The Association of National Accountants of Nigeria (ANAN), at the weekend said it was unconstitutional for the Federal Government to have excluded it in the recently reconstituted governing board of the Financial Reporting Council (FRC) Nigeria Act 2011.
The President and Chairman of ANAN’s Council, Shehu Ladan, expressed the Association”s displeasure when he led a delegation on a courtesy visit to Vice President Yemi Osinbajo in Abuja.
According to Ladan, the government had excluded ANAN in the appointment when it replaced Jim Obazee, as Executive Secretary of FRC, with Daniel Asapokhai and the appointment of Adedotun Sulaiman as chairman. This he said was going against the FRC Act 2011.
Ladan told Osinbajo that, “We observed Sir, that in the appointments, ANAN was excluded. The two appointees are members of the Institute of Chartered Accountants of Nigeria (ICAN), which is not, with due respect, in conformity with the the Financial Reporting Council (FRC) of Nigeria Act, 2011.
“Section 2(2) (a) and (e) of the FRC Act made provisions for the appointment of the Chairman and Executive Secretary respectively. Section 3(2) (b) of the Act went further to provide as follows:
“Provided that in appointing the Chairman and the Executive Secretary, due cognizance shall be taken to ensure fair representation of accounting bodies established by Acts of National Assembly.”
Obazee, was fired in January while he was viciously pushing for the controversial exit of Pastor Enoch Adeboye as the General Overseer of the Redeemed Christian Church God, RCCG, Nigeria.
The Council is responsible for setting and promoting compliance with standards for accounting, financial reporting and auditing in Nigeria, under which it created its controversial Code of Corporate Governance, which was suspended by the Minister of Industry, Trade and Investment, Okechukwu Enalema.
President Muhammadu Buhari, had ordered the re-constitution of the Council’s board after Obazee’a exit.
The ANAN President further told the Vice President that the two professional accountancy bodies in Nigeria established by law are ICAN and ANAN, hence the two positions should be rotated between the two bodies for balancing.
He explained that in the dissolved board, Haji Maryam Ladi Ibrahim, FCNA of ANAN was chairman, while Obazee of ICAN was the executive secretary.
“It is only fair Your Excellency that the Executive Secretary position goes to ANAN this time. It is in the light of this that we forwarded the name of Dr. Nurudeen Abba Abdullahi, as our nominee for the position of Executive Secretary,” Ladan stated.
“It will serve the interest of justice and further good corporate governance in the system if the provision of the Financial Reporting Council Act is adhered to in the appointment of chairman and executive secretary of the Financial Reporting Council (FRC) Nigeria,” he added.
Other issues of concern the association presented include that Grade Level 10 be entry point into civil service for holders of ANAN membership certificate as approved by the National Council of Establishments at its 33rd meeting in Jos, in 2008.
Ladan said the approval was yet to be given executive ratification and urged the Federal Government to ensure its members are not discriminated against.
“This is to say that ANAN should be placed on Grace Level 10 at the point of entry in the public service just like their counterparts in other professions. ANAN members already in service, whose grade is below Grade Level 10 should be upgraded to a minimum of Grade Level 10,” he added.
Responding, Osinbajo urged financial institutions to uphold a high level of integrity and forthrightness in the discharge of their duties.
He said financial institutions have a crucial role to play in helping the Buhari’s administration to fight corruption, as well as in improving the country’s economy.
He added that, as a financial body, ANAN should speak against those who are allegedly tied to some levels of financial crimes to step down from their positions, so as to help curb corruption in the financial sector.
“The level of integrity that we expect is not necessarily what we are seeing, especially in respect to financial statements and all of that,” he said.
Commending the association for the important roles it has played in regulating the country’s financial sector since it was incorporated in 1979, Osinbajo sttessed that a high level of integrity by financial institutions will help improve the lives of citizens.
Onyinye Nwachukwu, Abuja
