There was a reign of terror at Orba and Eha-Alumona in Udenu and Nsukka Local Government Areas of Enugu State, respectively; as gunmen attacked two operatives each of the Nigeria Police Force and Federal Road Safety Corps on Saturday.

The attack came barely 24 hours after two policemen on a stop-and-search duty were attacked and killed on Friday by some gunmen in the state metropolis, less than a kilometre from the Government House.

It was gathered that the latest attack started from the Premier Junction at Eha-Alumona in Nsukka LG and proceeded to the Army checkpoint at Orba in Udenu LG around 4 pm.

READ ALSO: Customs Intercepts N10m Worth Petrol En Route Cameroon Illegally

The four personnel were killed in the onslaught while others escaped with various degrees of injury.

The hoodlums also attacked and set ablaze a Hilux van belonging to the traditional ruler of Egali Amalla Community in Udenu LG, Patrick Eze, popularly known as Igwe Waziri.

The monarch, who was reportedly caught, in the web of the attack, miraculously escaped unhurt.

The gunmen also burnt an FRSC van during the carnage.

READ ALSO: Nine-year-old Stabs Pupil,10, To Death On While Returning From School In South Africa

Meanwhile, when our correspondent contacted the state Commissioner of Police Kanayo Uzuegbu, for his reaction to the incident, he said, “I am not aware of the incident. Please contact the Police Public Relations Officer on that.”

However, efforts to get the command’s spokesperson, Daniel Ndukwe, were unsuccessful as he neither responded to the calls nor text messages as at the time of filing this report.

Governor Peter Mbah of Enugu State had vowed to apprehend the assailants who killed two policemen on Friday with all the resources available to the state government.

PUNCH

The Socio-Economic Rights and Accountability Project; a not-for-profit organisation, BudgIT, and 136 concerned Nigerians have filed a lawsuit against the Central Bank of Nigeria “over its failure” to withdraw the cybersecurity levy.

In what was described as an “unlawful circular,” the plaintiffs in the suit number FHC/L/CS/822/2024 filed last Friday at the Federal High Court, Lagos State, asked the court to determine “whether the CBN circular dated 6th May 2024, directing financial institutions to deduct from customers’ accounts a cybersecurity levy is unlawful and therefore ultra vires the CBN.”

This is contained in a statement issued by SERAP’s Deputy Director, Kolawole Oluwadare, made available to newsmen on Sunday.

Last Monday, through a circular, the apex bank ordered all commercial, merchant, non-interest, and payment service banks, among others. operating in the country to start charging a cybersecurity levy on transactions.

READ ALSO: Tinubu Bows To Pressure, Orders CBN To Suspend Implementation Of Cybersecurity Levy

The CBN noted that, in compliance with the enactment of the Cybercrime (Prohibition, Prevention, etc.) (Amendment) Act 2024 and under the provision of Section 44 (2)(a) of the Act, a levy of 0.5 per cent (0.005) equivalent to a half per cent of all electronic transactions value by the business specified in the Second Schedule of the Act, is to be remitted to the National Cybersecurity Fund which shall be administered by the Office of the National Security Adviser.

“The levy shall be applied at the point of electronic transfer origination, then deducted and remitted by the financial institution. The deducted amount shall be reflected in the customer’s account with the narration, ‘Cybersecurity Levy.” the circular stated.

Although, President Bola Tinubu had directed the CBN to suspend the implementation of the controversial cybersecurity levy policy and ordered a review, the plaintiffs asked the court to determine whether the apex bank’s directive “are not in breach of sections 14(2), 44(1) and 162(1) of the Nigerian Constitution 1999 [as amended], and therefore unconstitutional, null, and void.”

They also demanded that the “CBN, its office, agents, privies, assigns, or any other persons acting on its instructions from enforcing the circular dated 6th May 2024, pending the hearing and determination of the motion on notice filed contemporaneously in this suit,” be restrained.

READ ALSO: SERAP Gives FG 48-hr Ultimatum To Reverse CBN’s 0.5% Cybersecurity Levy

The suit filed on behalf of the plaintiffs by their lawyer, Ebun-Olu Adegboruwa, SAN, read in part, “The CBN circular is unlawful and an outright violation of the provisions of the Nigerian Constitution and the country’s international obligations.

“Unless the reliefs sought are granted, the CBN will enforce its circular directing banks to deduct from customers’ accounts a cybersecurity levy. Millions of Nigerians with active bank accounts would suffer irreparable damage from the unlawful deduction of cybersecurity levies from their accounts.

“The provisions of the Cybercrimes Act on payment of cybersecurity levy strictly apply only to businesses listed in the Second Schedule to the Act. These provisions make no reference to bank customers, contrary to the CBN circular to all banks and other financial institutions.”

The statement noted that while the CBN’s circular “a blatant violation of Nigerians’ human rights including the right to property guaranteed under section 44 of the Nigerian Constitution and article 14 of the African Charter on Human and Peoples’ Rights to which Nigeria is a state party,” the Federal Government “has a legal responsibility to ensure the security and welfare of the people, as provided for under section 14(2)(b) of the Nigerian Constitution and human rights treaties to which Nigeria is a state party.”

READ ALSO: ICYMI: Five Things To Know About The New Cybersecurity Levy To Be Paid By Nigerians

The plaintiffs, therefore, urged the court to “grant the reliefs sought in the public interest and the interest of justice as well as to prevent arbitrariness and ensure the rule of law in the country.”

The cybersecurity levy, as ordered by the apex bank, is to be be remitted to the National Cybersecurity Fund which shall be administered by the Office of the National Security Adviser.

While disagreeing with this, the plaintiffs noted that according to Section 162 (1) of the Nigerian Constitution, the payment of “revenues collected by or on behalf of the Government of the Federation are mandatorily required to be paid into the Federation Account save the revenue excepted by the provisions of the section.”

“The National Cybersecurity Fund established by section 44(1) of the Cybercrimes Act 2015 [as amended] into which it is required to be paid the levy of 0.5% chargeable on all electronic transactions instead of the Federation Account is unconstitutional, null, and void.

“As of 30 April 2024, commercial banks in Nigeria already charge exorbitant fees for electronic transactions, including electronic transfer charges at N53.75 on any amount above N10,000; stamp duty of N50 on every transaction and account maintenance charge deducted per month,” the statement partly read.

No date has been fixed for the hearing of the suit.

President Bola Tinubu has asked the Central Bank of Nigeria to suspend the implementation of the controversial cybersecurity levy policy and ordered a review.

This followed the decision of the House of Representatives, which, last Thursday, asked the CBN to withdraw its circular directing all banks to commence charging a 0.5 per cent cybersecurity levy on all electronic transactions in the country.

The CBN on May 6, 2024, issued a circular mandating all banks, mobile money operators, and payment service providers to implement a new cybersecurity levy, following the provisions laid out in the Cybercrime (Prohibition, Prevention, etc) (Amendment) Act 2024.

According to the Act, a levy amounting to 0.5 per cent of the value of all electronic transactions will be collected and remitted to the National Cybersecurity Fund, overseen by the Office of the National Security Adviser.

Financial institutions are required to apply the levy at the point of electronic transfer origination.

READ ALSO: ICYMI: CBN Orders Banks To Charge 0.5% Cybersecurity Levy

The deducted amount is to be explicitly noted in customer accounts under the descriptor “Cybersecurity Levy” and remitted by the financial institution. All financial institutions are required to start implementing the levy within two weeks from the issuance of the circular.

By implication, the deduction of the levy by financial institutions should commence on May 20, 2024.

However, financial institutions are to make their remittances in bulk to the NCF account domiciled at the CBN by the fifth business day of every subsequent month.

The circular also stipulates a timeframe for financial institutions to reconfigure their systems to ensure complete and timely submission of remittance files to the Nigeria Interbank Settlement Systems Plc as follows: “Commercial, Merchant, Non-Interest, and Payment Service Banks – Within four weeks of the issuance of the Circular.

READ ALSO: SERAP Gives FG 48-hr Ultimatum To Reverse CBN’s 0.5% Cybersecurity Levy

“All other Financial Institutions (Microfinance Banks, Primary Mortgage Banks, Development Financial Institutions) – Within eight weeks of the issuance of the Circular,” the circular noted.

The CBN has emphasised strict adherence to this mandate, warning that any financial institution that fails to comply with the provisions will face severe penalties. As outlined in the Act, non-compliant entities are subject to a minimum fine of two per cent of their annual turnover upon conviction.

The circular provides a list of transactions currently deemed eligible for exemption, to avoid multiple applications of the levy.

These are loan disbursements and repayments, salary payments, intra-account transfers within the same bank or between different banks for the same customer, and intra-bank transfers between customers of the same bank.

READ ALSO: Banditry: Niger Speaker To Marry Off 100 Female Orphans

Exemptions include other financial institutions’ transfers to their correspondent banks, interbank placements, banks’ transfers to CBN and vice versa, inter-branch transfers within a bank, cheque clearing and settlements, letters of credit, and banks’ recapitalisation-related funding.

Others are bulk funds movement from collection accounts, savings, and deposits including transactions involving long-term investments such as treasury bills, bonds, and commercial papers, and government social welfare programmes transactions.

These may include pension payments, non-profit and charitable transactions including donations to registered non-profit organisations or charities, educational institutions transactions, including tuition payments and other transactions involving schools, universities, or other educational institutions, and transactions involving the bank’s internal accounts, inter-branch accounts, reserve accounts, nostro and vostro accounts, and escrow accounts.

The introduction of the new levy sparked varied reactions among stakeholders as it is expected to raise the cost of conducting business in Nigeria and could potentially hinder the growth of digital transaction adoption.
PUNCH