ICAN Says Insider Dealing In Banks Is Private Sector Corruption … Wants CBN To Outlaw Directors From Taking Loans From Their Banks

The Institute of Chartered Accountants of Nigeria (ICAN) has described act of managing directors and other directors of banks taking loans from banks they preside over as private sector corruption.
Deacon Titus Soetan, the 52th president of ICAN who made this known in Lagos yesterday advised the Central Bank of Nigeria (CBN) to come out with a law that will stop managing directors and directors of banks from taking loans from the banks they preside over. He said, until such a law is enacted, the issue of insider dealings will continue.
Making reference to the recent sack of the board of Skye Bank Plc due to a deep hole created by various loans taken by directors of the bank, Soetan said, it will be difficult for any manager in the bank to deny his or her boss loan if that person wants to keep the job.
He thus describes a situation whereby directors and managing directors use their position to get loans for themselves and their cronies as nothing short of corruption, but this time in the private sector.
The ICAN president said, if accountants are involved in such cases as in Skye Bank, and the cases proven, they will be made to face a tribunal.
Soetan said, “the institute commends and appreciates the efforts of the Federal Government of Nigeria in its war against corruption and calls on the anti graft agencies to adopt a strategy that would cut across all arms and tiers of government, agencies and departments with a more carefully thought out long term institutionalize framework”.
“In fighting corruption, the judiciary must be alive to its responsibility. Cases of corruption should not only be expeditiously prosecuted and adjudicated upon, those found guilty should be punished to serve as a deterrent to others.
This matter is of great importance to all and sundry in the sense that without eradicating the endemic corruption that we have been made to see in the past few months, the country is unfortunately not going to make any meaningful progress in its developmental efforts”, he said.
The president of the ICAN also spoke on the issue of insecurity in the country. According to him, insecurity of lives and properties pose very significant challenges to investments and entrepreneurship.
“The security situation in the country has unfortunately deteriorated in the last few years and worsened the perception and image of the nation at global level.
“The institute appreciates the efforts of the current administration and the courage of the Nigerian Armed Forces for routing out the vile and barbaric acts of terrorism by Boko Haram”, said Soetan.
He called for a reduction in the cost of governance, curbing financial excess by public officers as well as blocking all source of leakages of the national revenues in the face of dwindling price of oil in the global market. He advocates that every avenue to generate sustainable revenue be explored.
Soetan said the institute is in support of the flexible exchange rate, but urged the central bank on the need for effective and adequate monitoring to serve the purpose for which it is being introduced – which is preventing the free fall of the naira and to stimulate foreign investments.
He also praised the decision of President Mohammadu Buhari to implement the Treasury Single Account (TSA).

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