Business
Bayelsa Seals Chinese Oil Firm …Over N109m Tax Liability
The Bayelsa State Board of Internal Revenue (BIR) has sealed off a Chinese company, Hilong Oil Services and Engineering Company Limited, over alleged tax default of N109.5 million.
The enforcement team of BIR comprising armed policemen and personnel of the Nigeria Security and Civil Defence (NSCDC) on Wednesday sealed off the company’s premises located at Elebele, Ogbia Local Government Area of Bayelsa.
The source reports that soldiers guarding the premises had initially prevented the enforcement team access until an official of the company intervened.
The Director of Compliance, BIR, Mr Robert Lokoson, who led the enforcement team, said the state government authorised the operation in order to recover a tax debt of N109.5 million owed it by the company since 2013.
Lokoson said the operation was in pursuant of Section 104 of the Personal Income Tax (Amendment) Law 2011, and an ex parte order granted by the High Court of Bayelsa State.
“This operation is part of Bayelsa State Government’s efforts in improving Internally Generated Revenue (IGR) in the state and pursuant to Section 104 of Personal Income Tax Law, 2011.
“The debt has been owed since 2013, and we have written series of letters to them to pay but no response from them.
“A few weeks back, we came here, though not with court orders with the intention of having them to see reasons to come and comply, but the company failed to respond.
“So, we have to take this last resort of getting court orders.
“Tax matter has laws binding it and as a law-abiding board, we have gone through the necessary processes to arrive at carrying out the sealing,’’ the director said.
According to him, after 14 days, if there is no response from the company, the board will go back to court and institute a case against them.
He said the sealing off the company was an indication of the state government’s determination to recover the money, adding it needs money to finance its projects.
“If a company owe this much, we have to do everything possible to recover the money. It will go for one project or the other.
“This action will send a strong message to other companies that we are not joking. Companies have been taking us for granted in this state.
“Now, we want to enforce the law to the letter so that those other companies that are not complying will see reasons to comply,’’ Lokoson added.
However, the official of the company, who had earlier allowed the enforcement team into the premises, declined to comment on the development.
According to him, he has no authourisation to speak on behalf of the organisation.
Credit to Nigeria’s private sector rose to N83.26 trillion in June 2026 from N81.04 trillion in May, signifying a positive balance of N2.22 trillion month-on-month.
Year-on-year, the figure represents a nine per cent increase compared with the N76.13 trillion recorded in June 2025. The latest figures come as the CBN continues to balance efforts to control inflation with the need to support economic growth and expand credit to businesses.
The CBN data shows that credit to Nigeria’s private sector increased by approximately 2.74 per cent month-on-month between May and June 2026. Also, the CBN data noted that credit to the government fell slightly to N40.03 trillion from N40.38 trillion. Other assets, net, dropped to N10.76 trillion from N12.63 trillion.
The credit surge signifies sustained growth in lending to businesses and other private-sector borrowers during the month. The rise in private sector credit was recorded alongside an increase in net domestic credit, despite declines in credit to government and other assets.
Further analysis of the report says that compared with June 2025, private sector credit rose by about N7.13 trillion yea-on-year but net domestic credit increased by approximately N1.87 trillion during the month.
The CBN’s relatively tight monetary policy stance notwithstanding, more banks still loaded funds to the private sector within the period. The Monetary Policy Committee (MPC) of the Central Bank of Nigeria (CBN) held its 306th meeting on July 20 and 21.
The Committee reviewed recent developments in the global and domestic economies, assessed emerging risks to the outlook and considered their implications for monetary policy and retained all rates.
The Committee decided to retain the Monetary Policy Rate at 26.5 per cent; the Standing Facilities Corridor around the MPR at +50/-450 basis points and retain the Cash Reserve Requirement (CRR) for Deposit Money Banks at 45.00 per cent, Merchant Banks at 16.00 per cent, and non-TSA public sector deposits at 75.00 per cent.
The MPC decision means that credit extension in the private sector will likely continue to rise because of rising confidence in the sector and calls by stakeholders for banks to invest in the private scetor instead of government securities.
