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October 11, 2024 Court Blocks PDP NEC and BoT from Removing Damagum as Acting National Chairman

Court Blocks PDP NEC and BoT from Removing Damagum as Acting National Chairman

The Federal High Court in Abuja has issued an order preventing the National Executive Committee (NEC) and Board of Trustees (BoT) of the Peoples Democratic Party (PDP) from removing Ambassador Ilya Damagum as the Acting National Chairman. The court ruled that no other individual should be recognized as the PDP National Chairman until the party's national convention, scheduled for December next year.

Justice Peter Lifu delivered the judgment in response to a lawsuit filed by Senator Umar El-Gash Maina, who argued that there were efforts within the party to unlawfully remove Damagum. The judge emphasized that, according to the PDP’s constitution, national officers can only be elected at the party’s national convention, citing Articles 42, 47, and 67.

Maina, who serves as the PDP Chairman in Yobe State, alleged that some party stakeholders were holding secret meetings to force Damagum's removal, intending to replace him with former Kogi State Deputy Governor Dr. Phillip Omeiza Salawu. Maina further stated that despite submitting complaints to the party's national secretary, Senator Samuel Anyanwu, no action had been taken.

In the suit, Maina requested the court to uphold the party's constitution and prevent any attempt to replace Damagum before the national convention. He also argued that the chairmanship of the PDP is traditionally rotated between the northern and southern regions.

Justice Lifu, after reviewing the party’s constitution and evidence presented, agreed with the plaintiff, stating that Damagum could only be replaced at the national convention or by court order. The judge also ruled that any move to end the northern region's leadership tenure prematurely would violate the PDP's constitution.

The court dismissed the defendants' argument that the plaintiff lacked the legal standing to file the suit and ruled that Maina had sufficient interest in protecting the PDP’s constitution and the northern region's leadership term.

Justice Lifu concluded that Damagum, who was appointed following the resignation of former National Chairman Senator Iyorchia Ayu, is entitled to serve the remainder of the four-year term allocated to the northern region.

October 11, 2024 FG Launches Sale of ₦40,000 Rice in Ogun

FG Launches Sale of ₦40,000 Rice in Ogun

The Federal Government has begun selling 50kg bags of rice for ₦40,000 in Abeokuta, the Ogun State capital. This initiative is part of the government’s efforts to ease the current socioeconomic challenges caused by the removal of fuel subsidies.

At the launch event, the state governor announced that his administration would soon expand the sale of other subsidized food items, such as garri, rice, and beans, across all 20 local government areas. The governor emphasized that this move would help extend the reach of the program to the grassroots, ensuring more people benefit from the subsidized prices.

The governor also highlighted that both the federal and state governments are committed to sustainable development through inclusiveness, transparency, fairness, and accountability. He praised the Head of Service and his team for their efforts in organizing the initiative. The rice distribution will target various groups, including civil servants, artisans, trade unions, market women, NGOs, community associations, and religious organizations.

He assured the public that the Ministry of Agriculture and the office of the National Security Adviser have created a fair and structured system to distribute the rice equitably across the 20 local government areas. Additionally, the sale will also begin in Ilaro for Ogun West Senatorial District and Ijebu-Ode for Ogun East Senatorial District.

The governor urged beneficiaries to maintain order at the sales points, follow the schedule set by the organizing committee, and avoid overcrowding. Payments will be made through Point of Sale (PoS) machines, and physical verification, including the use of NIN, will be required to prevent fraud.

He praised President Bola Ahmed Tinubu for his leadership in addressing food inflation, noting that the liberalization of petroleum products saved the country from spending over ₦11 trillion in a year.

The Head of Service, Mr. Kehinde Onasanya, highlighted that the initiative, powered by the Federal Government, aims to improve citizens' welfare. Representing the Minister of Agriculture and Food Security, Senator Abubakar Kyari, Ayo Ajayi commended Ogun State for its effective implementation of the program and stated that this template would be adopted in other states.

Senator Kyari explained that the process for purchasing the subsidized rice involves verifying the buyer’s NIN and paying ₦40,000 using an ATM. Chief Waheed Oloyede, the state chairman of the Nigerian Union of Pensioners, praised Governor Abiodun for his continued support of pensioners and for being the first to adopt this federal initiative.

October 11, 2024 New Bill Requires Tax ID for Opening and Maintaining Bank Accounts

New Bill Requires Tax ID for Opening and Maintaining Bank Accounts

A new bill has been proposed in Nigeria that would mandate individuals involved in banking, insurance, stockbroking, or other financial services to provide a Tax Identification Number (TIN) as a prerequisite for opening or maintaining accounts.

The bill, titled “A Bill for an Act to Provide for the Assessment, Collection of, and Accounting for Revenue Accruing to the Federation, Federal, States, and Local Governments; Prescribe the Powers and Functions of Tax Authorities, and for Related Matters,” aims to boost tax compliance and streamline the country’s revenue collection process. According to the document, dated October 4, 2024, and obtained from the National Assembly, individuals engaged in these financial activities must provide a tax ID before they can open a new account or operate an existing one.

This initiative is part of a broader strategy to ensure that all individuals and entities participating in Nigeria's financial sector are properly registered for tax purposes. The bill further stipulates that non-residents supplying taxable goods or services in Nigeria or earning income from the country must also register for tax purposes and obtain a TIN.

However, non-residents who earn passive income from investments in Nigeria will not be required to register, though they must still provide relevant information as directed by the tax authority. The proposed legislation also gives tax authorities the power to automatically register individuals who are required to obtain a TIN but fail to do so. In such cases, the tax authority is expected to promptly inform the individual of their registration and issue the tax ID accordingly.

Failure to comply with these requirements may result in administrative penalties. According to the bill, a taxable person who fails to register for tax will incur a penalty of N50,000 in the first month of non-compliance, followed by N25,000 for each subsequent month.

October 11, 2024 Falana Declares NNPC’s Fuel Price Fixing Illegal

Falana Declares NNPC’s Fuel Price Fixing Illegal

Nigerian lawyer and human rights advocate, Femi Falana (SAN), has criticized the Nigeria National Petroleum Company Limited (NNPCL) for setting fuel prices, deeming the action illegal, null, and void. In a statement released on Thursday, Falana argued that NNPCL's decision to fix prices for both imported and locally refined fuel violates Section 205 of the Petroleum Industry Act (PIA).

Falana pointed out that Section 205 of the PIA mandates that fuel prices should be determined by market forces, not by the NNPCL. He cited a statement made on September 5, 2024, by NNPC's Executive Vice President of Downstream, Mr. Adedapo Segun, who acknowledged that fuel prices in Nigeria are meant to be driven by free market forces, with the exchange rate playing a significant role in price determination.

However, Falana noted that contrary to this public declaration, the NNPCL unilaterally set the price of fuel refined by the Dangote Refinery last month, disregarding the role of market forces. He accused the company of repeatedly violating the laws that govern its operations by fixing prices, which should have been determined through market competition.

Falana further criticized NNPCL's recent announcement of new pump prices for fuel from the Dangote Refinery, highlighting that once again, market forces were not allowed to dictate the pricing. This comes amid an ongoing dispute between NNPCL and Dangote Refinery over fuel pricing, a matter in which the Federal Government has stated it will not intervene.

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