The Independent Corrupt Practices and Other Related Offences Commission (ICPC), says it is working towards deploying technological tools that would identify, monitor and curb Illicit Financial Flows (IFFs) in Nigeria.
It also said the private sector is responsible for over 60% of illicit movement of money out of the country.
ICPC Chairman, Prof Bolaji Owasanoye, disclosed this at a one-day meeting to review the Draft Model Financial Transparency Code for the Private Sector.
Owasanoye, who was represented at the meeting by the Secretary to the Commission, Prof Musa Usman Abubakar, noted that ICPC and the Inter-Agency Committee for Stopping Illicit Financial Flows had undertaken a range of activities including research to better appreciate the nature of IFFs in Nigeria.
He added that the Commission is also focusing on the extent of incidences of IFFs in key sectors like oil and gas, education, real estate as well as taxation, investment and contract negotiation.
He said: “these activities have enabled members to gain a better understanding of IFFs from the perspective of other agencies. The key focus of the meeting was to review and make inputs to a draft code developed for the private sector which will go a long way in tackling IFFs.
“It is noteworthy that workshops on capacity development for Investigators, Tax Inspectors, Prosecutors and Negotiators of Trade, Investment, Tax and Natural Resources Agreements have also been done.
“The key focus of today’s meeting is to review and make inputs to a draft code developed for the Private Sector which will go a long way in tackling IFFs.
“After the review of the draft document and relevant amendments, inputs, there will be a series of sensitisation before its deployment to the private sector for voluntary compliance.”
…the key features of the code include the provision of a checklist of all codes to enable enterprises to assess their level of transparency, provision of risk assessment to the private sector on their enterprises, and development of an anti-corruption programme.
Improving transparency
The lead presenter, Dr. Kolawole Ebire, while presenting the code, said it was aimed to improve transparency in the private sector which contributes about 60% of the total IFFs in Nigeria.
“The objective of this Model Financial Transparency Code for the Private Sector is to strengthen the prevention mandate of ICPC with a focus on combating IFFs to diminish the loss of private revenue on commercial transactions. Additionally, the transparency code will improve accountability among private owned businesses,” he said.
He listed the key features of the code to include the provision of a checklist of all codes to enable enterprises to assess their level of transparency, provision of risk assessment to the private sector on their enterprises, and development of an anti-corruption programme.
This will include policies and procedures for members, and the application of the anti-corruption programme to business partners.
Other features are internal control system and record keeping, provision of incentives, ethics and compliance, seeking guidance-detecting and reporting violations and promotion of consistent and timely disclosure in connection with financial transactions.
Also, the Chairman, Inter-Agency Committee on Stopping Illicit Financial Flows, Dr Adeyemi Dipeolu, said the implementation of the laws on IFFs is critical to curbing the menace, to promote transparency in the conduct of business.
