FG to Probe Claims of Tax Evasion by Mining Companies
The Federal Government (FG) has set up a committee to investigate the taxation and operational disputes between the Osun Government, and Segilola Resources Operating Limited (SROL), a subsidiary of Thor Explorations Limited.
The Minister of Solid Minerals Development, Dr Dele Alake, made this known in a statement by his Special Assistant on Media, Segun Tomori, on Friday in Abuja. Alake said that the committee was established to engage both parties with the aim of resolving the dispute and restoring industrial harmony.
Osun State Government, on Sept. 30, sealed the business premises of SROL, following a court order permitting it to confiscate the company for various flagrant tax violations and other operational matters.
The state government had charged the company with unethical business practices, and tax evasion amounting to approximately 1.9 million US dollars. He said that the committee would be chaired by Dr Mary Ogbe, the Permanent Secretary of the ministry.
According to him, the committee will include representatives of the Federal Inland Revenue Service, Ministry of Labour and Employment, and the National Association of Chambers of Commerce, Industry, Mines and Agriculture.
He emphasised that the Federal Government has been showcasing investment opportunities in the solid minerals sector to the global audience.
He, however, cautioned that the closure of mining operations by sub-nationals could abort efforts to attract Foreign Direct Investment (FDI) and provoke divestment.
“Indiscriminate closures of mining operations by sub-nationals raises the risk of discouraging foreign direct investments and even worse, possible divestment by existing companies.
“Mining is on the exclusive legislative list. The Ministry of Solid Minerals should be consulted before such disruptive actions are taken,” he said.
The minister restated the Federal Government’s determination to open up Nigeria’s landscape to boost economic growth, increase employment opportunities, and facilitate community development.
He maintained that any interruption in industrial production could undermine the goals of economic prosperity. Alake urged both parties to cooperate with the committee in the discharge of their duties. He added that, while the issues were being resolved, production should be allowed to continue at the company.
“I hereby call on Gov Ademola Adeleke of Osun and the management of Thor Exploration Limited to sue for peace and industrial harmony in the interest of the workers.
“I want them to think of some many dependents, who may be adversely affected by the closure of operations at the factory,” he said. #FG to Probe Claims of Tax Evasion by Mining Companies Oil Prices Increase as Middle East Tensions Heated Up
