POLITICAL SCIENCE AND ADMINISTRATION-ATC

RESOURCE CONTROL AS A MAJOR KEY TO THE STABILITY OF THE NIGERIAN POLITICAL SYSTEM

CHAPTER ONE

INTRODUCTION

To highlight some significant events and developments in response to a review of Nigeria as a federal structure, it is intellectually pertinent to present a brief survey of the past to understand the distinct phases through which the nation passed to arrive at its present political state and economic condition vis a vis revenue allocation or resource control.

Some of these historical periods have enjoyed such degree of true federal structure, that in reference to revenue allocation and federalism, not only were great strides made in the promotion of social and economic development, the overall smoothness in the system at both the regional and federal (central) levels over shadowed the negative consequences of the power struggles, and by the late 1950s a myth of Nigeria as a “federalism” enjoyed considerable international credibility.

1.1 BACKGROUND OF THE STUDY:

The revenue allocation issue in the political economy of Nigeria is as volatile as any other national question such as population.

This means that how national revenue is shared among the different components of the federal structure is irretrievably tied to the national question. Hence no broadly acceptable national revenue allocation formula has been put in place since 1947 and which has not generated controversy but had to be made acceptable in the “interest of national unity” this controversy can be amplified with the outburst of Gov Victor Attah of Akwa-IBOM state in response to the supreme court ruling on the onshore/offshore dichotomy case, According to him, if the judgment of the supreme court is implemented, it would mean that they would go home with nothing, where as those that have nothing to contribute, but have a large population and land mass which are the indices for revenue sharing from the federation account will be given the resources from our land to develop their land; and to them, it is not only unjust, it is also wicked and that is why it is unacceptable he therefore solicited the president to make as a matter of urgency a bill to the national assembly which would seek to abrogate the onshore, offshore dichotomy, as that will be in the interest of national unity 1.

However, for many years now the revenue allocation has been interlaced with volatile, which attracted the attention of people within and outside the country.

But the researcher is poised to make his own contribution to the effort towards bringing stability, peace and development in the Nigerian polity and to achieve national unity.

1.2 STATEMENT OF THE PROBLEM.

There are problems with devising a scheme of revenue allocation that is nationally understood and widely accepted as equitable. Over the years, various formula as many as thirteen have been tested and each has received some criticisms and resentments from many quarters of the nation state.

Succinctly, it has grown to the extent that it has assumed a thematic issue of national and international status. But there could be some reasons behind this and the following questions become relevant.

What is resource control?

To what extent can the issue of resource control be attributed to the lingering crisis in Nigerian polity?

What is the relationship between resources control and political stability of the nation?

1.3 OBJECTIVE OF THE STUDY.

The main thrust of this exercise is to unearth the remote causes of dissatisfaction among the south – south in the revenue allocation formulae.

Secondly, to identify the reasons why the allocation principles have defied every pacifying effort.

And finally to explore why many units of the federation are demanding for the control of the resources collectively owned under Nigeria federal state arrangement.

However, this piece of work hopes to give a lasting solution to the disenchantment among the components of the federation.

1.4 LITERATURE REVIEW

In the words of Seltiz et. al. (1959) “One of the simplest ways of economizing effort in inquiry is to review and build upon the work already done by others.

This statement, in a nutshell, underlines the entire logic behind the review of literature related materials on a particular discipline. It serves as a stepping-stone, launcher, or an aid to mankind’s bid to push toward the frontiers of knowledge; which itself constitutes the essence of research.

While serving this function, the scope of knowledge is generally amplified and our perception of our worldview as regards the problem at hand will then come to a grasp in an appreciable manner and of great importance to mankind if our knowledge of the context of a particular subject matter understudy is greatly enhanced. It is thus been observed that even acclaimed geniuses who have played decisive roles in the history of social development, the likes of Albert Eistein, Charles Darwin, Karl Max, Sigmind Frend, etc; had to rely on the works of people before them to attain their thoughts knowledge, as widely held, albeit correctly is not and never borne out of vacuum.

Therefore, regarding our subject matter “the revenue allocation principle” and its attendant centrifugal effects on the Nigerian polity, it is necessary that we acknowledge that quite ample literatures have been expounded there upon.

The topic of discourse is very crucial and polemic sequel to the fact that it pricks the toga of Nigeria national unity. Inspite the fact that the issue of resource control reared its head long ago, it resurfaced into the polity following the enthronement of democratic regime in 1999.

According to Okafor Celestine, writing in Vanguard Newspaper of July 14th, 2001, “the battle for control of resources specially oil resources has been a long drawn one. He recalled that by 1914 when Nigeria was amalgamated, a legislation, colonial mineral ordinance was promulgated which ensured on the monopoly on “British and British allied capital” by the while government excluding the local people from taking part in the nations oil sector. So the indigenous people goaded by the local elite did not take it slightly and started agitating for greater participation in the administration and management of the natural resources.

Furthermore, Ralph Nkwokedi maintained in his book; REVENUE ALLOCATION AND RESOURCES CONTROL IN NIGERIA FEDERATION that,

The question of resource control was for the first time I Nigeria raised as a serious constitutional matter during the London conference of 1953 to prepare for the 1954 constitution which reinforced the federal structure in Nigeria and move clearly demarcated power between federal and regional government 3.

Nwokedi further pointed out that the issue of resource control had not in the past generated much controversy in the national politics mainly because during the colonial era and up to the inception of the independence constitution the regions control their mineral resource.

The regional governments then enjoyed certain degree of autonomy that made it possible for them to control their natural endowment.

But contrary to the existing situation Nwokedi contends that the adoption of the report of Raisman Commission of 1958, which recommended revenue allocation arrangement of 50% against former 100%, culminated to the demand for resource control by the regions. Coupled with the advent of the military regimes that eroded and abrogated derivative principle to the advantages of the oil producing areas, which aggravated the agitations.

In his submission in relation to the issue of resource control in Nigeria federation he suggested that Nigeria leaders should address the issue of resource control to give states adequate participation in the development or management of their resource and to enjoy substantial reward from the exploitation of such national resources. This can be achieved by partnership agreement between states and federal governments as well as the foreign investors. Again that they should work out a universally acceptable mode of revenue allocation formula that gives to each state revenue according to its contribution.

However, from his suggestions above, one can solve the problem of resource control. But a keen observer of Nigeria polity and the existing formula was universally accepted based on the voice of majority and considering the nature of Nigeria and nature of their leaders “ATTITUDES PERCEPTION” of the leader, it will be difficult to go by. Nigeria leader “Northern leaders” that wields this political power is devoid of the political will to listen to the voice of the minority moreover as the outcome will not favour his people hence the allocation on population/ land mass.

There’s no gainsaying that the politics of resource control stems from the believe that “the demand for restructuring and resource control is borne out of deep-seated feeling of marginalisation of the people that produce the bulk of the nation’s foreign earnings i.e. oil.

Again, the highlight in the ten point communiqué issued by southern Governors in GUARDIAN NEWSPAPERS OF TUESDAY JULY 9, 2002, they said that they have resolved to fight for a review of allocation along a democratic line as against an imposed one. Remarkably, they also called for a national conference of all of Nigeria’s ethnic nationalities. They described as unacceptable the saddling of the nation with a unitary revenue allocation system inherited from the military .4

Again during the second summit of their conference, held in Enugu on January 2001, which was presented by Governor Chimaroke Nnamani states inter-alia.

That resource control and derivation should hence forth be accepted as the basis of for revenue generation and allocation. 5

Meanwhile, several summits of the southern Governors both in Enugu, Benin and Lagos have given a veritable platform for the actualization of the resource control demand. They argued that restricting ethnic zones without resource control is like building without foundation. The governors unanimously agreed that it would even be better for each of the federation to control their God given resources as was practiced in the first republic when each region developed at its own pace in line with the principle of true federalism.

So also, Godwin Darah writing in African Today magazine on the topic “Niger Delta” the case for Federalism and Resource Control, he made his opinion explicitly that,

The demand for the convocation of a national conference is a peaceful way to resolve all the issues of resource control and true federalism. Power will be decentralized and a slim federal government will emerge. 6

From this it can be inferred that Darah is of the opinion that the idea of convening a national conference that will restructure the statuesque to the advantage of the federating units leaving a slim central federal government as was obtained in any other nation that is practicing federalism will be the way forward for the polity.

The issues of resource control have enjoyed supports from many sympathizers and analyst. The Guardian Newspaper of December 21st 2000, in its front page reported that;

NIGERIA BACKS RESOURCE CONTROL BY STATES. 7 An opinion poll conducted by the Guardian has indicated that a good majority of Nigerians across the six geopolitical zones of the country representing 47.77% of the survey were positive when asked: “Do you support the idea of resource control by the state”.

However, an equally 44.48% of the poll disagree with the idea championed by the south. But 7.46% declined comment.

Having had an in-depth analysis on the force of resource control, the owns is one- one to have an idea of what is expected of a true federalism. In that concept, the work of S.C Ugwu quickly comes into focus in which he in his “federal system” the Nigeria experience where he adopted the Wheare’s view on what a true federal structure should look like thus he opined interalia:-

The general accepted nature of federalism which has endured for long time is the one given by K.C. wheare. He said that the most fundamental and distinguishing characteristic of a federal system is that neither the central nor the region all state government are subordinate to each other, but rather, the various levels of government are coordinate and inter-department. 8

Each level operates directly with the people and helther may arrogate power to its power assigned to the other.

Also in the same work, Ugwu quoted Elaigion who pointed out that in a federal system, the nature and pattern of power sharing between the centre and sub-regional units differ from one country to another, depending on the nature and agreement reached by the multinational units. To K.C wheare, everybody regards the U.S.A as example of federal government. He made U.S.A federal system as a reference point and a model. In Ugwu’s work, he reveals that federalism is a kind of compromise between advocates for a strong central government and those who push for autonomy respect for the right of the sub-regional units. 9

He identified some countries that operates federal system of government which includes, U.S.A, Canada, U.S.S.R, Nigeria, Switzerland and India etc. units of federations are called different names in various countries, while the centre government is usually referred do as federal government. In the contemporary Nigeria components governments are called states likewise U.S.A, but in pre-1967 Nigeria and former U.S.S.R, they are called regions, in Canada and India they are called provinces while in Switzerland they are called cantons.

Ugwu revealed that the existing in balance in the relationship between the federal and the component units has eroded the Nigeria federal system and rendered it defective and perfunctory. So in his own analysis and findings Nigeria federalism does not the principle of true federalism.

In the same vain, Nnokedi in his own findings in revenue allocation and resource control in Nigeria federation opined thus,

It is obvious from the structure of the federation in Nigeria and existing constitutional functions and source of revenue are very much circumscribed and that more powers and revenue are concentrated in the central of federal government. 10

So, the federal government controls virtually all the major source of revenue like the mineral resources including oil, while the state governments are left with grants or allocation that come from the federal and other minor revenue source to work with.

In the other hand, the constitution of federal republic of Nigeria 1999 Amendment Bill of 2001, chapter 1 part 1 section iii part 1 subsection provides thus, “Nigeria is one indivisible and indissoluble sovereign state to be known by the name of the federal republic of Nigeria”.

Sub section 2 “Nigeria shall be a federation consisting of states and a federal capital territory. In relation to the structure, the committee made their recommendations thus;

That Nigeria should continue to remain a federation, clearly recognizing states as a federating units and Abuja as a federal capital territory, but with much power devolved to the federating units with the federal government enjoying a minimum of important powers transcending states jurisdiction. 11

On the issue of revenue, section 162 (2) of 1999 Nigeria constitution provides that;

In determining the formula the national assembly shall take into account the allocation principle especially those of population, equality of states, internal revenue generation provided that the principle of derivation shall be constantly reflected in the approved formula as being not less than 13% of the revenue accruing to the federation account directly from any natural resources. 12

The committee equally recommended

(1) That the derivation formula as contained in section 162 (2) should be increased substantially beyond the 13% minimum

It urged the government to commence full disbursement of the derivation funds to the beneficiary states and thus should apply to all natural resources as prescribed in the constitution.

Meanwhile, the recommendation of the committee was informed by the proposal and petition as well as memoranda sent to them by Nigerians. So based on their observation, findings and judgment they now saw the dive need for restructuring which they made.

Emeka Anyoku in a lecture delivered at the Institute for Policy and Strategic Studies Kuru oh November 1st 200 as published in the Guardian newspaper, he posited that;

The idea of revising constitution should be encouraged and the revised constitution must also contain provision for federalism, decentralization and devolution of power, which can be developed, to accord with the emerging needs for greater autonomy and responsibility at the state and local level. 13

Furthermore, Dafinone David, a senator writing on true federalism and resource control in a paper presented in an international conference defined federalism;

As a system of government where more than one level of government. (Federal, state and local government) the federating units that state government exercise independent jurisdiction within their defined territories these federating units are not sub-ordinate to the central government. 14

He equally stated that “a federation is coming together of different entities for the good of all but not the less of their respective independence. He supported the establishment of true federalism in the country and equally demands for 100% resource control by the ethnic nationalities with appropriate tax paid to the federal.

In the same vein, Abdul Oroh an executive director of C.L.O in an interview with the Guardian newspaper made his views clearly that, “we have a federal system that is not in every way you would want to look at it, operating as a federal structure, now we have a government that is very powerful a federal government that controls all the resource: 16

He further argued that the federal government should increase the 13% derivation to 50%. Oh the issue of resource control, he justified it as being a legitimate demand.

Against the background of resource control by states, the Kaduna state governor Alhaji Almed Markifi who was reported by African today magazine vol. 7 No 9 as an antagonist of the idea. He argued that federal resource including oil is invested in the development of the federation, that it is wrong to hand it over to area of derivation. But a critical inquest on his stand tends to reveal that he is mixing the issue with sentiments.

Also Bala Usman a radical historian from the Northern zone, in his monograph published in Africa today magazine, he made claim that the agitation of resource control by states is baseless. His stand is being informed by ethnic prejudice.

If we have been following the argument of analyst and scholars with sound intellect, we can easily deduce that there’s every need for a restructuring of the statusquo. In doing this, the constitution should be made to reflect the principle of true federalism, which facilitates stability and development in the federation.

1.5 SIGNIFICANCE OF THE STUDY:

As indicated in our literature review and purpose of study, quite a lot of literal work has been devoted to the subject “ANALYSIS OF REVENUE ALLOCATION PRINCIPLES” both in its general sense and with particular reference to the case of Nigeria’s federalism. Most of these dealt with either the various theories of federalism and resource control, the need for a true federalism, the prospects and problems of revenue allocation in a federal system. However, it remains that not much has been done in the area of the contending issues involved. It is in this direction therefore that we would like to view the significance of this study. It is a contribution to the appraisal of the principles of revenue allocation in Nigeria under review 1954 –

1.6 THEORETICAL FRAMEWORK:

In short, knowing that any political inquiry without a conceptual or theoretical frame is usually conceived as an exercise in futility in our discipline, the essence of theories and concepts need not be overemphasized here.

In a work of this nature, it behoves one to adopt David Easton’s System Analysis as one’s tool of analysis in this piece of work. Accordingly, the system theorists defined it as “A system is anything that comprises more than one part with distinct boundaries which are interrelated in an organized unitary whole with more than one distinguished parts that are connected. 15 Systems Theory was first adopted and developed by a German sociologist Von Bertalanty (1991). But David Easton is the first major political scientist who has developed a systematic frame on the basis of the system analysis approach for the study of politics instead of merely adopting it from Sociology and Anthropology.

(Varma. S.P.1999 RVSD)

Easton defined political system as “that system of interaction in any society through which binding or authoritative allocations are made and implemented. 16

David Easton in his analysis treated all political systems as both open and adaptive systems and focused mainly on the study of the nature of the exchanges and transaction going on between the political systems and its environment.

He pointed out that political system accumulate large repertoires of mechanism by which they try to cope with their environment and through which they regulate their own behaviour, transform their internal structure and even to remodel their fundamental goal.

The system operates through the process of input – output mechanism. The system received demand or supports in form of input and pass through conversion process within the system and then take the form of output.

This is followed by feedback mechanism, through which the effects and consequences are put back to the system as input.

Therefore based on the analysis so far, Nigeria federation is a system comprising of many sub – systems or units interrelated and contributing in distinctive manners to the development and stability of the system.

The “Revenue Allocation principle” is a demand from the environment in which the system will put through the conversion process within the system and then take the form of output, which will sustain the system to contribute to the sustenance of the polity.

Meanwhile, in Nigeria federation, the revenue allocation which is supposed to be the lubricant to the system being controlled by the federal government has become the object of conflict in the system. This is consequent upon the failure of the federal government to live up to its functional expectation to the federating units.

The agitation for states’ control of natural resources in their jurisdictions is the consequences of the demand of the federating units for a better deal from the federal government that authoritatively allocates the values for the system.

Therefore, should the federal government maintain equity and fairness in allocating the revenue accruable from these federating units? It will always enjoy the support of the sub systems i.e. component units and the system will be stable.

So system approach becomes a veritable tool in a discussion of this nature.

1.7a METHOD OF DATA COLLECTION:

In the course of this academic exercise, the writer / researcher depends heavily on content analysis hence various text on federalism, Government, Politics, Seminar paper, Journals, Daily News print and Electronic media. Also the U.N.N, E.S.U.T, I.M.T, National- National Archives were of immense importance.

1.8 HYPOTHESIS

The following hypothesis is being formulated.

H1. The inadequacy of the present revenue allocation principle to address the plight of the oil producing areas causes the socio – political crisis for the control of resources by states.

H2. An upward review of the derivation and even development allocation to the oil producing states bears potential to check these centrifugal forces.

1.8 METHOD OF DATA ANALYSIS.

As earlier stated the content analysis of the available data in respect to this work is the method I used in the data analysis. The “CONTENT ANALYSIS” is what the researcher used.

1.9 SCOPE OF STUDY

This study will be confined to the various causes of the agitation of state control of resources and sequence of agitations from Raisman Commission of 1958 till 2002.

1.10 DEFINITION OF TERMS:

FEDERALISM:

The principle in which there are two or more levels or units of government with federal authority representing the whole and act on behalf of the whole on certain matters assigned to it by the constitution. 17

RESOURCES CONTROL:

Lucidly, Ibori James; “……to be substantially involved in the activities involving in the extraction of natural resources in their region and if possible to control a major percentage of stake. And like it happens elsewhere in the world taxes can then be paid to the central government. 18

REVENUE ALLOCATION:

The practice where one level of government turning over a portion of the revenue it receives from taxation to another level of government usually a lower one.

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CHALLENGES OF CORRUPT PRACTICES IN NIGERIA

ABSTRACT

This work discusses challenges of corrupt practices in Nigeria. The main objective of this work is to access and evaluate how corruption has eaten deep into the economy of Nigeria. Also to understand the negative impact on the economy growth and development of Nigeria.Nigeria has been ranked 33rd most corrupt country in the world, according to the latest report by German-based Transparency International, TI.In 2007, TI ranked Nigeria 33rd most corrupt, having scored the country 147th out of the 180 countries it surveyed for corruption. It was five steps below that of 2006.The report said: “From children denied an education, to elections decided by money not votes, public sector corruption comes in many forms.Bribes and backroom deals don’t just steal resources from the most vulnerable they undermine justice and economic development, and destroy public trust in leaders.But while the results of corruption are clear, the real extent of the problem is harder to pin down. Corruption within the public sector remains one of the world’s biggest challenges, Transparency International said, particularly in areas such as political parties, police, and justice systems. Public institutions need to be more open about their work and officials must be more transparent in their decision-making. Corruption remains notoriously difficult to investigate and prosecute.

TABLE OF CONTENT:

CHAPTER ONE

INTRODUCTION

1.1 Background of the Study

1.2 Statement of the Research Problem

1.3 Objectives of the Study

1.4 Significance of the Study

1.5 Research Questions

1.6 Research Hypothesis

1.7 Conceptual and Operational Definition

1.8 Assumptions

1.9 Limitations of the Study

CHAPTER TWO

LITERATURE REVIEW

2.1 Sources of Literature

2.2 The Review

2.3 Summary of Literature Review

CHAPTER THREE

RESEARCH METHODOLOGY

3.1 Research Method

3.2 Research Design

3.3 Research Sample

3.4 Measuring Instrument

3.5 Data Collection

3.6 Data Analysis

3.7 Expected Result

CHAPTER FOUR

DATA ANALYSIS AND RESULTS

4.1 Data Analysis

4.2 Results

4.3 Discussion

CHAPTER FIVE

SUMMARY AND RECOMMENDATIONS

5.1 Summary

5.2 Recommendations for Further Study

Bibliography

CHAPTER ONE

1.0 INTRODUCTION

1.1 BACKGROUND OF THE STUDY

The growing clamour for democratic transitions that swept through the entire African continent in the 1990s subsequently gave birth to a wave of competitive multiparty election thereby challenging authoritarianism, military rule and one-party regime in virtually all African States with a view as Nyirabu(2002:99) put it “widening the space of democracy”. Such democratic transitions have however not limited to African countries alone. A writer has properly put this when he stated that: ‘In the coming years, more countries will undoubtedly move toward democracy and some democratic transitions will occur (Huntington, 1996:5). This prediction many years ago came into reality.

Paradoxically, Nigeria’s democracy especially the one that commenced from May 29, 1999 was born with persistent ethnic and religious tensions, growing religious conflict, depressed economy and marginalisation among others. Of these problems, no one is more intractable and more threatening to the future of Nigerian democracy than political corruption. Thus a statistical index on 85 countries, covering all the continents of the world from Transparency International showed that, Nigeria and Tanzania occupied the fifth position (Eke, 1999: 5). While this was so in 1999, by 2004 the same Transparency International ranked Nigeria as the third most corrupt country in the world (Adesina, 2004:16). Both internal and international observers have rated Nigeria as the most corrupt country in the world, deserving a pride of place in the Guinness Book of Records (Umukoro, 2008:67). NuhuRibadu, a former head of the Economic and Financial Crime Commission (EFCC) alerted the nation that as many as 31 former governors out of 36 have a case to answer on corruption (Adesina, 2008: 28). The issue is so appalling in Nigeria that in another development, Ribadu revealed how politicians siphoned over $10bn from Nigeria monthly (Farotimi, 2010: 7).

Analysts of political corruption in the Third World have regarded this monster as the single most important obstacle to economic development and political integration (Tignor, 1993: 175). In fact, the British Government became increasingly worried after the World War II and resultantly claimed that the transfer of power which could guarantee political independence to Nigeria should be slowed down because of the rate of political corruption. Tignor (1993, 176) further claimed that, of the problems such as thuggery in politics, lack of commitment to democratic ideals, ethnicity, and bureaucratic incompetence and inexperience that surfaced in the 1950s, political corruption rose to subsume all of them and therefore become the emblematic defect of the fledgling republic.

This monster called political corruption has continued to cripple successive government in Nigeria. The First Republic (1960-1966) became the victim of political corruption as state contracts and loan programmes were systematically milked to enrich elected officials. The period of the Nigerian Civil War was not in any way better. This period which coincided with the Gowon’s administration became an era of open display of corrupt practices as some Government functionaries were exposed. Gowon’s style of eradication of corruption woefully failed as a commission of inquiry appointed by General MurtalaMuhammed after his assumption to power by August 1975 coup convicted ten of the country’s twelve military governors of diverting funds totalling over $20million (Diamond, 1991: 74).

Although there had been no government in Nigeria that had demonstrated a strong will to fight corruption between 1975 and 1979 than Murtala/Obasanjo administration, this notwithstanding it was unable to rid the society of this disease by the time it handed over power to the civilian politicians in October1979.The beginning of the Second Republic marked another resurgence of political corruption that surpassed the previous regimes. Thus Western diplomats and economists unofficially estimated the private wealth exported by top government officials in the Second Republic at between $5 and $7 billion (Diamond, 1984: 908). By December 31 when the military took over and arrest of politicians was made, million of naira were found in cash in the houses of these corrupt politicians. In fact, the magnitude of corrupt practices that pervaded the entire republic earned the period the golden age of corruption (Adamolekun, 1985: 88).

With all intents and purposes to fight against political corruption, the Buhari/Idiagbon government could not do much because the regime’s disregard to due process discredited its campaign against political corruption. The advent of Babangida’s no doubt heightened corruption in the country. Babangida who claimed to be the messiah of the country soon fell victim of corrupt practices as he was accused of large cash gifts to military officers, cabinet ministers, traditional rulers, and potentially contentious opponents; of Mercedes Benz cars given to major newspaper editors and directors of state broadcasting corporations; of the president’s secret personal investments in banks and companies; of off the book oil being lifted offshore by private tankers (Diamond, 1991: 76). It was this tempo of corrupt practices that besmeared the Third Republic.

The rise of public administration and the discovery of petroleum and natural gas are two major events seen to have led to a litany of ignoble corrupt practices in the country. Over the years, the country has seen its wealth withered with little to show in living conditions of the average human being. A Nigerian political leader, ObafemiAwolowo raised a salient issue when he said, since independence, our governments have been a matter of few holding the cow for the strongest and most cunning to milk, Under those circumstances everybody runs over everybody to make good at the expense of others. The pervasive corruption has been blamed on colonialism. According to this view, the nation’s colonial history may have restricted any early influence in an ethical revolution. Throughout the colonial period, most Nigerians were stuck in ignorance and poverty. The trappings of flash cars, houses and success of the colonists may influence the poor to see the colonist as symbols of success and to emulate the colonists in different political ways.

Involvement in the agenda of colonial rule may also inhibit idealism in the early stage of the nascent nation’s development. A view commonly held during the colonial days was that the colonists property (cars,houses,farms etc.) is not “our” property. Thus vandalism and looting of public property was not seen as a crime against society. This view is what has degenerated into the more recent disregard for public property and lack of public trust and concern for public goods as a collective national property.

Petty corruption is reportedly widespread and surveys indicate that it is very hard to do business in Nigeria without having to pay facilitation payments to public officials. Companies should note that property rights, contracts and commercials disputes can be difficult to enforce and settle in Nigerian courts due to corruption, inefficiency and under-staffing. Tax administration lacks transparency that has led either to high levels of tax evasion or tax officials demanding bribes in return for lower tax rates. The police are perceived to be one of the most corrupt institutions in Nigeria, and X Squad, the disciplinary body responsible for investigating corruption inside the police is reportedly corrupt themselves as well.

Corruption in Nigeria is not a unique phenomenon. Its causes as well as its remedies are similar to those of other countries throughout the world. Although global experience has proven that the fight against corruption cannot be efficient or effective without the backing of relevant legal frameworks, experience has also proven that legal frameworks are not enough without strong political will and civil society participation. Various anti-corruption attempts by both military and civilian federal governments in Nigeria are a case in point. In dealing with the social virus of corruption almost total failure has resulted, illustrating the need to go beyond legal frameworks. As President OlusegunObasanjo argues in his paper, “Nigeria: from pond of corruption to island of integrity,” Nigeria, right from independence in 1960, has always had enough laws to address the problem of corruption in the country.

1.2 PROBLEM OF THE STUDY

One of the pertinent issues in Nigeria today is the focus on one of the greatest impediment to good governance and sustainable development corruption.

In recent times, corruption has as an issue taken the front burner in development discourse worldwide.

Since 1996, the World Bank has supported more than six hundred (600) anti–corruption programmes and governance initiative developed by its member countries.

Especially in 1999, the World Bank institute budgeted a whopping $7.5million to fight corruption (Polzer, 200:2; Tesh, 1991:1).

Ironically, the global financial body was embroiled in scandalous dealings that led to the removal of its chairman.

This goes to show the obvious relevance corruption has to sustainable growth and development.

The world’s major religions in their holy books are concerned with the evil of corruption amongst the rich and powerful, and prescribed rules for punishing perpetrators and the wiping out of corrupt acts.

The Qu’ran chapter 83, warmed believers against the fraudulent and corrupt practices of the Arabian society in the pre-Islamic era (Olurode, 2003:3).

The Holy Bible in proverbs (22:8, 11:20 and 13:11) (Olurode 2005:3) admonished the people about corruption and its consequences, promising perpetrators that they would be losers on judgment day.

Accountability is typically weak in Nigeria because the county is ripe for corruption and rife with it.

The motivation to earn extra income is extremely strong, worsened by poverty and low and declining civil services salaries.

Thus, corruption has become a cankerworm in the political system, stifling it of its potential sustainable growth.

In spite of these efforts, the level of corruption is still of serious concern and remains the greatest challenge. Majority of Nigerians are yet to buy into the anti corruptionprogramme of the Federal Government, particularly at the state and local government levels. Consequently, the negative consequences of the endemic corruption continue to impede development and threaten security of lives of the citizenry. Poverty, unemployment, insecurity of life and property and decaying infrastructure are the common features which are largely attributable to the high incidence of corruption which has reached an endemic level.

1.3 OBJECTIVE OF THE STUDY

1. To evaluate transparency international and challenges of corrupt practices in Nigeria.

2. To examine political corruption and its dilemma on Nigeria’s fourth republic which culminate first from Obasanjo’s fourth republic beginning by May 29, 1999 and the second section considers the Yar’Adua administration and corruption in Nigeria.

3. To know the latest Transparency International Corruption Perception Index (CPI) placed Nigeria as the 32nd most corrupt country out of 147 countries that were assessed in 2007.

4. To review the dimensions of corruption in Nigeria and its implications and propose measures which, if adopted, will assist in drastically reducing its level to the barest minimum, and ensure that national resources are used to eradicate poverty and attain the Millennium Development Goals (MDG) by 2015.

5 To identify the inherent nature of transparency international and corrupt practices in Nigerian since 2000-2010

To assess the effect of transparency international and corrupt practices on Nigeria’s development.

6. To appraise the activities of the EFCC.

7. To ascertain if the EFCC has succeeded or failed in its quest to wipe out corruption in Nigeria.

The strategy (2011-2020) promotes a three phased approach with an initial focus on (1) strengthening the capacities of the dedicated anti-corruption and public accountability bodies, followed by (2) mainstreaming of anti-corruption and governance principles into the work of the MDAs and finally by (3) strengthening accountability, integrity and transparency at the State and local government levels, the private sector and the society at large.

The implementation of the strategy is to be in three overlapping phases with some of the interventions at the three phases running concurrently.

A strong monitoring and evaluation system is to be put into place with a view to ensuring that individual MDAs prioritise and fulfil their obligations under the strategy and that the public, the private sector and the international community are informed of and involved in the assessment of progress.

The strategy galvanises and reaffirms the unwavering commitment of the Federal Government of Nigeria in the fight against corruption by creating a single vision and a shared sense of purpose by those tasked to prevent and combat corruption on behalf of all Nigerians.

it help design and implement system for financial and administrative oversight of grants and project of the Americas Department (one country and multi-country) and provides administrative and logistical support to two senior programmed co-ordinators;

2. being the lead co-ordinator, including financial and administrative management and monitoring of activities and result of the grants provided to TI nations in the Americas through the TI Anti-corruption. Delivery change (AD:DC) global programmes; and

3. Provide lead logistical supervision and co-ordination of key regional meetings.

The works of Transparency International is around and demand in population; enterprises and politics. In order to arrange for example the annual corruption index of the countries questionnaires provided with questions how; Which sector are according to their opinion affected particularly by corruption? (with a valuation of 1 (corrupt free) to 5 (particularly corrupt) as strongly their life is affected by corruption? (with valuation scale 1 (not at all) totally).

1.4 RESEARCH QUESTION

1.What are the transparency international and challenges of corrupt practices in Nigeria?

2. How one examine the political corruption and its dilemma on Nigeria’s fourth republic which culminate first from Obasanjo’s fourth republic beginning by May 29, 1999 and the second section considers the Yar’Adua administration and corruption in Nigeria?

3. What are the latest Transparency International Corruption Perception Index (CPI) placed Nigeria as the 32nd most corrupt country out of 147 countries that were assessed in 2007?

4. What are the dimensions of corruption in Nigeria and its implications and propose measures which, if adopted, will assist in drastically reducing its level to the barest minimum, and ensure that national resources are used to eradicate poverty and attain the Millennium Development Goals (MDG) by 2015?

5. Is possible to identify the inherent nature of transparency international and corrupt practices in Nigerian since 2000-2010?

6. What are the effects of transparency international and corrupt practices on Nigeria’s development?

1.5 RESEARCH HYPOTHESI

H0: There is no significant relationship between transparency international and challenges of corrupt practices in Nigeria.

H1: There is a significant relationship between transparency international and challenges of corrupt practices in Nigeria.

H0: One cannot examine the political corruption and its dilemma on Nigeria’s fourth republic which culminate first from Obasanjo’s fourth republic beginning by May 29, 1999 and the second section considers the Yar’Adua administration and corruption in Nigeria.

H1: One can examine the political corruption and its dilemma on Nigeria’s fourth republic which culminate first from Obasanjo’s fourth republic beginning by May 29, 1999 and the second section considers the Yar’Adua administration and corruption in Nigeria.

H0: There is no latest Transparency International Corruption Perception Index (CPI) placed Nigeria as the 32nd most corrupt country out of 147 countries that were assessed in 2007.

H1: There is a latest Transparency International Corruption Perception Index (CPI) placed Nigeria as the 32nd most corrupt country out of 147 countries that were assessed in 2007.

H0: There are no dimensions of corruption in Nigeria and its implications and propose measures which, if adopted, will assist in drastically reducing its level to the barest minimum, and ensure that national resources are used to eradicate poverty and attain the Millennium Development Goals (MDG) by 2015.

H1: There are dimensions of corruption in Nigeria and its implications and propose measures which, if adopted, will assist in drastically reducing its level to the barest minimum, and ensure that national resources are used to eradicate poverty and attain the Millennium Development Goals (MDG) by 2015.

H0: It is impossible to identify the inherent nature of transparency international and corrupt practices in Nigerian since 2000-2010.

H1: It is impossible to identify the inherent nature of transparency international and corrupt practices in Nigerian since 2000-2010.

1.6 SIGNIFICANCE OF THE STUDY.

A study of this nature will primarily create awareness to the school management on the effect of corruption and mismanagement on public expenditure in Nigeria.

To provide basic information on the effect of corruption and mismanagement and the role of EFCC in combating it.

To prevent and give guidelines to the corrective measures to be carried out.

To arouse the workers and staffs towards efficient devotion of themselves to their mission.

The study will also create awareness to the government on the evils of corruption and mismanagement and to look for necessary ways of combating the crime effectively.

It also helps to assist management to improve and adopt strategies to reduce corruption and mismanagements in various institutions.

The result of corruption and mismanagement is dangerous, deadly and cannot be over-emphasized.

A study of this nature aim at erasing this “cancer” (Corruption and mismanagement) that runs in our veins, and call us order for the betterment of the mankind and for the upliftment of the -country in general.

Teenagers and generations unborn will be very free from this contagious disease (B&C), if the government and the entire populace will mount an implementable strategies of effectively combating the crime.

The workers would also find this work very beneficial, as they consult it whenever they need such related information.

1.7SCOPE OF THE STUDY

This study is centered on transparency international and the challenges of corrupt practices in Nigeria 2000-2010

1.8 LIMITATION OF STUDY

Despite the limited scope of this study certain constraints were encountered during the research of this project. Some of the constraints experienced by the researcher were given below:

i. TIME: This was a major constraint on the researcher during the period of the work. Considering the limited time given for this study, there was not much time to give this research the needed attention.

ii. FINANCE: Owing to the financial difficulty prevalent in the country and it’s resultant prices of commodities, transportation fares, research materials etc. The researcher did not find it easy meeting all his financial obligations.

iii. INFORMATION CONSTRAINTS: Nigerian researchers have never had it easy when it comes to obtaining necessary information relevant to their area of study from private business organization and even government agencies. The members of transparency international find it difficult to reveal their internal operations. The primary information was collected through face-to-face interview getting the published materials on this topic meant going from one library to other which was not easy.

Although these problems placed limitations on the study, but it did not prevent the researcher from carrying out a detailed and comprehensive research work on the subject matter.

1.10 DEFINITION OF TERMS

Transparency international: Transparency international, briefly (TI), is a non-governmental organsiation with seat, acting world-wide, in Berlin which engages itself in national and international people and economical corruption fight and raising the awareness of it. This includes, but not limited to political corruption, it publishes yearly its corruption perception index, a comparative listing of corruption worldwide.

Corruption is a social problem that has interested many scholars. Ruzindana (1999) asserts that corruption in Africa is a problem of routine deviation from established standards and norms by public officials and parties with whom they interact. He also identifisd the types of corruption in Africa as bribery, private gain, and other benefits to non-existent workers and pensioners (called ghost workers).

Crime; Is simply defined as offence for which there is severe punishment by law.

B & C; Corruption and mismanagement

WAIC War Against Indiscipline &Corr

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