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Stamp duty dispute: Court orders CBN to pay firm N579.1b in damages
A Federal High Court in Abuja has ordered the Central Bank of Nigeria (CBN) to pay a firm – Kasmal International Services – N579,130,698,440 for assisting the Nigerian Postal Service (NIPOST) to collect stamp duty between January 1, 2015 and January 31, 2020.
The court also ordered the CBN to pay the N579 billion judgment sum along with 10 percent interest per annum.
Justice Inyang Ekwo handed down the judgement on Friday in a suit marked: FHC/ABJ/CS/335/2024 filed by Kasmal, with the CBN and the Attorney General of the Federation (AGF) and Minister of Justice as defendants.
Justice Ekwo faulted the defendants’ contention that NIPOST lacked the statutory power to collect stamp duties and that the agreement it (NIPOST) reached with the plaintiff was illegal.
The judge declared that a previous judgment on stamp duty given in favour of the plaintiff still subsisted as it is yet to be contradicted by any higher court.
Justice Ekwo faulted the argument by the CBN and the AGF that the reliefs sought by the plaintiff could not be granted because all revenues accruing to the federation, including the stamp duties, are remitted into the Federation Account, which could only be distributed among the tiers of government as provided in the Constitution.
The judge noted that the CBN had earlier paid Kasmal N10.3 billion, representing 15 percent of the remitted stamp duty paid by all Deposit Money Banks (DMBs) between January 1, 2015, and January 31, 2020, from the CBN NIPOST Stamp Duty Collection Account No. 3000047517.
He said: “I find, at the end, that the CBN and the AGF have not effectively controverted the case of the plaintiff. The plaintiff, having made a credible case, ought to succeed on the merit, and I so hold.
“It is my opinion that this case is predicated on the fact that the first and second defendants have had transactions with the plaintiff before by paying the plaintiff the sum of N10.3billion, being 15 percent of remitted stamp duty.”
The plaintiff, represented by Dr. Alex Izinyon (SAN), had claimed that NIPOST appointed it to represent it (NIPOST) in the collection of N50 on all receipts given by any bank or financial institution in acknowledgement of services rendered concerning electronic transfers and teller deposits of N1,000 and above, in compliance with the Stamp Duties Act and the Nigeria Financial Regulations 2009.
He added that the terms of the agreement between NIPOST and the plaintiff included the remuneration of N7.50 from every N50 deduction.
Kasmal prayed the court for an order directing the 1st and 2nd Defendants to pay the plaintiff the sum of N579,130,698,440 or any other sum as may be adjudged by this Court upon the production of the records relating to the collection of stamp duty between January 1, 2015, and January 31, 2020, representing 15% of all accrued deposits paid into or which ought to have been paid into the CBN NIPOST Stamp Duty Collection Account No. 3000047517 by all Deposit Money Banks (DMBs).
“An order directing the 1st (CBN) and 2nd Defendants to pay the plaintiff an interest payment of 10% per annum on the sum of N579,130,698,440 or any other sum as may be adjudged by this Court upon the production of the records relating to the collection of stamp duty between January 1, 2015, and January 31, 2020, representing 15% of all accrued deposits paid into or which ought to have been paid into the CBN NIPOST Stamp Duty Collection Account No. 3000047517 by all Deposit Money Banks (DMBs).”
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$30,000: EFCC on trail of officer who allegedly looted exhibit room in Kaduna
The Economic and Financial Crimes Commission (EFCC) is on the trail of one of its staff who allegedly disappeared due to his inability to explain the whereabouts of over $30,000 from exhibit room in Kaduna.
Although the leadership of the commission, including Mr Ola Olukoyede and the Head of the Media and Publicity, Mr Dele Oyewale, were yet-to comment on the development, a source said the commission was determined to get to the bottom of the issue.
An online news platform raised the red flag on Tuesday night that EFCC was enmeshed in another internal scandal as an officer in charge of Kaduna Zonal Office’s exhibit room, identified as Polycarp, allegedly absconded with over $30,000 and other valuable exhibits in his custody.
This development is seen as counterproductive for an anti-corruption agency like EFCC, especially with its recent demonstration of zero tolerance for indiscipline within the commission.
In recent times, the commission had dismissed 27 staff who were investigated and confirmed to have been involved in similar scandalous acts as the commission’s officials.
The commission had also detained 10 staff for similar offences while other investigations are ongoing in its zonal offices across the country.
The online news platform revealed that the Zonal Director of EFCC, Benedict Ubi, had a couple of weeks ago ordered an audit of the directorate’s exhibit room following the internal heist that occurred in Lagos, which led to the disappearance of the said staff.
“Immediately after the order for the audit was given, he took an excuse to ease himself. Efforts were made to contact him but all his telephone lines were switched off.
“This is only what the preliminary audit on foreign currency shows. There are chances that more could be uncovered after a thorough audit of the exhibit room”, the platform quoted its source.
News
NASS queries minister for allocating over 70% projects to Edo
Members of the Joint Senate and House of Representatives Committee on Regional Development were forced to go into a closed-door session on Tuesday over alleged lopsidedness in the Ministry of Regional Development’s budget.
The lawmakers queried the Minister of Regional Development, Abubakar Momoh, for alleged lopsidedness in the Ministry’s budget, indicating that 70 per cent of projects in the ministry were allocated to Edo State.
The Minister was queried when he appeared before the Committee alongside the Minister of State, Uba Maigari, to defend the 2024 budget performance and the 2025 proposal.
The lawmakers noted that the Ministry’s budget favoured Edo State over other states that were supposed to have benefitted from its projects.
The Ministry was also queried for nonadherence to the federal character principle in situating projects of the defunct Ministry of Niger Delta.
According to them, 70 percent of the Ministry’s projects for 2024 were domiciled in Edo state.
The lawmakers said this should not be so as the Ministry is expected to cover the interest of the entire Niger Delta region.
A member of the House of Representatives, Hon Matthew Nwogu questioned the minister on why 70 percent of the projects for 2024 were located in Edo State.
Nwogu said, “Mr Minister, tell us why most of these 2024 budgets (projects) are situated in Edo State?”
The lawmaker wondered why other states under the Ministry were excluded while the bulk of the projects went to Edo State.
Another member of the Committee, Rep Chinedu Ogar, also asked the Minister to explain to the committee on why 70 percent of the 2025 proposed projects of the ministry are also located in Edo State.
“Honorable Minister, I am happy that you are a product of the National Assembly. My constituents are not happy with this your budget because it negates the constitutional principle of federal character. About 70 percent of your projects are located in Edo state. Why?” Ogar questioned.
Chairman, House Committee on Regional Development, Eugene Okechukwu, urged the questions to be discussed in an executive session. The committee thereafter dissolved into an executive session to interface with the minister on the matter.
Earlier, while presenting the 2024 budget performance, the Minister had told the members that out of the N20 billion allocated to the Ministry in 2024 for capital budget, N2 billion was provided for zonal intervention in the Ministry’s budget by the House Leader, Prof Julius Ihonvbere, who is from Edo State.
The Minister told the Committee that the Ministry’s total budget proposal for 2025 was N28.9 billion comprising N24 billion for capital projects; N2.7 billion for personnel cost and N1.6 billion for recurrent.
He said of the amount, a total sum of N2 billion was reserved as a zonal intervention project for the Leader of the House of Representatives.
The Minister lamented that the amount earmarked for the Ministry of Regional Development to address the development needs of the five regional development commissions is inadequate.
He appealed to the joint committee to increase the budget of the ministry to enable it to address the development issues of the regions through the commissions.
The minister lamented that due to inadequate budgetary allocation, the ministry had been facing the challenges of a litany of abandoned and uncompleted projects; delay in project completion and poor performance.
News
Police nab 179 robbery suspects, recover 73 firearms, 56 posh vehicles
As testaments to the promise of the Force to adopt improved strategies in the fight against various forms of crimes and criminality across the country, the Nigeria Police Force has unveiled some recorded significant achievements in its efforts to curb crime.
In a press briefing at the FID-IRT headquarters on the 22nd of January, 2024, the operatives of the Nigeria Police Force confirmed the arrest of 179 armed robbery suspects, 100 kidnapping suspects, and 152 Murder/homicide suspects.
The Operatives added that 34 suspects connected with the unlawful possession of prohibited firearms, 77 rape suspects, 110 suspected cultists have also been arrested.
The success recorded by the Nigerian Police Force also includes the recovery of 73 various firearms, 310 ammunition of various calibers.
The Police was also able to recover 56 stolen vehicles and rescue 22 victims of kidnapping across the country.
The police also recorded several outstanding achievements including the arrest of Muhammed Kabir ‘m’ 36 years, and other members of his gang including Donald Okpere ‘m’, and Haruna Ibrahim ‘m’.
The gang operates by impersonating military personnel and defrauding victims of millions of naira, using fake alerts after purchasing gadgets and medical equipment.
In addition, the operatives arrested Sunday Okwo Ade ‘m’, Monday Solomon ‘m’, David Emmanuel ‘m’, and Shakiru Badmus ‘m’, who are part of a well-known gang that specializes in stealing motorcycles from farmers in various communities in Lagos and Ogun States. 15 motorcycles were recovered from this gang.
The Inspector-General of Police, IGP Kayode Adeolu Egbetokun, Ph.D., NPM., however, reaffirmed the commitment of the Force to remain steadfast to the core principle of policing which is the safeguarding of the lives and properties of the general populace and creating an enabling environment for the public to go about their daily activities peacefully.
Egbetokun assured that the Force will not relent in its pursuit of criminal elements and ensuring justice is served when due and appropriate as the extant laws of our country have laid out.
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