The House of Representatives has said
that it will soon commence an investigative hearing on how the country
lost over N1.4 trillion to indiscriminate granting of import duty
waivers, exemptions and concessions by the Federal Ministry of Finance
and the Nigeria Customs Service (NCS).
Duty is a tax levied on imports by the
customs authorities to generate revenue and to protect domestic
industries from more efficient or predatory competitors from abroad. The
Federal Government has been waiving such duties to well-connected
businessmen and political loyalists, thereby leading to the loss of
billions of Naira in revenue that could haved accrued to public coffers.
Earlier, the Finance minister Dr Ngozi Okonjo-Iweala had written to the House Committee on Finance that the country lost only N171 billion to waivers in the last three years, but documents obtained from the Nigeria Customs Service contradicted her letter and puts the figure at a staggering N1.4 trillion.
Daily Trust, a sister publication, had last Wednesday published details of how the country lost the huge sum of money to duty exemptions by the Federal Ministry of finance and the Customs Service from 2011 to 2013.
A letter addressed to Minister of Finance and the Coordinating Minister for the Economy, Dr. Ngozi Okonjo-Iweala, dated 23rd January, 2014 exclusively obtained by Sunday Trust in Abuja yesterday, signed by the Chairman of the House of Representatives Committee on Customs and Excise, Rep. Sabo Mohammed Nakudu (PDP, Jigawa), said the investigation was sequel to an earlier resolution of the House mandating the Committees on Customs and Finance to carry out a comprehensive investigation into the granting of waivers and exemptions from 2009 to date.
In the letter, which is titled, “Urgent need to put a stop to processing and or granting of waivers, exemptions and concession not backed by protocol”, the lawmakers also directed the finance minister to stop further granting of waivers, exemptions and concessions not backed by protocol.
The reads partly, “We are also to remind you that waiving, exempting, and concessioning future earning by government amounts to “Executive Appropriation” contrary to section 80 and 162 of the 1999 constitution of the Federal republic of Nigeria as amended.”
“We also make bold to add that no authority including the President has the constitution powers to impose or increase tax, duty or fees or any reduction, or withdrawal or cancellation thereof without first introducing a Bill before the National Assembly as clearly stipulated in section 59 (1)(b) of the 1999 constitution as amended.”
“The net implication of the section of the constitution we have referred you to is that the current practice of indiscriminate granting of waivers, exemptions and concessions by government is to say the least, patently and manifestly unconstitutional to the extent that no Bill was introduced before the National Assembly for such purposes.”
Earlier, the Finance minister Dr Ngozi Okonjo-Iweala had written to the House Committee on Finance that the country lost only N171 billion to waivers in the last three years, but documents obtained from the Nigeria Customs Service contradicted her letter and puts the figure at a staggering N1.4 trillion.
Daily Trust, a sister publication, had last Wednesday published details of how the country lost the huge sum of money to duty exemptions by the Federal Ministry of finance and the Customs Service from 2011 to 2013.
A letter addressed to Minister of Finance and the Coordinating Minister for the Economy, Dr. Ngozi Okonjo-Iweala, dated 23rd January, 2014 exclusively obtained by Sunday Trust in Abuja yesterday, signed by the Chairman of the House of Representatives Committee on Customs and Excise, Rep. Sabo Mohammed Nakudu (PDP, Jigawa), said the investigation was sequel to an earlier resolution of the House mandating the Committees on Customs and Finance to carry out a comprehensive investigation into the granting of waivers and exemptions from 2009 to date.
In the letter, which is titled, “Urgent need to put a stop to processing and or granting of waivers, exemptions and concession not backed by protocol”, the lawmakers also directed the finance minister to stop further granting of waivers, exemptions and concessions not backed by protocol.
The reads partly, “We are also to remind you that waiving, exempting, and concessioning future earning by government amounts to “Executive Appropriation” contrary to section 80 and 162 of the 1999 constitution of the Federal republic of Nigeria as amended.”
“We also make bold to add that no authority including the President has the constitution powers to impose or increase tax, duty or fees or any reduction, or withdrawal or cancellation thereof without first introducing a Bill before the National Assembly as clearly stipulated in section 59 (1)(b) of the 1999 constitution as amended.”
“The net implication of the section of the constitution we have referred you to is that the current practice of indiscriminate granting of waivers, exemptions and concessions by government is to say the least, patently and manifestly unconstitutional to the extent that no Bill was introduced before the National Assembly for such purposes.”
No comments:
Post a Comment