Corporate Governance Code: No consensus among Muslims

The dust raised by the Financial Reporting Council of Nigeria’s Corporate Governance Code, which saw the General Overseer of the Redeemed Christian Church of God (RCCG), Pastor Enoch Adeboye, step down, last weekend, as the overall head of the church, albeit only in Nigeria, has not settled. Although the Federal Government has suspended the implementation of the code, which makes certain prescriptions for heads of registered churches, mosques and civil society organisations, SAHEED SALAWU gauged the pulse in the Islamic circle. Below are the reactions of leaders of some Islamic organisations and Muslim leaders of thought to the controversial law.

 

Suspension of code shows govt is conflicted —Kamaldeen Akintude, National President, National Council of Muslim Youth Organisations (NACOMYO)

The presidential order suspending the implementation of Financial Reporting Council of Nigeria’s Corporate Governance Code is an expression of mixed feelings by the government itself.

FRC as a parastatal under the Ministry of Trade and Investments ensures proper fiscal records by government agencies and non-governmental organisations to guarantee transparency and accountability in their affairs. It, therefore, must have acted within its mandate. Perhaps the headship did not obtain a clear-cut consent of the authorities, especially as it affects religious entities with business interests or investments.

The government should be courageous, put aside sentiments and defend any action hinged on public interest.

Besides, the code clearly excludes officials who are spiritual heads, e.g., Imam, Rev. Father and Pastor. But the fact is that such officials assume directorship as regards their groups’ investments or businesses such that you cannot divorce their spiritual responsibility from other assignments.

In this circumstance, such groups or individuals should be able to separate their responsibility as spiritual heads from the directorship of group’s company or business. It allows for transparency and accountability, which are core mandate of the FRC.

The sack of the head of the agency, Jim Obazee, has implications for government officials who may want to act sincerely, genuinely and with patriotism when it comes to efficiency and productivity.

The government’s action must have been informed by political expediency, considering certain distinguished Nigerians that the code has affected.

While it is understandable that the government normally passes buck, outright sack should not have been the punishment for the leadership; a query or suspension could have sufficed. They have not gone outside of their mandate.

A lesson has, however, been learnt: wide consultations at the government level on the one hand and with the leadership of groups or bodies who may be affected on the other hand, as well as sensitisation, which ought to have preceded or accompanied the implementation of the code. Such initiative is a democratic imperative and a means to an end.

 

Govt shouldn’t be meddlesome but… —Prof. Dawud Noibi, Executive Secretary, MUSWEN

I do not think that the government should interfere in the affairs of religious-based organisations unless they have seen that some leaders are taking undue advantage of their positions to do things that are wrong, things that are not in the best interest of the followership and which, therefore, cannot be in the best interest of the nation. I am sure that the government has its reasons for putting that code in place.

Under normal circumstances, religious organisations should be able to run their affairs without any interference from government. But where government has seen undeniable evidence that the followership is being taken undue advantage of, the government has a duty to act.

At MUSWEN, everybody in the leadership is there for just a tenure. For example, as the Executive Secretary, I am in the second term of a tenure, which ends in less than two years’ time. I cannot be Executive Secretary thereafter. I cannot even be reappointed the Executive Secretary because I would have been there for two full terms. Our constitution stipulates that you cannot be there for more than two terms. And except the president of our organisation is reappointed, he is there for just three years. Even the chairmen of the standing committees are there for a term each, although that is renewable.

The code does not affect MUSWEN but it may affect the organisations that are part of MUSWEN. We are an umbrella body; all Muslim organisations that are domiciled in the South West are under MUSWEN. With the exception of the position of the Imam, there could be a few other organisations that may be affected.

The finances of any organisation should be open to the public, including the members of the organisation. At MUSWEN, we give accounts of our incomes and expenses at every meeting of our Central Working Committee as well as our Annual General Meeting, known as the General Assembly. Our accounts are audited every year by external auditors.

 

Code unsuitable for Muslims  —Dr Bashir Olanrewaju, Chief Missioner, Ansar-Ud-Deen Society of Nigeria, Oyo State branch

Spiritual leadership in Islam lasts until death. Once a member is turbaned as the missioner, he is turbaned for life. I am the currently the Oyo State missioner and I assumed this position by virtue of the passing of my predecessor. In Islam, you don’t occupy the position of the Imam for a limited period. In fact, most Imams get installed at advanced ages.

In Islamic organisations such as ours, there are two sides to the headship: the spiritual and the administrative. The spiritual side is headed by the missioner and the administrative side is headed by the chairman at the branch and state levels and president at the national level. These are the leaders that change triennially but their terms are renewable. The spiritual leaders are never touched. Our missioners at the branch, state and national levels remain for as long as they live.

I don’t see the code as one that could have any effects on Muslims. It is probably applicable to Christians in view of the way churches are run and the conflicts that usually occur as regards their leadership.

 

Code a reinforcement of NASFAT’s practices —Engr. Kamil Bolarinwa, National President, Nasrul-lahi-L-Fatih Society (NASFAT)

From what we have seen so far, the code borders on accountability and leadership. And accountability in the life of every Muslim is already enshrined in the Qur’an. And this is what we uphold at NASFAT. Insofar as this is what the Corporate Governance Code is out to reinforce, we at NASFAT are in support of it.

We place high premium on good leadership and transparency and that is the reason why at our conferences, our audited accounts are presented for debate. The accounts are also opened to the Corporate Affairs Commission as and when due.

 

Law in order –Prof Afis Oladosu, Department of Arabic and Islamic Studies, University of Ibadan

If the essence of governance is the prevention of the greater percentage of the citizenry from the oppression of the smaller percentage and if the essence of good governance is the promotion of good governance outside government, if the essence of government is the rescue of the 99 percent hapless masses from the possible exploitation of the powerful one percent, then I hold that what has been described as government’s interference in the affairs of religious organisations is order. What government has done, therefore, is completely in order. I do not know of any ‘developed’ or developing world so-called not-for-profit organisations are given free rein to run businesses ‘in the name of God’, take money from the masses in ‘the name of God’, make money running to billions of naira ‘in the name of God’ and government would sit idly by and watch infractions being committed without any intervention. If the so-called ‘houses’ of God have become ‘houses of business’ let them give back to government which provide the road and the security among many other facilities without which the houses of God would not operate in the first instance. After all, the Bible says “Give unto God what belongs to God and unto Caesar what belong to Caesar”.

Let the code be applied to all to the exclusion of none. In other words, if a mosque runs a school, open a business centre etc and depends on government for certain facilities to run those essentially ‘godly-worldy’ activities let them pay whatever is due to government from the profit they make from such activities.

For me, the code would assist in preventing corruption in ‘houses’ of God; it would strengthen the search for good governance across board.

As for the sack of Jim Obazee as the executive secretary of the Financial Reporting Council of Nigeria, it is my view that he should rest, and happily too, that he stood for something while many people are standing for nothing. And if, indeed, he was sacked for going against certain instructions, that, in itself, is equally a lesson for some to learn and for others to re-learn.

 

Code draconian, satanic —Prof. Ishaq Akintola, director, Muslim Rights Concern (MURIC)

Apart from registration as corporate bodies, government has no business interfering in the affairs of religious organisations. It is the members of such organisations who should ensure that they have a solid constitution.

Don’t let us deceive ourselves. Anybody who thinks this is going to be limited to churches must be living on another planet. Have you forgotten Martin Niemolla’s “First they came…”? “First they came for the Socialists, and I did not speak out because I was not a socialist. Then they came for the trade unionists, and I did not speak out because I was not a trade unionist. Then they came for the Jews, and I did not speak out because I was not a Jew. Then they came for me and there was no one left to speak for me.” Islamic organisations should reject this law. It is from Shaytan.

It is particularly disgusting to hear that the FRC code stipulates a retirement timeline for heads of religious groups. Are they under government’s employment? It is an indirect way of exercising undue influence on churches and mosques. We will continue to resist such moves. It is draconian.

The clause prohibiting members of the founder’s family from benefiting from the organisation after the founder’s retirement is most obnoxious, envious and creepy. Members of the organisation should be allowed to decide who succeeds their leader and they may even prefer a groomed member of the founder’s family. [Jim] Obazee’s code came with a mission to witch-hunt.

It [his sack] is good riddance to bad rubbish. We know Obazee’s antecedents. He had an axe to grind with Pastor Adeboye. Even this satanic code was concocted in the days of [former President Goodluck] Jonathan. I think President [Muhammadu] Buhari should be commended for intervening so quickly, ditto for suspending the code. That code is from the pits of hell.