DICON Signs Defence Deal with Untraceable Firm for Satellite Laser Systems and Drone Production

On Thursday, July 4, 2024, the Defence Industries Corporation of Nigeria (DICON) signed a Memorandum of Understanding (MoU) with Homeland Protectors and Supplies Limited.

The signing was reported by the News Agency of Nigeria (NAN) and was widely circulated across Nigerian news media. DICON described the MoU as a “milestone” in advancing defence technology and production capabilities in Nigeria. The partnership, according to reports, aims to introduce technologies such as satellite and laser systems, communication infrastructure, and weather and security drones into the country’s defence ecosystem. A production line is also expected to be established in Nigeria as part of the agreement.

The DICON Director-General was identified in the media as “Babatunde Alaya.”

According to statements by DICON, the company would bring its “expertise and experience in the field of satellite, laser systems, communications, and weather security drones,” and the collaboration would promote innovation and local content development.

However, an investigation by West Africa Weekly found that the company, Homeland Protectors and Supplies Limited, has no digital footprint. A Google search yielded no results for that name. An alternative search for “Homeland Protectors Limited,” as cited in some reports, also revealed no corporate presence or online information available.

In addition to having no website, the company is not listed in the publicly accessible database of the Corporate Affairs Commission (CAC), which confirms whether a business is registered in Nigeria.

It is unclear whether Homeland Protectors and Supplies Limited is a Nigerian or foreign company.

Under the Companies and Allied Matters Act (CAMA) 2020, Chapter 3, Section 78(1), a foreign company is prohibited from carrying on business in Nigeria unless it is duly incorporated. Section 78(2) states that any such business activity conducted without incorporation is void. Section 80 of the Act allows for a ministerial exemption, but there is no public record of such an exemption in this case.

Section 81 requires exempt companies to file annual returns and financial statements to the Minister, while Section 82 empowers the Minister to revoke the exemption. Section 83 makes it a punishable offence to contravene any of these provisions.

As of the time of this report, DICON has not responded to questions about whether the company has been granted an exemption under Sections 80–83 of CAMA.

The DICON Act (2023), signed into law by President Tinubu, allows DICON to enter into contracts through joint venture partnerships or collaborations and to establish joint venture companies, as stated in Section 7(3)(a)(b).

However, there is currently no evidence that Homeland Protectors and Supplies Limited exists as a legally incorporated entity in Nigeria or elsewhere. The development raises questions not only about compliance with Nigerian corporate law but also about the due diligence process undertaken by DICON before signing the agreement.

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About The Author

Mayowa Durosinmi

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M. Durosinmi is a West Africa Weekly investigative reporter covering Politics, Human Rights, Health, and Security in West Africa and the Sahel Region

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