APC Demands Accountability for $5.5 Billion NLNG Dividend

Strategic Insights -

The All Progressives Congress (APC) has asked the Peoples Democratic Party (PDP) to account for $5.5 billion realised from the Nigeria Liquefied Natural Gas (NLNG) since 2004. The APC, in a statement by its National Publicity Secretary, Alhaji Lai Mohammed, also called on the Federal Government to unravel what happened to past Company Income Tax/Education tax as well as dividends paid to the Nigerian government by the NLNG.

The APC's demand for accountability comes as the party says it has uncovered evidence that the PDP-led government before President Muhammadu Buhari's administration kept the dividend payments in a separate account and did not share them with the three tiers of government. The APC also accused the PDP of distorting facts about the source of $2.1 billion approved for sharing by President Buhari, saying it was sourced from the $1.6 billion Company Income Tax/Education Tax paid by the NLNG on June 17, 2015.

The APC also revealed that the NLNG paid $1.4 billion as Income Tax/Education Tax in May 2014, $0.3 billion as Education tax from 2011 to 2013, and $1.2 billion in VAT and With-holding Tax to the Federal Government since 2009. The party also stated that dividend payments totaling $4,728,136,946 were paid to the Federal Government between 2004 and 2009, out of which only $127,851,348.19 was credited to the FG's Independent Account with JP Morgan, leaving a balance of over $4 billion.

Key Takeaways:

  • The APC has asked the PDP to account for $5.5 billion realised from NLNG since 2004.
  • The APC accused the PDP of distorting facts about the source of $2.1 billion approved for sharing by President Buhari.
  • The NLNG paid $1.6 billion Company Income Tax/Education Tax on June 17, 2015.
  • The NLNG paid $1.4 billion as Income Tax/Education Tax in May 2014.
  • The NLNG paid $0.3 billion as Education tax from 2011 to 2013.
  • The NLNG paid $1.2 billion in VAT and With-holding Tax to the Federal Government since 2009.
  • Dividend payments totaling $4,728,136,946 were paid to the Federal Government between 2004 and 2009.
  • The FG credited only $127,851,348.19 to its Independent Account with JP Morgan, leaving a balance of over $4 billion.

Statistics:

  • $5.5 billion: The amount realised from NLNG since 2004.
  • $2.1 billion: The amount approved for sharing by President Buhari.
  • $1.6 billion: The Company Income Tax/Education Tax paid by NLNG on June 17, 2015.
  • $1.4 billion: The Income Tax/Education Tax paid by NLNG in May 2014.
  • $0.3 billion: The Education tax paid by NLNG from 2011 to 2013.
  • $1.2 billion: The VAT and With-holding Tax paid by NLNG since 2009.
  • $4,728,136,946: The total dividend payments made to the FG between 2004 and 2009.
  • $127,851,348.19: The amount credited to the FG's Independent Account with JP Morgan.
  • $4 billion: The balance of uncredited dividend payments.

Sources:

  • Vanguard, July 13, 2015.
  • AllAfrica Global Media (allAfrica.com).