President, Governors, others may now operate foreign accounts

[b][/b]Barring last minute change of mind by the National Assembly, the President, governors and Ministers will soon be allowed to operate foreign accounts. Others that could own foreign accounts are members of the National Assembly, House of Assembly members, commissioners and other public officers. The proposal is part of the amendments to the 1999 Constitution by the administration of President Goodluck Jonathan. With this proposal, such appointees like the Minister of Finance, Mrs. Ngozi Okonjo-Iweala, his Trade and Investment counterpart, Dr. Olusegun Aganga, Minister of Power, Prof. Barth Nnaji and other Nigerians from the Diaspora coming home to serve can maintain their foreign accounts. But anti-graft agencies through the Financial Intelligence Unit will be able to monitor such accounts to prevent public officers from engaging in money laundering. The Presidency may have decided to amend Part 1, Section 3 of the Fifth Schedule to the 1999 Constitution which bans public officers from operating foreign accounts, it was learnt. The Section reads: “The President, Vice-President, Governor, Deputy Governor, Ministers of the Government of the Federation and Commissioners of the governments of states, members of the National Assembly and of the Houses of Assembly of the states, and such other public officers or persons as the National Assembly may by law prescribe shall not maintain or operate a bank account in any country outside Nigeria.” A source, who is central to the coordination of the proposed amendments, said: “This is one of the issues we are throwing up for debate as part of the new constitution amendment process. “The Presidency has decided to amend the Constitution to own foreign accounts in line with global best practices. “All over the world, public officers are now allowed to operate foreign accounts. Since we live in a global village, Nigeria cannot be an exception. “Also, many Nigerians in the Diaspora are willing to return home to assist the nation in its development but this Section in the Fifth Schedule has been an hindrance. “When they come home to serve, they always leave their families abroad and it is always difficult for them because they used to close their accounts and run from pillar to post to remit upkeep allowances and school fees of their wards. “You do not need to invite professionals abroad home and allow them to suffer.” Replying a question, the source also added: “By allowing operation of foreign accounts, the presidency is also trying to liberalise the environment to prevent money laundering by public officers. “With the present law in place, many public officers have been operating foreign accounts secretly using pseudonym or some agents. “That is why you see our public officers stashing funds in coded accounts abroad. Many of these ex-governors, ex-Ministers, Senators and public officers have died without any access to such foreign accounts by even their immediate family not to talk of the Federal Government. “There is a case of a former governor with $6million in a coded account in Cayman Island but nobody in his family knew about it. With time, the money will be forfeited to the host country. “Once public officers are now allowed to operate foreign accounts, all the host countries of looted funds will no longer allow coded accounts and the government thorough anti-corruption agencies will be able to monitor all these accounts of public officers, their relatives and associates from time to time. “The essence is to lift the veil off these public officers with secret accounts abroad.” The source added that the government will however “strengthen Financial Intelligence Unit of anti-corruption agencies to monitor all these accounts in collaboration.

THE NATION, Tuesday, August 09, 2011




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