The appointment of a new chairman for the Federal Inland Revenue Service is halted by legal action against the process, just as critics question the fidelity of the  process

•Jonathan: Inexplicably passes off his powers to appoint FIRS Executive Chairman

When Mrs. Ifueko Omogui-Okauru vacated office as the Executive Chairman, Federal Inland Revenue Service, FIRS, about a year ago, hope was that a new boss would immediately be appointed to carry on the excellent job she did at the tax agency. But one year after, Alhaji Kabir Mashi who was appointed as the Acting Chairman has neither been confirmed as the substantive boss of the Service, nor a replacement announced in his place. Yet, Mashi may remain on his seat for a long time as the process of selection of his replacement has now not only been mired in controversies, but has become a matter that may be decided in court.

The Federal Ministry of Finance in September 2012 engaged a consultancy firm, Philips Consulting, to handle the selection process. The consultancy firm had then gone ahead to place advertisements in major local and international publications for that purpose.

In the advertisement, applicants were required to have at least 15 years executive level experience, have at least a first degree from a recognised institution and be a member of the Chartered Institute of Taxation, Institute of Chartered Accountants of Nigeria or the Nigeria Bar Association. They are also required to have relevant experience and proven track record in tax policy formulation, tax legislation drafting and qualitative tax administration and be multi-skilled in accountancy, economics, taxation, law and related fields, with relevant experience to support the provision of rounded and effective tax administration in all its ramifications. Applicants were also required to include in their applications a write-up not more than 1,000 words, on their vision of the Nigerian tax system by 2020 and how to realise the vision.

Many observers, including top officers of the Federal Ministry of Finance, it was learnt, had, on seeing the advertisement, raised alarm that it was illegal to have appointed consultant to handle the selection process when FIRS (Establishment) Act, 2007, clearly stipulated that the appointment of the Executive Chairman of the FIRS was the sole responsibility of the President, subject to confirmation of the Senate.

• Mashi: Retains FIRS top job for now

Nevertheless, the Ministry and the consultant continued with the selection of the new FIRS Chairman with applications for the job received from Nigerians living at home and abroad. And just as the process was gathering steam, Max Ogar, an Abuja-based lawyer, asked the court to declare the process of selection of a new chairman for FIRS initiated by Minister of Finance, Dr. Ngozi Okonjo-Iweala illegal. His argument was that it was the exclusive power of the President to make such appointments. The legal practitioner anchored his argument on Section 3 (2) (a) of Federal Inland Revenue Act, 2007 which, according to him, vests the President with the authority to appoint any person of his choice into the office. He noted that the President had, in the last two years, appointed chief executives for scores of Ministries, Departments and Agencies, including critical ones like Nigeria National Petroleum Corporation, Nigeria Ports Authority, and Independent National Electoral Commission, without advertisements and interviews. He noted that the FIRS executive chairman’s position had always been filled by persons appointed by the president, with the Senate confirming them.

“Specific to the FIRS job, it is the President’s exclusive right, subject only to Senate confirmation. I expect the President to take absolute charge of the process by looking at whoever he feels can deliver. Nobody needs to screen/interview anyone for Mr. President,” said Ogar. “If we allow the ongoing joke to go, then, we shall get to a point where Nigerians will insist on the President declaring vacant ministerial positions — the National Security Adviser, the Chief of Staff, among others — and subjecting the selection process to screening/interview. May that day never come”, the lawyer added. The legal practitioner told this magazine last week that hearing in the case had been slated for 20 May.

Despite the legal challenge, the Ministry of Finance continued with the selection process. But the process seems to have now been further bogged down by allegations of favouritism and ethnic bias. For one, this magazine learnt that about 30 persons, including Mashi, the incumbent acting chairman, responded to the advertisement by the Ministry of Finance by sending in their applications. Though he was said not to have  been the most senior staff at the time Omoigui-Okauru left the FIRS, Mashi’s appointment as acting chairman, according to sources, was influenced by his predecessor in office. To enhance his chances of being selected for the position, Mashi spared no expenses in touting his achievements, including the fact that he was able to generate about N3.401 trillion from taxes within eight months of being in office. Mashi is said to still enjoy the support of Omoigui-Okauru. Also, a section of staff of the service also supported the continuation of Mashi in office, mostly out of fear of what may or not happen if an outsider is brought in to replace him.

•Okonjo-Iweala: Inexplicably passes off his powers to appoint FIRS Executive Chairman

However, to his uttermost shock, Mashi was not among candidates shortlisted for interview by a committee headed by the Minister of Finance, despite the strong backing he enjoyed from Omoigui-Okauru. It was learnt that he was disqualified from the race because he did not have the required qualifications set out in the advertisement for the position. Apart from the Minister, other members of the Committee set up to screen the final four applicants invited for the interview include Permanent Secretary, Federal Ministry of Finance, Mr. Danladi Kifasi, who is a respected chartered accountant; the immediate past Chairman of the FIRS, Mrs. Ifueko Omoigui-Okauru; Nike Ogunlesi; Senator Ahmed Makarfi, Chairman, Senate Committee on Finance. But  making the names of the panelists and the shortlisted applicants public only worsened controversies surrounding the process.

Eyebrows were particularly raised over the inclusion of Nike Ogunlesi, a businesswoman, as many felt she had no reason to be on the interview panel. The inclusion of Omoigui-Okauru was also faulted by critics who alleged that the four candidates selected for the final interview were close to her. There was also the allegation of ethnic bias against the minister and the former FIRS Chairman when it was realised that all the candidates shortlisted for the interview conducted on Sunday, 3 March were from the South-East and South-South states. Some applicants from other parts of the country claimed that though they had the qualifications stipulated in the advertisement, they were not shortlisted for the interview.

This magazine learnt that Senator Makarfi, angered by non-inclusion of Mashi or any other candidate from the northern part of the country and other controversies, withdrew from the panel. This magazine gathered that the North, just like the South-west, feels marginalised in some appointments to agencies in the nation’s financial and economic sector. Some leaders from the region had hoped that retaining Mashi or appointing someone from the region would be a first step in redressing the alleged imbalance. Indeed, a  coalition of  northern youths, led by Comrade Shehu Sani, a human rights activist and President of Civil Rights Congress, had queried the rationale behind the appointment of a new chairman for FIRS when Mashi was already in the position and doing quite well. The group claimed the engagement of a consultant to handle the screening of applicants for the position of FIRS was already programmed to lead to the emergence of a favoured candidate.

•Makarfi: Said to have quit interview panel in protest

It was, however, gathered that as a result of the controversies, one of the northern applicants from Bauchi State was invited to be part of those to be interviewed for the position the Thursday before the interview. This magazine gathered that the candidate protested against the short notice he was given to prepare for the interview when he appeared before the interview panel on 3 March. Some of the other candidates interviewed for the position include one Ms. Mfon Akpan of Barclays Bank London; one Victor of KPMG and former Managing Director, Diamond Bank, Emeka Onwuka, who is now the chairman of Enterprise Bank Limited.

While the result of the interview has not been announced, there are speculations that the panel favoured Akpan as the successful candidate. This is in spite of the fact that the United Kingdom-based banker is said not to have experience in taxation administration as required in the advertisement. However, if her appointment is confirmed, it would give added ammunition to those accusing Okonjo-Iweala of utilising her powerful position in the present administration to fill vacant positions with people from her geo-political zone or from the South-South.

For one, the Coalition of Northern Youths had raised eyebrows that almost all occupants of strategic agencies in the economy like the Asset Management Corporation of Nigeria, Sovereign Wealth Fund, Nigeria Communication Commission, Director-General of National Pension Commission and very recently, the Chairman of Investment and Security Tribunal, are from her part of the country.

However, while defending the minister, sources in the presidency pointed out that it was the president himself who directed the advertisement of the position of FIRS chairman. The source told this magazine that the president had, at a ceremony organised to honour the departing Omogui-Okauru last year declared that such crucial positions would be advertised so as to get the best candidate.

•Omoigui-Okauru: Appointment to interview panel raises eyebrows

On the allegation of lopsidedness in appointments made under Okonjo-Iweala, the source pointed out that only the position of Sovereign Wealth Fund, SWF, boss was filled under her supervision. “How can you now be blaming her for appointing Igbos who were already in office before she came back as Minister of Finance?”, He queried. According to him, all the other positions had either been filled or the process of filling them was at advanced stage before the Finance Minister resumed office in August, 2011. He added that the process that led to the appointment of Uche Orji as the CEO of SWF was conducted by KPMG, a respected global consulting agency with Fola Adeola, former Guaranty Trust Bank managing director leading the recruitment process.

Meanwhile, thanks to the case in court and controversies surrounding the appointment of a new FIRS boss, Mashi may remain Acting Chairman of the service for a long time.

—Ayorinde Oluokun/Abuja

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Posted in Nigeria News. A DisNaija.Com network.

Source: PM News

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