The 2020 CAMA and Beneficial Ownership in the Extractive Industry
Communications
3 September 2020
By Charles Uche ESQ
Incorporating and fronting companies is a convenient and effective way of concealing identity, engaging in illicit transactions and evading liabilities. In many countries, a company can be formed without disclosing the identity of the individual who ultimately controls or profits from the business, i.e., the beneficial owner. Criminals and politically exposed persons (PEPs) can assign “nominee” shareholders to be listed on official documents or can list other legal entities (other companies can be shareholders in a company) as the “owners,” thereby creating a chain of companies–often across borders–that can be difficult for investigators and law enforcement to trace and recover.
Connected Development (CODE), has over the year, through its Conflict & Fragility project, in partnership with Oxfam-in-Nigeria advocated for a robust beneficial Ownership transparency through the instrumentality of a robust legislation as an essential means for combating corruption, stemming illicit financial flows, and fighting tax evasion. While many initiatives exist to maintain and disclose beneficial owners of companies in Nigeria, like the Beneficial Ownership Register launched by Nigeria Extractive Industries Transparency Initiative (NEITI) in December 2019, none of them until the enactment of the 2020 Companies and Allied Matters Act (CAMA) had the statutory backing for enforcement.
Documents from Panama papers on Dan Etete and Kolawole Aluko can be used as classical case studies in demonstrating how these two individuals, like many others, capitalised on the non-existent or fragile regulatory framework in Nigeria’s extractive “oil & gas” sector to launder money and evade liabilities which has cost the Nigerian government and people revenue in the billions of dollars. Till date, none of the aforementioned persons has been successfully prosecuted and convicted partly due to concealment of identities and fronting of shell companies in their transactions. Shell companies are legal entities “companies” that are non-operational and lack assets or staff. They are conveniently used by money launderers to keep their identities hidden while they engage in illicit transactions across borders and evade tax.
Dan Etete: Dan Etete, a former Petroleum Minister under Nigerias Dictator Head-of-State, Gen. Sani Abacha had in 1998, incorporated a Shell company named “Malabu Oil & Gas Limited” using a fictitious name “Kweku Amafegha”, with few other persons, while he was the ultimate and beneficial owner of the company – though his real name did not appear in any official documents. Five days after he incorporated this company, he, as Petroleum Minister, awarded this company an oil block “OPL 245”. He used this shell company to launder money across the Nigerian border and acquire luxurious assets, while escaping liabilities.
Kolawole Aluko: Kola Aluko is a businessman and oil executive. Media reports have described Aluko as a key ally to Alison-Madueke, a relationship both have previously denied. He rose to prominence around 2011 when Nigeria’s government awarded two companies he founded or owned valuable oil blocks on a no-bid basis. One of his companies, Atlantic Energy, was created the day before it inked the deals to acquire multimillion-dollar oil licenses.
In Nigeria, only a member of a Public Company (PLC) was under obligation, under the old 1990 CAMA, to disclose in writing when required, the capacity in which he holds any shares in the company; either as a beneficial owner or as a nominee of an interested person. See Sections 94-98, old CAMA.
The 2020 CAMA in section 119 has extended such obligation (to disclose the particulars of shareholding by notifying the company) to persons with significant control in all companies. Similarly, as provided in section 120 of the new CAMA, a person who is a substantial shareholder in a public company and holding (either by himself or by his nominee/proxy) shares in the company which entitle him to exercise at least five per cent (5%) of the unrestricted voting rights at any general meeting of the company, is required to disclose such holding by notifying the company within a stipulated time.
This new disclosure provisions are poised to enhance transparency and prevent asset shielding as well as combat money laundering, terrorism financing and all forms of illicit financial flows by legal entities having limited liability.
While there is no gainsaying that the above disclosure provisions would enhance transparency and accountability in the Extractive sector in Nigeria, especially in the Petroleum Industry, as many of the oil and gas companies are private limited liability companies (LTD); many of which have ‘rightly’ escaped disclosure obligations with no legal sanction – there is also an urgent need for the enactment of the Petroleum Industry Governance Bill (PIGB) which has as one of its core objectives – “to promote transparency and accountability in the administration of petroleum resources of Nigeria”.
This is the riցht webpage f᧐r anyone who would likｅ to find outt bout tһiѕ
topic. You know so much its аlmost tough tⲟo argue wigh youu (not that I personally will
neeⅾ to…HaHa). You certainlу pսt a fresh spin оn a topic tһɑt
һas beеn writtten aƅoսt for many yeaгs. Great stuff, just grеat!
Alsߋ visit my homеρage … Breast Enlargement Turkey
Every weekeend i userd tto go to seee his website,
because i want enjoyment, since thos this webb site conations
reaoly goopd funny stuff too.
[url=https://onlineviagra100mgprice.monster/]buy viagra cheapest price[/url]
[url=http://lexapro.life/]can you buy lexapro over the counter[/url]
bc weed
Amazing Info! Such a useful article. Keep on posting.
I am only writing to let you know of the exceptional experience my friend’s daughter undergone reading through your webblog. She figured out a good number of things, most notably how it is like to possess an excellent coaching nature to have many people effortlessly know just exactly certain specialized topics. You truly surpassed our desires. I appreciate you for imparting those informative, trustworthy, edifying and unique guidance on this topic to Julie.
I am also commenting to make you understand of the terrific experience my friend’s child enjoyed using your web site. She came to understand lots of details, which included what it’s like to have an awesome teaching mindset to get others quite simply fully understand selected tortuous matters. You undoubtedly did more than people’s expected results. Thank you for offering the great, healthy, informative and as well as easy thoughts on your topic to Jane.
%%
Here is my website … online roulette (beagleandpotts.com)
Lemon Meringue
Superb blog site it’s very impressive layout & theme.
canlı sohbet chat hatlarıyla en doyumsuz seks sohbeti keyfini yaşayın. cinsel sohbet hatlarına https://bit.ly/3Nazwbj sitesinden hemen erişin.
You may also purchase them from private sellers beneath the market worth at eBay and Craigslist.
There are a number of websites that characteristic slot video games on-line that one can pay for free.
Then there are specialized net boards for people who collect these slots vehicles.
They don’t wish to neglect customers who are unable or unwilling to make use of the
online to make appointments. Customers would not should call
in to the center and converse with a consultant. Some GSP-based mostly deep auctions (e.g., DeepGSP, DNA) have tried to upgrade GSP with deep neural networks,
whereas solely modeling local externalities and thus still suboptimal.
Secondly, we suggest a listing-wise deep rank
module by modeling the parameters of affine function as a neural network to guarantee IC
in finish-to-end learning. Instead, the auction mechanism is modeled as a deep network by which the real system reward is feedbacked for training by
finish-to-finish studying. The secret’s to implement a system that is easy
to use and maintain.
Feel free to visit my web blog :: freecredit
%%
Feel free to visit my page; play casino online, Staci,
Good blog you’ve got here.. It’s hard to find high
quality writing like yours these days. I really appreciate people like you!
Take care!!
I like the helpful info you supply for your articles. I will bookmark
your blog and take a look at again right here frequently.
I am fairly certain I will be informed plenty of new stuff right right here!
Good luck for the following!
My website :: warp168
This investment doubles the original $50 million pledged by Ohanian in partnership with the Solana
Foundation. Certainly one of Reddit’s Co-Founders, Alexis Ohanian, filled a slot on the final day of Breakpoint to discuss why he and his venture agency Seven Seven Six were pledging $a
hundred million to develop social media on Solana. Raj Gokal,
Co-Founder of Solana, took the stage with Alexis Ohanian and at one level said at the Breakpoint conference that his network plans to onboard over
a billion individuals in the subsequent few years.
Electronic gaming has been hailed as the entry point for
crypto and blockchain technology’s mass adoption.
P2E games are exploding in recognition, and Axie Infinity chalked up a superb year for adoption with
a token worth that has blown by way of the roof time and
again. Once full gameplay is launched, will probably be fascinating to see
how many people quit their jobs to P2E full time!
Sharing your social plans for everyone to see isn’t a good idea.
Here is my web page: สมัครสล็อต
[url=http://tizanidine.email/]tizanidine tabs cost[/url]
online dispensary new brunswick
Keep up the good work!
I precisely wanted to thank you so much yet again. I am not sure the things that I would’ve done without those hints contributed by you directly on this concern. It became an absolute difficult crisis in my position, nevertheless observing the expert strategy you treated it took me to cry with delight. I am happy for this assistance as well as have high hopes you are aware of a great job you are always undertaking educating others with the aid of your websites. I’m certain you haven’t got to know any of us.
My wife and i were so joyous when Raymond managed to round up his basic research from your ideas he came across while using the blog. It’s not at all simplistic to just possibly be giving out concepts that many men and women might have been trying to sell. And now we fully understand we need the blog owner to give thanks to for this. These illustrations you’ve made, the simple site navigation, the friendships you can help engender – it’s many incredible, and it is assisting our son and us reckon that that matter is thrilling, which is certainly exceptionally indispensable. Thank you for the whole lot!
I didn’t know that.
What’s up, I want to subscribe for this webpage to get most recent updates, therefore where can i do it please assist.
online porn video
ivermectin eye drops [url=https://stromectolnew.com/]purchase oral ivermectin[/url] ivermectin medicine
I do accept as true with all of the ideas you’ve offered for your post.
They’re very convincing and can certainly work. Nonetheless, the posts are very quick for newbies.
May just you please prolong them a bit from subsequent time?
Thank you for the post.
Iam curious to find out what blog system you happen to bbe using?
I’m exprriencing some mibor securiuty poblems with myy latgest blog aand I’d
like tto find something more safe. Do you havbe aany suggestions?
[url=https://azithromycin.africa/]azithromycin 250mg cost[/url]
%%
video bokep gay indonesiabokep video indonesiavideo indonesia bokepvideo bokep live indonesiavideo bokep indonesia comvideo bokep indonesia livevideo
bokep indonesia 2021xxx video bokep indonesiavideo indonesia bokep
c
Keep up the good work!
I am really enjoying the theme/design of your weblog.
Do you ever run into any web browser compatibility issues?
A small number of my blog visitors have complained about my website
not operating correctly in Explorer but looks great
in Firefox. Do you have any suggestions to help fix
this problem?
What’s up i am kavin, its my first time to commenting anyplace,
when i read this piece of writing i thought i could also make comment due to this
good piece of writing.
Appreciation to my father who stated to me on the topic
of this web site, this web site is actually amazing.
Since Southeast Asia is so protected, you don’t have to fret about staying on-grid
.
It’s a shame you don’t have a donate button! I’d certainly donate to this excellent blog!
I guess for now i’ll settle for book-marking and adding your RSS
feed to my Google account. I look forward to new updates and will talk about this website
with my Facebook group. Talk soon!
free Windows 7 key
Howdy! I know this is somewhat off topic but I was wondering which blog platform are you using for this site?
I’m getting tired of WordPress because I’ve had issues with hackers and I’m looking at options for another platform.
I would be awesome if you could point me in the direction of a good platform.
I simply had to thank you very much yet again. I’m not certain the things that I might have accomplished in the absence of those suggestions documented by you concerning this problem. It was a very troublesome concern in my position, nevertheless viewing the skilled style you resolved the issue forced me to cry for contentment. I will be grateful for this assistance as well as sincerely hope you are aware of a powerful job you are providing training most people using your blog post. Most probably you’ve never got to know any of us.
My wife and i have been quite contented that Albert could round up his analysis from your ideas he gained from your own blog. It’s not at all simplistic just to be giving for free solutions people today might have been selling. We really remember we have the website owner to thank because of that. The explanations you made, the straightforward blog menu, the relationships you can assist to promote – it is all astonishing, and it’s helping our son and the family reason why this topic is brilliant, which is really serious. Thanks for everything!
I loved as much as you will receive carried out right here.
The sketch is tasteful, your authored subject matter stylish.
nonetheless, you command get bought an nervousness over that you wish be
delivering the following. unwell unquestionably come further formerly again as exactly the same nearly very often inside case you shield this increase.
%%
My web-site :: Sexdoll sales
%%
Feel free to surf to my web page :: Van door Deadlock
%%
my web page nice dreams cbd oil reviews
%%
Here is my site … Casino (M.Hatersnapback.Co.Kr)
penis enlargement
%%
Look at my website doll Sexing
%%
My web blog … anime cosplay websites (Ian)
%%
Also visit my page; Mobile Key Programming
%%
My blog Upvc Windows repair
%%
Here is my page :: Water Soluble Cbd For Anxiety
%%
My web-site; St Albans Sash Windows