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$418m Paris Club Debt: Again, Court Stops FG From Deducting States’ Funds

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A Federal High Court in Abuja, yesterday, refused to vacate its order restraining the Federal Government from deducting monies accruing to the 36 states from Federation Account to settle $418 million judgement debt in relation to Paris Club Refund.
Justice Inyang Ekwo, who declined to grant the plea by counsel to the defendants in the suit, adjourned the matter until December 13.
Ekwo held that since the order was made based on the plaintiffs’ motion on notice filed before the court, all pending applications would be taken on the next adjourned date.
The judge had, on November 5, made the order after counsel to the 36 state governments (plaintiffs), Jibrin Okutekpa, SAN, moved an ex-parte motion, seeking for an order of interim injunction, restraining the Federal Government from deducting any money accruing or due to all or any of the 36 states of the federation.
The court had also ruled that the restraining order would subsist pending the determination of the substantive suit.
While the 36 states Attorneys-General are the plaintiffs, some of the defendants listed in the suit include the Attorney-General of the Federation (AGF), Accountant General of the Federation and Ministry of Finance.
Others are Central Bank of Nigeria, Debt Management Office, Federation Account Allocation Committee, Incorporated Trustees of Association of Local Government of Nigeria (ALGON), among others.
According to the motion dated and filed October 27, 43 defendants are sued in the matter.
At the resumed hearing, counsel to the plaintiffs, Okutekpa told the court that the matter was slated for hear.
He said he had two motions which he intended to move.
He told the court that though most of the defendants had responded by serving on them various applications, the 9th defendant (Dr Chris Asoluka, who does business under the name and style of NIPAL Consulting Network) had refused to receive their court processes.
“We have a motion ex-parte to serve the 9 defendant an originating process. The process dated December 6 was filed on December 6 and it is praying for an order of substituted service on the 9th defendant,” he said.
The judge then granted prayer one of the motion and ordered that the service be made on the 9th defendant within three days through pasting of the notice on his address.
The senior lawyer told the court that the second motion was an application praying the court for an extension of time to file and serve their counter affidavit and all other processes in response to the defendants’ applications.
Ekwo also granted prayer one of the motion and granted prayer two in part subject to the service of the motion on the two counsels who appeared for 15th, 16th, 10th and 11th defendants.
The two counsels had opposed the motion on the ground that they had not been served with the copy.
Okutekpa then asked for a date for hearing.
However, Oyin Koleoso, who appeared for the 1st, 2nd, 4th and 6th defendants (President of Nigeria, AGF, Ministry of Finance Incorporated and Debt Management Office), informed the court that a motion asking the court to vacate the earlier order made had been filed.
Wole Olanipekun, SAN, who appeared for the 14th defendant (Dr Ted Iseghohi-Edwards), also urged the court to set aside the order.
He argued that he made the plea based on the Supreme Court and Appeal Court decisions under which the judge took the application.
Olusola Oke, SAN, who is lawyer to 12th and 13th defendants (Riok Nigeria Ltd and Prince Nicholas Ukachukwu), also supported Olanipekun’s submission.
Oke, who told the court that his clients were affected by the order, urged the court to take their application seeking for the order to be vacated.
Orji Orizu, who appeared for himself in the suit as 18th defendant, backed Oke’s statement.
He argued that since an ex-parte motion lasts within 14 days, the lawyer prayed the court to discharge the order.
“That is what we are here for. A motion ex-parte is something done without the presence of the other parties and it Is the first thing the court ought to do before adjournment,” he added.
Idumodin Ogumu, who represented 15th and 16th defendants (Panic Alert Security Services Systems Ltd and Dr George Uboh), said he aligned himself with submissions of other counsel.
He argued that based on the rule of the court, the order granted by the court was deemed to have elapsed and no longer had effect.
However, counsel to the plaintiffs, Okutekpa, disagreed with the defence submission.
He referred the court to the order which its made.
The senior lawyer argued that it was an order of interim injunction restraining the Federal Government, acting through its agencies also joined in the suit, from deducting the plaintiffs’ monies pending the determination of the motion on notice.
He said the order was also made in compliance with the rule of the court.
“Your Lordship was aware of the rule when you were making the order.
“What I am saying now is that all we are doing now is a nullity because I am yet to serve the 9th defendant.
“This is not an application that your lordship should hurriedly take. Let other defendants be here so that it will not be taken piecemeal,” he enjoined.
After taking all the arguments, Ekwo noted that the restraining order was made subject to the motion on notice filed by the plaintiffs.

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Bill For Compulsory Counselling For Convicted Corrupt Nigerians Scales Second Reading

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A bill to amend the Corrupt Practices and Other Related Offences Act 2000 has passed its second reading in the House of Representatives.
The bill, which mandates compulsory counselling and training for individuals convicted of corruption-related offences, was sponsored by Kayode Akiolu (APC-Lagos) during plenary on Wednesday.
Leading the debate, Mr Akiolu explained that the bill sought to amend Section 67 of the principal act, introducing new provisions that were not part of the original section.
“These additional provisions, found in subsections 2, 3, and 4 of the amendment bill, require judges and magistrates to not only impose imprisonment and/or fines on those convicted of corruption but also mandate a minimum four-week anti-corruption counselling and training.
“The counselling and training will be designed and delivered by the Anti-Corruption Academy of Nigeria (ACAN) and aims to address the psychological factors related to corrupt behaviour,” Mr Akiolu said.
Mr Akiolu emphasised that the training would help reform convicts by addressing their corrupt tendencies and could even transform them into advocates for anti-corruption efforts.
He added that this approach aligned with the reformative aspect of the criminal justice system, which focused on punishment and rehabilitation.
“As per subsection 4, the bill allows magistrates and judges to order convicts to cover the cost of their counselling and training, preventing additional financial burdens on the government,” the lawmaker noted.
Mr Akiolu further argued that if the bill is passed into law, it would strengthen the country’s fight against corruption.
Given the widespread negative impact of corruption, he urged the House to support the bill for the country’s benefit.
Following the debate, Speaker Tajudeen Abbas referred the bill to the relevant committee for further legislative consideration.

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Judiciary, Media Key Pillars Of Democracy, Says CJN

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The Judiciary and the Media are key pillars of democracy, the Chief Justice of Nigeria (CJN), Justice Kudirat Kekere-Ekun, has said.
Kekere-Ekun made this statement in her address at the 2024 National Conference of the National Association of Judiciary Correspondents (NAJUC).
The CJN was represented by Mr Abdulaziz Olumo, the Secretary of the National Judicial Institute (NJI).
“ The judiciary and the media occupy unique and complementary roles in any democratic society.
“ The judiciary serves as the guardian of justice, equity, and the rule of law, the media acts as the conscience of society, disseminating information, shaping public opinion, and ensuring accountability.
“ Together, these institutions provide checks and balances that strengthen the fabric of democracy,” she said.
Quoting Felix Frankfurter, a former U.S. Supreme Court Justice, she said: free press is not to be preferred to an independent judiciary, nor an independent judiciary to a free press. Neither has primacy over the other; both are indispensable to a free society.”
The CJN said this dynamic interdependence between the judiciary and the media presents opportunities and challenges alike.
“ The media is entrusted with the responsibility of informing the public about judicial activities, the judiciary relies on accurate and ethical reportage to enhance public confidence in its work.
“ However, the inherent power of the media to influence public opinion requires careful management, especially when its focus turns to judicial proceedings.
“ The question posed by Robert J.Cordy, a former Associate Justice of the Massachusetts Supreme Judicial Court, is pertinent here: “What happens when the free press turns its sights on the courts-scrutinizing, sensationalizing, and exposing the frailties of the judiciary while questioning its ethical standards and performance?”
“The media’s capacity to shape narratives and perceptions is undeniable” she said.
Quoting Jim Morrison , she said “Whoever controls the media controls the mind.”
According to her, this underscores the immense responsibility placed on journalists to report truthfully, fairly, and objectively.
“ Unfortunately, the commercialisation of news and external influences have led to the rise of sensationalism-a practice that distorts facts, erodes trust, and undermines the very essence of journalism.
“ Sensationalised headlines, such as the infamous 2016 headline “We raided the houses of ‘corrupt, unholy’ judges, says DSS,” can paint a skewed picture of the judiciary and its officers. Such reporting, often devoid of context, compromises the integrity of the justice system and misleads the public.
“ Closely tied to this is the issue of “trial by media,” where premature and often biased media narratives prejudge cases and infringe on the constitutional rights of individuals” she said.
She added that as Mahatma Gandhi rightly observed, “The sole aim of journalism should be service.” It is imperative for media practitioners to remain steadfast in their commitment to truth and objectivity.
To this end, she advised, the National Association of Judiciary Correspondents to take proactive steps to regulate the activities of its members.
“ This is not merely about enforcing rules but about fostering professionalism and safeguarding the credibility of the media.
“ The judiciary and the media must work as partners in progress.
“ To bridge the gap between these institutions, there is a pressing need for constructive engagement and mutual understanding.
“ Courts can provide the media with guidelines on judicial processes, courtroom decorum, and the nuances of court proceedings.
She noted that globally, courts have adopted initiatives to support the media’s role in reporting judicial matters.
For instance, she said the Supreme Court of Dakota’s media guide outlines protocols for courtroom reporting, while the UK ‘s Media Guidance document provides clarity on access and etiquette for journalists.
“ These examples demonstrate how structured collaboration can enhance the quality of judicial reportage.
“ In Nigeria, we can take a cue from these models by developing a comprehensive media guide tailored to our judicial landscape.
“ This initiative, which would involve inputs from NAJUC and judicial stakeholders, would not only enhance media access to courtrooms but also ensure that judicial activities are accurately and responsibly reported” she said.
She advocated that judiciary correspondents must make deliberate efforts to familiarise themselves with the rules and procedures of the courts.
She added that understanding these frameworks will enable journalists to navigate the complexities of judicial proceedings effectively and responsibly.
“ Training programs such as this conference play a crucial role in equipping judiciary correspondents with the knowledge and skills needed to report judicial matters accurately.
“ The theme of this year’s conference, “The Role of Courts in Enforcement of Judgments,” is both timely and significant, as it addresses an aspect of judicial work that is critical to upholding the rule of law and ensuring justice.
“ I commend NAJUC for its commitment to promoting accountability and transparency through its engagements with the judiciary.
“ As I conclude, I must emphasize the importance of credible journalism in strengthening public trust in the judiciary” she said.
She urged judiciary correspondents to prioritise the pursuit of truth and objectivity, resist undue influences, and remain steadfast in their commitment to ethical standards.
She commended the leadership of NAJUC, under the chairmanship of Mr Kayode Lawal, for its efforts in promoting professionalism among judiciary correspondents.

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Senate Issues Arrest Warrant Against Julius Berger MD Over Road Project

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The Senate has issued an arrest warrant for the Managing Director of Julius Berger Nigeria Plc, Dr Peer Lubasch, to appear before its Committee on Works.
The Tide’s source reports that the warrant was for Lubasch to explain the utilisation of funds appropriated for the reconstruction work on Calabar-Odukpani-Itu highway.
The warrant followed the adoption of a motion sponsored by Sen. Osita Ngwu (PDP- Enugu) and co-sponsored by Sen. Asuquo Ekpenyong (APC-Cross River) and Sen. Mpigi Barinada (PDP- Rivers) at plenary in Abuja, yesterday.
Ngwu, in the motion said, that the senate had mandated the committee on works to conduct investigation into the state of road infrastructure across the country.
He said that in furtherance to the investigative hearings, Julius Berger refused to honour invitations to provide details of its role in the Calabar-Odukpani-Itu highway project, in spite of receiving substantial public funds.
He said that this was worrisome, given the alarming discrepancies in performance among contractors on the project, with specific reference to Julius Berger for failing to meet delivery timelines.
Ngwu said it was the constitutional powers of the National Assembly under Sections 8 and 89 of the 1999 Constitution, as amended, to conduct investigations on any person or organisation responsible for administering public funds.
He said that the powers set out in section 6 of the legislative powers and privileges act empowered the Senate to issue warrants of arrest on persons in contempt of its proceedings.
The Tide source reports that the senate further ruled that President of the Senate, Godswill Akpabio, should sign the warrant, mandating the Julius Berger managing director to appear on a date to be communicated.
Akpabio said that the senate’s decision was in line with its constitutional powers under Section 89 of the 1999 Constitution (as amended).
“This senate will not tolerate the continued disregard of its authority.
“The managing director of Julius Berger must appear before the relevant committee, failing which further actions will be taken as prescribed by the constitution.
“The point of order, which was supported by the majority of the senators, highlighted the importance of upholding the integrity of the legislature.
“The senate committee will submit its findings to the National Assembly after the MD’s appearance.
“If there is any further failure to comply, we shall take the necessary steps to ensure respect for the constitution and the rule of law,” Akpabio said.

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