Enugu seals banks, others, over N200m tax debts

The Enugu State Board of Internal Revenue (ESBIR) has carried out a distrainment exercise on four banks and two other private firms located in Enugu metropolis and Nsukka. The action was over non-payment of taxes due to the state government, totaling over N200 million. The exercise was carried out after obtaining court orders to do so. The affected companies, according to the board’s Director of Back Duty Audit, Mr. Edwin Iyidiobi, who spoke to newsmen after the exercise, include Guaranty Trust Bank (GTB) Plc; Sterling Bank Plc; Unity Bank Plc; Heritage Bank Ltd; Robertson Nig. Ltd and Paladium Hotels Ltd. Mr. Iyidiobi said GTB owed N46million; Sterling Bank N72.2million; Unity Bank-N22million; Heritage Bank-N53.8million; Robertson Nig. Ltd-N3.1million and Paladium Hotels Ltd-N3million, totaling over N200 million. He said the detrainment exercise became imperative “after several failed appeals to these companies that are indebted to us”, adding that “they did not comply with our request and of course being law abiding citizens we had to ask for court’s assistance”. He maintained that the exercise followed due process and was successful. He said: “We got court orders to seal off the affected companies, and distrain them until they pay what they owe the state government.” Mr. Iyidiobi further explained that the taxes being owed the state government by the affected companies were in form of “unpaid PAYE (pay as you earn); under-remitted PAYE; under-remitted Withholding Tax; under-remitted Development Levy and interests and penalties charged on the under-remitted taxes as provided by the law”.]]>