Sunday, September 28, 2025
24.6 C
Lagos

FG Cancels NPA, Intels Agreement on Pilotage

The federal government has cancelled the pilotage monitoring and supervision agreement between Nigerian Ports Authority (NPA) and Intels Nigeria Limited for violating the Constitution and the Treasury Single Account (TSA) policy of the government.

Mallam Abubakar Malami, the Minister of Justice and Attorney-General of the Federation said:

“The inherent illegality of the agreement as formed has since been expounded by the TSA policy issued by the Head of Service of the Federation on behalf of the Federal Government of Nigeria directing all ministries, departments and agencies to collect payment of all revenues due to the federal government or any of her agencies through the TSA.

“The objective of the presidential directive (TSA policy) in exercise of the executive powers of the president under Section 5 of the 1999 Constitution (as amended) was in furtherance of the spirit and intent of Sections 80 and 162 of the constitution and to aid transparency in government revenue collection and management.

“NPA being an agency of the federal government is bound by the TSA policy and has not howsoever been exempt therefrom. Due to the constitutional nature of the TSA, where there is a conflict between the TSA and the terms of the agreement, the TSA shall prevail.

“Therefore all monies due to the NPA currently being collected by Intels and any other agents/third parties on behalf of NPA must henceforth be paid into the TSA or any of the sub-accounts linked thereto in the Central Bank of Nigeria (information of the account will be communicated in due course) in accordance with the TSA policy.

“For the avoidance of doubt, the agreement for the monitoring and supervision of pilotage districts in the Exclusive Economic Zone of Nigeria on terms inter alia that permits Intels to receive revenue generated in each pilotage district from service boat operations in consideration for 28% of total revenue as commission to Intels is void, being a contract ex facie illegal as formed for permitting Intels to receive federal government revenue contrary to the express provisions of Sections 80(1) and 162(1) and (10) of the 1999 Constitution of the Federal Republic of Nigeria (as amended), which mandates that such revenue must be paid into the Federation Account/Consolidated Revenue Fund.

“In the premise of the above, the conflict between the agreement and the TSA policy presents a force majeure event under the agreement, and NPA should forthwith commence the process of issuing the relevant notices to Intels exiting the agreement which indeed was void ab initio.”

spot_img
spot_img

Hot this week

AIICO Deepens Bond with Retirees, Holds Annuity Forum in Lagos, PH

Mr. Gbenga Ilori, Head, Retail Business at AIICO, in...

Sovereign Trust Insurance Holds 30th AGM

L-R: Eric Balogun, Independent Director, Emi Faloughi, Director, Kayode Adigun,...

Unity Bank Shareholders Approve Merger with Providus Bank

  EGM: From left: Mr. Usman Abdulkadir, Executive Director, Risk...

NNPCL: Ogoni Re-entry is a Beacon of Reconciliation through Collaboration

The re-entry into Ogoniland marks a historic turning point...

NLNG, NCDMB Celebrate 122 Graduates of Train 7 HCD Training Program

NLNG in collaboration with the Nigerian Content Development and...

Topics

Africa Mobility Spend to Top $185bn by 2019

Annual spending on mobility across the Middle East, Turkey,...

Stanbic IBTC Asset Mgt Launches N20bn Infrastructure Fund Series III Issuance

Stanbic IBTC Asset Management, a subsidiary of Stanbic IBTC...

NAICOM Chief, Segun Omosehin, Rolls Out 5-Point Agenda for Market Growth

The Commissioner for Insurance/CEO, National Insurance Commission (NAICOM), Mr....

Igboho & Kanu: What Impact on Economy?

The arrest of Yoruba activist, Sunday Igboho in neighbouring...

IATA: Air Cargo Connectivity Enhances Global Trade

The International Air Transport Association (IATA) released a study...

NLNG Receives FIRS’ Most Compliant Taxpayer Award

NLNG’s representative, Titi Horsfall (2nd left) receives the FIRS’...

AMCON: Abba Kyari Was a Courageous, Patriotic Nigerian

  The Managing Director/Chief Executive Officer, Asset Management Corporation of...
spot_img

Related Articles

Popular Categories

spot_imgspot_img