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Subscribers groan as Kogi govt, telecoms tango over tax

The face off between the Kogi State Internal Revenue Service (KGIRS) and two Telecom giants, Globacom Nigeria Limited and Airtel Networks Limited, over alleged unpaid…

The face off between the Kogi State Internal Revenue Service (KGIRS) and two Telecom giants, Globacom Nigeria Limited and Airtel Networks Limited, over alleged unpaid taxes has started crippling socio-economic activities in the state.

It was gathered that the shutdown of the facilities of the two telecom giants is gradually taking its toll in the business community as sales are dropping, cases of insecurity rising, service offers becoming poor, response in emergency cases dull as more lives are being lost.

A survey by Daily Trust in the state shows that subscribers of these disputed lines are worse off and their business are grinding to a halt gradually.

“I have to drop my Glo SIM card for days now because I can no longer receive calls or access internet service via it. It’s my business line and is affecting me greatly.

“I’m in a mobile business where I hawk my wares rounds. I will call and inquire of demands before I set out to drop the goods with prospective buyers.

“With my business line off, I now spend more money on petrol at this scarcity of stock period. It’s frustrating,” said Garba Mohammad, a subscriber who deals in herbal medicine in Lokoja metropolis.

The same fate befell Mr David Ojogbane, an electrician in Ganaja, Lokoja, who is into electric wire works, especially of houses.

While bemoaning the ugly situation, he said he lost a contract of N2.5m to a rival last week in Abuja as the client could not reach him to report and defend the contract agreement he applied for in Abuja.

“I called by instinct, to inquire from my client, using my friend’s MTN line and I was told that the contract was given out few days ago, as they are unable to reach me when I was needed,” he lamented.

Also, a staff of a new generation bank in Lokoja who craved anonymity said the banking sector in the state may be affected deeply shortly, saying that internet services on those two lines are becoming terribly poorer, crippling their operations in some branches.

“I used to make N2,000 and above everyday from Point Of Service (POS) from my two stations around Ganaja Junction and Phase 1 lokogoma areas of Lokoja.

“Now, I hardly make N1,000 because of poor internet services occasioned by the telecom dispute with the state government,” said Fumilayo Ademola who claimed to be a graduate applicant.

It is the same outcry in the hospitality business in Lokoja. Daily Trust gathered that customers now inquire of hotels under the groaning of “service off” before checking in.

A busy hotel known for high profile personality patronage is said to be licking its wounds to this effect.

Its patronage has dropped drastically and customers have kept off for what is popularly known in Lokoja now as, “service off syndrome”.

In the same vein, a source from the Federal Road Safety Corps (FRSC) told Daily Trust that some lives would have been saved last week in an accident along Okene-lokoja highway if they were able to reach the operatives on time for intervention. 

Also, some natives of Kabawa, Lokoja, where teenage cultists laid siege for hours on Sunday and early Monday morning, told Daily Trust that “We could not reach the appropriate authority on Sunday night when the teenage cultists were intercepting vehicles and robbing them.”

However, what appears to be the loss of Globacom and Airtel is MTN’s gain. Many who earlier abandoned their MTN SIM card for one reason or the other are said to be rushing to do welcome back.

According to the agency, the sealing of the sites of both companies and their properties for tax default liabilities was at the instance of a High Court Order sitting in Lokoja, Kogi State.

According to the Acting Executive chairman of KGIRS, Alhaji sule Salihu Eneche, Globacom’s unremitted tax liabilities, both corporate and individual and on social service contribution levy (SSCL) from 2017 through 2021 stood at #300,000,000.00.

“Airtel Networks Limited defaults at #60,035,000.00, both corporate and individual tax liabilities,” he said.

He added that all these payments are to be made by virtue of a law of the Kogi State House of Assembly duly passed, which allows KGIRS to collect the levies and fees on these premises, stressing that rather than blackmailing the agency, the two defaulting telecom giants should emulate MTN Nigeria Communications and settle their tax liabilities.

The acting Executive chairman said their doors are open for negotiation, but the two telecom giants are “notorious for tax evasion”, as they rebuffed all overtures towards them to settle the matter in question.

Meanwhile, the Association of Licensed Telecommunications Operators of Nigeria (ALTON) has raised alarm over critical developments in the industry, particularly, the seizure of cellular sites in Kogi State and the degrading quality of telecom services at the Federal Capital Territory (FCT).

Chairman of the association, Gbenga Adebayo told newsmen in Lagos that the Federal Capital Development Authority (FCDA), office of the Director for Signage and Advertisement has refused to grant telecommunication service providers permit to build infrastructure in the Federal Capital City, thus, affecting the quality of services around FCT and environs.

ALTON appealed to the president and the Office of the National Security Adviser (ONSA), to prevail on the FCDA and Kogi State governor to as a matter of urgency bring his authority to bear on KIRS so as to prevent a total blackout in communications services.

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