The reps should go and check the CBN act they signed into law then they will SHUT UP fast.

Nigeria has always been a joke,

I know that proper steps were not taken before the CBN injected 400 billion naira into the banks, but when had the right steps ever taken in Nigeria?. Sanusi was following past precedence. Why did the house not ask Soludo, where he got the billions to bail out Intercontinental bank last year?. where did CBN get the money it places in the Expanded discount window.

It is now that a National assembly who collects billions with little work to show for it beside the yearly ritual of appropriation have woken up from their 10 year slumber. Quote @wirines.

Thank God we still have some people in NIGERIA that tackle issues with Logic.

Where are the so called Legislator when the Banks were going Moribound (sitting and passing irrevant bills that suits their GODFATHERS and their ego)

Am 100% in support of SANUSI with the way he handled the issue.NIGERIAN'S WE ARE GETTING THERE.

Just watching Sanusi on AIT, its refreshing hearing from the horses mouth!! nigerian rubbish, they cant even go through the CBN act or whatever its called to explain to readers what the situation is

The CBN does not need any permission from the lawmakers to borrow banks money, that is what they are there for!

Don't mind those house of representative people.

lol, lets watch as the drama keep unfoldin, who knows, these rep might be debtors also,

otokx:

The reps should go and check the CBN act they signed into law then they will SHUT UP fast.

Precisely !!!! Many of our reps are childishly displaying the type of mindless and self-centred belligerence that has kept Nigeria down. The Central Banks of virtually all nations in the World are empowered as "the lender of last resort" to disburse money to their nation's financial institutions when situation neccessitates it !!!!!

Sanusi , to me , is  on solid grounds with what he has done so far. Mistakes have been made but they have been procedural and not illegal in my layman opinion although I stand to be corrected.

I need answer to these questions:

1 Why was the so called examination report not shown to the Board of the Banks?

2. Why were they not giving the option to re capitalize or rectify whatever CBN wanted?

3. How did America, Britain and other Western Countries handle their banking crisis?

4. Why inject public fund (N400 Billion) without Legislators approval?

5. Is General Lamido Sanusi committing the same offence (Due process in giving out loan) against which he prosecutes the bank executives?

Chizua:

I need answer to these questions:

1 Why was the so called examination report not shown to the Board of the Banks?

2. Why were they not giving the option to re capitalize or rectify whatever CBN wanted?

3. How did America, Britain and other Western Countries handle their banking crisis?

4. Why inject public fund (N400 Billion) without Legislators approval?

5. Is General Lamido Sanusi committing the same offence (Due process in giving out loan) against which he prosecutes the bank executives?

Good questions
Mostly your 3rd question to those who think is right for him to force Islamic banking to us jst becoz US,UK and other western banks are practicing it,

It looks like the house of reps have their own agenda. If their multiple commitees and sub commities had been working in the first place they would have been the ones to bring this banking mess to light.

Akanniade:

It looks like the house of reps have their own agenda. If their multiple commitees and sub commities had been working in the first place they would have been the ones to bring this banking mess to light.

I thought as much. They are a bunch of non-performing goons that are fond of accusing people while forgetting that they are failures themselves.

Akanniade:

It looks like the house of reps have their own agenda. If their multiple commitees and sub commities had been working in the first place they would have been the ones to bring this banking mess to light.

GBAM!!!

@ poster,
The CBN has the ultimate power to print money without recourse to the national assembly.
The guy who was saying that it took the congress of America weeks to approve  the 700 billion dollar injection into the economy;
Does America and Nigeria have the same constitution?
Anyway what the US congress approved was Obama's economic policy to borrow money from the Fed Reserve and then use it to re-engineer the economy.what they approved was the content of the economic policy which has nothing to do with Fed Reserve's ability to print money.The money will be put into creation of jobs,creating bigger rail networks,buying up toxic assets of banks,health reforms and lots of things.What the congress approved was the whole economic plan contained in Obama's proposal of re-invigorating the economy by injecting funds.The Fed Reserve never got approval to print money from the congress.The way it works is,as soon as the policy was approved by the government,the government now turned to the ultimate lender(Fed Reserve) which serves as America's central bank to print money bc America has no reserve being in debt of over 1 trillion dollars already.(mind you  they have the advantage of borrowing in their own currency)
It smacks of ignorance and financial illiteracy when somebody in this forum said that it costs 400 billion to print 400 billion.Infact the total amount of printed cash in circulation is always far lower than the total amount of liquidity in the system at any point in time.
No paper money is printed dude.The central bank will just credit the accounts of those banks with the value injected bc every commercial bank in the land maintains an account with the central bank just like every customer of a bank has an account with a bank.for example,if you apply for loan or overdraft and your bank approves it,do they really give you cash?Your account will be credited with the value of the loan electonically.
The central bank controls liquidity in the country by either recalling money by selling bills(paper debts or gilts) or by printing money(lending to banks)
infact the central bank does that whenever necessary and they don't need the approval of the senate to do that.
The problem with Nigeria is that we have illiterates running the government even though they have degrees.

mayrho:

When will dis film end

End ke? This is just Season 1 now

chuckvyl:

The problem with Nigeria is that we have illiterates running the government even though they have degrees.

How did they get those degrees?

House of commotions [color=#990000][/color]

so is the house saying that he shld have waited for them to come back from their vacation before he bails out banks that were on the brink of failing. abeg make them go sit down, besides he saved them the usual shouting, chairs throwing and punches that always follow a debate like this.

house my foot!!

Sanusi bailed out d bank of his own volition.he wooed foreign investors to come and acquire nigerian banks,even after the whooping sum injected into the said banks.all these in an alarming three months in office?someone should smell some rat shit!

Hmmm!, maybe i need to make a phone call 2 help me close my intercontinental account , Go and get your money off the affected banks!

Sanusi must return the money ASAP, They need to embezzle it immediatly without wasting much time

Olong:

Sanusi bailed out d bank of his own volition.he wooed foreign investors to come and acquire nigerian banks,even after the whooping sum injected into the said banks.all these in an alarming three months in office?someone should smell some rat shit!

Now you are seeing who exactly is working against Nigerians.


Europe does not bailout european companies so that outsiders can acquire them, instead they are bailed out to sustain european economy.
USA does not bailout american companies so that outsiders can acquire them, instead they are bailed out to sustain American economy.


Its only those who are wearing tainted glasses that fail to see that something illegal and sinister is being planned either by the north or outsiders or islamic fascists.

I SUGGEST PEOPLE THAT CANNOT SMELL A RAT SHOULD INSTEAD GO FOR A NOSE CHECK-UP 

Death to Sharia
Death to Amerikka
Death to Islamic Banking
Death to Islamic Loving
Death to Islamic nothing
Death to Islamic something
Death to Allah
Death to Mohammed
Death to  etc

we are Nigerians and i suppose we already know whats sort of things we should bother ourselves with
this issues with the Federal house of Reps should not always bother us cos we know what stuff they are made up of!
they are no-good-doers they are there just for thier selfish desires and never after the well being of the nation must he look 'he' look at the Federal might or look at what the CBN is doing to sanitise the banking sector but he as bleeped as he is looks at the 'might' of the house thats been trampled upon
we have ASSU at home cos of their irresponsible acts and the power sector is just a write off then whats the use of the House?
thier house is just UNKEMPT
thanks!

chuckvyl:

The guy who was saying that it took the congress of America weeks to approve  the 700 billion dollar injection into the economy;
Does America and Nigeria have the same constitution?
Anyway what the US congress approved was Obama's economic policy to borrow money from the Fed Reserve and then use it to re-engineer the economy.what they approved was the content of the economic policy which has nothing to do with Fed Reserve's ability to print money.The money will be put into creation of jobs,creating bigger rail networks,buying up toxic assets of banks,health reforms and lots of things.What the congress approved was the whole economic plan contained in Obama's proposal of re-invigorating the economy by injecting funds.The Fed Reserve never got approval to print money from the congress.The way it works is,as soon as the policy was approved by the government,the government now turned to the ultimate lender(Fed Reserve) which serves as America's central bank to print money bc America has no reserve being in debt of over 1 trillion dollars already.(mind you  they have the advantage of borrowing in their own currency)
It smacks of ignorance and financial illiteracy when somebody in this forum said that it costs 400 billion to print 400 billion.Infact the total amount of printed cash in circulation is always far lower than the total amount of liquidity in the system at any point in time.
No paper money is printed dude.The central bank will just credit the accounts of those banks with the value injected bc every commercial bank in the land maintains an account with the central bank just like every customer of a bank has an account with a bank.for example,if you apply for loan or overdraft and your bank approves it,do they really give you cash?Your account will be credited with the value of the loan electonically.
The central bank controls liquidity in the country by either recalling money by selling bills(paper debts or gilts) or by printing money(lending to banks)
infact the central bank does that whenever necessary and they don't need the approval of the senate to do that.
The problem with Nigeria is that we have illiterates running the government even though they have degrees.

I think you got your facts mixed up, what you are describing is the Obama Administration Economic stimulus package and what the guy was referring to is the bailout for financial institutions (Wall Street) passed at the tail end of Bush's presidency.

[Quote]September 29, 2008

After a week of intense haggling, US politicians have finally agreed on a bailout plan for Wall Street that will cost the US taxpayer $840 billion.

The bailout was suggested by US Treasury Secretary Henry Paulson as a way of averting financial catastrophe in the US, and by association, the rest of the world. The plan will involve the Government buying distressed assets (mainly products based on mortgage debt that have lost value as US house prices have fallen) from banks.

The idea is that if these “toxic” debts are removed from the balance sheets of US banks, the banks will be able to get back to what they’re supposed to be doing (lending money etc) rather than battling to survive. Basically, if there's no bad debt, there's no credit crisis.[/quote]
Source:

As you can see the problem is essentially the same as the Nigerian banks had  i.e [B]bad debt[/b]. The Treasury Secretary still had to go to Congress (National Assembly) to approve the money to be given to the banks, He didn't "Just credit the accounts of those banks with the value injected".

The man said he printed the money out of thin air. What has "return" got to do with it?

Never changing Nigerians.

zoraro:

I think you got your facts mixed up, what you are describing is the Obama Administration Economic stimulus package and what the guy was referring to is the bailout for financial institutions (Wall Street) passed at the tail end of Bush's presidency.
Source:

As you can see the problem is essentially the same as the Nigerian banks had i.e [B]bad debt[/b]. The Treasury Secretary still had to go to Congress (National Assembly) to approve the money to be given to the banks, He didn't "Just credit the accounts of those banks with the value injected".

Thanks Man, maybe i should have pasted the news for him to read as you did,
The fact that we might not all be Bankers as they claim to be, doesn't mean we are ignorance of the media and wht is obtainable in other nations,
Someone might have the right Intention, but logically with a wrong approach,
They might be need for a bail out for these banks but the approach is wrong to a democratic country as we claim to be. On a Normal circumstances even the president himself is not supposed make decision on a whole N420billion naira and the execution without consulting the House for the appropriation, The CBN is not his father's property for goodness sake.
I know we have a useless legislative arm, but that doesn't mean that we should ignore the due process in getting thing done the proper way. That is why the useless legislatures are there and are being paid for,
If we claim we elected them to represent us then i think there is need to consult them for every appropriation of a Kobo tht belongs to the country whether they are weak or strong.

Who says there was no problem with the 5 banks, if u were an insider you would know there were issues, a bank that continues to take money from the interbank market or the expanded discount window consistently is definitely ailing

The committee chairman on banking in the house of reps read his speech from a paper bearing the letter head of Rockson Engineering yesterday. Rockson Engineering owes Intercontinental over 30billion need i say more

Odede, ur comment about Unitybank is not from well-informed source.I am taking authoritatively, that unity Bank is very liquid.
In fact alot of these new generation Banks would have gone down the drain before it can be unitybank. Findout!

I tot sanusi said he printed d money,so which y return the money to d treasury.I just hope one day we won't wake up in a Sharia Country.

anthony16:

I tot sanusi said he printed d money,so which y return the money to d treasury.I just hope one day we won't wake up in a Sharia Country.

Yea he printed the money with N100B.

@@@@@@@@@

now to those slowpoke and son of lazy bastard u have it direct from nairaland

ikeyman speakin

all those cRazy and 419 allowances should be scraped; yall know

till then the nigerians will know yall mean well

docile and lethal baffons in the house

now to those that agree that they aint baffon say [size=21pt]I[/size]

rat posion on the way hahhah to those that say 419 allowances

that cant be possible. All rep those is to sit down and share money, how many of their decision holds

No2Atheism:

Now you are seeing who exactly is working against Nigerians.


Europe does not bailout european companies so that outsiders can acquire them, instead they are bailed out to sustain european economy.

You will hardly find any European Nation you can compare Nigeria with. The credit crunch happened mainly because of careless, imprudent and unethical lending to everyday folks like you and me. If we default enmasse then economies are exposed because our cumulative non-payment  will force banks to stop issuing further credit facilities. Hence credit crunch . This is stupendously different to what we see in Nigeria which has more to do with fraudulent and criminal insider dealing than careless exposure to risk. Cecilian Ibru giving her Son's Nanny 13 billion (around £50 million ) without collateral is not the same as HSBC bank giving me , an ordinary UK citizen, a debt portfolio (Mortgage, credit card, car loan , etc) I cannot manage totalling £180,000 !!!! Haba !!! One is blatant 419 the other is irresponsible banking .

Our bank bosses, along with their cronies, have 419ed depositors to enrich themselves massively . Simple. It is therefore totally disingenous to compare Europe with Nigeria. If there is a chance that the banking leadership hierachry , downward from those thieving CEO's,  is tainted then there is a legitimate arguement for the participation of foreign players of integrity - even if only to destroy the culture of deciet, impunity, insider dealings , criminal collusion and conspiracy within which our bank bosses have worked to regress Nigeria while enriching themselves and their fellow 'insiders'.

At the very least , a half decent CBN Governor must look to 'vary the mix' so that the atmosphere of tacit collusion and conspiracy that led to this mess never happens again. If Barclays Bank operated in Nigeria then it is logical to assume that they will be audited centrally and impartially by the same auditors responsible for its worldwide operation. Sanusi probably calculates that those type of considerations may keep foreign banks 'on the straight and narrow' and compel them to be 'whistle blowers' so that this situation will not happen again. Sanusi may be working towards 'diluting' our banking  culture by attempting to open it up to foreign practices and ethics rather than the enduring situation where a few men and women , because they play both the auditor and the audited , can collude to ordain a dark and decietful modus operandi for our banks that further tarnishes our nations battered image.

Contrast that with how Soludo threatened , with good effects, Nigerian banks with harsh sanctions if they dared to expose the real situation with our 'big' banks and the trouble many were in. Do we not all remember Soludo assuring that "Nigerian banks are sound" and that "Nigeria will be immune to the credit crunch" ?  Soludo's control of 'Nigerian banking big boys/gals club' is why this situation dragged on to this sorry state. Soludo might not have made such a threat - or at the very least many banks would not have been cowered by his threat - if our banking culture was not such a ridiculous 'insider club' more beholden to 'strong men/women' (who are allowed to do as they please to include auditing themselves) than to strong/ethical and diverse practices/practitioners.


There may be method to Sanusi's madness if we bother to look rather than just conclude he is carrying out an agenda. Time will tell.

U see many of us talk as though we do not know that there are laws governing everything done in the land.

For empahsis on this issue:THE CBN GOV HAD NO RIGHT TO EITHER LOAN,PRINT OR GIVE EQUITY MONEY TO ANY OF THE FIVE BANKS;without ratification from the national assembly;whether the house of reps members are all frauds is not the issue;the issue is that the rule of law be followed & relevant acts,decrees concerning the decision of the CBN gov must be followed;you cannot claim to be doing the right thing following the wrong way to do it!
There are questions that abound even with his comment that he printed the money:
1.Who gave permission for the printing?
2.To print such money, u would also spend much money.who signed the expense?
3.If one man can wake up on his own and print 420b,doesnt that mean that the same man can also wake up& print billions and put to his personal use? Since he claims that he did not need any permission to do it?
4.According to the laws that established the NDIC & the constitution of the Federal republic of Nigeria,the NDIC, & not the CBN is empowered by law to take over failing banks, why did the CBN governor jump the gun if he had no hidden motives?
5.The BOFID states that these sacked CEOS were supposed to have been called & shown the audit report of their banks & also be given a time frame to regularize after which they would be sacked if they fail to do so;why where those procedures disregarded by the CBN governor?
6.The shareholders of these banks have been ignored totally by the same CBN gov,why?Are they not the real owners of these banks?!
7.Unity Bank of Nigeria Plc has gone comatose even when soludo was CBN governor,yet it still stands,because it belongs to the North! Sanusi Lamido has pretended not to know this,but we all know this, why the 'selected cleansing'?

The CBN governor has so much to do to convince a whole lot of us that he acted in good faith,and not out of malice,tribal,religious and ethnic sentiments if his utterances in the midst of all these are anything to go by.