BusinessCrimeNews

Consultant drags KWIRS to court over alleged non-payment of N.1bn commission

By Mumini AbdulKareem
A contracting firm, Mazars Consulting, has dragged the Kwara State Internal Revenue Service (KWIRS) to court over alleged non-payment of over five hundred million naira as accrued commission for service rendered.
Mazars, represented by Mr Adeyemi Sanni Sherif, Mrs Adedoyin Sanni and Mr Bamidele Ogunlowo (claimants) are asking the court to grant the payment of over N500m in two payment of N104,908,939,57 and N464,856,418,86 as unpaid commissions legitimately due to or owed the claimants by the defendants for the services rendered.
KWIRS is the defendant in the case numbered KW/24/2020 whose ruling was delivered on Thursday 5th November, 2020 by Justice E.B Mohammed.
According to a certified true copy of the ruling cited weekend by this medium, the claimants said that defendant failed to pay the agreed sum or remuneration in respect of the professional services rendered by their firm, a tax audit and collection firm which was assigned to them by KP3 during the last administration in the state which later led to the establishment of KWIRS.
The ruling added:
“…On 16th March, 2018 and March 4th, 2019, Mazars wrote letters to the defendant for her reconciliation and confirmation of its indebtedness to them for the first leg of their claims (N104,908,939,57) which the former admitted and went ahead with proposals to settle it which was not done”, it noted.
“KWIRS even went ahead to write the Accountant General of the Federation introducing Mazars as the consulting firm of KWIRS” adding that “the firm is entitled to 10% of the revenue that will accrue to the state as right adding that the failure to pay the second leg of their claims (N464,856,418,86) necessitated the court action”.
But KWIRS according to the court document denied the claimants claims on the grounds that it did not know or engage Mazars to carry out tax audit or tax constancy service for the state.
In the ruling, the court further said “having admitted liability, the first leg of the case claim was awarded against the defendants (KWIRS)
“On the second leg, the court however said, there is some amount of dispute as to the total money recovered through the efforts of Mazars and accordingly grant the defendant the leave to defend the second legs of the claims (N464,856,418,86).
“Consequently, pleadings are hereby ordered 14 days by 14 days and 7 days for a reply/ counterclaim if (any)”, it submitted.

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