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Don’t Be Ignorant Of The Law, Lagos Assembly Hits Back At Suspended Chairman, Lawyer

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– says law does not recognise sentiment, emotions

The Lagos State House of Assembly has asked suspended chairman of Alimosho Local Government Area, Jelili Sulaimon, and his lawyer, Dr. Abdul Mahmud, to recognise the place of law rather than sentiments and emotions as guiding principles of legislative practices in Lagos State.

The advice by the Assembly on Tuesday was in response to the purported reaction of the duo to the suspension of the council chairman by the House on Monday at plenary.

The House, in the reaction signed by Hon. Stephen Ogundipe,
chairman, Committee on Information, Strategy and Security, further advised Jelili against ascribing self-made meanings to the laws empowering the lawmakers act where necessary in the interest of the people.

Read the full reaction below:

JELILI SULAIMAN’S SUSPENSION BACKED BY LAW

The attention of the Lagos State House of Assembly has been drawn to a statement supposedly signed by Dr. Abdul Mahmud, counsel to the embattled Alimosho local government chairman, Mr. Jelili Sulaimon, claiming to condemn the unanimous agreement of the Assembly to suspend his client on Monday, October 7, 2024.

Beyond the sensational rhetoric and half-baked details in the statement that is replete with emotions rather than deep-thoughts, it is pertinent to break down the real situation and puncture arguments as to the powers of the House to suspend Mr. Jelili.

In his race to the public to ‘garner’ sentiments, Jelili’s lawyer forgot to remember that there are no local government areas that created themselves. In other words, the creation of a local government follows strict processes of the law and Section 7 of the 1999 Constitution of Nigeria (as amended) creates the path to knowledge about this.

“The system of local government by democratically elected local government councils is under this Constitution guaranteed; and accordingly, the Government of every State shall, subject to Section 8 of this Constitution, ensure their existence under a Law which provides for the establishment, structure, composition, finance and functions of such councils.” Does this answer a question from the arguments of Jelili’s lawyer as to who has the power to create laws that regulate the activities of local government councils and their administration?

For better understanding, that section provides for the existence of: democratically elected system of Local Government to be guaranteed by a law of the State House of Assembly.

The same section provides that the House of Assembly is required to make provisions for statutory allocation of public revenue to Local Government Councils in a State. Section 8(3) highlights the procedure to be undertaken by a State House of Assembly in the creation of a new Local Government Area(s) in a State while Section 8(4) highlights the procedure to be undertaken by a State House of Assembly, through law, in the boundary adjustment of existing Local Government Areas.

Now, Section 162 (8) of the Constitution stipulates that a Law of the State House of Assembly shall provide for the distribution of monies standing to the credit of Local Government councils in a State.

Maybe we should remind him, his client and those travelling with him that Section 128 of the same Constitution further gives clarity to the powers of the House of Assembly.

“Subject to the provisions of this Constitution, a House of Assembly shall have power
by resolution published in its journal or in the
office Gazette of the Government of the State
to direct or cause to be directed an inquiry or
investigation into –
(a) any matter or thing with respect to which it
has power to make laws.

Here and based on the above constitutional provision, we are moved to ask again: who is legally guaranteed to make the law that creates the running of the local government? It is definitely not the National Assembly which is granted the constitutional powers to create states and not local governments.

This brings us to the Lagos State Local Government Administration Law (as amended) upon which the creation, administration and related activities of the local government system of Lagos State are based.

For better public information and effective knowledge, Section 24(a) of the amended law gives powers to the Lagos State House of Assembly to pass a resolution for the removal or suspension of any chairman, vice chairman, or official of any local government area (LGA) or local council development area (LCDA) after conducting an investigation. It states further that all that is needed for this resolution is a simple majority of the Assembly members. This emphasis is further highlighted in Section 5 of the law.

The amendment aims to ensure accountability and maintain order within the local government structure in Lagos State.

With this level of enlightenment as to the position of the laws guiding the administration of local government councils, it is further important to avoid misinformation or misrepresentation of the recent Supreme Court judgement concerning local governments in Nigeria. There is a marked difference between financial autonomy (upon which the lawyer’s argument rests) and administrative powers of the House. The rush to churn out a defence armed, albeit, with inferior understanding of the Supreme Court judgement does not give a sufficient case against the action of the House of Assembly.

The Local Government Administration law from which the council chairman and other elected officials of the local government system derive their powers is a product of the House of Assembly. The office of the Auditor-General for Local Governments that monitors the financial activities of this third tier of government is created by the law made by the Lagos State House of Assembly.
The Local Government Service Commission which handles issues relating to the officials of local governments is a creation of the House of Assembly. The Lagos State Independent Electoral Commission (LASIEC) that conducts elections into elective offices at the local government level is a creation of the House of Assembly. Therefore, jettisoning these facts will amount to a poor knowledge of the legislature. If you say the Lagos State House of Assembly does not have the power over local governments, it means all these laws created by the House should not be in place. If the laws should not be in place, then why would local governments exist?

We learnt that in a bid to protect the chairman, the councillors of the Alimosho Local Government Area hurriedly suspended the Vice Chairman, Akinpelu Johnson. To show how laughable this is, it is good to note that the law guiding them does not have a provision for suspension. The Local Government Administration law gives them the opportunity to remove a chairman or vice chairman but this also comes with a process. Thus, the suspension of Johnson is simply invalid. It is therefore necessary to remind the council leader that he can also be removed in line with the Local Government Administration law of Lagos State. If he does not know this, then, it is a pity.

For the few trying to juxtapose the functions of the National Assembly with those of the House of Assembly in this case, they should take a chill pill and request to be tutored. The National Assembly cannot interfere with the runnings of a State. It is not a part of its duty. On the other hand, the constitution grants the State House of Assembly powers over the local governments.

It is to be noted that this is not the first time the Lagos State House of Assembly would be suspending the same council chairman. In May 2021, he was suspended with two others by the House for their total disregard for the local government guidelines created by the State Legislature.

While we urge against mawkishness, we would also like to task residents of the council and members of the public not to allow themselves be swayed by positions and opinions that are opposite the law in this regard.

Hon. Stephen Ogundipe
Chairman, Committee on Information
Lagos State House of Assembly.

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I Delivered $15m Agency Cash To Ex-NIMASA DG Akpobolokemi, EFCC Witness Tells Court

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A prosecution witness, Captain Ezekiel Bala-Agaba, testified in a Lagos Federal High Court on Thursday, that he personally delivered $15 million in cash to former NIMASA DG, Patrick Akpobolokemi.

The witness, Bala-Agaba, a former Executive Director of Maritime Safety, Shipping Development and Marine Operations at NIMASA, made the disclosure while testifying before Justice Ayokunle Faji of the Federal High Court in Lagos.

Captain Agaba, who appeared as the 15th prosecution witness, told the court that funds meant for pipeline surveillance were withdrawn from NIMASA’s accounts, converted into dollars, and handed over to Dr Akpobolokemi.

According to him, the money was taken to a Bureau de Change, which converted it into $15 million before the cash was delivered to the NIMASA office on Burma Road, Apapa, Lagos.

He said he subsequently took the money to the office of the then Director-General.

“The money was sent to a Bureau de Change, which later brought the dollar equivalent to our office at Burma Road, Apapa, Lagos. I asked my Personal Assistant, Ekene Nwakuche, to carry the bag and follow me to the Director-General’s office,” he told the court.

The witness explained that he collected the bag from his aide before entering the office.

“When we got to the door of the Director-General’s office, I collected the bag from him and asked him to wait outside. I then personally delivered the sum of $15 million to the Director-General.”

The witness was initially a defendant in the case but later opted to testify for the prosecution.

While being led in evidence by prosecuting counsel, Suleiman Suleiman, he explained the chain of command within NIMASA and how financial approvals were processed in the agency.

According to him, the Director-General is the overall head of the agency and issues instructions to directors, who then implement policies in line with the NIMASA Act.

He told the court that he chaired the agency’s Intelligence Committee, which was responsible for certain security-related operations.

“As chairman of the committee, I oversaw its activities and reported directly to the Director-General, Dr. Patrick Akpobolokemi,” he said.

During the proceedings, the witness was also shown a document containing a letter from Access Bank to the Economic and Financial Crimes Commission (EFCC) detailing transactions in NIMASA’s accounts between 2013 and 2015.

When asked how much money he took to the former Director-General, Agaba replied: “$15 million.”

After listening to the testimony, Justice Faji adjourned the matter until April 22 and 23 for cross-examination of the witness.

The EFCC had in December 2015 arraigned Dr. Akpobolokemi and seven others before the court on a 30-count charge bordering on conspiracy, fraudulent conversion of funds and money laundering.

Those charged alongside the former NIMASA boss include, Warredi Enisuoh, Governor Juan, Ugo Frederick, Timi Alari, as well as Alkenzo Limited and Penniel Engineering Services Limited.

They pleaded not guilty to the offences.

The anti-graft agency alleged that the defendants conspired to divert funds running into over N1.15 billion under the guise of providing security intelligence in Nigeria’s maritime domain.

According to the EFCC, the NIMASA Intelligence Committee allegedly received N1,153,000,000 between December 2013 and July 2015.

Investigations further revealed that several companies contracted to execute the intelligence operations were either unregistered or lacked the capacity to perform the services, while some were allegedly linked to the defendants.

The prosecution also alleged that the defendants nominated or owned many of the companies used to execute the contracts.

One of the charges stated that the defendants conspired to commit offences punishable under the Money Laundering (Prohibition) Act, 2012.

 

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CBN Bars Chronic Loan Defaulters from Accessing New Banking Services

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The Central Bank of Nigeria (CBN) has issued a directive to all financial institutions to immediately restrict certain banking services for large-ticket borrowers with non-performing loans (NPLs).

This move is aimed at strengthening credit discipline and protecting the stability of the Nigerian financial system following a rise in the industry’s NPL ratio to approximately 7%, exceeding the regulatory 5% threshold.

This order is specifically targeted at large-ticket obligors.

The CBN issued the directive in a circular to banks on Monday.

The latest instruction comes almost a week after the CBN asked financial institutions to stress test.

It is uncertain if the two directives are connected or what may have triggered the loan-related instruction, but the apex bank said it furthers its mandate to protect Nigeria’s financial system.

“In furtherance of its mandate to promote a sound financial system, protect depositors, and enhance prudential compliance within the banking sector, the Central Bank of Nigeria (CBN) hereby directs all banks to restrict non-performing large ticket obligors, whose activities pose systemic risk to the financial system, from accessing specified banking services,” the circular reads in part.

“Any large-ticket obligor with a non-performing facility recorded in the CRMS and/or any licensed private credit bureau shall not be granted additional credit facilities. For the purpose of this restriction, credit facilities include loans and other forms of direct credit.

“In addition, such obligors shall not be granted banking facilities or contingent liabilities such as bankers’ confirmations, letters of credit, performance bonds, or advance payment guarantees.”

 

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Makinde Only In PDP Because He’s Not Seeking Re-election – Otitoju

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Babajide Kolade-Otitoju, the Director of News at TVC News, recently stated that Oyo State Governor Seyi Makinde would likely have defected from the People’s Democratic Party (PDP) if he was still serving his first term.

Otitoju stated this on Friday on TVC’s ‘Breakfast Show’.

He described the National Convention of the Peoples Democratic Party, PDP, in Ibadan last November as a mere waste of time.

“People must show good judgment at a critical phase. What was the point of having that convention? Two courts told you not to go ahead but you went ahead.

“I may not be a fan of former Senate President Bukola Saraki but if he says something that makes sense, I will be the first to admit it. He made sense when he said let’s go for caretaker. What’s the point of not listening to him?

“Later you will be shouting that the ruling party is behind your crisis, meanwhile you are the architect of your own misfortunes. You created this problem.

“If Makinde were in his first term, he would have fled like the dancing governor because his second term would have been in danger,” Otitoju said.

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