CAC Uncovers 189 Fictitious Companies Used for Land Racketeering, Arrests Suspects

James Emejo in Abuja

The newly appointed Registrar-General, Corporate Affairs Commission (CAC), Mr. Hussaini Magaji, yesterday, disclosed that the Commission uncovered 189 fake companies used to secure land allocations in the Federal Capital Territory (FCT), and defrauding well-meaning Nigerians.

Addressing journalists in Abuja, Magaji, said the fraudulent scheme was detected barely one week after his assumption of office.

He added that a syndicate of criminals that specialised in operating numerous unregistered companies was busted and arrested by the commission.

He said, “One of the milestones achieved upon my assumption of duty is our ability to burst a ring of criminals that are creating havoc in the commission.

“About 189 fake companies have been identified to be used by these group of persons to secure lands.

He said these non-existing entities collaborate with lawyers who claim to be accredited agents with the commission.

Magaji added, “They collaborate with some staff of the Abuja Geographical Information System, (AGIS), manage their way to make applications at the AGIS and take priority over existing applications.

“With the collaboration of security agents, we arrested the suspects who have volunteered some information.”

He said the suspects were arrested through complaints from the FCTA asking the commission to verify some applications made by some entities.

He added that the discovery of the non-existent company led him to investigate further, resulting in the identification of other companies.

He said upon findings, the commission discovered that the companies were not even in existence.

The CAC boss said, “The nature of their crime is that they create a fake entity and apply for land at the FCTA and maneuver their way to have a priority application over an existing application.

“To take over the land and they have succeeded severally in the past.”

He reiterated his commitment to deter others from engaging in such act.

On his policy direction for the Commission, Magaji said more efforts would be geared towards increasing revenue.

He promised to increase the commission’s revenue base by sanctioning companies who fail to disclose their annual returns among other penalties.

He said increasing its revenue base would enable the Commission perform its objective as a world-class commission.

According to him, upon his assumption of duty, he launched the human capital development agenda among others.

He said, “I think this is essential to the discharge of the responsibilities of any staff in the commission and we are taking it seriously.

“Followed by the welfare of staff; this is one of the issues we met in the commission that is lingering and creating havoc in the commission.

“So, we have plans to address it as soon as possible; we have set agenda and will discuss it in our next management meeting.”

The CAC boss however enjoined staff of the Commission to play their part towards moving the organisation forward, saying the management was making moves to do theirs.

Commenting on efforts to boost the ease of doing business, he said the Commission would work at ensuring friendlier investment environment in line with the priorities of President Bola Tinubu’s administration.

He said, “That is one of the reasons why we are not talking about reviewing charges. One of the key things we will also do is to further simplify the process of registration.”