The CBN did not follow the laws and prescription of the Company And Allied Matters Act, which supersedes the BOFIA act.

Crude Oil:

The CBN did not follow the laws and prescription of the Company And Allied Matters Act, which supersedes the BOFIA act.

The Company and Allied Matters Act does not supersede the BOFIA. Section 53 of the BOFIA states

1. The provisions of this Decree shall apply without prejudice to the provisions of the Companies and Allied Matters Decree, 1990 in so far as they relate to banks and to winding-up by the Federal High Court.
2. Where any of the provisions of the Companies and Allied Matters Decree, 1990 are inconsistent with the provisions of this Decree, the provisions of this Decree shall prevail.

Sanusi Lamido, i ges should be one of d new breed of pple set 2 give naija a new image. I applaud wat he is doin n d bankin sector. He's dry cleaniing it, hop he does a good job in d end. One thing bothers me though, if u say ur cleaning up d banks, of all d banks we'v got, u certify a certain number, and blaclist five. Wat happens 2 d remaining? I wonder if he has ties in dos banks, cos by d time anoda list comes out, any md of an affected bank shoul long have moved to mars. Cos i know some ppl dat myt.
I also find it hard 2 blive dat pple like Daangote, dont service d loan accounts, if dats true for a bz man like him, den,

If names or figures where wrong then they should sue the banks for giving CBN the wrong information. Abi no be dem give the info?

My dear if he doesnt rush these people will press all their PDP buttons and sponsor and bribe more foreign ratings agencies and anything they can do to stop this action. That is why I believe once he identified the 5 that were the main problem quick moves had to be made.

Im glad a couple of those 419 ratings agencies are distancing themselves now.

Please lets focus on the banks that are healthy and learn lessons from there. For me thats more interesting.


"THIS IS MY TAKE ON THE ISSUE,

RUSH!!!!! RUSH!!!!!!!!! AND RUSH!!!!!!!
THIS HAS BEING MY GROSS WITH THIS WHOLE THING SINCE IT UNFOLDED, WHY DO EVERYTHING IN SUCH A RUSH.
IN CIVILISED WORLD OR EVEN SEMI-CIVILISED WORLD THESE KIND OF CASES TAKE TIME TO INVESTIGATE WHICH BY EVERY STANDARD IS JUSTIFIABLE.

TODAY WE VE STARTED HEARING PPLE SCREAMING NORTHEN AGENDA!!!!!!!!!!!!! NORTHEN AGENDA!!!!!!!!! THIS SORT OF RUSH IS WHAT COULD GIVE LEVERAGE TO SUCH SHOUTS,
WHY IS EVERYTHING DONE IN SUCH A RUSH?,
WHAT OF ALL THE LAWS THAT VE BEING TRAMPLED (BOIF etc) .
IS IT OK TO BREAK THE LAW IN ORDER TO KEEP IT?
WHAT OF THE NAMES THAT WERE WRONGLY INCLUDED?
WHAT OF THE FIGURES THAT WERE WRONGLY INPUTED?
EVEN IF THESE CAN BE CORRECTED . WHAT OF THE EMOTIONAL TRUAMA THIS WHOLE EPISODE HAVE CUZED THEIR FAMILIES AND FRIENDS, THE DISTRUST IT HAS BROUGHT TO THEM.

DON'T GET ME WRONG, I'M NOT AGAINST WHAT IS DONE BUT THE WAY AND MANNER IT IS DONE IS WHAT GIVES ME CONCERN, ,

I HOPE WE WILL NOT ALL WAKE UP 1YEAR LATER TO FIND OUT THAT THIS WAS ALL PART OF A SINISTER MOVE TO SATISFY A HANDFUL.

CAUSE WE ARE ALL STAKEHOLDERS IN THIS ENTITY CALLED NIGERIA.

GOD BLESS NIGERIA"

nairakween:

Is it about corruption first? That will come later.
Its about CBN moving in to stop a cave in of banks that are big enough (thanks to consolidation) to bring all the others down with them.
Figures are available but we choose to close our eyes. I saw the wishy washy ads Cecelia ibrus lawyers have out. Scanning the Vangaurd piece in one and listing all the great things oceanic has done in the second. PUHLEASE, ARE THEY A PR FIRM OR ARE THEY LAWYERS! Quite franky if thats what they want to do in court then CBNs facts are real and its a shame. I expected to see statements, figures something beyond you are being selective blah blah blah.

Oceanic is your liquidity -26% Yes or No. Gosh we are doomed in this country. CBN is well within its rights. Thank goodness the other banks where not the foolish virgins.

Yes I do not believe oceanic lawyers are being smart in their approach so far , however we can still ask questions.

Was oceanic's statement for the period ending dec 2008 signed by the CBN if yes, then by how much did things change substantially between dec 2008 and may 2009 to warrant this approach by CBN? if the CBN says things changed   in five months could someone not argue too that between may and August when the CBN struck, things might have changed positively too.


In a "clean up" of this magnitude it is only fair to ask the CBN to place all the cards on the table.

If CBN explains that the five banks were  accounting for 90% of EDW and subsequently  interbank trading, but went ahead to audit ten and not just the five. Indicted the five and placed a warning of "border line/critical" on two of the seemingly "safe" banks, then will it not be fair to ask for the findings on the banks that are critical?.

Do the other five banks have bad loans,if yes who are these debtors or can the debtors walk free because the banks have not reached "collapse" point?

Do the other banks have margin loans ? if yes what are the figures?
How exposed are the other banks in the downstream oil and gas dealings

what is the CAR of the other 5 banks so far audited?

If 5 banks accounted for 90% of EDW, it arimethically leaves 10% for the other 19 banks so how come two of the first ten audited have critical/borderline status.

If poeple like Arisekola are showing on the list of bad debtors in the "bad" five banks, then can we know their dealings in FBN where they have substantial controlling influence?


Again why the rush to sell off these banks? The management  of the bank's have been removed but the boards are retained . So why is the CBN not working with the boards to get a new mangement team , and clean up the mess of the past without pursuing this option of selling the banks?

How does Atedo's statement so far engender the spirit of fairness by the CBN when ATEDO's bank is currently being audited?

na_so:


Again why the rush to sell off these banks? The management  of the bank's have been removed but the boards are retained . So why is the CBN not working with the boards to get a new mangement team , and clean up the mess of the past without pursuing this option of selling the banks?

this is another issue that drives me crazy. it is one of the indisputable fact that points to sanusi acting the script for some faceless group.

Ah, CBN should not sell? Why not?

whose money will they continue to use to prop up weak banks? Do you really think the public will not descend on Sanusi if he keeps 420billion of public funds in a country where people are owed salaries tied up with these banks?
Or perhaps the extra billions they need should come from the public purse as well?

If they can raise the cash then let them do so. this is culling

x

nairakween:

Ah, CBN should not sell? Why not?

whose money will they continue to use to prop up weak banks? Do you really think the public will not descend on Sanusi if he keeps 420billion of public funds in a country where people are owed salaries tied up with these banks?
Or perhaps the extra billions they need should come from the public purse as well?

If they can raise the cash then let them do so. this is culling

you speak ignorantly

There had been speculations that the bank chiefs were unduly detained without trial because Aondoakaa was holding back the approval, which is a constitutional provision since the EFCC would have to prosecute in the name of the AGF.

A report quoting the commission's sources had claimed that EFCC Chairman Farida Waziri had written Aondoakaa since Wednesday, August 26 for the fiat.

But the AGF, who has been out of the country for about one week on official assignments to Brazil and the United Nations (UN), told THISDAY last night shortly after his arrival that his office got EFCC's letter last Friday and that the letter was dated same Friday, August 28, 2009.

- Source http://allafrica.com/stories/200908310001.html

Comment:

Why do we in Nigeria do things backwards. In better thinking countries, their prosecutorial system has pre-signed forms and assistant District Attorneys at the least to execute the papers for prosecution. There is no justification to continue detaining people because Andowonka is out of the country. This is the worst abuse of civil rights denying people of their freedom and ignoring constitutional standards that limits unprosecuted arrests to 48 hours.

When will our country choose to move forward and become progressive if we continue abusing civil rights. If these are infact the top echelon of Nigeria being illegally detained, who would stand a chance? Why has a judge not issued an arrest warrant for the EFCC Boss for contempt of court? Why is the law just a floor mat to be stepped on in Nigeria by people who mistake power for a throne to inflict abuse on the masses?

Nigeria, which way forward now?

No, he needs to sit his a$$ down.

Guilty of what please?

a little detail will help.



{Guilty of insider's trading, cooking the book and preparing a window dressing account. I think CBN/NDIC report will help you out.

oh no, i dont approve of his religiou-ethnic vendetta in the guise of reforms

Lamido Sanusi's agenda

There was no crisis in the Nigerian banking industry before Friday, August 14, 2009, as none of the banks had failed to meet its obligations to its depositors. This crisis was imposed on it.
What we are witnessing is a campaign of propaganda by the Central Bank with the intention to forcefully change the ownership structure of Nigerian banks.
Please note the following points:
• Why hurry to wield the axe, when the audit has not been conducted in all Nigerian banks to enable Sanusi gain a comprehensive picture of the situation in the industry? The weakest bank in Nigeria, Unity Bank, has not even been audited. Soludo's CBN granted N70 billion to Unity last year without sacking its CEO or management.
• The debtors' list has proved to be sheer propaganda as the loans are mostly actually performing.
• Why did Sanusi not publish debts owed by government ministries, agencies and parastatals? They are actually the biggest and most notorious debtors - either directly or through contractors who handle public project. For example, Transcorp is owing Union Bank N41 billion, but the government is yet to refund the purchase price of NITEL to the company after the Federal Government reversed the privatisation of the telecom company this year. Another important group of bank debtors are the importers of petroleum products. They say the government is owing them nearly N100 billion in subsidy reimbursement. So, this means that if the government that wants to rescue the banks fulfills its responsibility to those it is owing, the problems of the banks will be much lighter.
• Why did Sanusi not invite the boards of the audited banks to show them the results of the so-called audit and them how they think they could solve the identified problems; for example, giving them a deadline to recapitalise? The practice all over the world is to fist demand that the existing shareholders meet the capital adequacy requirement. It is only where they are not able to raise the required capital that forced intervention by the regulators takes place.
• Imagine that Sanusi is already saying he would like to sell the banks! After only one week of taking them over? That would be a world record in Central Bank intervention.
I advise Nigerians to learn a thing or two about Mr. Lamido Sanusi by reading the articles he wrote in the recent past. Please check. Then you will know where this man is coming from.
The CBN's powers of intervention are to enable the government protect depositors and creditors of banks. The laws are not meant to enable the government do what it is presently doing: confiscating the legitimate properties of citizens. The schemers at play want to confiscate these banks from their rightful owners and award them to members of their ethnic group, the Fulani. Curiously, the EFCC is now going after the banks' chiefs. This is a strategy to intimidate them into submission. What has the EFCC got to do with bank loans? Loan default is not a criminal offence in any legal system. This is all propaganda. The so called sanusi should fear Allah.

I still find it hard to imagine how Farida Waziri could stand a chance of regaining credibility in Nigeria. Even with this issue, there is a clear illegality of process being showcased. The only chance she stands is if she makes an about-face and begin to go after Politicians as well. Why is there so much silence about Aliero's claim to raise the costs of permits to build in Abuja with a statement he made claiming it is an effort to rid Abuja of touts? Do Touts build homes? Or is Abuja now only a place for the rich? How can anyone justify such a statement in a democracy that has enabled many otherwise non-competitors in the guise of Federal Character? These are questions that Nigerians should be asking.

as for Farida-Waziri, she's partner in crime with Yar'adua sanusi.

the start is always very interesting (positively) but the end is the best part, it is more interesting (negatively)
experience is what i borrow from. all the same i wish everybody that is working to make this country better place Gods guidience