Wike Imposes N5m Fine, 7.5% Conversion Charge on FCT Land Use Defaulters

The Minister of the Federal Capital Territory (FCT), Nyesom Wike, has approved strict penalties for land title holders and allottees who violated the Land Use Act in Abuja.

Wike announced a N5 million fine, payable within 30 days, for defaulters. In addition, he approved a 7.5 per cent charge on the Assessed Capital Value of properties converted without the consent of the FCT Administration, also to be settled within 30 days.

The decision followed the submission of a report by the Committee on Land Use and Purposes Clause, inaugurated on August 8, 2025, to address widespread land use abuses in the territory.

Findings of the Committee

The Chairman of the Committee and Director of Development Control, Muktar Galadima, revealed that several properties on Ademola Adetokunbo Street, Aminu Kano Crescent, Yakubu Gowon Street, and Gana Street had been illegally converted to residential, commercial, or mixed usage.

According to the report, the total capital value of the affected properties stood at N1.03 trillion. Recommended sanctions for non-compliance include sealing of premises, demolition of illegal structures, and outright revocation of titles.

Galadima further outlined the payment structure:

  • 7.5% Land Use Conversion Fee on the assessed capital value.
  • Statutory Right of Occupancy bills applicable to the new usage.
  • 2% fee on illegal extensions, mergers, or subdivisions, payable within 30 days.

Wike’s Warning

Commending the committee’s work, Wike warned that no offender would escape sanction, stressing the administration’s determination to generate revenue for capital projects.

“I’m not going to leave anybody to go free. We are looking for money to carry on projects. If you fall into our trap, it’s your business. You have to pay the penalty and pay for the conversion; they are two different things,” he said.

He cautioned against indiscriminate land use conversions, emphasizing that designated residential and commercial areas must remain as originally planned.

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