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Russia-Ukraine Conflict: Abramovich Puts Chelsea Up For Sale At £3bn

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The whirlwind of Russia-Ukraine conflict is fast-reaching Russian oligarchs and its rich found to be supporters of President Vladimir Putin. A flurry of sanctions targeting their assets have been announced by the US, UK, EU and their allies.

Caught in the web of this misfortune is Chelsea Football Club’s owner, Roman Abramovich, who has been identified as a friend and supporter of Putin, a discovery that is not sitting well with the UK. This means, Abramovich’s assets and businesses in foreign lands have come under immediate threat of seizure by governments – and that includes Chelsea FC.

Seeking a way out of the possibility of his assets being frozen by the British government, Abramovich, who has been banned from entering the UK, is putting Chelsea up for sale. The oil magnate issued a statement on Wednesday, confirming that the football club now has a price tag.

“I would like to address the speculation in the media over the past few days in relation to my ownership of Chelsea FC. As I have stated before, I have always taken decisions with the Club’s best interest at heart. In the current situation, I have therefore taken the decision to sell the Club, as I believe this is in the best interest of the Club, the fans, the employees, as well as the Club’s sponsors and partners,” Abramovich said in a statement published on Chelsea’s website.

ESPN had earlier reported Abramovich’s decision to sell Chelsea, citing sources. As the UK teamed up with the US and others to mete out heavy sanctions on Russia, the 55-year-old attempted to separate the club from a possible personal sanction from the U.K. government by passing “stewardship and care” of Chelsea on to its trustees on Saturday.

However, per ESPN, the trustees were seeking legal advice before responding to Abramovich’s instruction due to concerns that a charitable foundation is not a suitable entity to run a football club. This has forced his decision to sell the club.

Abramovich, who has always strenuously denied any ties to the Putin regime, was uncovered in the wake of Russia’s invasion of Ukraine, prompting the debate on Wednesday in the UK Parliament whether to sanction him.

The session had begun in the House of Commons, with Labour’s Sir Keir Starmer calling for sanctions against the Chelsea owner.

“Roman Abramovich is the owner of Chelsea Football Club and various other high-value assets in the United Kingdom,” Starmer said.

“He is a person of interest to the Home Office because of his links to the Russian state and his public association with corrupt activity and practices. Last week he [U.K. Prime Minister Boris Johnson] said Abramovich was facing sanctions. He later corrected the record to say he isn’t. Well, why on Earth isn’t he?”

A decision to sanction Abramovich will mean that Chelsea would be frozen because it’s one of his assets – and that would make it impossible for him to sell the club or inject any funds into it – which would have huge repercussions for the club.

Abramovich has been supporting Chelsea with his personal money since he bought the club nearly a decade ago. He said the decision to sell “has never been about business nor money for me, but about pure passion for the game and Club,” and that “the sale of the Club will not be fast-tracked but will follow due process.”

Abramovich bought Chelsea in 2003 for £140 million. According to ESPN, the club’s latest accounts show he is owed £1.514 billion in loans through parent company Fordstam Limited, which he controls.

“When Chelsea announced their latest accounts — a £145.6m loss after tax for the year ending June 30, 2021, despite winning the Champions League — the club admitted at the time they were ‘reliant on Fordstam Limited for its continued financial support’,” the report said.

Sources have told ESPN that Abramovich has told potential buyers in the past that he valued the club at around £3bn. The price tag was considered too much for potential buyers who were worried about loan repayment. Chelsea owes Abramovich nearly 2 billion pounds but he has said “I will not be asking for any loans to be repaid,” allaying the concern of buyers.

Abramovich said the proceeds of the sale will go to charity: “I have instructed my team to set up a charitable foundation where all net proceeds from the sale will be donated. The foundation will be for the benefit of all victims of the war in Ukraine. This includes providing critical funds towards the urgent and immediate needs of victims, as well as supporting the long-term work of recovery,” he said.

The Technicalities of Contemporary Education System

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It’s not anymore news that the contemporary education system across the globe has been characterized by some technicalities that are rather harmful to the system.

Education is simply defined as the imparting and acquiring of knowledge via teaching and learning, respectively, especially at a school or similar institution.

In the words of G. K. Chesterton ‘Education is simply the soul of a society as it passes from one generation to another.’ No wonder every sane and rational society treats it as the fundamental factor required toward any meaningful development.

The earliest educational processes involved sharing information about gathering food and providing shelter; making weapons and other tools; learning language; and acquiring the values, behaviour, as well as religious rites or practices of a given culture.

Prior to the invention of writing and reading, people lived in an environment in which they struggled to survive against natural forces, animals, and other humans. At the time, to survive, preliterate individuals developed skills that grew into cultural and educational patterns.

Education, therefore, emanated from the human struggle for survival and enlightenment. It may be formal or informal. The latter refers to the general social process by which human beings acquire the knowledge and skills needed to function in their culture. Whilst, formal education refers to the process through which teachers instruct pupils or students, as might be the case, in subjects of study within institutions.

Modern day education makes one feel proud that s/he is truly educated, though formally or informally, everyone is educated. Real education, which is the overall development of mind, body and soul, can be acquired via any means. According to Carter Woodson, education means to ‘inspire people to live more abundantly, to learn to begin with life as they find it and make it better.’

It’s noteworthy that modern education is aided with a variety of technology comprising computers, projectors, internet, and calculators, among others. This fact forms the basis of this discussion, hence shall take time to do justice to it.

Everything that can be simplified has been made simpler by the introduction of the aforementioned gadgets into modern day education. Science has obviously explored every aspect of human life. It suffices to say that there is now much to learn as well as more to assimilate. The Internet alone provides abysmal knowledge, meaning literally that there’s no end to it.

Skill development and vocational education has added a new feather to the modern system of education. Everyone has something to learn. Even an infant these days goes to a kindergarten. And a little grown – mentally and physically – is promoted to a nursery.

The most fascinating part is that everything is being categorized ranging from kindergarten, nursery, primary, secondary, to tertiary; and each of these stages has a certain set of technical acquaintances. The truth is, the modern pattern of education is a never-ending process. Aristotle Nicomachus, in his usual way, stated that education is an ‘ornament in prosperity and a refugee in adversity.’ This is exactly what modern education represents.

However, it’s pertinent to acknowledge that the existing technical intricacy of modern education has caused colossal harm to the present days’ children, thereby posing threat in their respective ambitions and future endeavours.

For instance, before now, devices such as abacus were used during Mathematics classes. Such an approach helped tremendously to educate the kids – ranging from ages 6 to 14 – on mental arithmetic, a knowledge that enables them to face any form of Mathematics problem in the future.

But now, except in countries like India, Russia, China, Ghana, and what have you, that still make use of counting frames or abacus, calculators have suddenly overtaken its use in Nigeria. Worse still, even primary school pupils are now exposed to scientific calculators.

Modern education has deprived most learners the opportunity of seeing the real events or scenes. Engineering students, for example, only see pictures of what is being taught, or what is expected to be produced by them.

Final year undergraduates, and perhaps postgraduate students, presently do their projects or theses by merely downloading the required materials from the net. Most students don’t even know where the fabric they are wearing came from. The word ‘how’ is currently missing in our world, which causes severe ignorance.

Modern education has succeeded in spreading more ignorance than knowledge. It has produced a vast population able to read but unable to distinguish what is worth reading. Learners do more of cramming rather than memorizing, which can only be achieved by getting close to facts or the actual pictures. Albert Einstein once said education is ‘that which remains if one has forgotten everything learned in school.’

For the technical intricacies involved in modern education to be advantageous to the learners, they must serve as supplements. In other words, they ought to be used for reference purposes, and not as fundamental devices as they are presently utilized in various institutions of learning.

The pupils or students must get used to the real pictures or sites before introducing the use of tech gadgets to them. Their brains shouldn’t be complicated with those things at an early stage. Those brains are still fragile, thus ought not to be juxtaposed with tech intricacies. More so, endeavour to let the practical segment be preceded by theory.

The truth is that we must note that every invention was made for a purpose, and to be applied at a particular time. So, if we end up misusing them, it becomes a problem when they are meant to serve as blessings.

Hence, there’s a need for concerned authorities to acknowledge the essence of following the required processes in any system.

Mercury Bank Places Restrictions On Accounts Linked To African Tech Start-Ups

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Mercury bank, an online bank located in San Francisco, California designed to help small companies (start-ups) manage their cash flow better, just recently restricted several accounts linked to African tech start-ups. The number of companies affected by the restriction remains unknown. Information gotten from a few sources disclosed that companies affected, range from 12 to 30. According to those affected, Mercury bank did not give any prior notice as to why they carried out this action, nor did they give an explanation why the action was taken on the affected start-ups.

Upon persistent questioning, Mercury Bank which holds over $4 billion in customer deposits for its 40,000+ businesses in over 200 countries, later disclosed that some of the affected start-ups got their account was flagged and placed under review by its compliance team after it noticed some “unusual activity” and couldn’t provide further details until it’s review are complete. Displeased with these restrictions, a couple of tech founders and stakeholders had to directly send a mail to Mercury CEO Immad Akhund, asking him what the issue was and also stating that they need the issue resolved immediately.

The CEO however responded, stating that their partner bank noticed an unusual activity, and instructed Mercury Bank to lock and investigate a large set of accounts linked with such activity. He however assured them that they are currently working on the issue and hopefully all restrictions will be removed.

These restrictions sparked mixed reactions from Twitter, where a couple of Tech founders insinuated that the restrictions might be linked to the ongoing conflict between Russia and Ukraine, which has seen the company’s partner bank review its exposure to “high risk” regions such as Africa.

Although Mercury has reached out to affected start-ups, stating that its intention wasn’t to single out the founder or start-up. But considering how most of the complaints seem to be coming from the African region as compared to other regions, it is hard to think that these start-ups in Africa are not prime targets. This is not a good look for start-ups affected, as nearly $3k estimated in return check fees for checks were already sent out before the restrictions. Will these companies be compensated for these losses accrued? One can only imagine.

This act indeed should be a wake-up call to African startups. It is high time they build their finance system and regulate their global fintechs. They need to get to the point where they don’t have to raise capital overseas. Self-reliance looks like the ideal solution. The restrictions should be a reminder to Nigerian Tech CEOs and stakeholders that there is no other perfect alternative than to build their own International Finance center and buy offshore bank licenses so start-ups can bank their money.

Truth be told, Africa especially Nigeria is more of a consumer, than building their infrastructures. There is an urgent need to double down in building our structures, as over-reliance on foreign infrastructure can spell doom someday.

In November 2021, the central bank governor, Godwin Emefiele disclosed that the Apex bank would establish an international financial center at the Eko Atlantic city, for investors to invest in critical sectors of the economy, and this will help to position Nigeria as a key destination for investment in Africa. But then, building at home can be filled with uncertainty too as anything in allegiance with the federal government is often faced with misfortune that can hit any time soon. The Apex bank of Nigeria is known for abnormally freezing accounts.

When Two Elephants Fight: ASUU strikes from time immemorial

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The Academic Staff Union of Universities (ASUU)  is (controversially) a voluntary labour Union formed in 1978 as a successor to the Nigerian Association of University Teachers (NAUT) which was formed in 1965 as a labour Union that covers academic staff in all of the Federal and State Universities in Nigeria.

It is a body that university academic staff and lecturers fall under and under which they organize themselves against the government, make their demands known and register their displeasures.

When people hear of ASUU, the first thing that comes to an average Nigerian’s  mind is strike or industrial action; the name ASUU can be said to be synonymous with strike as any time the name asuu is trending then it is obvious that they are in loggerhead again with the federal government and about to declare an industrial action which according to them is the only known way they get the government to listen to them and attend to their demands.

The very first recorded ASUU strike took place in 1988 and the reason for the industrial action is the academic staff of universities protesting for equitable salary and the autonomy of the Nigerian universities. This first ASUU’s industrial action led to its first ban by the government in 1988 which is not good for the labour Union body that is just 10 years of inception.

That strike was called off in 1990 and the universities  kicked off their usual academic activities in full scale and students were allowed to return to campus.

The second ASUU strike took place in August 1992 and lasted for a month as it was called off in September of that same year. The reason for the second strike was related to the first reason for the previous industrial action which was for an equitable salary scale and increase in salary and wages of university teachers. This second industrial action of ASUU led to its ban again by the government and prohibition of ASUU related activities.

As Nigeria returned to a democratic government in 1999 and trying to recover from the mayhem of the autocratic military government, ASUU deemed it fit to again bring up their demand to the new democratic government of Nigeria, hoping that the government will be more eager to listen to them. This did not go as planned as the government of Nigeria and ASUU entered into a full blown Cold War and this led to the ASUU strike of 1999 lasting for a whole five months. Five months of schools closed down and academic activities on hold in Nigeria’s public universities.

After the 1999 industrial action, ASUU went on another strike in the year 2001 and the strike lasted for three solid  months.

Furthermore, in December 2002,  ASUU went on a two weeks strike. The reason for this two weeks’ strike was that the Obasanjo-led budding democratic federal government of Nigeria did not implement the agreement they entered with the union earlier in the previous years.

ASUU decided they were done with the federal government tricks and games in 2003 and they declared a strike in that year. The strike was as if it was never going to end as it lasted for a whole six months. This ASUU 6 months strike of 2003 was also because the government couldn’t implement some of the agreements it entered with them and their primary demands have always been: adequate funding of the universities, increase in salaries and wages of public university teachers, pension fund for university lecturers.

ASUU took a break in 2004 but resumed their labour struggle in 2005 and they embarked on another strike in the year 2005 and the strike lasted for about two weeks. Also in the year 2006 ASUU took one week off for strike, the seven days strike of 2006 came after the three days warning strike, making it a total of 10 days of strike in the year 2006.

Also, in 2007, also went on another three 3 months forced vacation due to their industrial action; reason? Government’s  constant  failure to implement the prior agreements they had with the labour Union body.

 In 2008, the labour Union went on a one week  strike. The reason for this strike is primarily for the reinstatement of their fellow comrades that the government took away their jobs due to the trade Union struggle.

In June 2009, ASUU declared another strike which is now looking like an annual ritual. The strike was called off in October that same year having lasted for four months. This 2009 industrial action birthed another (new) agreement between the federal government and the labour Union and this new agreement was tagged “The ASUU/FG agreement of 2009”.

In July 2010, ASUU declared another strike over the government failure to implement the ASUU/FG agreement of 2009 made the previous year. This strike of 2010 spilled off to the following year as it was called off in January, 2011 having lasted for five solid months.

Eleven months later after the 2010 strike was called off in January  2011, ASUU embarked on another strike in December that same year and called it off in February of the next year of 2012. The strike lasted for two months.

In July 2013, ASUU embarked on the most talked about and most notorious industrial action of the recent years. The strike lasted for five  solid months as it was called off in December of that same year.

The labour Union decided to shield their (industrial action) sword for about four years as it begin to appear to them that the federal government is beginning to listen to them and taking active steps in the implementations of their agreements but the two cat and rat fell off again and they embarked on another strike in August 2017 and the strike ended in September that same year after one month.

In November 2018 the labour Union declared an indefinite strike. The strike lasted for three months and was called off in February of 2019.

In March 2020 while the whole world was on lockdown due to the Covid 19 killer virus,  ASUU also decided to lockdown and embarked on another indefinite strike. The strike lasted for nine months before they called it off.  The impact of the nine months strike of the 2020 was nevertheless not much felt because parents were even reluctant to release their children to go back to school and students were not ready to go to school campuses and start mingling with crowds at the risk of contracting the Corona virus.

ASUU took another break from strikes in 2021 as no strike was recorded in that year  but they embarked on (their annual) strike in February of this year (2022), the strike have lasted for more than two weeks and it still counting as it appears that the labour Union have had enough of the government and are not ready to call this off until they have their way.

In all the strikes that Asuu have embarked on, both the ones that lasted for days and some that extended for months, what is  common is the government’s failure to implement the agreement they  have previously entered with the labour union and before those agreement was entered with the government, the reasons for previous strikes is the university teachers demanding for a better working condition from government.

Some of the primary demands of ASUU are: increase in salary and wages of the University teachers, proper funding of the universities, funded research and funded continuous education for the university lecturers, the issue of pension and gratuity for retiring lecturers, good working environment etc.

While we all can agree that ASUU to some reasonable extent deserve what they are demanding and even more from the federal government, we have no choice than to plead with body to maybe reduce their expectations and demand from the government because it seems what they have been demanding for over two decades, the government cannot or May meet up with them.

We also call on the government to be the bigger person and honor the agreements she have entered with the labour Union and meet the demands of this union at least to some reasonable extent because when two elephants fight, the grasses suffer; the grasses here are the students and scholars who are forced to spend extra years in school and stay at home doing nothing due to the incessant strikes of the ASUU.

 

Ndubuisi Ekekwe Statement on Restricting Accounts of African Startups by US-Based Mercury Bank

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I received the news that San Francisco-based Mercury Bank, a bank for startups, has restricted the accounts of many Africa-focused startups. The neobank has claimed that the restriction was due to “unusual activity” and possibly emanated from its supervisory bank partner, Evolve Bank & Trust. Accordingly, many startups woke up to receive this:  “Hi, your access to the Mercury account for XX  has been temporarily restricted. Let us know if you have any question or concerns.”

Statement from Immad Akhund, the neobank’s CEO:

  • “I am the CEO of Mercury. Since many of you have emailed/messaged me directly I thought it would be best if I just reached out directly.
  • “We found out yesterday that our partner bank noticed unusual activity and asked us to lock and investigate a large set of accounts with linked activity. We are working through our due diligence on all those accounts and will be in touch with you individually with questions if we have any on your account or activity.”
  • “Since it’s a reasonably large set of accounts it’s taking us some time to work through all of them but it’s the highest priority for us internally and we have more than 10 people working on this. We apologize for this sudden inconvenience and hope to put better practices in place to avoid this in the future.”

It feels very disappointing that Mercury Bank could act in this way. But of course, it is also important to understand that it has to comply with regulatory ordinances in the United States. But typically, you give notices and provide the startups the opportunities to clear the air before you pause or restrict the accounts.

Later this month or early next month, our neobank which is a full-fledged bank will launch in the United States. We have developed a novel playbook to support immigrants and foreign companies which majorly operate outside the United States. The US regulators like the protocols we have built.

I want to assure everyone that your bank is coming. We’re confident that as you grow, people will not see it as unusual activities. Do not lose confidence, the American market remains open despite the setback from Mercury. 

We have a better KYC/AML protocol to ensure that everyone plays by the rule and that we support your growth at scale. I hope to share the first day of our operations here once the regulators finish the regulated-mandated cybersecurity checks of our technologies. 

We expect the experts to finish at any moment and we will be on the path to be included in the US banking production server. Something amazing is on the way to support African and global startups in the US banking system.

We’re Tekedia Capital, we’re funding innovators of the future including a Texas-based Digital Bank