Reps Uncover N640m Paid To 2 Unlicensed Brokers, Summon Customs CG

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Barely a week after Finance Minister Kemi Adeosun accused the Nigerian Customs Services (NCS) of fraud in under-remitting of revenue, the House of Representatives Committee at the weekend summoned the Comptroller-General.

It was over the payment of N250million commission paid to an unlicensed broker.

The House ad-hoc committee investigating return on premium paid to government officials by insurance companies at the weekend uncovered the N640 million paid as commissions to the two unlicensed brokers by  insurance companies which provided service for some Ministries Department and Agencies (MDAs). The unlicensed brokers are Chrome Insurance  and Standard Insurance Consultant.

Speaking at the resumed hearing of the committee at the weekend, the Chairman, Hon Adekunle Akinlade,said documents presented to the committee revealed that Guinea Insurance, which provided cover for NCS paid N250 million as commission to Chrome between 2013 and 2015, while Staco Insurance, which provided cover to the Nigeria Ports Authority (NPA) paid N390million to Standard Insurance consultant as commission for 2014 and 2015.

When confronted, the Managing Director of Guinea Insurance, Isioma Okokuku, admitted that her company erred by doing business with Chrome Insurance, in contravention of the Insurance Act which bars insurance companies from engaging brokers that are not licensed by the National Insurance Commission (NAICOM). She said her0 company was moved by desperation to keep the Customs’ account.

On his part,  the Managing Director of Staco Insurance, Sakiru Oyefeso, who claimed to be a seasoned professional, said it was the duty of the regulatory agency to bring to the knowledge of his company the fact that Standard Insurance was not licensed at the time the transaction took place.

After being grilled by the committee, Oyefeso admitted that his company may have committed an infraction and pleaded for leniency.

Credit:

http://sunnewsonline.com/reps-uncover-n640m-paid-to-2-unlicensed-brokers-summon-customs-cg/

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