He must finish what he started,no he won't go

texazzpete:

Every day you people come here blabbing about the need for a Revolution. Now someone takes the bold step to get rid of some miscreants who were leading us down to ruin and you people are criticizing him. Would you rather wait until the banks
You Nigerian sicken me with your petty paranoia.
As my friend Chxta says, "The South says the banking reforms is a northern agenda against the south. The North says Civil service reforms is a southern agenda against the North. With this kind of mentality, how do we progress in Nigeria?"

Well said, my brother. A man comes in to clean the rot in the system, and all of a sudden Nigerians want to crucify him, WTF?

ocelot2006:

Well said, my brother. A man comes in to clean the rot in the system, and all of a sudden Nigerians want to crucify him, WTF?

For Gods sake, which rot are we talking of that other nations of the world have not witnessed. The financial kaput was a world wide epidemic.
We have been anxious to hear from the CBN to tell us that these sacked CEOs embezzled share holders money but the aforementioned wasnt the case;instead these CEOs are being ridiculed because of accounted loans that are not performing.
There is no doubt that Sanusi has failed woefully in his first major assignment as the CBN chief.

The problem in this country is the fact that we never see into the future. Sanusi has never been a governor material and will never be. He may have managed First Bank but I doubt his ability to manage CBN. He is just a disgrace to the banking sector.

dis is also in my mind,coz we dont just want d progress of our nation

It would have sounded better if you had said "corruption must go". Dont you agree?

Crude Oil:

It would have sounded better if you had said "corruption must go". Dont you agree?

Everybody wants corruption to go;unfortunately, Sanusi is doing a horrible job.

Let Sanusi Go.

Your opinion can not hold water, he is going in 2010.

Great Forces from Heaven are sanitising Nigeria

Corruption is going gradually and will soon be gone for good.

Let him finish what he has started

dove24u:

Let him finish what he has started

Just maybe.

He should stay and feel the pangs of the catastrophe he has cost the Nigerian economy.
After that, we will stone him out of there!!

Let him finish?
Can we start identifying any benefits that have stemmed from Sanusi's policy?
Can we quantify how his policy is having a positive impact on the economy?

kai, wa la hi ta lai.

I wonder why everything is just not working right for Nigeria, a nation with as much as 200 million citizens. Just think about the simplest thing that would

work anywhere(electricity) has always been a failure in this country. Ha ha, Nigeria this, Nigeria that, can't Nigerians just change,

They Don started again,

MUNEER2:

I wonder why everything is just not working right for Nigeria, a nation with as much as 200 million citizens. Just think about the simplest thing that would

work anywhere(electricity) has always been a failure in this country. Ha ha, Nigeria this, Nigeria that, can't Nigerians just change,

Let him go so that we can have peace in this nation.

His wahala is too much. He should go & start his own bank where they wont steal money since he is a 'saint'.

Nonsense.

There are two cardinal aspects of this mess that the CBN Governor got disastrously wrong. You see, when laws, regulations and procedures are laid down, the purpose is to avert anarchy. If we continue to act with disregard for regulations, we will continue to be a disjointed and directionless society. That forms the plank for the emergence of a failed state.

The two critical bits that Sanusi got wrong: Regulatory Discretion & Procedure and Approprition of Public Funds.

If you are familiar with the Fundamentals of Regulatory Oversight in any industry, you will be aware that the cardinal function of the Regulator is to guarantee a healthy industry and in so doing, the Regulator has various tools of intervention. The tools are to be excercised progressively in such a manner that correction of anomalies is effected with minimal disruption to the system. The ultimate sanctions are only reserved for irreversible situations and even at that ONLY after the application of intermediary measures which have failed.

Sanusi did not apply any intermediary measures whatsoever before wielding the big stick and he failed to note the likely ripple effects of loss of local and international confidence and run on deposits that attend such public shows of regulatory might.

It is therefore clear that as a Regulator he acted hastily, and without discretion, which is scandalous considering that this is a post he has held for less than two months. Clear measures availed him in taking gradual steps to correct the anomalies.

Furthermore a Regulator must be impartial - and in this he has manifestly failed by implicitly giving the other banks more time to tidy up their books while dragging the first lot into the mud.

The Second major point is Appropriation of Public funds.

Under the Constitution of Nigeria ALL FUNDS - HOWEVER SOURCED, PRODUCED OR DERIVED, accrue FIRST, AND AUTOMATICALLY TO THE CONSOLIDATED FEDERATION ACCOUNT, AND NO FUNDS MAY BE WITHDRWAN THEREFROM WITHOUT APPROPRIATION FOR SUCH PURPOSE BY THE PARLIAMENT (NATIONAL ASSEMBLY).

Accordingly, once monies are printed (which is at all events a questionable approach to creating wealth) such monies accrue first to the Federation Account and must be appropriated before being touched at all.

Sanusi made two infantile arguments in his attempt to evade this. He stated that it was not an expenditure but a loan. This is irrelevant because the Constitution does not make a distinction. It states that ALL monies must be appropriated before being withdrawn. Thus it does not matter what you are withdrawing the money for: it must be appropriated before being withdrawn. Secondly he stated that the money was not from the Federation Account. What a laugh - the law states that ALL monies should go to that account!

His action sets a very dangerous precedent: In future the CBN Governor may print trillions of naira and disburse as he pleases since in his argument, its a loan. So perhaps he can print 100 trillion naira and give out as loans without the proper process of legislative approval? Also, if the other banks he is still auditing are found to need help, what will he do? Go back to his back yard and print more billions?

Aside from the illegality pointed out above, as an economist he should be aware that such reckless printing of monies is a key cause of inflationary trends within the economy.

Recall that both the US and UK effected similar bail-outs last year at the height of the recession. It may interest you to know that in both societies the actions were carried out by the Central Banks through Acts of Parliament.

So you see, my dear brothers - we cannot carry on with our scattered, gra-gra approach to doing things just any how in this country.

Deep Sight: The two critical bits that Sanusi got wrong: Regulatory Discretion & Procedure and Approprition of Public Funds.

If you are familiar with the Fundamentals of Regulatory Oversight in any industry, you will be aware that the cardinal function of the Regulator is to guarantee a healthy industry and in so doing, the Regulator has various tools of intervention. The tools are to be excercised progressively in such a manner that correction of anomalies is effected with minimal disruption to the system. The ultimate sanctions are only reserved for irreversible situations and even at that ONLY after the application of intermediary measures which have failed.

Too right!
From day one when Sanusi reached for a military decree to dessimate the 5 banks, it was clear that we had an agbero rather than a technocrat.
The damage he is wreaking will take several years to fix. As if the country doesn't already have enough problems.

citizenY:

Any bigot who points a finger at Sanusi should realise that the other four are pointing at him
since his own "people" are also employed by CBN ---  to make sure it works.

all ten finger and ten toes are pointing to Sanusi. This is not about bigotry - We just want to see how these actions are progressing the economy. Please show us one economic indicator that has improved since this take over.

Beaf:

Too right!
From day one when Sanusi reached for a military decree to dessimate the 5 banks, it was clear that we had an agbero rather than a technocrat.
The damage he is wreaking will take several years to fix. As if the country doesn't already have enough problems.

Not just an ill-educated agbero, but one claiming religious piousity.
Sanusi should be in jail for not what he did to bank CEOs, but what he did to banking as an industry, stock trading as a legitimate business, and capital investment as a whole.

I am really tired and sorry for this guy, what a pity

I hope he realises that this tax is just too much for him and resign

Someday we will arrive. But for now me personally thinks that taking hasty and sweeping decisions on certain issues that affects us all is not going to help us.

Someday we will arrive. But for now me personally thinks that taking hasty and sweeping decisions on certain issues that affects us all is not going to help us.

Citizen Y:

If indeed you understand what the is expected of a CBN governor, you wont make the utterances you are making.

For your information, I work in a bank; in every organization, there is something called 'procedure'; you cant just wake up overnight & wield the big stick, it may interest you to know that there are worse banks standing than the 5 Sanusi decided to use as sacrificial lambs; all moves he took did not follow the provisions of BOFID, CAMA or the rule of law; so the issue of esusu does not arise here.

This thing should have been done in a way & manner that every one would see that fair play & justice where employed;we are not barbarians,we are civilized people & we are in the 21st century!

It pleases my heart to know that most people on this topic have seen the adverse effects of his actions;you may need to go & read the provisons of BOFID & CAMA on the things your beloved CBN governor has done & see for yourself, whether he followed the rules;he is pointing accusing fingers at others,yet he couldnt do the right thing.

Its all a matter of pot calling kettle black, what a pity!

I think his hands are tied.

He has faults but i think he should remain!

@ biina & Sagamite:

Save all your defence of Sanusi Lamido;there is no person on this forum that is not educated enough to reason & understand what is going on or what has gone on.

Since you are not lawyers or judges, allow the courts to determine the culpability or otherwise of Sanusi Lamido;you guys do not need to hold brief for him, all these matters are in court,hold your peace!

I rest my case.

@biina & Sagamite:

The defence you guys are putting up for Sanusi Lamido is needless, since there is no one on this forum that is an illiterate; we all know what has happened & are entitled to our opinions, so you guys should stop making it look as though no one else has heard all his supposed 'reasons' for his actions and you are the only two that know.

Moreso, these are issues that are already pending in courts, since you guys are not lawyers or judges, allow the law courts to prove Sanusi Lamido correct in the way & manner he has carried out his 'selective cleansing' of the banking industry.

Thank you!

REASONS Y HE MUST GO


Curiousity and emerging central banking style must also have informed the approval of Oceanic Bank's annual report by the CBN, only for the regulator to turn back a few days later with damning figures to justify the bank's take-over. In the bank's 2008 accounts as duly approved by the CBN, the bank had an asset base plus contingency liabilities of N1.6 trillion, an asset base of N1.246 trillion, a deposit base of N835 billion, shareholder funds of N217 billion, and about N118 billion in earnings. By several standards this would be an excellent result. But Sanusi had other plans. He said the bank's dismissed CEO, Mrs. Cecilia Ibru, "begged" him to approve the accounts while outstanding issues would be sorted out during the audit. He agreed! Then he turned around and sacked her days later!

Rockson Engineering is one of the companies that have been tarnished by CBN's publication of the list of bank debtors. The company however blames the CBN for its predicament. It argues that aside from the fact that its debt is lower than the published figure, the company has outstanding $700 million CBN-issued Letters of Credit for power projects executed for the Federal Government. The company wondered why it had been impossible for the CBN to identify its own instruments, as a proper audit would have saved the company the embarrassment. Or was the CBN more interested in pushing out an alleged huge toxic loan figure than in detailed facts?

Sanusi has warned the banks' boards to behave or be dealt with. Many view this threat as a throw-back to the military era, meant to intimidate and silence vocal elements on the boards. They view such threats as unwholesome, coming from a regulator. This pattern also tallies with the allegation that the CBN and EFCC have been arm-twisting the affected banks' chiefs to sign-off their interests in the banks in order to give the CBN an easy ride in implementing its plan of selling off the banks to "foreign investors".

The tsunami has also caught up with vocal elements on CBN's board, including former CIBN President, Mrs. Juliet Madubeze, and radical economist, Professor Akpan Hogan Ekpo, who have been forced out due to Sanusi's reported tendency of brooking no opposition.

It has been noted that almost all the charges against FinBank's former chief executive, Mr. Okey Nwosu, are based on doctored returns to the CBN. While sources close to the CBN claim that the measures against the 14 outstanding banks would not be as damning as those already taken - maybe because the cherry picking has been completed - it remains to be seen how most of Nigeria's banks can escape the charge levelled against the former FinBank chief.

Many have noted that in all his calculations, Sanusi has apparently given little or no thought to shareholders of the affected banks. He seems excessively preoccupied with shopping for "core investors" to recapitalize the banks. As he put it, "Once these banks are stabilized and it is time for things to move on, our preference is for these banks to have a core investor that will run them professionally, " In an era where millions of Nigerians are now shareholders of banks, thanks to the consolidation scheme, to treat their interests and genuine concerns with such levity is very unsettling. For one, it will definitely have adverse effects on future public offers and rights issues.

President Barack Obama has injected over $700 billion as stimulus funds to shore up corporate America. Bank of America and Citibank were among the beneficiaries of bail-out funds. The entire process was well coordinated, transparent, and properly communicated. As a consequence, no distortions were witnessed.

In re-appointing Prof. Ben Bernanke as Chairman of Federal Reserve Bank, Obama said, "Ben approached a financial system on the verge of collapse with calm and wisdom." Can the same be said of Sanusi? Indeed, given the apparent contradictions that have pervaded his interventions, the germane question may yet be: Can this man be trusted? Only time will tell.


[Now, How Do We Trust Sanusi ?

Please, before Sanusi goes
lets give him a chance of SACKING
Yaradua from office.
Atleast, he is got the power




Nigeria Is Blessed.