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OPINION

Sensational Social Media “Journalism” and its impact on legitimate business concerns: Recent travails of FCMB, GTBank and First Bank

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On June 25, 2018 I woke up to yet another social media trend – a news story with the bold and quite salacious headline “How Safe Are Customer Deposits At FCMB?” had taken over the digital airwaves. Between the shares and likes and comments, a storm in a cup had brewed to great proportions in a matter of hours. Yet again, a demonstration that the basic ethics of responsible journalism and ethical reporting have been thrown away in business and, indeed, everyday life.

In writing the article, the author had made detailed reference to alleged cases of fraud involving staff of FCMB and went ahead to imply that perhaps the bank’s depositors funds are unsafe.

It is quite of great concern to see so-called professionals go to town with such alarming headlines, with the full knowledge that most Nigerians will not bother to read the actual details. It is indeed of greater concern that this sort of material was released in the way it was, when by his own admission, the author had received specific information from the bank about its financial performance and ability to remain a growth driven and existentially sustainable institution.

I do not have an account with FCMB, neither am I in any way connected to the bank or its principals. I, however, do have the simple capacity to read between the lines and remove chaff from substance.

In the first place, for FCMB to have increased its shares in Legacy Pension to make it a full-fledged subsidiary as reported in this article, it means the bank is forward-thinking and focused on both diversifying and improving its service offerings and earnings. That’s a bold move, when you consider that the Pensions industry in Nigeria has the potential to be bigger than the banking industry in another decade or so.

But even more interesting is the fact that by his very own article, the author admitted that FCMB’s deposits grew to N689.9billion as at the end of December 2017, an increase of 5%, from N657.6billion in the corresponding year. Do customers increase their deposit in a bank they have fears over or which is on the brink? Is it not only logical that customers are only likely to increase deposits in a bank where they enjoy good service and feel at home? For a fact, I know that the KPMG Banking Industry Customer Satisfaction Survey 2017 placed FCMB in 5th position in the entire Nigerian banking industry in Retail Banking, SME Banking and Wholesale Banking. That’s no mean feat when you take into account the number of operators in the industry.

I think what stumped me the most is the fact that by his own article, the author let us in on key financial metrics of FCMB, including the fact that FCMB reported a gross revenue of N169.9 billion and a profit before tax (PBT) of N11.5billion, while profit after tax (PAT) was N9.4billion.

At face value, it seems to me that the author for reasons best known to him or her was determined to demarket FCMB and portray it in the most negative light possible. I do not dispute the possibility that there were some fraudulent activities – afterall, there is no smoke without fire and that tends to ring through more in Nigeria than elsewhere. However, this is an industry challenge – the Managing Director of the Nigerian Inter-Bank Settlement System (NIBSS) Adebisi Shonubi (who a few weeks ago was nominated a Deputy Governor of Nigeria’s Central Bank) recently shared some startling statistics on fraud in Nigeria’s banking industry, revealing the number of reported fraud cases in Nigerian Banks had steadily risen from 1,461 in 2014 to 10,743 in 2015, 19,531 in 2016 and 25,043 in 2017. It has been argued that frauds in the Banks are not alien. In the United States of America it has been said, with compromised credit cards and data breaches often in the news in the past couple of years, fraud is top of mind with many people.

This deliberate attempt to demarket FCMB for reasons best known to the author also brings to mind the most recent attack on GTBank over the Innoson case.

It is not to be forgotten how earlier this month, social media went agog with news that a court had directed GTBank to pay 12 billion naira to Innoson Group, one of its clients with whom it has had a long-standing court battle. The misleading reports on social media had extremely sensational headlines such as “Court Orders GTBank To Pay 14bn To Innoson”; “GTBank Must Pay Innoson 14Bn Within 14 Days”; “GTBank In Trouble As Court Orders Payment of 14bn to Innoson”.

It was such a terrible jamboree on social media that there were certain broadcasts sent across Whatsapp and other social media asking people to withdraw their funds from GTBank immediately, on the premise that the bank would go bankrupt after payment of N14bn to Innoson. Of course, Nigerians will not pause to ask whether paying N14bn in settlement can actually cripple a bank that is widely considered Nigeria’s biggest bank brand and clearly, one of the most solid financial behemoths within the African continent. Nobody stops to ponder. The fact that this latest melee was a result of seemingly deliberate attempts to smear the GTBank brand raises more suspicion about the recent publication on the same online platforms questioning the safety of depositors funds with FCMB.

The GTBank vs Innoson saga has so terribly deteriorated on the account of sensational journalism and reportage, that it has taken an ugly ethnic dimension amongst the unlearned. Thus, on various online communities and platforms in Nigeria, you see Nigerians taking sides on the basis of GTBank being a “Yoruba company” and Innoson being an “Igbo company”. What a sad reality for a nation!

First Bank of Nigeria also witnessed the harsh and merciless bite of sensational reporting when recently there was commotion over the contempt judgement against the Bank and some of its key officials in the case Chief Isaac Osaro Agbara & 9 Ors. v. Shell Petroleum Development Ltd, Shell International Petroleum Ltd and Shell International Exploration and Production BV. Before fact could be removed from fiction, so many broadcasts and “breaking news” articles had surfaced online, all leading with headlines that were designed to damage and not just state the facts.

To make progress as a country and support businesses to thrive, this approach must be arrested. Must we sensationalize everything just so we can earn readership and our 5 minutes of fame, to the detriment of businesses and companies that provide livelihood for thousands of families across Nigeria? I think not.

Even where we need to address real matters arising, surely, the reporting can be more facts-based and less about blackmail and demarketing. As my Yoruba friends have a saying in their language “Even if they sent you on the errand as a slave, deliver the message as a free born”. Crying wolf falsely too many times has serious downsides. Social media credibility is extremely important for the dissemination of relevant, topical, up to date and authentic information. Using it constantly as a vehicle to settle scores, blackmail and seek for attention will ultimately harm the reputation of not only the charlatans in that field but also the real professionals. The fake news toga will be cast on all. That will be a big shame. Freedom presupposes responsibility. Freedom devoid of responsibility is excessive liberty.

These institutions need protection and we really need to stop portraying ourselves to the rest of the world as people always thinking of fraud and sleight of hand strategies to make ill-gotten wealth. There are many honest and hardworking people all over Nigeria. We deserve better than these constant sensational but fake so called ‘investigative’ write ups.

*Emefulenwanne Ibeayoka is a public analyst writing from Abuja

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  1. Thorsten

    August 30, 2018 at 8:40 am

    I like the article

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NEWS

Kogi East Senate: The risk of PDP choosing Attai Aidoko, By Idris Omahi

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Jim Rohn, an American author and motivational speaker once said, “If you are not willing to risk the unusual, you will have to settle for the ordinary.”

This seems to be the dilemma of the people of Kogi East Senatorial District of Kogi State. From one political dispensation to another, they have been forced to settle for an ordinary representation in the National Assembly – the kind that has added very little or nothing to their quality of living.

Another season of decision making is fast approaching; a season where making the wrong choice of who will represent them this time around will consign them to yet another four years of perpetual retrogression. So, as the buildup to the general elections gathers momentum, the people of Kogi East Senatorial District are praying; those who know how to fast are resorting to that. But the prayer point is that God should bring a messiah (or messiahs) who will speak for them confidently at the National Assembly and the district will bounce back to reckoning.

The name, Senator Attai Aidoko, is not new to those who have followed the politics of Kogi State for close to two decades. If not for anything else, he will always be remembered for representing Kogi East at the National Assembly for 16 years (House of Representatives – eight years and in the Senate for another eight years) with nothing to show.

He had earlier  represented Ankpa/Omala/Olamaboro Federal Constituency from 2003 to 2011. And the people have said the only dividends of democracy accruing from his representation are seeing his fine face when another election season is approaching, and of course, listening to political sweet nothings when their votes are solicited the next time.

They have said between 2011 and 2018 (going to 2019), they have searched and searched, and continued to search, but the senator cannot be tagged with any meaningful development in any part of Kogi East Senatorial District, not even with his influence as chairman, Senate Committee on SEGS.

One of his townsmen summed up their frustration recently. He was quoted as saying, “The only stream sustaining our community and the neighborhood and is about four kilometers away. Aidoko is far from our challenges because he only comes here in the night and disappear before dawn since he became a senator.  As you can see we have no potable water, no electricity and other basic infrastructures.”

Even the boys are not smiling at the moment. Igala youths recently spoke the minds of the entire youths of the district. According to them, the senator is a liability on the good people of Kogi East and he has no political relevance in both the region and at the national level. The youths are crying out, very loud at that, that as the longest-serving federal lawmaker from Kogi East, he has serially failed them “in terms of good legislation, provision of amenities through constituency projects and youth empowerment.”

They continued by saying, “We can’t continue to wallow in this politics of stagnation where some wicked few individuals will gather together to oppose everything that is good for our land.

“Our region has suffered so much neglect despite the fact that we have several opportunities to develop, but we have been suffering so much neglect because of the attitude of some of our leaders.”

The Kogi East people are going, albeit caps in hands to God, to the gods, and to whatever power they believe in, to yarn some miracle intervention of sorts, so that as the Peoples Democratic Party is choosing its candidates in Kogi East, they should settle with a quality candidate who will better their lots, who will be their voice when other brand-new senators take their hallowed seats in the hallowed chamber.

Anything less than a suitable candidate will attract rebellion from the voters, and the people, especially if the current occupant gets the ticket. You see, the people have been bitten more than twice. Who knows, they may be shy the next time they are bitten. Even as they do not trust the All Progressives Congress promise-and-fail kind of politics, chances are that they may rather feel comfortable with it by offering their protest votes to an APC candidate possibly coming from Dekina or the Idah axis of the zone. If for any reason the incumbent senator returns to contest on the platform of PDP, chances are Dekina/Basa will go for APC, Idah Federal Constituency will go for APC and Ankpa/Omala will go for APC. Though, this will bring a new chapter of failed promises, it could be the last resort just to teach the party delegates a lesson.

PDP in the Kogi East is in need of a new face who can energize their base. There is so much anxiety at the moment because the current occupant as a product is not strong enough to move market for the party in the face of the electorate. Just think of it, he has never won the primaries. He gets the ticket through the back door.

Another burning issue that may consume the PDP in Kogi East is the marginalization of the Idah axis of the zone. Kogi East Senatorial district has nine local government areas and three federal constituencies. They include the Idah axis: Idah, Ibaji, Igalamela/Odolu and Ofu; Dekina axis: Dekina, Bassa and the Ankpa axis which consists of the Ankpa, Olamaboro and Omala.

The choices before the political class and the electorate are between progress and retrogression, unity and disunity, equity and inequity; and of course a wide prospect of prosperity for millions and not just the elite few.

Between 1999 and 2003, Dr. Alex Kadiri, a Dekina citizen was elected into the senate. Senator Nicholas Ugbane also from Dekina succeeded Dr Alex Kadiri and served in the senate for eight consecutive years. The zoning formula favoured Dekina yet again in the race for Lugard House which led to the emergence of Captain Idris Wada as governor of Kogi State.

Similarly, Ankpa Federal Constituency has also been largely favoured since the return to democratic rule. Alhaji Ibrahim Idris governed for nine years. Senator Attai Aidoko, another native of Ankpa Federal Constituency has been in the National Assembly since 2003.

Barr. Dangana Ocheja was elected in 2011. His representation was truncated by Attai Aidoko Ali through the judiciary after just six months. The implication is that since 1999, Idah Federal Constituency (comprising Idah/Ofu/Igalamela-Odolu/Ibaji) despite its massive voter strength has not produced a senator. This clearly indicates that equity has been conspicuously overlooked in favour of marginalisation.

One may argue that several indigenes of Idah Federal Constituency were beneficiaries of high-profile political appointments. But we need to remember that an appointment is a prerogative of the chief executive and is not necessarily a true representation of the desire of the masses.

Back in 1999, President Obasanjo appointed Dr. Eyitayo Lambo and Bayo Ojo as Minister of Health and Attorney General and Minister of Justice respectively. Both were from Kabba town. The office of the deputy governor today is the outcome of a doctrine of necessity by the powers that be and not a product of consensual agreement by Igala political stakeholders. Deputy Governor Simon Achuba was forcefully shoved down the throats of the people and they were forced to swallow without complaints.

The clamour for a Kogi East senator of Idah extraction has never been this deafening. It is a major topic of discussion where two or more are gather. If the leaders of the PDP in Kogi State are serious about balancing this highly lopsided senatorial representation in 2019, and are also serious about retaining the massive votes of Idah, Igalamela-Odolu/Ofu/Ibaji citizens, then, they must act quickly and smartly to exterminate the political oppression, subjugation and marginalisation that has been handed down on these politically sensitive people for so long.

Idah Federal constituency has one of the largest voting population in Kogi State. Collection of PVC in the four local government areas has been impressive. If the leadership of the PDP is thinking about zoning the senate to another constituency besides Idah in 2019, they should have a rethink. Several able-bodied individuals with vast experience and impeccable records of hard work, honesty and credibility are very ready and willing to join the senatorial race in 2019.

The “systematic marginalisation” of Idah Federal Constituency must be brought to a halt. The recycling of “expired” familiar names with dismal performances in the senate must also stop. Fresh ideas, fresh approach and better results in 2019 are what the Kogi East people demand and Idah Federal Constituency has a large pool of intelligent, honest and hardworking persons that are ready, able and willing to do the job.

The people know this. The party knows this. Apparently, our distinguished senator himself is well aware. That explains the reason he has been going from pillar to post, seeking crude means to actualize his dream of going back to the senate to warm the seat on behalf of the Kogi East people. Perhaps that was the motive behind his alleged enlisting of more than a dozen propagandists to carry out a smear campaign so as to truncate the ambition of other leading aspirants in the race.

A whopping N20 million, according to reports was given to a party chieftain to facilitate this smear campaign. And part of their briefs was to make the party hierarchy see other leading aspirants as impostors and agents of the opposition and this involved writing several anonymous letters to some party stakeholders.

The leaders of the party are aware of Aidoko’s desperation, that is why they said no to an automatic ticket for our dear senator. They rather expect Senator Aidoko to test his popularity and make his achievements open doors for him if he has done well for his constituency. But the senator is not resting in his oars.

He is making every effort to return to the senate and elongate the suffering period of Kogi East people. This time, the people will resist him with their precious votes.

 

–      Omahi, a political analyst writes from Idah, Kogi State, Nigeria. 081222016330.

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OPINION

The future of Kogi East and Victor Adoji’s aspiration, By Omachi Achor

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Ever since Kogi State was created, our pending problems have always been our inability to provide or elect for ourselves a good and responsible government that will always react adequately to the problems of the state and also proffer lasting solutions to these problems as they develop.

This political lack, failure and inability have not only permitted the several underdevelopment we are faced with presently as a state, but have gone a long way to putting the state in perpetual poverty.

As pitiful as this situation becomes every day, Kogi East that has been one of the most privileged constituency in the state has suffered the most, basically because this constituency has often been represented by timid, shortsighted, selfish and “un-purposeful” politicians.

And it is so shameful to admit here that today, Kogi East is one of the most underdeveloped constituencies in the North Central, in spite of all its rich resources, political strength and even manpower.

Having looked at this it has become very necessary that we team up as a people and sought for a better representation this time around, through which we can redirect our constituency towards a more visible development and secure a better future for ourselves and our children.

But in order to achieve this, we must be willing to look beyond personal interests, relationships and even affiliations.

We must be willing to ignore veteran politics, politics of hate and fully resist the ideas of automatic ticket and godfatherism and embrace a more democratic individual who can harness all our resources and channel them towards a more productive end. We must try to instate an individual who sincerely understands what is really at stake and will pull all the necessary parliamentary strings to ensure that the Kogi East situation is salvaged.

We must at a time like this be willing to only rally round a more focused individual who is strong and passionate in will, in ideas, in foresight, in vision, in persistence, in concern and in all forms of political sensitivity.

The legislature is a reasoning and talking arm of government, therefore we must present someone who is vocally strong, critical and analytically precise; someone who understands the language of the hallowed chamber and is equally knowledgeable on the rich essence of the Nigerian federal character and the Nigerian legislative visions.

Our focus and support must be for someone who can influence the nation and also endear the constituency to the federal government in order to attract national investment, human development and all forms of basic amenities.

And without mincing words, VICTOR ALEWO ADOJI has been able to assemble all these political virtues, thoughts and vision, he has been able to shape his political aspirations towards these defined ideas.

And a vote for him is a vote for a more accountable representation; it is a vote for a more people-oriented legislature; it is a vote for a more productive government and a more secure future for our constituency.

It is not just the passionate efforts to rescue Kogi East that distinguishes this aspirant, but the legislative guts that categorises his thoughts, his industrious views, the persistent nature of his positive desires for Kogi East and his well-groomed commitment that will dictate every beat of his political aspiration are indeed very worthy of note.

Like I always say, it is not about party, it is not about incumbency or veteran politics, it is about will, resourcefulness, accountability, foresight, intent, sacrifice, wealth of knowledge, humanitarian ideas, societal concerns and sensitiveness to the basic needs of the present Kogi East.

VICTOR ALEWO ADOJI is obviously willing to serve and redeem our constituency. It is now left for us to embrace this new future and save Kogi East.

Our future is now in our hands, and we must secure it this time.

Omachi Isaac Achor writes from Lokoja, Kogi State

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OPINION

A call on FG to sack Funke Osibodu’s BEDC for gross incompetence, By Zik Gbemre

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Mrs. Funke Osibodu, Managing Director/CEO, BEDC

 

Zik Gbemre

We have countlessly reiterated the fact that the Benin Electricity Distribution Company (BEDC), has proven over the years that they do not have the financial capacity and technical expertise to manage and distribute power within the States under their jurisdiction, especially within Warri and environs of Delta State. When a so-called power distribution company depends on its consumers to buy transformer and electric wiring apparatus before they will distribute power to them, then something is wrong.

In fact, it has been noted that since one Mrs. Funke Osibodu took over the affairs of BEDC in the four States under them, which includes Delta, Edo, etc., no single transformer has been given to any Community. Rather, it has been individuals, who have donated transformers to various Communities for the BEDC to distribute power to them. They also do not have concrete electric polls, feeder pillars, etc. in their offices to address power issues affecting their customers. It is being alleged that as at today, over Seventy Thousand (70,000) pre- paid meters that were supposed to be given to consumers, are locked up at one Nekpen- Nekpen complex in Benin, Edo State.

As a result of this, many, including us, are resisting and calling on the Federal Government and relevant authorities in the Federal Ministry of Power, to stop/deny the renewal of BEDC as a power distribution company. BEDC should be sacked and shown the way out as a power distribution company. And the Federal Government should take over the BEDC and run it with a Federal Interim Power Distribution Management Board, pending when a capable distribution company is directed to takeover after due assessment, due diligence and financial capacity of the new company must been satisfactorily carried out.

It is obvious that the BEDC came on board because they thought that they had the capacity and capability to distribute power. But now that it is apparently clear that they do not have such capacity and capability, the best option is for the Federal Government to take over the BEDC and run it for some time before they get another company that can deliver as expected. We all know that power is key to the development of any country, hence we cannot have mediocrity and inefficiency in the delivery of such a vital public service, by the BEDC. How can supposed power distribution company be waiting for its consumers to buy transformers for them to use for distribution of electricity?

All those consumers that are connected to 33kv lines in Warri and environs for instance, were the ones who bought transformers for BEDC to work with. Some big hotels and rich individuals/landlords in some layouts in Effurun-Warri, had to buy the transformers that were used by BEDC to hook them up to 33kv lines. The question is, how many people can afford to buy transformers to be installed for their own use, and at the same time, pay for the power supply to the BEDC who cannot provide the said transformers.

Is that what is obtainable in other civilized societies? Should this be encouraged as the norm? Obviously not! The Federal Government and relevant authorities need to investigate the activities of the BEDC and they will ascertain the above stated facts. As such, we urge that the BEDC should be sacked as requested. It is in the best interest of the Nigerian people living and doing businesses in the States under them.

 

Gbemre writes from Warri, Delta State

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