–\u00a0\u00a0\u00a0 By Bashorun JK Randle, OFR, FCA
\nWhile the debate rages as to whether Pope Francis I should honour the invitation to visit Nigeria, matters took a completely different turn with the trenchant plea from our South African brothers and sisters to the Vatican that the spiritual cleansing of Africa should start at the southernmost tip \u2013 South Africa.
\nThe essence of their petition was captured on CNN\u2019s \u201cInside Africa\u201d programme anchored by Aisha Sesay last Sunday.
\nAt a press conference in Pretoria, the capital of South Africa, Ms Thuli Madonsela, the ombudsman and feisty corruption fighter accused President Jacob Zuma of benefitting unduly from using state money to carry out lavish improvement to his rural residence in Nkandla at the cost of 246 million rand (US $23 million\/\u00a3stg 13.8 million).
\nThe original estimate for the work in 2009 was about 27 million rand and the ombudsman launched her investigation in 2012 when it was reported by the \u201cSeventy senior elders\u201d, who had been protesting against the over domination of the accounting profession by \u201cThe Big Four\u201d firms of international accountants, that 206 million rand had been spent.
\nAccording to Ms Mandonsela the president tacitly accepted the implementation of all the measures at his residence and has unduly benefitted from the enormous capital investment in the non-security installations (e.g. Olympic size swimming pool for six wives) at his private residence.
\nShe gave President Jacob Zuma fourteen days to respond to her report before parliament.
\nHowever, Zuma\u2019s accountants agreed that some of these measures (improvements) can be legitimately classified as unlawful and the acts constitute improper conduct and maladministration.\u00a0 An unrepentant Zuma had consistently and repeatedly told parliament that he used his own family funds to build his homestead in Nkanda in the province of KwaZulu-Natal where he comes from.\u00a0 To make matters worse his accountants and lawyers swore to an affidavit that while it could be \u201clegitimately construed\u201d that President Zuma had misled parliament over the extravagant renovations, nevertheless it was a \u201cbona fide mistake\u201d!!
\nMs Madonsela held her ground and remained adamant that the expenses on private property were unethical.\u00a0 They included cattle enclosure, swimming pool and fitness centre to enable the president to cope with six wives.\u00a0 In her recommendation to parliament she said that the president should refund the cost of unnecessary renovations.\u00a0 It has turned into a major political scandal and controversy as Zuma faces re-election this May.\u00a0 However, he is relying on a government probe which last December cleared him of any wrongdoing and claimed that the improvements were needed for security reasons.
\nLast December, a massive global audience watched in utter disbelief and agonizing embarrassment when President Zuma who has been in office since 2009 was booed at the memorial service for Nelson Mandela, South Africa\u2019s first black president.
\nThe Vatican \u201crefusniks\u201d over the Pope\u2019s visit to Nigeria insist that Africa is a \u201cBlack Hole\u201d with trouble everywhere \u2013 Ethiopia; Somalia; Liberia; Congo Brazzaville; Democratic Republic of the Congo; Sierra Leone; Libya; Mali; Uganda; Central African Republic etc.
\nAhead of the World Bank\/International Monetary Fund spring meeting in Washington DC, World Bank President Dr Jim Yong Kim on CNN classified Nigerians and Indians among the poorest in the world.
\nAccording to him, two-thirds of the world\u2019s extreme poor are concentrated in just five countries \u2013
\no\u00a0\u00a0\u00a0 India
\no\u00a0\u00a0\u00a0 China
\no\u00a0\u00a0\u00a0 Nigeria
\no\u00a0\u00a0\u00a0 Bangladesh; and
\no\u00a0\u00a0\u00a0 The Democratic Republic of the Congo
\nThe World Bank has shared its template with Nigeria\u2019s National Office of Statics which is headed by the Statistician-General of the Federation, Dr Yemi Kale.\u00a0 They both measure poverty by using the one-dollar-a-day benchmark.\u00a0 However, the United Nations under Bank Ki-Moon and United Nations Development Programme which is headed by Helen Clark quantify \u201cextreme poverty\u201d by access to the basics of life \u2013 sanitation, food, shelter, healthcare, education and water.
\nAccording to Africa\u2019s detractors, even Malawi which under its new female President Joyce Banda offered a glimmer of hope has crumbled at the altar of corruption and scandal.\u00a0 Indeed, it was Michael Nevins, the British High Commissioner to Malawi who let the cat out of the bag.\u00a0 He blew the whistle on BBC:
\n\u201cWe want the government of Malawi to put its house in order by implementing financial systems that will not allow pilferage of public funds.\u00a0 In the meantime Britain will withhold \u00a3stg 17 million of aid.\u201d
\nOn Al Jazeera television, Henry Chingaipe a Cambridge-educated expert in corporate and civil governance spoke from Malawi:
\n\u201cThis did not come as a surprise to many of us.\u00a0 The donors simply lost themselves in singing Banda\u2019s praises.\u00a0 We were somewhat intrigued watching donor countries falling over themselves to provide aid despite glaring evidence that a large chunk of it was being siphoned off by corrupt officials.\u201d
\nFor much of this year Malawi has been embroiled in a slew of financial scandals.\u00a0 Relatively junior civil servants and clerks were found with huge stacks of cash in their kitchen, cupboards, pillowcases, handbags and even under their hats!!\u00a0 The more daring and reckless ones splashed out on state of the art cars as well as super mansions to \u201cdryclean\u201d (or launder) stolen money.
\nThis has prompted Britain and other donors to withhold US $150 million (\u00a3stg 90 million) to Malawi pending the conclusion of a forensic audit for which a UK firm has been engaged.
\nThe irony and paradox of it all is that Malawi which is one of the world\u2019s poorest nations made a vigorous effort to clean up its act when Joyce Banda became its president two years ago.\u00a0 In her inaugural speech, she announced to a widely cheering audience that she had sold her predecessor\u2019s \u00a3stg 9 million private jet as well as fleet of 100 super luxury limousines and armoured cars.
\nThe crowd went wild when she declared:
\n\u201cWe are a poor nation.\u00a0 Malawi will no longer be used as a piggy bank by kleptocrats who are addicted to plundering the coffers of the state.\u00a0 It is common knowledge that we rely on donor agencies for about 45 per cent of our budget.\u201d
\nTo the consternation of even her own most ardent supporters, Joyce Banda was recently filmed flying on the private jet which she claimed had been sold.\u00a0 African magic!!
\nRecently, about seventy civil servants together with the usual suspects – businessman and politicians went on trial for deducting almost \u00a3stg 100 million \u201cat source\u201d (from the treasury!!).\u00a0 Indeed, a minor civil servant was found with US $300,000 in the dashboard of his car.
\nInevitably, the sordid scandal has galvanized media frenzy both locally and internationally.\u00a0 It has been tagged \u201cCashgate\u201d and owes its genesis to gunmen who attempted to assassinate Paul Mphiwiyo who is the Budget Director as well as being a very close ally and confidant of Joyce Banda.\u00a0 Six bullets were fired by the gunmen and each bullet triggered off speculation that the voice may have been that of Esau but the hand was that of Jacob Ralph Kasambara, the former minister of justice.\u00a0 How strange that a whole minister of justice should resort to self-help.\u00a0 Anyway, he has been charged with attempted murder as well as \u201cdrycleaning\u201d and money laundering.\u00a0 The World Bank and IMR estimate that 35 per cent of the budget simply vamoosed during 2004 to 2014.\u00a0 It is almost exactly equal to what Malawi received from donors during the same period.
\nEven though Fahad Assani who is the new Minister of Justice (after the exit of Kasambara) has told Fox News and Reuters that the arrest of a \u201cbig fish” is imminent, Joyce Banda is seeking re-election this May.\u00a0 She appears determined to bluff her way through regardless of the scandal.\u00a0 However, the money that has disappeared keeps getting bigger and bigger.\u00a0 A top government official confessed that she bought ten luxury buses valued at US $2 million illegally while one of Banda\u2019s party chieftains has admitted using ghost companies to divert more than US $10 million of government funds.
\nFollowing the recent arrest of Joyce Banda\u2019s senior finance officer in connection with \u201cCashgate\u201d scandal, lurid stories in the local press have not only linked other officials in the President\u2019s office with looting of state funds, they have hinted that Banda herself was a beneficiary of the plunder and brigandage.
\nThe damage to her reputation has been monumental particularly in Britain which is her largest donor.\u00a0\u00a0 Indeed, several UK newspapers have published editorials warning that the scandal calls into question Banda\u2019s determination to fight corruption and she herself could be damaged beyond redemption.
\nPerhaps that is what prompted Joyce Banda to sack not only the disgraced Minister of Justice but the entire cabinet.
\nHowever, the World Bank was somewhat miffed when on CNN she blamed the scandal on a loophole in an electronic accounting system which was installed by the World Bank.\u00a0 According to her, it was the loophole that was massively abused by unrepentant corrupt government officials.
\nAs for Zimbabwe, President Robert Mugabe is having a swell of a time.\u00a0 His 90th birthday party was truly spectacular.\u00a0 No expense was spared.\u00a0 He made it very clear that he had no intention whatever to surrender power.\u00a0 His pact with the war veterans is sacrosanct – they fought for independence and they are entitled to the spoils of victory.\u00a0 The sharing of the booty must accord due recognition to the real fighters.\u00a0 The inheritors (or those who want to inherit) must wait their turn.
\nWhen President Mugabe rose to speak at his birthday party, the first half was devoted to mocking Nigeria.\u00a0 He had forgotten how much aid and other resources Nigeria committed to the struggle in Zimbabwe (previously Southern Rhodesia).\u00a0 Then he tore into his arch rival and erstwhile Prime Minister, Morgan Tsvangira.
\nHe quoted a string of lurid revelations about the alleged romantic escapades and sexual excesses of the leader of the opposition.\u00a0 It was with considerable glee and unrestrained relish that he reminded his guests that the press had published stories that the leader of the opposition had impregnated the sister of his dead wife.
\nBashorun J.K. Randle is
\nChairman & Chief Executive
\nJK Randle Professional Services
\nChartered Accountants
\n\u201cX KPMG HOUSE\u201d
\nOne King Ologunkutere Street
\nPark View
\nIkoyi
\n(opposite Astoria Hotel)<\/p>\n
E-mail:\u00a0 jkrandleintuk@gmail.com<\/p>\n","protected":false},"excerpt":{"rendered":"
–\u00a0\u00a0\u00a0 By Bashorun JK Randle, OFR, FCA While the debate rages as to whether Pope Francis I should honour the invitation to visit Nigeria, matters took a completely different turn…<\/p>\n","protected":false},"author":1,"featured_media":26370,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","footnotes":""},"categories":[7],"tags":[],"class_list":["post-26369","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-articles-opinions"],"yoast_head":"\n