Featured

Reps Describe Terms for Chinese Loans As Dangerous

Published

4 years ago

August 18, 2020

Eric

The House of Representatives on Monday faulted the sovereignty clause in Nigeria’s loan agreement with China, saying it was dangerous.

The Chairman of the House Committee on Treaties, Protocols and Agreements, Nicholas Ossai, who stated this in Abuja at the investigative hearing on external loans and commercial agreements, said Nigeria’s loan agreement with the Asian country was being governed by Chinese laws.

He said despite the fact that the Federal Government in 2014 signed an Executive Order providing guidelines on waiver of sovereign immunity during loan and commercial agreement negotiations, Nigerian officials had been violating the order.

Members of the executive, who appeared before the committee were the Minister of Transportation, Rotimi Amaechi; Minister of Works and Housing, Babatunde Fashola; Minister of Communications and Digital Economy, Ali Pantami; Minister of Police Affairs, Muhammad Maigari; and Minister of the Federal Capital Territory, Mohammed Bello.

Others included the Director-General, Debt Management Office, Patience Oniha; Permanent Secretary (Special Duties in the Ministry of Finance), Aliyu Ahmed and Director, Legal Services, Gabriel Christopher, both representing the Ministry of Finance, Budget and National Planning.

Ossai, in his opening address, stated that the controversial clauses and agreements had been existing before the Muhammadu Buhari-led regime. He also stated that the probe was not about the ruling All Progressives Congress or the Peoples Democratic Party.

He also said the lawmakers’ probe was not limited to Chinese loans and commercial contracts. Ossai stated, “We will like Nigerians to know that we are not focusing on only Chinese loans. From what we know, Nigeria has over 500 bilateral loan/commercial contract agreements and investment treaties with different countries and institutions. There is no way the committee will do a thorough job without segmenting the issues based on countries, institutions or MDAs.

“The loan agreements we have seen so far show that government officials charged with the responsibility of representing Nigeria in these issues are more desperate to just take the loans at any condition, possibly using non-negotiated loan agreement templates rather than go through the rigour of diligent technical review of negotiating specific clauses with clarity and for national interest.”

The committee chairman said it was a common practice that most international loan agreements would adopt ‘sovereign guarantee’ and a neutral international arbitration centre.

He said, “Even in situations where countries, out of desperation and weak economic position, waive their national sovereignty in bilateral or contractual agreements, the immunity of sovereignty waiver clause will usually be clear and categorically state specific assets associated with the loans for takeover in the event of default.

“However, the immunity clauses in most of these agreements before us are not only ambiguous, but also very obscure and without recourse to the fact that the Nigerian government had issued a circular on the subject matter with Reference Number SGF/OP/1/S.3/X/1739, dated 11th August, 2014, which is an Executive Order, that provides guidelines on issues of waiver of sovereign immunity clause during loan and commercial agreement negotiations.”

According to Ossai, arbitration centres for bilateral loan agreements are known to be generally in neutral places, “unlike what we have in most of the Nigeria/China agreements where Hong Kong that is also governed by China laws was designated as the arbitration centre.”

He explained that government agencies sign commercial agreements in billions of dollars before going to the Federal Executive Council for approval to execute them.

Ossai stated that they proceeded to negotiate the terms of the loans before coming back to the President, who would be asking the National Assembly for approval for billions of dollars to do projects without attaching the negotiated loan and commercial contract agreements details.

The Punch

Featured

PDP Retains Demagum As Acting National Chairman

Published

1 hour ago

April 18, 2024

Eric

The acting National Chairman of the Peoples Democratic Party, Umar Damagum, has survived attempts to remove him from office.

In the lead-up to today’s National Executive Committee meeting, the issue of whether Damagum should maintain his position or be substituted has been the focal point of discussions among party officials.

Formerly serving as the PDP National Deputy Chairman (North), Damagum assumed the position of acting National Chairman after the court suspended the party’s National Chairman, Iyorchia Ayu.

The court’s decision followed a request by a PDP member, Terhide Utaan, triggered by a prior vote of no confidence passed on Ayu by his ward executives in Igyorov ward, Gboko Local Government Area of Benue State.

Recently, 60 members of the House of Representatives called for Damagum’s ouster and called for the appointment of a substantive chairman from the North Central region.

However, shortly after this announcement, members of the House minority caucus, led by Kingsley Chinda, distanced themselves from the group, dismissing it as an unrecognised entity within the parliament.

The PDP Caucus meeting in the House of Representatives on Tuesday ended in discord, with lawmakers divided between those supporting Damagum’s continuation and those opposing it.

However, the primary goal of the pre-NEC meeting, which aimed to endorse Damagum with a vote of confidence by lawmakers aligned with FCT Minister, Nyesom Wike, faced hurdles and did not proceed as intended.

Recall that, on Wednesday, the PDP’s National Working Committee expressed full support for Damagum.

Nevertheless, after its caucus meeting on Wednesday, the North Central Zone of the party unanimously decided that the zone should nominate the next national chairman of the party following Ayu’s removal.

Speaking to reporters after the National Caucus meeting in the early hours of Thursday, the PDP National Publicity Secretary, Debo Ologunagba, disclosed that Damagum will continue to serve as the acting national chairman of the party until another NEC meeting after today’s session.

The PDP National Caucus is a crucial assembly of party stakeholders that convenes before the NEC meeting and sets the tone for every major decision to be made at the NEC meeting.

In many instances, when the National Caucus reach a consensus on matters, the NEC simply approves it, but when there is disagreement, other members of the NEC will vote either for or against the issue in question.

Ologunagba disclosed that the PDP National Caucus endorsed Damagum’s continued acting role to allow for broader consultations.

The Punch

Featured

Cubana Chief Priest Arraigned, Granted N10m Bail

Published

18 hours ago

April 17, 2024

Eric

Instagram celebrity, Pascal Okechukwu aka Cubana Chief Priest, on Wednesday, pleaded not guilty for alleged Naira abuse.

He pleaded not guilty to the three-count charge filed against him by the Economic and Financial Crimes Commission (EFCC).

The socialite was arraigned at the Federal High Court, Lagos before Justice Kehinde Ogundare on Wednesday.

The anti-graft commission filed a three-count charge against Cubana Chief Priest accused of abusing the naira at a social event, an act said to be contrary to the provisions of the Central Bank Act of 2007.

After pleading not guilty, the court granted him bail in the sum of N10million with two responsible sureties in like sum, who must be gainfully employed with the federal or state government and not less than grade level 16.

The sureties, the court emphasized, should have landed property and the document must be verified by the court.

Cubana Chief Priest is also to submit his travel passport to the custody of the court.

The bail conditions must be perfected within seven days but in the meantime he was released to his lawyer who must give an undertaken to produce him later. Failure to do so, he will be remanded in correctional facility.

The charge filed on April 4 by EFFC’s prosecutor Rotimi Oyedepo (SAN) alongside seven other lawyers representing the chairman of the Commission, are as follows:

Count 1: “That you, Okechukwu Pascal on 13th February, 2024, at Eko Hotel, within the jurisdiction of the court, while dancing during a social event, tampered with funds in the denomination of N500 (Five Hundred Naira) issued by the Central Bank of Nigeria by spraying same for two hours, and you thereby committed an offence, contrary to and punishable under Section 21(1) of the Central Bank Act 2007”.

Count 2: “That you Okechukwu Pascal sometime in 2020, in Lagos during a social event, tampered with funds in the denomination of N500 (Five Hundred Naira) issued by the Central Bank of Nigeria by spraying same for two hours, and you thereby committed an offence, contrary to and punishable under Section 21(1) of the Central Bank Act 2007”.

Count 3: “That you Okechukwu Pascal sometime in January 2024, in Lagos during a social event, tampered with funds in the denomination of N500 (Five Hundred Naira) issued by the Central Bank of Nigeria by spraying same and you thereby committed an offence, contrary to and punishable under Section 21(1) of the Central Bank Act 2007”.

Meanwhile, the defendant also informed the court of his pending application to challenge the jurisdiction of the court to hear the charge.

Justice Ogundare has adjourned till May 2nd to hear the application

This is coming days after the EFCC arraigned controversial cross-dresser Idris Okuneye better known as Bobrisky on similar charges for which he was sentenced to a six-month jail term.

Featured

EFCC Charges Cubana Chief Priest to Court over Naira Abuse

Published

2 days ago

April 16, 2024

Eric

The Economic and Financial Crimes Commission (EFCC) has filed a three-count charge against Instagram celebrity, Pascal Okechukwu aka Cubana Chief Priest, for allegedly spraying and tampering with the Naira at a social event, in violation of the provisions of Central Bank Act of 2007.

Cubana Chief Priest will be arraigned on Wednesday, April 17, 2024, before Justice Kehinde Ogundare of the Federal High Court, Lagos.

Reports say the charge against Okechukwu was filed on April 4, 2024 by EFFC’s prosecutor Rotimi Oyedepo (SAN) alongside seven other lawyers representing the chairman of the Commission.

In Count 1, it was alleged, “that you, Okechukwu Pascal on 13th Feb. 2024, at Eko Hotel, within the jurisdiction of the court, while dancing during a social event, tampered with funds in the denomination of N500 (Five Hundred Naira) issued by the Central Bank of Nigeria by spraying same for two hours, and you thereby committed an offence, contrary to and punishable under Section 21(1) of the Central Bank Act 2007”.

In count 2, it was alleged, “that you Okechukwu Pascal sometime in 2020, in Lagos during a social event, tampered with funds in the denomination of N500 (Five Hundred Naira) issued by the Central Bank of Nigeria by spraying same for two hours, and you thereby committed an offence, contrary to and punishable under Section 21(1) of the Central Bank Act 2007”.

In Count 3, it was alleged, “that you Okechukwu Pascal sometime in January 2024, in Lagos during a social event, tampered with funds in the denomination of N500 (Five Hundred Naira) issued by the Central Bank of Nigeria by spraying same and you thereby committed an offence, contrary to and punishable under Section 21(1) of the Central Bank Act 2007”.

This is coming days after the EFCC secured the conviction controversial cross-dresser, Idris Okuneye aka Bobrisky, on similar charges. He was subsequently sentenced to six months imprisonment without an option of fine.