On Monday, the government of Osun State said that Segilola Resources Operating Limited’s commercial premises had been shut.
The action was taken in response to an order from the Osogbo Chief Magistrates Court, which was chaired by Dr. Segun Ayilara.
The court had granted the State Government’s request to halt the company’s operations due to a number of tax infractions. The company was charged by the government for not disclosing all of the workers who were directly or indirectly involved in its operations and for impeding tax procedures by not submitting tax information and documentation on time.
Mr Kolapo Alimi, the State Commissioner for Information and Public Enlightenment, stated in Osogbo, the state capital, that “Segilola Resources Operating Limited is one of the major companies carrying out mining activities and mineral exploration in the state as a subsidiary of Thors Explorations Limited listed on the London and Toronto Stock Exchanges.”
“Despite several demands, meetings, talks, and engagements, the corporation remained steadfast and remorseless in its tax evasion and other breaches.
“The Attorney-General of Osun State approached the court and consequently obtained an order of the court to seal the company until the due sum calculated from 2019 to 2023 is fully liquidated into the Osun State Government account.
“The administration raised worry that while some firms were making billions of naira in the state, particularly in the mining sector, they were refusing to pay the state its legal dues.
Bottom Line
From a broader perspective, Osun’s mining sector holds significant economic potential, but for the state to benefit fully, it needs to ensure that companies are transparent and accountable in their operations, including paying taxes.
Segilola Resources, as one of the key players in the state’s mining industry and a subsidiary of Thor Explorations Limited, has a major stake in Osun’s economy.
However, the company’s failure to disclose its workers and delay in providing tax-related documentation point to systemic issues that could undermine not only the government’s revenue collection but also public trust in both governance and business operations.
