The 12-year jail sentence pronounced by a Lagos High Court on former Abia State Governor, Uzor Orji Kalu, who was reinvented as Senator of the Federal Republic of Nigeria, has sent tongues wagging.
Nigerians are asking whatever happened to the cases of some former governors, whom the Economic and Financial Crimes Commission had either investigated, or charged: These are Timipre Sylva and Godswill Akpabio, recently appointed ministers by President Muhammadu Buhari.
e queries, “Who will give you finance through a process that doesn’t show that you are well-groomed, or that if we put (money) in, it will come back: which is Internal Control? So, (in reality), it is not the finance that is the problem, but the access (gained through trust).”
Though Apampa added, “Not improving ethics and integrity will cost everybody in the private sector,” he forgot to add that by failing to embrace ethical conduct in performance of government business, the public sector is ruining the nation.
A former Minister for Education, Oby Ezekwesili, posits that “Corruption is cancerous; (and that) the cancer of corruption is part of why (Nigeria) has been held back.” She advocates that Nigeria should prevent people from getting away with corruption and enjoying the rewards of bad behaviour.
If the 2020 Budget, with a prospect of adequate funding, has a deficit of integrity, it would be double jeopardy. For President Muhammadu Buhari, “Corruption is the cause of many major problems in the country.” He adds that, “It is a catalyst for poverty, insecurity, weak educational system, poor health facilities and services, and many other ills of our society.”
He emphasises that “public sector corruption, in particular, inhibits the ability of government to deliver infrastructure and basic services to the people,” and reveals that, “It is on record that, in the past 10 years, N1tn has been appropriated for (legislators’) constituency projects, yet the impact of such huge spending on the lives and welfare of ordinary Nigerians can hardly be felt.” An Imo State senator reportedly converted constituency projects into a hotel.
The Chairman of Independent Corrupt Practices and other Related Offences Commission, Prof Bolaji Owasonoye, recently revealed that, “Part of our (commission’s) preliminary findings revealed gross abuse of personnel budget, and inflation of the nominal roll (euphemisms for “ghost” workers).
“At the time we went to press, we had covered about 300 Ministries, Departments, and Agencies, and the amount inflated was N12bn. As of 19 November 2019, we had discovered (another) N6bn, making a total of N18.624bn restrained by the ICPC.”
Recently, as many as 16 local government chairmen, who were suspended by the Kwara State Governor, AbdulzlRahman AbdulRasaq, allegedly misappropriated N4bn loan facilities of their governments, and what amounts to 10 per cent of the state’s internally generated revenue.
In a paper, titled, “Corruption and Infrastructure Development in Nigeria,” Idris and Shehu Jafaru Salisu, of Ahmadu Bello University, concluded that, “The high level of corruption has been responsible for the poor state of infrastructural development in Nigeria.”
The gains of corporate governance
11th December 2019
By Lekan Sote
Lekan Sote
lekansote@yahoo.com 08050220816
The 12-year jail sentence pronounced by a Lagos High Court on former Abia State Governor, Uzor Orji Kalu, who was reinvented as Senator of the Federal Republic of Nigeria, has sent tongues wagging.
Nigerians are asking whatever happened to the cases of some former governors, whom the Economic and Financial Crimes Commission had either investigated, or charged: These are Timipre Sylva and Godswill Akpabio, recently appointed ministers by President Muhammadu Buhari.
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Others are Theodore Orji and Danjuma Goje, currently serving as senators; Rabiu Kwankwaso, who lost a senate re-election bid; Peter Odili, who obtained a perpetual restraining order against the EFCC; Ali Modu Sheriff and Sullivan Chime, who defected from opposition Peoples Democratic Party to the ruling All Progressives Congress.
Though Kalu will likely exercise his right of appeal, for now, he has joined former Governors Joshua Dariye of Plateau State and Jolly Nyame of Taraba State, who are already adjusted to life behind bars.
Soji Apampa, Chief Executive Officer of Convention on Business Integrity, a nonprofit organisation, he co-founded with Vice President Yemi Osinbajo, believes, “If you do the right thing, and do things right, and if you do it consistently, then you are on your way to improving the level of access that you need to have (to the) market, knowhow, and technology,” (for success in business).”
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He queries, “Who will give you finance through a process that doesn’t show that you are well-groomed, or that if we put (money) in, it will come back: which is Internal Control? So, (in reality), it is not the finance that is the problem, but the access (gained through trust).”
Though Apampa added, “Not improving ethics and integrity will cost everybody in the private sector,” he forgot to add that by failing to embrace ethical conduct in performance of government business, the public sector is ruining the nation.
A former Minister for Education, Oby Ezekwesili, posits that “Corruption is cancerous; (and that) the cancer of corruption is part of why (Nigeria) has been held back.” She advocates that Nigeria should prevent people from getting away with corruption and enjoying the rewards of bad behaviour.
If the 2020 Budget, with a prospect of adequate funding, has a deficit of integrity, it would be double jeopardy. For President Muhammadu Buhari, “Corruption is the cause of many major problems in the country.” He adds that, “It is a catalyst for poverty, insecurity, weak educational system, poor health facilities and services, and many other ills of our society.”
He emphasises that “public sector corruption, in particular, inhibits the ability of government to deliver infrastructure and basic services to the people,” and reveals that, “It is on record that, in the past 10 years, N1tn has been appropriated for (legislators’) constituency projects, yet the impact of such huge spending on the lives and welfare of ordinary Nigerians can hardly be felt.” An Imo State senator reportedly converted constituency projects into a hotel.
The Chairman of Independent Corrupt Practices and other Related Offences Commission, Prof Bolaji Owasonoye, recently revealed that, “Part of our (commission’s) preliminary findings revealed gross abuse of personnel budget, and inflation of the nominal roll (euphemisms for “ghost” workers).
“At the time we went to press, we had covered about 300 Ministries, Departments, and Agencies, and the amount inflated was N12bn. As of 19 November 2019, we had discovered (another) N6bn, making a total of N18.624bn restrained by the ICPC.”
Recently, as many as 16 local government chairmen, who were suspended by the Kwara State Governor, AbdulzlRahman AbdulRasaq, allegedly misappropriated N4bn loan facilities of their governments, and what amounts to 10 per cent of the state’s internally generated revenue.
In a paper, titled, “Corruption and Infrastructure Development in Nigeria,” Idris and Shehu Jafaru Salisu, of Ahmadu Bello University, concluded that, “The high level of corruption has been responsible for the poor state of infrastructural development in Nigeria.”Related News
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To support their thesis, they presented the African Development Bank model of the dynamics of public sector corruption, namely: “Corruption = (Monopoly + Discretion) – Accountability,” and aver that “Corruption thrives where there is government monopoly, regulation of the economy, and where public accountability is lacking.”
The marking of the International Anti-Corruption Day on Monday, December 9, 2019, in compliance with the tradition of the United Nations, serves to remind Nigerians that corruption is a veritable device against development.
When marking the International Anti-Corruption Day in 2018, the UN observed: “Every year, $1tn is paid in bribes, while an estimated $2.6tn is stolen annually through corruption – a sum equivalent to more than five per cent of the global GDP.”
It added: “In developing countries, according to the United Nations Development Programme, funds lost to corruption are estimated at 10 times the amount of official development assistance. Corruption is a serious crime that can undermine social and economic development in all societies. No country, region or community is immune.”
While some applaud the determination of the EFCC to conclusively prosecute those it suspects to have abused their public offices, and the determination of the judiciary to pronounce judgment according to evidence presented, yet others suggest that it is better to run Nigeria’s corporate institutions in a way that prevents corruption.
They reason that it is better to avoid, or at least, reduce the opportunities for corruption to happen, and avoid the costly responsibilities of investigating, prosecuting, and providing correctional institutions for those found guilty of graft, and such other offences.
And so, they recommend Sections 11(c) and 51(c) of the Financial Reporting Council of Nigeria Act, which confer upon the Council the powers to ensure good corporate governance in the public and private sectors of the Nigerian economy, and issue codes and guidelines of corporate governance.
The Code requires corporate organisations to adopt the “Apply and Explain” approach, which is geared to assure compliance with all recommended principles, explain how the principles are applied, and demonstrate how specific activities they have undertaken best achieve the outcomes intended.
It recommends that a Board of Directors, which is expected to be well-balanced in terms of technical competence, experience and temperament, must be a link between all stakeholders, and assure a credible system of corporate governance, strict internal administrative and financial controls, and robust financial reporting systems.
Whereas Principle 18 of the Corporate Governance Code insists on having internal auditors to ensure “effectiveness of governance, risk management, and internal control systems,” Principle 20 provides for external auditors, whose duty is “to provide an independent opinion on the true and fair view of the financial statements of the company.”
But the real McCoy is Principle 24, which requires the “establishment of professional business and ethical standards underscoring the values for the protection and enhancement of the reputation of the company, while (also) promoting good conduct and investor confidence.”
Maybe, Nigeria’s Institute of Chartered Secretaries And Administrators, that is dedicated to enhancing the status and practice of Corporate Governance and Public Administration in the country, should walk its talk of “broadening the professional horizon of managers” by preaching the wisdom in integrity and trust.
They reason that it is better to avoid, or at least, reduce the opportunities for corruption to happen, and avoid the costly responsibilities of investigating, prosecuting, and providing correctional institutions for those found guilty of graft, and such other offences.
And so, they recommend Sections 11(c) and 51(c) of the Financial Reporting Council of Nigeria Act, which confer upon the Council the powers to ensure good corporate governance in the public and private sectors of the Nigerian economy, and issue codes and guidelines of corporate governance.
The Code requires corporate organisations to adopt the “Apply and Explain” approach, which is geared to assure compliance with all recommended principles, explain how the principles are applied, and demonstrate how specific activities they have undertaken best achieve the outcomes intended.
It recommends that a Board of Directors, which is expected to be well-balanced in terms of technical competence, experience and temperament, must be a link between all stakeholders, and assure a credible system of corporate governance, strict internal administrative and financial controls, and robust financial reporting systems.
Whereas Principle 18 of the Corporate Governance Code insists on having internal auditors to ensure “effectiveness of governance, risk management, and internal control systems,” Principle 20 provides for external auditors, whose duty is “to provide an independent opinion on the true and fair view of the financial statements of the company.”
But the real McCoy is Principle 24, which requires the “establishment of professional business and ethical standards underscoring the values for the protection and enhancement of the reputation of the company, while (also) promoting good conduct and investor confidence.”
Maybe, Nigeria’s Institute of Chartered Secretaries And Administrators, that is dedicated to enhancing the status and practice of Corporate Governance and Public Administration in the country, should walk its talk of “broadening the professional horizon of managers” by preaching the wisdom in integrity and trust.
That may be the way out of the back-and-forth that bedevils Nigeria’s quest for a just, credible, working, productive, and prosperous political economy.
