FIRS shuts insurance firm, Delta Transport Service, Asaba hotel

State government appeals verdict

The Federal Inland Revenue Service (FIRS) yesterday sealed Alliance and General Insurance Company in Lagos, Delta Transport Service and Grand Hotels in Asaba.

The insurance firm, which has its headquarters in Lagos was sealed by a FIRS enforcement team over its company income tax alleged debt of N2, 413, 055, 386.69.

The team also shut MYD Telecoms Company Limited in Lagos, which allegedly owes N26, 247, 856.50. Equally affected was the Lagos based Brick and Cable Limited. The company allegedly has tax liabilities comprising Value Added Tax (VAT) and Company Income Tax, of N155, 460, 310.22.

The FIRS team Asaba also sealed the offices of the Delta Transport Service Limited and Grand Hotels Limited. Leader of the enforcement team, Ruth Mandeun alleged that the companies ignored notices sent to them and failed to take advantage of the one-month window offered by the FIRS.

Delta Transport Service allegedly owes N243, 146, 108, while Grand Hotels Limited has liabilities amounting to N14, 402, 762. 75. In Owerri, Imo State, the FIRS shut Macol Construction Company Limited over its tax debt of N2, 938, 069. 37, First Eye Resources Nigeria Limited, which allegedly owes N6, 844, 099.46 and Boko Nigeria Limited, which has an alleged debt profile of N250, 000.

Meanwhile, Delta State Government has appealed the recent judgment of an Otor-Udu High Court, which declared the passenger welfare scheme and the daily tax paid by operators of motorcycles and tricycles as being inconsistent with the state approved taxes and levies.

The judgment invoked the relevant provisions of the Approved List for Collection Act, 2004. Commissioner for Information, Patrick Ukah who disclosed this in Asaba yesterday said the state government was uncomfortable with the verdict and had therefore, filed a notice of appeal praying the appellate court to set aside the judgment of the lower court delivered by Justice C.E. Achilefu on April 28 in suit No OUHC/111/2016 Oghenejabor Ikimi Vs. Governor of Delta State and two others.

Ukah said the government also filed a motion on notice at the court praying for an order of injunction restraining the claimant/respondent from taking steps to reap the benefits derivable from the said judgment pending the hearing and determination of the appeal.

“In the interim, members of the public are urged to remain calm and be law-abiding as the state government has taken the right legal steps to set aside the said judgment,” the commissioner said.