BREAKING: Attorneys counsel new Pencom DG doesn’t have 15 years expertise stipulated in Pension Act
President Bola Tinubu’s appointment of Ms. Omolola Bridget Oloworaran as the brand new Director-Common of the Nationwide Pension Fee (PenCom), doesn’t align with the related legal guidelines that based the pension trade.
That is in line with feedback from attorneys who spoke completely to Nairametrics and suggesting that the appointee could not have met the minimal required to be the pinnacle of the PENCOM fee.
Ajuri Ngelale, Particular Adviser to the President, introduced on Saturday that Ms. Oloworaran is “a finance and banking skilled with a few years of expertise”.
She’s going to succeed Aisha Dahir-Umar.
Whereas the appointment is topic to the affirmation of the Nigerian Senate, the presidency anticipates a goal-oriented management to drive effectivity and superlative efficiency within the Nationwide Pension Fee because the prime regulator of the Nigerian Pension Business.
Oloworaran’s profession stint
True to Ngelale’s phrases, Oloworaran is a finance and banking skilled.
Nairametrics checks confirmed that the appointee has over 15 years within the {financial} providers trade.
Previous to her PenCom appointment, she was a key determine at FirstBank Nigeria, serving because the Head of Transaction Banking Operations since June 2019 in line with data contained in her Linkendin Profile.
Nonetheless, her profile on First {Bank} counsel she is presently a Deputy Common Supervisor, Group Head, First Shared Providers.
Earlier than her tenure at FirstBank, Oloworaran served at Stanbic IBTC from January 2016 to June 2019, the place she led the Worldwide Enterprise Middle, managing worldwide banking operations and cultivating international enterprise relationships.
Between November 2013 and January 2016, she served as Head of International Market Operations.
At FDHL GROUP, she served as a Guide from Might 2013 to November 2013, providing strategic insights and options.
Her earlier profession features a vital tenure at Renaissance Capital, the place she served in numerous capacities, together with Finance Supervisor and Senior Specialist, from March 2008 to April 2013.
From 2004 to March 2008, she labored at Citigroup involving in Treasury Operations.
All these attests to Oloworaran’s a few years of expertise on the finance and banking sector.
What does the legislation say about Pension DG’s appointment?
PenCom administration is ruled by the Pension Reform Act 2014.
Part 26 of the act pertains to the appointment of the Director Common and Commissioners.
That part stipulates that the President shall appoint an appointee who has 15 years cognate expertise in pension issues, as DG.
It states,
“There shall be for the Fee, a Director-Common who shall be appointed by the President topic to affirmation by the Senate.
“(2) The Director-Common shall-
(a) be the chief government and accounting officer of the Fee;
“(b) be accountable for the day-to-day administration of the Fee;
“(c) maintain the books and data of the Fee, and
“(d) possess related and sufficient skilled qualification in pension issues with 15 years cognate expertise.”
Oloworaran’s profession profile doesn’t present any 15-year stint in pension subject.
What Nigerian attorneys must say about Pension Reform Act
Talking to Nairametrics in an unique interview, public curiosity lawyer and TV character, Barrister Frank Tietie mentioned what Part 26 of the Pension Reform Act expressly means is {that a} DG designate must be working both in an institution which is a pension fund administrator (PFA) or a pension fund custodian (PFC) .
He mentioned anyone who doesn’t possess cognate expertise working as a PFC or PFA, doesn’t qualify to move PenCOM.
What he mentioned,
“Any person with expertise in authorized apply, banking, insurance coverage that are intently associated to pension, can’t be mentioned to own cognate expertise in pension issues.
“In keeping with the Case Legislation information of Nigeria, pension issues are issues referring to problems with staff who both make a contribution or corporations make a contribution on their behalf and the best way such funds are managed to the extent that they’re able to cater to the welfare of retired staff.
“So, it’s not linked to banking which is solely an understanding of financial points.
“My submission is that an individual who has not managed retirement funds however merely have been within the banking sector in managing money circulation between Central {Bank} of Nigeria and industrial {bank}, can’t be mentioned to have any shut expertise to pension.”
He concluded that the appointment of a banker as DG PenCom is an anomaly and the expectation is that the Senate is not going to verify it.
“If the Senate confirms the appointment, it then additional confirms that the Senate is certainly a rubber stamp Senate, ” he mentioned.
On his half, Barrister Maxwell Opara advised Nairametrics in an unique interview that the appointment of an individual that lacks 15 years cognate expertise in pension issues as PenCOM DG, stands to be challenged in court docket.
He careworn that primarily based on pension legal guidelines, solely an individual with years of expertise in pension issues is certified to move the Fee, not a banker.
He mentioned the event might be challenged in court docket as a result of the president has no powers to override the Pension Reforms Act that was framed by an act of the Nationwide Meeting.
“It’s President Bola Tinubu that’s breaking the legislation as a result of the lady by no means appointed herself.
“The appointment shouldn’t be in keeping with the Pension Reform Act. The president is doing this on his personal., ” he mentioned.
For Constitutional lawyer, Chief Festus Ogwuche, he advised Nairametrics in an unique interview that it’s illegal for the president to nominate an individual that doesn’t have fifteen years cognate expertise in pension issues, as DG, Pencom.
In keeping with him, the pension legislation stipulates that one should have stable background in that space as a result of it requires experience within the administration of pension funds.
“These circumstances within the Pension Reform Act 2014 have been intentionally put there by legislation. You possibly can’t defy the legislation and say you are able to do a greater factor by making any appointment at your discretion, “ Ogwuche added.
He mentioned the powers to nominate that’s vested within the president in Part 171 of the 1999 Structure, should be topic to different particular legal guidelines which can be validly made beneath the identical Structure.
“I do know the Structure is superior, it offers the president powers to nominate Mr X however should you go into the nitty gritty of that appointment, there are additional {qualifications} inside the institutions upon which that appointment is anchored that makes additional calls for for sure skilled zest.
“If the president appoints with out conceding to that subsidiary legislation, although it’s inferior, then there is no such thing as a appointment, as he has not fulfilled the constitutional provisions,“ Ogwuche mentioned.
He was of the opinion that if the president workout routines his powers by advantage of the 1999 Structure, however fails in guaranteeing that his appointment conforms to the provisions of a subsidiary laws, it’s deemed as if the president has not appointed.
A pension skilled who craved anonymity for concern of being victimized, additionally confirmed the supply of the legislation, stating that an appointee ought to have labored within the trade or garner cognate expertise within the trade. Nonetheless, the resume of Oloworaran seems to not counsel that is the case.
“Her total profession seems to be in operations (banking sector) and individuals who had labored together with her earlier than don’t recall any pension expertise”, the supply mentioned.
Profession stints of previous PenCOM DGs vis-a-vis the Pension legislation
Aisha Umar would be the rapid previous DG of PenCom.
She was a part of the Pension Reform Committee, led by Mr Fola Adeola, in 2003, beneath the purview of the Bureau of Public Enterprise.
Identical 12 months, she served because the Secretary, Deputy Director and Head of Human Sources Division on the BPE, and subsequently turned a Deputy Director, Monitoring and Compliance Division on the Bureau.
Following the institution of the Nationwide Pension Fee (PenCom) as an trade regulator in 2004, she began as a Deputy Common Supervisor in 2005 and was within the system until her appointment because the Director Common, fifteen years later.
President Muhammadu Buhari on Tuesday, September 29, 2020, submitted her title to the Senate for affirmation.
Anohu-Amazu, a lawyer, commenced her public service profession in 12 months 2000 as an Adviser on the Bureau of Public Enterprises (BPE). She served as a member of the Pension Reform Committee that launched the Contributory Pension Scheme by way of the Pension Reform Act (PRA) 2004.
She helped restructure and privatize the Nigerian Telecommunications Restricted, Nicon Hilton Lodge and AfriBank.
She was subsequently appointed because the pioneer Fee Secretary/Authorized Adviser of the Nationwide Pension Fee, identical 12 months.
She rose by way of the ranks to turn into the substantive Director Common of the Fee from October 2014 to April 2017.
Mr. MK. Ahmad is the pioneer DG of PenCom, who served from Dec 2012 to Dec 2014.
He has 35 years of main and dealing in numerous public sector organizations and {financial} providers establishments in Nigeria.
Ahmad had labored as a {bank} supervisor on the Nigeria Deposit Insurance coverage Company (NDIC), the Central {Bank} of Liberia in addition to served as Unbiased Non-Govt Director at MTN.
He sat as Chairman, Board of Polaris {Bank}, Board of Credent Capital Advisory, Board of Worldwide Vitality Assurance.
His pension expertise was largely with PenCom. Suffice it to say, that the Pension Reform Act 2014 was not operational when he was appointed as DG.
