Welcome, Guest: Register On Nairaland / LOGIN! / Trending / Recent / New
Stats: 3,228,541 members, 8,075,492 topics. Date: Monday, 10 February 2025 at 11:06 PM

Dele Momodu's Article On Cbn Governor Over The Sacked 5 Bank Mds - Business - Nairaland

Nairaland Forum / Nairaland / General / Business / Dele Momodu's Article On Cbn Governor Over The Sacked 5 Bank Mds (1203 Views)

Ezekwesili Or Soludo Likely To Be CBN Governor, To Replace Emefiele - Guardian / Bank Phb, Spring Bank And Etb Mds & Eds Axed By Cbn - New Mds Appointed! / Bank Mds Sacked By Sanusi (2) (3) (4)

(1) (Reply) (Go Down)

Dele Momodu's Article On Cbn Governor Over The Sacked 5 Bank Mds by dapsy1: 5:54pm On Sep 04, 2009
Subject: RE: NEMO JUDEX IN CAUSA SUA, NEMO DAT QUOD NON HABET
Hi All,

I cant but imagine how many "ignoramus" parades our society and we think of them as knowledgeable. Given my tight schedule, I took time to read the article below and I was begging to find a substance to justify the precious time spent reading it, but alas I was disappointed.

Dele Momodu just enlisted himself in my ignoramus book of shame! I expected him to be more objective and intelligent given his tracks in Journalism. Now it is evident why he took to Picture panorama magazine while others are doing objective and informative News Magazines - For sure, he cant write that much! What do you get from Ovation? - it helps you think of how to steal, loot and be corrupt. The same governors he alluded to as corrupt and thieves, the same politicians he said have destroyed Nigeria, the same Fraudsters that have bought immunity from the Nigerian Police and Courts - all adorns the pages of an Ovation magazine all the time. What is Dele doing, helping himself to the spoils and also trying to allign with the general public. Pls tell him, now we know better.

When I first heard the news, I did not agree totally with Sanusi because all the banks are guilty. But in a society where everyone is guilty what do we do, jail every bank MD and throw the Nigerian economy into chaos and distress? Can someone pls tell him what impact that would have had on the common people? where will the money to bail all the banks come from? Over a thrillion Naira is already going to the 5 banks, how much would be needed to bail 20/21 banks? will he sell Ovation biz empire to help the common man? He already took his lots away to far away Ghana - beyond the reach of unemployed youths and hungry Nigerians.

What Sanusi has done deserves some praise albeit. To be bold enough to do this is highly commendable, even if subjective - subjectiveness is allowed to a large extent in every society. In our law courts, lawyers and judges are subjective; in our organisations, our managers and the board is subjective; so are our elders and leaders; even our constitution is Subjective. So what is he talking about? Ribadu may have fought crime subjectively, but he did managed to throw some fears into us about corruption, fraud and ill gotten wealths. You do have to think twice before you go into Fraud - and that indeed helped the economy to some extent. What Sanusi has done would definitely impact on the activities of the other banks under investigation. I believe it would ensure that some of the looted funds are recovered back into the banks treasury - hoping that the CEOs would not want to be disgraced and dishonored out of office. That is a lot of help to the industry - why should we care about Sanusi's problem with certain individuals - the question here is are they guilty of the accussation or not? are people not dying because of their crimes? is the nations's economy not affected? should we watch with disdain and continue praying to God for deliverance?

I dont know much about the banks organisation and structure, but I do know that once a bank goes public, it is owned by the public and not an individual. Hence, a bank MD represents the trust of the shareholders to manage the business and generate profit. Where, the MD breach this trust, he/she is liable and could be relieved of his/her job. Where the board of the bank lacks the will to do this, then the CBN has the constitutional right to perform the needed and appropriate sanction.

These banks have played us all by going public. They have taken our money and are flaunting it at our expense - paying incredulous packages to themselves, taking loans and turning it into bad debts, buying ships, jets and other business concerns with our money etc. If Nigeria is in the neighbor country Ghana, all the banks executives will be in jail by now. If Nigeria is outside Nigeria - the likes of Dele and his cohorts will not talk like this. He will certainly be in the Nollywood or doing comedy - that would definitely complement his picture panorama business!

Regards.

------------------------------------------------------------------------------------

Subject: NEMO JUDEX IN CAUSA SUA, NEMO DAT QUOD NON HABET


Culled from Dele  Momodu’s article (Thisday Newspaper, 1st September 2009).



There were mistakes made, like all humans. As analyzed by the great banker and entrepreneur, Atedo Peterside, in a text he sent to me last Saturday: “The sad truth is that, anywhere in the world, relying continuously on liquidity support from your regulator (Central Bank of Nigeria in this case) as a ‘lender of last resort’ is a dangerous game. If the ‘game’ continues for too long, your ‘liquidity’ problem will become synonymous with insolvency and as CEO of that institution you become very vulnerable because the regulator will inevitably wield his axe someday”. He is right.



But I insist that Sanusi, the Governor of the Central Bank of Nigeria, went overboard and certainly beyond his mandate. He apparently did not weigh his hasty actions against the general interest of our country as well as the historical dialectics of our nation. He would have realized the problems of Nigeria were far greater than that of those five bank executives. Scapegoatism has never worked in Nigeria. He should look back at the recent past when a few governors were being impeached in the middle of the night. And some Nigerians hailed the action. I will continue to say that we can’t set a whole village on fire just to catch a few rats. What have we gained in concrete terms? Nothing drastic has been done to investigate and prosecute the former President, the multitude of governors, ministers, legislators (States and Federal) special advisers, board members, and others who have served these past ten years. The same fate shall befall this crusade.
I have three reasons for my assertion. The present composition, and the very origin, of this administration, makes it impossible for any meaningful war to be fought and won. The second is that only a benevolent and visionary dictator, and clear-headed revolutionaries, can truly fight the cancer that corruption has become in Nigeria, because nearly everyone is guilty.  Even the elder statesman, Alhaji Maitama Sule said that much last week. My third theory is that the likes of Nuhu Ribadu, Nasir el-Rufai, Oby Ezekwesili, Sanusi Lamido Sanusi and company, would only be able to push their revolutionary ideas when they are able to acquire executive powers at the very top. The Nigerian State is run by a few oligarchs who are intricately intertwined, and too difficult to disentangle. Sanusi would soon be frustrated like Ribadu.
I believe Sanusi was too much in a haste to show his bite. If he was not in a hurry, he would have audited all the banks at once. And award penalties without favour or discrimination. The criminalization of a few people, when less than half of the banks have been audited is, to say the least, reckless and disastrous. There was no indication that he spent sufficient time with the indicted MDs to pursue the possibility of redemption. The same Sanusi who told us at home that he would give the banks back to their owners if they can meet some stringent conditions went abroad to gleefully announce that the banks were up for sale. He must have been encouraged by the applause he got from the kill-and-go choir.
What stopped Sanusi from publishing the complete list of all debtors in all the banks? Why didn’t he throw all these debtors into jail the same way he dealt with the Bank MDs? Why is the Federal Government diverting our attention from the lack of progress in the investigation and prosecution of so many members of its ruling party? And in truth, it is an established fact that the government is a pathological debtor, and one of the veritable sources of the huge debt portfolio of some of the banks and businesses. Why did we not adopt the less destructive measures of the Americans?
The global economic crisis was largely due to the subprime mortgage lending fiasco of the US economy, where banks greedily invested their deposits as loans to the mortgage sector. This was the same way our Nigerian banks made the terminal mistake of over-exposing themselves to the Stock Market. The higher the return in any business, the higher the risk. The crisis in America nearly wiped out the capital base of some of the biggest financial icons, such as Citibank, Bank of America, Goldman Sach.  Also, top European Banks like UBS, BNP Paribas, Deutsche Bank, and Barclays were affected.
Their home governments rose to the challenges by rolling out workable packages, under strict terms, but without our own theatre of the absurd. Foreigners were not invited to take over the banks, and their assets were not sold off, like it is being threatened in Nigeria. Those foreign banks have since recovered and are bouncing back to profitability, in an atmosphere devoid of rancor and gangsterism. 
Finally, I'm not a lawyer, but I have a fair knowledge of Jurisprudence. There are three principles that we must consider. The first is NEMO JUDEX IN CAUSA SUA (A man shall not be a judge in his own cause). It is difficult to see Sanusi as a total and unbiased umpire. The second is NEMO DAT QUOD NON HABET (You can’t give out what you don’t own!), which is what Sanusi has done by sacking the MDs. And by dishing out their banks to outsiders of his choice, without making recommendations to their board, or giving them warnings and deadlines; by harassing them and their homes with forces of coercion, by freezing their personal accounts, by publishing confidential bank statements of clients etc, he has already convicted them!
The damage is total and almost irreversible in a country like ours, even if any of them is cleared tomorrow. In fact, what Sanusi has breached is the third principle of AUDI ALTERAN PARTEM RULE (The right to fair-hearing) , and some of us are too forward-looking to allow such lawlessness to stick. Sanusi has combined the duties of a Complainant, Prosecutor, Advocate for the Prosecutor, Star witness, the Bailiff, and the Gaoler. It is very tragic.
Re: Dele Momodu's Article On Cbn Governor Over The Sacked 5 Bank Mds by xtayle(m): 5:59pm On Oct 21, 2009
why would anyone see Dele Momodu's piece above as lacking in objective or as a poor write-up? such should check themselves properly. Note that he did not say they were right in what they did. He had only pointed out that similar mistakes were made by institutions in other countries and they were managed amicably and with dignity.

Dont forget that there are several ways to kill a cock without shedding its blood. Of a truth, sanusi was too hasty in his decisions. An accused is supposed to be presumed innocent until proved otherwise. To make it worse, he did not do his so called audit for all of them at a time, thereby giving some of them undue advantage to make up. Why would he not sanction them all at once? that action negates the principle of fairness, equity and justice.

Dele M. is right, sanusi is up to something sinister and u can quote me.
Re: Dele Momodu's Article On Cbn Governor Over The Sacked 5 Bank Mds by tarano: 3:52pm On Oct 22, 2009
I must say Sanusi is a courageous man, he has is short comings, but indeed he is a courageous man. Corruption is too deep in Nigeria. Some would say we should not set a whole village on fire just to catch a few rats, corruption in Nigeria is not a small problem, it is endemic, it comparable to disease carrying rats, we might as well burn down the village and eradicate the rats, that is making life difficult in the village.
Re: Dele Momodu's Article On Cbn Governor Over The Sacked 5 Bank Mds by xtayle(m): 6:35pm On Oct 22, 2009
Mr. Tarano, even in the US where you are, there is corruption. that does not mean they will manage it the way sanusi is acting a script. sacking people who took risk with their lives and career to set up institutions that has become big today. Yes they have done something wrong. Infact very wrong and abusive+corrupt. But must he forcefully take the bank away from them by selling it to someone else? Banks that they labored to build from scratch, now because they erred, they must lose it?

in my opinion, there are better ways to sanction them than to say they must loose ownership of those banks. His decision is an abuse of power and you can go and write it down, his reward is around the corner. the north lacks the know-how to remain relevant in the financial services industry and so  they could not stand the consolidation exercise of soludo. after consolidation, they were not found anywhere in the industry. So they waited for their turn to head the CBN knowing what they all were doing together while they were still relevant and planned a head to use it against those that were still relevant-the south. Was sanusi not in first bank as MD? why did he not influence the bank positively?

it is a vendetta that is not justified and the measure melted out is morally and politically terrible. Is it in the CBN act that if you own a bank and you are alleged of malpractices, u will forfeit your ownership by force? think about it.

(1) (Reply)

How To Set Up A Restaurant Bar. / Naija ATM Too Loud? / Dhl Or Ems?

(Go Up)

Sections: politics (1) business autos (1) jobs (1) career education (1) romance computers phones travel sports fashion health
religion celebs tv-movies music-radio literature webmasters programming techmarket

Links: (1) (2) (3) (4) (5) (6) (7) (8) (9) (10)

Nairaland - Copyright © 2005 - 2025 Oluwaseun Osewa. All rights reserved. See How To Advertise. 51
Disclaimer: Every Nairaland member is solely responsible for anything that he/she posts or uploads on Nairaland.