In a remarkable development, the federal governement has taken it's first reversal action against the new CBN governor's sweeping, poorly thought-through, vindictive, and schizophrenic actions against some Nigerian banks and the economy in general. Petrol importers that made up the majority of the debtors list on one of the banks- I think Intercontinental Bank, have been removed from the debtors list, recovery action against them put on-hold. These huge debts have been one of the reasons for removing the CEOs. In light of this new govermental position, one would have expected the CBN governor to re-evaluate the banks position vis-a-viz his own actions, instead, the CBN governor was yesterday quoted as calling for the bank CEOs to killed by firing squad, because of excessive debts and corruption. The FG has simply vindicated any bank CEO who lent money to these importers with or without collateral. A reasonable action would have been to re-assess reasons for firing these CEO in the first place.
After petrol importers, who knows tghe next group of debtos to be released by the FG?

[size=28pt]Bad loans: FG stops harassment of fuel importers [/size]

By Samuel Ibiyemi

The Federal Government has directed the Central Bank of Nigeria (CBN) and the Economic and Financial Crimes Commission (EFCC) to stop investigation of fuel importers over their failure to service loans taken from Nigerian banks to finance importation of petroleum products for utilisation in the country and complement output of the ailing refineries of the Nigerian National Petroleum Corporation (NNPC).
The CBN announced the sack of five bank chief executives on August 14, 2009 over alleged exposure to N1.143 trillion worth of non-performing loans. Of the amount, exposure to the oil and gas sector amounted to N487.02 billion even though most of the debtors are being owed about N114 billion as fuel subsidy arrears under the scheme of Petroleum Support Fund (PSF) by the Petroleum Products Pricing Regulatory Agency (PPPRA).
Since then, access to credit facilities to finance fuel importation has also become practically impossible thereby raising the fear of fuel scarcity which manifested recently with the return of long queues of motorists at filling stations in Abuja and other states.
A Presidency source confirmed that the CBN and EFCC were asked to put on hold machinery designed to forcefully recover debts owed Nigerian banks, pending the payment of subsidy arrears being owed by the PPPRA.
He noted that the long list of fuel importers on the list of bank debtors has made it difficult for the anti-graft agency to adopt stringent measures such as seizure of collateral and sealing of operational offices of debtors advertised by the CBN.
In his words, “The Federal Government realised that the delay in reimbursement of subsidy arrears contributed immensely to the plight of these fuel importers and will like to avoid problems that could affect the participation of the private sector operators during implementation of deregulation.”
However, Mr. Billy Agha, acting director, Department of Petroleum Resources (DPR) said names of all petroleum marketers being owed subsidy arrears by the PPPRA have been removed from the list of debtors being investigated by the EFCC. At a meeting with downstream stakeholders in Lagos last week, Agha called on fuel importers with their names on the CBN list of debtors being investigated by the EFCC to come forward for identification so as to ensure the intervention of the Federal Government.
“As at today, we have record of those companies being investigated by the EFCC and to the best of my knowledge, all fuel importers owed by the government have been removed from the list of the EFCC,” he noted.
Agha appealed to petroleum marketers that they should not stop fuel importation so as to avoid shortages in the country since the Federal Government believes in public private sector partnership in the distribution and marketing of petroleum products in the country.

http://www.nigeriamasterweb.com/paperfrmes.html

double standards

That's my point.

Joke country - The problem herein lives the freaking Government

Nigeria has the most useless government in the world.

The bigger fear is loosing confidence in Nigeria's financial system, nobody wants to criticize anybody, the CBN governor goes around instilling fear about financial armegeddon, and playing politics with this matter. The president, finance minister, minister of national planning, and CBN governor are all from the same state-----so much for having confidence in the system.

naijaking1:

The president, finance minister, minister of national planning, and CBN governor are all from the same state-----so much for having confidence in the system.

what are you trying to say?

Ha! Some animals are more equal than others.

what do you expect - the importers are broke because the bloody FG failed to pay up as per subsidy

the buck stops at their table

essentially by a subsidy - the fg is commiting to pay me x naira for the fuel i import
i take a lona to import the fuel
FG delays my payment, which means i can't remit

na good move be dis. most of de fuel importers dey owe money because government no pay dem as agreed. cbn or efcc need to leave those debtors alone, or at least work with dem until government pay those people.

de people wey need to answer case for court na de ceos and executives wey responsible for this fact as stated by sanisi: "we discovered that 75 per cent of the non-performing loans were given to the companies directly related to the CEOs of those institutions."

those ones need to answer their cases in court, and de ones wey guilty need to join bode george for prison.

According to 234Next, the FG owes the importers N40 billion. The importers in turn owe the banks hundreds of billions of Naira.
it doesn't take a mathematics genius to see that even if the FG had paid up all it owes the fuel importers, the importers will be in debt to the tune of hundreds of billions of Naira.

As if to buttress my point that it's only intellectually challenged Nigerians that are in the fight to discredit sanusi, It's a shame that even the original poster has issues comprehending simple English. The article he quoted makes no mention of fuel importers being removed from CBN debtors' list. All it says is their names have been removed from the list maintained by EFCC for investigation.

naijaking1:

[color=#000099]In a remarkable development, the federal governement has taken it's first reversal action against the new CBN governor's sweeping, poorly thought-through, vindictive, and schizophrenic actions against some Nigerian banks and the economy in general. Petrol importers that made up the majority of the debtors list on one of the banks- I think Intercontinental Bank, have been removed from the debtors list, recovery action against them put on-hold. These huge debts have been one of the reasons for removing the CEOs. In light of this new govermental position, one would have expected the CBN governor to re-evaluate the banks position vis-a-viz his own actions, instead, the CBN governor was yesterday quoted as calling for the bank CEOs to killed by firing squad, because of excessive debts and corruption. The FG has simply vindicated any bank CEO who lent money to these importers with or without collateral. A reasonable action would have been to re-assess reasons for firing these CEO in the first place.

In one breath you admit that the bank CEOs were fired for corruption. In the next you exhort the CBN governor to 're-assess reasons for firing these CEOs'. Am i right in assuming you're expressing tacit support for corruption?

naijaking1:

sweeping, poorly thought-through, vindictive, and schizophrenic actions against some Nigerian banks and the economy in general.

Hmm, i could have sworn that lending billions of naira without collateral to ex-nannies, siphoning bank funds into shadowy front companies and illegally appropriating huge sums of money by bank CEOs counted as 'sweeping, poorly thought-through, vindictive, and schizophrenic actions' against both the Nigerian economy and their own banks.

But we've already established where you stand when it comes to corruption, haven't we?

bawomolo:


what are you trying to say?

We speaking about confidence here my friend. In a country with so many qualified people, having the president, finance minister, minister of national planning, and CBN governor from the same state does nothing to instil confidence in financial health of the nation.

Ah. Now i have the figures.
The oil marketers owe the 5 banks N487 billion. The govt owes the marketers a comparatively minimal 46 billion naira.

So how does the delayed PPRA payment affect the enormous debts incurred by these fuel importers?

ndu_chucks:

na good move be dis. most of de fuel importers dey owe money because government no pay dem as agreed. cbn or efcc need to leave those debtors alone, or at least work with dem until government pay those people.

de people wey need to answer case for court na de ceos and executives wey responsible for this fact as stated by sanisi: "we discovered that 75 per cent of the non-performing loans were given to the companies directly related to the CEOs of those institutions."

those ones need to answer their cases in court, and de ones wey guilty need to join bode george for prison.

Where did you get 75%? From Sanusi's miscalculation, or from the list already modified by FG?

texazzpete:

Ah. Now i have the figures.
The oil marketers owe the 5 banks N487 billion. The govt owes the marketers a comparatively minimal 46 billion naira.

So how does the delayed PPRA payment affect the enormous debts incurred by these fuel importers?

You have nothing.
These figures should have been worked out properly, correctly, and accurately, before Sanusi begins his jihad against bank CEOs and shareholders in Nigeria.

texazzpete:

According to 234Next, the FG owes the importers N40 billion. The importers in turn owe the banks hundreds of billions of Naira.
it doesn't take a mathematics genius to see that even if the FG had paid up all it owes the fuel importers, the importers will be in debt to the tune of hundreds of billions of Naira.

As if to buttress my point that it's only intellectually challenged Nigerians that are in the fight to discredit sanusi, It's a shame that even the original poster has issues comprehending simple English. The article he quoted makes no mention of fuel importers being removed from CBN debtors' list. All it says is their names have been removed from the list maintained by EFCC for investigation.


In one breath you admit that the bank CEOs were fired for corruption. In the next you exhort the CBN governor to 're-assess reasons for firing these CEOs'. Am i right in assuming you're expressing tacit support for corruption?


Hmm, i could have sworn that lending billions of naira without collateral to ex-nannies, siphoning bank funds into shadowy front companies and illegally appropriating huge sums of money by bank CEOs counted as 'sweeping, poorly thought-through, vindictive, and schizophrenic actions' against both the Nigerian economy and their own banks.

But we've already established where you stand when it comes to corruption, haven't we?

Yes, now anybody who criticizes Sanusi's stupid actions is suddenly supporting corruption too. Not so fast!
Sanusi has not succeeded in convicting anybody, not one person as being corrupt. Yet, he goes around beating his chest in deciet and arrogance; proclaiming that otherwise innocent people should be shot for his allegation.
Anybody who believes Sanusi's anctics is not only terribly biased, but peharps stupid just like him. Time will expose all of you.

naijaking1:

Yes, now anybody who criticizes Sanusi's stupid actions is suddenly supporting corruption too. Not so fast!
Sanusi has not succeeded in convicting anybody, not one person as being corrupt. Yet, he goes around beating his chest in deciet and arrogance; proclaiming that otherwise innocent people should be shot for his allegation.
Anybody who believes Sanusi's anctics is not only terribly biased, but peharps stupid just like him. Time will expose all of you.

Yes well, we're working with facts here

FACT: The 5 banks were in distress.
FACT: Huge loans were given out without collateral
FACT: Numerous unethical banking practices were carried out by the embattled bank CEOs


Now, where are your facts that Sanusi is acting out an ethnic agenda/script? Where is the evidence except for conjecture?

Naijaking1, you used the following words to describe Sanusi's action.
'vindictive' and 'schizophrenic'

So where is your proof or evidence that Sanusi is
1. Vindictive
2. Suffering from Schizophrenia

Also, as you assert that Sanusi's intervention was 'poorly thought out', kindly explain what would have been the end result if he had done what Soludo did and allowed the banks to continue on that path to their likely demise.

I await your response.

texazzpete:

Yes well, we're working with facts here

FACT: The 5 banks were in distress.
FACT: Huge loans were given out without collateral
FACT: Numerous unethical banking practices were carried out by the embattled bank CEOs


Now, where are your facts that Sanusi is acting out an ethnic agenda/script? Where is the evidence except for conjecture?

Naijaking1, you used the following words to describe Sanusi's action.
'vindictive' and 'schizophrenic'

So where is your proof or evidence that Sanusi is
1. Vindictive
2. Suffering from Schizophrenia

Also, as you assert that Sanusi's intervention was 'poorly thought out', kindly explain what would have been the end result if he had done what Soludo did and allowed the banks to continue on that path to their likely demise.

I await your response.

Slow down, jare. Those are not facts, but Sanusi's allegations, we're still awaiting the courts to find facts in these baseless allegations.

naijaking1:

Slow down, jare. Those are not facts, but Sanusi's allegations, we're still awaiting the courts to find facts in these baseless allegations.

I'm sorry, but those are facts. Is the CBN debtors' list a myth too?
Is it standard banking practice to use shares are collateral for loans?

Norrin is imposicant in my dear country!

texazzpete:

I'm sorry, but those are facts. Is the CBN debtors' list a myth too?
Is it standard banking practice to use shares are collateral for loans?

The debtors' list is still in evolution.

but, can i say nigeria we hail thee !

All na POLITICAL PROPAGANDA!!![color=][/color][color=][/color]

Akanbi_edu:

This is not entirely true.

and The last time I checked Soludo and Iweala were from the same state.

Even if Soludo(CBN gov.) and Iweala(Fin Min.) are from the same state, does that compare with this unfortunate situation where Yar'dua(President), Samsudden(Min. National planning), Muktar (Min. Finance), and Sanusi(CBN gov) are all from Kano?katsina?

Point of correction= Soludo is from Anambra State, Iweala- born in Delta, married in Imo.
Get your facts straight.

MrCrackles:

Then what are they if they are not facts because i fail to see how they are Sanusi's allegation. . . .
How can you even say the allegations are baseless?
Common man, dont be daft!

Don't act retarded, you know these figures released by Sanusi has been changing like the wind.
First he listed companies that took normal performing loans as non-performing debtors, when they complained, CBN said they need to make a small modification to the list, then he quote different amounts as the amount owned, when some people confronted him, he said, it was just a minor miscalculation, then he fired ETB, now he's about to hand back the bank to the original owner(Adenuga)--- I hope with a letter of apology, then today, the Federal says they're removing petrol importers from the list of bad debtors.

I'm sure with a month, cement importers, too would be removed, then okporoko importers, then, and then alone would we know who the real debtors are. Unfortunately, Sanusi doesn't seem to care about accurate fact, he just wants to shoot these "corrupt CEOS" if he has his way. Sadly, apperentl smart folks like you believe him.

So, the point you and texaspette should know is that you have been fooled into believing Sanusi's fictions are FACTS

ndu_chucks:

naijaking,

i don dey begin to think say your motives are quite suspicious. sanusi tell us the following a few days ago "we discovered that 75 per cent of the non-performing loans were given to the companies directly related to the CEOs of those institutions."

you talk say de 75% no be good figure, others tell you some of de findings of auditors, you come here dey talk say those are not facts until court determine so.

make we even assume say, na only 0.1% (i.e. N1billion) or even less, wey de ceos give their own personal companies as loans; will you publicly and categorically condemn such an action by any ceo?

if you no fit condemn that act but dey jump from thread to thread, accusing sanusi of one ting or de other; we no go get choice but to tink say you sef, or ya relative dey among de accused ceos.

Despite all the changing evidence, you're still out there shamelessly fronting for Sanusi. He told us that some of the banks have more than 75% bad debts, now we know that most of those debts are by the goverment or petrol importers who are being heavily owed money by the same goverment. You're not at all embarrased by this inaccuracy

Why would you change the subject to the allegation about CEOs giving money to their family members.?

texazzpete:

As if to buttress my point that it's only intellectually challenged Nigerians that are in the fight to discredit sanusi, It's a shame that even the original poster has issues comprehending simple English. The article he quoted makes no mention of fuel importers being removed from CBN debtors' list. All it says is their names have been removed from the list maintained by EFCC for investigation.

DEATH!!!

Thread Closed!

Naijaking should now apologise to the house for creating an unnecessary thread.