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Leadway Assurance Company In Trouble Over Multi-Million Naira Fraud – Customer Claims

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An Abuja-based man, Jolayemi Woleola has accused an insurance corporation, Leadway Assurance Company of fraud.

He described the attitude and disposition of the company to his insurance claim as appalling, disappointing, annoying and frustrating.

Jolayemi said Leadway Assurance Company came up with different excuses and outright lies to avoid the fulfilment of their obligation towards him.

The statement reads in part, “I entered into a vehicle insurance contract with Leadway covering my Mercedes Benz E 300 2017 model. The insured car was involved in an accident with a trailer on Kubwa express in Abuja on 23/07/2021.

“I presented my claim to Leadway after relevant documents like the police report were issued. The Leadway insurance has maliciously refused to reinstate me to the position I was in prior to the accident.

“Leadway has been coming up with excuses including outright lies to refuse the fulfilment of their obligation towards me.

“Leadway started from questioning the veracity of an accident which threatened my life to outright lies of claiming to visit the hospital where I was treated of bleeding and being told no patient was treated on that day to twisting outright glaring facts as to the value of the Vehicle prior to insuring same.

“They did not go to the hospital and they lied that they went there. When I went back to the hospital, I requested for CCTV footage of the said day that I came to the hospital, the hospital management asked me why and I showed them Leadway letter.

“The hospital said nobody came to their hospital and they said they don’t even discuss their patients’ medical reports or histories with third parties. They decided to issue a medical report to me which I sent to Leadway again.

“The company went as far as making false allegations against me just in a bid to unjustly refuse reinstating my vehicle back to the position it was before the accident.

“Even a demand that I want the vehicle fixed as opposed to being paid cash for the claim has been recalcitrantly treated by Leadway. I think it is pertinent to let the world know of the disposition of Leadway towards insurance claims as evidenced by my situation.

“The pertinent question is – with attitude such as displayed by Leadway, what is the hope for insurance and adequate/efficient service delivery in Nigeria.”

“At a time when public perception of the concept of insurance as a financial tool of protection is low and Nigerian Government’s effort to improve service delivery in the insurance sector and build confidence in the sector, the attitude and disposition of Leadway as a major player in that sector is appalling, disappointing, annoying and frustrating,” he added.

But in a letter to Jolayemi Woleola from Leadway Assurance Company, which was dated September 10, 2021 and signed by Okanke Eze of Claims Department and E.0. Soje for Divisional Director, the company accused the policyholder of breaching the “policy terms and condition guiding the principles of insurance”.

In the letter titled, ‘Re: Our Claim No: AB21C000098PM Our Policy No: PM210002781 AB Accident Involving Mercedes Benz E 300 With Reg No. RBC 123 BL on 23/07/2021 Insured: JOLAYEMI WOLEOLA,’ Leadway said it would only offer N3,769,941.56, which translates to N3,711,755.09 payment after deduction for “Less 1.75% contribution for betterment on replaced items”.

It said among other things, “You disclosed to us that the vehicle was purchased in April, 2021 while the first servicing was done in Lagos before bringing it to Abuja. However, we discovered that the vehicle was sold via auction on 08/09/2020 with primary damage to front end, secondary damage right front and airbags not reinstalled. Being an accident vehicle, the maximum sum insured value is N7,250,000.00 as against the sum insured of N15million placed on same.

“You will agree that this is misrepresentation of facts and breach of utmost good faith which goes to the root of every insurance contract and make void of the contract from inception.

“Furthermore, we observed that an estimate of repairs of N13,443 ,982.77 from Mercedes Benz, Barbados was presented to us when you know fully well that you do not have maintenance records with them. You may refer to the maintenance garage clause in your policy which states that ‘It is hereby declared and agreed that in the event of an accident involving the vehicle covered by this policy, the insured is restricted to obtaining estimate of repairs from maintenance garage engaged for regular maintenance activities or repairs for at least six (6) months prior to the incident or loss.’

“Meanwhile, we discovered that the repairs of the Mercedes Benz E 300 car was usually carried out at Dawab Auto repairs situated along Kubwa Express Abuja. Therefore, going to Barbados other than your usual repairing garage is a pointer that you want to make profit from insurance. This act is also against the principles of insurance as the purpose of insurance is to indemnify you by putting you to the position you were immediately prior to the loss.”
In another letter to Jolayemi Woleola dated October 5, 2021 and signed by Okanke Eze of Claims Department and Onasanya Mustapha for Divisional Director, Leadway Assurance Company said, “We refer to your mail of 17th September, 2021 and letter dated 15th September, 2021 respectively in which you rejected our offer of N3,769,941.56 given to you without prejudice.

“However, we have gone through all the receipts and invoices you attached to your letter under reference and it further indicates that you concealed material facts about the vehicle before insuring same with us. The implication of concealing material facts ab initio qualifies for repudiation of the claim as this makes the contract void.”

It insisted it would not improve its offer, saying, “In view of the above, we have graciously allowed the claim by giving you an offer rather than outright repudiation of the claim as such, we will not be able to improve on the settlement offer and urge you to execute the discharge voucher earlier sent to you to enable us conclude action on the claim and mark our file closed. We look forward to receiving from you shortly.

It further said, “Please be informed that you breached the principle of utmost good faith as you made underwriters believe that you just purchased the car in April 2021 and was yet to register it with Barbados before insuring with us.
“You told us the same thing on the first and second claims. You stated in your mail of June 9, 2021 and August 13, 2021 respectively that you just purchased the car in April 2021 and did the first servicing in Lagos before bringing the car to Abuja and service lasts for 6 months which makes you not to register with Barbados before the accident happened’.
You never mentioned to us that the car was an accident vehicle and you carried out repairs on it prior to insurance cover as evident in your mails under reference. This act is misleading as you already know that the accident vehicle you purchased via custom auction in September 2020 has a lot of issues ranging from key problems, airbags, and other internal issues that underwriters cannot see during the physical pre-loss inspection and this information was concealed.

“To further attest that you want to make profit from insurance, some of the items that are still required to fix the car now with the present damaged condition, the parts that were purchased at N50,000.00, you brought estimate from Barbados charging over N400,000.00 for same parts.

“The side mirror you replaced for N150,000.00, you want us to pay N736,215.00 and N286,693.00 for low arm that is sold for N80,000.00 at shop where you bought same before and you are aware the parts are still available. (Attach herewith is copy of estimate of repairs from Kris-Mekino Investment Co. Ltd. dated 23rd September 2021 confirming the same amount for those items). We have established from the various documents that you carried out massive repairs in Lagos with reasonable cost. It is important to note that the purpose of insurance is to indemnify you by putting you to the position you were immediately prior to the loss. The reason we gave you an offer that was adequate to reinstate the car back to its position before the purported accident.”

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Update : Mambilla: Nigeria Wins $2.35bn ICC Arbitration, Tinubu Hails Buhari, Obasanjo

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The International Chamber of Commerce tribunal in Paris has ruled in favour of Nigeria in the arbitration brought by Sunrise Power and Transmission Company Limited over the Mambilla Hydroelectric Power Project in Taraba State.

President Bola Tinubu, in a statement issued on Thursday by his Special Adviser on Information and Strategy, Bayo Onanuga, said the tribunal rejected the claims by Sunrise.

The company had sought $680m from Nigeria as a settlement sum and interest in relation to a separate arbitration in which it is claiming more than $2.7bn in compensation and interest over disputes surrounding the development of the 3,960-megawatt Mambilla project.

However, the tribunal, as reported by The Cable, also dismissed Sunrise’s claim for $400m arising from the 2020 settlement agreement, according to the details of the award reported on Thursday.

It further ordered Sunrise and its promoter, Leno Adesanya, to reimburse Nigeria 75 per cent of its legal fees and expenses, amounting to $11.82m.

The tribunal also reportedly declared that Adesanya was bound by the arbitration agreement with Nigeria under the settlement agreement and its addendum and that it had jurisdiction over Nigeria’s counterclaim against him and his firm.

In the statement, Tinubu said the ruling demonstrated the government’s determination to defend the country’s interests.

“This latest decision affirms the Nigerian State’s determination not to succumb to predatory and exploitative claims by corrupt local and international entities and their enablers and funders,” he said.

The President commended the Attorney-General of the Federation and Minister of Justice, Lateef Fagbemi, and officials of the Federal Ministry of Justice for their role in the case.

He also commended former President Olusegun Obasanjo and the late former President Muhammadu Buhari, who testified in the arbitration.

“I also commend the FRN defence team, led by Ms Elizabeth Oger-Gross and Mr Tolu Obamuroh, both of Paul Hastings LLP, for their professional and excellent defence of the country.

“I commend the patriotism and support of former President Olusegun Obasanjo, GCFR, and late President Muhammadu Buhari, GCFR, who testified in the case, which dated back to an illegal 2003 contract to build a 3,050-megawatt hydroelectric plant in Taraba State under a build-operate-transfer model.

“The Federal Executive Council never authorised the contract. I thank the other witnesses in this case, including former Ministers Babatunde Raji Fashola, SAN, and Suleiman Adamu, and the experts, for their active participation in defending Nigeria’s interest in the arbitration,” the statement read.

“I want to assure you that while our country remains committed to partnering with genuine investors and honouring its legal obligations, it will continue to defend all opportunistic claims instituted against our commonwealth strongly.

“Today’s ICC ruling clears the single biggest legal hurdle that has paralysed the Mambilla hydro power project for years,” Tinubu said.

The dispute dates back to an agreement under which Sunrise claimed it had been awarded the contract to construct the Mambilla project.

The company commenced arbitration against Nigeria at the ICC International Court of Arbitration in October 2017, seeking about $2.354bn over an alleged breach of contract.

The parties later entered into a settlement agreement in 2020, under which Nigeria was to pay Sunrise $200m.

A subsequent dispute arose after the government did not make the payment, leading to another arbitration in which Sunrise sought $400m, comprising the $200m settlement sum and a $200m default payment.

In Thursday’s award reported by The Cable, the tribunal rejected Sunrise’s claim that Nigeria had breached its obligations under the settlement agreement and its addendum.

It also rejected the company’s demand for the $400m settlement and default sums.

The Cable reported that the tribunal fixed the arbitration costs at $1.6565m, with Sunrise and Adesanya responsible for 75 per cent and Nigeria for 25 per cent. Of the $11.82m in legal fees and expenses awarded to Nigeria, $2.5m is to be recovered from funds held in escrow by the ICC, while the remaining $9.32m is payable by Sunrise and Adesanya, with interest at 10 per cent annually, compounded annually, from notification of the final award until payment.

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Tinubu Tasks NIMC on 95% NIN Coverage Before December — Gbajabiamila

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President Bola Tinubu has urged the National Identity Management Commission (NIMC) to work towards achieving 95 per cent National Identity Number (NIN) coverage by December 2026.

The President gave the directive at the State House, Abuja, while delivering the keynote address at the 2026 National Identity Day celebration organised by NIMC.

He acknowledged NIMC’s excellent work so far, noting that National Identity Number (NIN) enrolment peaked at about 142 million, up from over 80 million Nigerians captured in the National Identity Database when he assumed office more than three years ago.

President Tinubu was represented at the event by his Chief of Staff, Hon. Femi Gbajabiamila. The event had the theme: “Nigeria’s digital public ecosystem: powering Africa’s digital economy.”

It was attended by the representative of Vice President Kashim Shettima, Senator Ibrahim Hadejia; the Secretary to the Government of the Federation (SGF), Senator George Akume; the Minister of Interior, Dr Olubunmi Tunji-Ojo; and the Minister of Education, Dr Tunji Alausa, amongst others.

President Tinubu said the target should be pursued through expanded ward-level enrolment, mobile registration initiatives and continued deployment of licensed enrolment networks. Government

The President noted that his administration’s vision goes beyond NIN coverage, stating that Nigeria “must build an identity system that is continuously useful, secure and responsive to the needs of Nigerians.”

“We are laying the foundations for a future of integrated digital services, including e-health records, e-transport systems and a more harmonised national data architecture.

“We must do this while protecting the rights, privacy and dignity of our citizens. The digital state must never become a state without accountability.

“Our commitment must therefore remain clear: innovation must be matched by responsibility. Efficiency must be matched by inclusion, security must be matched by trust. And digital transformation must ultimately improve the lives of ordinary Nigerians,” President Tinubu said.

The President, who commended the Director General of NIMC, Engr Abisoye Coker-Odusote, for a job well done over the past three years, called on Nigerians who have not obtained their NIN to do so, saying their NIN represents their connection to a modern Nigerian state.

Tinubu also applauded this year’s National Identity Day theme as very important, saying “Nigeria’s digital ecosystem must power Nigeria’s digital economy–and Nigeria’s digital economy must help power Africa’s.”

The President further said National Identity remains the engine room for the government’s Renewed Hope Agenda, noting that identity transformation is contributing directly to the government’s priorities.

“The NIMC ecosystem has created opportunities for thousands of Nigerians across the country. With more than 173 private companies, 30 state governments and 14 public sector institutions approved as licensed enrolment agents, the identity ecosystem is generating employment for enrolment officers, data professionals, supervisors, technology specialists and other support personnel. This is a digital infrastructure creating real economic opportunity,” he said. NigeriaNews Subscription

Speaking on the significance of national identity to Nigeria’s national security, President Tinubu said the two are linked, describing the connection as indispensable.

“A secure identity system is indispensable to a secure nation. By strengthening identity verification and enabling responsible information sharing across relevant government institutions, we are improving our capacity to combat identity fraud, financial crimes and other threats to national security.

“The ongoing collaboration among institutions, including the Nigeria Police Force, Nigeria Immigration Service, and the Economic and Financial Crimes Commission, demonstrates what is possible when government systems work together,” President Tinubu said. GeographicReference

The Minister of Interior, Dr Olubunmi Tunji- Ojo, also praised the Director General of NIMC for delivering excellent work with little supervision, saying she has shown appreciable leadership.

He said the President expected more from her and her team, adding that Nigerians need wider, easier, and more convenient access to identity services, including for Nigerians in the diaspora.

“We need more in providing a trusted national public key infrastructure and digital public infrastructure that support secure digital identity, authentication and electronic trust services, more in including a stronger foundation for Nigeria’s digital economy, digital governance and long-term national development,” Tunji-Ojo said. GeographicReference

The Director General of NIMC, Abisoye Coker-Odusote, in her remarks, commended President Tinubu and the Minister of Interior for their support, saying it has brought about a total transformation of Nigeria’s identity and existence.

She said, “Our reach tells its own story. Enrolments have grown from less than 100 million to over 142 million Nigerians and legal residents. The engine behind that growth is the ward-to-ward Enrolment Project, undertaken directly under Mr President’s initiative. NigeriaNews Subscription

“This project carried our officers into all 8, 8,809 boards of this Federation and mobilised the National Youth Service Corps members as adult enrolment officers in connection with front-end partners in communities that had never before hosted an enrolment desk.

“Alongside it, we launched the Self- Service Notification Platform, which has already processed close to two million record updates, turning a process that once took weeks in two communities into one that takes 24 to 48 hours directly from a citizen’s phone.”

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Anambra Debt Row: Presidency Questions Obi’s Record as Governor

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The presidential candidate of the Labour Party in the 2023 general election and a leading opposition figure ahead of the 2027 presidential election, Peter Obi.
The presidential candidate of the Nigeria Democratic Congress,

The Presidency has reacted to the ongoing dispute between former Anambra State Governor and presidential candidate of the Nigeria Democratic Congress, Peter Obi, and the state government over the state’s debts and financial liabilities.

Special Adviser to President Bola Tinubu on Information and Strategy, Bayo Onanuga, in a post on X on Wednesday, said Obi had claimed to have left Anambra without debt and challenged him to follow through on his pledge to quit the presidential race if his claim was disproved.

Bayo Onanuga. US
File: Special Adviser to President Bola Tinubu on Information and Strategy, Bayo Onanuga.
Onanuga wrote, “Peter Obi claimed he left Anambra with a clean slate of debt and even threatened to quit the presidential race if his claims were proven otherwise.”

He added that the Anambra State Government had responded with claims concerning liabilities allegedly left by the former governor’s administration.

“Now, the Anambra government has confronted him with facts and figures showing he owed Water Corporation workers, teachers, and pension and gratuities, and had also borrowed for frivolous things,” Onanuga said.

“The ball is back in his court. Will he follow through on his threat by quitting the race?” he asked.

Anambra govt disputes Obi’s ₦2.13bn ecological fund claim
The reaction followed a fresh response by the Anambra State Government to Obi’s Tuesday denial of claims that his administration left behind inherited debts, including a ₦2bn ecological fund, contractor liabilities and unpaid salaries, gratuities and pensions.

Obi had said his administration cleared more than ₦35bn in historical gratuities and arrears and left office without outstanding salary, pension or gratuity obligations.

He also disputed the government’s claim concerning the ecological fund, saying more than ₦2.13bn was left untouched in a First Bank account for the Oko/Umuchiana erosion crisis.

Soludo
File: Governor Charles Soludo of Anambra State
However, in a statement on Wednesday, Anambra State Commissioner for Information and Value Reformation, Law Mefor, disputed Obi’s account, saying the account he identified was an Internally Generated Revenue Consolidated Revenue Account and not an ecological fund account.

Mefor said the government obtained a certified printout of the account and claimed that “from 2011 when the account was opened until date, there has never been any such amount—whether as inflow or balance—in the account.”

Obi had challenged anyone who could establish that his account of the state’s finances was incorrect, saying, “If anybody can establish anything to the contrary, I will stop campaigning.”

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