Sanusi, Oteh to face trial

The House of Representatives, yesterday, indicted Governor of the Central Bank of Nigeria (CBN) Mallam Sanusi Lamido Sanusi; Director-General of SEC Arunma Oteh and DG of Assets Management Commission (AMCON) Mustafa Chike-Obi for their refusal to submit certain documents required by the House.

The House took the decision while adopting the recommendations of its Adhoc Committee on the near collapse of the Capital Market.

The Report was laid before the House last Tuesday by the committee’s Chairman Ibrahim El-Sudi.

Former Director-General, Security and Exchange Commission, Ms Arunma Oteh; CBN Governor, Malam Sanusi Lamido Sanusi at a meeting of the Economic Management Team with President Goodluck Jonathan in Abuja on Tuesday (3/7/12). NAN Photo

The plenary session of the House adopted almost all the recommendations of the Committee. However, due to the intervention of the Chairman of the House Committee on Banking and Currency Matters, Hon. Jones Onyereri, some of the Capital Market Committee’s recommendations were stepped down for harmonisation by the two committees.

According to some of the ratified recommendations: “ The Governor of Central Bank, Sanusi Lamido Sanusi; the Managing Director Asset Management Corporation of Nigeria (AMCON), Mustafa Chike-Obi; Director-General Securities Exchange Commission (SEC) Ms Arunma Oteh are hereby cited for contempt of the House and they should be prosecuted by the Attorney-General of the Federation under sections 4 and 11 (b) of the  Legislative Houses Powers and Privileges Act and section 89 of the amended 1999 Constitution for refusing to produce documents as requested and  demanded by the Adhoc Committee.

“That the Central Bank of Nigeria Governor through his Deputy Governor Kingsley Moghalu, SEC DG and the Nigeria Deposit Insurance Corporation (NDIC) Managing Director having lied under oath in their testimony with respect to the ownership structure of the nationalised banks should be prosecuted under  Section 10 of the Legislative Houses Powers and Privileges Act, Cap 12 Laws of the Federation of Nigeria by the Attorney-General of the Federation for giving false evidence under oath to the Committee.

“That the appointment of Ms Arunma Oteh as DG of SEC be terminated forthwith as her appointment is in violation of section 3 (2) and section 38 (1) b, 2 and 3; Section 315 of the Investment and Security Act, 2007 in that she did not have 15 years experience in the Nigerian Capital Market as required; That she has shown incompetence in the management of human and material resources at her disposal in SEC; lacked transparency in managing Project 50, regulatory failure in some of the recent mergers, acquisitions and approvals of transactions by SEC and general inability to carry along her staff, Board, and Management in decision making in SEC and questionable staff recruitment policies.

“That with respect to the missing N8billion, from the Union Bank Plc public offer, a case of fraudulent diversion having been established, the past Board and Management of the bank, the Chief Executive Officer  of the Issuing House/Financial Adviser, the present members of the Board and Management, including the Managing Director of the bank Mrs F. Osibodu should be investigated by the EFCC with a view to establishing and recovering the missing amount. Also, the management of AMCON and SEC including  their Chief Executive officers should be investigated by EFCC considering their roles in attempting to conceal the fraudulent diversion and missing fund.

“That all former bank executives who are recipients of National Honours and who are currently being prosecuted for crimes and unethical practices which led to the collapse of their banks be stripped of their National Honours by President Goodluck Jonathan in line with section 7 of the National Honours Act and international norms. That EFCC and Independent Corrupt Practices and Related Offences Commission (ICPC) and the courts  are also urged to hasten their prosecution to serve as a deterrence and to help restore investors confidence in the market.”