From Adanna Nnamani, Abuja
As part of measures to address Illicit Financial Flows (IFFs) the Independent Corrupt Practices and other related Offences Commission (ICPC) has said it would intensify ongoing investigations of completed but unoccupied estates in the country.
The Director of Asset Tracing, Recovery and Management (ATRM), Adedayo Kayode, disclosed this at the opening of a two-day capacity building for investigators, prosecutors and tax inspectors on IFFs, organised by the commission in collaboration with Ford Foundation.
Kayode who presented a paper titled, “Illicit Financial Flows in Real Estate,” said that continuation of ongoing investigation of completed but unoccupied estates across the federation was one of the antidote to the issue.
This was contained in a statement issued by the agency’s spokesperson, Mrs Azuka Ogugua on Monday.
The statement quoted the director as saying: “The ICPC, in accordance with its mandate to curb corruption, is currently investigating cases of completed, but abandoned estates scattered around the Federal Capital Territory (FCT) with the intention of identifying those that are instruments of IFFs.
“Furthermore, we are collaborating with the National Assembly to investigate, study and promulgate appropriate legislation to stem the tide of corruption in the real estate sector. We need a coordinated and concerted approach to fight IFFs – the law enforcement agencies need continuous investment in capacity building to trace and follow the money, their need for implementation and investigation of breaches of the beneficial ownership rule and data availability and intelligence sharing are must.”
Other solutions listed by Kayode include sanctions on land holding without development after prescribed number of years; enforcement and compliance of investigation of capital gain tax on real estate transactions; strengthening of international cooperation on investigation of cross-border real estate purchase transactions; full implementation of beneficial ownership regulation and regulation of foreign exchange trade and movement.
The director commended government’s efforts in the recent SIM-NIN linkage and disconnection of non-compliant subscribers, describing the move as a good step in the right direction.
Acoustic to him, “A key sector to the laundering of IFFs at their origin globally is the real estate, which due to its informal and little-regulated nature, proves very attractive. Key culprits involved in the laundering of IFFs in the real estate sector are top public officers.
“The laundering is conducted in collaboration with real estate developers and accomplices in the land administration departments.
“Launderers of illicit wealth in the Nigerian real estate sector often engage in cash purchases, which are done through the use of foreign exchange, often procured from bureau de changes (BDCs). Often times, after purchase, the property titles are not changed to reflect the new ownership.”
Earlier ICPC Chairman, Prof. Bolaji Owasanoye (SAN), decried impact of corruption, IFFs and tax evasion on the economy, observing that it had hampered national development.