Don’t overstep your mandate, Fashola tells FMBN Board

The Minister of Works and Housing, Babatunde Fashola, has urged the Board and Management of the Federal Mortgage Bank of Nigeria (FMBN) to stick to their mandate as stipulated in the law establishing it.

Fashola, who stated this during the inauguration of the Board and Management of the bank in Abuja, added that they were forbidden from making the financial institution do anything the law does not authorise. He said they could become individually and corporately liable for noncompliance with the law.

“This has become the important starting point for my inauguration remarks because in the tenure of previous boards and managements before this administration, the bank has been made to do things the law did not contemplate; and this has resulted in hobbling liabilities, which I regret to inform you that you must now confront and resolve.

“In addition, I expect this management and board to bring to a lawful end, all other ventures into which the bank has dabbled, which are not supported by law.

“I expect this to happen through due process, supported by legal consultations, board debates and decisions, as well as ministerial or presidential approvals as may be necessary.

“Your primary mandate is to re-position this bank for Nigeria as envisioned by the founders,” he said.

He advised the board and management of the bank to, at the earliest opportunity, engage with the Central Bank of Nigeria (CBN) and agree to a schedule of compliance and implementation of all reform initiatives, including the computerisation of the operations of the bank, which has begun.