Connect with us

Banking & Finance

BVN: Nigerian Banks working against anti-corruption war – FG, AGF tell court

Published

on

549 Kebbi entrepreneurs to receive N2bn FG loan, says Malami

…As Fayose slams FG over hiring of Malaysian experts for N458m***

The Federal Government and the Attorney General of the Federation, Mr. Abubakar Malami (SAN), have alleged that the opposition of the 19 commercial banks to an order of the Federal High Court in Abuja on the Bank Verification Number is a sign that the banks are working against the anti-corruption policy of the current administration.

The court last month ordered the banks to freeze all accounts without Bank Verification Number.

The government and the minister made the allegation in their response to an application by the banks challenging the jurisdiction of the court to make the freezing order of October 17, 2017.

Nigerian government stated in its response to the banks’ application that the banks also refused to comply with the court order directing them to disclose the accounts in their custody without BVN.

A counter-affidavit deposed to by Usman Dakas,  on behalf of the Federal Government and the AGF, stated, “The applicants (the banks) do not wish to comply with the interim order of this court and disclose the accounts without BVN and their holders in order to frustrate the plaintiffs’ anti-corruption policies that would benefit the entire nation.”

The government’s lawyer, Mr. Danjuma Tyoden, also canvassed similar argument in his written address filed along with the counter-affidavit.

He argued that the banks were not only frustrating government’s constitutional responsibility to abolish corrupt practices, but were also  opposing the court’s order so that they could continue to keep the funds in the accounts without BVN, trade with funds and at the end declare fat profits for their various shareholders.

Tyoden stated, “The applicants have filed this motion to frustrate the plaintiffs’ constitutional responsibility to ‘abolish corrupt practices’ and the clear directives and regulations of the Central Bank of Nigeria on the BVN scheme so that they can continue to keep the funds in the accounts BVN and be trading with and declaring fat profits for their various shareholders.

“Is it not worrisome that, while the banks are happy not to allow the customers, whose accounts are not covered by BVN, to operate the said accounts, yet they want the interim order of this court, directing them to disclose these accounts and their holders, dismissed and or struck out?”

The government also argued that the banks refused to comply with the court order directing them to furnish the court with details of accounts without BVN in their custody because if done, the suspicion against them would be proved.

The government’s paper stated in part, “We submit that the refusal of defendants/applicants (the banks) to furnish the plaintiffs with the facts relating to the accounts in their custody without BVN is because, if produced, the suspicion of the plaintiffs would be proved.

“In fact, if the defendants/applicants have nothing to hide, why are they refusing to file the affidavit of disclosure as ordered by this court?

“The funds in the accounts not covered by BVN is not their (banks’) property, why are they now scared of forfeiture and crying more than the bereaved, when the law allows opportunity to be given to the account holders to show cause after publication, before a final forfeiture order is made?”

The government also maintained that it was the customers who owned the funds in the accounts without BVN that ought to complain and not the banks.

It wondered that banks which admitted that they had the responsibility to enforce the due diligence and Know Your Customer provisions of the Money Laundering Act were now, by their application, seeking to shield their customers and doing their case for them.

In the meantime, Ekiti State Governor Ayodele Fayose has questioned the rationale for the Federal Government’s hiring of consultants from Malaysia with N458 million to help Nigeria build her economic capacities.

“The Federal Government’s action is a clear vote of no confidence on President Muhammadu Buhari’s government and economic experts in the country,” Fayose said.

In a statement, Governor Fayose said “out-sourcing consultancy for the conduct of study that would aid the implementation of the National Economic Recovery and Growth Plan (ERGP) is tantamount to telling Nigerians that they all lack capacity to govern their own country.

“It is shameful that Nigeria, which produced the likes of African Development Bank (ADB) president, Dr. Akinwumi Adesina; treasurer and vice president of the World Bank, Mrs. Aruma Otteh; independent non-executive director of Standard Chartered Plc, United Kingdom, Mrs. Ngozi Okonjo-Iweala and professor of Political Economy, Pat Utomi, among others, is now paying people from Malaysia to revive its economy.”

The governor further queried:” How can you hire foreign consultants that would work for 13 weeks to conduct a study on how to revive the economy of a country like Nigeria and pay them N458 million?”

Fayose said the All Progressives Congress (APC) government of Buhari lacked clue as to how to solve our country’s economic problems. “Now they have just confirmed that truly, they are clueless.

“By hiring economic experts from Malaysia, President Buhari and his men have confirmed that they have no capacity to govern this country.

“It was the cluelessness of the Buhari’s government that made the exchange rate that was N197 to $1 as at May 29, 2015 rise to as much as N500 to $1 before it came down to about N370 to $1. Today, official rate is N305 to $1.

“It was this same cluelessness that made one bag of rice that was N7,000 at the time Buhari took office to rice to as much as N22,000 and made more than 25 states to be unable to pay workers salary regularly owing to dwindled revenue from the federation account.”

The governor lamented the report by the National Bureau of Statistics (NBS), an agency of the Federal Government, that the number of unemployed Nigerians rose from 7.51 million at the beginning of October 2015 to 11.19 million at the end of September 2016.

“This was caused by Buhari government’s cluelessness. The president and his men do not know what to do. It is therefore left for Nigerians to use their votes to show Buhari and his APC the way out of the Aso Rock Presidential Villa in
2019,” Fayose said.

Meanwhile, former Ogun State governor, Gbenga Daniel, has pledged to rebrand the Peoples Democratic Party (PDP) to ensure victory for her, if given the mantle of leadership.

He made the promise in Benin City at the weekend during a visit to the Edo State chapter of the party where he informed members of his intention to run for the national chairmanship position.

Daniel scored the Buhari low in economic growth and security. He said the APC has not achieved anything tangible to win the 2019.

“The missing Chibok girls are still not found, herdsmen are killing people daily and ravaging parts of the country. The alarming cases of kidnap among others across the country is a sign of a failed government.”

The Edo State PDP chairman, Dan Orbih appreciated the visit. He said the party was determined to ensure a credible candidate emerge as its national chairman.

A group, the Save Humanity Advocacy Centre (SHAC) has, however, commended President Buhari, over the country’s ranking in the war against terrorism.

The SHAC Executive Secretary, Ibrahim Abubakar, made the commendation at a press conference in Abuja yesterday.

According to him, the recent ranking by the Institute for Economics and Peace, is a reflection of Buhari’s good leadership.

Abubakar said the Global Terrorism Index (GTI) was also an attestation of the success of the service chiefs in the war against terrorism in Nigeria and the Lake Chad basin.

The group stated that the ranking was not a surprise, given that the military’s efforts had reduced the Boko Haram activities by 80 per cent.

It urged Buhari to intensify efforts to ensure that terrorism is totally eradicated in the country.

Citizen with additional report from Guardian NG

Banking & Finance

NGX Sustains Bearish Sentiment, Sheds N57bn

Published

on

NGX Sustains Bearish Sentiment, Sheds N57bn

...EllahLakes, C&I Leasing lead the losers’ table 

On Wednesday, the stock market continued its bearish trend, with an N57 billion loss from investors’ portfolios.

Selloffs in Tier-one banking stocks, including Zenith Bank, FBN Holdings, United Bank for Africa (UBA), Access Corporation, and Fidelity Bank, among others, drove the market into negative territory.

Specifically, the market capitalisation fell by N57 billion, or 0.10 per cent, from N56.076 trillion to N56.019 trillion.

Similarly, the All-Share Index dropped by 0.10 per cent, losing 98 points to close at 97,487.14 points, compared to 97,584.81 points recorded on Tuesday.

As a result, the Year-To-Date (YTD) return decreased to 30.38 per cent.

The market breadth also closed negative, with 38 losers and 15 gainers.

EllahLakes led the losers’ table by 48k to close at N4.40, ABC Transport trailed by 13k to close at N1.22 and Eterna dropped N2.30 to close at N24.70 per share.

C&I Leasing lost 34k to close at N3.71 and Livestock Feed went down by 30k to close at N3.44 per share.

Conversely, Lasaco Assurance led the gainers’ table by 23k to close at N2.53, Mecure followed by 80k to close at N9.25, and Julius Berger gained N14 to close at N164 per share.

Regency Alliance Insurance also added 5k to close at 60k, while Gold Breweries advanced by 25k to close at N3.40 per share.

Analysis of the market activities showed trade turnover settled lower relative to the previous session, with the value of transactions down by 16.65 per cent.

A total of 356.13 million shares valued at N6.95 billion were exchanged in 8,582 deals,in contrast to 719.11 million shares valued at N8.34 billion traded in 9,435 deals, posted previously.

Meanwhile, Fidelity Bank led the activity chart in volume with 66.24 million shares valued at N988.10 million, and UBA followed with 38.04 million shares worth N1.03 billion, to lead the chart in value.

Sterling Nigeria sold 33.79 million shares valued at N179.59 million, Nigerian Breweries traded 14.56 million shares worth N435.65 million and Oando Plc transacted 13.12 million shares worth N934.24 million.

Continue Reading

Banking & Finance

BOI To Disburse N1bn Single-digit Interest Loan To 140 Manufacturers

Published

on

The Bank of Industry (BOI) has announced plans to disburse loans of up to N1 billion to 140 manufacturing companies across Nigeria under the Federal Government’s N75 billion Manufacturing Sector Fund.

BOI Managing Director, Olasupo Olusi, made this disclosure at the bank’s inaugural annual public lecture series on Wednesday in Abuja.

He explained that the loan aimed to foster production, ensure economic growth, and boost job creation. 

“About 140 manufacturing companies will receive loans of up to N1 billion at single-digit interest rates.

“The funds under this programme have been fully allocated to successful applicants across the six geopolitical zones of the country, and disbursements have commenced.

“For transparency, the programme is working with the Manufacturers Association of Nigeria (MAN) to ensure all beneficiaries are genuine manufacturers, providing additional validation of loan applicants.”

Olusi stated that by offering low-interest loans, BOI aims to boost production, enhance job creation, and promote sustainable growth in the manufacturing industry.

According to the BOI boss, the Bank has disbursed N77.65 billion in loans to almost 1,000 MSMEs across various sectors in the country.

He noted that these interventions align with the Federal Government’s efforts to alleviate poverty and enhance food security by supporting enterprises that drive economic growth and create jobs.

Olusi restated the inauguration of the BOI PriceSense NG platform, a price intelligence dashboard providing real-time data on price trends across Nigeria.

“The platform aims to stabilise markets, protect consumers, and inform policy decisions related to food insecurity.

“We are unveiling the BOI PriceSense NG, a price intelligence dashboard and mobile app for real-time monitoring of price variations of food commodities nationwide.

“These initiatives demonstrate our commitment to impactful research, innovative solutions, and transparency in all endeavours,” Olusi said.

Minister of Industry, Trade and Investment, Dr Doris Uzoka-Anite, reaffirmed the government’s commitment to drive economic growth through MSMEs, pledging improved access to financing, innovation, and policy support.

Continue Reading

Banking & Finance

NGX: Investors Lose N267bn, As FTN Cocoa, Caverton Lead Gainers Table

Published

on

NGX: Investors Lose N267bn, As FTN Cocoa, Caverton Lead Gainers Table

The stock market, on Thursday, reversed some gains from its previous sessions, indicating a loss of N267 billion from the portfolios of investors.

Selloffs in MTN Nigeria, Oando Plc, United Bank For Africa (UBA), Fidelity Bank, and FCMB Group, alongside Cadbury and United Capital, amongst other declined stocks, drove the market to a negative terrain.

Specifically, the market capitalisation closed at N56.615 trillion, having lost N267 billion or 0.47 per cent from an opening of N56.882 trillion.

The All-Share Index also declined by 0.47 per cent or 464 points to settle at 98,523.56 points, against 98,987.42 points reported on Wednesday.

Consequently, the Year-To-Date return fell by 31.76 per cent.

However, the market breadth closed positive with 29 gainers and 26 losers.

On the gainers’ log, FTN Cocoa led 28 other advanced stocks by 9.82 per cent to close at N1.79 per share.

Also, Caverton led 25 other declined stocks on the losers’ log by 9.83 per cent to close at N2.97 per share.

Analysis of the market activities showed trade turnover settled lower relative to the previous session, with the value of transactions down by 47.44 per cent.

A total of 344.36 million shares valued at N6.61 billion were exchanged in 9,005 deals, compared to 603.31 million shares valued at N12.58 billion, traded in 9,723 deals posted in the previous session.

Meanwhile, UBA led the activity chart in volume and value with 29.18 million shares worth N756.09 million. 

Continue Reading

Editor’s Pick

Politics