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Foreign Treatment: Reps Propose Seven-year Imprisonment, N500m Fine For Officials

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A bill seeking to prescribe a jail term of seven years and/or a fine of N500 million for officials, who spend public funds on foreign medical trip, narrowly passed second reading at the House of Representatives on Wednesday.

Sponsored by Sergius Ogun (PDP, Edo), the proposed legislation is titled, ‘A Bill for an Act to amend the National Health Act, 2014; and for related matters’.

Leading the debate on the bill, Ogun noted that the objective of the proposed law was to amend the Act “so as to make provision for sanctions against any public officer, who violates the provisions of the Act, especially Section 46 of the Act”.

The section reads, “Without prejudice to the right of any Nigerian to seek medical check-up, investigation or treatment anywhere within and outside Nigeria, no public officer of the government of the federation or any part thereof shall be sponsored for medical check-up, investigation or treatment abroad at public expense, except in exceptional cases on the recommendation and referral by the medical board and which recommendation and referral shall be duly approved by the minister or commissioner of Health of the state as the case may be”.

Ogun said, “This bill, which seeks to amend the National Health Act, is borne out of a desire to discourage medical treatment abroad at the detriment of our indigenous health institutions. The need to revamp the poor state of the health care sector in Nigeria, among other things, is the reason for introducing this bill.

“It is no news that Nigeria’s health care system is in a deplorable state and needs urgent attention. There is paucity of infrastructure, dearth of medical personnel, poor standards and many other challenges that need to be addressed. The intent of this bill is to spur public officers to pay more attention to our health care sector and take drastic steps to develop and improve on the sector.”

The lawmaker urged members of the House to look at the merits of the bill and let it pass “in the interest of our nation, which is currently going through trying times and requires drastic steps to bring it back on its footing”.

Ogun listed the merits of the bill to include reduction of the exodus of doctors from Nigeria to other countries.

“If this House passes this bill into law, it will curtail the excessive medical trips of public officers abroad and direct their attention to fixing the poor state of the country’s health sector. This will in turn lead to the development of the health sector and improved remuneration for medical doctors, thus attracting Nigerian doctors abroad to come back home,” he stated.

The lawmaker also noted that the bill, when passed into law, would demonstrate the government’s commitment to the welfare of citizens, “in the sense that funds, which were hitherto expended on foreign medical trips, will be redirected into building an efficient and effective health care system in the country. This will in turn positively impact the lives and wellbeing of the people”.

Ogun also cited reduction of capital flight abroad, saying, “This bill, as stressed above, will stop the export of cash abroad and redirect the same to the development of our economy.

“All of this cash, which flies abroad in the disguise of one medical trip or the other, will be retained here in our country and be used to develop our nation.”

While Ogun was making his presentation, the Deputy Speaker, Ahmed Wase, interjected him, asking if the lawmaker was sure of what he was saying.

Responding, Ogun noted that the Act prohibited unapproved spending of government funds on foreign medical services, but it failed to prescribe punishment for disobeying the law.

“I read the Act and the gazette is here. I was not in this Assembly then. It is an Act; it is a law of the land today. What I am basically doing…, my amendment is saying that there should be punishment for flouting that Act, which the Act did not capture. It could be (due to) an oversight,” he stated.

The lawmaker, therefore, proposed insertion of Clause 2(2) to read, “Any public officer of the government of the federation or any part thereof, who violates the provision of sub-section (1) above shall be guilty of an offence and liable on conviction to a fine of N500,000,000 or to an imprisonment term of seven years, or both”.

The proposed punishment, however, generated murmurs in the chamber.

The PUNCH

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PenCom Bars Operators From Engaging Service Providers Not Complying With Pension Act

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By Sola Alabadan

The National Pension Commission (PenCom) has barred all Licensed Pension Fund Operators (LPFOs), comprising Pension Fund Administrators (PFAs) and Pension Fund Custodians (PFCs) from transacting with service providers and vendors that do not remit pensions for their employees as evidenced by a Pension Clearance Certificate issued by the commission.
The pension operators have been given a grace period of six months to comply with this new directive aimed at expanding coverage of the Contributory Pension Scheme (CPS) in Nigeria,
Section 2 of the Pension Reform Act 2014 mandates all employers in the public and private sectors, including Federal, State, and Local Governments, to participate in the Contributory Pension Scheme and remit pension contributions no later than seven working days after salary payments.
However, PenCom lamented that in spite of the continuous engagement and enforcement measures, a significant number of employers remain non-compliant with this legal obligation.
This development made PenCom intensified its regulatory actions by appointing Recovery Agents to audit defaulters, recover outstanding contributions, and enforce sanctions.

To further strengthen enforcement, improve compliance, and broaden pension coverage, the commission directed all pension operators to ensure that any vendor or service provider they engage presents a valid Pension Clearance Certificate (PCC) issued by the Commission as a condition for entering into or renewing Service Level or Technical Agreements.

The pension operators are also mandated to ensure that investments are made only with companies and financial institutions that require PCCs from their own vendors and service providers.

Every Counterparty is required to execute a Compliance Attestation, confirming that it enforces the PCC requirement across its vendor network, and this attestation must be updated annually and included in the pension operator’s investment documentation.

Besides, counterparties are to submit valid PCCs from their own vendors/service providers before engaging in any investment transaction with the pension operators, including those involving commercial papers, bond issuances, and bank placements.

PenCom further directed the pension operators to integrate these requirements into their internal policies, vendor selection processes, due diligence procedures, governance, and investment risk assessment frameworks.

Based on the new directive, the Parent Companies, Subsidiaries, Holding Companies and Institutional Shareholders of pension operators are required to possess valid Pension Clearance Certificate and ensure that every vendor and service provider engaged by them complies with the requirement of the PCC as a precondition for entering into any Service Level or Technical Agreement. The requirement for compliance attestation is also applicable to the categories.

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Sanlam, Allianz Merger Expected In Nigeria

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Sanlam and Allianz have sparked speculation in Nigeria’s insurance industry following a wave of coordinated digital communication activities indicating an imminent completion of the expected merger of the operations in Africa’s largest economy.
The firms, which have already merged operations in 27 African countries, including Ghana and Rwanda, under the SanlamAllianz banner, are now widely believed to be ramping up their alliance in Nigeria as the next significant step in their partnership.
Recent posts on both companies’ digital platforms featuring their logos side-by-side and joint thematic messaging have drawn attention across financial and business circles. The coordinated activity mirrors pre-merger patterns observed in other African markets where their collaboration was subsequently formalised.
In 2022, Sanlam and Allianz announced the formation of a strategic joint venture covering 27 African markets. The move was intended to combine Sanlam’s local market depth with Allianz’s global scale and technical expertise, creating a formidable pan-African financial services entity with ambitions to lead in life and general insurance, asset management, and health insurance.
The partnership has taken concrete shape in countries like Ghana, where existing operations have been unified and rebranded under the SanlamAllianz name. The goal has been to offer more relevant, inclusive, and tech-forward financial solutions for individuals and businesses in these markets.
Nigeria is the continent’s most populous nation and its largest economy, yet despite recent progress, its insurance penetration remains under 1%. In 2023, the industry crossed the ₦1 trillion gross written premium mark for the first time, indicating untapped potential and growing consumer interest in financial protection.
Given these dynamics, analysts say Nigeria is a natural next step in the SanlamAllianz expansion journey. The presence of both logos in coordinated messaging has been read as a signal of intent. Both brands already operate in Nigeria, and a merger of local operations would represent a formidable alliance and substantial consolidation.
Market observers believe such a move could raise the bar in Nigeria’s insurance industry, fostering more robust competition, improved product design, and greater consumer trust in formal financial services. It would also align with both firms’ broader objective of promoting financial inclusion and building long-term resilience across African economies.
At a time when several global brands are reassessing their African strategies, Sanlam and Allianz’s continued commitment affirms their vote of confidence in Nigeria’s long-term prospects. This potential merger could not only reshape the insurance landscape but will also evidently become a significant catalyst and signal to the global investment community that Nigeria remains a viable and valuable market.

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Ghana’s Delegation In Nigeria To Marine Cargo Sector

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Commissioner for Insurance, Olusegun Omosehin received delegates from Ghana's Marine Cargo Technical Committee on a study tour of Nigeria's marine cargo sector at his office in Abuja recently. The delegation was led by Mr. Fred Asiedu-Darteh of Ghana Shippers' Authority.

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