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Delta shuts businesses over tax default

Published by Punch on Thu, 22 Dec 2011


The Delta State Government on Wednesday shut down some business organisations operating in the state for defaulting in the payment of taxes.Affected by the action, carried out by the Delta Board of Internal Revenue were the premises of Mega Hilton Hotel Limited, Ekpan, one of the leading hotels in Warri and Joe Marine Institute of Nautical Studies & Research.It also sealed two car sales outlets, Joelisa Motors and Fide Global for the same offence with a stern warning to companies and organisations who had outstanding liabilities with the Delta State Government to pay or face similar sanctionsWhile the Mega Hilton Hotel Limited is allegedly liable to the tune of N19.5m, the marine institute is liable to the tune of N4.5m; Joelisa Motors N1m and Fide N.5m.The DBIR which flaunted an order of the High Court of Justice, Warri and made available to newsmen, noted that the action would deter other companies from avoiding the payment of taxes.Counsel to the marine institute, Mr Patrick Tobuye , however, said they would schedule a meeting with the DBIR to see how the issue would be thrashed out.The Chairman of the board who was represented by the Legal Adviser, Mr Clark Ekpebe, said that the exercise was ongoing, just as he posited that the board would prosecute the affected companies.He said, The management did not deem it fit to come to court or brief a lawyer to represent them. Thereafter, the court adjourned for 30 days to enable them enter appearance or file a defence.If that thing (seal) is removed, it amounts to contempt of court and anybody found in the premises will be arrested and sent to prison. It is an ongoing exercise of the Board of Internal Revenue to clamp down on tax defaulters.But a Manager with the automobile dealer, Mr. Derick Obige said, What I am seeing is absurd because we are not aware. If at all they served us any paper, there should be a reminder.They wanted to seize the vehicles, which is not a proper way of following due process. If there is any due process at all, they ought to have reminded us and we would follow up, he said.
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