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Investigate N30bn Police, Military, others unsettled insurance claims – HoR

Published

5 months ago

November 20, 2024

By Gloria Ikibah

The House of Representatives has resolved to conduct a forensic probe into over N30bn unsettled claims in the group life insurances of the Nigeria Police Force, Head of Service and Ministry of Defence.

The resolution was sequel to the adoption of a motion on, “Breaches and Other Infractions of some Federal Government Institutions on Insurance and Actuarial Matters using forensic auditors” moved by Rep. Sulaiman Gumi, member representing Gummi/Bukkuyum Federal Constituency of Zamfara State, on Wednesday at plenary.

The House noted that the unsettled claims were a result of a lack of owing actuarial valuation, gap analysis, and non-compliance with Section 57 of the Insurance Act, 2023, and Section 4, Subsection 5 of the Pension Reform Act, 2014, among others.

Rep. Gumi noted that while conventional insurance is struggling with outdated insurance laws, there is a dearth of professional loss adjusters and irregular payment of loss adjusters fees, non-remittance of premiums, especially to reinsurers, lack of innovation and inconsistent government policies within the insurance industry.

According to him all these and a lack of cooperation within the insurance industry coupled with poor governance issues in the industry as well as weak regulatory bodies as a result of moribund laws, lead to the failure of many banks, especially microfinance banks.

The lawmaker also identified the failure to collaborate effectively with the Central Bank of Nigeria and the Assets Management Company of Nigeria to secure financial stability in the Nigerian economy and the cumbersome process of failure resolution and reimbursement of depositors, as some of the challenges facing the industry.

He said, “The House is concerned that non-transparency and lack of accountability in insurance practice in Nigeria today have resulted in over N30bn unsettled claims in the group life insurances of the Nigeria Police Force, Head of Service (for Federal Civil Servants), and Ministry of Defence (for the Nigerian Armed Forces) because of no actuarial valuation, no gap analysis, and non-compliance with Section 57 of the Insurance Act, 2023, and Section 4, Subsection 5 of the Pension Reform Act, 2014, among other factors;

“We are aware that over $1bn that should have been retained in Nigeria if all insurance practitioners are given the option of the right of first refusal (insurance being more about risk bearing and sharing) is being taken abroad, which affects the nation’s economy, thereby always weakening our insurance sector and depleting our foreign reserve.

“These breaches and infractions have given rise to excessive cession and retrocession of businesses in breach of the Local Content Act to the extent that 90 per cent of the risks of some Federal Government organisations are placed outside the country.”

Rep. Gumi stated that the effect of this development has led millions of families of the deceased Federal Government’s personnel that are the beneficiaries suffering because they were not paid the entitlement of their breadwinners.

“When paid, in some cases, unallowed deductions are made, thereby shortchanging them.

“The House is worried that the Committee on Insurance and Actuarial Matters letters to the Ministries, Department and Agencies like the Nigerian Ports Authourity, the Nigerian National Petroleum Company Limited, National Emergency Management for either document to enable them oversight or appear before the Committee to address these issues are being treated with ignominy”, he added.

This, he stressed, will soon become the rules rather than the exceptions that will negatively impact the overall oversight functions of the House of Representatives, if not nipped in the bud.

The lawmaker further stated that there are huge unsettled life claims in Nigeria, because the premiums meant for payment were suspected to have been squandered by some insurance companies and a few individuals, and it is only a forensic auditor that will unravel this.

The motion was unanimously by lawmakers and referred to the Committee on Insurance and Actuarial Matters to report back to the House within four weeks for further legislative action.

Related Topics:Investigate Nigeria Nigerian Police Zamfara

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Spokesperson Warns Nigerians Against Fake Ministry Of Foreign Affairs Recruitment Scam

Published

55 minutes ago

April 30, 2025

Gloria Ikibah

By Gloria Ikibah

The Ministry of Foreign Affairs has raised alarm over a fake recruitment scam circulatingonline, falsely claiming to be from the ministry and offering jobs in Nigeria’s diplomatic missions abroad.

Speaking at a press briefing in Abuja, the spokesperson of the Ministry, Kimiebi Imomotimi Ebienfa, said the public should disregard any such messages, stressing that the ministry does not recruit directly.

“We want to put on record that the ministry don’t recruit officers directly, not at all,” Ebienfa said. “Recruitment of foreign service officers is done by the Federal Civil Service Commission and not by the Ministry of Foreign Affairs.”

According to him, the scam started with online advertisements falsely signed by the Honourable Minister of Foreign Affairs, and in the last 24 hours, scammers have moved further by sending fake employment letters to unsuspecting Nigerians.

“One of the fake messages reads: ‘We are pleased to inform you that your application has been considered for diplomatic services at the Embassy of Nigeria in Juba, South Sudan to take effect 12 May 2025.

“It even directs candidates to pay N165,800 for a diplomatic passport”, he said.

Ebienfa described the offer as entirely fake. “This did not emanate from the Ministry of Foreign Affairs,.

“There is no way you will be recruited into the Nigerian Diplomatic Service and without going through the process of training, which is the Foreign Service Academy”, he said

He clarified that all recruits into the Foreign Service go through a clear and formal process: recruitment by the Federal Civil Service Commission, training at the Foreign Service Academy, then eventual deployment abroad.

“The first deployment is one year of attachment. Subsequent postings last three years,” he said.

He therefore warned that no Nigerian should believe any job offer claiming to be directly from the ministry, or pay for a diplomatic passport.

“Diplomatic passports are free. “Even official passports for civil servants are free. So nobody should fall victim”, he said.

Ebienfa noted that the scammers are using the names of top officials of the ministry, including his own. “They are sending out emails with my name as the signatory,” he said.

In response to questions from journalists about efforts to stop the scammers, Ebienfa said the ministry would involve security agencies. “What the ministry intends to do is to write officially to the relevant security agencies to track the persons behind this website and the emails,” he said. “If someone is paying money, definitely there will be an account that will be provided for the payment.”

He warned that if the scam continues unchecked, it could damage Nigeria’s image abroad. “Tomorrow you will see unsuspecting Nigerians arriving in different countries with fake documents. When real officers show up, there could be confusion.”

He promised that more disclaimers would be issued via the ministry’s social media platforms, and that action would be taken to protect both Nigerians and the integrity of the foreign service.

“This is not just about fake news. It is about protecting Nigerians from losing their hard-earned money and protecting the name of the Ministry of Foreign Affairs”, the spokesperson stated.

News

CBN announces revised documentation requirements for PAPSS transactions

Published

2 hours ago

April 30, 2025

ADMIN

The Central Bank of Nigeria (CBN) has announced a revised documentation requirement for transactions conducted through the Pan-African Payment and Settlement System (PAPSS) in Nigeria.

This was disclosed in a statement issued by the apex bank’s acting Director, Corporate Communications, Mrs. Hakama Sidi Ali

The CBN said the new initiative is part of its ongoing commitment to foster seamless intra-African trade, financial inclusion, and operational efficiency for Nigerians engaging in cross-border payments within Africa.

Launched by Afreximbank in partnership with the African Union and the African Continental Free Trade Area (AfCFTA) secretariat in January 2022, PAPSS serves as a centralized payment and settlement platform that enables instant, secure, and efficient cross-border transactions throughout Africa.

By facilitating payments in local currencies, PAPSS minimizes reliance on third-party currencies, reduces transaction costs, and supports the rapid expansion of trade under the AfCFTA.

In a recent circular referenced TED/FEM/PUB/FPC/001/006 issued on April 28, 2025, CBN outlined the key changes to the documentation requirements associated with PAPSS transactions.

The key changes it added take effect immediately and include simplified documentation for low-value transactions, which allows customers to now use basic KYC and AML documents provided to their authorized dealer banks for low-value transactions of up to $2,000 and $5,000 equivalent in naira for individuals and corporate bodies, respectively.

“For transactions above the thresholds, all documentation as stipulated in the CBN foreign exchange manual and related circulars remains mandatory,” the bank said.

Also, the CBN added that applicants are responsible for ensuring all regulatory documents are available to facilitate the clearance of goods, as required by relevant government agencies.

“Authorized dealer banks may now source foreign exchange for PAPSS settlements through the Nigerian foreign exchange market, without recourse to the CBN.

“All export proceeds repatriated via PAPSS shall be certified by the relevant processing banks.

“The Central Bank of Nigeria urges all banks to adopt PAPSS and commence originating transactions in line with this new policy.

“In addition, CBN encourages exporters, importers, and individuals to familiarize themselves with the new requirements and leverage PAPSS for cross-border transactions within Africa,” the statement said.

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Reps Set Stage for Nigeria’s First Legislative Conference on Renewable Energy

Published

2 hours ago

April 30, 2025

Gloria Ikibah

By Gloria Ikibah

The House of Representatives is set to host the country’s first National Legislative Conference on Renewable Energy, aimed at driving new laws, attracting investment, and pushing Nigeria further along its energy transition journey.

This was revealed during a press briefing by the Chairman, House Committee on Renewable Energy, Rep. Afam Victor Ogene, who described the event as a turning point for energy legislation in Nigeria.

He said: “The conference aims at bringing together key stakeholders and industry players to discuss renewable energy legislations, energy transition, renewable energy financing, investment opportunities and related matters.

“It’s about developing a national legislative framework on renewable energy”.

The conference, which is being organised by the House Committee on Renewable Energy in partnership with the Office of the Speaker of the House of Representatives, and the United Nations Development Programme (UNDP), will take place under the UNDP Parliamentary Development Program.

Rep. Ogene noted that recent legal reforms have created space for state governments to play a more active role in Nigeria’s power sector. He pointed to the Fifth Alteration Bill 2022 (No.33), now signed into law, which allows states to legislate on electricity matters within the national grid. Before now, states could only act on off-grid power.

In addition, he highlighted the Electricity Act of 2023, which came into effect in February 2024.

“It permits states to issue licenses for all electricity activities – generation, transmission and distribution across the entire power sector value chain,” he said.

The Committee Chairman further stated that the new National Integrated Electricity Policy, expected in 2025, will guide states in forming new electricity markets, where solar power and other renewable sources will be key to reaching underserved communities.

Ogene explained, “The conference has three clear objectives:

“To promote dialogue among legislators, experts and stakeholders on critical legislative priorities.

“To establish a coordinated platform for federal and state lawmakers, and to produce a clear, time-bound legislative action plan.

“International partners are also on board. The Inter-Parliamentary Union (IPU) will participate, and parliaments from South Africa, Ghana and Gambia have confirmed attendance. Ghana is sending a three-man delegation led by the Deputy Speaker, Rt. Hon. Alban Kingsford Bagbin”.

In another major highlight, the Netherlands-based platform INCLUDE will host a Pan-African Legislative Dialogue session on renewable energy, to be chaired by the Hon. Speaker, Rt. Hon. Abbas Tajudeen.

“The session will focus on how to establish a unified legislative framework on renewable energy development, investment and financing.

“The time has come for us to act. This is not just another conference – it is the foundation of Nigeria’s renewable energy future”, Ogene added.

Expected outcomes from the conference include new policy and legislative reform proposals to boost renewable energy use, as well as draft laws that will encourage public and private sector investment.

Other goals are to enhance collaboration between federal and state lawmakers, raise public awareness, and roll out a practical roadmap for implementation and progress tracking.

The event will also feature a technology showcase of renewable energy innovations and business opportunities.