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1. Why only considering a bill, I wonder?
Perhaps they are concerned about unintended consequences so want to think it through before rushing into legislation...
(I said that with a straight face, I should take up poker.)
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2. What were the police leadership thinking when they put that rule into place? Anyone in Nigeria in the 80's who has some perspective on this?
I was and I've highlighted the two words in your quote that probably were not involved in the original decision.
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3. This state of play must frustrate doctors to no end.
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Depends on how much they make from taking bribes to ignore or to follow out this directive - and that is from my personal experience - in Nigeria bribery is simply the culture and how everything works.