₦airaland Forum

Sanusi Should Not Have Been Made CBN Governor
Actually Lamido Sanusi should not have been appointed Governor of the Central Bank of Nigeria (CBN). The CBN is the main regulator of Nigeria's banking industry. This means that they issue rules to guide; they check the activities of, and they also have the power to sanction commercial banks. At the time Sanusi was appointed CBN governor by late President Yar' Adua, he was First Bank's CEO, and basic corporate governance rules ought not have allowed that appointment. It is inappropriate to move straight from being a player to being a regulator for several reasons. As the regulator, you now have the power to preside over over the audit of your own activities in your former organisation, and it is well known that no one should be allowed to audit himself. As a regulator, you would also have the power to channel lots of favors to your former organisation including overlooking their infractions. For these reasons, most advanced economies would not allow a player to become a regulator until at least ten years after the person has ceased being a player. Sanusi's appointment as CBN governor was therefore wrong, just as it was wrong to move Emefiele straight from Zenith to CBN; but Emefiele's case is another topic of its own.

He Was Ruthless
Once Sanusi became CBN governor, it seemed he already made up his mind to deal with some of his former competitors. He immediately sent examiners to certain banks - Intercontinental, Oceanic and a few others. Within a few weeks, the examiners concluded that Intercontinental Bank had huge negative shareholders funds. This was a result of the fact that many of their big risk assets was classified as loss even where they were not actually lost. Also, to get an appropriate value for Intercontinental, their real assets would have needed to be revalued: real assets were typically recorded at cost but their values increase significantly over time. With the hurried nature of that examination, such revaluations were apparently not done.

It seemed Sanusi's mind was made up to deal with his former competitor Erastus Akingbola and he did that ruthlessly. He sold Erastus' Intercontinental Bank to a much smaller bank. It was during the time of global economic crisis: many of the big banks across Europe and America had to be bailed out by their governments and allowed to survive. But in the case of Intercontinental, Sanusi never gave Erastus any second chances. Intercontinental Bank had a huge customer base and enormous goodwill, and a bailed out Intercontinental would have been able to fight their way back. But Sanusi never gave Erastus and his Intercontinental any second chances. He was ruthless.

Karma Will Always Visit
Karma is an automatic visitor. If she has not paid you a visit, get ready to make her welcome, for she is surely on her way. People will always reap what they sow and Sanusi will not be different. As his emirate is broken, preparatory to his final dethronement, perhaps it all comes down to Karma

Hmm.

The south should stop allowing themselves to be used by the North.

Mmmmm

Ah ah ah.. seems the prophecy has come to pass

Sai babarism is bad

cc lzaa gmbuharii

See prophesy

Mumu guy

It was a huge blow to the shareholders and nigeria's economy. intercontinental bank was among the best performing banks at the time. Oceanic was also rolling out some interesting bank products among its competitors. Smes have been adversely affected since sanusi's policy collapsed lots of banks.

ezugegere:
See prophesy

The thing weak me