Senate moves to strip president of sole power to appoint CAC chairman, secretary, members

THE Senate has begun  a process that will deny the president from unilaterally appointing chairman and secretary of the Corporate Affairs Commission, as a bill to that effect scaled second reading.

The bill which is titled: A Bill for an Act to Amend the Companies and Allied Matters Act and for Other related Matters 2013, sponsored by Senator Odion Ugbesia, PDP, Edo Central, seeks to amend the existing Act, thus making the appointment of the chairman, secretary of the Board and members of the Corporate Affairs Commission, CAC, to be subject to confirmation of the Senate.

President Goodluck Jonathan

Under the existing Act, the president does not need the confirmation of the Senate in the appointment of  chairman, secretary and members of the Corporate Affairs Commission.

Leading a debate on the bill, Senator Ugbesia, noted that the Companies and Allied Matters Act has over the years, been the platform on which business activities are conducted in Nigeria.

While emphasizing that the Corporate Affairs Commission was the gateway to Nigeria’s economic world,Senator Ugbesia disclosed that the bill was to introduce a new amendment to Section 14 and 15 to make the annual estimates of reports of the commission to be subjected to the scrutiny and approval of the National Assembly.

He said such was the right  step in the right direction,considering the fact that the Corporate Affairs Commission plays a major role in the evolution and development of the totality of the N igerian economy.

He said Section 14 and 15 of the principal Act empowers the commission to submit its annual reports and estimates through the minister to the president, a development he noted, contravened the Fiscal Responsibility Act.

He argued that “in emerging democracy such as ours, this is certainly an aberration.”

Senate President, David Mark, who presided over the session, however, referred the bill to the Senate Committee on Trade and Investment which incidentally, is chaired by the sponsor of the bill, Senator Odion Ugbesia, for legislative action.