Economy

NNPC Cooperative Members Lament Fraud, Delayed Loans

Published

7 years ago

September 1, 2017

NNPC Cooperative Members Lament Fraud, Delayed Loans

Some members of the Nigerian National Petroleum Corporation Cooperative Multipurpose Society Limited have expressed dissatisfaction over delay in getting loans applied for from the cooperative.

The cooperators, who blamed the delay on the fraud allegedly perpetrated by former leadership of the society, said they now waited for between six to eight months to get loans.

The past executive ran the society for two terms, from January 1, 2011, to December 2015,.

It was gathered that the former president of the cooperative, Mr. Joseph Ojeyemi, was arrested by the Economic and Financial Crimes Commission last year for the alleged fraud estimated at millions of naira.

The EFCC had since commenced investigations into the fraud.

At the Annual General Meeting of the cooperative at Regency Hall, Ikeja, Lagos State, on Thursday, August 11, 2017, angry members demanded the outcome of the investigation from the current President, Mr. Akin Akinrera.

The members, who did not want their names in print, lamented that the cooperative had failed in its obligation to provide loans for those who needed them as and when due.

“Many members have applied for loans since March 2017. Up till now, they have not got them. Some submitted their applications since January 2017 without any response. What is the essence of a cooperative if members cannot get loans at appropriate time to carry out one project or another?

“The EFCC should hasten up its investigations on the fraud and let us know what actually transpired,” a member said.

An elderly man stated that the issues in the cooperative had brought hardship to many members.

“Members are suffering and many are sick, yet we don’t have access to loans for treatment,” he added.

Another member said, “We urge the EFCC to also bring some executive members that worked with the former president to book because they were part of the trustees of the society, with Ojeyemi as the President. We heard that Ojeyemi is attempting to use his influence to bring in a new leadership to head our society.”

The current President of the society, Mr. Akin Akinrera, said EFCC operatives had visited the society’s projects in Kaduna and Abuja, carried out during Ojeyemi’s administration to investigate their costs.

He noted that the property of the society in Ikoyi and Dubai, United Arab Emirates, would be sold to generate funds.

Akinrera said, “I am fully aware of the avoidable hardship which our members are experiencing as a result of liquidity problem created for the society, but I plead for patience and understanding, as we are taking active steps to address it. I don’t have any reason to set up the immediate past president or anybody whatsoever.

“Every right thinking person in the NNPC knows that there is no way I could have had a hand in the petition which has thrown up many critical issues.”

However, Ojeyemi denied the fraud allegation against him, saying he had contributed immensely to the development of the society.

He said the truth would be revealed at the end of the EFCC investigations.

He said, “It is a bloody lie. There are always two sides to a story. Just wait until the EFCC concludes its investigation. What is going on is a smear campaign. Whatever the EFCC comes out with will be the final. Anybody can make any allegation. But it is the investigations that will tell.

“The current president is the one causing the problem in that society. Members are not happy with him because he is giving an impression that the society is bankrupt. You don’t wash your dirty linen in the public. People are withdrawing their savings and membership.

“I didn’t embezzle any money. The auditors’ report is not true. I still have a copy of a letter the present president sent to the auditors. What is happening is political, not fraud. I don’t understand why anyone would want to damage my reputation.

“An allegation was made against me; a director at Alausa sent a letter to me, asking me to explain some things. But the current president held unto the letter; he didn’t give it to me until the EFCC came to arrest me. I can account for all the money spent.”

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Samed Olukoya

Is the CEO and Founder of Investors King Limited. He is a seasoned foreign exchange research analyst and a published author on Yahoo Finance, Business Insider, Nasdaq, Entrepreneur.com, Investorplace, and other prominent platforms. With over two decades of experience in global financial markets, Olukoya is well-recognized in the industry.

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Economy

House of Reps Warns Tinubu Against Multiple Tax Burdens on Nigerians

Published

2 days ago

October 12, 2024

Bassey Marshall

Company Income Tax (CIT) - Investors King

The House of Representatives has warned President Bola Tinubu against imposing multiple taxes, levies, and charges on Nigerians already struggling with subsidy removal and higher electricity bills.

During Thursday’s plenary session, the member representing Anambra East/Anambra West Federal Constituency, Mr. Peter Aniekwe, called for the adoption of a motion on urgent public importance.

Investors King reported that the motion was co-sponsored by the House Minority Leader, Rep. Kingsley Chinda, and four others.

In defense of the motion, Aniekwe noted that the government’s introduction of additional taxes, which he described as sometimes unnecessary, only adds an undue burden on Nigerians.

He emphasized the need for the government to strike a balance when imposing taxes that are essential for revenue generation.

Aniekwe said, “The imposition of multiple taxes, levies, and charges at various levels of government only serves to exacerbate the financial strain on citizens, particularly those in low-income brackets, many of whom are already struggling to meet basic needs such as food, healthcare, housing, and education.

“The introduction of additional and sometimes unnecessary taxes, including consumption taxes, service taxes, and levies on essential goods and services, places an undue burden on the masses, further widening the inequality gap.

“While taxation is necessary for government revenue, a balance must be struck between revenue generation and the economic well-being of citizens, particularly at a time when many families and businesses are still recovering from the economic impact of global and local challenges.

“The government’s primary responsibility is to alleviate the economic challenges faced by the masses, ensuring policies that promote economic development, social welfare, and prosperity for all citizens.”

After Aniekwe’s defense, the House of Representatives adopted the motion.

The House cautioned the Federal Government against multiple taxation and mandated the committees on Finance and FIRS to, within three weeks, conduct a thorough review of existing tax laws and policies to streamline tax collection processes and eliminate redundant or overlapping taxes.

The committee was also tasked with identifying areas of double taxation at all levels for necessary action.

Economy

Boosting Nigeria’s Digital Future: STEM Education and AI Could Add $15 Billion to Economy by 2030

Published

1 week ago

October 4, 2024

Ugwoke Ogbodo

If Nigeria can enhance its Science, Technology, Engineering, and Math (STEM) education and prepare its workforce for future opportunities in the digital space, the economy could expand by an additional $15 billion, a new report has revealed.

The report, issued by consultancy Public First on Thursday, also indicated that Nigeria reaped an estimated $1.8 billion in economic benefits from Google’s tools and services in 2023.

Presenting the report in Lagos State, the Nigeria Digital Opportunity study highlighted the financial value contributed to the nation’s economy through services such as Google Search, Ads, Google Play, YouTube, and Google Cloud.

These services have played a significant role in boosting the productivity of Nigerian businesses, content creators, and workers.

It is no secret that a large number of young Nigerians have become tech-savvy, with many venturing into the thriving world of technology and content creation on social media platforms.

According to Google, its digital skills programs and career certificates are key drivers of Nigeria’s digital transformation, with over 1.5 million young Nigerians acquiring new digital skills in 2023.

Google’s Director for West Africa, Olumide Balogun, expressed the company’s satisfaction with the positive impact that digital technology is having on Nigeria’s economy.

He emphasized that the findings highlight the importance of continued investment in digital skills and infrastructure to unlock the full potential of Nigeria’s growing digital economy.

Balogun noted that with rapid digital advancements, particularly in areas such as cloud computing, connectivity, and artificial intelligence (AI), Nigeria is well-positioned to solidify its standing as a leading digital economy in Africa.

He advised the country to strengthen its technology policies, stating that Nigeria’s economic future will largely depend on its ability to harness technology. Balogun added that Google remains committed to supporting Nigeria’s journey through strategic investments and partnerships.

The report underscored the significant role digital technology plays in Nigeria’s economy, with Balogun noting that for every $1 invested in digital technology, the country generates over $8 in economic value.

Meanwhile, Google has called on Nigerian policymakers to prioritize STEM education to maximize the economic benefits of technology.

The report also projected that AI could contribute $15 billion to Nigeria’s economy by 2030.

Balogun highlighted Google’s efforts in promoting responsible AI development, noting that in 2021, the company committed $1 billion to support Africa’s digital economy.

He added that this initiative included the 2022 landing of the Equiano fiber-optic cable in Nigeria, which is expected to boost internet penetration by seven percent by 2025, significantly enhancing internet access and reliability.

Google also recommended that Nigerian policymakers adopt cloud-first strategies and strengthen the country’s digital infrastructure to harness the full potential of AI, while emphasizing the need for improved STEM education to prepare the workforce for future opportunities.

Amy Price, Director and Head of Technology Policy at Public First, praised Nigeria as a digital leader in Africa. She emphasized that tech investment will serve as a catalyst for further growth and development across the nation.

Price further highlighted the critical role AI will play in shaping Nigeria’s future economy, with the report estimating that AI could add $15 billion to the country’s GDP by 2030. She stressed that the nation must focus on building strong digital infrastructure and investing in STEM education to prepare its workforce for the jobs of tomorrow.

Economy

Lawmakers to Deliberate on Nigerian Tax Reform Bills, Change of FIRS to NIRS

Published

1 week ago

October 4, 2024

Iyanuoluwa Martins

The National Assembly is set to begin deliberations after receiving President Bola Tinubu’s communication seeking consideration and passage of the proposed Fiscal Policy and Tax Reform Bill to align with ongoing financial reforms of the Federal Government and enhance efficiency in tax compliance.

In addition to the Senate, the House of Representatives received four bills forwarded by the President. They include the Nigeria Tax Bill, the Nigeria Tax Administration Bill, the Nigeria Revenue Establishment Bill and the Joint Revenue Board Establishment Bill.

The Nigeria Revenue Service (Establishment) Bill seeks to repeal the Federal Inland Revenue Service (Establishment) Act, No. 13, 2007, and establishes the Nigeria Revenue Service, to assess, collect, and account for revenue accruable to the government of the federation.

The Transmission of Fiscal Policy and Tax Reform Bills to the National Assembly is The Nigeria Tax Bill, which seeks to provide a consolidated fiscal framework for taxation in Nigeria.

The Nigeria Tax Administration Bill seeks to provide a clear and concise legal framework for the fair, consistent and efficient administration of all the tax laws to facilitate ease of tax compliance, reduce tax disputes and optimize revenue.

Meanwhile, the Joint Revenue Board (Establishment) Bill aims to establish the Joint Revenue Board, the Tax Appeal Tribunal and the Office of the Tax Ombudsman for the harmonization, coordination and settlement of disputes arising from revenue administration in Nigeria.

This comes after President Tinubu during his speech on Nigeria’s 64th Independence Anniversary on Tuesday (October 1) said some Economic Stabilisation Bills would be transmitted to the National Assembly.

“We are moving ahead with our fiscal policy reforms. To stimulate our productive capacity and create more jobs and prosperity, the Federal Executive Council approved the Economic Stabilisation Bills, which will now be transmitted to the National Assembly.

“These transformative bills will make our business environment more friendly, stimulate investment and reduce the tax burden on businesses and workers once they are passed into law,” he said.

Recently, the Chairman of the Presidential Taskforce on Fiscal Policy and Tax Reforms Committee, Mr Taiwo Oyedele, said the Withholding Tax Regulations 2024 has been gazetted.

“I do have some good news, the good news is that the withholding tax regulation has now been gazetted. So, the only reason it hasn’t been published today is because it is public holiday, so first thing tomorrow you will see a copy of the gazette and that provides a lot of relief not just for manufacturers but also every other business in terms of taking away some of the burdens of funding their working capital,” Mr Oyedele said.

Nigeria has been seeking to harmonise its tax base as it has a tax-to-gross domestic product (GDP) ratio of 10.8 percent; comparatively, the average tax-to-GDP ratio for Africa is about 18 percent.