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FG Misapplied N1.04trn Special Fund –Senate

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The Senate Committee on Public Accounts alleged yesterday that the Federal Government misapplied N1.04 trillion from the Special Funds Accounts (SFA) to unrelated purposes.

The committee’s finding is contained in a report on the status inquiry into the SFA, which was presented on the floor of the Senate in Abuja.

Presenting the report, Chairman, Senate Public Accounts Committee, Senator Ahmed Lawan (ANPP-Yobe),  said the infractions were made between 2002 and June 2012.

Lawan said that several approvals of funds from the SFA during the period did not conform with the purposes for which the funds were established.

The SFA was established in 2002 as an interventionist fund for the development of the solid minerals sector, ecology and other critical areas of the economy.

The SFA, managed by the Federal Government, comprises the three per cent Development of Natural Resources Account, 1.46 per cent Derivation and Ecology Account, and 0.72 per cent Stabilisation Account.

Those deductions came from the federation account, said the report.

According to the report, N1.51 trillion accrued to the SFA as at June 30, 2012, from figures obtained from the Office of the Accountant-General of the Federation (OAGF).

Out of the amount, N1.23 trillion was recorded as total payments to beneficiaries from the account, the report said.

However, the report noted that the operation of the natural resources, ecology and stabilisation accounts were grossly abused.

It said several releases under this account were not related to the intendment of the account.

On natural resources account, the report detailed 16 abuses under this account, which amounted to N701.4 billon in 10 years, representing 100 per cent of the total amount released under the period.

Some of the infractions included a N2 billion loan granted for payment to Gitto Costruzioni General Nigeria Limited on September 19, 2005.

Also, the Federal Ministry of Foreign Affairs was granted a loan of N3.7 billion in 2004 to purchase a chancery in Tokyo.

Ostensibly, the loan to the ministry came from the account that was meant to assist states develop alternative mineral resources to oil and gas.

On other infractions to the natural resources account, the report noted that N5.7 billion loan was granted to the Ministry of Power and Steel in 2005 for the payment of severance package to disengaged steel workers.

Similarly, in October 2007, the Ministry of Finance also withdrew N10 billion for the payment of arrears of monetisation benefits owed Federal Government’s parastatals.

On the ecology account, the report said that out of N329.8 billion released during the period under review, N149.8 billion was abused, representing 45 per cent.

The report revealed that N750 million was released for the development of the Abuja Downtown Mall in 2007 from the fund meant to assist states ravaged by ecological problems.

Also misappropriated from the ecological funds was a N1 billion loan to Edo State Government, released in November 2002 and March 2003, respectively.

The Presidential Research and Communication Unit also received N200 million loan from the ecological fund in November 2002.

On the stabilisation account, created to provide for unforeseen contingencies and economic downturn, the report noted that N191.7 billion from the account was misapplied.

A total of N255 billion was released to the account between 2002 and 2012, and the report put its “level of abuse’’ at 75 per cent.

From the account, a loan of N309.2 million was granted to the Inspector-General of Police for purchase of vehicles for the United Nation (UN) peacekeeping operations in Haiti in 2006.

Also, N2.8 billion loan was granted to pay Federal Government of Nigeria 50 per cent contribution to the Phase 1 of the pioneer car finance scheme for public servants in paramilitary agencies in 2007.

The report by the committee also observed that out of N580 billion loans granted from the three accounts, N347.9 billion had yet to be recovered from various beneficiaries several years after.

It also noted that there was no regular reconciliation between the OAGF and the Central Bank of Nigeria.

Our correspondent reports that the committee’s recommendation for the Federal Government to recover all outstanding loans within six months did not pass through at the Senate.

Also, a recommendation for a legislation to be passed by the National Assembly to establish and regulate the SFA was also not passed.

In his explanation, Senate President David Mark said some of the recommendations by the committee had already been captured in a bill before the Senate to regulate the operations of the SFA.

Mark, however, said the report was a “wake-up call’’ to the legislators to be active in their oversight functions.

The Senate, therefore, directed its Public Accounts Committee to investigate further the disbursement and repayment of loans from the SFA.

Earlier, several Senators, who spoke after the presentation of the report, commended the committee for a painstaking work.

The senators were unanimous in their outrage over the revelations from the report and they conceded blame over their lax oversight functions of government agencies.

In his contribution, Senator Victor Ndoma Egba (PDP-Cross River) said the report had shown that “nothing has changed between when this Senate did the investigation into the PTDF and now’’.

Also speaking, Senator Ayogu Eze (PDP-Enugu) said a major lesson from the report was for the Senate to insist that the executive must present a revenue profile before subsequent debates on the budget

“Much as everybody is indicted, the legislature should rise up to its responsibility of overseeing the management of public funds,’’ he said.

On his part, Senator Bukar Ibrahim (ANPP-Yobe) noted that “these abuses have been going on for as long as we have been having governments in Nigeria’’.

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Land ownership disputes are civil matters, not police cases – FCID

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The Force Criminal Investigation Department, FCID, Alagbon, Lagos, has restated that disputes over land ownership are civil matters that fall under the jurisdiction of the courts and should not be handled by the police.

Speaking with newsmen on Sunday, the FCID spokesperson, Assistant Superintendent of Police, Aminat Mayegun, said the role of the police in land-related cases is limited to addressing criminal infractions that may arise from such disputes.

Her clarification follows growing complaints from property owners and residents in Lagos who have raised concerns about alleged police interference in land disputes, despite long-standing directives that ownership disagreements are civil in nature.

Some residents have accused law enforcement operatives of actions that allegedly worsened tensions, encouraged intimidation and complicated the resolution of land ownership matters, which they insist should be determined strictly through legal proceedings.

Others claim such involvement sometimes tilts in favour of powerful interests, further eroding public confidence.

Mayegun explained that issues relating to land boundaries or ownership are governed by civil law and must be settled in court, stressing that the police lack the authority to determine who owns any parcel of land.

She noted, however, that police intervention becomes necessary when criminal acts are committed in the course of a land dispute.

“The police are duty-bound to intervene and investigate only when land-related disputes give rise to criminal offences, as they have no mandate to determine ownership of land,” she said.

According to her, offences such as obtaining money by false pretence, malicious damage to property, arson, assault or any other act recognised under the Criminal Code Act fall squarely within the responsibility of the police.

She warned that individuals who resort to fraud, violence or destruction of property under the pretext of asserting land rights would be thoroughly investigated and prosecuted.

The FCID spokesperson also cautioned members of the public against taking laws into their hands, urging aggrieved parties to seek redress through established legal channels.

She assured that the Nigeria Police Force would continue to carry out its duties strictly in line with the law and called on citizens to report cases of improper land-related interference through the Police Complaints Response Unit.

 

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Govs Move To Prioritise Sugar For Industrial Growth

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The Nigeria Governors’ Forum has unveiled plans to prioritise sugar as a key driver of industrial development across the country.

The initiative, in partnership with the National Sugar Development Council, aims to boost local production, create jobs, and reduce Nigeria’s reliance on imported sugar.

Disclosing this yesterday in a statement, the NGF said it has agreed to include sugar projects as priority beneficiaries in engagements with both local and international development partners.

The decision follows requests by the NSDC to accelerate the development of the sugar sector, with the dual goals of achieving self-sufficiency in sugar production and creating employment opportunities for Nigerians.

Speaking at a meeting with NGF officials, NSDC Executive Secretary/CEO, Kamar Bakrin, highlighted the vast investment potential in the sugar sector and encouraged governors of states with suitable lands to embrace sugar project development.

He identified 11 states with prime sugarcane cultivation potential: Oyo, Kwara, Niger, Nasarawa, Kaduna, Kano, Bauchi, Gombe, Jigawa, Adamawa, and Taraba.

“Recent macroeconomic shifts have made domestic sugar production more commercially viable.

“While global sugar prices remain relatively stable in dollar terms, exchange rate fluctuations have made imports significantly more expensive. With locally sourced inputs, Nigeria’s sugar industry now offers robust returns,” Bakrin explained.

He added that Nigeria has approximately 1.2 million hectares of land suitable for large-scale sugarcane cultivation, far exceeding the 200,000 hectares needed to achieve national self-sufficiency.

“Sugarcane projects will empower host communities, promote inclusive development, and support environmental sustainability,” he noted.

Bakrin also cited a model sugar project producing 100,000 metric tons annually, requiring an estimated $250 million investment, with an internal rate of return of 24 per cent. Beyond sugar, the projects generate valuable by-products such as ethanol and bio-electricity, further enhancing profitability and sustainability.

The Director-General of NGF,  Abdulateef Shittu, welcomed the initiative, noting that several state governments are already exploring sugar-related investments spanning land development, agricultural schemes, and agro-industrial projects.

He emphasized that effective coordination, credible investment frameworks, and alignment with federal policy objectives are critical for scaling such opportunities.

“The NGF secretariat is committed to supporting state-level development priorities that leverage sugar projects for rural development and job creation,” Shittu stated.

 

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Urban Nigerians enjoy 40% faster internet than rural users — NCC

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Urban residents in Nigeria enjoy faster internet than rural users, a new report by the Nigerian Communications Commission, NCC, has revealed, even as nationwide connectivity shows modest improvements.

The report, which analysed 377,135 network tests using geospatial mapping, found that urban download speeds average 20.5 megabits per second, Mbps, compared to 11 Mbps in rural areas, a gap of about 40 percent. Upload speeds were also uneven, with urban users recording 10.5 Mbps against 6.1 Mbps in rural locations.

Although rural speeds have improved from 8.5 Mbps earlier this year, the NCC said higher latency in rural areas continues to affect real-time services such as voice and video calls.

NCC said: “Urban areas account for just 5.2 percent of Nigeria’s landmass but 96.7 percent of total network activity.

“Rural communities, which cover over 93 percent of the country, experience much sparser usage and slower speeds.”

The report also highlighted that the choice of network operator can sometimes matter more than location.

It stated: “MTN’s average rural download speed of 15.8 Mbps was found to outperform Glo’s average urban speed of 9.5 Mbps, showing uneven performance across operators.

“Major highways, especially the Lagos–Abuja corridor, were identified as ‘digital corridors’ where network coverage is stronger.

“Rural towns along these routes often enjoy better connectivity than remote interior villages, reflecting how road and network infrastructure grow together.”

On technology trends, the report noted that “4G LTE remains Nigeria’s broadband backbone, delivering speeds of 10–20 Mbps in rural areas, while 5G networks, where available, offer speeds of up to 220 Mbps but are still largely confined to dense urban centres.

“Among operators, MTN delivered the most consistent nationwide performance, followed by Airtel. T2 recorded the highest median rural speed at 24.9 Mbps in select regions, while Glo maintained baseline connectivity of 9.5 Mbps across both urban and rural areas.”

The NCC said closing the persistent urban-rural gap will require targeted rural infrastructure upgrades, improved upload capacity, and stronger quality-of-service standards to support digital education, e-government and remote work.

“Improving network quality outside cities is akey to ensuring all Nigerians benefit from digital services,” the regulator added.

 

 

 

 

 

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