The Supreme Court on Monday fixed March 24, 2014, for definite hearing in the suit filed by 36 state governors in the country against the Federal Government over the Excess Crude Account and the Sovereign Wealth Fund.
A panel of justices of the apex court fixed the date after counsel in the matter regularised their processes.
The development arose from the failure of the states and the Federal Government to reach an out-of-court settlement in the dispute, despite several opportunities given to them by the Supreme Court.
The apex court had continuously adjourned the matter to enable the two parties reach an out-of-court settlement.
The 36 states are challenging the legality of the Excess Crude Account and the decision of the Federal Government to transfer $1bn from the account to the SWF.
The state governments had repeatedly expressed their readiness to have the Supreme Court determine the matter, blaming insincerity on the part of the Federal Government for the failure of the proposed out-of-court settlement.
The Federal Government on the other hand had been unwilling to argue the matter in court.
According to the terms of settlement proposed by the states, the Federal Government should, three months after the execution of the terms of settlement, cause an inventory of the assets of the National Integrated Power Project, as well as the Railway Modernisation Deductions, to be undertaken by a reputable Nigerian accounting firm.
The states also asked the Federal Government to cause all sums standing to the credit of the ECA to be transferred to the Federation Account and distributed among the three tiers of government within 10 days from the execution of the terms of reference,.
In the same vein, within 30 days of the execution of the terms of settlement, the states said the Federal Government would propose a legislation, and initiate a Bill to the National Assembly, that would ensure the payment of all revenue, which accrues from signature bonus, into the Federation Account for payment to the three tiers of government, in accordance with the provisions of Section 162 of the 1999 Constitution.
Also, the states wanted the Federal Government to ascertain the exact amount standing to the credit of the Petroleum Technology Development Fund, as well as dividends derived from the NLNG Limited, and cause same to be paid into the Federation Account.
They also proposed that the two parties would negotiate with a view to reaching agreement on the way to treat the proceeds of the sale of government properties, proceeds of the privatisation and commercialisation of government enterprises, as well as the education tax.
However, in the event that no agreement was arrived at after six months, the states suggested that any of the parties can approach the Supreme Court for adjudication.
Also, the states demanded that any funds appropriated to the Federal Inland Revenue Service and the Nigerian Customs Service, which remained unspent as at December 31 of any year shall be paid into the Federation Account at the end of every financial year.
The states equally demanded that the Federal Government must prepare a Bill to regulate the grant of waivers and concessions to guide and streamline the exercise.
In the same vein, revenue from dividends of shares and interests held by the Federal Government in any company from 2004 to 2007, amounting to N573bn, will be paid to the Federation Account and distributed among the tiers of government.
The states also wanted the Federal Government to bear the cost of their legal fees in the suit.
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