Archive for nigeriang

Bloody Sunday

Bloody Sunday

It
was that hour of Sunday, generally a work-free day, when many would be
in church praying for God’s favour; and presumably a good time to
travel as traffic was expected to be light. But all those permutations
failed Sunday 15 August in Lagos at the Berger bridge junction on the
Lagos-Ibadan Expressway when a speeding trailer (articulated truck) ran
into a convoy of vehicles held up at a police checkpoint, igniting a
fire, which spread panic and claimed scores of precious lives.

The event, on
account of its human-interest value and enormity of the loss, was
front-paged by many of the dailies, four of which we will examine. What
caused the accident, when, where, why and how many died were some of
the traditional queries tackled in the press reports in the effort to
help the reader understand the significance of the event. Although
there was near unanimity on the general details, the variations in
accounts speak of the professional vigilance and sensitivity of the
media houses in addressing the challenges of reporting.

Since none of the
reporters from these four papers witnessed the accident as it occurred,
they relied on accounts of ‘eyewitnesses’ to reconstruct what happened
before their arrival.

The problem with
eyewitnesses in emotionally stressful situations is that their accounts
can be coloured by the stress of the occasion and their prejudices.

From the headlines on Monday 16,

the papers sought
to convey the tragic nature of the event. ‘Bloody day in Lagos’, said
the Punch; ‘Day of Horror: Black Sunday in Lagos’ announced the Nation.
‘20 die in checkpoint tragedy’ asserted NEXT; while the Guardian
grouped it with similar tragedies: ‘48 feared killed, 20 vehicles burnt
in Lagos, Edo road tragedies’. All cast adequate headlines but the
Nation could have showed more racial or ethnic sensitivity to the use
of the adjective ‘black’ in qualifying that Sunday. Ours being a black
race we do not need to employ ‘black’ in any uncomplimentary context.

All were agreed
that the immediate cause of the accident was the trailer that rammed
into a commercial bus at a badly mounted/illegal police checkpoint,
leading to a conflagration, which wasted lives and property. The
Guardian, however, appeared undecided whether it was a trailer or a
petrol tanker. While it said on page 2 it was the former, it cited the
latter on page 14.

When did the accident occur?

“Around noon” (the
Nation); “around 11.27am” (NEXT), about 10am (Guardian). The Punch,
which said one of its correspondents “arrived shortly after the fire
broke out”, omitted the time. The testimony of Fadipe Idowu of the
Lagos State Fire Service in The Guardian that information about the
fire reached his office at 11.19am suggests that 11am would be a
useful, but not conclusive peg.

Where did it occur?
“On a bridge near the Berger area of the Lagos-Ibadan Expressway”
(Punch; “between the Mobil Filling Station and Otedola Estate junction”
(Guardian); Shangisha bridge on the outskirts of Lagos (Nation); along
Otedola Estate, Berger Bus stop (NEXT).

On why it happened,
all speculated that the trailer’s brakes failed when suddenly
confronted by an unexpected checkpoint. The underlying anger of the
media against police checkpoint activities found vent in all the
reports. The Nation quoted Gift White, an ‘eyewitness’, who said: “The
policemen were stopping the trailer driver at the checkpoint and he did
not stop. They chased him until the man lost control and hit the
vehicles in its front. We hear they wanted to collect money from him”.

Isaac Ejuvwevwo,
who lost an SUV, also told NEXT that while held up by the checkpoint
traffic: “I just heard vehicles hitting each other behind me, then the
one behind me hit me, then I saw this trailer carrying sugar. The next
I saw fire…immediately I saw the fire, I and the other person in the
vehicle ran out. A little baby burnt in one of the cars, the parents
escaped”.

Expectedly, the Police denied complicity.

Spokesman, Frank
Mba, told the Nation: “there was no policeman at that place before,
during and after the incident. That conclusion is hasty and
unnecessary”, only to be quoted by NEXT as admitting “that there were
some checkpoints along that road but denying, “that his officers might
have caused the accident”.

On the casualties,
the figures are understandably varied. Punch’s Sesan Olufowobi showed
some enterprise in physically counting some of the charred remains to
estimate that at least 40 people died and 25 vehicles burnt.

The narrations also
had some positive sides. Punch talks of a Bolaji Bello who picked up a
13 year old, who broke her leg while fleeing the inferno, and took her
to the hospital. The hospital treated her without demanding a dime. It
will be nice to know what has since become of the girl and it will be
nice to know what will happen to the fleeing policemen, who triggered
off the disaster.

While praying for
the repose of the souls of the dead, the media should appreciate that
although police checkpoints may not disappear in the short term, they
need to be better managed as platforms for security control, and not
extortion centres. True, much evil has happened at checkpoints; some
good too has come from them. I once had a stolen car recovered there.

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Damned if they do, damned if they don’t

Damned if they do, damned if they don’t

Darfur’s
joint U.N.-African Union peacekeepers face a dilemma in Darfur , which
could shape the future of the world’s largest U.N.-funded force.

After violence left
five people dead in the highly volatile Kalma Camp, six refugees sought
sanctuary in the UNAMID force’s police base there. They are thought to
be rebel sympathisers and the government accuses them of instigating
the camp clashes, demanding that UNAMID hand them over.

Kalma, just outside
Darfur’s largest town Nyala, has long been a problem for the Khartoum
government, whose offices in the camp were burned down by angry
refugees. Rebel supporters in the camp have obtained arms and there
have been clashes with government police in the area.

Now if the six are
responsible for the violence, which was between refugees who support
rebel leader Abdel Wahed Mohamed el-Nur and those who took part in
peace talks, which Nur rejects, then it is Sudan’s right to try them in
a court of law.

However the
government is headed by President Omar Hassan al-Bashir, a man wanted
by the International Criminal Court for presiding over genocide and war
crimes against these same Darfuris,

which is why they are in the refugee camps in the first place.

Repeated reports
during the seven-year conflict of the torture of Darfuri detainees give
a pretty good indication that they are unlikely to get a fair trial if
UNAMID hands them over.

So what to do?

This is the stuff of nightmares for U.N. peacekeeping officials.

If they hand them
over they lose the trust of the 2 million Darfuri refugees they were
sent to protect and could be subject to attacks by rebel forces, who
would see them as an enemy. But if they don’t hand them over, they are
stuck in a standoff with Khartoum.

The force relies on
cooperation with the government for its own security. The government
also allocates visas for staff, allows equipment in through customs and
gives travel permits. And the government has shown it is ready to use
these powers against any foreign organisation that annoys it.

According to U.N.
sources, the instruction came from New York not to hand over the six
refugees without a bona fide arrest warrant based on real proof they
had committed a crime and guarantees they would get a fair trial, which
UNAMID would need to follow very closely and publicly.

As one UNAMID staff member told me,

“If we can’t even do that we may as well go home.” Catch-22.

Should UNAMID hand them over?

Can UNAMID guarantee them a fair trial?

Can UNAMID continue to defy the government request?

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A case of mental courage

A case of mental courage

In 1811, the popular novelist Fanny Burney learned she had breast cancer and underwent a mastectomy without anaesthesia. She lay down on an old mattress, and a piece of thin linen was placed over her face, allowing her to make out the movements of the surgeons above her.

“I felt the instrument – describing a curve – cutting against the grain, if I may so say, while the flesh resisted in a manner so forcible as to oppose & tire the hand of the operator who was forced to change from the right to the left,” she wrote later.

“I began a scream that lasted intermittingly during the whole time of the incision – & I almost marvel that it rings not in my ears still.” The surgeon removed most of the breast but then had to go in a few more times to complete the work: “I then felt the Knife rackling against the breast bone – scraping it! This performed while I yet remained in utterly speechless torture.”

The operation was ghastly, but Burney’s real heroism came later. She could have simply put the horror behind her, but instead she resolved to write down everything that had happened. This proved horrifically painful. “Not for days, not for weeks, but for months I could not speak of this terrible business without nearly again going through it!” Six months after the operation she finally began to write her account.

It took her three months to put down a few thousand words. She suffered headaches as she picked up her pen and began remembering. “I dare not revise, nor read, the recollection is still so painful,” she confessed. But she did complete it. She seems to have regarded the exercise as a sort of mental boot camp – an arduous but necessary ordeal if she hoped to be a person of character and courage.

Burney’s struggle reminds one that character is not only moral, it is also mental. Heroism exists not only on the battlefield or in public but also inside the head, in the ability to face unpleasant thoughts.

She lived at a time when people were more conscious of the fallen nature of men and women. People were held to be inherently sinful, and to be a decent person one had to struggle against one’s weakness.

In the mental sphere, this meant conquering mental laziness with arduous and sometimes numbingly boring lessons. It meant conquering frivolity by sitting through earnest sermons and speeches. It meant conquering self-approval by staring straight at what was painful.

This emphasis on mental character lasted for a time, but it has abated. There’s less talk of sin and frailty these days. Capitalism has also undermined this ethos. In the media competition for eyeballs, everyone is rewarded for producing enjoyable and affirming content. Output is measured by ratings and page views, so much of the media, and even the academy, is more geared toward pleasuring consumers, not putting them on some arduous character-building regime.

In this atmosphere, we’re all less conscious of our severe mental shortcomings and less inclined to be sceptical of our own opinions. Occasionally you surf around the Web and find someone who takes mental limitations seriously. For example, Charlie Munger of Berkshire Hathaway once gave a speech called “The Psychology of Human Misjudgment.” He and others list our natural weaknesses: We have
confirmation bias; we pick out evidence that supports our views. We are cognitive misers; we try to think as little as possible. We are herd thinkers and conform our perceptions to fit in with the group.

But, in general, the culture places less emphasis on the need to struggle against one’s own mental feebleness. Today’s culture is better in most ways, but in this way it is worse.

The ensuing mental flabbiness is most evident in politics. Many conservatives declare that President Barack Obama is a Muslim because it feels so good to say so. Many liberals would never ask themselves why they were so wrong about the surge in Iraq while George Bush was so right. The question is too uncomfortable.

There’s a seller’s market in ideologies that gives people a chance to feel victimized. There’s a rigidity to political debate. Issues like tax cuts and the size of government, which should be shaped by circumstances (often it’s good to cut taxes; sometimes it’s necessary to raise them), are now treated as inflexible tests of tribal purity.

To use a fancy word, there’s a metacognition deficit. Very few in public life habitually step back and think about the weakness in their own thinking and what they should do to compensate. A few people I interview do this regularly (in fact, Larry Summers is one). But it is rare. The rigours of combat discourage it.

Of the problems that afflict the country, this is the underlying one.

© 2010 New York Times News Service

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Before this takes its toll

Before this takes its toll

Last
week, residents of the Eti-Osa Local Government Area of Lagos State
took to the streets to protest the plan by the state government to
impose tolls for passage into the Lekki area.

No doubt, the gut
reaction to this move would be support from the general public. An
peaceful attempt by citizens to protest oppressive or thoughtless acts
of government is most welcome in any democracy that hopes to thrive –
and on the face of it, this civil action is as basic as they come: a
people already finding it hard to maintain a comfortable quality of
life should not be made to bear unnecessary burdens.

However, this matter is not as cut and dried as it seems.

The state
government in April 2006 signed an agreement with Lekki Concession
Company (LCC) under the Build Operate and Transfer (BOT) scheme for a
period 30 years; an agreement under which the company would upgrade and
expand the busy road and recoup its investment before handing ownership
back to the government.

The company is
presently test-running at the newly constructed toll gate, and
residents are already convinced that the toll will be too high and are
very reluctant to pay any sum for going to their homes and offices
anywhere on the 24km road.

This knee-jerk
response against paying levies for infrastructure provided is worrisome
even if understandable. For years, Nigerians have cried for private
sector participation in order to inject efficiency into public
infrastructure. True, government – at various levels – has seemed
intent on muddling up these arrangements where they have occurred,
whether with Virgin Nigeria or with the Bi-Courtney Group for the
Murtala Muhammed Airport Terminal Two. But, in the case of the Lekki
road, there seems to have been a structured approach to the agreement,
especially when seen in line with the massive road construction efforts
of the Babatunde Fashola-led government. In many parts of the world,
where governments seek to provide basic services such as roads, water
and electricity, citizens have found that you have to pay a little
extra for the convenience. These extras include congestion charges,
council tax, vehicle tax, road taxes and others borne from an
understanding that in the final analysis, there is no gain without pain.

At the very least,
as with MMA2, Nigerians should be motivated by the fact that they know
the services they are paying for will be delivered.

This, of course,
does not mean that the government should abdicate its responsibility to
ameliorate and avoid hardship for its citizens where it can. To this
end we find Mr. Fashola’s comments on the day of the protest troubling.

The governor, who
was held up for hours by the protestors, finally showed up and
addressed them, even though they would not listen. However, his mien
was strange for a leader in a democracy. There was mixture of disdain
and condescension, surely unacceptable since these are people he is
answerable to.

“This protest is
not necessary,” he said. “This is a commercial issue, don’t turn it
into a political issue. I don’t think it is fair to paralyse this road;
people are going to earn their livelihood; children are going to
school.” There seems to a trend with Mr. Fashola where he thinks that,
as long as what he is doing is for the public good, he owes the people
neither explanation nor empathy. This attitude, should as a matter of
urgency be discarded. In a democracy, the people’s feelings matter, the
people’s opinions – however misinformed they appear – must count.

In any case, the
protesters have a point. Has the road been completed? Is the toll too
high? And what about the promised toll-free lane that is yet to
materialise even after a committee set up by the government reportedly
agreed to this?

Add to that, the
mode of collection of the monies, as well as the apparent hurry in
effecting this (the collection of tolls is starting barely a month
after the gates went up) shows a reluctance to think this policy
through or even to engage people so that they can connect.

At the end of day,
both sides in this matter need to get off their high horses and
meaningfully engage each other to fashion out a system that is mutually
agreeable. Development will take pain and patience; and that truism is
applicable both to the concessionaires who seem a bit too eager to
recoup this investment at the expense of the people, as well as
residents of Lagos who need to come to terms with the fact that we
surely cannot conjure progress as a nation from thin air.

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Local content not about oil blocks

Local content not about oil blocks

The Nigerian
content policy is not about allocation of marginal oil blocks to
Nigerians, but the promotion of the Nigerian service companies’
capacity to participate effectively in the development of the country’s
oil and gas industry, a senior official has said.

Ernest Nwapa, the
executive secretary of the Nigerian Content Development and Monitoring
Board (NCDMB), said this in Kaduna, Kaduna State, at the Nigeria Bar
Association (NBA) conference.

Mr. Nwapa noted
that with international oil companies controlling over 80 percent of
the petroleum industry business in Nigeria, government is not satisfied
that indigenous operators are left to be contented with some left over
jobs outsourced from their service arms.

He said the board
has agreed to partner with the NBA towards the effective implementation
of the Nigerian Content Act, recently approved by President Goodluck
Jonathan.

A new mindset is necessary

He added that the
effective implementation of the Act required a change of mindset by
Nigerians, some of who still believe that it is impracticable for
Nigerians to perform on the major jobs in the oil and gas industry,
pointing out that only through collaboration with bodies like the NBA,
Department of Petroleum Resources (DPR), and Nigerian Maritime
Administration and Safety Agency (NIMASA) that the provisions of the
Act would be successfully implemented.

He urged lawyers to
always show national interest when handling briefs for clients,
pointing out that some unpatriotic elements would want to manipulate
documents on their ownership of equipment used for work in the industry
as required by the Act. This, he argued, is capable of impeding the
achievement of the objectives of the law.

The board will also
involve the Federal Inland Revenue Service (FIRS), the Nigerian Customs
Service (NCS) and other relevant government agencies in the
verification of the personnel and assets of all operating and service
companies in the Nigerian oil and gas industry as a way of ensuring
that beneficiaries are up-to-date in their obligations to government.

Nwapa also harped
on the need for the building of standard pipe mills in Nigeria to
service the oil and gas industry, to provide pipes for future projects
like the planned Nigerian Gas Master Plan (NGMP) and the Trans Saharan
Gas Pipeline.

To demonstrate
government’s commitment to support local investors, he said the NCDMB
is insisting that operating and service companies must not be allowed
to import pipes for their projects until the combined capacity of
existing and prospective developers of local pipe mills has been
exhausted.

The Nigerian
Content Act, he emphasised, was not government’s attempt to drive away
the multinationals from the country’s oil and gas industry. Rather, it
is to attract more investments into the industry, adding that the
provisions of the Act expects the multinationals to do the jobs in
Nigeria, which will ultimately be cheaper for their operations and
yield mutual benefit for the companies and the Nigerian economy.

George Etomi, chairman of the section on Business Law of the NBA,
said it was critical for the NBA to support the implementation of the
Nigerian Content Act, saying this was a strategic effort to raise the
capacity and standards of the indigenous operators to compete globally,
citing the examples of countries like Malaysia and Brazil where such
laws have been used to develop their economies in the recent past.

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OIL POLITICS: Shell’s spin doctor

OIL POLITICS: Shell’s spin doctor

It is sad that the
United Nations Environment Programme (UNEP) that ought to be an arbiter
in cases of environmental and human rights abuses has become a partisan
at a price tag of $10 million at the behest of Shell. Just imagine what
that amount of money could have done if it had been deployed towards a
serious environmental audit and remediation.

UNEP is preparing a
report claiming that 90 percent of the oil spills in Ogoni are caused
by the locals in the process of stealing crude from the pipes and that
Shell’s aged pipelines and ill maintained installations account for a
mere 10 percent of the spills.

What period was
covered by this study? Does it include the spills over which the
Movement for the Survival of Ogoni People (MOSOP) complained and
resisted further degradation? Does it include the degradation that
pitched Ken Saro-Wiwa and MOSOP against oppressive dictators and Shell?

This attempt to
rewrite the history of environmental violence visited on the Niger
Delta by transnational oil corporations sounds like a story from outer
space. UNEP has simply lent itself to become Shell’s pet parrot. What
they are saying is in line with what Shell used to claim in the 1980s
and at any given opportunity.

Then, they claimed
that about 80 percent of the oil spills were caused by vandalism or
sabotage. The claim of sabotage is particularly attractive to oil
corporations because they are exempted from payment of compensations.
In order to maximise profits, it makes sense for oil to spill into the
creeks, swamps, and farmlands, destroy the means of livelihood of the
locals; and then turn around and blame the victims.

Anyone who wishes
to gain more insight into the story of Shell in Nigeria, the book,
‘Where Vultures Feast – Forty Years of Shell in Nigeria’ written by
Oronto Douglas and Ike Okonta is worth reading. It clearly shows that
the story of Shell and its records of oil spills are not new.

Expert assessment

Another specialist
who has done significant work on the Ogoni and the Niger Delta
environment is Richard Steiner. An international expert on oil spills,
Steiner, a professor, participated in two studies on oil damage in the
Niger Delta, and was contracted to write the manual on oil damage
assessment and restoration by UNEP in 2004.

When Shell hired
UNEP to carry out the present study, Steiner offered to provide
scientific advice and guidance to the UNEP Ogoni study, but his offer
was declined. When asked what he thought of the UNEP report, Steiner
said,

“The conclusions
from the Shell-financed UNEP study on oil damage in Ogoniland are
simply incorrect. Our earlier results suggest that much of the oil
spilled there was due to poor practice by Shell, rather than bunkering
and sabotage. I will need to review their methodology and expertise,
but it is entirely implausible that 90 percent of the oil spilled was
due to bunkering.

I suspect this was
not peer reviewed. This is not an independent, credible assessment, and
is a real disservice to the environment, the people of the Niger Delta,
and environmental justice globally. I suggest that the study be
recalled by UNEP, a credible independent peer review process be
implemented, and then reissued, if there is anything left to report.”

Environmental field
monitors have compiled a catalogue of spills by oil companies operating
in Nigeria. The National Oil Spill Detection and Response Agency
(NOSDRA) reports a total of 3,203 oil spills in the Niger Delta region
in the last four years, while the records of the Directorate of
Petroleum Resources’ show that 4,835 incidents resulted in the spillage
of at least 2,446,322 barrels of crude oil between 1976 and 1996.
Seventy seven percent of that quantity was not recovered and was lost
to the environment. The list continues to lengthen everyday.

Some notable past
spills include the Escravos spill of 1978 in which 300,000 barrels of
crude oil was spilled into the coastal waters and another 1978 spill
caused by tank failure at Forcados Terminal in which 580,000 barrels
were spewed into the environment. Their spill in 2008 at Ikot Ada Udoh
went unattended to for months before it was stopped.

The matter of their 2004 spill at Goi, Ogoni, is in the courts in The Netherlands.

A victim testimony

On June 6, 2001,
Shell oil pipeline, which passes through the Baraale community,
ruptured and started spilling crude oil into nearby forests, farmlands,
and houses. Aseme Mbani, chief of the community, was in his farm when
the pipeline ruptured, he told environmental field monitors.

Mr. Mbani said he took steps to ensure that Shell repaired the ruptured pipeline.

“I reported the
matter to the Shell contractors in charge of the pipeline and also to
the police that the pipeline is leaking. After that, we wrote Shell a
‘Save Our Soul’ letter. When there was no response, I went to Shell to
report at a section they call ‘Ogoni Re-entry.’ They told me they have
seen the letter I wrote. They said we should suffer the spillage
because we caused it. They said we have been cutting pipelines and we
should reap what we sow. Disaster struck on October 1, 2001, when the
leaking oil caught fire.”

Detection of causes
of oil spills does not require rocket science. One of the first steps
is the conduct of the Joint Inspection Visits (JIVs) by teams having
oil company representatives, relevant government agencies such as the
DPR and community representatives. There are allegations that these
visits have been used to bribe and divide communities. It will be
interesting for UNEP to produce the JIV reports, with identifiable
signatures of community representatives to back up the claims of a
clean bill of health for Shell in the matter of oil spills.

Bassey is Chair, Friends of the Earth International

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AP shareholders protest at SEC office

AP shareholders protest at SEC office

The crisis rocking
African Petroleum continued yesterday with some shareholders and staff
staging a protest at the head office of the Securities and Exchange
Commission (SEC) in Abuja.

The protest was in
support of the petition written by the company’s former executive
director, finance and IT, Clement Aviomoh, against the chairman, Femi
Otedola. Otedola’s company, Zenon Petroleum and Gas limited, is the
major investor in AP.

A press release
signed by Lanre Oloyi, the head of corporate affairs of SEC, said “some
persons claiming to be shareholders and staff of the African Petroleum
Plc (AP) staged a peaceful demonstration in front of the commission
head office in Abuja this morning (yesterday).”

Mr. Oloyi also said
in the statement that the commission is in receipt of Mr. Aviomoh’s
allegations against Mr. Otedola. “The commission has launched a formal
investigation into these allegations,” the statement added. The
Nigerian Stock Exchange has also said it will make public its findings.

Mr. Aviomoh, in the
petition, insisted that he has facts and data which show that Otedola
has been milking AP for his private gain for the past two years.

“AP made a loss of
N15 billion in 2009 due to the fact that Otedola’s companies started
selling products to AP at higher prices than normal, at times higher
than the retail pump price at gas station.”

Mr. Aviomoh also
alleged that for daring to challenge his style of administration, Mr.
Otedola forced Tunde Falasinnu, the managing director of AP, to resign
his office, and suspended the company secretary, Elizabeth Idigbe, and
himself.

No knowledge

However, Mr.
Aviomoh denied knowledge of yesterday’s protest. When NEXT contacted
him on the phone, he said. “I have sent my petition and SEC is
investigating. The last I heard from them was they asked for some
clarifications and I have replied concerning an annexure to the
petition.”

When NEXT contacted
Tajudeen Adeyemi, the spokesperson for AP, he insisted members of staff
at AP were not involved in the protest. “How can our staff be involved.
Yes, some shareholders hired by the sacked director (Aviomoh) staged a
protest. We did our investigation and found out that he is in Abuja. He
is based in Lagos, so what was he doing in Abuja?”

Mr. Adeyemi said
the company is not bothered about the development as it is awaiting the
conclusion of SEC investigation of the petition.

Lately, AP has been
in the eye of the storm in the aftermath of the allegation s and
counter allegations between the sacked former Executive Director, Mr.
Aviomoh and the Management of AP. .

A statement
released by AP, a fortnight ago, said that Mr. Aviomoh’s petition is
unfounded and was triggered by an earlier petition written by Mr.
Otedola in June to SEC about how N24.5 billion, which was due to be
paid to AP, is still outstanding. Mr. Otedola himself is on self exile
apparently because according to sources close to him, he fears for his
life.

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Access Bank proposes 20 kobo dividend

Access Bank proposes 20 kobo dividend

At
the Nigerian Stock Exchange on Wednesday, Access Bank posted
significant improvement in its audited financial result for the second
quarter ended June 30.

The
bank, which recorded a loss after tax of about N11.952 billion in the
period in view, 2009, posted a profit after tax of N6.666 billion this
year, reflecting a 155.77 percent increase. Access Bank also recorded a
3.61 percent growth in its total net asset during the quarter, from
N168.346 billion to N174.429 billion.

However, the bank’s gross earnings for the period declined by 19.47 percent, from N61.351 billion to N49.408 billion.

Meanwhile,
the company’s board of directors has proposed an interim dividend of 20
kobo per share for its shareholders. The bank’s share will be marked
for payment on September 3 while the cash will be disbursed on
September 14. The stock price of Access Bank went up yesterday by 4.12
percent, “most probably on the back of the dividend declared,” some
analysts said.

Also
on Wednesday, Royal Exchange, an insurance company, released its
audited accounts for the period ended 31st December, 2009. The result
shows a 9.60 percent increase in turnover, from N3.314 billion to
N3.632 billion. The profit after tax inched up by 106.57 percent from a
loss of N2.435 billion to N160.07 billion, just as net asset for the
period went up by 29.27 percent from N6.084 billion to N7.865 billion.

Decline continues

The decline in the value of equities at the nation’s capital market on Wednesday cuts across all sectors of the bourse.

The
resilient nature seen in sectors like the breweries, conglomerates,
food and beverages, since the current downturn started last week, could
not be sustained after yesterday’s trading session.

The
All-Share Index declined by 1.60percent to close at 24,111.51 basis
points, from the previous day’s figures of 24,503.61. Market
capitalisation also followed with N96 billion losses, to close at
N5.896 trillion from Tuesday’s N5.992 billion.

The
number of gainers at the close of trading session closed at 20,
compared with the 16 gainers recorded on Tuesday, while losers closed
lower at 50, compared with the 57 losers recorded the previous trading
day.

Egbo
Amaechi, an executive member of the Shareholders Association of
Nigeria, attributed the current poor performance at the Exchange to
“profit taking by institutional investors.” Mr. Amaechi, however,
expressed satisfaction with efforts by some companies to give their
shareholders returns on investment.

The
NSE, yesterday, marked down the share price of Honeywell Flourmills for
a dividend of 11 kobo per share, declared by the board of the company.

The
banking subsector led the market transaction volume on Wednesday with
115.437 million units, valued at N909.02 million exchanged in 3,387
deals. Transactions in the shares of First Bank, Access Bank, Diamond
Bank, Guaranty Trust Bank, and Zenith Bank, boosted the volume traded
in the sector.

The
total volume of 62.346 million units, valued at N677.413 million,
traded in the shares of the five banks, accounted for 54.01 percent of
the entire sector volume.

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Nigeria ready to release $2 billion for power, aviation

Nigeria ready to release $2 billion for power, aviation

Nigeria’s central
bank said on Wednesday it was ready to release 300 billion naira ($2
billion) from a fund set aside to stimulate credit to the domestic
power sector and the troubled airline industry.

The central bank
announced several months ago it was establishing the fund to help
finance badly needed power projects and to allow banks to refinance
loans to the heavily-indebted airline industry.

The move is part of
efforts to stimulate lending and boost growth in sub-Saharan Africa’s
second biggest economy in the wake of a $4 billion bailout of the
banking sector last year, which has left banks reluctant to lend.

President Goodluck Jonathan has made improving Nigeria’s electricity
supply one of his main priorities and has announced plans to privatise
electricity generation and distribution next year.

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Access Bank swings to first half of the year’s profit

Access Bank swings to first half of the year’s profit

Access Bank
yesterday said it had swung to a 9.81 billion naira pre-tax profit in
the half year to June, from a loss of 14.33 billion naira a year ago.

Gross earnings
dropped to 49.41 billion naira in the period from 61.35 billion naira
in the same period of last year, it said in a filing with the Nigerian
Stock Exchange.

Access Bank directors are proposing an interim dividend of 0.20 naira per share payable on September 3, 2010.

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