February 28, 2003

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Travails of the Auditor-General

Vincent Azie acting auditor-general sacked for publishing financial report in which many government official were indicted

The Federal Government has drawn the flak from Nigerians home and abroad over the sacking of Vincent Azie as acting auditor-general of the Federation.  Azie has published some reports indicting the presidency, federal ministries and parastatals as well as the National Assembly. Ike Nwachukwu, presidential candidate of the National Democratic Party, NDP, said last week that the sacking of Azie was the greatest disservice to the nation and a confirmation that the present government was not faithful to the anti-corruption drive. “If they were, here is an auditor-general who displayed an unusual courage to expose those responsible for the down-turn of the economy. They should have patted him on the back for a job well done, instead of being sacked,” he said.

Nwachukwu went on to commend Azie for the job he did. “If I form government on May 29, on that same day I will recall that auditor-general back to office,” said Nwachukwu.

The Nigeria Labour Congress, NLC, has since joined the fray. John Odah, general-secretary of the Congress last week condemned the sacking of Azie for publishing the damning reports. Odah said the report exposed and confirmed that the newbreed public officers were corrupt. He said NLC was alarmed by the spate of stealing by government functionaries. He said the report comprehensively exposed the dirt perpetuated daily by the three arms of government.

According to him the NLC was against the removal of the auditor-general, saying that his removal only corroborated claims that the present administration lacked the will to fight corruption and rid the public service of sharp practices graphically documented in the audit report. “Azie displayed a rare show of public spiritedness and patriotism by publishing the report and that patting the officer on the back for doing that would have added impetus to President Olusegun Obasanjo’s anti-corruption rhetorics,” he reasoned.

By last week the international community had joined in the condemnation of Azie’s sack. US-based Pan-Ndigbo Forum condemned the removal saying it was hypocritical for a government that prides itself as a vanguard for anti-corruption to engage in victimising a public servant for performing his statutory function.

“It is not prudent on the part of the government to remove an individual that produced a financial report that incriminates the three arms of government. The removal of Vincent Azie gives the appearance that the government is giving lips service to the campaign against graft that has eaten deep into the fabrics of the nation’, said the group in a press statement from Dallas , Texas . last interview.  Not so, Adamu Ciroma, minister of finance who said in a BBC interview February 24 that Azie had demonstrated incompetence by rushing to press with the report instead of passing it to the accountant-general.  Ciroma said it was the duty of the accountant-general to query any fund indiscipline on the part of government functionaries.

When Azie reported for work Monday, February 10, 2003 , little did he know that it was going to be his last day as acting auditor-general of the financial.  He was relied of his appointment and replaced with Joseph Ajiboye, a man he had succeeded about six months back.  Azie was appointed acting auditor-general on August 13, 2002 after Ajiboye had served as acting auditor-general for six months. Section 86(3) of the 1999 constitution allows one to act in that capacity for only six months.  It states that, “except with the sanction of a resolution of the Senate, no person shall act in the office of the auditor-general for a period exceeding six months.”

A letter signed by the secretary to the Federal Government dated February 10, 2003 directed Azie to hand over to Ajiboye at the expiration of his tenure.  The expiry date for the tenure was only two days away from the date of the letter.

Azie’s removal has more to do with release of the 2001 auditor-generals report than the expiration of the period of his acting appointment.  The report, which is being applauded by a large section of the populace, has not gone down well with the Federal Government.

The report was an open indictment of the Federal Government’s claims of transparency and accountability.  More than 23 billion naira was lost in 2001 alone.  And virtually all ministries and parastatals were involved in this mind-boggling discovery.  The government was aghast, and it did not hide its disdain for Azie’s action.

The first to dismiss the report was Jerry Gana, minister of information and national orientation. Apart from outright dismissal of the report, Gana questioned the professional judgment of the auditor-general.  According to him, in accounting transactions, particularly with regard to audit, most of the issues raised in the first instance should be queries to the bodies that are auditing.  “ And that they should be given the opportunity to answer the queries and submit all documents.  It is thereafter, that the final report goes to the National Assembly,” Gana said.

Gana accused the auditor general of being in a haste to rush out the report because there were three basic steps he never took.  One of these steps, Gana said was preparing an initial draft after which the draftsman would raise queries, where explanations are sought and replies given.  “ It is when you are not satisfied that you raise final copy.  That particular aspect was missing and that is very unfortunate,” Gana said.

Accounting experts have faulted Gana’s position.  Abuchi Ogbuju, a practicing accountant and guest lecturer, Distance Learning, University of Abuja , in a newspaper advertorial said queries and observations come within the period of audit exercise.

“ Any matter that is finally highlighted in the report simply means that that the auditor is not satisfied with the response received be it oral or written, and where this happens, the reports are qualified”, Ogbuju said.

Some staff of the auditor-general’s office who spoke with Newswatch said government’s utterances on the matter were expected.  According to them, President Olusegun Obasanjo has never hidden his preference for Ajiboye as the auditor-general of the Federation. 

  The government has been looking for ways not to confirm Azie.  The president would prefer Ajiboye for the job.  So the government was only looking for an opportunity, and the opportunity has come.  This is a matter of giving a dog a bad name so as to hang it.” a staff told Newswatch.  

Newswatch learnt that Obasanjo has not hidden his preference of Ajiboye for the job.  The president had forwarded only the name of Ajiboye to the Senate for consideration for a substantive appointment as auditor-general of the Federation mid-last year.  Whereas the Civil Service Commission had certified and recommended both Azie and Ajiboye to the president for consideration by the Senate for appointment.

Section 86(1) of the constitution stipulates that the auditor-general of the Federation shall be appointed by the president on the recommendation of the Federal Civil Service Commission subject to confirmation by the Senate.

The Senate rejected Ajiboye, who was the president’s nominee for the job.  The Senate said the choice did not conform to the principle of federal character.  Ajiboye hails from Kogi State from the North-Central geo-political zone of Nigeria. He is Yoruba.

The Senate, was told, predicated its rejection of the president’s nominee on the grounds that the minister of state for finance, the governor of Central Bank, the accountant-general of the Federation, and the managing director, Nigeria Deposit Insurance Corporation were all Yoruba. And that it was wrong to also appoint another Yoruba person as auditor-general.  They said appointing Ajiboye would negate completely any observance of the federal character in the finance sector.

Newswatch learnt that this argument from the Senate did not go down well with the president who equated the Senate’s position on the matter to mean another affront.  A source told Newswatch that the president stood his ground on the choice of Ajiboye, arguing that Ajiboye was a northerner.

The Senate too remained undeterred.  Sensing the unwavering stance of the Senate on the issue, the source told Newswatch the president opted for not sending the name of Azie for appointment as a substantive auditor-general either.

The game plan was to continuously swap the two officers as acting auditor-general until such a time when Azie’s time will be due for retirement.  Under such a circumstance, the Senate would have no option but to confirm Ajiboye as there will be no alternative.

This option, according its sources was informed by the president’s understanding that Azie is due for retirement in October this year, having served for 35 years, whereas, Newswatch learnt that Ajoboye will be due for retirement in November 2006.

Sources said the president took liberty in the provisions of section 86(2) of the constitution. It provides that, “ the power to appoint persons to act in the office of the auditor-general shall vest in the president.” 

But Ciroma punctured all those sentiments in the BBC interview.  He said Ajiboye was preferred because he was the most senior among them.  “If you remember Mr. Ajiboye was the most senior among them.  Even the president forwarded this name to the National Assembly for confirmation as auditor-general of the federation.  But the Senate refused to give its approval because he is a Yoruba.”

Additional report by Salif Atojoko.

Newswatch Volume 37 No. 9, March 10, 2003

 

 

 

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