Opinion
Reflecting on FRC Transparency by Entities
BY ABUBAKAR YUSUF.
The Financial Reporting Council FRC under the Renewed Hope Agenda of President Bola Ahmed Tinubu has frowned against the non transparent, accountable practices of the existing companies in Nigeria, hence creating suspicion among companies operating within the country and the foreign ones .
Aside all this non corporate conducts , government was simultaneously been denied the statutory revenues on the operations of the both local and foreign companies or partners, as well as paint a gloomy image of the country before the international communities.
The new leadership under the Executive Secretary, Financial Reporting Council FRC under Dr Rabiu Onaolapo Olowo has perfected plans to address without further delay by putting in place necessary machinery to address the lingering and unethical conducts that had dented the image of the country.
This was been done through advocacies, seminars , symposiums, talkshops and workshops as well as awareness program through paper presentation at seminars to nip in the bud or reduce to the barest minimum of the unbecoming act that had painted the country negatively before the international communities.
Coming at a time when the country’s is seeking for wholistic reforms of its revenue based through payments of appropriate taxes and revenues, with the current ways of operation , if not reversed and reconfigured, will end up not doing the country any good .
These negative development has affected the investors confidence and output due to falsified accounts by companies either through under declaring their profits or over declaring them through falsification.
According to the Executive Secretary ..
“Nigerian investors have lost billions of dollars due to companies falsifying and deliberately overstating their accounts, according to Rabiu Olowo, executive secretary/CEO of the Financial Reporting Council of Nigeria (FRCN).”
“He disclosed this while delivering a paper titled “Proactive Regulation: A Catalyst for Preventing Audit Failure” at the 2024 audit summit – stakeholders’ engagement in Lagos.”
“Olowo emphasised that these fraudulent practices have led to the downfall of numerous companies and caused severe financial damage to investors.”
” Olowo highlighted the need for stronger oversight and accountability in the financial reporting and auditing sectors. He pointed out that similar scandals have occurred globally, referencing notable financial collapses such as Enron, Lehman Brothers, and more recently, Wirecard and FTX. These incidents, he said, underscore the devastating consequences of corporate greed and audit failures.”
“Nigeria has not been immune to such audit failures. Between 1990 and 1994, the country’s banking sector alone lost over N6 billion ($42.9 million) due to fraud. Cases like the collapse of Afribank Plc in 2011 and the Cadbury Nigeria scandal between 2002 and 2005 revealed significant shortcomings in the auditing process, with auditors accused of facilitating the falsification of accounts. These failures not only resulted in substantial financial losses but also eroded investor confidence in the Nigerian capital market.”
“The consequences of these audit failures extend beyond financial losses. They have led to a loss of confidence in the capital market, a credit crunch, capital flight, and a significant drop in market capitalisation. For instance, the market capitalization of the Nigerian Stock Exchange fell from N13.5 trillion to N4.6 trillion in 2009. Additionally, pension funds lost about N2 billion in 2009, and investors became wary of the reliability of corporate financial statements.”
“Adding to this, Olowo emphasised that accounting and auditing are professions built on confidence, requiring the courage to uphold what is right, even when unpopular. This integrity is crucial to maintaining society’s trust in audits and auditors. He noted that audit reform must address not only the technical failings but also the human elements that contribute to audit failures. According to Olowo, it’s essential to distinguish between the failings of governance and management and those of audit practices. He stressed that laws alone cannot drive compliance; instead, creating a conducive social context is necessary to encourage ethical behavior and adherence to rules.”
“Olowo referenced legal scholars who argue that while laws promote prosocial behavior, their effectiveness depends on the social conditions surrounding them. He reminded stakeholders that genuine reform must focus on people as well as rules, as “only people, not rules, can make good things happen.” To this end, Olowo urged those present, both in person and online, to deliberate on strategies to prevent future audit failures in Nigeria, reiterating the adage that prevention is better than cure.”
“In response to these challenges, Olowo, who assumed office on October 16, 2023, has launched a transformational agenda for the FRCN. The agenda, termed “DOSE” (Digitalization, Operational excellence, Stakeholder Engagement, and Enforcement), aims to revitalise the Council and ensure adherence to best practices in financial reporting, auditing, and corporate governance in Nigeria. The FRCN plans to enhance compliance with the FRC Act 2011 and restore investor confidence by ensuring that financial statements from Nigeria are credible and reliable.”
“Olowo’s vision is to position the FRCN as a leading financial reporting regulator in Africa, capable of standing alongside its global peers. By holding corporations and individuals accountable, the FRCN aims to restore trust in Nigeria’s corporate reports and governance, aligning with President Bola Tinubu’s renewed hope for the nation’s economy.”
In line with amendment of its act , reforms and ongoing repositioning of its regulations in line with the government position on the new tax reform, no doubt the previous order will become a thing of the past .
Governments at all levels is geared towards mobilisation of adequate funds to mitigate the economic, social and Infrastructural development of the country yearning for more attention.
The moves when executed will reform the system, restore image loss of the country and sanitize the operation of both local and international companies operating in the country.
Written BY ABUBAKAR YUSUF on yus.abubakar3@gmail.com.
There is something common in politics and with Politicians in this clime, it stems from the arrogance of power, it stinks to high heavens, it is shit in its worst form; that a few men and women play God, they assume that their egocentric predilections represent the collective will, and they undermine the Law as well as the mindset of the electorate. They move to Party B with the mandate given to Party A by the People. And they Cross-carpet or decamp to another Party without deference to the provisions of the Law.
Just yesterday the entire Political Structure in my home State of Delta was led by the State Governor Mr. Sheriff Oborevwori from the Peoples Democratic Party PDP to the All Progressive Congress APC, that tsunami of sorts happened without firm reasons but the usual refrain that ‘they want to align with the centre for more democratic dividends to come to the State’. I wouldn’t have opted to do this piece had the All Progressive Congress APC made great feats of the States under its watch, alas President Bola Ahmed Tinubu (PBAT) and his followers are masters of deceit, subterfuge and perfidy. They spew soulless propaganda, having no soul they lack moral margins, they lie about everything and they destroy the moral fabrics of our nation. They are shameless, spineless and have no scruples.
Where is the Soul of the men of power who dumped the PDP just yesterday for the APC in Delta State? They have chosen to stand on a Blood Stained Mandate. They have elected a Hunger ridden mandate. They have chosen a corruption riddled mandate. They laud an insecurity enabling mandate. They salute a nepotistic mandate. And they dance to a frustration festering mandate. Had the PBAT led APC at the Centre made Nigeria better than it met her, I would applaud Governor Sheriff and his fellow travelers, but the truth is what consistently the APC, including Governor Sheriff Oborevwori and his men have chosen to trample upon, nay the Truth is that under the PBAT led APC Government, Nigeria is today worse than it was yesterday.
What logic situates the movement of the Delta State Political Structures from the PDP to the APC at a time when Nigerians feel the most unsafe in their homeland? When the States of Plateau, Benue and Bornu have become theatres of human barbecues. Is it not stupidity to elect a blood stained and a blood soaked mandate over being in a Party in the opposition?
Is it not a show of shame to elect a mandate that has left the masses of the people in poverty, despondency and want over fueling the fervour of an opposition seeking a new deal and a new Republic of hope for the people? Which sincere and people oriented leader would dump the opposition for a Party that is absolutely rudderless and progressively multiplying poverty? Only the soulless and the shameless, surely.
The fulminating shenanigans that undermine the monstrous corruption of the APC Government, the unending Infrastructural decay, the unhinged failure of the energy and the power sector, the pervasive hunger, disease and pain in the land, and the murderous gangs killing and maiming citizens with reckless abandon defines the Olympic soullessness of the Delta State Political Merchants who have elected a Blood Stained Mandate over matching for the redemption of Nigeria.
I believe that it is manifest stupidity to desert the opposition at a time that our nation is in dire straits and badly craving vibrant opposition. I believe that it is a show of shame to decamp to a Party and a Government that has failed to protect lives and property.
And I hereby lampoon with unbridled vehemence all those who have chosen to stand on the blood stained and blood soaked mandate that PBAT epitomizes.
Hmmm, so suddenly my home State is now APC, interesting. A class of less than 300 people nay ‘leaders’ met at the Government House in Asaba, and in one fell swoop changed the political colour, temperature and identity of the State, interesting. My People, this One-Party State wey APC and PBAT dey push and pursue na to what end? PBAT and his Party the APC through this manifest antics of State capture have tied democracy to the stake, and are daily through acts of impunity, lawlessness, and braggadocio shooting violently at democracy, I pray they do not shoot this jingleover democracy to death. I pray that they understand that One Party State is the precursor to Authoritarian Rule and Dictatorship. And I pray that they are not oblivious of the politico-social tendencies of the Nigerian State, a State that cannot and has never been captured by any one tendency. In any case, before they completely murder democracy, it must be on record that someone warned against the Stupidity, against the Show of Shame and against the Shenanigans of our Political Operators.
Call me names, but let it be on record that when the elders and the hoard of egotistic political merchants that predominate our political kaleidoscope fiddled with the poisoned chalice of sycophancy and hypocrisy, I wasn’t quiet. Let it be on record that when they ate poisoned bread baked with blood stained and blood soaked mandate, and when they chose to dance on the tombs of the dead across our space who were unlived because government failed to protect them, that someone called out the discerning, and warned against the omnious times that they make certain.
The sequel to this patriotic effort shall most certainly tell more, reveal more and foretell the pitfalls that a most arrogant and self-seeking political class weave in the path of our ‘democracy’. We have got some difficult days and difficult times ahead.
Call me the Wailer, that’s ok, for I Wail that Nigeria may become Great.
Prof Chris Mustapha Nwaokobia Jnr
Convener COUNTRYFIRST MOVT. A Good Governance Advocacy Group.
It was the famous American former President, Abraham Lincoln who noted that the people when rightly and fully trusted will return the trust.
Thus, when the trust level gets high enough, people exceed apparent limits, discovering new and awesome abilities of which they were formerly unaware.
When trust is placed on those who occupy public office, they need to work had to continue to justify the trust in the people they preside over.Appointment into office is premised on the facts that the appointee is capable and will be of immense values to the realization of the aspirations of the government in power.
Thus, with the coming of President Bola Ahmed Tinubu into office, series of strategic appointment of respected and credible niger9ians were made thereafter.
President Bola Ahmed Tinubu had the qualities of appointing the right people in the right position, having judged their qualification and capabilities. This is a unique ability which good leaders to possess in abundance.
It was this sense of judgement that made him to appoint Chief Adegboyega Isiaka Oyetola CON as the current minister of Marine and Blue Economy.He was the former chief of Staff to the former Governor of Osun State and later became the governor of the state.
Whereby he displayed integrity, self-awareness, courage, respect, compassion, and resilience. This role allowed him to exhibit his administrative shrewdness and dedication to the advancement of the state.
During this time, he played a critical role in implementing policies and initiatives aimed at improving education, healthcare, and infrastructure.He was later appointed minister of transportation by President Bola Tinubu on 16 August 2023, but redeployed four days later to the newly created Ministry of Marine and Blue Economy.
Despite the newness of the ministry, his leadership abilities and acumen as well as his professional qualification eminently qualifies him for the arduous job, for he pursued his education with diligence, earning a degree in Applied Accounting from the prestigious University of Lagos.
With a passion for learning and a keen eye for effective management, he embarked on a career that would see him excel in various sectors.
According to the World Bank, the blue economy is the “sustainable use of ocean resources for economic growth, improved livelihoods, and jobs while preserving the health of ocean ecosystem.”
European Commission defines it as “All economic activities related to oceans, seas and coasts, the realization that Nigeria has vast ocean ecosystem justifies the creation of the ministry.
The ministry’s four action pillars for its first four years (2023–2027) are: promoting sustainable blue economy investments; transforming port operations; enhancing port infrastructure; and strengthening blue governance.
Under Oyetola’s leadership, the ministry targets attracting $2 billion in investments in offshore renewable energy by 2025; establishing at least five new fish processing plants by 2025 and at least two new coastal tourism sites by 2026; and creating three million marine and blue economy-related jobs by 2027.
The importance of this ministry lies in the fact that the life of the planet and correct functioning of ecosystem services are sustained by marine ecosystems.
The blue economy thus has the potential to achieve a sustainable development which does not compromise life on Earth tomorrow.
Thus, his appointment eminently justifies and in line with the aspiration s to make Nigeria a great nation.His achievements in office are attributed to maritime security and safety, port operational efficiency, infrastructure rehabilitation, connectivity and blue economy development.
The Minister, who unfolds the strategic plans of the Ministry and the Agencies which would focus on maritime security, safety, ship building & maintenance, maritime governance, port infrastructure rehabilitation, capacity building, among others.
Under his leadership, the Nigeria’s territorial waters became safer especially in the Gulf of Guinea (GoG) in the past one year, with the maritime sector recorded zero incidence of piracy and maritime terrorism for more than one year.
Ports were upgraded and his ministry worked assiduously to actualize the implementation of the National Single Window at the nation’s ports to facilitate trade and competitiveness of country’s port system.
The value his outstanding leadership will also impact on the acceptability and reelection of the present administration in 2027.
We Commend President Bola Ahmed Tinubu on the confidence reposed in and the subsequent Appointment of Chief Gboyega Oyetola as the Minister of the Marine and Blue Economy.
He is honest and transparent in his stronger determination to reposition the sector as the leading source of revenue to the country and will surely do more based on his past robust antecedents. We thus call on all Nigerians to support his vision and pragmatic leadership in the office, so as to enable impact the lives of many more citizens of the country.
Dr K.M.Tugga is an Abuja resident and public affairs commentator
By Rinret Jennifer Mwarap
The unrelenting massacre of citizens in Plateau State has reached an alarming level. While the government claims to be taking steps to restore order, the reality on the ground tells a different story one that feels like nothing meaningful is being done.
It is heartbreaking to see our loved ones butchered without cause. The questions torment us: What have we done wrong? Who have we offended? Where did we go astray? Must we continue to endure this suffering for no justifiable reason?
The killing of innocent people in Plateau must come to an end. The government and security forces cannot afford to look away. Their responsibility is clear they must act swiftly and decisively to bring the perpetrators to justice, for the sake of the innocent victims and the children left behind.
I call on the Governor of Plateau State to rise to this challenge. Take bold and immediate action against those who seek to destroy our land and shed innocent blood. Let them face the full weight of the law.
This feels like a nightmare—how did we get to the point where the same Plateau where I once slept peacefully with both eyes closed is now a place where even sleeping with one eye open feels unsafe?
Where is the peace in our “Home of Peace and Tourism”?
When will our tears dry? When will justice prevail?
If we truly seek peace, then justice must be non-negotiable.