By John Umeh
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Millions in Arrears: Ground Rent Debt Sparks Action
In a sweeping enforcement operation aimed at recovering outstanding debts, the Federal Capital Territory Administration (FCTA) has sealed off several high-profile properties in Abuja, including a branch office of the Federal Inland Revenue Service (FIRS), a commercial bank, and a fuel station, all for defaulting on ground rent payments.
The action, carried out through the Department of Development Control and the Abuja Geographic Information Systems (AGIS), forms part of a larger clampdown on individuals and organizations that have failed to settle statutory land use charges owed to the government. According to FCTA officials, the affected institutions are among over 100 defaulters being targeted in a bid to recover more than N29 billion in unpaid ground rent within the territory.
High-Profile Defaulters Not Spared
Speaking during the enforcement exercise, Muhammad Hazat Sule, Director of Information and Communication for the FCTA, emphasized that no entity—public or private—is above the law. He noted that the sealing of the FIRS office sent a strong message that even federal agencies must comply with local statutory obligations.
“This operation is not targeted at any individual or organization in particular,” Sule said. “It is a lawful action aimed at compelling compliance with financial responsibilities to the FCT government. Ground rent is a legal obligation for all landholders, regardless of their status or affiliation.”
The fuel station and bank were sealed after they failed to respond to prior notices, which had been served multiple times as part of due process. In each case, officials from the FCTA locked up the premises and posted official notices citing violations and outstanding debts.
The Importance of Ground Rent Compliance
Ground rent is a legally mandated payment required of all land allottees in Abuja and other parts of the country. The rent helps fund the provision and maintenance of public infrastructure such as roads, sanitation, street lighting, and other essential services.
Non-payment of ground rent over extended periods deprives the government of crucial revenue and undermines urban planning and development goals. According to the FCTA, the accumulation of arrears from both private individuals and public institutions has severely hampered the city’s ability to sustain services.
Economic Impact and Public Reaction
The sealing of major establishments like the FIRS office and a commercial bank sparked immediate public interest and concern. Some customers who arrived at the bank and fuel station were turned away, unaware that the premises had been closed by government authorities. Others expressed frustration over the disruption, calling for better communication between the FCTA and affected institutions to avoid such sudden actions.
However, many residents also praised the move, describing it as a long-overdue step toward accountability and equitable enforcement of city laws.
FCTA’s Warning to Other Defaulters
Officials have warned that this is just the beginning. The FCTA plans to continue the enforcement exercise in the coming weeks, with more properties slated for closure if their owners or managers do not settle outstanding debts.
“All defaulters are advised to come forward and make necessary payments or risk facing similar sanctions,” said a senior AGIS official involved in the operation.
The administration also reiterated that a payment window and dispute resolution process remain available for those seeking to negotiate terms or contest the debt amount.
The sealing of high-profile institutions by the FCTA over unpaid ground rent is a bold reminder that civic obligations cannot be ignored, regardless of an organization’s status or government affiliation. As Abuja continues to grow and expand, effective land administration and fiscal responsibility will be crucial to sustaining a livable, functional capital city.
