The Council for the Regulation of Freight Forwarding in Nigeria (CRFFN) may soon have its law amended as a bill for the amendment of the CRFFN Act of 2007 is now before the House of Representatives for consideration and possible passage.
Sponsored by the Chairman, House Committee on Ports, Harbours and Waterways, Hon. Pat Asadu, the bill seeks to amend sections 2, 3, 6, 7, 9, 11, 21, 25 (3), 27 (5), 29 and 30.
The Act which initially provides for a Chairman of the Governing Board to be elected from the elected freight forwarders now seeks to have the Chairman of the Governing Board appointed by the President and Commander in Chief of the Federal Republic of Nigeria on the recommendation of the Honourable Minister of Transportation whereas one person who shall be elected by the Governing Board from its members shall serve as the vice Chairman.
The bill also seeks to replace the phrase “Governing Council” with the phrase “Governing Board” while the office of the Registrar of the Council who was initially appointed by the Governing Council is now to be replaced with the Office of the Executive Secretary who is now to be appointed by the President on the recommendation of the Minister of Transport.
Unlike the Registrar which has no tenure spelt out in the Act, the Executive Secretary shall hold office for a period of four years on such terms and conditions as may be specified in his letter of appointment and shall be eligible for a reappointment for another term of four years.
Below is the proposed amendments;
- Amendment of Section 2: Section 2 is amended as set out below:
The Board shall consist of the following; (a) One person who is appointed by the President on the recommendation of the Minister of Transportation as chairman. (b) One person who shall be elected by the governing board from its members as Vice Chairman. (d) Six persons who are experienced in Freight Forwarding and or Maritime, appointed by the Minister to represent the six-geo-political zones of the Federation in rotation for two years at a time, no two of whom shall be indigenes of the same State. (e) Two persons appointed by the Minister to represent the Institutions of higher learning offering courses in freight forwarding and supply chain management accredited by the Council in rotation. (f) A representative of each of the following establishments. (i) Federal Ministry of Transportation.(ii) Federal Ministry of Finance.(iii) Federal Ministry of Education. (iv) Nigeria Customs Service. (v) Nigerian Shippers’ Council. (vi) Nigerian Ports Authority. (vii) Nigerian Civil Aviation Authority (NCAA). (viii) Nigerian Railway Corporation. (ix) Federal Ministry of Industry, Trade and Investments. (x) Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA) and Manufacturers Association of Nigeria (MAN) in rotation. (xi) Nigerian Institute of Freight Forwarders (NIFF). (g) Ten Registered Freight Forwarders elected from amongst Registered Freight Forwarders operating in each of the zones, as follows: (i) Three from western ports, (ii) Two from Eastern Ports, (iii) Three from Cargo Airports and (iv) Two from Land Boarder Stations.
(2) (i) There shall be a Chairman who shall be appointed by the President on the recommendation of the Minister. The Chairman who shall hold office for two years shall preside over all meetings of the Board. (ii) The Vice Chairman shall be elected from amongst members of the Governing Board. He shall hold office for two years from the date of his election and shall act in the absence of the Chairman. He shall, where by reason of death, insanity, incapacity or inability of the chairman to complete his term, act as chairman for the un-expired portion of the term of office.
(3) If the Chairman or Vice Chairman ceases to be a member of the Governing Board he shall cease to hold any offices designated under this section.
- Amendment of Section 3
3(1) the provisions of the First Schedule to this Act shall have effect with respect with the qualifications and tenure of office of members of the Governing Board and other matters therein mentioned.
- Amendment of Section 6
Section 6 (2) is amended by introducing new (d), (e), (f) and (g) as set out below:
(d) All practitioners operating fees. (e) Subscriptions, fees and charges for services rendered by the Council. (f) All such monies as may from time to time be lent or granted to the Council by the Government of the Federation or a State. (g) all other sum as may be received by the governing board from other sources.
Section 6 (3) is amended by substituting (b) as follows
(b) Such reasonable travelling and subsistence allowance of members of the Council and Governing Board may approve.
- Amendment of section 7
Section 7 is amended by substituting the words ‘’Council’’ for the words “Governing Board’’. The Governing Board may invest moneys in the fund in any security created or issued by or on behalf of the Government of the Federation or in any other securities in Nigeria approved by the Governing Board.
- Amendment of Section 9
Section 9 is amended as set out below:
The Council shall keep proper accounts in respect of each financial year and proper records in relation to those accounts and the Council shall cause the account to be audited by a firm of chartered accountants approved the Governing Board when audited, the accounts shall be submitted to the Governing Board for approval by them at a meeting of the Governing Board.
- Amendment of Sections 11
Section 11(1) is amended by inserting a new (1) (a), (b) and (c) as set out below:
(a) There shall be for the Council an Executive Secretary appointed by the President, Commander-in-Chief of the Armed Forces of the Federal Republic of Nigeria on the recommendation of the Minister of Transport; (b) The Executive Secretary shall hold office for a period of four years on such terms and conditions as may be specified in his letter of appointment and shall be eligible for a reappointment for another term of four years; (c) The Executive secretary shall be the Chief Executive Officer of the Council and shall be responsible for: (i) The execution of the policy plans and the day to day administration and management of the Council. (ii) For the direction, control and supervision of all other staff of the Council.
Section 11 (2) is amended by inserting new section 11 (2) (a) and (b) as set out below:
2(a) The Council shall appoint such other persons as it may from time to time deem necessary to assist the Executive Secretary in the efficient performance of his functions under this Act. (b) The Council shall have the power to pay such persons so employed such remunerations and or allowances as it may so determine.
Section 11(5) is amended by substituting the word “Council” with the words “Governing Board” as set out below:
(5) Subject to the foregoing provision of this section, the Governing Board shall make rules with respect to the form and keeping of this register and the making of entries therein, and in particular-
Section 11(6) is amended as set out below:
(6) The Executive Secretary shall under the direction and subject to the requirement of the Governing Board- (c) Record the names of Registered Freight Forwarders who are in default for more than six months in the payments of annual subscriptions, and to take such action in relation there to (including removal of the names of the defaulters from the Register).
- Amendment of Section 21
Section 21 is amended as set out below:
21(2) The Tribunal shall consist of the Chairman of the Governing Board, a legal officer from the council and seven other members appointed by the Governing Board.
21(4) The panel shall be appointed by the Governing Board and shall consist of five members of the Governing Board, a legal officer from the Council, a member of the Securities Agencies and one Registered Freight Forwarder who is not a member of the Governing Board.
- Amendment of section 25(3)
Section 25(3) is amended as set out below:
25(3) Rules made under this section shall be published in the Gazette.
- Amendment of Section 27(5)
Section 27(5) is amended as set out below:
27(5) A person who commits an offence under this section is liable- (a) On summary conviction to a fine of an amount not less than N250,000.00 (Two Hundred & Fifty Thousand Naira); (b) On conviction on indictment, to a fine of an amount not less than N300,000.00 (Three Hundred Thousand Naira) or to imprisonment for a term not exceeding one year or to both such fine and imprisonment.
- Amendment of Section 29
Section 29(3) is amended as set out below:
29(3) Rules made for the purpose of this Act shall be subject to confirmation by the Governing Board.
- Amendment of Section 30
Governing Board defined as those referred to in section (2)1: ‘’Chairman’’ and ‘’Vice Chairman’’ means persons appointed as such to chair the Governing Board establish under this Act;
‘’Freight Forwarder’’ means any person or company who arranges the carriage or movement of goods and associated formalities (Customs and other services) on behalf of an importer or exporter along the international boundaries of seaports, cargo airports and land Borders stations.
- Citation
This Bill may be cited as Council for the Regulation of Freight Forwarding in Nigeria Act (Amendment) Bill, 2017.
SCHEDULES
SUPPLEMENTARY PROVISIONS RELATING TO THE COUNCIL QUALIFICATION AND TENURE OF OFFICE MEMBERS OF THE GOVERNING BOARD
1.-(1) In this subsection Governing Board replaces Council.
(2) Any member of Governing Board who ceases to be a member thereof shall, if he is also a member of the Council cease to hold office on behalf of the Council.
(3) Any elected member of the Governing Board may by notice in writing under his hand addressed to the Chairman, resign his office and any appointed members may with the consent of the Minister in the same manner resign his office.
(4) Change member of the Council of the Member of the Governing Board also change member of the council to Member of the Governing Board.
(5) Change elections to the Council to Elections to the Governing Board.
6(b) the Council changes to the Governing Board. Also the general meeting of the Council changes to the next General Meeting of the Governing Board.
SECOUND SHEDULE
SUPPLEMENTARY PROVISIONS RELATING THE DISCIPLINARY TRIBUNAL AND INVESTIGATING PANEL
The Disciplinary Tribunal
- The quorum of Disciplinary Tribunal shall be five of whom one shall be a legal officer from the Council and at least two shall be registered freight forwarders.
2.-(1) Change by the council to by the Governing Board on approval of the Attorney General.
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