Nigeria: Illegal Transfer - CAC Revokes Nipost Subsidiaries' Certificates

23 April 2024
Daily Trust (Abuja)
By Philip S Clement

The Corporate Affairs Commission (CAC) has revoked the certificates of incorporation of NIPOST Properties and Development Company and NIPOST Transport and Logistics Services Limited.

This revocation followed the discovery of an illegal transfer of N10 billion in restructuring funds released by the Federal Ministry of Finance to the agency's subsidiaries.

The CAC, in a statement on Monday said: "The General Public is hereby informed that the Commission, sequel to its powers contained in Section 41 (7) of the Companies and Allied Matters Act No. 3 of 2020, revoked the Certificates of incorporation of the below-mentioned companies because the same was improperly procured. These companies are:

"1. NIPOST Transport and Logistics Services Company Ltd RC 1673881 and 2. NIPOST Properties & Development Company Ltd RC 1673971.

"By virtue of these revocations, the Companies are deemed to be dissolved and their Assets and Liabilities transferred to the Nigeria Postal Services established under the Nigerian Postal Services Act Cap N127 LFN 2004."

Recall that the Senate in a resolution of December 30, 2023, said it uncovered an alleged illegal transfer of Federal Government shares in two NIPOST subsidiaries to private individuals.

The discovered infractions sparked outrage, prompting the lawmakers to call for immediate action.

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