Leadership (Abuja)
Clem Khena
15 November 2008
Workers of Save Sugar Company and Onigbolo Cement Company, the two Nigeria owned Companies, based in the Republic Benin, would soon be smiling to the banks, as the governments of both countries have concluded arrangements to pay their severance allowances in December, 2008.
Besides, rents accruing from the Lease Agreement of Save Sugar Complex are also expected be shared on or before December 31 this year, in line with the agreed sharing formula, such that the servicing of external debts would take 95 percent, while 5 percent would go for internal debts and managerial cost of the Joint Monitoring Committee Secretariat.
These indications were given in a joint communiqué signed by the Nigerian minister of Commerce and Industry, Dr. Aliyu Idi Hong, and his Beninoise counterpart, Mr. Gregoire Akofodji, at the 15th session of the Joint Supervisory Authority (JSA) and the Joint Monitoring Committee (JMC) in Abuja, at the weekend.
The earlier lease arrangement will soon pave way for outright privatisation of the two companies, as plans are afoot by the Nigerian government to sell them to willing buyers.
Regarding the recurring claims of payment to former workers of the companies, the two ministers directed that the JMC should compile all outstanding entitlements due to the workers.
The communiqué added, "In that regard, the JSA resolved that all approved entitlements of former workers of the companies should be paid on or before December 31, 2008. Accordingly, the secretariat was directed to publicise this decision, in order to ensure that the workers were aware of this decision". During the 15th session of the JSA and the JMC which was held from November 12 to 14, this year, the two ministers assessed the progress of the lease management of the two companies and such issues as rents paid in respect of the lease Agreement of Onigbolo Cement Company and logged in the Central Bank of West African States (BCEAO), Cotonou, as well as the report of the Verification Committee on the entitlements of former workers of Save Sugar Company were resolved.
The issues also included payment of notice of termination allowance to former workers of Onigbolo Cement Company; final payment of entitlements of former workers of Onigbolo Cement and Save Sugar Companies; sharing of rents from the Lease Agreements of Save Sugar Company and Onigbolo Cement Company; the resumption of transfer of funds for the payment of the external debts of Onigbolo Cement Company, and the external debts of Save Sugar and Onigbolo Cement Companies.
The session resolved that the Charge d'Affaires of the Embassy of Nigeria in Cotonou and the administrative secretary of JMC should have access to the account in BCEAO, in respect of the Central Bank Account opened by Beninoise government for the lodgment of rents from the lease of Onigbolo Cement Complex from January 2007 to 2008, even as the two ministers directed the Debts Management Office (DMO) of Nigeria and its Beninoise counterpart, CAA to meet and finally resolve all outstanding issues concerning the claim by DMO of the portion of debts payable by Republic of Benin to Nigeria.
Akofodji assured his Nigerian counterpart, Hong, that the transfer would be effected on or before December 31, 2008, while asking the latter to pay an official visit to Benin Republic.
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