Strict Adherence to Corporate Governance in the Nigerian Banking Sector : The Uncharted Path

Whereas the 20th century might be viewed as the age of management, the early 21th century is predicted to be more focused on governance. Both terms address control of corporation but governance has always required an examination of underlying purpose and legitimacy.The financial crises of Enron, Arthur Andersen, Tyco, WorldCom and Parmalat at the beginning of the 21st century has heated up the discussion about the proper governance of companies. See the case of Arthur Andersen LLP v. United States which has since stood as a significant precedent on the relevance of corporate governance in corporations. The failed banks crises in Nigeria and other corporate scandals that marked the turn of a new millennium cannot be left out either, as corporate governance has become a popular phrase in the media, the boardrooms, in the discourse of public analyst and other concerned stakeholders.Corporate governance is a highly topical subject which concerns the management of large companies and the way in which they use their power and influence in the society today. It encompasses a wide range of issues extending from company law to business ethics. This is not surprising as increasingly, the activities of both government and corporate organizations are coming under intense scrutiny from concerned citizens, investors, customers and regulators over the manner that government and organization conduct their business.However, good corporate governance will enhance Nigeria and our corporate image and attract high quality employees and investors, and distinguish Nigeria and its peers as good place to work and do business. As I consider the Nigeria banking institution as the focal point in this paper with the looming problems that has imploded a wave of scandals in this sector, I shall therefore attempt to proffer a theoretical framework and a legal response to corporate governance problems that would place the Nigerian banking institution on the global pedestal because excellence should be an integral part of the Nigerian banks Service philosophy which must reflect in the institutions core values and also demonstrate the institutions belief in the principles of corporate governance