ABUJA: Disturbed by the dwindling revenue profile of the Nigeria Customs Service, Senate Tuesday mandated its committee on Customs, Excise and Tariff to probe how the Service recorded a revenue shortfall of N230 billion by the last quarter of 2015.
This followed a motion by Isaac Alfa (APC, Kogi East) titled: “Urgent Need to Examine the Operations of the Nigeria Customs Service Revenue Drive”.
Alfa noted with serious concern that the revenue projection of Customs has not been met despite multiple strategies and policy initiatives to improve revenue generation.
The lawmaker observed that in the first quarter of 2016, the Tin Can Island and Apapa Command of NCS recorded a revenue shortfall of N2.7 and N2.5 billion respectively.
Alfa believed the revenue shortfall is as a result of unwholesome fraudulent trade malpractice, under declaration, abuse of fiscal policies, concealment, false declaration of value and wrong classification.
In his submission, Shehu Sani (APC, Kaduna Central) lamented the decline in NCS revenue at a time when Nigeria’s economy is facing recession. He said what is happening to NCS is a reflection of fall in the volume of trade and commerce.
Deputy Senate President Ike Ekweremadu emphasised the need to ensure that government block all leakages and optimise the revenue potential of Customs.
“It’s time we block all leakages in the system and optimise the revenue potential of the Customs Service so as to increase all revenue”, he said.
In his remarks, Senate President Bukola Saraki believes there is need to clean up the Nigeria Customs Service, pointing out that “The place is stinking”.
He notes that the drop in Customs revenue has sharply affected government revenue as well as the need to plug all leakages.
Senate consequently resolved to probe the activities of NCS with a view to identify leakages and identify the causes of decline in revenue generation.
Also on Tuesday, the Senate condemned the act of hawking, selling and illegally trading in new naira notes, coins or any notes issued by the Central Bank of Nigeria (CBN).
Adopting a motion sponsored by Mao Ohuabunwa (PDP, Abia North) titled “Urgent need to end the illicit trade in freshly minted naira notes”, the Senate urged security agencies to enforce compliance with the provisions of Section 21 of the CBN Act, 2007.
It also mandated the apex bank to strengthen its system that audits the process of collation, processing and disposing of defaced and mutilated notes.
The upper chamber urged the CBN to investigate the allegation that commercial bank officials sell new naira notes to illegal peddlers.
