Oteh Must Go, House Insists

ABUJA, July 19, (THEWILL) – Despite President Goodluck Jonathan’s not-guilty certification and recall of embattled director-general of the Securities and Exchange Commission (SEC), Arunma Oteh, who had been sent on compulsorily leave, the Federal House of Representatives on Thursday maintained its preference for her sack.

Oteh had been away on leave on the insistence of the board of SEC to allow investigation into allegations of corruption and bad blood among staff levelled against her. But she was recalled on Wednesday, as contained in a circular signed by the secretary to the government of the federation, Senator Anyim Pius Anyim.

However, in considering the recommendations of the report of its ad hoc committee on the probe of the capital market, the House unanimously adopted the termination of her appointment, alleging incompetence and lack of requisite qualification.

Before adopting the recommendations, chairman of the ad hoc committee, Hon. Ibrahim Tukur El-Sudi (PDP, Taraba) told the House that her appointment was in violation of the Investment and Security Act, 2007.

“The appointment of Ms. Arunma Oteh be terminated forthwith as director-general of Securities and Exchange Commission, as her appointment is in violation of section 3(2) a and section 38 (1) (b), 2 and 3; section 315 of the Investment and 4ecurity Act, 2007 in that she did not have 15 years’ experience in the Nigerian capital market as required,” stated the report.

“She has shown incompetence in the management of human and material resources at her disposal in the Securities and Exchange Commission; lack of transparency in managing Project 50, regulatory failure in some of the recent mergers, acquisitions and approvals of transactions by Securities and Exchange Commission; general inability to carry along her staff, board and management in decision-making in Securities and Exchange Commission; and questionable staff recruitment policies.”

The House further recommended: “in view of the breakdown of corporate governance in SEC, leading to total collapse of cooperation and coordination within its board and top management, and since the tenure of the board has expired, top management of SEC should be relieved of their duties so as to give the capital market an opportunity of credible regulation through appointment of a neutral board and top management that will regain the confidence of investors.”

The report also approved for sack, the staff of Access Bank employed by Oteh. Alongside Oteh, it equally directed the attorney general of the federation to prosecute the deputy governor (financial surveillance) of CBN, Kingsley Moghalu and managing director of AMCON, Mustapha Chike-Obi for alleged perjury on the ownership status of the nationalised banks.

But in adopting the 38 recommendations, the House, presided by Speaker Aminu Tambuwal, stood consideration of four recommendations and instead mandated the ad hoc committee to interface with the chairman of the Committee on Banking and Currency, Hon. Jones Onyeriri, to iron out some grey areas before making recommendations.

The deferred recommendations bordered on the legality of the nationalised banks, the N620bn bailout of banks by CBN, and the acquisition of Intercontinental Bank by Access Bank.