Publication Archives: Newsletter

By: Emmanuel Adefeso ESQ

The federal government has officially launched the Opening Extractives Programme (OEP), a global five-year scheme to unveil the real owners of assets in Nigeria’s oil, gas and mining sectors. The initiative was introduced to accelerate progress of beneficial ownership transparency in selected resource-rich countries and to be jointly implemented by the Extractive Industries Transparency Initiative (EITI) and Open Ownership,

The Minister of Finance, Budget, and National Planning, Dr. Zainab Ahmed, who delivered the keynote during the event organised by the Extractive Industries Transparency Initiative (NEITI) in Abuja, said it would help stem corruption and money laundering in the sectors. Ahmed explained that having been selected as one of the pilot countries for beneficial ownership, NEITI at the time developed the first set of templates used to gather information and data on who the real owners of Nigeria’s extractive assets were, but met with brick walls at every turn. With the launch of the programme, she stated that Nigeria has now fully institutionalized beneficial ownership reporting, thus moving away from the experimental stage and providing for sanctions for defaulters.

The Executive Secretary, NEITI, Dr. Ogbonnaya Orji, in his remarks, stressed that the programme was a global initiative to support national governments to deepen implementation of beneficial ownership transparency, saying that though its execution may be difficult, it was doable. According to him, secrecy in corporate ownership of assets in the extractive industries remained a clear danger to countries everywhere in the world. It creates a real and present danger to our collective development aspirations, especially in all developing countries. But what is most gratifying is that governments in developed and developing nations are coming together to strategise on how best to lift the veil of secrecy over the ownership of extractive assets in most of the resource-rich countries.

The initiative will go a long way in assuring all invaluable stakeholders of a transparent, cost efficient, safe, and sustainable framework, for the management of Nigeria’ hydrocarbon resources, in the best interest of the country, investors and in line with global best practice. The long term gain of this initiative are that citizens will be aware of who they are doing business with or competing against and will also encourage appropriate stakeholder engagement which is a part of Nigeria’s open government action plan. It is a step in the right direction for the implementation of global standards for the promotion of an open and accountable system in the management of extractive resources in Nigeria.

Disclaimer: This news update is intended only to provide general information and does not by itself constitute or serve as legal advice. For further information, we are available to provide detailed legal advice. For more information contact us on info@asalawpractice.org or call 0908 482 0000, 0806 749 8777

By: Emmanuel Adefeso ESQ

The Central Bank of Nigeria (CBN) has granted approval in principle to MTN and Airtel to operate payment service bank (PSB) across the country, aimed at further driving financial inclusion in Nigeria.

Announcing the approval, MTN in a statement signed by the Company’s Secretary, Uto Ukpanah, said: “MTN Nigeria Communications Plc. (MTN Nigeria) as promoter, received an Approval in Principle (AIP) dated 4 November 2021 from the Central Bank of Nigeria (CBN) for a licence application for the proposed MoMo Payment Service Bank Limited. This is the first step in the process towards a final approval, subject to the fulfillment of certain conditions as stipulated by the CBN. The decision to issue a final approval is firmly within the regulatory purview of the CBN and we respect their right and judgment in that regard.” MTN Nigeria therefore affirmed its commitment towards the financial inclusion agenda of the CBN and the federal republic of Nigeria to continue to explore means whereby it can contribute to its fulfillment”.

Also, Airtel announced the approval CBN granted it to operate PSB, through a statement signed by the Group Company Secretary, Simon O’Hara, said: “Airtel Africa, with presence in 14 countries across Africa, announces that its subsidiary SmartCash Payment Services Bank Limited has been granted approval in principle to operate a payment service bank business in Nigeria. Final approval is subject to the Group satisfying certain standard conditions within six months.”

It would be recalled that the CBN had in the last quarter of 2018 unveiled the operational guidelines for PSBs. Therefore, the approval in principle granted to MTN and Airtel are in furtherance of the CBN’s mandate of promoting a sound financial system and enhancing access to financial services for low income earners and unbanked segments of the society. The PSBs are to operate mostly in the rural areas and unbanked locations, targeting financially excluded persons, with not less than 25 per cent financial service touch points in such rural areas as defined by the CBN from time to time.

Therefore the decision to grant PSB approvals to the two major telecommunications firms in Nigeria is in line with the apex banks objective of enhancing financial inclusion and the development of the payment system through a secured technology-driven environment.  Indeed, the operation of payment service bank (PSB) across the country will undoubtedly enhance financial inclusion in rural areas by increasing access to deposit products and payment/remittance services to small businesses, low-income households and other entities through high-volume low-value transactions in a secured technology-driven environment.

Disclaimer: This news update is intended only to provide general information and does not by itself constitute or serve as legal advice. For further information, we are available to provide detailed legal advice. For more information contact us on info@asalawpractice.org or call 0908 482 0000, 0806 749 8777

By Ronaldson Diete-Spiff

The Governor of Lagos State, His Excellency Babajide Sanwo-Olu has signed into law the Administration of Criminal Justice (Amendment) Bill, 2021 into law, a bill passed by the Lagos State House of Assembly. By virtue of Section 9(a) of the Amendment bill, it states that the bill seeks to prevent the Nigerian Police from exposing suspects before the media. The Attorney General of Lagos State, Moyosore Onigbanjo having assented to the bill, stated that it includes criminal trials via audio and video platforms in the media.

The bill further prescribes protective measures and for the establishment of a crime register and a reform committee set in place. The said Administration of Criminal Justice (Amendment) Law of Lagos State 2021 having been passed in 2007 which was further amended in 2011 was to ensure the Fundamental Rights of individuals as stipulated in the 1999 Constitution (as amended). However, certain provisions which were incorporated via amendments also seek to address the delay in the administration of criminal justice and to promote citizens’ rights.

The justice reform committee thus reiterates on the promise made by the Governor, His Excellency Babajide Sanwo-Olu in the areas of promotion of law and order, protection of citizen’s right, decongestion of our correctional facilities in order to ensure a crime free society. The ministry of justice in a combined effort with stakeholders would see that the laws are enforced.

This is laudable as its sole purpose is to remove all forms of abuses and malaise prevalent in our society in form of arrest, trial and torture of the suspect having to go through media trail thereby affecting the psychological status of the individual. The parade of suspects contravenes Section 36 of the 1999 Constitution (as amended) which guarantees presumption of innocence of suspects until proven guilty by a competent court of law. It is a right step to make our laws to be in tandem with the current development in our society.

Disclaimer: This news update is intended only to provide general information and does not by itself constitute or serve as legal advice. For further information, we are available to provide detailed legal advice. For more information contact us on info@asalawpractice.org or call 0908 482 0000, 0806 749 8777

By R. F. Diete-Spiff, Esq.

The sum of $1 Billion will be paid by Yandex a Russian Internet Company to acquire Uber for its joint ventures in food, groceries deliveries, logistics and autonomous driving. The cash deal permits control of Yandex.Eats, Yandex.Lavka, Yandex.Delivery and rapid grocery delivery service as well as autonomous vehicle division held separately. Going by the sale, its basis is on building up on food and grocery deliveries based on the index as seen during the COVID-19 era and the growth of its online shopping and entertainment streaming offerings is also fast rising at an alarming rate.

By: Emmanuel Adefeso Esq.

The Corporate Affairs Commission (CAC) has announced the commencement of the registration for the Limited Liability Partnership (LLPs) and Limited Partnership (LPs). As declared in a statement issued by the CAC on Tuesday 31^st day of August, 2021, the commission has also deployed the registration interface for the LLPs and LPs on the Company Registration Portal (CRP) to enable customers and members of the general public to register.