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FG to sustain N6trn budget- Adeosun

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  •  As Jonathan comes under attack for saying Dasuki didn’t steal $2.1bn

Minister of Finance, Mrs Kemi Adeosun, yesterday, told the Senate that the Federal Government would sustain its over N6trillion national budget in the 2017 appropriation bill, expected to be submitted by President Muhammadu Buhari, after the consideration and subsequent approval of the pending 2017—2019 Medium Term Expenditure Framework, MTEF and Fiscal Strategy Paper, FSP, by the National Assembly.

Adeosun told members of the Senate Committee on Finance, led by its Chairman, John Owan Enoh, PDP, Cross River Central, who were on oversight visit to her ministry that government would maintain its over N6trillion annual budget because it spends over N3 trillion out of the budget sum for salaries, pension and debt services , leaving a paltry amount for capital projects.

She insisted that the country would be gambling with the figure for now as it can’t go below it anymore in the face of high expectations from its citizens.

Senator Enoh had told the minister that the committee’s visit was “actually driven by the collective decision of the Senate a few weeks ago that all its standing committees embarked on oversight visits to all ministries, departments and agencies of government.’”

“So, for us as a committee, in addition to having to respond to that requirement, it also became imperative that we embark on this maiden visit.

“Our hope is that on this visit, the minister, quite apart from giving us some highlights of the implementation of the Ministry of Finance budget in the year 2016,would also throw some highlights on few of some of the things that she feels the committee should know, especially the performance of our economy, no matter how briefly, and some things that we could take advantage of because we oversight her ministry, so that we don’t just hear as secondhand but hear as firsthand.

“This is October, the Medium Term Expenditure Framework is already sent to the National Assembly for approval so that the 2017 budget can come. We have a few revenue challenges, most of all is the performance of the independent revenue of government. So we think that the minister would take advantage of this meeting and be able to bring us to speed with a few of these things, “he added. The Committee berated the minister for what it described as her poor handling of agencies under her watch, resulting in monumental leakage and loopholes. ”

There are a lot of drained pipes and leakages in the customs, I don’t think that the ministry under your watch has given sufficient attention to the customs in particular, “Senator Hope Uzodinma, a member of the committee and Chairman, Senate Committee on Customs told her.

Responding, Mrs Adeosun disclosed that government’s efforts at realising money from revenue generating agencies to meet the expectations of Nigerians were being hampered by high-level corruption still existing in the agencies, especially the Nigerian Customs Service, which she described its men as “cohesive crooks hard to break.”

To this end, she solicited an urgent intervention of the National Assembly in curbing the loopholes and excessive leakage not only in the revenue sourcing agencies but also all other Federal Government’s agencies, saying they were stinking of corruption.

In the meantime, condemnation on Tuesday greeted the comments by former President Goodluck Jonathan that a former National Security Adviser, Col. Sambo Dasuki (retd,), did not steal $2.1bn contrary to the accusation by the Economic and Financial Crimes Commission, currently prosecuting the ex-NSA.

Jonathan had stated that it was inconceivable to say that Dasuki stole $2.2bn, contending that his government, where Dasuki served as the NSA, bought warships, aircraft and a lot of equipment for the military during the period.

Dasuki, who has been in detention since mid-2015, is being prosecuted by the EFCC for alleged diversion of arms fund, totalling $2.1bn.

Jonathan argued that it would not be right to say that $2.2bn was stolen with the equipment and arms bought by his administration when he delivered a lecture on Youth Entrepreneurship at the Oxford Union in the United Kingdom on Tuesday.

Jonathan, in a statement by an Abuja-based public relations outfit, the PR Nigeria, said he had kept quiet to allow the court to handle the ongoing prosecution of the former NSA so as not to be seen as a former President challenging a sitting administration.

But the Presidency called on Jonathan to allow the court to decide the fate of his former NSA.

When asked to react to the comment, the Special Adviser to the President on Media and Publicity, Mr. Femi Adesina, said the courts should be allowed to decide the matter which he said was subjudice.

“The matter is subjudice. Let the courts decide,” the presidential spokesman said.

The All Progressives Congress and the Senator Ali Modu Sheriff led faction of the PDP, a party the ex-President belongs to, also asked him to allow the court to do its job in the trial of Dasuki and other suspects, accused of benefiting from the arms cash diversion.

The former President admitted that while it was true that there were some corruption cases during his administration, some of the cases were exaggerated.

Jonathan said, “They said the National Security Adviser (Sambo Dasuki) stole $2.2bn. I don’t believe somebody can just steal $2.2 billion.

‘‘We bought warships, we bought aircraft, we bought lots of weapons for the Army and so on and so forth and you are still saying $2.2bn (was stolen). So, where did we get the money to buy all those things?

“One thing about the issue of corruption is that these matters are in court. Let’s allow some of these processes to end. Lately, some judges’ homes were also invaded. There are so many things involved and we have to follow up these matters to conclusion before we know the fact.

“Yes, there were some issues. Yes, there are still corruption issues but some of it were over blown; I would say exaggerated, and they give a very bad impression about our nation. You cannot say the national security adviser stole $2.2bn. It is not just possible.”

Condemnation on Tuesday greeted the comments by former President Goodluck Jonathan that a former National Security Adviser, Col. Sambo Dasuki (retd,), did not steal $2.1bn contrary to the accusation by the Economic and Financial Crimes Commission, currently prosecuting the ex-NSA.

Jonathan had stated that it was inconceivable to say that Dasuki stole $2.2bn, contending that his government, where Dasuki served as the NSA, bought warships, aircraft and a lot of equipment for the military during the period.

Dasuki, who has been in detention since mid-2015, is being prosecuted by the EFCC for alleged diversion of arms fund, totalling $2.1bn.

Jonathan argued that it would not be right to say that $2.2bn was stolen with the equipment and arms bought by his administration when he delivered a lecture on Youth Entrepreneurship at the Oxford Union in the United Kingdom on Tuesday.

Jonathan, in a statement by an Abuja-based public relations outfit, the PR Nigeria, said he had kept quiet to allow the court to handle the ongoing prosecution of the former NSA so as not to be seen as a former President challenging a sitting administration.

But the Presidency called on Jonathan to allow the court to decide the fate of his former NSA.

When asked to react to the comment, the Special Adviser to the President on Media and Publicity, Mr. Femi Adesina, said the courts should be allowed to decide the matter which he said was subjudice.

“The matter is subjudice. Let the courts decide,” the presidential spokesman said.

The All Progressives Congress and the Senator Ali Modu Sheriff led faction of the PDP, a party the ex-President belongs to, also asked him to allow the court to do its job in the trial of Dasuki and other suspects, accused of benefiting from the arms cash diversion.

The former President admitted that while it was true that there were some corruption cases during his administration, some of the cases were exaggerated.

Jonathan said, “They said the National Security Adviser (Sambo Dasuki) stole $2.2bn. I don’t believe somebody can just steal $2.2 billion.

‘‘We bought warships, we bought aircraft, we bought lots of weapons for the Army and so on and so forth and you are still saying $2.2bn (was stolen). So, where did we get the money to buy all those things?

“One thing about the issue of corruption is that these matters are in court. Let’s allow some of these processes to end. Lately, some judges’ homes were also invaded. There are so many things involved and we have to follow up these matters to conclusion before we know the fact.

“Yes, there were some issues. Yes, there are still corruption issues but some of it were over blown; I would say exaggerated, and they give a very bad impression about our nation. You cannot say the national security adviser stole $2.2bn. It is not just possible.”

Vanguard with additional report from Punch

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WAIVER CESSATION: Igbokwe urges NIMASA to evolve stronger collaboration with Ships owners

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…Stresses the need for timely disbursement of N44.6billion CVFF***

Highly revered Nigerian Maritime Lawyer, and Senior Advocate of Nigeria (SAN), Mike Igbokwe has urged the Nigeria Maritime Administration and safety Agency (NIMASA) to partner with ship owners and relevant association in the industry to evolving a more vibrant merchant shipping and cabotage trade regime.

Igbokwe gave the counsel during his paper presentation at the just concluded two-day stakeholders’ meeting on Cabotage waiver restrictions, organized by NIMASA.

“NIMASA and shipowners should develop merchant shipping including cabotage trade. A good start is to partner with the relevant associations in this field, such as the Nigeria Indigenous Shipowners Association (NISA), Shipowners Association of Nigeria (SOAN), Oil Trade Group & Maritime Trade Group of the Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA).

“A cursory look at their vision, mission and objectives, show that they are willing to improve the maritime sector, not just for their members but for stakeholders in the maritime economy and the country”.

Adding that it is of utmost importance for NIMASA to have a through briefing and regular consultation with ships owners, in other to have insight on the challenges facing the ship owners.

“It is of utmost importance for NIMASA to have a thorough briefing and regular consultations with shipowners, to receive insight on the challenges they face, and how the Agency can assist in solving them and encouraging them to invest and participate in the maritime sector, for its development. 

“NIMASA should see them as partners in progress because, if they do not invest in buying ships and registering them in Nigeria, there would be no Nigerian-owned ships in its Register and NIMASA would be unable to discharge its main objective.

The Maritime lawyer also urged NIMASA  to disburse the Cabotage Vessel Financing Fund (CVFF)that currently stands at about N44.6 billion.

“Lest it be forgotten, what is on the lips of almost every shipowner, is the need to disburse the Cabotage Vessel Financing Fund (the CVFF’), which was established by the Coastal and Inland Shipping Act, 2003. It was established to promote the development of indigenous ship acquisition capacity, by providing financial assistance to Nigerian citizens and shipping companies wholly owned by Nigerian operating in the domestic coastal shipping, to purchase and maintain vessels and build shipping capacity. 

“Research shows that this fund has grown to about N44.6billion; and that due to its non-disbursement, financial institutions have repossessed some vessels, resulting in a 43% reduction of the number of operational indigenous shipping companies in Nigeria, in the past few years. 

“Without beating around the bush, to promote indigenous maritime development, prompt action must be taken by NIMASA to commence the disbursement of this Fund to qualified shipowners pursuant to the extant Cabotage Vessel Financing Fund (“CVFF”) Regulations.

Mike Igbokwe (SAN)

“Indeed, as part of its statutory functions, NIMASA is to enforce and administer the provisions of the Cabotage Act 2003 and develop and implement policies and programmes which will facilitate the growth of local capacity in ownership, manning and construction of ships and other maritime infrastructure. Disbursing the CVFF is one of the ways NIMASA can fulfill this mandate.

“To assist in this task, there must be collaboration between NIMASA, financial institutions, the Minister of Transportation, as contained in the CVFF Regulations that are yet to be implemented”, the legal guru highlighted further. 

He urged the agency to create the right environment for its stakeholders to build on and engender the needed capacities to fill the gaps; and ensure that steps are being taken to solve the challenges being faced by stakeholders.

“Lastly, which is the main reason why we are all here, cessation of ministerial waivers on some cabotage requirements, which I believe is worth applause in favour of NIMASA. 

“This is because it appears that the readiness to obtain/grant waivers had made some of the vessels and their owners engaged in cabotage trade, to become complacent and indifferent in quickly ensuring that they updated their capacities, so as not to require the waivers. 

“The cessation of waivers is a way of forcing the relevant stakeholders of the maritime sector, to find workable solutions within, for maritime development and fill the gaps in the local capacities in 100% Nigerian crewing, ship ownership, and ship building, that had necessitated the existence of the waivers since about 15 years ago, when the Cabotage Act came into being. 

“However, NIMASA must ensure that the right environment is provided for its stakeholders to build and possess the needed capacities to fill the gaps; and ensure that steps are being taken to solve the challenges being faced by stakeholders. Or better still, that they are solved within the next 5 years of its intention to stop granting waivers”, he further explained. 

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Breaking News: The Funeral Rites of Matriarch C. Ogbeifun is Live

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The Burial Ceremony of Engr. Greg Ogbeifun’s mother is live. Watch on the website: www.maritimefirstnewspaper.com and on Youtube: Maritimefirst Newspaper.

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Wind Farm Vessel Collision Leaves 15 Injured

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…As Valles Steamship Orders 112,000 dwt Tanker from South Korea***

A wind farm supply vessel and a cargo ship collided in the Baltic Sea on Tuesday leaving 15 injured.

The Cyprus-flagged 80-meter general cargo ship Raba collided with Denmark-flagged 31-meter wind farm supply vessel World Bora near Rügen Island, about three nautical miles off the coast of Hamburg. 

Many of those injured were service engineers on the wind farm vessel, and 10 were seriously hurt. 

They were headed to Iberdrola’s 350MW Wikinger wind farm. Nine of the people on board the World Bora were employees of Siemens Gamesa, two were employees of Iberdrola and four were crew.

The cause of the incident is not yet known, and no pollution has been reported.

After the collision, the two ships were able to proceed to Rügen under their own power, and the injured were then taken to hospital. 

Lifeboat crews from the German Maritime Search and Rescue Service tended to them prior to their transport to hospital via ambulance and helicopter.

“Iberdrola wishes to thank the rescue services for their diligence and professionalism,” the company said in a statement.

In the meantime, the Hong Kong-based shipowner Valles Steamship has ordered a new 112,000 dwt crude oil tanker from South Korea’s Sumitomo Heavy Industries Marine & Engineering.

Sumitomo is to deliver the Aframax to Valles Steamship by the end of 2020, according to data provided by Asiasis.

The newbuild Aframax will join seven other Aframaxes in Valles Steamship’s fleet. Other ships operated by the company include Panamax bulkers and medium and long range product tankers.

The company’s most-recently delivered unit is the 114,426 dwt Aframax tanker Seagalaxy. The naming and delivery of the tanker took place in February 2019, at Namura Shipbuilding’s yard in Japan.

Maritime Executive with additional report from World Maritime News

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