Senate backs CBN on new cash policy

The Senate yesterday expressed support for the new retail cash policy introduced by the Central Bank of Nigeria (CBN) aimed at improving cash management and banking efficiency in the country. They however called for an upward review of the minimum cash withdrawal.

Speaking during a meeting with CBN officials on the new cash policy, Chairman Senate Committee on Banking, Senator Nkechi Nwaogu (PDP, Abia) said the committee supports the policy but that the CBN must ensure adequate awareness before its take off.

Explaining the new cash policy to the committee, CBN Governor Sanusi Lamido said the daily limit cash withdrawal of N150,000 for individuals and N1 million for corporate bodies is to ensure that the burden of cash transactions is placed on those responsible for huge cash transactions.

He said “45 percent of total cash transaction that were done in Nigeria was in the region of zero to N10, 000 and 90 percent of daily cash transaction were less than N100, 000. Only 10 percent of the number of the transaction that are done in the banking sector are of N100, 000 and above. The 10 percent of N100, 000 and above accounts for 75 percent of the total value of cash; so what is happening is that the 90 percent poor Nigerians who do not withdraw more than N100, 000 a day are subsidizing the 10 percent rich ones.

“And what we said is that this is not fair. Those that do heavy cash transaction, they should pay for it; if you do more than N150, 000 you pay a fine. We did not say you cannot withdraw more than N150, 000. If you do, you pay a fine so that you are not subsidized by the poor Nigerians.”

Sanusi said the apex bank findings indicated that huge cash transactions was responsible for the heavy cost of banking operations which is transferred to the customers in terms of high lending rate.

He said main objective of the new policy is to evolve a cashless society saying “by the first quarter of next year, Lagos would be almost a cashless society. CBN plans to use the state as a satellite centre for the planned cashless society.”
 

Soldiers kill DPO, 6 other cops in Lagos

IGP. Hafiz Abubakar Ringim

Soldiers attached to 242 Recce Battalion at Ibereko, a small suburb of Badagry in Lagos State went on a rampage yesterday and killed 14 people including the Divisional Police Officer (DPO), and his Divisional Crime Officer (DCO). The DPO was identified as CSP Samson Salisu while the DCO was identified as DSP Samuel. The soldiers were protesting the alleged killing of one of their colleagues by Policemen from the Lagos anti-crime patrol team known as Rapid Response Squad (RRS). The protest however turned ugly when the protesting soldiers ambushed and killed eight policemen, including the DPO and DCO.

A man who witnessed the episode told Daily Trust that the clash, which engulfed the ancient town of Badagry, started at about 8am yesterday. The incident happened as both Police

Affairs Minister Humphrey Abah and Police Inspector General Hafiz Ringim were paying a visit to Lagos. They hastily cut short their visit when they heard   of the fracas.

Yesterday’s   episode, described as a “reprisal attack” by the soldiers, had its roots on Monday when a policeman attached to the Rapid Response Squad (RRS) of the Lagos   State government allegedly shot dead a soldier at the Badagry round about.

There were conflicting accounts of what happened to the killer. Public Relations Officer of the Army’s 81 Division Lieutenant Colonel Kayode Ogunsanya told newsmen that those who shot the soldier have since being arrested and are currently being detained by the army, but another source alleged that the trigger-happy cop was detained by the DPO while investigation was ongoing.

Those who witnessed Monday’s killing said the deceased soldier was in mufti at the time of the incident and was allegedly escorting goods suspected to be smuggled into the country when he was confronted by the RRS team. “The RRS policemen ordered the vehicle the soldier was in to stop for a search, but the soldier rebuffed the policemen’s orders. The ensuing argument led to the policeman shooting the soldier,” a witness said.

When they heard of their colleagues’ killing, soldiers from the barracks were said to have gathered around the Ibereko Bus Stop along Badagry-Seme Roundabout. The soldiers then burnt   the property of policemen living in the army barracks before they spread to the bushes and killed the policemen. They also set ablaze several police vehicles.

Another witness told our correspondent that some passers-by were also beaten by the soldiers who barricaded the highway. Commercial and vehicular activities came to a halt as residents of the area scampered to safety.

Witnesses said while the carnage lasted, travellers and residents of Badagry ran helter-skelter. All roads leading to Seme border were blocked by the   rampaging soldiers, while traders near the scene of the incident quickly closed shops and ran for cover.

Commander of the 242 Recce Battalion, Badagry, Colonel Nabara, when contacted on phone, said the matter is under control but that he would not comment any further.

Spokesman for the 81 Division of the Nigerian Army, Lt. Colonel Kayode Ogunsanya, when contacted on phone, said the Army would investigate the incident.

The Police Force Public Relations Officer in Abuja DCP Olusola Amore only said two police officers were killed and others were attacked in Badagry, Lagos State by men suspected to be soldiers from 242 Recce Battalion of the Nigerian Army.

He said after the “two senior police officers paid a peace mission visit to the commanding officer of the Battalion in Badagry as a result of the alleged unfortunate killing of a soldier by policemen attached to RRS on Monday, The two officers were ambushed and killed when they were leaving the barracks.”

He urged the men on both sides to exercise restraint and stop the attacks, “as such situation will undermine the existing cordial relationship between the two services.”

Inspector-General of Police Hafiz Abubakar Ringim has ordered a high powered investigation into the case and appealed for calm as those involved in the act will be identified, arrested and prosecuted, the FPRO further said.

Attempts to get the reaction of the Army headquarters were unsuccessful last night.

It would be recalled that a similar incident occurred between personnel of the Nigeria Army’s Abalti Barracks and policemen of the Area ‘C’ in Ojuelegba, Surulere in 2005, in which several lives were lost. The Headquarters of both the Area C’ Command and the Police Divisional Headquarters were destroyed were destroyed in that episode.

Explosive devices thrown out of a moving vehicle

The Canisters

Seven canisters believed to be explosives were yesterday hauled out of a moving vehicle in Bida, Niger State.  Our correspondent gathered yesterday in Bida that the objects were dumped at the premises of the Nigerian Agricultural Co-operative and Rural Development Bank, (NACRDB) in Bida area. It was also gathered that following the discovery, security operatives have sealed off the area from public use pending the outcome of investigations into the matter.

Witnesses said the objects may have been planned to detonate at the NACRDB building and also possibly thrown to explode close to the residence of a prominent politician, Alhaji Musa Baba,  a former commissioner in the state.

Budget returns to NASS, failure looms

President Goodluck Jonathan has sent back the 2011 Appropriation Act to the National Assembly proposing a reduction of about N500 billion. In a budget amendment sent to the National Assembly, President Jonathan wants a downward budget review from N4.97 trillion passed by the Legislature to N4.40 trillion.

The amendment provides for reduction in Capital Expenditure from N1.562 trillion to N1.122 trillion, recurrent expenditure is to be reduced from N2.46 trillion to N2.40 trillion, Statutory Transfers is to be cut to N387.8 billion from N496.6 while Debt Services has been increased from N445 billion to N495 billion.

The President has also slashed the National Assembly’s budget by about 50 percent from N232.7 billion to N120 billion. The National Assembly had increased its budget by 100 percent on the budget proposal sent by the President.

In a letter to the Senate read by Senate President David Mark yesterday, President Jonathan said the budget amendment becomes necessary in view of present global economic realities.

Briefing newsmen shortly after the Senate session yesterday, Chairman of the Senate Committee on Information and Media Senator Ayogu Eze said the amendment to the budget is to reduce the huge deficit.

He said, “There is also a commitment on the side of Mr. President to implement whatever is in the budget that is passed 100 percent. Though I don’t have the details now, there is likely to be a budget of about N4.4 to N4.5 billion.”

The Senate also approved N236 billion as 2011 budget for the Federal Capital Territory (FCT).  The FCT budget provides for N195 billion expenditure in 2011 out of which N40.7 billion is for personnel cost, N38.2 billion for overhead costs while the balance of N116 billion is for Capital Projects.

The National Communications Commission (NCC) also got a budget of N58.9 billion for 2011 after Senate adopted the report of its Committee on Communication which considered the request.

Speaking after passing the NCC budget, Senate President David Mark berated the commission for ineffectiveness saying “there are too many problems in the communication sector at the moment. The operators are taking consumers for granted and the NCC is not taking up its task of regulation work. I think they should buckle up.”

Senate also approved N9.7 billion as 2011 budget for the Universal Service Provision Fund (USPF) with Mark also giving marching orders to the agency to sit up.

CPC vows to stop senator’s inauguration ceremony

The Congress for Progressive Change (CPC) has demanded that INEC declare its senatorial candidate for Niger East federal constituency, Alhaji Mohammed Inuwa Zakari, winner of the April senatorial election in the state or it would frustrate the senator-elect’s inauguration.  The Niger State chairman of the CPC, Alhaji Umaru Shuaibu, who made the call yesterday in Minna at a press conference, maintained that the recent publication of the National Assembly Vol.12 No 263 of the Lawmaker and an earlier publication on the website named Zakari as the winner.

While calling on INEC to issue a certificate of return to their candidate, the CPC chairman vowed to frustrate efforts to inaugurate Senator Kuta at the forthcoming swearing in ceremony at the National Assembly in Abuja.

“Since the PDP or its candidate is not the one on the INEC list, he or the party cannot claim any right to the Niger East senatorial seat at the forthcoming inauguration of newly elected senators”, he said.  He added that the party had to go to the tribunal to challenge the victory of incumbent Senator Dahiru Awaisu Kuta primarily to follow the provisions of the law but added that it had enough evidence to prove that they won.

It would be recalled that the election could not hold in Suleja due to the bomb blast that claimed several lives, leading to its postponement but was subsequently held one April 26.

The CPC chieftain maintained that the Suleja senatorial election result was declared under suspicious circumstances. He said none of the CPC returning officers was present when the result was announced, submitting that up till now the outcome of the senatorial poll in the area remained a mystery.  Shuaibu said the recent development leaves the party with no doubt of possible complicity of INEC in the process, stating that the Resident Electoral Commissioner, Dr Emmanuel Onucheyo, is yet to apologise for naming the PDP senatorial candidate who lost in Niger North senatorial election instead of the CPC member that won.

UN Sec-General arrives Nigeria

United Nations Secretary General Ban Ki Moon yesterday arrived in Abuja for a two-day visit during which he is scheduled to discuss regional peace, health and sanitation issues with the country’s officials.

Mr. Ban was received at the Nnamdi Azikiwe International Airport by Foreign Minister Odein Ajumogobia, and later in the evening met with President Goodluck Jonathan at the State House in Abuja. There was no official statement on what was discussed at the meeting.

The UN chief, who is on his first visit to Nigeria since assumption of office in January 2007, is due to meet with state governors to discuss accelerating the Millennium Development Goals, according to information from the UN. He will also meet with INEC chairman Prof Attahiru Jega.

Mr. Ban yesterday urged the Federal Government to improve intervention efforts in ensuring access to health care for the citizenry, especially to women and children.

Speaking while inspecting the Maitama District Hospital, Abuja, the UN chief said he was in the country to personally observe the extent of government intervention as it relates to infant and maternal health.

He lamented that over the years many health systems operating in various countries have failed in providing quality health care to women and children.

“Nigeria has done well in polio and in reducing maternal and infant mortality, and they are saving lives which is commendable and I am here to observe their progress and share this experience with the world.

“Providing care for mothers and children is top on my priority, because I believe that when you provide quality health to women and children, you breed health society which in turns makes a health world,” he said.

He noted that 1,000 women along with 22,000 children die on daily basis which according to him is “totally and truly unacceptable situation, as most of these deaths are preventable.”

Earlier the Minister of Health, Professor Onyebuchi Chukwu, reiterated the Nigerian government’s effort in providing care for women and children adding that in line with their commitment during the MDGs meeting in New York over 4,000 midwives have been deployed to rural areas to provide care.

He said Nigeria has witnessed positive improvement with regard to attaining the MDGs especially with the reduction of infant-maternal mortality, polio and a reduction in the HIV/AIDS prevalence rates.

Also speaking, FCT Minister Bala Muhammed said the administration has redefined its policies on health, specifically in the areas of primary health care, immunization and provision of care to women and children.

The Ministry of Defence yesterday denied reports that while in Nigeria Mr. Ban will discuss the crisis in Libya. Director of Defence Information in Abuja Colonel Mohammed Yerima said, “I am not aware of any meeting with the UN Secretary General.”

Why govs disagreed with Obasanjo –Saraki

Lack of collaboration on common issues of development was responsible for periodic clashes between the federal and state governments during the regime of President Olusegun Obasanjo, chairman of the Nigeria Governors’ Forum Bukola Saraki has said.

Speaking to journalists in Abuja at the weekend, Governor Saraki said it was not in the interest of the Federal Government to be battling states, pointing out that collaborative efforts between the two levels of government beginning from President Yar’adua’s regime have helped to produce results that ensured progress on matters of national interest.

“I think the country has more to gain in the collaboration of states and Federal Government than just to be tackling ourselves all the time. Look at the Fiscal Responsibility bill, Procurement law that the states agreed to sign into law. Under Obasanjo everybody refused to sign. Obasanjo said ‘go and sign’ we said ‘no we cannot sign, you cannot force us.’ But under the next administration it was give and take. Okay, you are talking about excess crude; we must sign these laws,” he said.

Saraki said the Federal Government’s collaboration with states should not be misconstrued as weakness, stressing that this understanding has led state governments to inject funds into the police force as well as the power sector.

Saraki who will be inaugurated as senator on June 6 said he was satisfied that he is leaving a more focused and value oriented forum. He became chairman of the forum in 2007 and survived an attempt to remove him in the run up to the PDP presidential primaries in January this year.


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Sambo commends Goje over Jewel Hotel

Vice President Mohammed Namadi Sambo has commended Gombe State Governor Muhammad Danjuma Goje for building the ultra-modern Gombe Jewel Hotel in Abuja, saying the project would not only attract revenue for the state but open up the country as a preferred tourism destination in Africa.

Sambo, who stated this during the official commissioning ceremony of the hotel in Abuja on Saturday, said the project was in line with the Federal Government resolve to ensure that Nigeria markets her tourism potentials properly by providing state-of the-art luxury accommodation and catering facilities for discerning tourists.

He said, “to properly compete in the tourism market, you need affordable and well-packaged accommodation facilities which are the basic needs of both leisure and business tourism.”

Sambo noted that recent forecast by the World Tourism Organization (WTO) indicated that tourism would play an increasingly important role in the new millennium and by the year 2020, tourism traffic would triple with 1.6 billion tourists visiting countries and spending $2 trillion, noting that Nigeria must work hard to reap huge benefits from this windfall and assume her rightful place in the comity of nations.

Sambo also used the occasion to renew the commitment of the Federal Government towards providing sufficient and stable electricity which, he said, would “substantially lower the costs of production and operations for our industries, improving their transnational competitiveness.”

Earlier, Goje had said that the hotel was one of the abandoned projects inherited from his predecessor since 2003. He said having adjudged it as economically viable and a politically worthwhile venture, he embarked on the project to expand the revenue base of the state.

He said the hotel was one of many projects he had embarked on and disclosed that projects such as the Gombe olympic-size stadium and the Gombe International Hotel have been slated for commissioning.

C’ttee: Shekarau spent N4bn on hotel bills

Governor Ibrahim Shekarau’s outgoing administration in Kano State incurred hotel bills of nearly N4 billion in the past eight years, according to findings of the transition committee raised by governor-elect Rabi’u Musa Kwankwaso.

Of this amount, N3 billion has already been paid to the three hotels, which operate in the state, while the government still owes them N805 million.

Spokesman for Kwankwaso, Malam Jaafar Jaafar, who announced the findings of the transition committee in a statement in Kano yesterday, did not name the hotels affected.

“Kano State government under Shekarau is transacting with many other hotels in Kano, Abuja and Lagos. This amount is just for three hotels, and the transition committee is trying to know the cost incurred in the other hotels,” Jafar said.

But Shekarau’s media aide Sule Ya’u Sule said he doubted the committee’s claims, saying he was not aware of such expenses.

A source in the Kwankwaso committee said the spending was at the expense of the once vibrant state-owned Daula Hotel which suffered neglect by the outgoing administration.

The source said if the hotel was in proper shape, more revenue would be generated for government in addition to cutting hotel expenses for government officials and other guests.

Jafar, the Kwankwaso committee spokesman, said the transition committee was facing some hitches in trying to know the actual amount the state government spent on the other hotels apart from the mentioned three.

While expressing dismay over the enormous nature of the liabilities, the spokesman also said the cost was “uncalled for in view of the economic hardship Shekarau administration plunged the state into.”

“To say the truth, this is beyond politics. It is sheer mismanagement and misapplication of public funds. It is sad that the money that should otherwise be channeled to the public schools or hospitals is being wasted in hotels,” he said.

He said the committee’s findings indicated that most of the hotel rooms and suites were not used for official purposes but were permanently kept for years by government officials and politicians.

“Although one cannot rule out seeking the hotel services, the cost is obviously outrageous,” he said.

Reacting to the committee’s findings, spokesman for Shekarau, Malam Sule, said he was not aware of such expenses. He said such kind of things were normal and expected when an opposition party took over the reins of power.

“We are not surprised at all over all these findings because we all know what Kwankwaso will do to tarnish the image of the outgoing administration,” he said.

Shekarau, who tenure ends on Sunday, May 29, took over eight years ago from Kwankwaso after winning a fiercely contested election. The two had a running battle over how Kwankwaso run his four-year term between 1999 and 2003.

Shekarau raised an inquiry commission into Kwankwaso’s administration, which returned an indictment but which Kwankwaso challenged in court.

With the defeat by Kwankwaso of Shekarau’s anointed ANPP candidate in last month’s elections, there have been fears across Kano that the incoming administration would be vindictive.

Visa denial: CPC asks FG to apologise to Campbell

The federal government should offer unreserved apology to former United States of America Ambassador to Nigeria, Mr. John Campbell, for denying him visa over “his candid opinion about the country.”

The Congress for Progressive Change (CPC) made the call yesterday in a statement issued at the weekend by its National Publicity Secretary, Rotimi Fa-shakin.

The CPC said the apology is necessary “so as to bring about a quick resolution of this infernal impasse.”

Fashakin said: “As a party, we are convinced that the real reason for this show of unreasonableness is not unconnected with Mr John Campbell’s critical commentaries in recent times on the shenanigans of this PDP-led Federal Government.”

“Undoubtedly, Mr. Campbell is unjustifiably being persecuted for his candid opinion about the country, more so that Nigeria’s Ambassador to US, Professor Ibidapo Adebowale Adefuye had threatened that his visa would not be reviewed when expired. As stakeholders in the Nigerian enterprise, we are appalled by this descent to infantile and thuggish diplomacy because the Nigerian nation is projected in bad light, among the comity of nations, by this latest action of the Federal Government.”

“It is our considered opinion that if the Nigerian government has strong aversion to Mr. Campbell’s recent communication on Nigeria, there are available diplomatic channels to ventilate such grievance. We insist that this government’s action is faux pas and has, inexorably, enhanced Mr. Campbell’s diplomatic status rather than vitiating it.”

“In his inimitable brutally audacious style, Mr. Campbell had also written about the flawed 2007 elections and pre-election polling project thus: ‘Shortly before the 2007 elections, a government cabinet minister came to see me with polling results that ostensibly showed overwhelming support for the governing People’s Democratic Party. In hindsight, the Obasanjo government’s sharing of poll results with the diplomatic community looks like it was part of an orchestrated campaign to try and give credibility to the electoral outcomes despite the massive PDP rigging of the elections.”