By Emma Ujah, Abuja Bureau Chief

The Minister of Finance, Mrs. Kemi Adeosun  had said that she could not be blackmailed over the suspension of the Director-General of the Securities and Exchange Commission (SEC), Mr. Mounir H. Gwarzo.

There have been insinuations that Mr. Gwarzo’s suspension was due to his refusal to stop the forensic audit of Oando Plc.

Adeosun

The minister said in Abuja, yesterday that the claim was baseless because she personally approved the audit of Oando.

According to her, the insinuation of an instruction to discontinue with the Oando case was false and could be corroborated by the other parties in the meetings held with Mr. Gwarzo before his suspension.

She added that the point was also made clear to the new SEC leadership that the audit must continue and wondered why some interests were trying to hang Gwarzo’s suspension on her opposition to the same audit which she approved.

She said  that Gwarzo’s removal was based on the need to maintain integrity in the capital market and sustain investor confidence in the sector.

According to her, “The integrity of the capital market is vital to the growth of the Nigerian economy and must be managed in an orderly and transparent manner to ensure investors’ confidence. Its leadership must maintain and be seen to maintain the highest standards of integrity.”

She added, “the original decision taken by SEC on October 20, 2017 to suspend the shares of Oando Plc and conduct a forensic audit, was approved and endorsed by the Federal Ministry of Finance. The SEC team, led by Mr. Mounir presented adequate evidence to the Minister of Finance and her team, that Oando Plc had a clear case to answer with regard to infractions of the ISA.

“No contrary evidence has been presented and thus, the investigative work on Oando and all other ongoing investigations being undertaken by SEC in the discharge of its statutory functions have continued. Indeed, our information is that the forensic auditors have resumed at Oando.”

Mrs. Adeosun explained that the approval for the audit of Oando was given by her after a meeting with Mr. Gwarzo, the Permanent Secretary of the ministry, Alh. Mahmoud Isa Dutse, as well as, the Director Legal of the ministry, Mr. Christopher Gabriel.

“For the avoidance of doubt, there was no directive whatsoever to discontinue investigation into Oando and this was reiterated to the current SEC leadership at the formal handover meeting. The fact that the investigation has continued further corroborates that this is the minister’s position,” she added.

The mnister insisted that Gwarzo’s suspension was in line with the Public Service Rules (PSRs), to allow for an unhindered investigation of serious allegations of financial impropriety against him. Some of the allegations with documented evidence include the awards of contracts to companies related to him and members of his family.

She explained that following the allegations against Mr. Gwarzo, he was queried by the Ministry on November 3, to which he responded on November 7, 2017.

Mrs. Adeosun said, “His response to the query was deemed unsatisfactory and further investigation was ordered. Based on the evidence from that further work and creditable reports that documents were being unlawfully removed from SEC, as well as, consultations with the Economic and Financial Crimes Commission (EFCC), the decision was taken to suspend Mr. Gwarzo.

“At the meeting on Monday, 27th November 27, Mr. Gwarzo was asked to clarify some of his responses to the query issued, which were not consistent with documentary evidence. From that interaction, Mr. Gwarzo became aware of the strong likelihood of his suspension. It was thereafter that Mr. Gwarzo prepared the memo, which has been circulated in the media.

“It is instructive to note that Mr. Gwarzo personally delivered the memo using SEC staff seconded to the office of the Minister, in breach of normal procedures for the receipt of mail.”

The minister said the memo was delivered with a message that any action against Mr. Gwarzo would result in same being leaked to the press and that it was this threat of blackmail that strengthened the minister’s resolve to the SEC and allow the Administrative Panel of Inquiry to proceed with its probe.