Stakeholders Applaud Court Ruling Restraining FG From Enforcing E-Customs

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By Frank Odinukaeze

Stakeholders in the export and import business in Nigeria have applauded the
decision of a Federal High Court in Abuja, restraining the Federal Government
from enforcing or giving effect to an agreement on the Customs modernization
project.

The stakeholders, who spoke to 108SCOOP.com, asked the National Assembly to
investigate the agreement, saying it won’t bring any development to the
service.

Recall that the court had on Friday, restrained the Federal Government from
enforcing or giving effect to an agreement on the Customs Modernization Project
otherwise known as E- customs, allegedly executed by its agents on May 30,
2022.

The agents who allegedly executed the disputed concession agreement are the
Nigeria Custom Service, Trade Modernization Project Limited, Huawei
Technologies Company Nigeria Limited and African Finance Corporation.

The court also issued an order of interim injunction against the Federal
Government or its agents acting through the Federal Executive Council from
retrospectively ratifying the decision to concession the Customs Modernization
Project also known as e-custom project to Trade Modernization Project Limited,
Huawei Technologies Company Limited and African Finance Corporation.

 The restraining order issued by Justice Inyang Ekwo of the Abuja
Division of the court, shall last till the hearing and the determination of a
suit brought against the Federal Government and other parties by two aggrieved
companies.

1008SCOOP.com gathered that the modernization project was meant to cede
activities of the service to a foreign firm.

A customs personnel who spoke on condition of anonymity for fear of
victimization said, “I pray this doesn’t sail through.

“It is too ambiguous and inherent to cause problem for the service in
future. At what price are they concessioning the IT infrastructure? What happened
to the IT infrastructure they have invested in over the years?

Also speaking, another senior officer said the court injunction is a welcome
development, saying the service must be rescued from those who want to ‘sell’
it to Chinese firm, Huawei.

“What is the interest of those planning to sell the IT section of the
service to Chinese firm? What do they stand to gain? The court injunction is in
the right direction,” an elected officer said.

Also, maritime experts operating at the nation’s seaports have expressed
outrage over the concessioning of the operations department of the Service for
20 years.

The stakeholders have queried while the Customs Service would handover it’s
operation to a company that recently had security issues with the government of
the United States of America and Canada.

They argued that the technology firm may compromise the nation’s security,
saying no one would stop them from doing that because they already have access
to Nigeria’s trade database while working on the e-customs Project which can be
made available to third party partners.

A former president, National Association of Government Approved Freight
Forwarders (NAGAFF), Eugene Nweke, also queried how the Chinese firm emerged as
to carry out the e modernization project, asking whether there was a bidding
process.

According to him, the contract was possible because the Customs Comptroller
General, Col. Hameed Ali (rtd), was not a career Customs officer.

He said, “the agency function so concessioned, is not a one man enterprise,
but a public agency, as such Nigerians have a right to know how they did and
when was the biding process advertised. Who are the bidders and what criteria
was used to arrive at the choice of Chinese firms? The Law makers should answer
and explain to Nigerians.”

Speaking further he said “Also, may I state the obvious, the present
scenario became possible due to the absence of a seasoned career Comptroller
General of Customs.

“I can bet you no career Officer, no matter how unintelligent and corrupt
he may be, would never accept nor succumb to the concessioning of any aspects
of the Customs functions or operations.”

“There is need to set up a commission of inquiry to review the NCS
modernization process and related contracts from 2001 to date since the CG Ali
and ICRC director general claimed in their separate speeches that the project
is a novel idea that would facilitate ease of doing business and enthrone
digital smart processes and procedures in customs, thereby inferring that all
the previous automation contracts and processes never existed or were not
executed.

“I never believed that, all along the NCS has been wasting the tax payers’
funds, going front and back and dwelling strongly on analogue import and export
trade tools applications.

“By their submission, there is urgent need to ascertain the veracity of the
automation processes in the NCS as written and published by DC Musa Omale in
his book, “Nigeria Customs Service-An Overview”(Customs Monthly Order October
Edition, 2012, page 27) under the title: Development Of e-Customs Through
ASYCUDA.”

According to him, the service under this period developed the following
electronic applications: e-manifest, e-payment, e-remittance, e-notifications, e-Government
platform for single window to stakeholders in the international trade, e-release,
e-provision of NCS national private telecom network.

Also speaking, a frontline member, Association of Nigeria Licensed Customs
Agents (ANLCA), Chidi Opara, said relying on Huawei’s integrity in having
access to Nigeria’s trade database while working on the e-customs project is
presently is of little comfort.

“Huawei Technologies Limited, China, will definitely have access to
Nigeria’s trade database while working on the e-customs Project, these data
accessed can also be made available to third party partners.

“In the absence of a strong data protection policy and the dearth of
enforcements of laws, executive orders, etc., what is the assurance that the
data to be harnessed would be used appropriately? Relying on Huawei’s integrity
in this regard, as is the case presently is of little comfort,” he said.

He, however, said that the 20 year period for the modernization project was long,
saying that it shouldn’t be more than 10 years.

“20 years is a very long period of time irrespective of the nature of the
modernization that may be required. There is no reason why the modernization of
Nigeria Customs Service, otherwise known as, e-Customs Project should last more
than five years.

“In a worst case scenario, there could be a two-part period of five years
each (total of ten years), the first five years would be for implementation of
the designed modernization concepts and test runs. The last five years would be
for consolidation and transfer.

“Huawei Technologies Limited, China, is a company involved in the supplies
and services of sophisticated modern high technology hardwares and softwares.

“The company recently had security issues with the United States of America
and Canada. If Huawei Technologies Limited decides tomorrow to compromise
Nigeria’s security, nothing obviously would be able to stop them from doing
that. We only hope that they would not do that, but that hope is flimsy,” he
said.

 

 

 

 

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