Court Bans Park and Pay Scheme in Abuja
An Abuja High Court presided by Justice Peter Affen on Thursday declared the controversial park and pay policy of the FCT Administration as illegal.
The court held that although the park and pay policy may be described as an excellent policy, it lacked the appropriate backing of the law and as such illegal and ordered that the policy be discontinued with immediate effect.
An Abuja based mortgage bank, Sun Trust Savings and Loans Limited, had dragged the FCT Minister two park and pay operators, Integrated Parking Services and Najec Parking Services, before the court challenging the legality of collecting fees from Abuja motorists through the park and pay policy.
The mortgage bank, among other reliefs asked the court to determine whether the park and pay policy of the FCT administration is in pursuant of any act of the National Assembly as provided by the 1999 constitution and whether the defendants can exercise the powers to collect taxes, rates and fees without the Act of the National Assembly.
It further urged he court to declare the pay and park policy scheme as ultra-vires, illegal and not in pursuant to any Act of the National Assembly and that the defendants are not constitutionally empowered to collect tax, fees and rate in the FCT without an act of the national assembly.
Furthermore, the plaintiff sought for an order of perpetual injunction restraining the FCT Administration, the consultants, their agents and privies, from collecting taxes, fees and issuing of parking violation charges.
It also sought for the refund of twenty thousand Naira collect by one the consultant operators of the policy from and the sum of one hundred million Naira in exemplary damages.
In determining the case, the court held that though the FCT Administration can make laws to collect taxes, fees and rates in the FCT, it found that the 2005 bye law of the FCT did not contemplate the park and pay scheme rather made provision for park and ride, which is not what is being implemented.
"The FCT Road Transport Regulation though made elaborate provisions, but I was not fortunate enough to find the park and pay scheme in the 2005 FCT by law. What it provided for under section 118 and 119 is the park and ride scheme. For reasons of clarity, I will state out those provisions in extensor. Section 118 states that the transport secretary may from time to time designate any operational area or zone as a park and ride area or route for the purposes of traffic management between 6 am and 6 pm.”
In granting the reliefs sought by the the mortgage banker, the court declared the scheme illegal, ultra vires, null and void restrained the FCT Administration from collecting any taxes, rates and fees from motorists except such is provided for by a valid subsidiary legislation.
“The defendants by themselves, privies, agents, servants or whatsoever name called are hereby restrained from operating pay and park scheme save and except the same is provided for or authorized by a valid bye law,” the judge ruled.
The court held that although the park and pay policy may be described as an excellent policy, it lacked the appropriate backing of the law and as such illegal and ordered that the policy be discontinued with immediate effect.
An Abuja based mortgage bank, Sun Trust Savings and Loans Limited, had dragged the FCT Minister two park and pay operators, Integrated Parking Services and Najec Parking Services, before the court challenging the legality of collecting fees from Abuja motorists through the park and pay policy.
The mortgage bank, among other reliefs asked the court to determine whether the park and pay policy of the FCT administration is in pursuant of any act of the National Assembly as provided by the 1999 constitution and whether the defendants can exercise the powers to collect taxes, rates and fees without the Act of the National Assembly.
It further urged he court to declare the pay and park policy scheme as ultra-vires, illegal and not in pursuant to any Act of the National Assembly and that the defendants are not constitutionally empowered to collect tax, fees and rate in the FCT without an act of the national assembly.
Furthermore, the plaintiff sought for an order of perpetual injunction restraining the FCT Administration, the consultants, their agents and privies, from collecting taxes, fees and issuing of parking violation charges.
It also sought for the refund of twenty thousand Naira collect by one the consultant operators of the policy from and the sum of one hundred million Naira in exemplary damages.
In determining the case, the court held that though the FCT Administration can make laws to collect taxes, fees and rates in the FCT, it found that the 2005 bye law of the FCT did not contemplate the park and pay scheme rather made provision for park and ride, which is not what is being implemented.
"The FCT Road Transport Regulation though made elaborate provisions, but I was not fortunate enough to find the park and pay scheme in the 2005 FCT by law. What it provided for under section 118 and 119 is the park and ride scheme. For reasons of clarity, I will state out those provisions in extensor. Section 118 states that the transport secretary may from time to time designate any operational area or zone as a park and ride area or route for the purposes of traffic management between 6 am and 6 pm.”
In granting the reliefs sought by the the mortgage banker, the court declared the scheme illegal, ultra vires, null and void restrained the FCT Administration from collecting any taxes, rates and fees from motorists except such is provided for by a valid subsidiary legislation.
“The defendants by themselves, privies, agents, servants or whatsoever name called are hereby restrained from operating pay and park scheme save and except the same is provided for or authorized by a valid bye law,” the judge ruled.
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