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Port Concessionaires Emptying National Treasury-NAGAFF

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National Association of Government Approved Freight Forwarders (NAGAFF) has called for a review comprehensive review of agreements with concessionaires at the seaports with a view to determining their effectiveness.

NAGAFF said that absence of enabling laws to protect the nation’s interest during and after the 2006 seaports concession programme have turned the sector into a haven for capital flight.

It would be recalled that the federal government had embarked on the concession of its ports with expectations that the concession would boost socio-economic development.

Chief Eugene Nweke, president, NAGAFF however told Nigeria CommunicationsWeek that the concession is creating more problems than it is solving.

Nweke alleged that billions of naira are carried out of Nigeria daily while lamenting that the figures could not be estimated because certain government agencies are colluding with the concessionaires.

The NAGAFF boss decried the uncontrolled increase of cost of clearing goods at the nation’s ports occasioned by the concession regime, but without the needed efficient services by the port concessionaires.

“What spurs this capital flight is that the private operators must recoup the money they pay to NPA and NIMASA. Even the Central Bank of Nigeria (CBN) cannot estimate the amount lost. As at today, only the Nigeria Customer Service (NCS) can tell how much is made from the ports, but they will never tell the public the whole truth. The ports are dying. Our ports have turned open cheque for capital flight and the issue needs urgent attention,” he said. 

Recently at a half-year Ministerial briefing, Senator Idris Umar, minister of Transport commended the port concessionaires for investing some $925 million in cargo handling equipments and terminals development between 2006 to March 2013.

Reacting to the Minister’s presentation, Nweke said, when compared with what obtains in other climes, it becomes a mockery, “let’s consider and borrow a leave from Weifang port (managed by the government of China), located in the Shandong province in China where the ports authority has concerted, signed to invest a whooping sum of USD$1.6 Billion to be expended in 3 yrs (2014 – 2017) just to raise its capacity to handle over 50 million metric tons (MT) of cargo per annum.

In a written response to the minister’s presentation, Nweke, stated  that the clamour for the review of the ports Concession Agreements entered into with the private operators since 2006 depicts an urgency to right the inadequacies noticed in the agreements.

In the views of most port users, “the Nigerian Ports Concession experience appears to be nurtured mostly on a political interest rather than for the collective economic interest of the people”. 

 “A cursory look into the Concession Agreements entered between Bureau for Public Enterprises (BPE), the Nigerian Ports Authority (NPA) and different private port operators in 2006, speaks volume of an unstructured concession agreement that was hurriedly packaged, speedily concluded and signed into effect, without adequate consideration to evolving robust, prompt and sustainable economic benefits in the future.

“One major omission observed in most of the prevailing concession Agreements as structured by these Agencies of the Government, is the absence of a legal framework that would have ushered in and governed the regime of private ports operations, and the consequent effects of this omission continue to live with us, especially, the non-structuring of an official template for ports services tariff-settings and the non constitution of a commercial ports service regulator prior to or during the concession exercise,” he said.

Similar case with national networks as number of empty ducts, number of unutilized fiber, all underutilized due to no front end outflow”  the ISPs said

ISPs argued that huge portion of ISP revenue goes towards Connectivity Charges and tower rentals, because, according to them international bandwidth rates are one of the highest in Nigeria compared to rest of the world, national long distance and metro network cost is exorbitantly high and tower rental cost is also much higher as compare to other developing countries because infrastructure providers have unique problems like power, theft and other security challenges.


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INTERPOL Arrests 651, Recovers $4.3m from Cybercrime in Nigeria, Others

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African law enforcement agencies arrested 651 suspects and recovered over $4.3 million in a joint operation targeting investment fraud, mobile money scams, and fake loan applications.

INTERPOL Arrests 651, Recovers $4.3m from Cybercrime in Nigeria, Others

As INTERPOL revealed on Wednesday, Operation Red Card 2.0 identified 1,247 victims between December 8 and January 30 while targeting cybercrime operations linked to over $45 million in financial losses.

Authorities across 16 countries also seized 2,341 devices and took down 1,442 malicious websites, domains, and servers during this joint action coordinated by the African Joint Operation against Cybercrime (AFJOC).

In Nigeria, police officers dismantled an investment fraud ring that was recruiting young people to run phishing, identity theft, and fake investment schemes, taking down over 1,000 fraudulent social media accounts in the process.

They also arrested six members of a Nigerian cybercrime gang that used stolen employee credentials to breach a major telecom provider.

Kenyan investigators also apprehended 27 suspects while investigating fraud networks that used social media and messaging platforms to lure victims into fake investment schemes.

In Côte d’Ivoire, 58 suspects were arrested as part of a crackdown on predatory mobile loan apps that targeted victims with hidden fees and abusive debt-collection practices.

“These organized cybercriminal syndicates inflict devastating financial and psychological harm on individuals, businesses and entire communities with their false promises,” said Neal Jetton, the head of INTERPOL’s Cybercrime Directorate.

“Operation Red Card highlights the importance of collaboration when combatting transnational cybercrime. I encourage all victims of cybercrime to reach out to law enforcement for help.”

One year ago, African law enforcement arrested another 306 suspects in the first stage of this INTERPOL-led operation targeting cross-border cybercriminal networks.

This is the latest INTERPOL operation targeting African cybercrime, with thousands of arrests and multiple multimillion-dollar operations disrupted or dismantled in recent years, following Operation Serengeti and Operation Africa Cyber Surge.


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Lagos Begins 5 Percent Withholding Tax on Gaming Winnings

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Lagos State Government has commenced the implementation of a 5% Withholding Tax (WHT) deduction on gaming winnings, in line with applicable Nigerian tax laws and regulatory directives governing the gaming industry.

Lagos Begins 5 Percent Withholding Tax on Gaming Winnings

The deduction applies to net winnings from licensed gaming platforms operating within Lagos State and is deducted at the point of payout. All licensed gaming operators in Lagos have been directed to comply immediately with the framework.

Under the new arrangement, 5% of qualifying gaming winnings will be automatically deducted before payment is made to players and remitted to the Lagos State Internal Revenue Service (LIRS) as the statutory tax authority.

According to the State Government, the measure forms part of Lagos’ broader drive to strengthen tax compliance, transparency, and accountability in the rapidly expanding gaming sector.

Players are required to provide their National Identification Number (NIN) in compliance with KYC (know your customer) rules, while all deductions and remittances will be handled by licensed operators in line with regulatory requirements.

Players will receive their winnings net of the statutory deduction, with proper records maintained for transparency. The WHT deducted also serves as a tax credit to the player.

All licensed gaming operators in Lagos State have now been formally directed to commence the deductions with immediate effect.


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Chianugo, Nigerian $150m suit Against Google, GoDaddy.com Stalled due Judge’s Absence

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Federal High Court in Abuja, on Tuesday adjourned the $150 million dollars suit filed by Chianugo Peter, a Nigerian, against Google LLC and GoDaddy.com LLC over shutdown of his YouTubeAudio.com domain name until April 22 for hearing.

Chianugo, Nigerian $150m suit Against Google, GoDaddy.com Stalled due Judge's Absence

The case, which was before Justice Obiora Egwuatu, could not proceed due to the absence of the judge in today’s proceedings.

Although Emmanuel Ekpenyong, Peter’s lawyer, and Mark Mordi, who is counsel to Google LLC, were in court, Justice Egwuatu was said to be in another official assignment.

The matter was consequently fixed for April 22 for hearing.

Peter had filed the suit over allegations bordering on the shutdown of his YouTubeAudio.com domain name after eight years of promotional and marketing efforts in breach of the contract.

Peter, through his lawyer, named GoDaddy.Com LLC and Google LLC as the 1st and 2nd defendants in the suit filed on April 14, 2023 and marked: FHC/ABJ/CS/238/2023.

In his earlier originating summons filed by Ekpenyong of the law firm of Fred-Young & Evans LP, the Nigerian sought a $150 million in compensation from Google LLC and GoDaddy.com LLC for the alleged cyberspace contract breach.

The plaintiff alleged that the defendants shut down his domain and business name: YouTubeAudio.com and transferred the rights over the name to Google LLC, an American multinational technology company.

Google LLC, in its initial statement of defence dated Nov. 9, 2023, and filed Nov. 10, 2023, by its lawyer, Mr Mordi, SAN, of the law firm of Aluko & Oyebode, urged the court to dismiss Peter’s suit as being unmeritorious and lacking in merits.

Justice Egwuatu had, in April 2024, gave Chianugo Peter the go-ahead to amend his originating processes after his lawyer moved the application for same and it was not opposed by the defence counsel.

In his amended statement of claim dated April 29, 2024, Peter sought ten reliefs.

He sought a declaration that GoDaddy.com was wrong to shut down the YouTubeAudio.com domain name on Dec. 7, 2022 and that Google was wrong to remove “YTAudio” with its website youtubeaudio.com from its Google PlayStore on Dec. 25, 2023 without adequate compensation to him.

He said this is notwithstanding that YouTubeAudio.com domain and business name is different and distinct from YouTube trademarks.

Chianugo Peter wants the court to declare that he is entitled to compensation from the defendants for the loss of the YouTubeAudio.com brand and goodwill which has accrued on the brand and domain name for eight years of promotional and marketing works from July 2, 2015 to Dec. 7, 2022.

He sought an order directing the defendants to pay the sum of $50 million to him for promotional and marketing works on the YouTube Audio business name and YouTube Audio.com domain name for eight years from July 2, 2015 to Dec. 7, 2022.

He sought a $100 million in damages for loss of anticipated profits associated with the brand equity and goodwill of YouTube Audio and YouTube Audio.com domain name.

Peter also sought from the defendants, the sum of 50 million naira to enable him to carry out fresh registrations of its new name and secure an alternative domain name to host its application to attract users.

The Nigerian sought an order directing the defendants to pay the sum of 10 million naira to him for prosecution of the suit.

Alternatively, Peter prayed the court for an order for GoDaddy.com to reinstate and hoist the YouTubeAudio.com domain name which was shut down on Dec. 7, 2022 and for Goggle to also reinstate YouTubeAudio.com on its Google PlayStore platform which was unilaterally removed on Dec. 25, 2023.

Chianugo Peter submitted that he acquired rights over YouTubeAudio.com domain name from Go Daddy.com LLC who conducted a search before confirming that he could make use of the name.

The plaintiff averred that he promoted the domain and business name from 2014 to 2022 and even wrote to Google to introduce YouTubeAudio’s services and to partner with it in 2014 and 2021 but received no response from it on both occasions.

He said in February 2021, he applied for and YouTubeAudio.com was registered on Google Adsense platform for displaying advertisement on the website.

Besides, Peter said in August 2021, the domain and business name was registered on Google Playstore.

According to him, the plaintiff consistently paid GoDaddy.com LLC for registration and use of the domain name from 2015 to 2022.

But Google LLC, in its amended statement of defence and counterclaim dated and filed May 31, 2024, averred that its registration of the YOUTUBE trademarks at the Trademarks Registry gives it the exclusive night to the use of the said trademarks.

It submitted that it has incurred expenses in the sum of 24,040 64 dollars in dealing with Peter’s “deliberate infringement of the counterclaimant’s YOUTUBE trademarks.”

The company, therefore, sought a declaration that Peter’s registration and use of the YouTubeAudio business name with BN 2395035 at the CAC is an infringement of its YOUTUBE registered trademarks.

It prayed the court for an order directing Peter to pay the company the total sum of $24,040.64 being the expenses incurred in dealing with his infringement of the YOUTUBE registered trademarks.

It equally sought an order directing the plaintiff to pay the company the cost of defending the suit.

In his amended reply to Google’s amended statement of defence dated 12th July 2024, Peter responded that it is not in doubt that Google LLC owns YouTube trademarks, however, YouTubeAudio is distinct and different from YouTube trademarks.

Chianugo Peter submitted that Google LLC, being a foremost search engine in the world, knew that he had earlier written to it, that he was making use of the YouTubeAudio domain name for the past eight years without any objection or caveat by either GoDaddy.com or Google.

“Hence, Google LLC is estopped from claiming any right over the YouTubeAudio domain name,” he said.

GoDaddy.com LLC had neither filed any process nor represented in court.


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