By Joshua Yousouph
There are controversies trailing the issue of the ban on “Form M” transactions opened via First Bank, by the Nigeria Customs Service (NCS). This is even as freight forwarders have taken the management of First Bank to Court over alleged non-remittance of Customs revenue which has led to accrued demurrages at the ports.
Recall that the Central Bank of Nigeria (CBN) on the orders of the House of Representatives Committee on Customs has delisted First Bank from collection of import duty revenue due to its alleged failure to remit N100 Billion collected on behalf of the Federal Government of Nigeria on export proceeds for Nigerian Exports Promotion Council (NEPC).
The acting National President of the Association of Nigeria Licensed Customs Agents (ANLCA), Dr Kayode Farinto had earlier raised an alarm that clearing agents have been unable to clear cargoes from the port because Customs would not accept duty payment on PAAR or Form ‘M’ opened under First Bank.
However, clearing agents who spoke to our correspondent last week noted that the issue is yet to be resolved, while a few others are insisting that it has been resolved.
Speaking with the National Public Relations Officer of the Association of Registered Freight Forwarders of Nigeria (AREFFN), Mr. Taiwo Fatomilola, he informed that the coalition of all freight forwarding associations has taken the management of First Bank Plc to court, adding that they are waiting for the court’s judgment, so that freight forwarders will not be liable to pay the demurrages incurred because of First Bank’s inefficiency.
Fatomilola specifically noted that the problem with First Bank has not been resolved yet, stressing that only Zenith and GTB banks are currently accepting online payments for Customs duty.
In his words: “The issue is with Customs and First Bank. There is nothing we can do; we have taken them to court. We are waiting for the Court judgment so that we would not be responsible for the rent as we are paying duty and the rest in the past. That is our consolation now. It is the coalition of freight forwarding associations that took them to court.
“The problem has not been resolved yet. You know GTB took almost from February till around May before it was resolved. Last year they took almost two months too. There are other banks on the Customs System such as GTB, FCMB, Fidelity and Stanbic IBTC bank. It depends on where you have your account and where you are making the payment to. When you are talking of online, it is only Zenith and GTB that accept online payments’, Fatomilola said.
Also speaking, the Tin Can chapter Public Relations Officer of the African Association of Professional Freight Forwarders of Nigeria (APFFLON), Mr Clinton Okoro confirmed that the issue has not yet been resolved.
Okoro lamented that many clearing agents have paid their Customs duties but are yet to reflect on the Customs platform for duty payment. He however urged the NCS to create an alternative by providing clearance to clearing agents who have already paid their duty to First Bank, so that they can seamlessly clear their cargoes without them incurring unnecessary demurrages at the ports.
“I don’t know why the Nigeria Customs are sometimes not organized or coordinated, because if you remember we had that same issue with GT Bank sometime last year, which trapped a lot of cargoes in the port. We are surprised this is coming up with First Bank too. There are some people that have paid duty and their duty cannot be seen in the system. We are trying to see how we can resolve accumulated demurrages.
“Customs should look at the issue of the freight forwarders who had already made payments. How do they do it? If they don’t give us a clearance from their system, how do we take those cargoes away from the port? It would be there accumulating demurrages and when the demurrage is accumulating, who is losing? It will still come down to the masses. We are not saying that the First Bank has done well, but Customs should let those who have already paid their duty get clearance, so that they can go and carry their cargo” Okoro pleaded.
However, the National Coordinator of the 100 per cent Compliance Team of the National Association of Government Approved Freight Forwarders, Alhaji Ibrahim Tanko informed that the issue between First Bank and the Central Bank has been resolved last week and First Bank has been opened by Customs to receive duty payments.
“We have resolved the matter. First Bank has been opened. They are working now. It was resolved last week. The issue between the First Bank and the Central Bank has been resolved” Tanko said.
In a chat with the National Public Relations of the NCS, CSC Abdullahi Aliyu Maiwada, he noted that he is not aware of the issue, and that he would make enquiries and get back to our correspondent, but he never did as at press time.
“I am not aware of this. I only know the issue of GT Bank. I don’t have an idea. I need to find out. I cannot talk about what I don’t know. Kindly allow me to make findings and get back to you” Maiwada told our correspondent.