Hot SOURCE News

Hot Source
Hot News
June 16, 2025
25 views

THE SHADOW OF LOOT AND LOSSES

Abdulrasheed Bawa’s book vindicates the removal of petroleum subsidy, reckons IBRAHEEM MOUFTAH

President Bola Ahmed Tinubu was perceived to have made a blunder when, on his inauguration as President and Commander-in-Chief of the Armed Forces of the Federal Republic of Nigeria, he stated that the subsidy on petrol, had been removed. I was among those who viewed the president’s statement as hasty and ill-timed. But I was wrong. I acted in ignorance, not after reading the accounts of the subsidy regime fraud by a former chair of the Economic and Financial Crimes Commission (EFCC), Abdulrasheed Bawa, in his recently published book, “The Shadow of Loot and Losses: Uncovering Nigeria’s Petroleum Subsidy Fraud”

The book is an expository and a must-read. It revealed the insider deals in the Petroleum Support Fund (PSF) from 2006 to 2012. According to the author, he felt a strong urge to share a story defined by the pursuit of justice and the prevalence of fraud. And the content of the book didn’t deviate from the motivation. It gave insights into the petroleum industry and the history and causes of petroleum subsidy fraud in the country. He also highlighted the various ways these frauds were perpetuated by a network that consists of oil marketers, tank farm owners, bankers, vessel owners, civil servants within the petroleum industry and some highly placed individuals in the country. After reading, one would be glad that the subsidy regime had ended.

Among the listed manner these frauds were perpetuated by the actors, the one that struck my attention was “Bridging by air fraud”. He narrated that this was among the earliest forms of petroleum subsidy fraud that involved, largely, the reimbursement for transportation/freight of petroleum products from coastal (loading) depots to the inland (receiving depots), and the National Transportation Allowance through which diversion was carried out. “Oil marketing companies were to load their trucks using meter tickets and waybills. The waybills would be stamped by Petroleum Equalization Fund (PEF) officials at the point of dispatch from the loading end. They would also be stamped at the receiving end upon arrival at the inland depots to confirm their receipt.”

He said the fraud is perpetuated when some oil marketing companies would sell products at the coastal depots, and complete the documentation as though the trucks were loaded and dispatched at the inland depots. Meter tickets and waybills are thereafter obtained and flown to the receiving end to be processed and submitted to PEF as claims for reimbursement. This is quite interesting and indicates how insider dealings by the relevant government officials at the coastal and inland depots aid this fraud in return for kickbacks. Also, oil marketing companies were involved in substituting short distances between the loading depots and a filling station with longer distances to secure financial compensation.

For example, a claim would be presented that a truck delivered PMS to a retail station in Maiduguri, whereas the PMS was sold elsewhere or claims would be made for delivery to retail outlets that do not exist. In my opinion, as simple as this process might seem, it was an avenue where hundreds of millions were fraudulently obtained by the consortium of racketeers. The author made some honest submissions with regard to efforts by PEF to address the concern. But it was also breached. He said, “PEF invested billions of naira in the automation of the verification process through a software called Aquilla. Aquilla succeeded in eliminating both the bridging by air fraud and the diversion fraud to some extent. However, during the teething period of the deployment of the software, oil marketing companies found a way by which they removed the Aquilla tags from their trucks in order to perpetuate the bridging by air. Based on the foregoing, additional controls were put in place by which any tag removed from a truck would no longer be functional. Also, licenses, registration numbers and chassis numbers of oil trucks had to match whenever trucks were scanned at the loading and receiving ends. Despite all these, PEF struggled to achieve accurate oversight as smuggling and black-market sales persist.”

The PEF example should resonate in other sectors. It is an indication of a deliberate attempt at improving service delivery. There are fraudulent practices almost everywhere, and one of the ways to address these concerns is the deployment of technology, just like the case of the Aquilla software that helped a great deal in drastically reducing the bridging by air fraud. There are lessons to be gleaned from this example, and this much the author alluded to by highlighting the adoption of technology to modernize government operations and creating deterrents by promoting a legal environment that ensures swift investigations and prosecutions of wrongdoing, public perception of risk can shift. I like the creating deterrents angle from a psychological perspective. It can be further understood using the carrot and stick approach in discouraging undesirable actions.

The book “The Shadow of Loot and Losses: Uncovering Nigeria’s Petroleum Subsidy Fraud” should be a staple item for policymakers and implementers. It is a quasi-academic work with insights into the issues, examples and recommendations on ways forward. Worthy of note is his allusion that had the system been more efficient, and instances of fraud minimized, President Bola Ahmed Tinubu might not have deemed it necessary to eliminate the subsidy regime. He also argued that “retaining a well-managed subsidy programme could have provided much-needed relief to vulnerable populations by ensuring that the cost of living remains stable and providing a buffer against economic shocks.” However, as we all know, the subsidy is gone, and our focus now should be on improving domestic capacity for uninterrupted refining of crude oil.

There are positive steps in that direction with the sale of crude in naira to local refineries. The first step has been achieved, and the next step should be ensuring the availability of products to the refineries to ensure a seamless flow in the value chain. If this is done, we might as well perish the idea of importation of petroleum products into the country. I hope a major actor in the petroleum sector in the country would be led by the spirit to also give us a glimpse of the intricacies of the fuel subsidy regime. This insider perspective would indeed be a knowledge addition about a regime that is arguably the most fraudulent in our history.

Mouftah writes from Abuja, FCT

Abdulrasheed Bawa’s book vindicates the removal of petroleum subsidy, reckons IBRAHEEM MOUFTAH President Bola Ahmed Tinubu was perceived to have made a blunder when, on his inauguration as President and Commander-in-Chief

Hot Source
Hot News
June 16, 2025
29 views

IN PRAISE OF OBOREVWORI

Some members of the Nigerian Guild of Editors were impressed with current development efforts in Delta State, writes GEORGE OKONKWO

In a recent tour that could be described as a revelation of progress, senior members of the Nigerian Guild of Editors (NGE), led by its President, Mr. Eze Anaba, were in Delta State recently to assess ongoing development under the administration of Governor Sheriff Oborevwori. What they encountered was a state visibly transformed by infrastructure development, social investments, and bold policy implementations. The delegation, which also included notable journalist and Arise News anchor, Dr. Reuben Abati, embarked on a guided inspection of various projects spanning across the three senatorial districts of Delta State.

The outcome of their visit was not just commendation but a call to amplify the success story that is gradually redefining the narrative of governance in the Niger Delta region. Speaking after touring road projects, public buildings, and educational institutions, NGE President Eze Anaba described the developments in Delta State as “real and measurable.” According to him, it is rare in today’s Nigeria to see promises matched with such visible outcomes. “We have seen some very impressive road networks. Unlike what we observe in some areas where roads collapse weeks after construction, the infrastructure here reflects quality and sustainability.

Governor Oborevwori is clearly implementing policies that touch the lives of ordinary citizens,” Anaba said. The tour covered critical infrastructure including the Okpanam-Ibusa Bypass Road, the expansive Ughelli-Asaba Expressway, and internal roads in Ughelli. The team also visited the Julius Berger flyovers at PTI Junction and the DSC Roundabout—projects that would significantly ease transportation within Warri and its environs. Anaba further stated that what impressed the editors was not just the volume of work but the strategic nature of investments. “This is what meaningful development is about. Government should have a visible impact in people’s lives. When citizens can see, touch, and feel the results of governance, it fosters a stronger connection between the people and their leaders,” he said. One of the high points of the tour was the visit to educational institutions, especially the Southern Delta University campus in Orerokpe and the Technical College in Omadino. These institutions symbolize the administration’s commitment to nurturing human capital alongside physical infrastructure. Dr. Reuben Abati could not hide his delight at the revitalization of Technical Colleges in the state. “Technical education plays a crucial role in developing middle-level manpower.

Many of our government-owned Technical Colleges faded into oblivion over the years. Seeing at least three functional technical schools in Delta is a welcome development and should be replicated in other states,” he said. He pointed out that these institutions not only prepare youths for the workforce but also support the long-term economic diversification strategy of the state. Abati also spoke on the apparent disconnect between perception and reality when it comes to development in states outside major urban centers.

“People who live in Lagos or Abuja often have no idea what is going on in their home states. Many claim to be stakeholders but rarely visit, so they speak from a place of ignorance. What we have seen here today is evidence that Delta State is on a steady path of progress,” he said. He urged the state government to enhance communication about its activities, saying that visible progress should be matched with adequate publicity. Another common critique during election periods is the perception that governors often focus development in their hometowns or strongholds. However, Dr. Abati dispelled this notion in the case of Delta State. “From the northern to the central and down to the southern part of the state, we have seen projects that reflect a fair distribution of development. This kind of even spread is what engenders a sense of belonging and unity among citizens,” he noted.

He concluded by encouraging Governor Oborevwori to remain focused and not rest on his laurels. “What you are doing aligns with the mandate the people gave you. The only reward for hard work is more work. Keep pushing the boundaries of what is possible,” Abati added. Speaking on behalf of the state government, the Commissioner for Works (Rural Roads) and Public Information, Mr. Charles Aniagwu, said the administration remains committed to people-centric governance. “We are not interested in white elephant projects. Every road, every school, every bridge we construct is aimed at improving the lives of Deltans. The Governor’s M.O.R.E agenda—Meaningful Development, Opportunities for All, Realistic Reforms, and Enhanced Peace and Security, guides every policy we implement,” Aniagwu said.

He commended the visiting editors for taking the time to see things for themselves rather than relying on second-hand reports. As Governor Oborevwori’s administration marks its second year, the verdict from the editorial delegation adds a layer of credibility to his efforts. It also serves as a reminder that good governance is not about flashy announcements but about consistent delivery and measurable impact. For many residents, these developments are more than just projects; they are symbols of hope and proof that democratic dividends can indeed be delivered. From road users who now enjoy smooth rides, to students gaining practical knowledge in technical colleges, the Oborevwori administration appears to be laying a solid foundation for sustainable growth. As the state continues on this trajectory, the challenge, as pointed out by Dr. Abati, will be in maintaining momentum and ensuring that no community feels left behind. But if the words of Eze Anaba are anything to go by, Delta State under Governor Oborevwori is a model worth emulating: “What we have seen here should serve as a benchmark for other states. Development is not just about budgets and press releases; it’s about execution and impact. Delta is showing what is possible when leadership meets commitment,” he said. Okonkwo writes from Lagos

Some members of the Nigerian Guild of Editors were impressed with current development efforts in Delta State, writes GEORGE OKONKWO In a recent tour that could be described as a revelation

Hot Source
Hot News
June 16, 2025
30 views

THE NEED FOR BUDGET RESPONSIBILITY

I see too much waste in our budget; honestly, we didn’t need a $36 billion budget in times of crisis.

We could have done a budget within the range of our revenue capacity.
In the end, why have a budget if it will have low performance, and a lot of corruption? For instance, we all know that the constituency project debacle is real. I think it is something we should scrap or reduce.

If local government autonomy is practical, why then the need for constituency projects that get wasted in corruption? Many years ago, ICPC alluded to that, but nothing came out of it.

I think we need a sort of OBR – Office of Budget Responsibility. I don’t want to bloat the hitherto bureaucracy, but that can be funded like an independent think tank that evaluates projects by project and cuts corruption.

Over the years, our budgets are swayed more on the path of politics, and no nation can grow that way.

Fixing Nigeria starts from the budget process. If we can reduce budget fraud to about 20% and improve budget viability to over 60%, then we can have a ricochet effect on the felt economy.

The problem is there’s always a disconnect between the budget and the felt economy, and the impact ratio is minimal.

That should be the role of a budget responsibility office.

Rufai Oseni, rufaioseni@gmail.com

I see too much waste in our budget; honestly, we didn’t need a $36 billion budget in times of crisis. We could have done a budget within the range of

Hot Source
Hot News
June 16, 2025
31 views

Tinubu’s Forest Guard: Who Will Guard the Guard? (Part 1)

Introduction

When the Forest Hides More than Trees

To paraphrase an old African proverb, “when the forest is silent, beware, it may be plotting”. Nigeria’s forests are no longer just a canopy of trees sheltering wildlife and whispering winds; they have become a theatre of terror. Armed bandits, kidnappers and insurgents have “discovered” what ancient wisdom already knew: that the forest is the perfect hideout. In response, President Bola Ahmed Tinubu has proposed a bold and ostensibly visionary plan, the deployment of a National Forest Guard Corps. This move has since sparked hope, scepticism, and fierce Federalism-versus-Unitarianism debates.

At the heart of this strategy, is the ambition to reclaim over 1,129 forest reserves scattered across Nigeria’s sprawling terrain, most of which now serve as havens for terrorists and criminal syndicates. With over 130,000 armed operatives to be recruited and deployed, it is easy to view this initiative as the long-overdue solution to Nigeria’s security woes. But, this move is not just about logistics and boots in the bush; it is about sovereignty, legality, and local legitimacy. Is Tinubu’s forest guard plan a Federal solution to a national emergency, or is it an ill-fated centralisation of local security challenges, enabling the Federal Government to breathe down the necks of State Governments?

To answer this, we must examine the legal, constitutional, and operational frameworks of Tinubu’s initiative, evaluate historical precedents, and analyse the potential risks of imposing a Federally controlled paramilitary force in forests that historically and legally belong to the States. We must also interrogate whether security can be bought with arms alone; or whether it grows from the grassroots up.

But, before we venture into the thicket of policy and power, let us consider the context that birthed this proposal. Nigeria’s forests, which were once ecological sanctuaries, have gradually degenerated into lawless zones of bloodbaths. The green expanse that should echo with bird calls and animal grunts, now reverberate with gunfire. Insecurity in rural and agrarian communities has reached such alarming heights that farmers have virtually abandoned their lands, leading to food insecurity, economic stagnation, and mass displacement. The forests no longer nurture life; they generate death.

Between Policy and Implementation

The Government’s decision to respond with a large-scale recruitment of forest guards may indeed, seem intuitive, after all, it aligns with the global trend of ecological militarisation in fragile States. Yet, the structure of implementation matters deeply. If the architecture of this plan disregards Nigeria’s Federal nature, it risks exacerbating the very crisis it was intended to solve. Forests may be rooted in soil; but the guardianship of that soil is rooted in law, identity, and community ownership. The principle of quic quid plantatur solo solo cedit applies. Forest guards who do not share the language, culture, history or kinship of the terrains they are sent to police, will surely be seen as outsiders. And, such outsiders in the forest may become either victims or villains.

Furthermore, this proposal arrives at a critical moment in Nigeria’s democratic evolution. Debates over State and community policing, restructuring, devolution of powers and regional autonomy are no longer intellectual abstractions; they have become national imperatives. See Sections 215 and 216 of the 1999 Constitution. Tinubu’s plan, whether deliberately or inadvertently, intersects with these gaping fault lines. To superimpose a Federally-managed forest force without recognising the nuanced relationships between State, land and community, is to risk uprooting fragile peace and replacing it with more severe antagonism.

Now, are we really a Federation in truth, or merely in name? I dare say what we operate in the guise of Federalism is actually a unitary form of government. Can national unity be enforced through uniformed patrols, or is it better that it be cultivated through shared values and governance? As we delve deeper, the question is not just who guards the forest, but, who decides who guards the forest, and in whose name. Indeed, a deeper question: Who will guard the Guard?

The Forest, the Federalist and the Federation

Constitutional Realities: The Power of the States Over Forests

In any Federal system, the distribution of power especially over land and internal security, is a defining hallmark. Nigeria’s Federalism, is no exception. The country’s current structure, codified under the 1999 Constitution (as amended), clearly delineates the powers of Federal, State and local governments. See Sections 2(2),3(1-6) of the Constitution. A close reading of Section 7 and the Fourth Schedule (paragraph 2(b)) to the Constitution highlights the responsibilities of Local Government Councils, including the control and regulation of agricultural and natural resources and by extension, includes forest land not reserved to the Federal Government. This immediately places forests, by default, under the control of the States, unless specifically designated otherwise, since Local Governments are located in States.

Furthermore, the Land Use Act, 1978, which is incorporated into the Constitution by reference (Section 315), gives State Governors control over all lands within their territory, excluding those under Federal use, to hold them in trust for the people of their States. The Act empowers Governors to allocate land in urban areas to individuals and organisations, and to oversee the use of non-urban land through Local Government Councils. Consequently, the direct implication is that, any forest or land not classified under National Parks, Federal Reserve zones, or Military Controlled areas, falls squarely under the jurisdiction of the State.

Federal v State Power

Of Nigeria’s 1,129 officially gazetted forest reserves, the vast majority are managed by State Forestry departments under their Ministries of Agriculture, Rural Development or Environment. These include large forest blocks in States like Cross River, Ondo, Ogun, Taraba, and Ekiti, many of which are vital to local economies, ecological sustainability, and food security. The Federal Government only controls forest areas designated as National Parks (such as Gashaka-Gumti National Park, Kainji Lake National Park, Cross River National Park, and Old Oyo National Park), administered under the National Park Service, an agency of the Federal Ministry of Environment.

Attempts to impose direct Federal recruitment and control over forest guards in State-managed forests without legislative amendments or formal agreements, risk violating both the spirit and letter of the law. Even within the Federal legislative framework, forest policing is not explicitly listed on the Exclusive Legislative List, meaning that it falls under either the Concurrent List (shared responsibilities between the Federal and States) or, in most practical scenarios, the Residual List, which is left to States’ discretion.

Unitarianism in Disguise?: The Danger of a Federal Paramilitary Force

Unitarianism masquerading as Federal security cooperation is a deeply sensitive issue in Nigeria, where ethnic plurality, historical grievances, and political mistrust run deep. The idea that over 130,000 armed operatives could be centrally recruited, trained, and deployed under Federal command while ostensibly operating within State territories, is understandably alarming to many stakeholders. It evokes painful memories of other Federally-controlled agencies that have operated with little or no regard for local dynamics, and often with tragic consequences.

The Special Anti-Robbery Squad (SARS) is a case in point. Established as a unit within the Nigeria Police Force, SARS was accused of gross human rights violations, including extra-judicial killings, torture, and extortion. Its Federal command structure meant little accountability to State Governments or communities. The #EndSARS protests of 2020, which began as youth-led demands for Police reforms, quickly morphed into a broader call for systemic change, highlighting the dangers of over-centralised security control architecture.

Similarly, the Nigeria Security and Civil Defence Corps (NSCDC), while useful in its community protection mandate, has often been accused of operational inefficiencies and jurisdictional clashes with State authorities. Cases of NSCDC operatives acting with impunity or engaging in power struggles with local law enforcement agents, are well documented.

Against this backdrop, Tinubu’s forest guard plan raises critical concerns. How can a Federal command effectively manage such a force across diverse terrains, languages and cultures, without falling into the same trap of over-centralisation and under-accountability? What happens when these guards act outside the law, or when Federal and State authorities disagree on deployment priorities? Who investigates complaints of misconduct, especially in remote rural areas? Who has the final say?

These questions are not merely theoretical. In countries with similar Federal structures, such as India and the United States, forest protection and environmental policing are almost always handled at the State or provincial level, often under decentralised bureaucracies with State-specific laws and enforcement mechanisms. For instance, India’s Forest Protection Committees are embedded in local governance structures, while U.S. State Park Rangers operate independently of Federal policing units, unless specific interstate or Federal crimes are involved. Nigeria’s own Federal structure, should offer no less sophistication. The creation of another Federal paramilitary force, especially one that operates deep in the natives’ forests without local allegiance or accountability, risks becoming not a solution but a security liability, and worse, a political tool in the hands of a powerful centre.

Indigenous Security Models: The Case for Local Recruitment

The wisdom of local recruitment, is both practical and cultural. Insecurity in Nigeria’s forests is not just about guns and patrols, it is about intelligence, relationships and trust. Bandits and criminal syndicates thrive, in environments where locals are alienated from the security structure. Conversely, they are more easily repelled when local vigilantes, hunters and indigenous operatives form part of the security fabric.

The Nigerian Hunter and Forest Security Service (NHFSS), which operates across the 36 States and the FCT Abuja, provides a compelling model. Comprised largely of traditional hunters and forest dwellers, the NHFSS brings a unique blend of tactical expertise and cultural affinity. In States like Kogi, Kebbi and the FCT, NHFSS operatives have been instrumental in intercepting kidnap gangs, uncovering illegal encampments, and collaborating with security agencies. Their effectiveness is rooted not in superior weaponry, but in their deep understanding of their peculiar terrain, their loyalty to the community, and the trust they command from locals.

A retired Army General, Peter Aro, hailed the development as a critical step in addressing rising insecurity within Nigeria’s forested regions, particularly the scourge of banditry, kidnapping, and insurgency. Forest guards must possess field survival skills, terrain literacy, and community integration. These are not qualities one can mass-produce in Abuja, through crash course training programmes. Furthermore, security should be intimately linked to traditional institutions, such as village heads, district councils, and traditional rulers, who provide crucial intelligence and moral authority.

Security Analyst, Chidi Omeje has also pointed out the danger of sending “fresh recruits with basic firearms” into forest zones where criminal elements are known to possess military-grade weapons. He advocates for a dual-layered model, where locally embedded forest guards work alongside the Military and Police, but under local command structures.

There are also precedents for success. The Amotekun Corps in the South West, and the Benue Community Volunteer Guards, are examples of locally-driven initiatives that have shown promising results. While not without their challenges, these Corps are better attuned to the local environment, and have the legitimacy to act swiftly in ways that Federal forces cannot.

Furthermore, a decentralised approach would stimulate local economies. Recruitment of indigenes provides employment, instills civic pride and strengthens the social contract bond. It also ensures that the guards see themselves as protectors, not as occupiers, a distinction that is vital in volatile communities where the line between security agent and aggressor is often thin.

In summary, while the Federal Government has a legitimate role in coordinating national responses to threats, its approach must be that of a facilitator, not a commander. Support through training, funding, surveillance technology (e.g., drones, forest mapping systems), and standard setting is invaluable. But, command and control must remain at the State level, rooted in the soil, culture, language, idiosyncrasies and rhythms of the communities the guards are sworn to protect. (To be continued).

THOUGHT FOR THE WEEK

“The clearest way into the Universe, is through a forest wilderness.” (John Muir)

Introduction When the Forest Hides More than Trees To paraphrase an old African proverb, “when the forest is silent, beware, it may be plotting”. Nigeria’s forests are no longer just

Hot Source
Hot News
June 16, 2025
25 views

NBA Warns Lawyers: Complete CPD or Risk Losing Licence and Stamp

The Nigerian Bar Association, through its Institute of Continuing Legal Education (NBAICLE), has warned that all Lawyers must follow the 2025 Mandatory Continuing Professional Development (MCPD) rules, or they’ll lose their annual practicing licence and NBA stamp in 2026. In a Notice dated June 11, 2025, NBAICLE leaders Prof Festus Emiri, SAN, and Prof C.V. Odoeme urged Lawyers to meet the requirement of at least five Continuing Professional Development (CPD) credits each year. This move is part of the NBA’s goal to raise legal standards and match global best practices.

Credits can be earned by attending NBA Annual Conferences, Branch CPD events, NBAICLE webinars, or publishing approved articles in NBA journals.

From the 2026 legal year, only compliant Lawyers with valid CPD hours and paid fees will receive their licenses and NBA stamps – essential for filing court papers and representing clients. Experts highlight that regular CPD sharpens Lawyers’ skills, keeps them up-to-date, and boosts their confidence and competitiveness. It’s not just about renewing licences, it’s about professional growth, adapting to legal changes, and improving client service.The NBAICLE has responded by launching many training options, live courses, seminars, online classes to make it easier for Lawyers to meet requirements. Lawyers can register via www.nbaicle.org or contact the team via icle@nigerianbar.org.ng. If a Lawyer doesn’t comply, their name will be omitted from the practising list, and they’ll be barred from legal duties such as signing documents or filing court cases under relevant Professional Conduct rules.

The NBA strongly advises Lawyers to act now: check MCPD rules, sign up for approved programs, collect your CPD hours, pay your fees, and avoid being shut out of practice. Ultimately, the MCPD programme reflects a global trend toward continuous learning.

As one law commentator notes, “Continuing legal education is vital, to ensure Lawyers remain competent and competitive”, a view the NBA clearly supports.

Hot Source
Hot News
June 16, 2025
17 views

Court Orders Eko Disco to Restore Electricity to Protea Hotel

Justice Chukwujekwu Aneke of the Federal High Court, Lagos, has ordered Eko Electricity Distribution Plc to immediately reconnect electricity supply to the premises of Protea Hotel by Marriott, Kuramo Waters, Victoria Island, Lagos, which was allegedly disconnected unlawfully around 11 a.m. on Thursday, June 5, 2025.

The interim order followed an ex-parte application filed on behalf of Princely Court Limited, franchise owner of the Protea Hotel by Marriott at Kuramo Waters. The Defendants in the suit are, Eko Electricity Distribution Plc, Nigerian Electricity Regulatory Commission (NERC), Rekhiat Momoh, Samuel Edoho, Abdulkadir Abdulrahman, and Agbioghale Emmanuel. The court granted the following interim reliefs pending the hearing and determination of the Plaintiff’s Motion on Notice for Interlocutory Injunction: An order directing the Defendants to forthwith, reconnect the Plaintiff’s electricity supply at the Kuramo Waters premises. An injunction restraining the Defendants, jointly or severally, from tampering with or further disconnecting the electricity supply to the Plaintiff’s premises. An injunction restraining the Defendants from tampering with the electricity meter currently installed at the premises. An order mandating the 3rd to 6th Defendant to comply with all court orders concerning reconnection of electricity to the Plaintiff’s premises, upon being served with the court’s order.

Justice Aneke made the order after the court reviewed the motion, an 82-paragraph affidavit deposed to by Sotayo Olasubomi Oluwabukunolami, Operations Manager of the hotel, alongside 10 attached exhibits, and a written address. Justice Aneke adjourned the case to June 25, 2025, for the hearing of the substantive motion on notice

Hot Source
Hot News
June 16, 2025
21 views

Borno State Launches e-Justice Project, Partners With LawPavilion

The Borno State Ministry of Justice, through its digital transformation initiatives, has launched a landmark e-Justice project in collaboration with LawPavilion, marking a decisive shift in how justice is administered in the State. The event, which was held at the Government Secretariat in Maiduguri, was graced by the Governor of Borno State, Professor Babagana Umara Zulum MNI, FNSE, CON, who unveiled the initiative, signalling a new era where efficiency, transparency, and technology converge to deliver justice that is timely, accessible, and data-informed.

The Managing Director of LawPavilion, Mr Ope Olugasa said in a statement that: “What began as a modest plan to establish an e-Library has since evolved into a comprehensive transformation, spanning digital infrastructure, physical workspace upgrades, and internal organisational reforms. The journey has redefined the Ministry’s identity with the development of a new mission, vision, and core values reflective of a forward-facing justice institution”.

According to Borno State Attorney-General, Hauwa Abubakar Isa, “The Ministry is aligning itself with global standards, to ensure that legal professionals in Borno State are well positioned to meet the realities of a rapidly advancing world”. She further explained that the newly launched Case Management System (CMS) simplifies workflow, enhances access to justice, and improves overall efficiency. The Case Management System also features tailored dashboards for the Attorney-General, Solicitor-General, Directors and State Counsel, enabling real-time performance tracking, accountability, and data-driven oversight of legal workflows across departments. One of the standout innovations, is the Mail Tracking System, an automated workflow management system that ensures every process or request for advice directed to the Ministry of Justice is digitally time-stamped, assigned, and meticulously tracked, from the Office of the Attorney-General all through the system to the State Counsel and back. This meticulous tracking guarantees that all activities adhere to designated turnaround times, significantly enhancing the quality of legal service delivery across the State.

Alongside, is the Administration of Criminal Justice Monitoring Platform, an inter-agency digital platform that will offer real-time oversight of the entire criminal justice process – from arrest to correction – across all stakeholders. The Honourable A-G expressed gratitude to the Governor, as well as to the Ministry’s Directors and staff, for their unwavering support in executing these reforms. Speaking further, she appreciated the foundation laid down by previous Attorneys-General in Borno State, making it possible for the current team to build on their successes.

The Chief Judge of Borno State, Hon. Justice Kashim Zannah, described the Case Management System as a significant milestone in the State’s judicial history, noting its potential to ensure the speedy dispensation of justice. He urged the Governor to continue supporting the Attorney- General’s efforts, and called for a comprehensive review of the State’s laws to reflect modern standards and realities.

In response, the Governor reaffirmed his administration’s full commitment to the Ministry’s ongoing transformation. “The Honourable Attorney-General, Hauwa Abubakar, has demonstrated her competence through remarkable achievements. Her dedication, is making a positive and lasting impact on the justice system in Borno”, he stated. He further pledged to prioritise law reform and continuous training of legal personnel, to sustain institutional growth.

The Technology Partner, LawPavilion, played a central role in powering the Ministry’s transformation, providing the digital architecture for the e-Library, Case Management System, and other digital initiatives, to aid speedy dispute resolution and the Administration of Criminal Justice in Borno State. According to the MD/CEO, Ope Olugasa, “Our mission to equip the justice system to enable people and businesses achieve their potential, stems from our belief that the rule of law is not just an ideal, but a fundamental infrastructure required for national prosperity. That is why we did not just come to Borno State to deliver a product, we came to walk with the team on a transformation journey, as a committed, strategic partner”.

Following the formal addresses, the Governor inspected the Ministry’s newly refurbished workspaces, unveiled the Citizens Mediation Centre, commissioned the e-Library, and officially launched the Ministry’s new logo, mission, vision, and core values.

Hot Source
Hot News
June 16, 2025
21 views

Concept of Impracticability of Performance under the Doctrine of Frustration

In the Supreme Court of Nigeria

Holden at Abuja

On Friday, the 17th day of January, 2025

Before Their Lordships

Uwani Musa Abba Aji

Adamu Jauro

Chioma Egondu Nwosu-Iheme

Obande Festus Ogbuinya

Habeeb Adewale Olumuyiwa Abiru

Justices, Supreme Court

SC/307/2006

Between

BANK OF AGRICULTURE LIMITED APPELLANT

And

SALEM FARMS LIMITED RESPONDENT

(Lead Judgement delivered by Honourable Habeeb Adewale Olumuyiwa Abiru, JSC)

Facts

The Respondent, a private limited liability company engaged in the business of mixed farming, obtained a loan of N1,161,818.00 from the Appellant to support its business. A total sum of N1,018,616.05 was disbursed to the Respondent in tranches, with the first tranche disbursed on 16th August, 1988. The Respondent used the borrowed funds to purchase 446 cows for rearing, and for other farming activities. The project was insured by the Nigerian Agricultural Insurance Company.

In early 1989, an outbreak of Contagious Bovine Pleuro-Pneumonia (CBPP) ravaged the Respondent’s cattle, and all the drugs administered on the diseased cattle by the Veterinary Department of the Kwara State Ministry of Agriculture on the diseased cattle, did not cure them or contain the outbreak. The Nigerian Agricultural Insurance Company, upon becoming aware of the situation, cancelled its undertaking to cover the project, refunded the premium, and made an ex gratia payment to the Appellant. The disease led to the death of 428 cows, leaving the Respondent with only 18 cows. The Respondent brought this development to the attention of the Appellant, however, it continued to pay the loan until it repaid the sum of N1,055,6216.00. The Respondent wrote to the Appellant, appealing for a waiver of the interest on the loan. Subsequently, the Appellant wrote to the Respondent demanding it to pay the sum of N877,736.04, or risk the auctioning of its assets.

Consequently, the Respondent filed an action at the High Court of Kwara State seeking inter alia, a declaration that the loan contract was frustrated by an Act of God, namely an epidemic of cattle disease, and having repaid a substantial part of the loan, it was discharged from any further liability to the Appellant. The Appellant’s case, on the other hand, was that the Respondent was still indebted to the Appellant to the full tune of the principal and interest on the loan. After the conclusion of trial, the trial court delivered judgement in which it granted the Respondent’s claims, and found that the CBPP outbreak was a force majeure event that frustrated the contract and discharged the Respondent from any further liability to the Appellant.

Dissatisfied, the Appellant appealed to the Court of Appeal which affirmed the trial court’s findings, and dismissed the appeal. Thereafter, the Appellant filed a further appeal at the Supreme Court.

Issue for Determination

The Supreme Court considered the first issue raised by the Appellant, which it opined was the only viable issue for determination, as follows:

Whether the Court of Appeal was wrong having regard to the established facts in addition to the Insurance Company’s letter (Exhibit 5), in holding that what happened to the Respondent’s project was an Act of God which frustrated the whole contract that existed between the Appellant and the Respondent.

Arguments

Counsel for the Appellant contended that the finding of the Court of Appeal that the CBPP outbreak was an act of God which frustrated the contract, was at variance with the evidence of the Respondent’s witness that the disease was common to cows. He argued that the outbreak was neither unforeseeable nor unavoidable, hence, the lower court’s conclusion was speculative and perverse. Counsel maintained that the disease did not meet the legal threshold for force majeure, as it was foreseeable and controllable. He argued further that the loan agreement contained no clause excusing repayment due to an Act of God, and that the obligation to repay was absolute. Counsel also argued that the loan advanced to the Respondent covered more than cattle rearing – extending to crops, buildings, and equipment – yet, the Respondent failed to show specifically which portion of the loan it spent on the purchase of the cattle. He argued that this lack of specific evidence undermined the Respondent’s case. Counsel urged the Court to allow the appeal, and overturn the judgement of the Court of Appeal.

In response, Counsel for the Respondent argued that the core purpose of the loan was for cattle breeding and rearing, not the broader “project” suggested by the Appellant. Counsel stated that the Respondent used the loan to purchase 446 heads of cattle, which were almost entirely wiped out within weeks by the CBPP epidemic. The Respondent’s Counsel argued that the scale and rapid spread of the disease, which left only 18 cattle alive, was unforeseeable and beyond control, fitting the legal definitions of both force majeure and Act of God. He clarified that the phrase “common to cows,” used by the Respondent’s witness meant the disease was peculiar to cattle, not that its outbreak in epidemic form was expected.

Counsel also stated that the evidence on record of the intervention of the Veterinary Department of the Kwara State Ministry of Agriculture and their inability to contain the disease outbreak, reinforced the lower court’s conclusion that the incident was an unforeseeable disaster. Counsel added that the Respondent had an operational farm prior to the loan and used the funds specifically for cattle farming, as evidenced during trial. He concluded that the lower court’s finding that the outbreak frustrated the loan contract was sound and supported by the evidence, and urged the Apex Court to uphold the decision and dismiss the appeal.

Court’s Judgement and Rationale

In resolving the sole issue, the Supreme Court held that although the principle of the sanctity of contracts insists upon the literal performance of contracts even though a supervening event has occurred that interferes with the debtor’s performance, or that reduces the creditor’s counter-performance; on the other hand, the counter-principle of “changed circumstances” recognises that parties often enter contracts on the basis of certain shared but unexpressed assumptions, and being busy rather than clairvoyant, they do not foresee a circumstance that may destroy a basic assumption on which they contracted. The Court held that this principle recognises that a debtor’s performance ought to be excused, when the unforeseen circumstance imposes unreasonable hardship or extreme onerousity, even though his performance is not absolutely impossible.

The Apex Court held that while contractual promises are generally absolute and enforceable, the law also provides for doctrines such as impossibility, impracticability of performance, and frustration of purpose, which are implied terms under common law. The Supreme Court held that at common law, there are three kinds of events that produce an almost automatic excuse for non-performance on the ground of impracticability and these are: (a) the supervening death or incapacity of a person who was to perform skilled, unique or highly personal services; (b) where a supervening illegality prohibits performance of the contract; and (c) where there is a supervening destruction of the contract’s object. The Court held further that under the doctrine of frustration, a contract may be discharged, if after its formation, events occur making its performance illegal, impossible or commercially sterile. The Court cited MAZIN ENGINEERING LIMITED v TOWVER ALUMINIUM (NIGERIA) LTD (1993) 5 NWLR (PT. 295) 526 and also referred to its decision in OBAYUWANA v GOVERNOR BENDEL STATE (1982) LPELR-2160 (SC). The Court held that the concept of impracticability of performance postulates that where, by reason of an unanticipated event, the performance of a contract by a party becomes overly burdensome and onerous, with extreme and unreasonable difficulty, it will constitute a viable excuse to the party for not discharging its obligation under the contract.

The Court held that these excuse doctrines do not need to be expressly stated in the agreement for them to apply, however a promisor seeking to excuse himself from performance of his obligations on the basis of frustration of contract, is required by the law to prove that the risk of the frustrating event was not reasonably foreseeable and that the value of counter-performance is totally or nearly totally destroyed. The Court held that in determining whether a supervening event has occasioned impracticability of performance thereby, frustrating the contract, the court must consider whether or not the impracticability is temporary or permanent; whether the party raising the issue of impracticability demonstrated that it made diligent and reasonable efforts to avoid the consequence of the unexpected circumstances and whether the supervening event was not reasonably foreseeable.

The Apex Court held further that, the fact that an act occurs frequently does not take it out of the realm of reasonable foreseeability; what it does is to increase the threshold of the magnitude of such act that will qualify as an uncontemplated act.

The Supreme Court held that in the instant case, there was no evidence on record showing that the manner in which the Contagious Bovine Pleuro-Pneumonia (CBPP) ravaged the cattle farm of the Respondent a few weeks after the Respondent purchased the cattle and caused the death of 428 heads of cattle was the usual manner that the CBPP operates in cattle farms. The Court held that in the absence of such evidence, the magnitude of the outbreak on the Respondent’s cattle farm must qualify as an uncontemplated act, outside the scope of reasonable foreseeability. The Apex Court held further that there was also evidence that the Respondent took out an insurance cover for the farm with the Nigerian Agricultural Insurance Company, and that upon the onset of the disease, it involved the Veterinary Department of the Kwara State Ministry of Agriculture and Natural Resources in an effort to contain the disease, but that all the interventions including the administration of known drugs failed to stop the scourge of the disease. The Court held that these show that, the Respondent took reasonable care to preempt and contain the disease, thus, contrary to the arguments of the Appellant’s Counsel, the finding of the lower Court that the outbreak of the disease “was an unforeseen peril/disaster that could not have been guarded against by the exercise of reasonable care” was supported by the case made out on the record of proceedings.

The Court held that mere hardship or inconvenience is not sufficient to invoke the doctrine of frustration or impracticability, but in this case, the facts established extreme onerousity, justifying the Respondent’s partial non-performance.

On the contention of the Appellant’s Counsel that the promise to repay the loan was an absolute one, and that there was no provision in the agreement excusing performance, the Supreme Court reiterated that the excuse of performance of contract doctrines are principles of common law which are imposed as implied terms into a contract upon the occurrence of the frustrating event, and they need not be specifically provided for in a contract for them to be invoked. The Court found that the main purpose of the loan was the establishment of a cattle farm, and that this purpose was destroyed by the outbreak of CBPP, thereby frustrating the very foundation of the contract.

In conclusion, the Supreme Court upheld the findings of the two lower courts, holding that the outbreak of the CBPP disease and its devastating impact on the Respondent’s cattle farm, constituted a valid excuse under the doctrine of frustration and commercial impracticability.

Appeal Dismissed.

O. J. Ajakpovi for the Appellant.

Olasunkanmi T. Olorunisola with G. Eteowo for the Respondent.

Reported by Optimum Publishers Limited, Publishers of the Nigerian Monthly Law Reports (NMLR)(An affiliate of Babalakin & Co.)

In the Supreme Court of Nigeria Holden at Abuja On Friday, the 17th day of January, 2025 Before Their Lordships Uwani Musa Abba Aji Adamu Jauro Chioma Egondu Nwosu-Iheme Obande

Hot Source
Hot News
June 16, 2025
25 views

Iran Suspends Production at World’s Largest Gas Field After Israeli Attack

Emmanuel Addeh in Abuja

Iran has partially suspended gas production at the world’s biggest gas field after an Israeli strike caused a fire there at the weekend, in what would be the first attack on the country’s oil and gas sector.

Iran shares the South Pars gas field with Qatar. Striking it marks a major escalation in the conflict, which already pushed oil prices up 9 per cent last Friday even though Israel spared Iran’s oil and gas on the first day of its attacks.

Israel launched an air offensive against Iran on Friday, killing commanders and scientists and bombing nuclear sites in a stated bid to stop Tehran building an atomic weapon.

The South Pars field is located offshore in Iran’s southern Bushehr province and is responsible for the lion’s share of gas production in Iran, the world’s third largest gas producer after the United States and Russia, Reuters reported.

The strike caused a fire, which has been extinguished, the Iranian oil ministry said. The fire broke out in one of the four units of Phase 14 of South Pars, halting production of 12 million cubic metres of gas.

Iran produces around 275 billion cubic meters (bcm) of gas per year or some 6.5 per cent of global gas output, and consumes it domestically as it cannot export gas due to sanctions.

Iran shares the field with Qatar, which calls the field North Field. Qatar produces 77 million tonnes of liquefied gas from the field with the help of global majors such as Exxon and Shell and supplies the gas to Europe and Asia.

Emmanuel Addeh in Abuja Iran has partially suspended gas production at the world’s biggest gas field after an Israeli strike caused a fire there at the weekend, in what would

Hot Source
Hot News
June 16, 2025
24 views

Ports & Cargo Welcomes Largest General Cargo Vessel to Call Terminal

Ports & Cargo Handling Services Limited, a subsidiary of SIFAX Group, has said it recorded a historic milestone with the arrival of IPSARION, the largest general cargo vessel ever handled at its terminal at the Tin Can Island Port, Lagos.

IPSARION, a Malta-flagged bulk carrier with a length overall of 199.99 meters and a gross tonnage of 36,560, arrived laden with bulk cargo and industrial equipment from Europe. Built by Tsuneishi Heavy Industries in Cebu, Philippines, the vessel is managed by Helikon Shipping Enterprises Ltd and operated by YAKE BULK LIMITED.

Onboard the vessel were multiple units of construction equipment, steel rods, vehicles, chemicals, power generation machinery, and several other goods.

Managing Director, Ports & Cargo Handling Services Limited, Mr. John Jenkins, described the vessel’s arrival as a strategic step aimed at maximising opportunities and resources at the terminal, while also facilitating trade and growing the country’s economy.

He said: “For a long period of time, our terminal has been servicing primarily container vessels, but a strategic business decision recently that bothers on opening up the space for more diverse business partnerships has tilted us towards welcoming general cargo vessels at our terminal.

“The general cargo business is not entirely new to us, as we have handled this at some point in time. So that means we have the expertise, equipment and other resources to adequately meet and exceed the expectations of general cargo vessels calling at our terminal. We are excited that IPSARION has called at our terminal and unloading operations are currently going on. Handling a vessel of this large scale showcases our preparedness for large-volume cargo operations. It validates the massive investment SIFAX Group has made in port infrastructure and human capacity over the years.”

Ports & Cargo Handling Services Limited, a subsidiary of SIFAX Group, has said it recorded a historic milestone with the arrival of IPSARION, the largest general cargo vessel ever handled