CBN VOWS TO SACK BANK MDs THAT REFUSES TO PUBLISH FINANCIAL STATEMENTS REGULARLY



T he Central Bank of Nigeria (CBN) has said it will sack chief executive officer and chairman of any bank that fails to publish its financial statement within the regulatory period. 

Emefiele CBN Governor Emefiele CBN Governor This was contained in the Monetary, Credit, Foreign Trade and Exchange Policy Guidelines for the 2016/2017 fiscal year released by the apex bank, yesterday.

According to the CBN, all banks must publish their financial statements latest four months after their financial year or risk severe sanction, including removal of the chief executive officer and the chairman.

The CBN stated: “In accordance with BOFIA 2010 LFN, banks are required, subject to the written approval of the CBN, to publish not later than four months after the end of each financial year, their audited financial statements (statement of financial position and statement of comprehensive income) in a national newspaper printed and circulated in Nigeria.

“To facilitate the implementation of consolidated supervision, all banks, discount houses and their subsidiaries shall continue to adopt December 31, as their accounting year-end.

“The CBN shall continue to hold the Board Chairman and Managing Director (MD) of a defaulting bank directly responsible for any breach and impose appropriate sanctions which may include the following:
Barring the MD or his/her nominee from participation in the Bankers’ Committee and disclosing the reason for such suspension; suspension of the foreign exchange dealership licence of the bank and its name sent to the Nigerian Stock Exchange (in the case of a public quoted company); and removal of the chairman and managing director from office if the accounts remain unpublished for 12 months after the end of the bank’s financial year.”



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Chris Kehinde Nwandu is the Editor In Chief of CKNNEWS || He is a Law graduate and an Alumnus of Lagos State University, Lead City University Ibadan and Nigerian Institute Of Journalism || With over 2 decades practice in Journalism, PR and Advertising, he is a member of several Professional bodies within and outside Nigeria || Member: Institute Of Chartered Arbitrators ( UK ) || Member : Institute of Chartered Mediators And Conciliation || Member : Nigerian Institute Of Public Relations || Member : Advertising Practitioners Council of Nigeria || Fellow : Institute of Personality Development And Customer Relationship Management || Member and Chairman Board Of Trustees: Guild Of Professional Bloggers of Nigeria

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