FG Warns Charity Organisations over Abuse of IDECs

Mon, Jul 31, 2017 | By publisher


Business

THE Ministry of Finance has advised Not-for-profit and Charity organisations and members of the public to exercise caution in  applying for Import Duty Exemption Certificates, IDECs, while receiving donations of relief materials from foreign donors. It similarly advised organisations to ensure that the donations are from genuine partners.

In any case, the federal government said it would henceforth hold local charity organisations and their trustees responsible for abuse of the IDECs  issued in respect of such relief materials.

The warning follows a recently discovered case in which a charitable organisation applied for and was granted the IDEC for the importation of donated drugs for HIV treatment, anti-malarial drugs and mosquito nets. However, an inspection by the Nigerian Customs Service, NSC, detected that 5,900 units of high-end Samsung mobile phones and screen covers valued at over  N566 million were concealed within the mosquito nets.  The items were not listed on the manifest, nor detailed in the IDEC application.

The items have now been seized and a case  for potential  prosecution is being prepared.

Following the discovery, the Ministry of Finance and the NCS have amended the procedure for the issuance and extension of the IDEC in respect of relief materials.

Henceforth, the NCS would automatically conduct 100 percent inspection on all donations for which the IDECs would have been issued.

In addition, prior to issuance of the IDECs for relief donations, the Federal Ministry of Finance and the NCS would conduct more vigorous detailed background checks on both the  foreign donors and the trustees of local charity organisations.  In addition,  the IDECs for relief materials would be valid for 180 days only, but can be reviewed if unused.

The Ministry and the NCS reiterated that Nigeria welcomes  and appreciates donations of relief materials but would work to prevent abuse by unscrupulous individuals determined to economically damage Nigeria by evading duties payable on commercial goods.

—  Jul 31, 2017 @ 14:30 GMT

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