Business
NAICOM Tasks Insurers On Professionalism
The National Insurance Commission (NAICOM) has called on insurance practitioners to be professionals to the core.
Mr. Fola Daniel, the commissioner for insurance (CFI) who made this assertion noted that insurers’ words must be their bonds.
On the Market Development and Research Initiative (MDRI) being pursued by NAICOM, Daniel stated that if insurance operators must propel the people to insure under the compulsory insurance programme, then underwriters must not under any guise fail to meet genuine claim settlement, rather their word must be their bond.
In his words, “The relevance of ethics and integrity to insurance business cannot be over emphasised. Where they exist, it breeds trusts, confidence and creates a boost in business generation.”
“The non-existence of these virtues amongst some practioners has helped in giving the industry a negative image. We cannot continue in this path any longer. There must be a change of attitude and behavior amongst practitioners. We cannot continue to do the same thing all the time and expect a different a different result.”
He noted that in all of these, operators must key in to discipline and professionalism as the Nigerian populace are looking up to insurance industry as an important bastion of security in the face of collapse being witnessed in other financial services sector, “we must not be a harbinger of corruption and improper dealings.”
“For those who will continue to relate as if anything and everything is possible, let me warn that Naicom will deal decisively with aberration and will also collaborate actively with other regulatory and security agencies to curb market misbehaviour,” Daniel reiterated.
Naicom has warned that under the current reforms taking place in the insurance industry, it would no longer condone a situation where the managing director of an underwriting company has on the sideline a private broking firm as well as a loss adjusting firm.
“This is unethical and it should not be encouraged. There are cases of chief executive officer of an underwriting firm having a broking firm, giving businesses to the company where he is CEO, yet there are issues of outstanding premiums. This will soon be a thing of the past”.
Mr. Sunday Thomas, Naicom director, in charge of inspection who made this notion said in most cases, the success of the managing director’s privately owned companies depend largely on at least 80 per cent of his time and energy. He said this was clearly a case of conflict of interest and divided loyalty and it is unethical.
Henceforth, he said, any managing director that must own a broking firm or loss adjusting firm would be compelled to disclose this to the board of directors of the company where is CEO so that if there are issues of outstanding premiums arising from such broking firm, the board would be able to knew the source of their problem.
He said this is a major source of unethical practice and should therefore not be encouraged.
Other observed unethical practices, he said, include inadequate rating, withholding of premium/commission, claims falsification, deliberate creation of information gap between the management and board as well as falsification of returns to the regulator.
Mr. Thomas said, by the time the commission was through with the reform in the industry, all of these would belong to history books.
He said with nine months gone in the year, not up to half of insurance companies operating in the country have submitted their 2008 financial result to the commission. “This is because they find it convenient to pay the paltry fine of N5,000 per day for as long as the result is delayed,” he said.
Under the current reform, he revealed, the fine would be made very stiff. He said it could be as high as N100,00 per day and the deadline for filing the result could be made shorter. He, therefore, advised all operators to sit up so as not to be caught on the wrong side of the law.
Business
Wigwe’s Luxury Yacht Goes For N8.74 Billion After Legal Proceedings
The daughter of late Nigerian banking executive, Herbert Wigwe has sold her father’s luxury yacht for $6.5 million which is the equivalent of N8.74 Billion following legal proceedings involving her, Otutochi Wigwe, and the company holding the vessel, Grosvenor Marine Ventures Limited.
This was contained in an online report obtained by The Tide Source in Port Harcourt recently.
The Source further clarified that $6. 5 Million dollars or N8.74 Billion was the asking price as at March this year but was unable to prove, if the said amount was exactly what the vessel went for.
The yacht, known as Chitochi, is a 2016 Custom Line 108 superyacht measuring approximately 33 metres (108 feet) in length. The transaction was handled by international yacht brokerage firm IYC, with its sales and charter consultant, Mark Elliott, overseeing the sale.
The disposal of the high-value vessel followed legal steps taken to address the corporate status of Grosvenor Marine Ventures Ltd., the company through which the yacht was held.
Otutochi Wigwe reportedly approached a court in the British Virgin Islands (BVI) to secure the restoration of the company to the corporate register, a move that enabled the necessary legal steps towards the sale of the vessel.
The proceedings were central to resolving the corporate issues affecting the company and facilitating the transaction, underscoring the legal complexities that may arise when valuable assets are held through corporate entities in foreign jurisdictions.
The sale is also significant in the context of estate administration, as luxury yachts require substantial financial commitments to maintain, even when they are no longer actively used by their owners or beneficiaries.
Such vessels typically attract considerable expenses, including crew salaries, insurance premiums, berthing charges, routine servicing and other maintenance costs, making their continued ownership a major financial responsibility.
Beyond the recurring expenses, luxury yachts are depreciating assets that may lose value over time. Their disposal can therefore form part of a strategy to preserve estate value, reduce liabilities and convert an expensive asset into liquid funds.
Wigwe, who was the former Group Chief Executive Officer of Access Holdings, died on February 9, 2024, in a helicopter crash in California, United States, alongside his wife, Chizoba; their son, Chizi; and former Nigerian Exchange Group chairman, Abimbola Ogunbanjo.
His death was widely mourned across Nigeria’s banking and business communities, where he was recognised for his contributions to the financial services industry, entrepreneurship and philanthropy.
Wigwe’s passing left behind an estate whose administration involves the management of assets and other financial interests, a process that can require legal and financial decisions to protect the interests of the estate and its beneficiaries.
The sale of Chitochi highlights the challenges associated with managing high-value assets held through corporate structures, particularly where the relevant companies and legal proceedings fall under different jurisdictions.
The $6.5 million transaction brings the yacht’s ownership chapter to a close while illustrating how legal procedures, financial considerations and estate management can intersect in the administration of the assets of a prominent business figure.
‘’We determined to get all our equipments and machinery functioning as we progress. For now we’ve about 105 workers, comprising daily paid harvesters and regular staffs. But aside these 105 staffs we also employ daily slashers who for now are about 100.
“During peak periods, hopefully on or before January 2026 we hope to increase our work force for maximum production”, the firm’s management Stated.
King Onunwor
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Business
Traders Decry Continuous Increase In Prices Of Foodstuffs
Some traders at the Rumuwoji Market popularly known as Mile 1 Market have decried the continuous increase in the prices of food stuffs and other items in the ember season.
This was made known by the traders when The Tide visited the market recently.
The traders revealed varying changes in the prices of foodstuffs, with some commodities recording higher increase than others .
A trader Mrs Charity Obinna, at the market, said the price of yam remained the same last week and this week compared to the prices from last month to this month, adding that only a difference of about N100 to N200 was seen.
Another trader, Chukwuebuka Livinus who deals on garri, reported that the prices of some food commodities had been changing frequently.
According to him, the price of a bag of garri increased from N45,000 last week to N58,000 this week, representing an increase of N13,000.
Livinus described the increase as scary and called on the government to do something about it, especially as we get closer to the festive period.
A trader that deals on vegetables, Mrs Joy reported that a significant increase in the prices of pepper rose from N20,000 last week to N40,000 this week.
Similarly, the price of a bag of melon (egusi) increased from N420,000 toN490,000 this week.
In a separate report, Mrs Charity Obinna said that foodstuffs were generally cheaper last month than this month, with price differences ranging from N150 to N200 for some items.
Meanwhile, Giff Okoro reported a decrease in the price of tomatoes. According to her, a quantity of tomatoes that cost N45,000 last month now sells for N25,000, indicating a reduction of N20,000.
Another trader, Usman Ibrahim said the cost of transporting goods from the communities to urban areas where they are sold is one of the major reasons for high cost of goods.
He said transport cost has doubled due to the cost of petroleum products in Nigeria, adding the whole cost is part of the goods because “entrepreneurs must cover their cost and make their gains .
Ibrahim called on the government to help farmers and traders even with little capitals to expand and sustain their business.
Another trader, Mrs Choice Promise a fish retailer said a cartoon which sold at #35,000 last week now sells at #50,000 .
Promise complained that there is no gain or profit because the price has drastically increase and most people cannot afford to buy fish again.
“Mr. President’s Renewed Hope Agenda recognizes that economic ambition requires dependable infrastructure,” Tegbe said.
He added that investments in electricity infrastructure would strengthen the foundations for business expansion, employment and economic growth.
The Kankia substations comprise two 60 MVA, 132/33 kilovolt (kV) facilities designed to strengthen the transmission network serving Katsina State and neighbouring areas.
Tegbe said the infrastructure would improve the network’s ability to distribute available electricity, supporting commercial activities and household welfare.
He also urged residents to protect the facilities against vandalism and other activities that could disrupt electricity infrastructure, asking them to report suspicious activities to TCN or security agencies.
Katsina State Governor, Dikko Umaru Radda, described the project as a significant investment in the state’s electricity infrastructure.
Radda stated that improved electricity supply could support industrial development, economic growth and public service delivery.
He further commended the President, the Federal Ministry of Power and TCN for completing the project.
It would be noted that the latest projects come amid a broader government’s drive to address bottlenecks in Nigeria’s electricity transmission network, which has constrained the amount of electricity that can be delivered to distribution companies and end users.
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