cycle, the foreign controlled private monopoly strangling the industry are some of the issues militating against Nigeria’s move to become a hub in the sub-region. Speaking at the just concluded week-long annual Offshore Technology Conference (OTC), which held last week ended in Houston, C M Y K

United States of America (USA), Jadesinmi noted that the need for greater collaboration amongst Nigerians, in the public and private sector to create the hundreds of thousands of jobs that will be generated cannot be overemphasized. Jadesimi, who was one of the key speakers at the prestigious international event and whose paper was titled: “Driving Economic Growth through Indigenous Private Sector Investment in Nigeria” said that, the industry requires a huge private investment of about “$20 billion per year of private money just to maintain status quo

and an additional $15 to 20 billion to grow the market She expressed her optimism for the future of the local industry particularly in Nigeria, and her concerns about the current hurdles that must be overcome to reach that future. LADOL has also built West Africa’s largest vessel integration and fabrication yard, in its Free Zone, located in Apapa Port – leading to assurances by the Managing Director that in the next five years LADOL is on course to boost the Nigerian economy with 5,000 direct jobs and over 50,000 indirect jobs.

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Vanguard, MONDAY, MAY 16, 2016—33 Send Opinions & Letters to: opinions1234@yahoo.com (NADECO) Once, the CD ran out of funds and I was asked to see AdenijiAdele. He was happy to receive me, we exchanged notes and he directed me to a popular Estate Manager who gave me the

The Lagos of A denijiAdele Adenijideniji-A

ITH the country moving to its new capital Abuja, the late General Mamman .J. Vatsa wrote: “Keep your new Capital City; It’s too much of a great pity. I am rushing back to my Lagos; Where everyone’s a big boss.” One of the big bosses in Lagos was charismatic Ademola AdenijiAdele, perhaps the best known Prince of the Lagos Ruling House who slept, ate and drank Lagos. Those who did not grow up on Lagos Island might not understand why many of those who did, see it as the centre of the universe; a bustling city complete in itself. When in the 1950s, there was an attempt to merge Lagos with Western Nigeria, Lagosians rose in unison that Lagos is an international and independent entity that cannot be merged with any part of the country or the world for that matter. The slogan was Gedegbe L’eko wa (Lagos stands on its own) or was Danfo (Independent) This was during British colonialism! When the capital was moved from Lagos to Abuja, Lagosians thumbed their noses and said ‘You can move the capital from Lagos, but can you move the (Atlantic) Ocean from Lagos?”

Adeniji- Adele was Chairman of the Lagos Island Local Government at 33, and his swagger was like that of a Governor. He had an effective administration, put street toughies (Area Boys) in check and ran an air-conditioned bus service in which the elderly had free rides. The two rising stars in Lagos State politics were Ademola Adeniji-Adele (AAA) and Bola Ahmed Tinubu (BAT) Both were young, bold, charismatic crowd pullers. Many analysed that post-military Lagos politics, will be a healthy competition between them. Then came the popular resistance against the annulment of the June 12, 1993 Presidential elections won by Chief Moshood Kashimawo Abiola. Adeniji-Adele was in the thick of the resistance, mobilising the masses against stone-faced military dictators whose agenda was to perpetuate themselves in office even if it meant the country disintegrating. I was also involved in the resistance but operating from the Civil Society coalition, the Campaign for Democracy (CD) while he, Tinubu and many politicians were functioning mainly in the National Democratic Coalition

When the military junta released Adeniji-Adele, it seemed the mega city emptied into the streets and flowed towards the Lagos Airport to welcome back their beloved Prince of Hope required funds. Abiola left the country unceremoniously, but when he returned, he was determined to claim his mandate and it was left to a number of persons to provide safe houses for him following a massive manhunt by the Abacha dictatorship. More importantly, it was necessary to organise a public rally where he would declare himself the legitimate President of Nigeria. The Lagos Prince was an arrow head in planning and executing what has historically become known as The Epetedo Declaration; the rally in Epetedo, Lagos Island where Abiola openly addressed the people and declared himself the legitimate President. Brutal military clampdown including the detention of Abiola, violent disruption of pro-democracy protests, assassinations

Subsidy remo removval and its af afttermath

By Paul Odili

ERE we go again. President Muhammadu Buhari's, PMB, government like so many others before it has done what others have done. Remove fuel subsidy. Usually as this event happens, there is protestation. The country is divided on the social media and on the other news media. Subsidy must go, subsidy must be retained. The debate typical of many things about Nigeria is facetious. We chase shadows. We look for easy answers to difficult and complex problems. For the life of me, I have no recollection of the last time I bought petrol at official price. So, I did not like most Nigerians receive any subsidy benefit. You might want to ask, why remove what is not actually there? The reality is that in the books of government some subsidy are being paid and some persons are getting paid for supplying products at subsidised prices. For the majority of last year and this year, NNPC was the sole importer of products and NNPC could not deliver. Now government has announced removal of subsidy. Kachikwu has followed up with assurance that within six months prices will come down? I say not so fast, Mr. Minister of Petroleum Resources. This is Nigeria, a country that often defies economic theories. What are the really issues? In my view Nigeria is a bad example of a deregulated economy. That is also not to say that deregulation is a bad economic policy to pursue, it is simply that we are often in awe of form and not substance. Even in advanced capitalist economy, debate about actual application of deregulation has continued. The reason is because deregulation in a free market economy is a tricky business. C M Y

Handle it badly and it does not lead to real competition nor does it deliver lower prices or great quality. This is because deregulation can easily be distorted in the market place. Think Nigerian banking system, think aviation, think telecommunication, think electricity, and think postal service. In all these instances

The heavy infrastructure investment this country needs to end this problem once and for all is the way out of this bind only one or two has delivered to some degree, in that case you might look at the telecommunication sector. Even then affordability and pricing is still an issue not to talk about quality of technology deployed and other service related issues. What is my point? A deregulated market demands two very critical pillars. Robust laws not riddled with loops and a deregulated sector policed by strong regulators. Nigeria has failed on the two counts, which is why deregulation here has often failed or led to oligopolistic market. Price setting and regulatory capture have been the order of the day. Look at diesel. For years, this product had a stable price across Nigeria at N130, contrary to what you might expect in a free

including of Kudirat, one of Abiola’s wives, and mass detention followed. Many were forced into exile, but the Prince remained enmeshed in prodemocracy Lagos. Unfortunately, he fell into the hands of the junta, was captured and detained for months without trial. When the military junta released Adeniji-Adele, it seemed the mega city emptied into the streets and flowed towards the Lagos Airport to welcome back their beloved Prince of Hope. The gigantic tidal wave of crowds that turned out to receive him, sent an unmistakable message to the regime that no matter the number of bayonets and tanks directed at them, the people were wedded to freedom and democracy. In the prodemocratic movement, we were excited that one of our generals was back from the gulag to continue the struggle. Doubtlessly, his long absence might have gravely affected his business, but the people had so much confidence and hope in him that if a fund had been set up to help him recapitalise, many might have willingly donated. General Sani Abacha, the head of the military junta had decreed into existence, five political parties, all primed to transform him into a civilian President by picking him as their ‘consensus’ candidate. Political activist and lawyer, Chief Bola Ige described the parties as the five fingers of a leprous hand. Then rumours began circulating that the People's Prince was romancing one of the leprous fingers; the Grassroots Democratic Party (GDM) also known as GIDIM. One day, I got an invitation from him for a meeting. We met in a hotel

competitive market. No variation in prices and with two or three importers with one importer being the market maker. If you take a narrow definition of this market characteristic, you might consider the diesel market a monopolistic market. This is the character of a deregulated market with weak regulator. And so concerning petrol price deregulation, the risk is the same. We are going to find that oligopolies are going to take over the market. Prices will not be competitive, it will be fixed and it will be dominated by a single market maker. By asking fuel importers to seek forex at the secondary market, which is the black market, you will find that few of the importers have the capacity to do this. What do you think will happen if for instance, a Dangote decides to go into fuel importation? He has the capacity to import massively, he has access to huge forex reserve and political connection to get forex at official prices—arbitrage notwithstanding. He lowers his prices— not necessarily to deliver market benefit, but to drive the competition out of business and then begins to dictate prices at a future date with our regulators looking hapless, defeating the whole point about deregulation. So what is the way out? Realistically, there is little that can change as am sure this market is going to be dominated by very few importers fixing prices amongst themselves to the detriment of Nigerians. The hope to be entertained is for Nigerians, labour organisaiton, NGOs to organise around making sure that the regulator in this case the PPPRA is made to do its work. There is the need to re-examine the laws setting up PPPRA. Does it really protect public interest? Secondly, the reason why a change in fuel prices creates such price shock is simply because there are no alternative infrastructures. It is bewildering that in a world moving away from reliance on fossil fuel economy, we are trapped in it.

and the place was swarming with party faithfuls who called him Papa. I was received like some royalty and he explained he joined the party as a tactical move, was going to run in the proposed gubernatorial elections and wanted my understanding and support. I told him I did not understand his moves, would not support him nor would the CD. He told me he understood and would nevertheless want us to remain friends. Then Abacha, like a nightmare whirlwind, passed away; the dungeons were thrown open, exiles returned and the generals pleaded to be given nine months to make an orderly retreat to the barracks. Logically, there was a backlash against those perceived to have collaborated with the defunct regime, and Adeniji-Adele’s ambition was swept away in that tide. Bola Tinubu returned from exile and triumphantly rode into the Lagos State Governor’s Office. In 2007 when he could not clinch the ticket of a major party, Adeniji-Adele called me for a meeting to assist him join the Labour Party and aspire to be its Lagos State gubernatorial candidate. I explained that I was not a member of the party but would link him up with the state and national officers, which I did. Unfortunately, the party leaders without primaries, announced former Deputy Governor, Femi Pedro as its candidate. He later joined the Action Congress under Tinubu, was Lagos State Commissioner for Youths, Sports and Social Development, 2007-2011. On Thursday, May 5, 2016, the Prince of Hope had his last breath in far away India.

Elsewhere in the world, for example Europe with its efficient intermodal transportation system, no one will take serious note of change in fuel price because there is efficient transportation system that does not depend on fossil fuel. The trains, the trams, the mass transit buses most of which run on electric modules etc. In contrast, the government of Nigeria over time has failed to create this system that weans mass movement and transportation from fossil fuel. Nigeria is perhaps the only country this size that does not have an efficient railway system. Nor is our public power system any good. There is no stable electricity and to that extent a change in fuel prices has such a huge spiral effect, because of generator economy. These are the issues the labour movement and Nigerians must sit down with government and discuss and have a plan. To say revert to subsidy system will not work, it is inefficient and it is corruption ridden. The real point at issue is what to do with the savings. The heavy infrastructure investment this country needs to end this problem once and for all is the way out of this bind. Anything else is akin to one step forward, two steps backward. At the political level, PMB and APC are in a moral dilemma obviously. For years, they have been champions of subsidy retention and all such rhetoric. The moral is not the bind, they find themselves in. It is also that Nigerians must be more demanding and rigorous in appraising a politician’s statement. Talk is cheap, but explaining how that talk can be made to walk is the real issue. Power shift, rotation, tribalism and all facial construct pales when confronted with the real challenge of economic management. *Mr. Odili, a public affairs commentator, wrote from Asaba, Delta State.

34 — Vanguard, MONDAY, MAY 16, 2016

RESIDENT Muhammadu Buhari owes us apologies for the latest hike from N86.50k to N145 of the official pump price for Premium Motor Spirit (PMS) announced on Thursday last week by his Deputy Minister of Petroleum, Dr. Emmanuel Kachikwu. First, he must apologise to Nigerians, on behalf of himself, his political party,the All Progressives Congress, APC, his foremost apologist, Professor Tam David-West, Labour and the hired “civil society” groups who truncated the deregulation of the downstream sector of the petroleum industry in January 2012. Second, he must also apologise to his predecessor, ex-President Goodluck Jonathan, who lost his post-electoral “honeymoon” period early in 2012 when he stuck out his neck in an attempt to lay to rest, once and for all, the bogey of fuel scarcity and its attendant high cost and human suffering which have trailed the nation for nearly thirty years. After maligning the Otuoke-born lecturer, he went back to implement a policy that Jonathan would have carried out four years ago if not for irresponsible and unpatriotic opposition. Whenever the deregulation of this sector is contemplated, people always say the timing is wrong without telling us when the timing will ever be right. Certainly, the timing for this steep hike is wrong. It comes so soon after the equally steep hike in the cost of electricity tariffs which the Federal Government through its Power, Works and Housing Minister, Babatunde Fashola, openly approves of. It comes at a time when thousands of people are losing their jobs and most employers cannot pay the salaries of their workers because of the parlous economic situation brought about by low oil prices, the crash in the value of the naira and the inability of the Buhari administration to tackle them. To top it all, Labour is priming for a new national minimum wage of between N56,000 to N90,000. Now that the official price of petrol has been nearly doubled, who knows the amount that Labour will now ask for? If ever there was a right time for the deregulation of the downstream sector, the year 2012 was it. We had just emerged unscathed from the worldwide economic meltdown of 2008/2009. By 2012 our Brent crude was selling for $114.26 per barrel, a trend that was generally sustained until toward the end of 2014 when the tide of transitional political was in full swing. Unlike now when economic

Fuel hike: Buhari must apologise activities are low, poverty rate is higher than ever and most investors have fled, there was money in the system then. The economy was even becoming increasingly “dollarised” as a result of oilfed liquidity in the system. In fact, it was shortly after this that a review of the nation’s Gross Domestic Product terms showed that Nigeria had emerged as the

Unfortunately for Buhari, he is now saddled with the grim burden of grappling with the evil day he and his cohorts postponed by opposing deregulation under the Jonathan regime largest economy in Africa and the continent’s number one investors’ destination. Nigeria could have weathered the shock of deregulation much more easily than now. But the opposition would have none of it. Labour unions went on strike. In Lagos, some so-called “activist” groups were sponsored by some political interests to stage their “Occupy Nigeria” gigs in the Freedom Square, Ojota, Lagos, which was

actually more of a noisy musical jamboree. Former President Jonathan was called the dirtiest names in the world. Soldiers eventually had to be drafted to Ojota to avoid the growing involvement of miscreants, hoodlums and Area Boys who began targeting people and their property. After about a week of national standstill, Jonathan called off the plan to deregulate. He went back to subsidy payment. The nation paid through the nose. Between 2012 and today, we lost over four trillion naira to a subsidy regime that was blighted by unprecedented graft. This would have been avoided if we had implemented the policy back then. Unfortunately for Buhari, he is now saddled with the grim burden of grappling with the evil day he and his cohorts postponed by opposing deregulation under the Jonathan regime. The opposition vehemently posited that there was nothing like subsidy. Buhari himself was severally on record saying the subsidy was a “scam”. When he won the presidential election, he vowed to probe the “scam”. Yet he continued to pay subsidies on assumption of office, thus perpetuating the “scam”? Professor Tam Davis-West, a former Minister of Petroleum under Buhari’s military regime who has become his acolyte and voluntary media megaphone, granted several interviews and insisted that Buhari would reduce the price of petroleum to N40 per litre. While inaugurating his presidential campaign council, General Buhari, waxing populist, promised that under an APC government “no Nigerian would go hungry and angry”. I remember an interview with Vanguard in which Mallam Nasir El Rufai, a former Minister of the Federal Capital Territory

under the General Olusegun Obasanjo presidency said, and I quote him: “If another regime was in power, let us assume that General Buhari was the president of Nigeria, he would not withdraw the subsidy. He will fix the problem. He will audit who is taking the money in the subsidy, who is paying what, how the money multiply (sic) three times in one year and fish out the thieves and deal with them”. One year into his four-year mandate, Buhari has realised that all that glitters is not gold. We are yet to hear about the “probe” of the “scams” he promised. Prof. David-West has gone mute. El Rufai has since climbed on the back of Buhari to become the Governor of Kaduna State. We expected David-West to teach Buhari (the Minister of Petroleum) and Kachikwu (his Minister of State) the magic formula of making petrol price to come down to N40. Or better still, Buhari could have appointed the Professor who will be 80 in a couple of months as his Special Adviser on Petroleum to actualise this wonderful feat. Instead, Kachikwu told us that all his learning in Ivy League schools where he made first class did not include how to wave a magic wand to produce results. David-West is hiding somewhere while we are made to pay N145. Funny, Asiwaju Bola Tinubu, who was widely believed to have sponsored the “Occupy Nigeria” party in Ojota in 2012 to truncate the deregulation, was among the first to jump forward and tell Nigerians that the pain of price hike is “necessary”. If there is any scam, it is the Buhari administration and the party that brought him to power that have perpetrated it against Nigerians. This is yet evidence that they obtained power through false pretences. One of such was the promise to make the Naira equal to the US Dollar. Today, the official rate is static at N198/$1, while the black market rate remains well over N330/$1. Experts gloomily predict that with the fuel importers now free to look for foreign exchange from anywhere to import, the Naira is likely to head towards the N500/$1 mark! One year later, we are yet to see anything they did differently and better than the Jonathan administration, especially in the energy sector. We are waiting for the apologies, and hope that Nigerians will be wiser when politicians come with sweet but empty promises next time.

OPINION

Politics of fuel subsidy By Sunday John

NCE again, the issue of fuel subsidy has come to the crucible of socio-economic life of Nigerians. Politics of fuel subsidy withdrawal has been a recurring issue over the years, from the time of General Yakubu Gowon as head of state. No government has come without harassing and intimidating Nigerians with fuel pump price increase and/or complete removal of fuel subsidy, otherwise called deregulation. It appears to have become a pastime for our rulers especially when they want to make scapegoats for their corruption, failures and economic naivety. All governance ineptitude by the political rulers are heaped on fuel subsidy. It is the reason for the country’s backwardness, abysmal infrastructure, debt burden, poverty, corruption, etc. That is the reason the populace is intermittently administered with some obsolete concoctions of the benefits of subsidy removal by every successive government. Buhari may not have engaged in this sophistry of the benefits of subsidy removal because of some want of oratory. Indeed, as long as fuel subsidy is concerned, Nigerians have gone through a lot of torture in the hands of various governments. We have been harassed, tormented and bamboozled. Protests against fuel pump price increase/ subsidy removal have cost lives, wastage and destructions. The ruling class are, of course, not the victims. The victims are the commoners, on whom they unleash their mediocrity and sadism. Like the ancient Roman emperors, the governments of Nigeria revel in seeing their subjects fight with the beast of subsidy now and again in the amphitheater. It is entertainment for them to hear us cry, see us abandon our legitimate duties and spill to the streets in protest, and our children roam the streets because schools are shut. C M Y K

Otherwise, how can a president or the ruling class that say they understand our pains add to the same pains instead of ameliorating it? The government knows that petroleum products, especially the Premium Motor Spirit, PMS, is one thing that affects the lives of all Nigerians irrespective of their social status or age. All aspects of life is based on it, and that is why the people do not react happily to any tampering with its price. With a high currency exchange rate that has triggered inflation and put private businesses at risk, the removal of fuel subsidy at this time is nothing but rubbing salt in a putrefying sore. Yet they tell us they understand our pains, our suffering. That is political innuendo – killing us and at the same time patting us at the back. Ironically, some of the staunch opponents of the fuel subsidy withdrawal by Jonathan administration are the leaders of the party in power today and supporters of President Muhammadu Buhari, who has unleashed this latest torment on us. Bola Tinubu, a leader of APC, had on January 10, 2012, accused the Goodluck Jonathan’s presidency of shirking its social contract with the people by suddenly removing fuel subsidy. He went on to opine “if subsidy must be removed at all, it must never be at one fell swoop. Rather it must be on calibrated phrases, on which the promised gains are measured and confirmed before moving to the next phase of removal”. Now, they did it in one fell swoop. Pastor Tunde Bakare, a friend and former presidential running mate to Buhari was the leader of Save Nigeria Group, the socio-political protest movement against fuel subsidy cut by the last administration. Pastor Bakare is not against total deregulation of fuel price but has some conditions upon which it can be acceptable. “Time has come for the citizens of this country to hold the

government accountable and demand the prosecution of those bleeding our nation to death. Until this government downsizes, cuts down its profligacy and leads by example in modesty and moderation, the poor people of this country will not and must not subsidise the excesses of the oil sector fat cats and the immorality cum fiscal scandal of the selfcentred and indulgent lifestyles of those in government”, he said to his congregation on January 15, 2012. If selective fight against corruption and a 26,000 British Pounds yearly college fee for a daughter are evidences of meeting those conditions, pastor Bakare should rejoice in self-adulation. In Bola Tinubu’s argument against subsidy removal in 2012, he said; “First government needs to clean up and throw away the salad of corruption in the NNPC, Nigerian National Petroleum Corporation. Then, proceed to lay the foundation for a mass transit system in the railways and road network with long term bonds and,”he added, “fully develop the energy sector towards revitalising Nigeria’s economy and easing the burden any subsidy removal may have on the people.” One wonders whether these conditions have been met before the present government, in which he is a key player, decided to remove the subsidy. President Buhari himself had on October 2011, said; “if anybody says he is subsidising anything, he is a fraud”. Reacting to the statement made by the then president, Dr. Goodluck Jonathan while speaking at the 17th Nigerian Economic Summit (NSE) in Abuja in November 2011, Buhari was said to have “thrown his weight behind the antipeople measure called “subsidy removal” which the then PDP government wanted to force down the throat of Nigerians”. If the president denied that there was subsidy, what then has he removed that pushed up the pump price of fuel to N145 per liter? Continues tomorrow on pg 18 Mr. John , is a research Fellow in Mass communication at the Amity University , India.

Vanguard, MONDAY, MAY 16, 2016 — 35

Investing to Win I

T’S an exciting time for Rahul Colaco. 2015 was a great year for the bottom line of the company which he leads FrieslandCampina Wamco Nigeria’s dairy giant. With the posting of 18.6 billion naira profit, Colaco is convinced that the company’s consistent focus on strategy is bearing fruit and that the dairy company is off to a good start for 2016 on the road to achieving its quite ambitious goals. “Growth is a key part of our business model. And that comes with the combination of a few things which include bringing the goodness of dairy to Nigerians; activation; communications and reaching out. We’ve been working tirelessly with healthcare professionals by providing them with scientific insight into good nutrition. We work with government partners to make milk accessible to schools.

Rahul Colaco MD/CEO, Friesland Campina Wamco euros. With operating offices in 28 countries, the company’s dairy products journeyed their way into more than 100 countries. Explaining how FrieslandCampina WAMCO Nigeria operations fared in comparison with the other countries, Colaco points out that country performances vary depending on the global and local economic and competitor situations. “Overall, 2015 was a good year for FrieslandCampina globally and we gained strengths in our markets in China and South-East

Access to dairy products “We also try to engage with consumers through different channels to make sure that the product is available across the country because we found that there’s still a large part of Nigeria that does not have access to dairy products. And one of our big initiatives is to reach out more directly and make sure that we cover many more outlets especially in the rural areas. To be successful with all these means having to work on the pricing of our products to make them more affordable. These are the factors that helped us to get to where we are. But more importantly, our unfailing focus on quality stands us out as the market leader Colaco explains. The Royal FrieslandCampina is a Dutch dairy co-operative, rated as one of the top 5 dairy companies in the world with annual revenue of 11.4 billion

One of our big initiatives is to reach out more directly and make sure that we cover many more outlets especially in the rural areas

That said, the organization is well on track to its 2020 vision, especially in the area of moving away from pure commodity dairy to more value-added dairy propositions. We did particularly well with specialized nutrition for children across the world and that has continued to grow over the last few years particularly in China and parts of South-East Asia,” he expatiated. Back home in Nigeria where the company announced a turnover of 120.72 billion naira at its 2015 43rd Annual General Meeting, FrieslandCampina WAMCO is known through the Peak Milk brand which was previously manufactured under the name West African Milk Company (WAMCO) about 60 years ago. In 2009, the company which had become Friesland Foods WAMCO yet again changed to Friesland Campina WAMCO through a global merger that the parent company in The Netherlands h a d negotiated. The merger, according to the company, meant that FrieslandCampina is better able to anticipate

Asia where we already have a strong leading presence. Europe was more challenging because they had market weakness and the low milk prices resulted in the challenge we faced in Europe.

BIO BRIEFS Education: IMD (International Institute for Management Development) - Business Programs MBA 2003 – 2003 Graduated with Distinction in Leadership The Institute of Chartered Accountants of India Chartered Accountancy 1993 – 1996 Narsee Monjee College Bachelor of Commerce (B.Com.) 1990 – 1995 Fr Agnels School, Vashi 1987 – 1990 C M Y K

•Rahul Colaco

and respond more dynamically and effectively to the constantly accelerating changes in market conditions, the ongoing liberalization of international markets and increasing competition, both regionally and worldwide. Indeed, the company’s logo represents the FrieslandCampina ambition - to get the most out of milk by producing food, drinks and nutrients that help people move forward in life. The pure white centre radiates a spectrum of colors which represent the endless possibilities of milk! Since the merger, driving the Peak brand more proactively has been a major priority. For over 60 years, Peak Milk has remained the flagship of Nigeria’s evaporated milk brands and to this day, the milk brand seems to have retained its relevance and essentialism on the shelf.

Further growth opportunities Reflecting on the Peak brand and its accomplishment, Colaco notes: “At 60, we don’t believe Peak Milk is grown up yet. We would like to believe that the brand is 60 years young and that there are still further growth opportunities for the product in Nigeria. We also think that Nigerians should drink more milk because in terms of dairy consumption per capita; we have a long way to go and that’s why we’ve been introducing innovations and activations as a way to engage with consumers more than before”. One of the challenges FrieslandCampina Wamco finds operating in the Nigerian dairy industry is low dairy consumption by Nigerians. As more of the rise in world GDP shifts to the developing world, there has been a simultaneous increase in the consumption of dairy. From 2010 to 2015, the biggest dairy consumers were China, US, Brazil, Russia, India, Germany, France and Canada. And there is truly a striking correlation between income per capita and dairy product consumption in those countries where purchasing power growth has a strong

impact on diet, as far as food represents main household spending. However in Nigeria, Colaco concedes that the consumption of dairy products per capita per year was only 15 liters: “One of the challenges is that dairy consumption is not naturally embedded in the culture of Nigeria. Unlike what you find in some European countries where the per capita dairy consumption is 150 liters a year. And because we’ve been able to find out that the challenge is a little bit more of a lifestyle thing we’ve been working to make sure that we get through to the Nigerian consumers even more and find a way to integrate dairy into their daily lifestyles here. “That’s exactly what we’ve been trying to do with our different products and propositions. We are also introducing consumers to different usage habit and that’s one of the big thrust of the new Peak campaign where we positioned the brand as not just being best for use with tea and coffee but also for other needs and occasions and potentially, even cooking. We’ll be extending the range because it’s about understanding the consumer perspective and making our products relevant to the consumer need,” he stressed. Rahul Colaco has been the managing director of FrieslandCampina WAMCO Nigeria PLC since January 2015. His 18-year sojourn in the FMCG industry has seen him cover general management, marketing, supply chain and finance in developed and emerging markets.

Emerging markets Starting off with KPMG as an auditor before joining Unilever, he’s worked in India, Italy, and The Netherlands; the latter two in regional roles covering Western and Eastern Europe for Unilever. In 2010, he was appointed FrieslandCampina marketing director in Malaysia (Dutch Lady Milk Industries). Two years later, he was stepped up to become managing director, heading Malaysia’s biggest dairy company. Since taking up these roles, Colaco finds the Fast Moving-Consumer Goods (FMCG) industry very exciting and one characterized by constant change. And the change inherent in his industry has kept him at the cutting edge of industry issues particularly as it concerns competition. “We believe competition is good because I agree with the free market philosophy especially in the dairy segment. And given the several challenges in the industry, we think that there should be more companies like us talking about the goodness of dairy. We also think that in a market of over 170 million consumers, there’s enough space for quite some competition and so, we welcome competition because it helps to ensure that we’re still 60 years young and don’t become complacent,” he said

36—Vanguard, MONDAY, May 16, 2016

Herdsmen attack another Benue village, kill 12 Ndubueze Samuel Everybody is calling for the destruction of Niger Delta Avengers and nobody is talking about the destruction of Fulani Herdsmen because Fulani Herdsmen are killing human beings while Niger Delta Avengers are destroying oil pipelines. To Nigeria government, oil is more valuable than human lives. Ik Clienton They re not just Nigerian but combination of many Arabs who wander about with their cattle but the fact is that the terrorist use this cattle rearing to cover up their personality and evil Bokeem The president has giving order behind the doors to deal and fish out the perpetrators after Enugu attack but no person has been arrested. This is really amazing. If this people think they can just kill and get away with it without any help from Government it means conflict is looming. Dialoke Chinedu Revenge is not an exclusive preserve of the Fulanis. It is a well known technique in guerilla warfare. But if other tribes begin to unleash this arsenal against the Nomadic Fulanis,it will be something else. Cheky Pipelines (oil) are not more precious than human lives. Nigerian army should confront these Fulani herdsmen if the police is not capable of handling them.

•Buhari

•Niger Delta Avengers

Who are the Niger Delta Avengers? Menyinnah Revenge actions crippling Nigeria’s economy from Niger Delta Avengers in South South in 2016 , just as it crippled the same country from 2009 till presently by north East Boko Haram and Fulani Herdsmen of 2016 from North central. So it’s so unfortunate that Nigeria is suffering from tribal reactions on issues of marginalization at the center in the presence of weak security systems. Naija_conscience The avengers have genuine and well articulated demands that will move Nigeria forward. Buhari should commence implementation. Salawu Oyetunji

The boys called Niger Delta Avenger militants are not good citizen of Nigeria. Why should you take arms against your people. Ver uncivilised

Olivia Ogboloma God created you and gave us the will power to make choice. We are not robots . Therefore, we are inexcusable for the

outcome of our choices MachKalishnikov How many Muslim men will or would have given out their

N-DELTA OIL INSTALLATIONS BOMBINGS:

Military captures five suspected Avengers’ militants

Nijanackedwire As usual,innocent people are the ones to pay for all these.We all know how our security agencies work here in Nigeria, culprits will escape and then they arrest

whoever they find close by and then no one will ever hear from them again whether they are actually the suspects or not. Wilberforce Dont use force on militants it wll bringdown ur govt instead use matured wisdom to arrest d situation .there are many ways to bring this guys to order but not by using force it wll be worsting d situation.. Those guys are easy to have dialogue wth d govt than boko haram.

TRENDING ISSUES ON TWITTER Atiku Abubakar @atiku Emphatic win from the @Arsenal. Extra bonus of finishing above our rivals Tottenham. #smile

85% increase in fuel price, 45% increase in electric bill, 70% increase in food cost yet we’re here insulting each other over wailer/hailer!

UN Refugee Agency @Refugees Doctors told Syrian refugee Wisam that she’d never walk again – she’s proving them wrong

Akinwunmi Ambode @AkinwunmiAmbode Yesterday, I ordered that the bad portion of Oshodi-Apapa Expressway be fixed immediately.

Reno Omokri @renoomokri C M Y K

before attacking active pipelines. For the government , I think it is high time we revert to fiscal federalism where Niger delta people operate the fields themselves.

How my bishop-father endorsed my marriage to Muslim-husband — OLUFUNSO AMOSUN

Nwaoruji Soldiers should not arrest innocent Nigerians. Its true that Niger Delta people are in hell for the environmental pollution caused by these oil companies but bombing is not the best. Avengers should refrain from their steps.

•Fulani hersdmen

18keslerGeorge6 Chiemele The avengers are largely educated. We want to plead with them to at least notify the oil companies or issue ultimatum where possible

Kanu Nwankwo @papilokanu Watching Arsenal last game against villa with my wifey.Enjoyed every moment and seeing the supporters happy #coyg Reno Omokri @renoomokri Whether you are a hailer or wailer, ask yourself, how much was your electric bill on May 29, 2015. How much is it today? Has power improved?

daughters to a Christian man? Most of you are Church goers. You only go to Church for fashion parade . Muslims are always more serious and devoted to their faith than we Christians. It is an abomination in Islam for a Muslim man to give out his daughter to a Christian. Shame to some of you claiming to be Christians. KE-DEN Keu4Success She is married to a Yoruba Muslim, which is quasi normal thing in Yoruba land..because religion in Yoruba land is seen as social club,unlike in the North or East where its more of cultural and traditional. Abbeyboy KE-DEN Religion cannot be a bedrock of family foundation. If it is, then do not blame Boko Haram, ISIS,Jews Buddhist and voodoo worshippers. Religion is your personal conviction and relationship with your God. Religion is Belleville and faith. It defines your behaviours and relationship with your neighbours. Ikenna Adikwu KE-DEN Religion is totally useless to human living. It is something people created to belong. God has done his work by creating you and doesn’t demand any worship from you.

Vanguard, MONDAY, MAY 16, 2016—37

LEISURE

YOUR LUCK TODAY By Joshua Adeyemo Phone 08056180139 LIBRA: Pressure that came your way suddenly will give way unexpectedly, today, to the betterment of your course. The more financially ambitious you are today, the better for you. Be steadfast. SCORPIO: You sincerely believe in intelligent argument or discussion. And if you allow your ability to be diplomatic come to play today, you’ll be better for it. Enjoy your love life. SAGITTARIUS: You’ll tend to become both creative and persuasive to the administration of others. Then those who’ve been resisting secret love may slip suddenly and become excited. CAPRICORN: Even if opposition persists, supports you are getting from the influential people will be enough to see you through. Yet, the more cooperative you are the better. AQUARIUS: Your creativity quotient within your working arena will today be enhanced. You’ll be blamed if you keep official issues secrets from your challenges at work.

THOUGHT FOR TODAY

By Richard Eromosele

lady recently said to me - This weather is just not friendly. The sun is too much. Let the sun subside before I do it. And I looked at her and said, ‘Supposing it starts raining

The Weather now, what will you do?’ The truth is that the weather has never been friendly. Of course, it is not the business of the weather to be friendly to you. But

TERROR MUDA

your duty is to do everything within your power to be able to use the weather as it is. Tell me, have you ever seen a perfect weather? Whether rain or sun, people

in “Never say goodbye”

have always complained. Yet, some people are making fortune from it, rain or sunshine. You too must do the same. For he that must succeed does not need to look at the weather.

By Kola Fayemi

PISCES: After a few tension soaked days, you’ll have the needed opportunity to look through windows of the world and have your way as well. Magnetic and/or magic days is predicted for lovers today. ARIES: Even if you continue to work under pressure via increased workload, you will have good results to show for your efforts today. Be steadfast. TAURUS: Promise made to genuine personalities should be kept if not because of today but for better tomorrow. Be reasonable and clean. GEMINI: Those of you willing to let go hard feelings at work are for a progressive day to the betterment of your finances. Let go yesterday, move ahead. CANCER: Once again, you’ll have the needed opportunity to assert yourself to the administration of others. Both love and financial success can be yours with efforts. Reason with your tried and trusted friends. LEO: You can make it a successful day with positive approach on your part. You will be in a better position to defuse tension within your working arena. Try to be more ambitious.

KAPTAIN AFRIKA

“Pretty Lunatic’

By Andy Akman

VIRGO; Yes! You’re not scared a bit even, when opposition and/or competition come your way but, if you give in to diplomatic approach, you’ll fare better today.

ASTROLOGICAL COUNSELLING Send yyour our dat th ttoo the As tr ological datee and place of bir birth Astr trological Counselling, PP.M.B .M.B 1100 00 7, Apapa, Lagos 007,

What’s my horoscope? Dear Joshua, Kindly tell me how the planets lined up when I was born and the day of the week I was born but don’t publish my date of birth.. Please tell me my full horoscope Anonymous, Nigeria. Dear Anonymous, You were born on a Sunday. YOUR HOROSCOPE DATA Day of Birth = Sunday Sun Sign = Scorpio. Sun in Zero Degree of Scorpio Moon Sign = Libra: Moon in 5th Degree of Libra Mercury in 12th Degree of Scorpio Venus in Zero Degree of Sagittarius Mars in 1st Degree of Aquarius Jupiter in 29th Degree of Cancer Saturn in 10th Degree of Scorpio Uranus in 27th Degree of Cancer Neptune in 25th Degree of Libra Pluto in 26th Degree of Leo North Node in 8th Degree of Capricorn South Node in 8th Degree of Cancer No planet in earth spar sign, one in available, two in fire, three in air, four in cardinal, fixed and water star signs hosted five planets each. PHYSICAL INFLUENCE = 50% NON-PHYSICAL INFLUENCE =50% PLANET AT HOME = NONE ANALYSIS OF THE HOROSCOPE DATA You are both an intelligent and emotional person. And as there was planet at home when you were born, too many ideas will always struggle for prominent place in your mind, thus decision making is difficult but most times, your intelligence comes to the rescue. Certainly, you appear to other as a gentle person who can be mistaken for soft fellow but your inner-self is the personality with a steel like will power. You are the consistent type who may find it difficult to change once you have made up your mind as indicated by distribution of the planets as written out in paragraph two of this exercise. One major challenge you have been battling for a very long time is constant worries, some times, necessarily and the other time, uncalled for, as indicated by conjunction Mercury and Saturn formed when you were born. Placement of your natal Sun (basic self head) and Moon (your sub-conscious self) in Scorpio and Libra respectively are indications of your being mainly Scorpio born person and partly in Libran. And that is to say basic characteristics of both Scorpio and Libra are highly pronounced in you. Then, you are spiritually gifted; if you don’t develop it is another thing.

VIRGINIA

HOME & ABROAD

dadadekola@yahoo.com

By Lawrence Akapa

38— VANGUARD, MONDAY, MAY 16, 2016

NELSON MANDELA: CIA tip-off led to 1962 Durban arrest

ELSON Mandela’s arrest in 1962 came as a result of a tip-off from an agent of the US Central Intelligence Agency (CIA), a report says. The revelations, made in the Sunday Times newspaper, are based on an interview with ex-CIA agent Donald Rickard shortly before he died. •Israeli Prime Minister Benjamin Netanyahu (L) shakes hands with French Mr Mandela served 27 Foreign Minister Jean-Marc Ayrault yesterday during a meeting at the Prime years in jail for resisting Minister’s office in Jerusalem. white minority rule before being released in 1990. He was subsequently elected as South Africa’s first black president. The interview appears to confirm long-held suicide bomber explosive belt. out, al Qaeda militants suspicions that Mr killed at least 25 It said around 40 died took advantage of more Mandela was being new recruits inside a in the attack. than a year of war trailed by the CIA, says police compound in the The city ’s security between the Iran-allied the BBC’s Karen Allen in southern Yemeni city of director, Mubarak al- Houthis and supporters Johannesburg. Mukalla yesterday in an Awthaban, who was at a of the Saudi-backed It is expected to put •Nelson Mandela attack claimed by Islamic nearby office when the President Abd-Rabbu pressure on the CIA to State, medical and suicide bomber struck the Mansour Hadi to carve release documents about with the CIA but worked rebel, the Sunday Times security sources said. Fowa camp in the out a mini-state stretching its involvement in Mr as a diplomat in South said. The victims were southern part of Mukalla, across much of the Mandela’s arrest and Africa before retiring in The future president led queuing up to register survived, security sources southern coast, including support for the apartheid the late 70s. the armed resistance when the bomb, which said. Before being forced Mukalla. The interview was movement of the banned government, although it wounded 25 others, went National has resisted previous calls conducted by British film African off, the sources said. director John Irvin, who Congress (ANC), and was for their disclosure. It was the second Mr Rickard, who died has made a film, one of the most wanted deadly blast in four days earlier this year, was Mandela’s Gun, about his men in South Africa at the to hit the city, a hub for al brief career as an armed time of his arrest. HE French foreign international meeting in May never formally associated Qaeda before the militant minister met with of 20 countries, including group was pushed out last month in an offensive by Israeli and Palestinian Egypt, Saudi Arabia and Yemeni troops backed by leaders yesterday and said Jordan, to discuss the peace that the upcoming Paris process. Israel and the a Saudi-led coalition. Boko Haram, which has In a message on its summit aimed at restarting Palestinians have not been been waging a seven-year online news agency peace talks will proceed, invited. French Foreign Minister insurgency in northern Amaq, Islamic State said despite Israeli objections that Jean-Marc Ayrault met with direct negotiations are the Nigeria, last year pledged Sunday’s attacker was a Israeli Prime Minister loyalty to Islamic State. “martrydom-seeker” who only way forward. Paris is to host an Benjamin Netanyahu and Little is known about the had detonated his Palestinian President extent of cooperation. But Mahmoud Abbas during his Western officials worry that one-day visit Sunday. Islamic State’s growing “We must demonstrate that presence in North Africa thepaththatweareproposing and ties with Boko Haram will be the one that will allow could herald a push south for an exit out of the extremely •A man holds a sign that reads ‘’Stop Boko Haram’’ at into the Sahel region and HINA has lack of transparency, serious situation, the impasse condemned the U.S. “deliberately distorted” which we find ourselves in. I a rally to support Chadian troops heading to Cameroon create a springboard for to fight Boko Haram wider attacks. Defense Department’s Chinese defense policies explained to him Islamic State first seized and “unfairly” depicted annual report on the Chinese (Netanyahu) what that OKO Haram jihadists extremist group gain a parts of Syria and Iraq but military calling it deliberate Chinese activities in the East means,” Ayrault said. are likely to step up stronger foothold in Libya, later built up a foothold in distortion that has “severely and South. cooperation with Islamic a senior British official Libya, exploiting a security damaged” mutual trust. State should the latter said yesterday vacuum. In its annual report to Congress on Chinese Egypt jails 51 for protesting against Saudi islands deal military activities, the U.S. Defense Department said on EVENTEEN women GYPT has sentenced 51 sparked a backlash among Saudi Arabia’s King Friday that China is who have served as people to two years many Egyptians. expected to add substantial ministers in France say they Salman, during which the military infrastructure, will no longer be silent each in prison for protesting It was made by Egyptian Saudi king announced including communications about sexual harassment in against a decision last president Abdul Fattah al- plans for aid and and surveillance systems, to politics. month to cede two Red Sea Sisi during a rare visit by investment in Egypt. artificial islands in the South islands to Saudi Arabia. All 17 signatories to the China Sea this year. There were 33 defendants U N experts accuse Congo general of declaration are current or China’s Defense Ministry present in the Cairo aiding attacks on civilians spokesman Yang Yujun former ministers. courtroom to hear the Congolese general Council. A panel of U.N. Among them is Christine expressed “strong verdicts, while the rest were recruited,financedand experts,whomonitorsanctions dissatisfaction” and “firm Lagarde, the head of the out on bail. armed elementsofaUgandan on Democratic Republic of opposition” to the Pentagon International Monetary Family and friends of the Islamist group to kill civilians Congo, said “it has become Fund and France’s former IMF managing director report and said it has Christine Lagarde was one defendants cried in shock while he was in charge of a clearthatFARDC(Congolese finance minister. “severely damaged mutual of the 17 women who outside the courthouse, militaryoperationtargetingthe army)officerswereinvolvedin On Monday, the deputy signed the declaration trust”, state news agency reports said. rebels, according to a recruiting and supplying speaker of the National Xinhua reported. The decision to hand over confidential report to the armed groups involved in the harassment claims, which Assembly, Denis Baupin, The report “hyped up” the islands to Saudi Arabia United Nations Security killings (of civilians).” he denies. resigned over sexual China’s military threat and

IS Yemen suicide bomber kills 25 police recruits A

Paris peace summit to proceed despite Israeli concerns

Boko Haram to increase cooperation if Islamic State boosts Libya presence— UK

Beijing blasts Pentagon report on Chinese military as damaging trust

French female ministers decry sexual harassment

Vanguard, MONDAY, MAY 16, 2016—39

C M Y K

40—Vanguard, MONDAY MONDAY, MAY 16, 2016

They said the Uruebo youths in turn, executed a Deed of Conveyance in respect of the said plots of land in favour of the Awgbu youths. In a reaction, the chairman of Uruebo community, Mr. Charles Obimma told newsmen at the Obi Uruebo (village secretariat) that in the first place, Uruebo village does not have any youth organisation (surveillance committee or Umuofia) because the state government banned youth organisations in all the villages and communities in the state some years ago. Obimma said there is no land dispute in the area, except that they have some youths who have refused to engage themselves in any meaningful source of livelihood and who in collaboration with some criminals from other towns in the state recently used their forest for kidnapping activities.

Youths protesting arrest and trial of some of their members

Outstanding balance

Kidnapping of villagers:

Community elders react •Police swing into action By Nwabueze Okonkwo, Onitsha

HE arrest of five youths from Uruebo village, Nkwelle-Ezunaka in Oyi Local Government Area of Anambra State on Tuesday, March 29, 2016, by men of the Special AntiRobbery Squad, SARS, Awkuzu, Anambra State Police Command and their arraignment before an Nteje Chief Magistrate court on Friday, April 1, 2016 for alleged kidnap have continued to engender palpable tension in the area.

Charge of conspiracy The police had arrested and arraigned the suspects: Obinna Oduche, Vincent Obi Anyakorah, Okezie Morah, Chukwuebuka Okoye and Paschal Nweke and others still at large, before the Chief Magistrate Court on a 14-count charge of conspiracy, unlawful possession of fire arms, kidnapping and ransom taking. Their arrests followed a petition from some citizens of the area, including Godwin Okoye, Izunna Edogwogwu, Francis Onwuzulike and Barthlomew Obimma alleging that the suspects, armed with dangerous weapons, kidnapped them and collected the sums of N3,700, N66,000, N56,000 and N160,000 respectively from their (victims’) families as ransom before they could be released. The police prosecution counsel had told the court that the accused persons and others still at large had on March 20, 2016 at a bush within the village, C M Y K

allegedly kidnapped the victims and collected the ransoms before releasing them. But counsel to the defendants, Sylvester Ezeokenwa who appeared with Humphrey Udechukwu and Onugbogu, drew the attention of the court to a subsisting interim injunction made by Justice Amaechina of Otuocha High Court on March 17 restraining the InspectorGeneral of Police, IGP and his

were not arrested and arraigned before the court on the basis of a petition by Mr. Charles Obimmaled executive committee, rather on a criminal offence of kidnapping which they committed against the above mentioned complainants. In his ruling, the presiding Chief Magistrate, Mr. Chukwuma Ibemesi, after hearing the argument of both parties, overruled the defence lawyers, saying that he had carefully reviewed all the authorities cited by counsel to both sides and became convinced that the preliminary objection cannot stop the Police from performing its constitutional duties of arresting, investigating and prosecuting of crimes.

The truth is that there are some of our children who Kidnap could neither go to charge school nor learn a The court therefore ordered that the accused persons be trade and their remanded in Onitsha prison joblessness and custody, while the witnesses lack of knowledge would be bounded over in the of N40,000 each. of any trade pushed sum Against this background, some them into of the aggrieved youths, under the aegis of Umuofia Uruebo kidnapping subordinates from arresting the suspects. The defence counsel therefore insisted that the Magistrate Court should not allow the prosecution to arraign the defendants based on the earlier High Court order which the police flouted and went ahead to arrest and arraign them on charges of kidnapping. But the prosecution counsel maintained that the suspects

Surveillance Committee staged a demonstration near Nwafor Orizu College of Education, Nsugbe, NOCEN few days after the remand of five of their members in the prison custody over the kidnap charge. During the demonstration, the protesters carried placards with inscriptions: “Our brothers should be released from the prison custody”, “We demand immediate stoppage of further arrests of our members by SARS”, “The leaders of tomorrow

say no to intimidation”. Spokesman of the youths, Anthony Okafor, told newsmen during the protest that their main grouse was that their members were arrested, arraigned and remanded in the prison custody, in spite of a subsisting order of a High Court. Also in a petition to the IGP, dated April 20, 2016, the youths, through their legal counsel, S. C. Onyendilefu recalled that some time in April 2014, some executive members of Awgbu Youths Association led by its Chairman, Mr. Chinedu Akwuaku approached them for the sale of some plots of land situated at Ugwuagu/Oduela land, Uruebo village, Nkwelle-Ezunaka. They contended that after series of negotiations between the executive members of the above-named association, they (the petitioners) agreed to the transfer of approximately 100 plots of land to the Awgbu Youths for a sum agreed between the parties, adding that in furtherance of this agreement, the Awgbu Youth Association paid the sum of N6 million to the Uruebo Youths Association with an outstanding balance to be paid at a future date.

Flanked by the secretary of the village, Innocent Okoye and some elders of the village, Obimma noted that the village had from time immemorial adopted a sharing formula of their lands based on one-man, one-plot, adding that they had shared the first phase of their land on that basis and are currently preparing for the sharing of the second phase. “The truth is that there are some of our children who could neither go to school nor learn a trade and their joblessness and lack of knowledge of any trade pushed them into kidnapping,” Obimma stated. The elders of the village, including the oldest man, Stephen Odikpo Agwuchi (Ichie Akukalia), Chief Paul Onwuzulike (Ezeani / Traditional Head), Ogbuefi Abel Okafor (Etusionu) and Ogbuefi Francis Edogwogwu (Ide), described the youths as trouble makers who go about terrorising the people, warning that they should stop initiating people into cultism . The elders unanimously stated that the village has a land use planning committee, stressing that all issues concerning Uruebo land are handled by the committee and not Mr. Obimma.

*The elders addressing news men on the matter

Vanguard, MONDAY, MAY 16, 2016—41

6-month exclusive breast-feeding'll save 800,000 children— EXPERT By Suzan Edeh & Gabriel Olawale

AUCHI—SIX months of exclusive breast-feeding will save 800,000 under-five children from childhood killer diseases, an expert has said. Speaking at a two-day training for media champions, organised by the Civil Society Legislative

Advocacy Centre, CISLAC, in collaboration with Partnership for Advocacy in Child and Family Health, PACFaH, in Kaduna, the Programme Officer PSN, Abuja office, David Akpotor, said saving 800,000 through breastfeeding will amount to 12 percent drop in child mortality in the country.

Akpotor explained that the training, which was attended by 15 media organisations, was aimed at advocating and demanding accountability in child and family health issues across PACFaH focal states of Bauchi, Sokoto, Kano, Kaduna, Nasarawa, Lagos, Oyo and Abuja. According to him, the most

recent Nigerian Demographic Health Survey, NDHS, showed that 128 children, in every 1,000 birth, die before their fifth birthday. He said pneumonia and diarrhoea accounted for 14 percent and nine percent of under-five mortality rate in the country, respectively.

NORH-WEST AGRIC PLAN: From left— Governor Aminu Tambuwal of Sokoto State, Governor Abdullahi Ganduje of Kano State, Governor Aminu Masari of Katsina State and Governor Nasir el-Rufai of Kaduna State at a meeting on agriculture action plan for the North-West in Kaduna.

Tambuwal preaches collaboration, as North-West govs meet on agric devt G

OVERNOR Aminu Tambuwal of Sokoto State, weekend, said collaboration among all stakeholders and regional integration were key ingredients for the expansion and sustenance of agricultural activities in the North-West geopolitical zone of the country. Speaking during a high level meeting of the governors of the region on agriculture action plan in Kaduna State, Tambuwal said working together will ensure access to finance and improvement of infrastructure that will support the sector. The meeting, coordinated by the Usman Bugaje-led Arewa Research and Development Project, ARDP, had presentations from Central Bank of Nigeria, CBN; Bank of Industry, BoI; Bank of Agriculture; Sassakawa Global 2000 and the Nigerian Export and Import Bank. Tambuwal said the North-West had comperative advantage in key areas and will seek to exploit it for the development of the region and its people. The governor said: “In Sokoto, we have advantage with cash crops like wheat, rice, tomato and onions. Others have such advantages with crops like ginger, cotton, maize and other cereal crops. “So when we tap all these resources, pool investment and promote avenues of access to finance, the sector will be transformed and its real value will come to the fore.” Other governors at the meeting were Aminu Masari, Katsina; Atiku Bagudu, Kebbi; C M Y K

Abubakar Badaru, Jigawa; Abdullahi Ganduje, Kano; the host, Nasir El-Rufai, Kaduna,

and the Deputy Governor of Zamfara, Ibrahim Wakkala. Commissioners for agricul-

ture, permanent secretaries and directors of agricultural services also attended.

Buhari's wife advocates improved healthcare for women, children By Peter Duru

AKURDI—WIFE of the President, Hajia Aisha Buhari, has called for an improved healthcare delivery service for women and children to engender sustainable socio-economic growth. According to her, being the bedrock of every society, the health of women and children should be of utmost concern to government at all levels and every Nigerian. Mrs. Buhari, who spoke, weekend, at the unveiling of the Eunice Spring of Life Foundation, ESPLF, a pet

project of the wife of Benue State Governor, Dr. Eunice Ortom, noted that as those that brought forth new lives, issues concerning women and children should not be treated with levity. Represented by the wife of Speaker of the House of Representatives, Mrs Gimbia Dogara, she commended the initiator of the programme and assured of her readiness to support the drive to take healthcare delivery to the doorsteps of every woman in the state. Earlier, Mrs Ortom said the project would be anchored on five major pillars: life,

agriculture, health, education, youth and women empowerment. Mrs. Ortom, who recalled how she lost her mother to cancer, said the health aspect of the project would undertake the establishment of a cancer diagnosis centre and clinics for pregnant women in the 23 local government areas of the state. The occasion was witnessed by wives of governors from Bauchi, Plateau, Kogi, Nasarawa, Niger and Zamfara, Senators George Akume, Barnabas Gemade and others.

Niger monarchs seek end to illegal mining By Wole Mosadomi

I N N A — TRADITIONAL rulers in Niger State have called for stringent laws to deal with illegal miners and those involved in illegal felling of trees in the state. The emirs of Minna, Alhaji Farouk Bahago and that of Lapai, Alhaji Yusuf Nuhu, who spoke in Minna and Lapai, respectively, noted that despite the campaign against this

menace launched by government across the country, especially in Niger State, the illegality had continued unabated. They spoke when Commissioner for Environment, Mineral and Forestry Resources, Ali Mohammed, visited them at their palaces where he lamented the continuous mining and felling of trees illegally. He said he was in their palaces as part of efforts to

sensitise the people on environmental degradation and to seek for support in the war against these illegalities. The Emir of Minna, Alhaji Bahago, while calling on the people to desist from illegal activities, said he was ready to support the policy to ensure strict adherence. Similarly, Emir of Agaie, Alhaji Nuhu, said there was the urgent need for illegal operators to stop felling economic trees for charcoal.

UNILORIN partners US firm on 500Mw solar project By Demola Akinyemi

L O R I N — UNIVERSITY of Ilorin, UNILORIN, has entered into a partnership with a United States of America, USA-based organisation, Arrow Capital, to construct 500 megawatts solar energy project to boost power supply to Kwara, Kano and Lagos states. The project, to be sited at the university, is expected to cost $2.3 million (N600 billion) and would be completed within the next six months. It was gathered that in the agreement, out of the 500Mw, the university environment and, indeed, the whole of Kwara State would need only four megawatts. Vanguard also learned that the remaining megawatts would be sold to Kano and Lagos states and indeed other parts of the country that would be interested, to ensure uninterrupted power supply in the concerned areas.

... ordered to settle N970m tax liability By Demola Akinyemi

LORIN—AN Ilorin High Court has ordered the University of Ilorin to settle its outstanding tax liability of N970 million to Kwara State Internal Revenue Service, KWIIRS. The presiding judge, Justice Bayo Yusuf, gave this ruling on Friday, May 13 at the state High Court. According to him, the application for stay of execution by the applicant (UNILORIN) on the judgment earlier given in favour of claimant (KWIRS) was not valid and is now subsequently dismissed by the court. Reading his ruling, Justice Yusuf ordered that the university, being the judgment debtor, to pay N100 million on or before May 31 and N50 million monthly until the N970 million was liquidated. He added that interest accrued on the liabilities should be paid as well.

42—VANGUARD, MONDAY, MAY 16, 2016

Buhari’s change must come with pain — ETIEBET POLITICIAN, businessman and statesman, Chief Don Etiebet, was an early enthusiast for democracy who memorably established the National Centre Party of Nigeria, NCPN, in those difficult days of General Sanni Abacha, when the democratic space was saturated with the foul odour of regimented politics. He had left his position as minister of petroleum in the Abacha regime to give life to an alternative voice to the cacophony of political wanderers championing Abacha’s transmutation into a civilian president. His independence was, however, brought under check after a spell in detention at the end of which the former minister abandoned his NCPN and his famed presidential aspiration to join the United Nigeria Centre Party, UNCP, one of the supposedly leprous five parties advocating Abacha’s continued rule. At the advent of the Fourth Republic, he was a leading member of the Peoples Democratic Party, PDP, but subsequently relocated to the United Nigeria Peoples Party, UNPP, following disagreements in the PDP. Etiebet in 2002 led members of the UNPP to a merger with the then All Peoples Party, APP, a process that gave birth to the All Nigeria Peoples Party, ANPP. Etiebet became the national chairman of the ANPP at the convention while the then political neophyte, Major-General Muhammadu Buhari became the party’s presidential flag bearer. However, mutterings now and then in his native Akwa Ibom State during the Godswill Akpabio administration repeatedly tested the resolve of the former minister. It was as such no surprise that towards the end of the Akpabio regime that Etiebet, though still a member of the PDP, joined with other leaders of the state to oppose the former governor’s succession agenda. In this interview, Etiebet expresses his mind on various national issues ranging from the fight against corruption, President Buhari’s international travels and tours and on recent developments on the pricing regime in the petroleum sector. Excerpts:

By Gbenga Oke

RE you with those Nigerians who claim nothing has changed since the administration of President Muhammadu Buhari came on board about a year ago? I totally disagree that nothing has changed. To me and a lot others with good mind a lot has changed. We have been internationally respected with a good face. The atmosphere to be disciplined, to be responsible, to be accountable, to be result oriented, to be innovative and creative has been created.

Beginning of wisdom That’s the atmosphere you need for development and good governance. Today, the fear of PMB is the beginning of wisdom. Of course, you don’t expect people to like that or accept that overnight having been used to ‘carry go syndrome’ with impunity. Mind you, change means dislocation, means departure, means uncertainty and as

human beings it takes time to adapt and adjust and so you may hear of stimulus induced complaints. Naturally there must be a period of transition filled with pain. But with a sincerity of purpose as exhibited by President Muhammed Buhari, this transition period of seeming agony will soon turn into a lasting period of ecstasy and fulfilment. Some Nigerians have also criticised the president’s travels and tours as jamborees. Do you agree? I am sorry to say that those saying that are talking bunkum, not knowing what they are saying and may be inspired by selfish intentions. In the first place, I can tell you emphatically based on experience because I travel out of Nigeria a lot, that Nigeria has never received the level of international acceptability, friendliness and respect in the past than it has now. According to the Minister of Foreign Affairs, President Muhammadu Buhari is a ‘good brand’ for Nigeria and our image abroad has changed dramatically

•Etiebet: I totally disagree that nothing has changed

overnight. Nigerians in the Diaspora would testify to this that their faces are more lovable than before. Apart from that

With a sincerity of purpose as exhibited by President Muhammed Buhari, this transition period of seeming agony will soon turn into a lasting period of ecstasy and fulfilment

diplomatic angle, the economic and bilateral achievements from his trips are tremendous both in the short and long term,

particularly in this era of dwindling oil revenue and economic doldrums. Maybe those who stashed our looted funds abroad are not happy that the President has travelled to receive commitments personally from his counterparts to help repatriate those funds. It is being said that this administration is concentrating more energy on anti-Corruption war and has neglected other sectors of the economy. What is your view on that assertion? Oh my God, who is saying that? Do you know what would have happened to our country if President Muhammadu Buhari had not come on board as the President of this country at the time he did? As Father Mbaka said, President Buhari is “a Nigerian Prayer answered”. We would have woken up one morning and seen that Nigeria is broke, is bankrupt and her total foreign exchange gone if the rate of the financial profligacy had gone on the way it was. Starting from curbing certain imports and stopping FX round tripping, to

the implementation of the Single Treasury Account and the prudent management of the scarce foreign exchange to save the Naira, Nigeria would have been plunged into economic disaster if otherwise had been done. Can anybody tell Nigerians how all the three trillion Naira mobbed up into the STA was helping the economy before?

Economic hardship I think it is the AntiCorruption War, when Nigerians wake up every day to hear of all these revelations of billions here, billions there that they carted away and were sharing around like cards on a casino table, being recovered every day, that are keeping them quiet in the face of economic hardship as they trust President Buhari will recover all of them to use in making their lives better. The revelations are mind boggling as they didn’t seem to know the difference between public money in their custody Continues on page 43

VANGUARD, MONDAY, MAY 16, 2016—43

Why Nigerians should support new fuel pricing regime — ETIEBET

•Etiebet: Buhari’s Government is confronting an entrenched platform of endemic corruption

Continues from page 42 and personal money in their pockets. What more do they want him to achieve within this period of one year, knowing that this, President Buhari’s Government is confronting an entrenched platform of endemic corruption that had pervaded all fabrics of Nigerian life and governance whether public or private over the years and any attempt not to be systematic, methodical and thorough in fighting it, according to the rule of law in a democracy, can backfire disastrously.

War against corruption We should all pray that God who brought President Buhari to head this country at this time should continue to abide with him with all the strength and resources to win this war against corruption for us so that Nigeria can now be on the path of development. Can you imagine what the alleged loot of over $250 billion starched away abroad can do for Nigeria if the President recovers them all? Being a former Minister of Petroleum, what do you think

is responsible for the incessant lack of petrol in the country and what do you think can bring a lasting solution to the menace? This is a perennial question on a perennial problem. It’s a matter of management and the will to manage it. I believe President Muhammadu Buhari as the Petroleum Minister has the knowledge, the will and the determination to solve it. You see, this problem of petroleum products scarcity in Nigeria is not a new thing. It started way back in the eighties when the cost of the products was unexplainably and delinquently the lowest in the West African region thereby promoting and encouraging products diversions and smuggling to neighbouring countries. I remember when then General Muhammadu Buhari became Head of State in 1984, one of his first pronouncements to clean up the system was that he would order the Navy to sink all illegal bunkering vessels found in Nigerian waters. When I became Secretary of Petroleum and Mineral Resources in 1993, the raising of petrol price from 70 Kobo to N3 was touted as one of the reasons why the Interim

Government of Chief Enest Shonekan was overthrown. When General Sani Abacha came and the price of crude oil dropped below $12 per barrel and there was need to raise money from somewhere to run the government, it was a tug of war with the NLC, the TUC and the CSOs to raise the pump price of Petrol to N12 per litre.

Curtailing smuggling This was also in an effort to curtail smuggling and diversion of petroleum products, especially petrol(PMS) by trucks to neighbouring countries where it was selling at more than ten times the Nigerian price. My attempt to publish the list of trucks found crossing the borders was so vigorously resisted that it took General Abacha himself to save my neck when I published it and hell was let loose. An attempt to transport petrol by rail was often sabotaged. The negotiations by me with all the unions including NUPENG to allow the increase to N12 per litre brought about the Petroleum Trust Fund.

Secondly, there were the challenges from the Petroleum products importers with all the alleged round tripping without delivering products and the sabotage of the refineries. And from the beginning of 2000 the Niger Delta militancy phenomenon reared it’s head when they openly sabotaged the refineries and the pipelines carrying crude to the refineries or refined products to the depots spread around the country. And the preference by the stakeholders to the distribution of petroleum products by trucks so that Petroleum Equalisation Fund (PEF) to keep prices uniform all over the country would be paid with all its attendant abuses contributed to the problems of petrol availability throughout the country, so much so that distribution and selling of petrol from Surface Tanks and Jerry Cans almost became legal and normal. You see, all those scenarios are still there today and no government in the past had the will to solve them. Then Chief Obasanjo’s government sold the government owned filling stations only to private entrepreneurs and left the Refineries unrepaired and nonoperational, leaving the entrepreneurs to depend on imports only; which they did with glee. Today NNPC is starting to

Let’s give him some time and pray for him because the interest is oily and enormous and as the President he can step on very big toes which he is already doing

build filling stations again. And Foreign Exchange is not all that available for the importers again to import due to the dwindling price of crude oil while their unpaid LC bills are mounting and stock get depleted. President Buhari knows all this and since he was prematurely prevented from solving it from 1984 he has

taken the bull by the horn to be the Petroleum Minister to solve it during his presidency. Let’s give him some time and pray for him because the interest is oily and enormous and as the President he can step on very big toes which he is already doing. With Federal might, APC still seems to be unpopular and finding it difficult to find its feet in the South South. What do you think is responsible for that? No, APC is not finding it difficult to enter the SouthSouth. In fact APC had within that very short time taken over South South because of the corrupt and maladministration that pervaded some of the states in the Region . The truth is that we were violently and murderously rigged out and the recent berserk pronouncements by the Supreme Court on the election petitions which have been severely condemned by all and sundry came to worsen matters. From the current revelations of alleged bribery of Electoral Officers, Security personnel and electoral Monitors in the South-South region you would agree with me that we were rigged out.

Declaration of results I pray for one thing at this time because it is the beginning of all bad governance in Nigeria that President Buhari brings about an election process that will guarante one man/woman one vote and the proper and correct declaration of results emanating from all the due processes of election and not what everybody observed happened in the South South during the last elections. What is your view on the recent deregulation and increase in price of Petroleum? No, I do not call it increase but appropriate pricing. The government in her effort to put things right in this country is addressing those factors that had allowed our refineries to work. And I should beg the unions and CSOs to see that the decision is in fact in the interest of the masses who had been suffering the pangs of this scarcity for too long and paying even higher to support this appropriate price based on the vicissitudes of the situation of which the government has no control of and so cannot be blamed. We should see that the budget is implemented accordingly to cushion the effects of this pricing on the people.

44 — Vanguard, MONDAY, MAY 16, 2016

Iheanacho fires Man City into Champions League K

E L E C H I Iheanacho scored Manchester City ’s solitary goal in Sunday’s 1-1 draw with Swansea in a Barclays English Premier League game decided at the Liberty Stadium. City required at least

a point on the final day of the 2015/16 season at the Liberty Stadium to avoid being upstaged by Manchester United whose game against AFC Bournemouth was abandoned. Iheanacho reacted quickest in the Swansea box to smack home from close range.

The young Nigerian showed impeccable instinct to fire home a loose ball after Sergio Aguero’s shot was spilled onto his path by the Swansea goalkeeper, Kristoffer Nordfeldt. Iheanacho came close to adding a second in the 21st minute but his powerful drive was off

FIFA President, Infantino, to grace Zenith football final

OLLOWING robust and illuminating sessions with the leadership of the Nigeria Football Federation at the 66th FIFA Congress in Mexico City, the president of football’s world governing body, Gianni Infantino, has promised to visit Nigeria in a few weeks. NFF President Amaju Pinnick said at the weekend that during the visit, which date will be communicated in a number of days, the world’s number one football administrator will pay a courtesy call on His Excellency, President Muhammadu Buhari (GCFR), attend the finals of the NFF/ZENITH Bank Future Eagles Championship, have an evening with Corporate Nigeria and also have an interactive session with a horde of African FA Presidents who will also be in Nigeria to receive him. Pinnick said: “The FIFA President says Nigeria is a big country and a massive footballingnationthatshould help with the new FIFA leadership’s drive to truly develop the game. He is excited about our various capacity–buildingandyouth development programs and that is why he is coming to watch the NFF/ZENITH Bank Championship finals. “He sees a lot of potentials and dynamism in the current NFF leadership and says he would love to work with the NFF for the general development of the game.”

was spent. The government had last year released the said fund for the country’s participation for the All Africa Games, the Youth Olympics and the preparation for the Rio Olympics. But the Minister of Youth and Sports, Solomon Dalung had repeatedly claimed that the former Director General of the NSC, Mallam Alhassan Yakmut never briefed him concerning the money, an allegation which Yakmut has vehemently denied. In a statement issued in Abuja at the weekend and signed by the National Director, Sports, NANS, Com-

FAKE explosive device at Old Trafford has led to Manchester United’s final Premier League game of the season being abandoned. Bomb disposal experts carried out a controlled explosionofasuspiciousitem described as an “incredibly lifelike explosive device” by Greater Manchester police. The side’s match against Bournemouth was

Continued from BP

•Quadri

ITTF Premier Lotto Nigeria Open:

Mexico arrives as Nigeria top seeding in men’s doubles

EXICO became the first country to arrive Lagos for the ITTF Premier Lotto Nigeria Open, as France-based duo of Salvador Uribe and Mercedes Madrid touched down aboard an Air France flight in Lagos. Also, Nigeria’s Segun Toriola joined the league of foreign legions that will compete in the $46,000 prize money tournament which serves off on Wednesday at the Molade Okoya-Thomas hall of the Teslim Balogun Stadium. rade Godwin Erheriene, the body said the matter must not be swept under the carpet since the money in question ought to have made it easy for the athletes to prepare for the global fiesta. However, the body pleaded with the government to try and release another for the training of the athletes while it probes into what really happened to the N2.9 billion earlier released. According to the student body, it will be meaningless if Nigeria will send athletes to the games without adequately preparing them to give optimum performance.

In the men’s doubles, Nigeria’s Aruna Quadri and Bode Abiodun have been seeded number one in the men’sdoublesseedingwhile officials from Egypt and Algeria are expected to arrive on Monday May 16 while players from Europe and Africa are also expected in Lagos for the tournament. Meanwhile, 2010 African champion, Sarah Hanffou is expected to partner with Nigeria’s Olufunke Oshonaike in the women’s doubles of the championship. The statement further urged the government to put measure in place to ensure that the fund will not be misappropriated if eventually it decides to release the money which it added is for the good of Nigerian athletes preparing to defend the name of Nigeria in Brazil. “Lack of fund should not continue to be the excuse of sports men and women in our great country Nigeria which is also the giant of Africa. Nevertheless we urge the government to track every amount they want to approve for the training of our athletes to ensure that they get what is their due” the statement concluded.

secretary general of the world body, FIFA president Gianni Infantino has explained why the 54 year old Senegalese got the nod. Still subject to passing an eligibility check, Samoura who will replace acting secretary general Markus Katttner in mid-June, has worked for the United Nations since 1995, when she led UN humanitarian efforts in Chad and Nigeria. According to Infantino, “Fatma is a woman with international experience and vision who has worked on some of the most challenging issues of our time. She has a proven ability to build and lead teams, and improve the way organisations perform.

abandoned after the device was discovered in the stadium’s north-west quadrant. GreaterManchesterpolice announcedinastatementon Twitter: “Bomb disposal experts carried out controlled explosion at Old Trafford on what is described as incredibly lifelike explosive device … Full assessment now concluded and found device wasn’t viable.

Edo FA set for South South tourney

DO state football association says it has concluded plans for a smooth kick off of the South South Champion of Champions soccer tournament which is billed to run from May 18-21 in Benin. Chairman of Edo FA, Frank Ilaboya in a statement made available to the media

FIFA scribe

NAN

Continued from BP

target that time. Eight minutes later, he came close again but just about failed to hit the target. Four minutes before the break, Iheanacho got a ticking off from the match official after he tripped the heels of Angel Rangel. He was eventually substituted in the 72nd minute to a standing ovation from the visiting fans with Samir Nasri taking his place. Iheanacho finished the season on a high, scoring eight Premier League goals with just 12 shots on target. His final goalscoring contribution was also priceless as it gave City the point required to finish in fourth place and seal a place in next season’s Uefa Champions League.

Controlled explosion at Old Trafford after ‘lifelike’ device found

in Lagos said eight teams would be featuring in the maiden edition of the competition which is a gathering of top clubs in the South South zone of the country. He said the Sam Ogbemudia Stadium, Benin and the Ugbowo Campus Stadium of the University of Benin would play host to the matches.

Importantly for FIFA, she also understands that transparency and accountability are at the heart of any well-run and r e s p o n s i b l e organisation,”said Infantino. Responding to her appointment, the Senegalese lady who is making history as the first woman to occupy that position said that she is excited about her new role as it would afford her the opportunity to show the stuff she has in governance and management. “Today is a wonderful day for me, and I am honoured to take on the role of FIFA Secretary General,” said Samoura in an official statement.

“I believe this role is a perfect fit for my skills and experience - strategic, high impact team-building in international settings which I will use to help grow the game of football all over the world. “I also look forward to bringing my experience in governance and compliance to bear on the important reform work that is already under way”, she stressed. Meanwhile one of the three female members currently on the FIFA Council, Moya Dodd from Australia described Samoura’s appointment as an important step towards greater diversity and independent thought.

defeated Julie Heldman 46 years ago. And Americans have not contested a WTA clay-court title since Serena beat her sister Venus in Paris in 2002. Those distant dates serve to underline what a giant of the game the sisters have been although Venus, 35, who lost in the second round here against Timea Babos then stayed on to watch the final, is closer to the end than is her younger sibling. Serena, who made her professional debut in 1995, is – and possibly always will be – the only player, male or female, to win 10 singles slam titles in different decades. It is ludicrous to imagine she will go into a third decade, but she seems determined to stay long enough to overhaul the records of the two players who bar her progress to the summit of her sport.

Margaret Court won 24 majors, and Steffi Graf 22. Williams has 21. If all goes to plan in Paris, she could insinuate herself between those two pillars of the game by retaining her title at Wimbledon, leaving the US Open as another grand staging post in September. After that, serious speculation kicks in. She will be 35 and more vulnerable. It will not be easy. Not only is the women’s game as unpredictable as it has been for many years, with any one of maybe 20 serious contenders capable of winning any of the majors, but there were moments on Sunday when Williams had to battle harder than normal to get into the match. What once came to her easily now is often a chore – understandable, given that she is operating practicallyononegoodknee.

Serena Continued from BP

start to the 2016 season. It was her first title in nine months. On a cloudy Roman Sunday afternoon, her compatriot Madison Keys began brightly, shone for a while then faded under late pressure as Williams reminded us that, at 34, she is still the best player in the women’s game by more than 3,000 ranking points, with plenty more to come. She won 7-6, 6-3 in 1hr 24min. Williams fell short of the calendar slam last year in New York, and she botched the start of her 2016 campaign in Melbourne, so she goes to Roland Garros without the pressure of those expectations, at least. This was the first allAmerican final in Rome since Billie Jean King

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TOP 5: EPL FINAL TABLE TEAM Leicester City Arsenal Tottenham Hotspur Manchester City Southampton

P 38 38 38 38 38

W 23 20 19 19 18

D 12 11 13 9 9

L 3 7 6 10 11

GF 68 65 69 71 59

GA 36 36 35 41 41

PTS 81 71 70 63 63

GD 32 29 34 18 18

Controlled explosion at Old Page 44 Trafford after ‘lifelike’ device found Why I appointed Samoura as FIFA scribe Iheanacho fires Man City into — Infantino

S football buffs around the world wonder the rationale behind FIFA’s appointment of Fatma Samba Diouf Samoura as the new

Champions League Page 44

Continues on Page 44

Serena triumphs in Rome

CHEERS! . . . Kun Aguero (right), celebrates with Kelechi Iheanacho after his goal fired Man City into Champions League.

ERENA Williams returns this week to Paris, her second home, as reigning French Open champion and owner of her fourth Italian Open title, a considerable comfort to her after failing to win two previous finals in an uneven Continues on Page 44

*Serena

NANS urges Buhari to probe N2.9bn Olympic fund By Jude Opara, Abuja

*President Buhari

S Nigerian athletes continue to complain over poor preparations ahead of the Rio 2016 Olym-

TODAY'S PUZZLE

pic Games, the National Association of Nigerian Students (NANS), has urged President Muhammadu Buhari to probe how the N2.9

billion he released to the defunct National Sports Commission (NSC) for the preparations for the Games Continues on Page 44

Arsenal Chelsea Everton Newcastle Southampton Stoke City Swansea Watford West Brom

4 1 3 5 4 2 1 2 1

*Samoura

League 1

Bradford City Millwall Malaga Las Palmas

EPL

Aston Villa Leicester Norwich Tottenham Crystal Palace West Ham Man City Sunderland Liverpool

1 3 4 1 0 1 0 1 1 1 1 2 1

QUICK CROSSWORD

FRIDAY'S ANSWERS

ACROSS 1 Record (4) 4 Mouthful (3) 6 Boulder (4) 8 Posture (6) 9 Modern (6) 10 Rug (3) 12 Liberated (5) 14 Stableman (5) 15 Cheated (5) 18 Ebb (6) 20 Pressed (6) 24 Bet (5) 26 Purloined (5) 28 Unclean (5) 30 Attempt (3) 32 Fight (6) 33 Beast (6) 34 Agitate (4) 35 Males (3) 36 Resound (3)

DOWN 2 Bury (5) 3 Yield (7) 4 Stalk (4) 5 Divide (4) 6 Happen again (5) 7 Forgive (7) 11 Expert (3) 12 Because (3) 13 Defective (3) 16 Church-seat (3) 17 Delve (3) 19 Competitor (7) 21 Colour (3) 22 Aperture (7) 23 Age (3) 25 Tune (3) 27 Subsequently (5) 29 Instruct (5) 30 Side (4) 31 Gape (4)

YESTERDAY'S SOLUTIONS ACROSS: 2 Ghost, 7 Mitre, 8 Strip, Eager, 12 Tot, 13 Sisal, 15 Reputed, Letter, 19 Fan, 20 Decided, 23 Eyed, Deaf, 26 Debated, 30 Lax, 31 Demise, Groaned, 37 Ruler, 38 Dry, 39 Debit, Rebel, 41 Dense, 42 Added.

10 17 25 34 40

DOWN: 1 Pixie, 2 Great, 3 Healed, 4 Seer, 5 Attuned, 6 Cited, 9 Rot, 11 Refined, 13 Sleep, 14 Steed, 16 Pad, 18 Relaxed, 21 Devil, 22 Offer, 24 Delayed, 27 Ban, 28 Deride, 29 Order, 32 Muted, 33 Sense, 35 Orb, 36 Deed.

How to Play Sudoku

lace a number (1-9) in each blank cell. (No line can have two of the same number). Each row (nine lines from left to right), column, (also nine lines from top to bottom) and 3 X 3 block within a bold block (nine blocks) contains number from 1 through 9. This means that no number can appear twice in any block, column or row. No mathematics is involved – no adding, subtraction, division or multiplication, just plain logic and your imagination. Printed and Published by VANGUARD MEDIA LIMITED, Vanguard Avenue, Kirikiri Canal, P.M.B.1007, Apapa. Phone: Newsroom: 018773962. Deputy Editor: 01-4548355. Advert Dept Hotline: 014544821. Abuja Advert Hotline: 09-2921024. E-mail: editor@vanguardngr.com, news@vanguardngr.com, letters@vanguardngr.com. Advert:advertproduction@yahoo.com Website: www.vanguardngr.com (ISSN 0794-652X) Editor: MIDENO BAYAGBON. Phone: 01-7742861, All correspondence to P.M.B. 1007, Apapa Lagos.