By Douglas Ogbankwa Esq
The Cyber Crimes (Prohibition, Prevention ,etc), Act , 2015 (As Amended )2024 established a National Cyber Security Fund.The fund is created to fight Cyber Crime, sundry Offences and ensure Cyber security.
Some Nigerian institutions feast on the ignorance of citizens. This position came to fray in the disputed Cyber Crime Security Levy .This is a Levy and as it is with every Levy thatb the Law Provides that it should be paid within 30 days and not deducted automatically from your account. There is even a penalty for not paying and the process of enforcement is indicated expressly in the Law and the CBN can not depart from the provisions of the Law .The CBN is not a Law maker , but an executor of the Law.In executing the Law ,the CBN must follow the exact spirits and letters of the Law .The Law is self enforcing and the Law does not stipulate that the CBN will issue any circular or guide lines concerning the Levy.The CBN in doing so was a middlesome interloper and rabble rouser or to put in pidgin English over sabi.
CBN was only mentioned by the Law as the Custiodian Bank and Banker of the Government. What the CBN did is not supported by any Law .The CBN was therefore in breach of the Act , as their action of issuing a circular not provided for by Law is an infraction of the Act.
The Law is that The Express Mention of one thing is the exclusion of another
The Law also indicates in its schedule those who are obligated to pay .The Law also did not say the fund should be demociled in an account of the Office of National Security Adviser (ONSA). It only mentions ONSA for purpose of administering the fund.Administering here will mean disbursement of the funds to relevant Agencies like the Police SSS,NIA,DMI,DIA, NSCDC, Immigrations , National Data Protection Centre, the EFCC,ICPC,which are all under the ONSA in policy coordination.
It is a Levy like the Education Trust Fund Levy or other levies, so it is payable upon being due or demanded and the Law did not in any way provide for it to be deducted at source. Those obligated to pay are directly connected to Cyber security by their operations ,mostly corporate organisations that are in the communications or Cyber Sector and not all citizens .
Nigerians should learn to read and not accept every policy shoved through out throats ,hook , line and sickler.
Knowledge is Power, Please read relevant sections of the Law below
CYBERCRIMES (PROHIBITION, PREVENTION, ETC.)
ACT, 2015
(AS AMENDED) 2024.
SECTION 44.
ESTABLISHMENT OF THE NATIONAL CYBER SECURITY FUND.
44(1) There is established the National Cyber Security Fund (in this Act known referred to as”the fund”)
44(2) There shall be paid and credited into the Fund established under subsection (1) of this section and domiciled in the Central Bank of Nigeria –
(a) a levy of 0.5% (0.005) equivalent to a half percent of all electronic transactions value by the business specified in the second schedule to this Act;
(Section 44(2) (a) is substituted by Cybercrimes (Prohibition, Prevention, etc) (Amendment) Act, 2024.
(b) grants-in-aid and assistance from donor, bilateral and multilateral agencies;
(c) all other sums accruing to the Fund by way of gifts, endowments, bequest or other voluntary contributions by persons and organizations:
Provided that the terms and conditions attached to such gifts, endowments, bequest, or contributions will not jeopardize the functions of the Council.
(d) Such monies as may be appropriated to the Fund by the National Assembly; and
(e) all other monies or assets that may, from time to time, accrue to the Fund.
(3)All monies accruing to the Fund shall be exempted from income tax and all contributions to the Fund shall be tax deductible.
(4) The Levy imposed under subsection 2(a) shall be remitted directly by the affected businesses or organizations into the Fund domiciled in the Central Bank within a period of 30 days.
(5) An amount not exceeding 40 percent of the Fund may be allocated for programs relating to countering violent extremism.
(6) The office of the National Security Adviser shall administer, keep proper records of the accounts and shall ensure compliance monitoring mechanism.
(7) The account of the Fund shall be audited in accordance with guidelines provided by the Auditor General for the Federation.
(8) A business specified in the second schedule to this Act that fails to remit the Levy under section 44 (2) (a) of this Act commits an offence and is liable on conviction to a fine of not less than 2 % of the annual turnover of the defaulting business and failure to comply shall lead to closure or withdrawal of the business operational licence.
(Section 44 (6) &(7) are substituted while (8) is inserted by Cybercrimes (Prohibition, Prevention etc) (Amendment) Act, 2024.
Written by Douglas Ogbankwa Esq, you can reach out via douglasogbankwa@gmail.com
